WILMAR INTERNATIONAL LIMITED 2Q07 RESULTS media.corporate-ir.net/.../Wilmar_2QFY07_Presentation_   WILMAR INTERNATIONAL LIMITED ... Goh Ing Sing Deputy Head of Plantations Division

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    WILMAR INTERNATIONAL LIMITED2Q07 RESULTS BRIEFING14 AUGUST 2007

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    IMPORTANT NOTICE

    Information in this presentation may contain projections and forward looking statements that reflect the Companys current views with respect to future events and financial performance. These views are based on current assumptions which are subject to various risks and which may change over time. No assurance can be given that future events will occur, that projections will be achieved, or that the Companys assumptions are correct. Actual results may differ materially from those projected.

    This presentation does not constitute or form part of any opinion on any advice to sell, or any solicitation of any offer to purchase or subscribe for, any shares nor shall it or any part of it nor the fact of its presentation form the basis of, or be relied upon in connection with, any contract or investment decision.

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    PRESENTATION OVERVIEW

    Background information

    Prospects & Future Plans

    2Q07 Financial Highlights

    Questions & Answers

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    BACKGROUND INFORMATION

    Presenter: Mr KUOK Khoon Hong

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    Wilmar International

    Headquartered in Singapore and listed on SGX

    Asias Leading Agribusiness Group after June 07 merger with Kuok Groups plantation, edible oils, grains & related businesses and restructuring exercise to acquire parent companys edible oils, oilseeds, grains & related businesses.

    Growth strategy : Oil palm plantations Palm & laurics merchandising & processing Further expansion in major consuming markets

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    Capturing the Entire Value Chain of the Agricultural Commodity Processing Business

    Cus

    tom

    er

    Merchandising, Shipping & Distribution

    - Owns fleet of liquid bulk vessels

    - Owns jetties and ports- Extensive distribution network

    Processing- Milling, crushing, refining, fractionation, specialty fats, biodiesel & oleochemicals manufacturing

    - Oilseeds crushing- Flour & rice milling

    Origination- Plantation- Sourcing of palm fruits & crude palm oil

    - Sourcing of soyabean, oilseeds & grains

    Products- Bulk oil- Consumer packs- Oilseeds meal- Specialty fats- Oleochemicals- Biodiesel- Flour & rice

    Orig

    in

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    Leadership Position Post Merger

    Largest global processor and merchandiser of palm & lauric oils

    One of the largest plantation companies in Indonesia / Malaysia

    Largest palm biodiesel manufacturer in the world

    China largest producer of consumer pack edible oils & largest oilseeds crusher, edible oils refiner & specialty fats and oleochemicals manufacturer

    India one of the largest edible oils refiners & a leading producer of consumer pack edible oils

    Ukraine largest edible oils refiner

    East & South Africa leading importer of edible oils

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    Manufacturing Facilities Malaysia & IndonesiaPlants

    As at 30 June 2007 No. of PlantsCapacity (MT p.a.)

    No. of Plants

    Capacity (MT p.a.)

    No. of Plants

    Capacity (MT p.a.)

    Refining 19 5,420,000 13 3,930,000 32 9,350,000

    Fractionation 19 5,420,000 17 3,680,000 36 9,100,000

    Palm Kernel & Copra Crushing

    17 1,900,000 5 610,000 22 2,510,000

    Packing Plant 9 310,000 3 250,000 12 560,000

    Palm Oil Milling 20 7,080,000 11 2,280,000 31 9,360,000

    Specialty Fats 3 170,000 2 150,000 5 320,000

    Fertiliser 2 450,000 - - 2 450,000

    Biodiesel 1 350,000 1 100,000 2 450,000

    Pre-Acquisition New subsidiary Total

    Associates under pre-acquisition Wilmar Refining : 860,000 MT p.a.; Fractionation : 790,000 MT p.a. & Crushing : 200,000 MT p.a.

    Associates under new subsidiary Refining : 790,000 MT p.a.; Fractionation : 760,000 MT p.a., Crushing : 280,000 MT p.a.

    Total capacities incl. associates Refining : 11,000,000 MT p.a., Fractionation : 10,650,000 MT p.a. & Crushing : 2,990,000 MT p.a.

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    Manufacturing Facilities Under Construction Malaysia & Indonesia

    Plants

    As at 30 June 2007 No. of Plants Capacity (MT p.a.)

    Refining 1 200,000

    Fractionation 2 260,000

    Palm Kernel & Copra Crushing 1 20,000

    Palm Oil Milling 1 180,000

    Biodiesel * 2 700,000

    Planned/Under Construction

    * One of the biodiesel plants above has been commissioned in mid-July 07.

