Investor Fact Sheet - Viterra At-A-Glance

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Investor Fact Sheet - Viterra At-A-Glance Powered By Docstoc
					Viterra At-A-Glance
Corporate Snapshot

Viterra Inc. provides premium quality ingredients to leading global food manufacturers. Headquartered in Canada, the global
agribusiness has extensive operations across Western Canada, the United States, Australia, and New Zealand, with Adelaide,
Australia as the base for Viterra's Southeast Asian operations. Our growing international presence also extends to offices in Japan,
Singapore, China, Switzerland and Italy. Driven by an entrepreneurial spirit, we operate in three distinct businesses: grain handling
and marketing, agri-products, and value-added processing.


Investment Highlights

  •	 Strong industry fundamentals                     •	 Well defined business model
  •	 Leading global agri-business company             •	 Disciplined approach to growth and risk management
  •	 Strong management team                           •	 Strong balance sheet and diversified earnings and cash flows


The Right Model for Business Success – three distinct businesses

GRAIN HANDLING & MARKETING
Viterra receives, processes, transports and           •	 Canada has 45% of the market share.
markets coarse grains, oilseeds and special           •	 86 elevators, 12 specialty crop facilities in North America
crops to destinations around the world through        •	 Ships 24 million tonnes of grain and oilseeds annually
its grain handling network in Canada, Australia       •	 82% capacity operates with 50-100 car loaders
and New Zealand.                                      •	 Viterra Canada has 4 ports, Viterra Australia has 8
                                                      •	 South Australia operates more than 100 storage silos, which represents
                                                        approximately 6.6 mt storage capacity



AGRI-PRODUCTS
Through our retail outlets, Viterra provides seed,    •	 Canada has 32% market share, 261 agri-product facilities and over 30 seed
crop protection products, fertilizer, equipment         varieties
and agronomic and financial solutions.                •	 34% interest in Canadian Fertilizer Limited (CFL)
Viterra acts as a broker, direct buyer and            •	 The wool operation extends to the states of South Australia, Western
exporter of wool in Australia and New Zealand.          Australia and Victoria



PROCESSING
Viterra’s involved in processing oats, wheat,         •	 Entered into a joint venture to build canola crushing facility in South China
custom coated grains and canola in North              •	 Third largest pasta manufacturer in North America through Dakota Pasta Co.
America. We have malt processing in Canada            •	 Manufacturers 2 million tonnes high quality feed in Canada and US annually
and Australia, and durum processing in the US.        •	 Viterra has the largest maltster in Australia, 63% of that country’s malt

With custom mills, Viterra provides animal              production supplying major breweries in Australia and Asia

feed products and nutrients to the dairy, beef,       •	 Viterra has 21% of North American oat milling capacity and 36% of the

poultry, hog and sheep industries.                      industrial ingredient supply market




Did you know….
  •	 Viterra processes 2 million lbs of oat meal and 1 million lbs of pasta a day – feeding 26 million people per day
  •	 Viterra has the largest expeller press crush plant in the world (press crush is a mechanical method for extracting oil from raw
    materials)
  •	 Viterra’s sourced and marketed grain is delivered to customers in more than 50 destination countries.



                                                                                                                          August 2010
Investor Fact Sheet
Stock Information – as of JULY 31, 2010                                                                     Investor Contact

Trading Symbols                                                                                             COLLEEN VANCHA
Canada:                                                              TSX: VT                                Senior Vice-President,
Australia CDIs:                                                    ASX: VTA                                 Investor Relations and Corporate Affairs
Shares Outstanding:                                                  371.6m*                                (306) 569-4859 colleen.vancha@viterra.ca
Year High/Low: VT                                             C$11.18 – $6.94
Enterprise Value:                                                $4,054.3m*                                 Senior Unsecured Notes
* Includes 25.5m CDIs that trade on the ASX

                                                                                                            C$300M – July 2014, 8.5%
Market Capitalization ($C):                                         $3,116.3m*                              C$200M – August 2017, 8.5%
*As of Sept 7, 2010
                                                                                                            US$400M – August 2020, 5.95%


