Supplemental Presentation on UNFI’s Pending Supervalu Acquisition
Sources of Cost Synergies
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Synergies Timeline and Deal Costs
Expect to generate run rate cost synergies of more than $175 million in year 3
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Operational
34%
7 (1)
Overhead
66%
Timeline to Achieve
25%
65%
One-time costs impact EBITDA
95%
100%
Year 1 Year 2 Year 3 Year 4
$ in millions
Deal Costs Costs to Achieve
Cost Synergies
More than $175 million in cost synergies in year 3 net of reverse synergies and excludes one-time costs in year 3.
Expect more than $185 million in cost synergies in year 4.
Synergy estimates are incremental to SUPERVALU's assumed synergies from prior acquisitions
One-Time Costs (1)
$95
$35
One-Time Costs
Costs to achieve reflect integration costs and costs to achieve synergies. Deal costs include advisor and
consulting fees
Year 1
$110
Year 2-Year 5
One-time costs including deal and integration costs for year 1 are expected to be ~$100 million.
Total one-time costs for year two and beyond are expected to be $110 million with majority expected in year 2.
Costs in year 3 through year 5 are related to IT integration
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