#1KRONE Contiflow KRONES KRONES ARCACONTINENTAL CORPORATE PRESENTATION September 2018#2ARCACONTINENTAL Coca-Cola 92 Years ...strong relationship with Coca-Cola 0417 OV-MX- 14 JUN 174 RETORNABLE ID SIN AZÚCAR Coca-Cola 2#3Serving 5 countries across the Americas Sales Volume Production Facilities Associates 2.2 8* 50 359 60 +1 BUC US$B Thousand Million Revenue Distribution Centers Points of Sale USA MEXICO ECUADOR ARCACONTINENTAL PERU ARGENTINA 3#4A balanced portfolio of markets and business... MEXICO BEVERAGES EXPORTS AND VENDING 1% CAC 12x 2002 18% 99% Mxp$ 13 billion MEXICO PERU ARCACONTINENTAL 11% ECUADOR 8% 37% ARGENTINA PRO-FORMA 6% 2017 6% SNACKS & OTHER BUSINESS 32% UNITED STATES Mxp$ 154 billion 4#5...with on strong organic growth and an excellent M&A track record ARCACONTINENTAL HOTELLADORAS ❖ARCA Bokados 2002 2007 Valle ARCACONTINENTAL WISE inàlecsa Sanos y Divertidos Santa Clara DESDE-1924 *NGENIO FAMAILLA LINDLEY tonicorp 2008 2010 2011 2012 ARCA Merger Snacks Argentina & Ecuador CONTAL Snacks & 2014 Tonicorp 2015 Peru Mexico Jugos del Valle Merger Santa Clara Coca-Cola SOUTHWEST AdeS & Great Plains GREAT PLAINS Coca-Cola BOTTLING COMPANY Because We Give a Chip! DEEP RIVER SNACKS 2016 Sugar Mill Argentina 2017 USA, AdeS & Snacks 5#6Our commitment to always pursue value creation opportunities our shareholders ARCACONTINENTAL Coca-Cola PRODUCTOS TOPITON Katen ORTOLINES PRODUCTO BaRaces Boka-chite horneada WISE.COM Styl 5 WISE 2133 STIL All Natural FOTATO CHIPS Coca-Cola Coca-Colaoca-Cola Sprite Coca-Cola zer ca-Cola SSDs New sparking beverage franchises A NATURAL PRITA.COM AL CORE NARTD Food & Snacks Leche Leche Leche SANTA CLARA SANTA CLARA SANTA CLARA SANTA SANTA CLARA L SPIL FUZE tea ANIEK ARINDAD POWER ON GLADIATOR rozus Ton Pu PERGY CHIM burn oni Toni Toni Toni Tor Ton NARTD: Non-alcoholic ready to drink Stills Emerging still categories + Value added diary 6#7A wide brand portfolio to satisfy every occasion of consumption ARCACONTINENTAL Leche ENTERA SANTA CLARA 22781L INCA KOLA ciel ciel MONST ENER LIMON&NAD FRESC FANTA SABOR ORIGINAL light Coca-CoCoca-Cola ca-Cola Sprite SIDRAL Mundel opo Chice on POWER ADE fuzetea Toni Ades FRUTS zana Valle +60 Brands + 28 Brands 2006+128 SKUS 2017 -1,500 SKUS 7#8Strong presence in attractive markets... MUC-Million Unit Cases KO The Coca-Cola Company MEXICO Start date: 1926 • • . Sales volume (MUC): 1,200 % of KO volume: 30% Population served (MM): 30 USA Start date: 2017 Sales volume (MUC): 440 % of KO volume: 14% Population served (MM): 34 ECUADOR Start date: 2010 • Sales volume (MUC): 137 • % of KO volume: 100% • Population served (MM): 16 PERU Start date: 2015 Sales volume (MUC): 297 % of KO volume: 100% Population served (MM): 32 ARGENTINA Start date: 2008 • • . Sales volume (MUC): 128 % of KO volume: 21% Population served (MM): 9 ARCACONTINENTAL 8#9ARCACONTINENTAL ...with a model that connects the entire organization in order to reach the perfect execution 康 Segmentation RGM AACT METRICS Picture of Success RTM * 前 Digital Tools People Market Audit FUNDAMENTALS Customer Love Score (CLS) 9#10Value share above market share in all of our operations ARCACONTINENTAL Mexico 78% 74% Argentina Ecuador Peru 77% 74% 74% 67% 67% 58% United States 45% 42% 9 Pts. 3 Pts. 7 Pts. 3 Pts. 4 Pts. SOM SOV SOM SOV SOM SOV SOM SOV SOM SOV 10#11HAR ANCACORTS Cola Coca-Cola Coca-Cola Coca-Cola Cola ca-Cola Coca-Co <-600 500 ml 500 600 ml Innovation at Arca Continental Coca-Cola MR ca-Cola Cola ca-Cola ca-Cola 500 ml 500 ml#12Developing fundamental capabilities Innovation Data + Algorithms ممه + Technology Talent + 2 ARCACONTINENTAL Enough data for next study cases Econometric algorithms and machine learning Advanced Data Lake from Microsoft Creating a specialized team 12#13Understanding key variables to drive growth ARCACONTINENTAL 175 Variables Price Gap Promotion & Advertising • Price Change STRATEGIC Holiday and 19% Weekend Stockup 'Why Model" 93 Variables Sales Visits New Customer Performance 11 Sets of Variables 3 Categories OPERATIVE Service Indicators RED Improvement EXTERNAL Economic Environment • High Temperature Weather 16% 10% 2% 14% 3% 11% 7% 4% 4% 4% FINDINGS Identify key variables of overall performance and build a scorecard, also differences between Arca Continental's Markets ACTIONS Price Religion and Fundamentals We strengthen our price religion in territories with high price elasticities and build our fundamentals (KPI's) 13#14Concrete use cases to apply analytics to improve execution at the point of sale 1. PRODUCT AVAILABILITY ARCACONTINENTAL 2. COMMERCIAL EXCELLENCE Forecast non-availability of products by SKU and create a "suggested order" by POS Quantify the effect of each execution variable by POS and prioritize it Out of stock in POS 1-2 p.p. Contribution margin Volume sales increase 2-3% Contribution margin 1 14#15Improving sales performance in traditional channel with technification Customer Benefits ● Improving store activation . Adding Web-enabled POS Active Customers Sales increase Coca-Cola ciel ~1K 3% AC Benefits destapala ARCACONTINENTAL • Increases traffic, sales and profits • Additional income from e-payments Competitive advantage brie I • Sales information on all categories • Customer insights • Discounts Control 15#16Coca-Cola SIN AZÚCAR SIN AZÚCAR SIN AZÚCAR SIN AZÚCAR SIN AZÚCAR SIN AZÚCAR SIN AZÚCAR Coca-Cola Coca-Cola Coca-Cola Coca-Coloca-Cola Coca-Cola Coca- Coca-Cola Mexico#17A flexible price-pack architecture to drive consumption and profitability ARCACONTINENTAL +20 SKUS only for regular Coke in Mexico MXP PACKAGE NON RETURNABLE 34% MXP FORMAT $6 -355- ml VR SINGLE SERVE $6 $6 Coca-Cola $34 2.0 Ref Pet 3.0 NR 600 PET $10 $13 $20 $25 48% 52% 66% Low elasticity SKU's Protect affordability RETURNABLE MULTISERVE (multi-serve & Returnable) Leverage on single serve presentations 17#18Maintaining leadership in core Mexico market while growing diversified portfolios Expanding value-added dairy . Strongly positioned in consumer preferences Tripled sales and increasing point of sales coverage of 44% in traditional channel Leveraging the Direct to Home channel • More than 5,500 coolers introduced in 2017 HELADO DE FRESA 100% PURA DE VACA HELADO CAPUCCINO Leche Leche Leche Leche Leche DESLAADA SEMIDESCREMADA LIGHT 1924 SANTA CLARA SANTA CLARA Ви ENTERA DESLACTOSADA PRADOS IN CANDO 1924 TA SCADA STOSADA WELDASA бо SUPRENDE 1924 ARCACONTINENTAL Lechia HELADO CHOCOLATE 100%A AARON HELADO VAINILLA SANTA CLARA SANTA CLARA • Maintained a CAGR of 28% in 2017 Growing still beverages portfolio • Very positive trend in market share across all categories 85% • Command #1 or #2 market leadership in most still categories • Continue strengthening our portfolio through Ades acquisition • Profitable single-serve presentation and premium pricing SANTA CLARA E VACA BALANCEADA 200 200 NEL Soal C 1924 SANTA CLARA PURA DEL STS LA FOR Santa Cla CONT NETOL DE HACER LAS MELO SANTA CLARA 100% PURA DE VACA CREMOSA O CONT NETOL TO 1924 SANTA CLARA AURA DE VACA 100% CONTL HELPIN Market share of Powerade relative to competition SANTA CLARA CONT L NETO 21 200 111200m (%) 100% 80% 60% 60% POWER 40% ADE 11% 20% 38% IONS 0% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Main Competitor Powerade 18#19INCA KOLA South America#20South America: AC operates in attractive Markets with positive growth outlook HECHO CON PURA MANZANA Cepita Cepita NUTRI DEFENSAS SINAJUCAR Coca-Cola Coca-Cola SIN AZÚCAR Coca-Cola INCA KOLA INCA KOLA zero MEDIO LITRO GIGANTE ARCACONTINENTAL . • • Cepita Välle 100% JUGO MANZANA ANANA TROPIC DURAZNO MIX ARGENTINA - 2008 Revenue growth management initiatives enable us to compensate for high inflation rates maintaining profitability despite macroeconomic