Share Price Performance                                                                                     Debt Ratings

($)
          12                                                                                                                                                   Corporate                                Senior
                                                                                                                                                               Rating                                   Notes                                            Trend
          10
                                                                                                             S&P                                               BBB-                                      BBB-                                            stable
           8                                                                                                 DBRS                                              BBB(low)                                  BBB(low)                                        stable
                                                                                                             Moody’s                                           Ba1                                       Ba1                                             stable
           6

           4
                                                                                                            Analyst Coverage
           2
                                                                                                            •  BMO Nesbitt Burns                                                                   •  Northern Securities Inc.
           0                                                                                                •  Canaccord Genuity                                                                   •  PI Financial
            07



                           10



                                         01



                                                       04



                                                                      07
                                                                            09




                                                                                                            •  CIBC World Markets                                                                  •  RBC Capital Markets
               /3



                             /3



                                           /2



                                                         /3



                                                                          /3
                                                                               /0




                                                                                                            •  Credit Suisse                                                                       •  Scotia Capital
                1/



                               0/



                                             9/



                                                           0/



                                                                          0/
                                                                                8/
                  09



                                09



                                                 10



                                                             10



                                                                            10
                                                                                  10




                                                                                                            •  GMP Securities                                                                      •  TD Newcrest
                                                                                                            •  Macquarie Research                                                                  •  UBS Securities
          Average monthly trading volume (LTM) is 35.4m                                                     •  National Bank Financial                                                             •  Wellington West Capital Markets


                                                                                                                                                                                                                                          2010           2009      15      2010       2009    8      2010 2009


Results as of July 31, 2010
                                                                                                                                                                                                                                                                                              7

                                                                                                  Year-to-Date Operating Results                                                                                                                                   12

                                                                                                                                                                                                                                                                    9
                                                                                                                                                                                                                                                                                              6
                                                                                                                                                                                                                                                                                              5
                                                                                                                                                                                                                                                                                              4


Consolidated Earnings & Cash Flow
                                                                                                                                                                                                                                                                    6
                                                                                                            Grain                                                                                                                                                                             3
                                                                                                                                                                                                                                                                                              2
                                                                                                                                                                                                                                                                    3
                                                                                                                     2010       2009                   2010 2009      2010 2009 2009 8    2010 2009 300
                                                                                                                                                     2010 2009 8 15 20102010 2009 300 15 2010 2009 12.0                                                    2010 2009 6.2 300 N/A              1      284.1
                                                                                                                                            15                                                        8                                                  13.1                                                   193.7
($ millions - except per share amounts)                          2010          2009                                                                                          77                         7                                                           0                         0
                                                                                                                                                                           250 12                     250                                                                     250
                                                                                                                                            12                                       12
                                                                                                                                                  6                           6                         6
Sales                                                          6,329.3 5,212.2
                                                                                                                               9                  5 9          2010 2009 5 15 2010 2009 2008
                                                                                                                                                                           200
                                                                                                                                                                                9                       5                                                  2010 2009          200
                                                                                                                                                                                                                                                                               300
                                                                                                                                                                                                        2010                                                  2009            1500           2010       2009
                                                                                                                                                  4                        1504                         4
                                                                                                                                                                                                      1507                                                                    150
EBITDA                                                            379.6     283.5                                          2010 2009 15 2010 2009 8
                                                                                                                               6                  3 6
                                                                                                                                                                        2010 2009
                                                                                                                                                                              3 6
                                                                                                                                                                                 12      300
                                                                                                                                                                                                        36
                                                                                                                                                                                                                                                                               250
                                                                                                                                                                                                                                                                              100
                                                                                                                                                                7          100                        100                                                                     1200
                                                                                                                                                                                         250                                                                                   200
                                                                                                                                                  2                           2 9                       25
EBIT                                                              241.7     205.9
                                                                                                                 12.0 13.1
                                                                                                                               3          12

