Nascent Wine — Investor Presentation (June 2008)
25 slides from Nascent Wine's investor presentation, Jun 13, 2008
Slide 1: Nascent Foodservice Investor Presentation June 2008
GG, Investor Presentation NASCENT FOODSERVICE June 2008
Slide 2: Safe Harbor Statement
Safe Harbor Statement i) NASCENT Statements made in this presentation that express the company's or management's intentions, plans, beliefs, expectations or predictions of future events, are forward- looking statements. Those statements are based on many assumptions and are subject to many known and
Slide 3: Company Snapshot
Company Snapshot Ticker Stock Price (6/3/08) Fully Diluted Shares Out Market Cap Net Debt 2007 Revenue OTCBB: NCIW $0.14 128 million $18 million $10 million $42 million
Slide 4: Company Overview
Company Overview SASCER? First-mover advantage and fastest growing foodservice distributor of imported branded and private-label food & beverage products in Mexico — Over 2,000 products and 200 national and private-label brands — Seven exclusive distribution nghts National footprint Services over 2,
Slide 5: Recent Business Developments
Recent Business Developments SEEGER * QI revenues increased three-fold to $16 million * Ql gross profit improved by $1.9 million to $2.8 million * Ql operating expenses improved by 7 percentage points to 23% of net revenues ¢ Entered into 2 new distribution agreernents _dFaden Buergy Dankunder exlas
Slide 6: Company History
Company History a NASCENT + 2006 — Secured distribution rights for Miller Beer in Bap, CA iiseorp merece — Completed 2 acquisitions — Secured 4 exclusive distribution $50 agreements hid * 2007 ett — Completed 3 acquisitions 2 s30 Qe — Secured 5 exclusive distribution agreements = 90 @ * 2008 x0 — An
Slide 7: Strategic Acquisition History
Strategic Acquisition History ae Date of Acquisition Company Name Beands/ Strategic Advantage Apsil 2006 Mille Beer of Baja, CA. (a Lil October 2006 Piancone Group International November 2006 Palermo Italian Food* ‘May 2007 Pasani, SA July 2007 Gmupo Sur Promociones* PeG eS. GohmonaGofmnson Qctober
Slide 8: Mexican Foodservice Industry
Mexican Foodservice Industry SEEGER Mexico represents 12" largest economy in the World — Mexican population in excess of 110 mm — Mexico’s GDP is over $1 trillion dollars Mexico imports $120 billion in food and beverage products*: — Foodservice industry represents $46 billion — Highly dependent on t
Slide 9: First Mover Advantage
First Mover Advantage National Footprint in Mexico — 18 DC’s in Mexico — 3DC’sin USA Total warehouse sq. ft ~ 250,000 Fleet of 48 distribution trucks Seven exclusive distribution rights NASCENT Territories Serviced
Slide 10: Leading Branded & Private Label Portfolio
Leading Branded & Private Label G, Portfolio NASCENT * Over 2,000 branded and private label products — 250 private label products — 750 products under exclusive agreements — 1,000 products purchased in the open market Strong portfolio of private label & branded products Private Label Exclusive Open
Slide 11: Comprehensive Product Portfolio
Comprehensive Product Portfolio —— Grocery Products Bread, canned fruit, cereal, dessert mixes, oil, peanut butter, soup, syrups Specialty Foods Gourmet, imports, international cuisine Beer Exclusive distribution agreement for the full line of Miller beers in Baja Fresh Meats Chicken, ham, hot dogs,
Slide 12: Exclusive Distribution Relationships
Exclusive Distribution Relationships a NAS Al ¢ Miller Beer for Baja California, Mexico * Bellissimo Pizza Products ¢ Fusion Energy Shot ° Ferrarelle Water ¢ Atlantic International (Cora Italian foods and condiments) * Jolly Rancher Soda * Clabber Girl * Several others "
Slide 13: Key Retail Partners
Key Retail Partners NASCENT Channels Accounts Supermarkets WAL*IMIART’ SORIANA Club stores ii] Sosreo Convenience Stores [2] «mpm Foodservice Restaurants, hotels, bakeries 12
Slide 14: Business Model
Business Model NASCENT ~2,000 branded and private label products 18 Distribution Centers atralized Oper -s, Accounting, Purchs Distribution Fleet (48 trucks + contracted tru 500 Marketing, Promotion & Stocking Employees* *Nascent announced intent to explore strategic alternatives for Palermo Italian
Slide 15: Competitive Landscape
Competitive Landscape SASCER? * Similar market to United States 30 years ago before Sysco or US Foodservice, Inc. + Nascent disintermediates the supply chain Retailers Grocery Markets Manufacturer nsumer US. | Mexico [Convenience stores 14
Slide 16: Growth Opportunities
Growth Opportunities ww, NASCENT * Organic growth expected to be over 30% in 2008 Pursue Selective Acquisitions Leverage Business Model — Majority of investment in distribution platform complete _ Bapand hisheemangin pavatelabal offeding _ Addingradditional leading brands Further Penetrate Existing
Slide 17: Pursue Selective Acquisitions
Pursue Selective Acquisitions NASCENT Opportunity Fragmented industry (comparable to United States 30 years ago) Estimated 10,000 acquisition opportunities Average EBITDA multiple of acquired Company 2.0x -4.0« Limited strategic buyer universe Rationale Leverage existing infrastructure Expand brande
Slide 18: Management Team
Management Team Snesen? fia Years of a ee Title industry Industry Experience experience Sandro Piancone | Founder, CEO. 20 = G Victor Petrone | President 2 |\g SYSCO Peter White CFO. 40 EN } 7
Slide 19: Financial Overview
G, Financial Overview
Slide 20: Historical Revenue Growth
Historical Revenue Growth —_ NASCENT * Full year 2007 revenues of $42 million increased 9-fold over 2006 Revenue Growth $50 $42.4 2 925 $4.7 so | a 2006 2007 19
Slide 21: Quarterly Revenue Growth
Quarterly Revenue Growth Quarterly Revenue Growth $17.0 $20 $16.0 $15 sto $5.0 il so Q107 Q207 Q3 07 Q407 Q108 @ in millions) n a 20
Slide 22: Pro Forma Performance Analysis
Pro Forma Performance Analysis ——— NASCENT * Assumes Palermo Foods and Grupo Sur not included in Nascent’s historical Consolidated Statement of Operations for the year end December 31, 2007 and three months ended March 31, 2008 eta Your Ended Guatr ‘aota0nr Ssirzooa| | “rzrsim00r sa1zo08 Net Revenue
Slide 23: Balance Sheet Highlights
Balance Sheet Highlights ‘As of 3/31/2008 * Current Assets of $18.7 million * Accounts receivable fully insured by AIG * Total debt of $10.8 million ¢ Total stockholders equity of $32.2 million 22
Slide 24: Investment History
Investment History @, NASCENT * 1 Qtr 2007- $11,300,000 private placement by Brookstreet Securities * July 2007 — $8,000,000 private placement by York Capital Management * November 2007 - $7,000,000 private placement by York Capital Management 23
Slide 25: Investment Summary
Investment Summary ©, NASCENT * Rapidly Expanding Sales Growth ¢ First-Mover Advantage ¢ Fragmented Industry ¢ Leveraging Infrastructure ¢ Improving Margins ¢ Diversified Branded and Private Label Products * Compelling Customer Value Proposition 24
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