volatility Continue expanding point-of-sale execution capabilities through our commercial model Strengthened vertical integration with Famaillá sugar mill to optimize sweetener cost • Coca-Co 198 ECUADOR - 2010 Reformulating products to offer more low- calorie or zero calorie options (first in the world) • Focus on affordability products in key entry packages Capturing cost savings by centralizing production capabilities in new Tonicorp's plant Approximately 17,000 new coolers introduced to capitalize on future volume INCA KOLA PERU - 2015 • Solid annual GDP growth since 2010, averaging 4.3% • Delivered annualized synergies of USD $40 million, 60% above the original target Reduced debt and exposure to foreign • exchange debt by 80% with a three-notch uplift by Fitch Ratings Aim to accelerate and innovate in still beverages, while focusing on warehouse. infrastructure optimization while increasing own sales force and distribution capabilities 20#21Investing in core capabilities and increasing profitability in South Americal ARCACONTINENTAL MUCS Cooler Coverage (1) EBITDA / Sales MUCS Cooler Coverage (1) EBITDA / Sales MUCS Cooler Coverage (1) EBITDA / Sales 118 128 61% 18% 10% 21% 137 48% 18% 119 17% 24% 297 278 29% 21% 33% 18% 2008* 2017 2008* 2017 2008* 2017 2010* 2017 2010* 2017 2010* 2017 2015* 2017 2015* 2017 2015* 2017 *End of the year acquisition of each territory MUCS Million Unit Cases (!)Cooler Coverage - Percentage of points of sales with at least one cooler 21#22Coca-Cola SOUTHWEST BEVERAGES Coca-Cola ARCACONTINENTAL ONE TEAM DREAM ARCACONTINENTAL 22#23AC Corporate Structure Arca Continental (AC) & Coca-Cola Refreshments USA (CCR), a fully- owned subsidiary of The Coca-Cola Company (TCCC), signed last February a Definitive Agreement that establishes the following: The Coca-Cola Company Market Cap(¹): USD$192 Bn ☐ AC contributed to AC Bebidas its interest in the equity stake of all its beverages business TCCC contributed CCR's Southwest Operating Unit territory (Texas, parts of New Mexico, Oklahoma, Arkansas) including its assets and related liabilities in exchange of a 20% equity stake in AC Bebidas The newly created entity, Coca-Cola Southwest Beverages LLC (CCSWB), has the rights to bottle, distribute and sell Coca-Cola beverages in southwestern US AC's Complementary Business portfolio consists of snacks products (1) Considering a share price as of December 30, 2017. AC market cap was calculated using an exchange rate of MXP$18.90 (2) Participation after the contribution of all of AC's Beverages Business. ARCACONTINENTAL ARCACONTINENTAL Market Cap (1): USD$11.6 Bn Coca-Cola Refreshments (2) (2) 20% 80% 39% 61% AC Bebidas 100% Peru Mexico 100% 100% Argentina Ecuador 100% AC Complementary Business 100% Coca-Cola Southwest Beverages 23#24AC joined the Coca-Cola System in the US in April 2017 Sales volume of 440 MUC and 2017 revenues of US$2.7 Bn • 10 production facilities, 40 distribution centers and over 8,700 associates • Expected annual synergies: US$90 million by year 3 Oklahoma ARCACONTINENTAL Dallas El Paso Abilene Nacogdoches Fort Worth Houston San Antonio • • U.S. market share of approximately 42% • Consumer environment with similar dynamics as Mexico ~ 30 million consumer in market with 40% Hispanic • AC will deploy core pillars: commercial model, operational excellence and supply chain management • Potential to expand snacks business presence in the US and increase sales of Topo Chico mineral water and Coca-Cola "Nostalgia" McAllen Gulfgate Coca-Cola SOUTHWEST BEVERAGES MUC Million Unit Cases 24#25Detailed work plans for short and mid-term identified synergies Revenue: • Vending Topo Chico Mexican Coke Strategic: • • New facility in Houston. · Shared Services Savings: • In-line blow molding (ILBM) • Direct Procurement • • Improvement in production lines Lightening of the PET bottles Reduction