    1010

    Manufacturing Facilities China

    As at 30 June 2007 Planned/Under Construction

    Plants Capacity (MT p.a.) Capacity (MT p.a.)

    Oilseeds crushing 11,770,000 660,000

    Refining 5,700,000 540,000

    Consumer oils packing 4,180,000 1,000,000

    Oleochemicals 250,000 370,000

    Specialty Fats 490,000 _

    Flour milling 590,000 920,000

    Rice milling 300,000 _

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    Global Operations

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    Indonesia & Malaysia - Plantations and Palm Oil Mills

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    Indonesia & Malaysia - Manufacturing Plants

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    China Manufacturing Plants

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    China Sales Office

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    India Manufacturing Plants

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    India Sales Office

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    Global Markets

    Products are sold to > 50 countries

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    Our Competitive Edge

    Capturing Margin across Value Chain

    Major presence in Key Producing & Consuming Countries

    Strong Shareholder Base

    Global Market Intelligence

    Stronger Management Team Post Merger

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    Capturing Margin across Value Chain

    Cost efficiencies:

    Manufacturing cost efficiency due to large scale & integrated operations

    Efficient logistics planning & reduced cost by loading from own ports/jetties & capitalising on multiple manufacturing locations at the best sites

    Marketing cost minimised due to direct marketing to end users

    Lower freight cost due to efficient shipping operations.

    Energy cost savings from conversion of waste products into energy

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    Strong merchandising & manufacturing presence in key consuming countries like China, India & Europe

    Strong presence in two key tropical oil producing countries Malaysia & Indonesia

    Enhances market intelligence

    Provides flexibility in expanding capacity at either origin or destination

    Major Presence in Key Producing &Consuming Countries

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    Strong Shareholder Base

    The Kuok Group one of Asias most diversified and dynamic multinational conglomerates

    ADM - one of the largest agricultural processors in the world, with excellent technical expertise in oilseeds, edible oils and grain processing

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    Maximising processing margins through timely purchases & sales of raw materials & finished goods

    Excellent global market information on demand & supply of oilseeds & edible oils due to: Large scale origination of crude palm oil, palm kernel and soya

    beans

    Worldwide merchandising network; especially our dominant position in major consumption growth countries for agricultural commodities

    Access to shareholders information network

    Global Market Intelligence

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    Added breadth & depth of management post merger

    Ability to identify & develop business opportunities Capable merchandising team

    Leading global merchandiser of palm & lauric oils and leading merchandiser of processed agri-commodities in China & India

    Ability to manage commodity, customer & currency risks

    Strong technical team Ability to build large, integrated manufacturing complexes &

    operate them efficiently

    Experienced plantations development team Technical expertise in developing plantations & ability to manage

    local conditions in Indonesia

    Stronger Management Team Post Merger

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    Kuok Khoon HongChairman and Chief Executive Officer

    Martua SitorusJoint Chief Operating

    Officer

    Khoo Eng Min

    Head of Plantations

    Division

    Teo Kim Yong

    Executive Director

    (Commercial)

    Kwok Kian HaiJoint Chief Operating

    Officer

    ChinaDivison

    Hendri SakstiHead of

    Operations,Indonesia

    Goh IngSing

    Deputy Head of Plantations

    Division

    Lee Hock KuanHead of

    Southern Region,

    Consumer Pack, Oleochemicals

    & Specialty Fats

    Mu Yan KuiHead of

    Northern Region& Grains Trading

    Niu Yi XinHead of Central

    Region& Oils Trading

    Sng Miow Ching

    Group Financial Controller

    Low Soon Teck

    Group Treasurer

    Our New Management Team

    YeeChek

    ToongHead of

    Operations, Malaysia

    RahulKale

    Head of Biofuels&

    Oleochemicals

    Matthew John

    MorgenrothGroup Technical

    Head

    Chua Phuay Hee

    Executive Director

    (Finance & Corporate Services)

    Finance & Corporate Services Division

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    Our New Management Team

    Mr KUOK Khoon Hong: Chairman & CEO Successfully developed grains, edible oils & oilseeds businesses in Indonesia,

    China, India, Africa and Eastern Europe Mr Martua SITORUS: Joint COO & Exec. Director

    Successfully developed plantations, milling, refining & fertiliser businesses in Indonesia

    Mr KWOK Kian Hai : Joint COO & Exec. Director Strong technical and management expertise with more than 30 years experience

    in the edible oils, oilseeds & grai