Message from Management food surroundings. Sapporo Group Net Sales (Billions of Yen) Sapporo Group New Management Framework Date of Establishment:

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Transcription:

GROUP PROFILE

Message from Management Our goal is to create value in food, and offer proposals for a rich and enjoyable life. The year 2016 marks our 140th anniversary. We have formulated the Sapporo Group s New Management Framework with this commemorative year set as the goal, identifying two business domains: to create value in food and to create comfortable surroundings. Thus we are continuing on a steady path in further enhancing our corporate value. In addition to the alcoholic beverages segment centered around beer, wine, and shochu (Japanese distilled spirits), and the real estate segment including management of Yebisu Garden Place, we are reinforcing our business not related to alcoholic beverages, inclnding our food business, as an additional main revenue source, offering proposals on food and surroundings to customers in all stages of life, regardless of their country, region, or age group. In order to realize this vision, we began discussions with the Pokka Group in February 2011 to move toward management integration. As the best partner to maximize synergistic effects in the beverages, food, and restaurants segment, we are aiming to form a new group committed to the creation of value in food. As for our situation overseas, the construction of a new brewery in Vietnam is scheduled for completion in the fall of 2011. This is part of efforts to expand our business in the growing Asian market in addition to the North American market, where we already continue to lead as the top Asian brand. Going forward, we will leverage the advantage of having our own brewery in North America and Asia to further accelerate global expansion of the SAPPORO brand. At the same time, we will also focus on developing human capital to undertake future business, while putting into practice our corporate DNA, which has placed particular focus on quality since the founding of the company. The Sapporo Group will continue to constantly and consistently contribute to the interests of all our stakeholders, by steadily implementing plans based on the New Management Framework. I would like to take this opportunity to thank you and we look forward to your continued support. Takao Murakami Chairman and Representative Director Tsutomu Kamijo President and Representative Director, Group CEO

Sapporo Group will establish new growth paths in the two business domains of food and surroundings. Creation of value in food involves a wide variety of food business under the theme safety, security, and health. Creation of comfortable surroundings means to provide comfort in restaurants, commercial facilities, and office buildings. Leveraging the strengths of the business lineup that offer both food and surroundings, the Sapporo Group will continue to deliver new value to customers. Sapporo Group New Management Framework Management Philosophy To make people s lives richer and more enjoyable. Fundamental Management Policy The Sapporo Group strives to maintain integrity in corporate conduct that reinforces stakeholder trust, and aims to achieve continuous growth in corporate value. Alcoholic Beverages (Japan) A complete range of wines, liquors and Japanese shochu in addition to the beer range. Creating Value in Food Alcoholic Beverages (International) Alcoholic beverages business overseas centered on North America and Asia. Soft Drinks and Foods Offers soft drinks and foods with unforgettable flavors and which add to everyday life. Restaurants As a pioneer in the restaurant industry, manages a range of restaurants and drinking venues including the Ginza Lion beer hall chain. Creating Comfortable Surroundings Real Estate Leasing, administration and development services for real estate, including Yebisu Garden Place. Sapporo Group Code of Business Conduct Every employee will conduct appropriately and realize Sapporo s management philosophy. The Code of Business Conduct provides a set of basic guidelines for each employee to follow in their daily activities to realize Sapporo s management philosophy, which aims to enhance the Group s corporate value by encouraging actions based on solid corporate ethics. Sapporo Group CSR Policy Through corporate activities always aimed at serving our customers, we will forever strive to be a group trusted by society. TOPIC Management integration with POKKA CORPORATION opens up possibilities for a wide range of new business associated with food In February 2011, Sapporo Holdings Limited and Pokka Corporation announced they had begun talks to merge their businesses to further enhance the corporate values of the two companies. A committee targeting the start of the new food value creation group was set up in April 2012 and discussions are now underway. Pokka is a unique brand in the soft drinks, foods and restaurants business. The two companies are expected to complement each other in both products and businesses to engage in a wide range of foods business. Overseas, bringing together the sales channels and brand power of the two companies will open the door to broader markets. The integration of Sapporo and Pokka offers the potential of further enriching the possibilities of food.

Alcoholic Beverages (Japan) Going beyond achieving customer satisfaction to bring the greatest excitement and joy in all categories The mother of the Group s businesses adding delight to the toast In 1876, the predecessor of Sapporo Breweries, Kaitakushi Brewery, was founded in the open lands of Hokkaido. Since then, the Japanese alcoholic beverages business has been growing steadily as the mother business of the Group, loved by many customers. Today, with the cornerstone products of Sapporo Draft Beer Black Label, Yebisu, and Mugi to Hop at the base, we are enhancing our competitive edge and presence in the beer market and in the new product genres market, while working to win the support of more customers and expand sales. Wide-ranging product lineup represents a strategic step for new growth Going beyond customer satisfaction to bring the greatest excitement and joy to the customers under the slogan Excitement and joy through rich flavor! Under this vision, the Japanese alcoholic beverages business aims to expand to categories other than beer, including wine, liquor, Japanese shochu, and ready-to-drink (RTD) beverages. Non-alcoholic beverages including Premium Alcohol-Free and low-alcoholic beverages including Nectar Sour and Ginger Highball represent a strategic step toward achieving new growth, with their extraordinary features leveraging on Sapporo s strengths. The vast range of products for all occasions will continue to bring excitement and joy to the customers.

