Annual results 2011 14 March 2012

2011 a good year

A record milk price: 38.77 euro per 100 kilos of milk +13%

Economic conditions in Europe led to increasing pressure on volumes and disappointing results

Higher milk prices and prices other raw materials almost fully passed on to the market

Good results Ingredients and Consumer Products International

Robust growth in infant & toddler nutrition

Net revenue

+7.2%

Operating profit influenced by:

• Costs

• Investments in the organisation

for realisation route2020

• Economic developments in Europe

• Negative currency translation

• Volume mix • Sales • Milk • Other raw materials • Depreciations

2011 a good year

Profit influenced by:

• Incidental higher tax liabilities (Hungary, Germany)

• Amendment reservation policy

2011 a good year

Due to a broad product portfolio and geographical spread of activities FrieslandCampina is capable of offsetting disappointing results in certain markets

2010

2011 2010 Variance

Revenue 9,626 8,972 +7.2%

Operating profit 403 434 -7.1%

Profit 216 285 -24.2%

Profit before amended reservation policy 248 285 -13.0%

Net cash from operating activities 508 444 +14.4%

Results in millions of euros

2011 2010 Variance

Balance sheet total 5,739 5,299 +8.3%

Equity 2,264 2,071 +9.3%

Net debt 699 776 -9.9%

Solvency % 39.4 39.1

Balance sheet in millions of euros

Key figures

Key figures

2010

2011 2010 Variance

Guaranteed price 36.94 32.39 +14%

Performance premium 1.10 1.23 -11%

Registered reserve member bonds 0.73 0.73

Milk price 38.77 34.35 +13%

Value creation for member dairy farmers in euros per 100 kilos

Key figures

2010

2011 2010 Variance

Employees (average number of FTEs) 19.036 19.484 -2.3%

Number of member dairy farms at year end 14.391 14.829 -2.9%

Number of members at year end 19.848 20.375 -2.6%

Total milk processed (in millions of kilos) 10.140 10.266 -1.2%

Milk supplied by members (in millions of kilos) 8.838 8.821 +0.2%

Additional information

Results per Business Group

Consumer Products Europe

Consumer Products

International

Cheese, Butter & Milkpowder

Ingredients

*

Consumer Products Europe

2011 2010

Revenue 3,395 3,269

Operating profit 55 126

Operating profit as % of revenue

1.6 3.9

• Revenue growth through higher selling prices • Disappointing profit due to declining consumer confidence and

disappointing results in Germany and Hungary • Market share of most dairy brands maintained

Sooo delicious

In Campina you can taste the best from the land. Joep agrees. He has been helping around the farm for many years. He doesn’t do it just to help his father, he also does it for himself because he finds Campina custard sooo delicious.

*

Consumer Products International

2011 2010

Revenue 2,460 2,277

Operating profit 353 356

Operating profit as % of revenue

14.3 15.6

• Revenue up due to increased volume and price increases • Higher costs of raw materials offset • Market position of Friso infant & toddler nutrition strengthened

Made-to-measure solutions

FrieslandCampina WAMCO in Nigeria developed a special, small sachet packaging for Peak evaporated milk. The sachets enable mothers to buy the milk in small doses.

*

Cheese, Butter & Milkpowder

2011 2010

Revenue 2,822 2,641

Operating profit -97 -92

Operating profit as % of revenue

-3.4 -3.5

• Revenue growth due to higher selling prices • Margin improvement of foil cheese • Pressure on brands due to economic developments in Europe • Investments in efficiency improvements

At home in every country

However tastes, traditions and habits may differ around the world, in many countries family and friends gather together around the table to share a meal. People from the Netherlands to Japan and from Australia to Mexico enjoy Frico cheese, including this Egyptian family.

*

* *

Ingredients

2011 2010

Revenue 1,930 1,669

Operating profit 189 128

Operating profit as % of revenue

9.8 7.7

• Good profits in all operating companies • High demand dairy ingredients, especially from Asia and US • Kievit’s margins under pressure due to higher raw materials costs • Capacity expansion of infant & toddler nutrition in full swing • Acquisition Brahmar Cellulose in India by DMV-Fronterra Excipients

Added value

The Ingredients business group adds value with nutritious ingredients to products of B2B partners, in the infant & toddler nutrition sector, the food industry, the pharmaceutical undustry and the young-animal feed industry.

