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 Exhibit 1 Natureview Farm Income Statement, 1999

Revenuesa $13,000,000 100% Revenues

Cost of Goods Soldb $8,190,000 63%
Gross Profit $4,810,000 37%
Expenses
Administration/Freight $2,210,000 17%
Sales $1,560,000 12%
Marketing $390,000 3%
Research & Development $390,000 3%
Net Income $260,000 2%
 Exhibit 2 Yogurt Market Share by Packaging Segment, 1999 (Supermarket channel, in % U.S. dollars)

Dollar Share Dollar Sales Change vs. Prior Year

8-oz. cups and smaller 74% 3%
Children’s multipacks 9% 12.50%
32-oz. cups 8% 2%
Other 9% NC
100%

Yogurt Market Share by Region, 1999 (Supermarket channel, in % U.S. dollars)

Dollar Share No. of Retailers in the Region

in the Region
Northeast 26% 25
Midwest 22% 30
Southeast 25% 33
West 27% 17
100%
Exhibit 3 Yogurt Production Costs and Retail Prices by Channel

Natural Foods Channel Average Retail Price

8-ounce (oz.) cup $0.88
32-oz. cup $3.19
4- oz. cup multipack $3.35

Supermarket Channel Average Retail Price

8-oz. cup $0.74
32-oz. cup $2.70
4-oz. cup multipack $2.85

Manufacturing costs Product

8 oz $0.31
32 oz $0.99
Multipack $1.15

formula to determine retail margin: (sales price -cost)/sale price

 Exhibit 5 Yogurt Market Share by Brand, 1999

Supermarket Channel
Dannon 33%
Yoplait 24%
Others 23%
Private Label 15%
Columbo 5%
100%

Natural Foods Channel

Natureview Farm 24%
Brown Cow 15%
Horizon Organic 19%
White Wave 7%
Others 35%
100%
Exhibit 6 Sales Projections for Natureview's Strategic Options

Option Action Anticipated Incremental Retail Unit Sales

1 Expand 6 SKUs of the 8-oz. size into eastern and western supermarket regions 35,000,000
2 Expand 4 SKUs of the 32-oz. size nationally into supermarket channel 5,500,000
3 Introduce 2 children’s multipacks into natural foods channel 1,800,000
Unit Sales
Exhibit TN-2: Margin Chain for Manufacturere Selling Price (Natureview Yogurt)

Supermarket Channel 8oz 32 oz

Retail Price $0.74 $2.70

Retail Margin 27.0% 27%
Retail Purchase Price (RPP) $0.54 $1.97
Distributor Margin 15.0% 15.0%
Distributor Purchase Price (DPP) $0.46 $1.68
Manufacturer Sales Price (MSP) 0.459 1.675
Cost Per Unit 0.31 0.99
Margin per Unit Sold 0.149 0.685
Manufacturer Gross Margin 307.82% 244.45%

Natural Foods Channel 8oz 32oz

Retail Price $0.88 $3.19

Retail Margin 35.0% 35.0%
Retail Purchase Price (RPP) $0.57 $2.07
Natural Foods Distributor Margin 9% 9%
Natural Foods Distributor Purchase Price $0.52 $1.89
Wholesaler Margin 7.0% 7.0%
Wholesaler Purchase Price (WPP) $0.48 $1.75
Manufacturer Sales Price (MSP) 0.484 1.755
Cost Per Unit $0.31 $0.99
Contribution per Unit Sold 0.174 0.765
Manufacturer Gross Margin 278.08% 229.45%

Manufacturer Cost = MSP * (1 - % Manufacturer Gross Margin)

MSP = RPP * (1 - % Distributor Margin) in Supermarket Channel
MSP = DPP * (1 - % Wholesaler Margin) in Nautral Foods Channel
Wholesaler Selling Price = RPP * (1 - % Distributer Margin) in Natural Foods Channel
Distributor Selling Price = RSP * (1 - % Retail Margin)
ew Yogurt) Note: $ Figures rounded to 2 decimal places and % to one,
except as noted below
Input Data Source

Exhibit 3
Text - Supermarkets

Text - Supermarkets

(Rounded to 3 decimal places)

Exhibit 3
Price - variable costs (Rounded to 3 decimal places)
(Rounded to 2 decimal places)

Multipack

$3.35 Exhibit 3
35.0% Text - Nat Foods
$2.18
9.0% Text - Nat Foods
$1.98
7.0% Text - Nat Foods
$1.843
1.843 (Rounded to 3 decimal places)
$1.15 Exhibit 3
0.693 (Rounded to 3 decimal places)
265.988699 (Rounded to 2 decimal places)

hannel
Exhibit TN-3 Market Share Analysis of Yogurt Market

Market Dollar Size % TotalAnnual Input Data Source

Growth Rate
Total Refrigerated Yogurt Ma $ 1,800,000,000 100% 3.5 Text - Yogurt Category
Supermarket Channel 1,746,000,000 97% 3.0% Text - Yogurt Category
Natural Foods Channel $ 54,000,000 3% 20.0% Text - Yogurt Category