                                                                                                                                  6.212.0 N/A 1
                                                                                                                                                     3          6
                                                                                                                                                        284.1 12.0 N/A 1
                                                                                                                                                           6.2 5 193.7 13.1
                                                                                                                                                                           50
                                                                                                                                                                                3
                                                                                                                                                                                       6.2       N/A
                                                                                                                                                                                    284.1200 193.7
                                                                                                                                                                                                      501
                                                                                                                                                                                                         4                                                284.1      193.7
                                                                                                                                                                                                                                                                              50
                                                                                                                                                                                                                                                                               150
                                                                                                                                                                                                                                                                              900
                                                                                                                                             13.1
                                                                                                                                          9                                0 0 0 6
                                                                                                                               0                  0 0                                                 0 03                                                                    0
Net Earnings                                                       92.6      114.0                                                                              4                        150
                                                                                                                                                                                                         2
                                                                                                                                                                                                                                                                               100
                                                                                                                                                                                                                                                                              600
                                                                                                           NA Shipments                   6                     3
                                                                                                                                                                       Australian Receivals
                                                                                                                                                               12.0 13.1
                                                                                                                                                                                 3
                                                                                                                                                                                         100
                                                                                                                                                                                        6.2       N/A 1
                                                                                                                                                                                                                                          EBITDA ($ millions)
                                                                                                                                                                                                                                               284.1 193.7
                                                                                                                                                                                                                                                           50
Earnings Per Share                                                 0.25        0.48                       (millions of tonnes)
                                                                                                                    2010    2009        2010
                                                                                                                                          3
                                                                                                                                       1500        (millions1500 tonnes) 2009
                                                                                                                                                   2009
                                                                                                                                                2010            2 2010
                                                                                                                                                            2009of        150 2009
                                                                                                                                                                           2010 0
                                                                                                                                                                                         50 1500      2010
                                                                                                                                                                                                     150 0
                                                                                                                                                                                                      1,474.4
                                                                                                                                                                                                                                                                2009
                                                                                                                                                                                                                                                                 1,403.5
                                                                                                                                                                                                                                                                               300
                                                                                                                                                                                                                                                                             150
                                                                                                                                                                                                                                                                               0             123.8       124.6
                                                                                                                                       12.0            N/A 1
                                                                                                                                                    13.1               284.1 193.7
                                                                                                                                                                       6.2
Cash Flow from Operations1
                                                                                                                                                                                                                                                                               0
                                                                 273.2      238.6                                                                             0                             01200                               0 1200
                                                                                                            Agri-products ($ millions)                                                                              Processing ($ millions)
                                                                                                                                                           1200                                         120                                120                               120

                                                                                                                                                                                                 2010          2009     1500 2010 2009  150
Cash Flow Per Share1                                               0.74        1.01     2010      2009       15      2010          2009       8
                                                                                                                                                         900
                                                                                                                                                      2010 2009                   300
                                                                                                                                                                                             900        90                        900      90                                90
                                                                                                                                           2010          2009                    1500     2010           2009               150 1200            2010             2009          1000
                                                                                                                                                                                                                                                                              120            2010       2009
    1
        Funds from operations defined as cash flow prior to working capital changes.                                                          7            600                    250        600        60                     600         60                                60
                                                                                                             12
                                                                                                                                              6
                                                                                                                                                                                 1200
                                                                                                                                                                                  200                                       120 900                                            800
                                                                                                                                                                                                                                                                              90
                                                                                                                                              5            300                               300        30                     300         30                                30
                                                                                                              9
                                                                                                                      1,474.4             1,403.5          1,474.4      123.8
                                                                                                                                                                          1,403.5           1,474.4
                                                                                                                                                                                          124.6               1,403.5
                                                                                                                                                                                                            123.8               124.6          123.8            124.6
                                                                                                              Sales
                                                                                                                                             4                             150   900
                                                                                                                                                                                                                    Sales0600
                                                                                                                                                                                                                       90                                                      600
                                                                                                                                                                                                                                                                              60

