Nova Realidade Covid-19 após 1 ano

■ Opportunities and Challenges Challenges: ⚫ Food and Pharma Retail: The search for essential items even generated price increases, which led the segment to reduce promotions. With the gradual reopening of stores in malls, this segment returned to normal faster than the others, which makes it stronger. The reduction in purchasing power remains a concern. • Online retail: Tremendous acceleration of the digital channel, with new entrants every day. Urban logistics and cybersecurity advanced, but at a slower pace. • Retail - Other Segments and Food Service: It was the most affected by the closing of stores, which forced the segment to follow a path of accelerated adoption of digital to continue with its business, strongly encouraged by promotions. With many people at home, the home became the new center of coexistence, which ended up boosting the consumption of electronics, construction and decoration materials, making these segments stand out, coming out of the crisis stronger and more digitalized. ⚫ Food and Beverage / Hygiene: Consumption in homes was not enough to compensate for the loss of revenue with the closing of restaurants and bars. Conscious and healthier consumption habits have led to changes in the portfolio and portion sizes. To mitigate risks, alternative sources for imported raw materials were developed. • Consumer Goods - Cyclic: Adjustments were made at the beginning of the crisis, in which a less optimistic scenario was planned. The recovery was better than expected, even leading to a shortage of raw materials, making it necessary for companies to replan their strategy. It advanced the development of local suppliers, as well as positive actions to face the crisis on behalf of society. • Consumer Goods - Non-Cyclic: With the focus of consumers on essential products, it was one of the segment that worked very hard on pricing and promotion strategies to encourage sales. KPMG Source: KPMG - Nova realidade Covid-19 após 1 ano © 2021 KPMG Auditores Independentes Ltda., a Brazilian limited liability company and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. BD210890 Página 64

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