Revenue by business group and sales market

2,435 25%

1,317 14%

2,555 27%

1,996 21%

999 10%

324 3%

Africa and the Middle East The

Nederlands

Asia and Australia

Rest of Europa

Germany

North and South

America

2011, in millions of euros

9,626

3,395 32%

2,460 23%

2,822 27%

1,930 18%

Ingredients

Consumer Products Europe

Cheese, Butter &

Milkpowder Consumer Products

International

9,626

Cows in the meadow

FrieslandCampina has taken the initiative to stimulate cows being put out in the meadow by making a sum of up to 45 million euro per annum available in order to contribute towards keeping cows in the Dutch landscape.

Income statement

2011 2010

Revenue 9,626 8,972 7.2%

Other operating income 20 20 Operating income 9,646 8,992

Total expenses -9,243 -8,558 8.0%

Operating profit 403 434 -7.1%

Share of profit of joint ventures and associates

13 13

Finance income and costs -72 -69 Profit before tax 344 378 Income tax expense -128 -93 Profit for the year 216 285 -24.2%

in millions of euros

Operating profit influenced by: • Increased milk and other raw material costs, almost fully

passed on in sales prices • Investments in the organization for realization route2020 • Occasional higher tax burden in Hungary and Germany • Change reserve policy and milk pricing system

Profit development

Condensed balance sheet

2011 2010

Non-current assets 3,091 2,865

Current assets 2,648 2,434

Total assets 5,739 5,299

Equity 2,264 2,071

Liabilities 3,475 3,228

Total equity and liabilities 5,739 5,299

in millions of euros

39.4% 39.1%

Development ratios

2011 2010

Interest coverage ratio 7.9 9.3

Senior Net debt / EBITDA 0.6 0.6

Solvency 39.4% 39.1%

> 3.5

< 3.5

criteria banks

Cash flow

2011 2010

Profit before tax 344 378 Depreciation and amortisation 187 231 Addition member bonds 65 65 Movement working capital 1 -182 Income tax paid -94 -91 Movements provisions & other 5 43 Net cash from operating activities 508 444 Net cash used in investing activities -340 -239 Net cash used in financing activities -42 -198 Net cash flow 126 7

in millions of euros

in euros per 100 kilos 2008 60-40

2009 60-40

2010 60-40

2011 50-50

2011 60-40

Guaranteed price 35.89 26.40 32.39 36.94

Adjustment guaranteed price

0.06

Addition member bonds 0.29 0.35 0.73 0.73 0.55

Performance premium 0.48 0.59 1.23 1.10 0.91

Milk price 36.66 27.34 34.35 38.77

36.66

27.34

34.3538.77

2008 2009 2010 2011

Milk price development

Enjoying together

Hundreds of millions of people around the world use FrieslandCampina’s products on a daily basis. Every day growing children, teenagers and adults in Malaysia, Singapore and Vietnam enjoy a wide range of dairy products from the Dutch Lady range.

Aspiration

Value drivers

Benefit platforms

Capabilities

Foundation

Goodness of dairy

Chain advantages

Sustainability

The way we work & safety

To bring the essential nutrients of natural dairy to people worldwide

To be the most attractive dairy company for member farmers

Dairy-based beverages

Infant & toddler nutrition (B2B, B2C)

Branded cheese

Strongholds & geographic expansion

Foodservice in Europe

Basic products

Growth & development

Daily nutrition

Health & wellness

Functionality

Talent management

Milk valorisation

Innovation

Business model & cost focus

Strategy route2020: Growth & value creation

‘Global category teams for dairy-based beverages, infant & toddler nutrition and branded cheese focus on accelerating growth and innovation

Acquisition of: Alaska Milk Corporation, Imlek and Subotica to strengthen FrieslandCampina’s position

‘One face to the customer’ for business-to-business keyaccounts

Revamped sustainability programme formulated for the Company and the Cooperative as an important cornerstone of route2020

FrieslandCampina encourages cows being put in the meadow with a financial stimulus for dairy farmers of up to 45 million euro a year

Achievement of route2020 on schedule

Long-term investment plans: heavy investment in the expansion of milk processing capacity in preparation for the ending of milk quota in 2015

130 million euro invested in capacity expansion for infant & toddler nutrition in 2010-2012

Growth in infant & toddler nutrition in both business-to-business and business-to-consumer

Steps in CSR

Sustainable palm oil, soy, cocoa and FSC certified packaging material

Cooperation with Unilever,

Essent in building and others for a sustainable dairy chain

5-year partnership with the Netherlands Red Cross

Dairy Development: supporting 40.000 small farmers

Launch Foqus Planet for sustainable dairy farming

ISO 26000 guideline for CSR implemented

Outlook

• Dynamic market and market surroundings

• Consumers in Europe remain cautious in their spendings

• Light increase of the demand for dairy globally (Asia)

• Balance in supply and demand?