Total Refrigerated Yogurt Ma $ 1,800,000,000 100% 3.5% Text - Yogurt Category

6 oz. & 8 oz. 1,332,000,000 74% 3.0% Ex 2A
32 oz. 144,000,000 8% 2.0% Ex 2A
Children's Multipack 162,000,000 9% 12.5% Ex 2A
All Other $ 162,000,000 9% NC Ex 2A

Total Refrigerated Yogurt Ma $ 1,800,000,000 100% Text - Yogurt Category

Northeast 468,000,000 26% Ex 2B
Midwest 396,000,000 22% Ex 2B
Southeast 450,000,000 25% Ex 2B
West $ 486,000,000 27% Ex 2B
Exhibit TN-4 Evaluation of Growth Options

Option 1 (8-oz.) 6 SKU to Supermarket

20 Supermarket Chains
2 Regions
Ad Plan $1,200,000 per region per annum
Sales 35,000,000 units per annum
Slotting fees $10,000 per Chain per SKU
Gross/Operating Profit ###
Less Ad Costs ### 2 Regions
Less Incremental SGA ($320,000) $200K sales + $120K mkt
Less Slotting Fees ### 20 Chains, 6 SKU per Chain
Trade Promotion Expense ($870,000)
Less Broker's Commission ($642,838) 4% of sales
Net Profit ($211,888)

Sales Growth ###

Option 2 (32-oz.) 4 SKU to Supermarket

64 Supermarket Chains
4 Regions
Ad Plan $120,000 per region per annum
Sales 5,500,000 units per annum
Slotting fees $10,000 per Chain per SKU
Gross/Operating Profit ###
Less Ad Costs ($480,000) 4 Regions
Less Incremental SGA ($160,000) Half of Option One
Less Slotting Fees ### 64 Chains 4 SKU
Trade Promotion Expense ### 64 Chains 2x per annum
Less Broker's Commission ($368,577) 4% of sales
Net Profit ($823,152)

Sales Growth ###

Option 3 (Multipack) 2
Ad Plan $250,000
Sales 1,800,000 units per annum
Free Cases (slotting) fee ($82,927)
Gross/Operating Profit ###
Less Ad Costs ($250,000)
Less Free Cases ($82,927)
Less Broker's Commission ($132,683) 4% of sales
Net Profit $781,463

Sales Growth Year 1 ###

Reference

text, Option 1
text, Option 1
text, Supermarket
formula = units sold * $ contribution per unit

text, Option 1

11 supermarkets in NE, 9 in West, 4 times annually

formula = MSP * units sold * 4%

Market Share sales growth = MSP * units sold

1.5% of supermarket yogurt sales (last year)
2.0% supermarket yogurt 6-8-oz sales (last year)

text, Option 2
text, Option 2
text, Supermarket
formula = units sold * $ contribution per unit

text, Option 2

text, Option 2, Supermarkets

formula = MSP * units sold * 4%

Market Share sales growth = MSP * units sold

10.3% of 32-oz yogurt sales nationally (last year)

text, Option 3
text, Option 3
2.5% of Manufacturer Sales (net of broker fees)

formula = 1.8m units sold * MSP * 2.5%

formula = MSP * units sold * 4%

Market Share sales growth = MSP * units sold

11.2% of natural foods channel (last year)
Channel Margins Tool

Costs and Margins Based on Manufacturer Pr

Channels Unit Cos% Margin Selling Pric $ Margin% Markup

Manufacturer $1.00 40% $1.67 $0.67 67%
Wholesaler $1.67 20% $2.08 $0.42 25%
Distributor $2.08 15% $2.45 $0.37 18%
Retailer $2.45 20% $3.06 $0.61 25%
Customer $3.06

To See Marginal Effects for Unit Cost, Adjust Manufacturer Price by Desired Amount
To See Marginal Effects for % Margin, Adjust % Margin by Desired Amount--
A .01 Increase (Decrease) Equals a 1% Increase (Decrease(

Costs and Margins Based on Customer Price

Channels Unit Cos% Margin Selling Pric $ Margin% Markup

Manufacturer $0.12 40% $0.20 $0.08 67%
Wholesaler $0.20 20% $0.25 $0.05 25%
Distributor $0.25 18% $0.31 $0.06 22%
Retailer $0.31 58% $0.74 $0.43 138%
Customer $0.74

Unit
To See Marginal Effects for % Cost, Adjust Customer
Margin, Price
% Margin for by the Desired A
a Channel
Participant by the Desired Amount--A .01 Increase (Decrease) Equals a 1%
Increase (Decrease(
mount