in freight costs More than 30 projects to reach USD$ 90 MM in 2020 ARCACONTINENTAL ZIGHS 25#26. CCSWB Wins 2018 Market Street Challenge Coca-Cola Market Street Challenge recognizes excellence in market execution across major retail channels CCSWB competed against eight Coca- Cola bottlers from a wide range of geographies and sizes While the company's first year was focused on exceptional customer service and smoothly managing its transition to Arca Continental, the team also began laying the groundwork for significant improvements in customer execution B ARCACONTINENTAL Through a Culture of Excellence in Execution... 26#27CCSWB is now above the total level of U.S. execution metrics across all channels TOTAL CHANNELS 47.6 38.0 Coca-Cola SOUTHWEST BEVERAGES 43. THE MARKET LARGE STORES STREET CHALLENGE 38.8 CONVENIENCE RETAIL 45.7 37.4 32.1 +9.7 Coca-Cola +6.1 SOUTHWEST BEVERAGES Coca-Cola +6.7 Coca-Cola +3.9 SOUTHWEST BEVERAGES Coca-Cola +8.3 Coca-Cola +5.2 DRUG STORES 66.9 Coca-Cola +23.8 Coca-Cola +13.9 SOUTHWEST BEVERAGES 49.6 VALUE STORES 75.6 36.7 FSOP Coca-Cola +26 Coca-Cola +19.4 SOUTHWEST BEVERAGES Coca-Cola -9.3 SOUTHWEST BEVERAGES 27.4 ARCACONTINENTAL Coca-Cola -6.2 27#28Our McAllen manufacturing team has been awarded the 2017 President's Award for Quality Excellence ARCACONTINENTAL BOTER RECO DEA TI S • McAllen is the best facility in North America to receive the award this year from Coca- Cola, competing against 71 facilities for the distinction To win each Coca-Cola facility in North America is scored on their commitment, compliance and capability In each measure, the McAllen facility scored highest of any Coca-Cola facility in the region. Additionally, Coca-Cola Southwest Beverages had 2 of the top 10 highest- scoring facilities and 5 in the top 25 CCSWB team can truly say they have the highest quality Coca-Cola facility in all of North America 28#29• . CCSWB to build new plant in Texas • Investment of US$250 million in a facility. close to 1 million square feet in size First Coca-Cola production plant built in the U.S. in a decade State of the art technology, with five new production lines and in-line blow molding capabilities Includes distribution facilities, warehouse and sales, which will enable CCSWB to efficiently serve the Southeast Texas market. Close to USD $30 million in cost savings and operating efficiencies, as part of the USD 90 million synergy program. 曼曼 ARCACONTINENTAL Scheduled to begin operating in early 2020 29#30Bokados PRISPAS CHILE HABANERO ALA FRANCESA EVO Bokados Mix RICO Y VARIADITO Food and Snacks 47JUN 1801 21:24 20 MAY 18 5.17 18:23 ROM Bokade Cacahuates M CONT#31Continue accelerating growth and gaining scale in snacks & other business $000 Refrescate Vending #1 Vending Operator In Mexico and Peru Coca-Cola ARCACONTINENTAL Coca-Cola Bokados okado TOPITO CHARA CCSUMAS QUES DE FIO PRODUCTO Cacatuates 5%ODUCTO! Boko Ca tes Estilo NES APA AT WISE Blat POA Direct to home Beverages delivered Snacks Participating in the industry with to 600,000 homes Leading brands and Gaining scale 31#32High potential growth opportunity based on strategic adjacencies WISE Bokados Sanos y Divertidos USD$ 360 MM in 2017 Complementary to our core business ARCACONTINENTAL Expand snack business in Mexico under Bokados and complements with Wise Strengthen our presence in the US and Ecuador 32#33Strengthening our snacks business with Deep River brand 2017 Net Sales: ~ US$ 45 MM . Founded in 2002 by Jim Goldberg . • ● Portfolio oriented to Better for You products, mainly Kettle chips Products certified as gluten-free, without artificial ingredients Deep River complements Wise's portfolio Arca Continental becomes a more significant player in the salty snacks industry in the United States EERIVER DEEP RIVER DEN ARCACONTINENTAL well Give You the FREE ALL Jiffy Mart Rewards Members are Automatically