Strong Metrics                                                                                                6                                            0                                 0          0                                  0                                 0
                                                                                                                                              3
                                                                                                                                                                                  100                                                                                          400
                                                                                                                                              2                                  600                                        60 300                                            30
                                                                                                              3                                                                  50          1,474.4           1,403.5                          123.8             124.6
                                                                                                                                   N/A        1   284.1 193.7 300
                                                                                        12.0       13.1               6.2                                                                                                                                                      200                              665.5
                                                               Target       July 31                                                                                                                                         30 0                 665.5                           665.5
                                                                                                                                                                                                            2009                                                              0
                                                                                                                       2010               2009         2010     2009                      20092010                          2009           802010               2009
                                                                                                              0                              0
                                                                                                                                          1,474.4     1,403.5 2010
                                                                                                                                                     1000        0                           1000
                                                                                                                                                                                           123.8          2010
                                                                                                                                                                                                        80124.6                1000          945.5                679.8      80              67.8            31.0
                                                                                                                                                                                 0                      70                  0              70                                700
Debt to Total Capital                                          30-40%          22.2%                                                                       800                               800
                                                                                                                                                                                                        60
                                                                                                                                                                                                                                  800
                                                                                                                                                                                                                                           60                                60                                     665.5
                                                                                          2010             2009             1500          2010             2009              150               2010 50 2009                        1000    50 2010              2009          80
                                                                                                                                                                                                                                                                             50
                                                                                                                                                           600                               600                                  600
Long-term Debt-to-Capital                                       < 3.0 x        11.0%                                        1200
                                                                                                                                           2010            2009
                                                                                                                                                           400
                                                                                                                                                                             1000
                                                                                                                                                                             120           2010
                                                                                                                                                                                             400
                                                                                                                                                                                                        40
                                                                                                                                                                                                         2009               80 400
                                                                                                                                                                                                                                800
                                                                                                                                                                                                                                           40                      665.5      70
                                                                                                                                                                                                                                                                             40
                                                                                                                                                                                                        30                                 30                                 60
                                                                                                                                                                                                                                                                             30
                                                                                                                                                                                                                            70
EBITDA/Cash Interest Expense                 2                                                                                                                                                          20                                 20                                 50
                                                                                                                                                                                                                                                                             20
                                                                > 5.0 x         3.6 x                       EBITDA
                                                                                                                      945.5
                                                                                                                            900
                                                                                                                                          679.8
                                                                                                                                                           200
                                                                                                                                                           945.5        67.8
                                                                                                                                                                              800
                                                                                                                                                                             90              200
                                                                                                                                                                                             945.5
                                                                                                                                                                                           31.0
                                                                                                                                                                                                               EBITDA
                                                                                                                                                                                                              679.8
                                                                                                                                                                                                        10 67.8
                                                                                                                                                                                                                            60
                                                                                                                                                                                                                                600
                                                                                                                                                                                                                               200
                                                                                                                                                                                                                                          1067.8                  31.0        40
                                                                                                                                                                                                                                                                             10
                                                                                                                                                                           679.8
                                                                                                                                                                              600                                           5031.0
                                                                                                                            600                            0                 60              0          0                      0400        0                                 030
Net Debt                                                                  $892.0m                                                                                             400
                                                                                                                                                                                                                            40
                                                                                                                                                                                                                                                                              20
                                                                                                                            300                                              30                                             30 200
                                                                                                                                                                                             945.5              679.8                           67.8              31.0        10
2
    Trailing twelve month period ending July 31, 2010.                                   1,474.4           1,403.5                         123.8               124.6                                                        20
                                                                                                                                                                              200                                                  0                                          0
                                                                                                                            0                                                0                                              10
                                                                                                                                          945.5                679.8                       67.8              31.0
                                                                                                                                                                                 0                                          0

                                                                                                                                                                                                                    665.5
                                                                                           2010            2009             1000           2010            2009              80

				
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