Alcoholic Beverages (International) Building a global SAPPORO brand Business expansion with priority on North America and Asia The international alcoholic beverages business places North America and Asia at the center of its move to strengthen and expand the SAPPORO brand. In North America, where Sapporo continues to be the top Asian beer brand, a solid presence has been established in the beer market with the American subsidiary Sapporo U.S.A., Inc. and Canada s third-largest beer producer Sleeman Breweries Ltd. In Asia, Sapporo has teamed up with Maeil Dairy Co. Ltd. to start beer sales in South Korea. Furthermore, in Vietnam, which is developing rapidly, construction of a new brewery is scheduled for completion in the fall of 2011 opening the way for full-scale entry into the Vietnamese market, as part of efforts to promote the SAPPORO brand in developing markets. Transforming the international alcoholic beverages business into an international business Sapporo is working to transform its international alcoholic beverages business based on alcoholic beverages into an international business, expanding its scope to include products other than alcoholic beverages such as soft drinks and food products. Management integration with Pokka, which has a strong presence in Singapore and other parts of Asia, will also expand the possibilities for this transformation.

Soft Drinks and Foods Offering products with unforgettable flavors and supporting a fun, healthy diet Strengthening the brand with a lineup of unique products Under our corporate vision, For everyone s smile, we will provide unforgettable taste with infinite passion, the Soft Drinks business develops products with care so that the customers return to the product again and again, and a good example of this is the Ribbon series, a brand that has become a household name, and the sparkling mineral water GEROLSTEINER. The Foods business offers snack products including Potekaru that support a rich, fun, and healthy life, under the slogan For a new, fun, natural diet. Sapporo will accelerate its growth in the non-alcoholic beverages and foods business through its partnership with Pokka. Restaurants Business formats developed through experience as the pioneer in the restaurant industry bring together great food and great surroundings Reinvigorating existing restaurants and promoting a novel format with YEBISU BAR Since opening the first beer hall in Japan in Ginza, Tokyo in 1899, we have continued to develop and deliver menus based on safety, security, and authenticity in addition to serving our great-tasting draft beer. This has become a segment where the two business domains of food and surroundings converge to produce a synergistic effect. We will reinvigorate the existing restaurants while promoting new restaurant formats, including YEBISU BAR. With the addition of Pokka Group s café restaurant Café de Crié, we will further promote the convergence of food and surroundings.

Real Estate Creation of comfortable surroundings brings new energy to the city Enhancing the values of our assets by offering additional appeal and energy to the city Yebisu Garden Place and Sapporo Factory are large-scale complexes managed by our real estate business. They offer pleasant multi-purpose spaces where wide open areas and a variety of shops and restaurants are situated in harmony. In addition to these facilities for entertainment, the real estate business also works to enhance the values of office buildings and other high-value properties, contributing to the appeal of the city while maintaining stable revenue. As the place name of Ebisu was named after the YEBISU brewery, we will continue to build facilities and spaces that serve as landmarks of the local area. List of Group Companies of SAPPORO HOLDINGS Alcoholic Beverages (Japan) Alcoholic Beverages (International) Soft Drinks and Foods Sapporo Breweries Limited, Sapporo Wines Limited, Yebisu Winemart Co., Ltd., Sapporo Logistics Systems Co., Ltd., Tanoshimaru Shuzo Co., Ltd., Sapporo Engineering Limited, Starnet Co., Ltd., New Sanko Inc. Sapporo International Inc., Sapporo U.S.A. Inc., Sapporo Canada Inc., Sleeman Breweries Ltd., Sapporo Asia Private Limited, Sapporo Vietnam Limited Sapporo Beverage Co., Ltd., Stella Beverage Service Co., Ltd., Star Beverage Service Co., Ltd. Pokka Group Pokka Corporation, Sun Pokka Co., Ltd., Pokka Create Co., Ltd., and 22 other companies Restaurants Sapporo Lion Limited Real Estate Other Businesses Yebisu Garden Place Co., Ltd., YGP Real Estate Co., Ltd., Sapporo Urban Development Co., Ltd., Tokyo Energy Service Co., Ltd., Sapporo Sports Plaza Co., Ltd., Yokohama Keiwa Building Co., Ltd. Sapporo Foods Net Co., Ltd., Sapporo Fine Foods Co., Ltd., Sapporo Group Management Co., Ltd.

Corporate Information Sapporo Group Net Sales (Billions of Yen) Date of Establishment: September 1, 1949 0 100 200 300 2008 414.5 400 500 Founded in: 1876 2009 387.5 2010 (FY) 389.2 Head Office: 20-1, Ebisu 4-chome, Shibuya-ku, Tokyo 150-8522, Japan Company Representative: President and Representative Director, Group CEO Tsutomu Kamijo Sapporo Group Ordinary Income (Billions of Yen) 0 2.5 5.0 7.5 10 12.5 15 Business Description: Holding company (Development and management of Group management strategy) 2008 10.5 2009 10.7 Capital: 53,886 million 2010 (FY) 14.3 Number of Shares Issued: 393,971 thousand Sales by Segment (Fiscal 2010) 8.8% 6.5% 6.1% 7.0% Net Sales 389.2 71.6% Japanese alcoholic beverages International alcoholic beverages Soft Drinks and Foods Restaurants Real Estate 278.8 25.3 34.4 27.0 23.5 (Figures rounded to the nearest 0.1 ) SAPPORO HOLDINGS Website Offers the latest information on Sapporo Holdings and the Sapporo Group. http://www.sapporoholdings.jp Sapporo Holdings Search The Sapporo Holdings website offers the latest information and news releases from the various business segments, as well as IR information for our shareholders and investors and CSR reports on the Group s environmental protection and social activities. This also serves as the portal site to access the Sapporo Group company websites. Visit this page to access the latest information on the Sapporo Group. 20-1, Ebisu 4-chome, Shibuya-ku, Tokyo 150-8522, Japan