• No definite statement on results 2012

Naturally healthy and delicious

in Hungary and Romania Milli dairy products, including a range containing special ingredients, such as omega-3-fatty acids and probiotics, offer products that fit in a healthy lifestyle.

Production facilities in six countries

14 production companies

Profitability of approx. € 100 million

650 million litres of raw milk annually

Approx. 3,900 employees

Slovenia

Croatia

Serbia

Montenegro

Albania

Macedonia

Romania

Bulgaria

Moldova

Greece

Turkey

Hungary

Bosnia and

Herzegovina

FrieslandCampina

Imlek

FrieslandCampina production company

FrieslandCampina central office

Imlek production company

Imlek head office

Kosovo

Imlek new production Subotica production / head office

76 million consumers

Net sales of about € 850 million

Valorisation potential 80 - 200 million kg milk

Strengthening position South East Europe

South East Europe is an attractive market

Size • Two independently operating dairy businesses • Regional spread (Imlek operates in five South East European countries

under various brand names) • Approximately 1,470 employees • Seven production plants (including one under construction)

Financial • Revenue of approximately € 270 million • Robust and profitable (EBIT margin >10%) • Growth potential

Market • Strong market positions • Access to 25 million consumers • Familiar brands with good reputation

5+ Ella AB Subotičko Merk Subotičko 5+ Ella VitaMilk

IMLEK FRESH MILK / UHT IMLEK FERMENTED PRODUCTS

Merk Moja Kravica Bello

MK Choco/

Max

Moja Kravica

Vitalia Bitolsko

Moja Kravica Balans+ Viva Fit Jogood Vitalia

Croatia

Bosnia and

Herzegovina

Serbia

Montenegro

Macedonia

Plant In construction

Imlek and Subotica: strong on the Balkans

Subotica

SUBOTICA MILK PRODUCTS SUBOTICA FERMENTED PRODUCTS

34

Acquisition contributes to growth in South East Asia

• Indonesia • Malaysia • Singapore • Hong Kong • Thailand • Vietnam

Nearby: • China • India

A market of 100 million consumers

Alaska Milk Corporation: 2nd dairy company in the country

• Approximately € 200 million in revenues

• Autonomous growth of 9%, between 1999-2010

• Average double digit EBIT margins since 2001

• Brands rank 1st and 2nd • 2nd dairy company in the country • Employees about 1.000 • One factory

AMC 85%

Others

16%

Source : Nielsen Retail Index

AMC 68%

Others 32%

APMD 21%

Others

79%

Evaporated milk Sweetened condensed milk

Powder Milk

Market positions Alaska in 2011

Brands of Alaska Milk Corporation

6,307 revenue

(in millions of euros)

12,662 employees 71

locations

Europe

The Netherlands Germany Belgium Hungary Romania Bosnia-

Herzegovina Serbia Montenegro Macedonia Greece Russia United Kingdom France Spain Italy Austria

Africa and The Middle East Ghana Nigeria Saudi Arabia United Arab Emirates

Asia and Australia China Hong Kong Indonesia Singapore Malaysia Thailand The Philippines Vietnam India

North and South America United States of America

1,996 revenue (in millions

of euros)

5,202 employees

23 locations

999 revenue (in millions

of euros)

1,032 employees

4 locations

324 revenue (in millions

of euros)

140 employees

5 locations

After acquisitions: offices in 30 countries, 116 locations, turnover around 10 billion euro

1.000 days after the merger

Net revenue from 8.2 to 9.6 billion euro

More value added products

Acquistion 4 companies, from 25 to 30 countries

Investing in professionalism & talent

Solid foundation: solvency 39.4%

Nr. 2 milk price over last 3 years

Annual results 2011 14 March 2012