Enrolled Coffee DEEP RIVER DEEP RIVER SNACKS OKEMO DEEP RIVE DEEPRAER PRIVER DEEP RIVER Mesquite BBQ DEEP RIVER PRIVER VER DE DEEP RIVER EP RIVER mary & ive Of DEEP RIV DEEP RIVER Zenty Jalapeño DEEP RIVER DEEP RIVE Because We Give a Chip! DEEP RIVER SNACK S Certified NON GMO Project GF VERIFIED nongmoproject.org Gluten-Free 33#34ola 1 WOW! Cold Diet ke e wow! mann POW WOW! ENERG 135 Cola Col ke cherry au Financial Performance#35Delivering strong and consistent results $56 $76 $60 $62 $137 Consolidated Results $26 $94 +46% +30% $20 $17 $14 $13 $11 ARCACONTINENTAL $13 $11 +45% $9 $8 $7 $6 <$5 +20% CARG III 2012 2013 2014 2015 2016 2017 SALES +19% CARG 2012 2013 2014 2015 2016 2017 EBITDA +21% CARG 2012 2013 2014 2015 2016 2017 NET INCOME MXP $ BILLION 35#36Conservative debt profile & diversified maturity schedule Debt Maturity Profile Total Debt: MXP$ 56,923 million 296 2,888 7,119 6,868 5,721 5,742 6,378 2,175 2,356 1,487 USD 7,945 7,945 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 • • Bank Loans ■ Bonds 96% debt is in local currency Projected debt profile with average maturity of 7 years. *Using an exchange rate as of June 2018 of MXP$ 19.86 PEN ARS 13% 1% 39% By Currency 47% ARCACONTINENTAL MXP Variable Fixed 72% By Interest Rate 28% 36#37Highest credit rating among Mexican companies Net Debt / EBITDA MOODY'S "A2" Global Scale 1.9 Fitch Ratings "A" National Scale Fitch Ratings S&P Global 1.3 1.2 ARCACONTINENTAL "AAA(mex)" Ratings "mxAAA" Global Investment Grade above Mexico's sovereign rating 2015 2016 Jun '18 Financial flexibility and low leverage ratio 37#38History of discipline growth Sales MXP$ billion FRUTSI POWER ADE ION 2 FUZE tea Ma TIVE *As of March 2018 vitaminwater. rostoro posche de frutas Valle NECTAR DURAZNO Valle Valle ANTIOX NUTRI Valle ZANA-ARANDANODEFENSAS Del min 500m 13 2x 2x 56 25 2x 100 ARCACONTINENTAL >200 2x 2002 2008 2012 2017 2022 Net Debt to EBITDA 0.2x 0.5x 0.8x 1.2x 38#39sé po del ca ntario Respo SO toris Uneto, VA Soyvor pos Dia Ar Vi ariado Repomptitiad #Soy Voluntarie ¡Únete Unote, Coca-Col Coca Col Svoluntar Unet de co #Soolutar Ur sé dal Ponsabad ocial Soavoluntan se del Re #SVolun ¡Une Social Responsibility#40Strong commitment towards our environment PETSTAR ARCACONTINENTAL RECYCLING Mexico 2017 28% of PCR 51,049 Tons of resin produced by PetStar Mexico is the global leader in recycled resin use 1.7 WATER* Water Lts. / Beverage Lts. 17% improvement vs 2010 Leader in water reuse technology ENERGY* 25.8 11% g CO2/ Beverage Lts. energy reduction vs 2010 25% from renewable sources *2017 data for AC consolidated 40#41Coca-Cola Llévala Coca-Cola Coca-Cola Coca-Cola Llévala Ala Coca-Cola Coca Criotec Llévala af jor precio Cola Cola Coca-Cola ca Llévala mr preci Coca-Cola Coca-Cola Coca-Cola zero Comparte saber en tu mesa Saborea toda la tradición IYA LO TRAES Hidrátate al doble. ciel Ciel TOMA T DESAYU AMANICE BUENAS Coca-Cola a-Cola oa-Cola Coca-Cola Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Coca-Cola Cola RETIONABLY Coca-Cola 200 Sort Sort Sor Jou Joya Jo Key investment Highlights#42Key investment highlights ARCACONTINENTAL Global leader... ...in the right markets... ...the right products... ...and a disciplined growth strategy One of the largest Coca-Cola bottlers in the world with a leading profitability in the KO System Resilient and defensive industry Strong presence in attractive markets Highly diversified and well-balanced geographic presence with a wide product portfolio and distribution channels Proven track record of disciplined growth Strategic business model that connects the entire organization in order to optimize execution 42#43ARCACONTINENTAL THANK YOU! JULY 2018 Investor Relations Contact Information: Ulises Fernandez Felipe Barquin [email protected] [email protected] Pamela Ortiz [email protected] Francisco Leyva [email protected] ARCACONTINENTAL