May 2017

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2

3

Q1’17 consolidatedresults

resultsBy format

Recent events

13

Q1’17Consolidatedresults

Highlights Revenues

High single digit growth in Revenues and +13.7%growth in Net Income, in the context of postponedmacro recovery and weather conditions

• Revenues: +8.4% vs Q1’16

• Adj. EBITDA: +4.8% vs Q1’16

• Net Income: +13.7% vs Q1’16

Adj. EBITDA Net Income

4

7,4227,2736,798

1,9131,765

Q1’17Q1’16

+7.0%

+8.4%

LTM Q1’1720162015

Margin 10.2% 9.8% 10.7% Margin 3.6% 3.8% 2.1%

802793724

188180

+4.8%

2016 LTM Q1’17

+9.5%

Q1’16 2015Q1’17

277268

144

7364

LTM Q1’172016Q1’16

+85.5%

+13.7%

2015Q1’17

3.7%10.9%

Gross

Margin30.0% 29.7% 30.2% 31.0%

Q1’17 consolidated financial resultsMillion Soles (S/ mm)

30.9%

10.8% 3.7%

+7.0%

6,999

62%

38%

8.8%

2016

6,853

62%

38%

Q1’17

1,811

64%

36%

Q1’16

1,665

62%

38%

LTM Q1’17

6,406

64%

36%

2015

Margin: 7.1% 6.7% 7.2% 7.5%

Net Rental Margin:

82.1% 79.3% 82.8% 82.1%

Pharmacies

Supermarkets

Revenues Adj. EBITDA

5

LTM Q1’17

518

54%

46%

+12.1%

3.1%

2016

515

459

56%

44%

Q1’17

122

58%

42%

Q1’16

118

54%

46%

47%

2015

53%

462458435

112108

+5.2%

3.6%

20162015Q1’17Q1’16 LTM Q1’17

287286272

6767

+5.3%

0.8%

20162015Q1’17Q1’16 LTM Q1’17

Revenue and ebitda breakdownMillion Soles (S/ mm)

Gross Margin:

27.9% 27.8% 28.0% 28.8%

Gross Margin:

68.5% 65.5% 69.1% 68.8%

28.8%

68.0%

7.4%

81.4%

Net Income

277268

144

7364

+85.5%

+13.7%

20162015Q1’17Q1’16 LTM Q1’17

Net Margin 3.6% 3.8%

Net Margin 3.0% 3.1%

2.1%

3.5%

3.7%

3.5%

258252240

5953

Q1’16

+5.2%

+10.7%

20162015Q1’17 LTM Q1’17

6

Net Income Breakdown

73

964

Higher Mark to Market

2

Lower Financial Expenses

2

EBITDA Growth

Net Income Q1’16

Net Income Q1’17

Other

-6

FX Gain

2

Consolidated net incomeMillion Soles (S/ mm)

Net Income Q1’17: +10.7%

• +4.8% Adjusted EBITDA

• -4.1% financial expenses, net

Net Income excluding FX and mark-to-market

3.7%

3.5%

7

Cash-Flow BreakdownConsolidated Capex

Capex and cash-flow breakdownMillion Soles (S/ mm)

Free Cash Flow LTM Q1’17: S/ 337 mm

119

195

87

161

79

Q1’17Q4’16Q3’16Q2’16Q1’16

137

57

244

Ending Cash

Balance Q1’17

Other Non-Operating Investing Activities

0

Financial Expenses

-52

Debt Increase

7

CAPEX

-119

Operating Cash Flow

Starting Cash

Balance 2016

2016: S/ 523 mm

28

Q1’17Results byformat

SUPERMARKETS

9

SSS growth of 7.9% and 10k sqm of new supermarkets salesarea (+3.4% since Q1’16)

Gross margin decreased 23 bps in Q1’17

• Roll out of EDLP• Significant growth in Back to School categories with

lower margins• Increase in basic need products due to the coastal

flooding in the North of Peru

Excluding an extraordinary income of S/ 2.4 million in Q1’16,EBITDA increased 14.5%, expanding EBITDA margin by 19 bps

S/. mm Q1'17 Q1'16 Var %

Revenues 1,151 1,038 10.9%

Gross Profit 294 268 9.9%

EBITDA 71 64 10.3%

Gross Mg 25.6% 25.8% -23 bps

EBITDA Mg 6.1% 6.2% -3 bps

Pharmacies

SSS of -3.3%. Excluding leap year effect, SSS of -2.0%

Opened 19 pharmacies and closed 1 (203 additionalpharmacies since Q1’16, +22.0%)

Gross margin improved 43 bps in Q1’17

• Increased penetration of high margin products• Higher rental income and improved commercial

conditions

EBITDA margin decreased 93 bps in Q1’17

• Higher operational expenses due to significant number ofnew pharmacies in early stages of operation

• Increased logistic expenses due to coastal floodings

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S/. mm Q1'17 Q1'16 Var %

Revenues 662 629 5.2%

Gross Profit 213 199 6.6%

EBITDA 52 55 -5.9%

Gross Mg 32.1% 31.7% 43 bps

EBITDA Mg 7.8% 8.7% -93 bps

Shopping malls

Tenants’ SSS growth of 3.1%

Maintained high occupancy rates in malls of ~96%

Gross and Net Rental margins impacted by the variable rent payment in Real Plaza Salaverry since December 2016

Mark-to-market income of S/ 3.6 mm in Q1’17 vs S/ 0.4 mm in Q1’16

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S/. mm Q1'17 Q1'16 Var %

Revenues 112 108 3.6%

Gross Profit 73 74 -0.9%

Adj. EBITDA 67 67 0.8%

Gross Mg 65.5% 68.5% -298 bps

Net Rental Mg 79.3% 82.1% -273 bps

Quarterly Openings and SSS by Segment

SupermarketsSales Area (‘000 sqm)

PharmaciesNo Stores

Shopping MallsGLA (‘000 sqm)

Pharmacies

2016: 1.2%

Openings Same Store Sales (SSS)

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0.6%

Q1’16

3.4%

Q1’17

7.9%

Q4’16

1.0%

Q3’16

0.0%

Q2’16

Q4’16

2.7%

Q3’16

7.2%

Q2’16

5.1%

Q1’16

9.0%

Q1’17

-3.3%

Supermarkets

Shopping Malls

Q1’17

3.1%

Q4’16

2.4%

Q3’16

4.4%

Q2’16

6.3%

Q1’16

8.2%

2016: 5.9%

2016: 5.2%

Note/ Shopping Malls’ SSS include anchor stores

285 285 285 295 295

Q1’17

306

Q4’16

304

Q3’16

290

Q2’16

289

Q1’16

288

No Spmkts 104

No Mass 23

104

25

104

33

106

59

Spmkts

Mass

106

70

1,125 1,107 980 932 922

Q1’16 Q2’16 Q3’16 Q4’16 Q1’17

No malls

626 626 589 589 582

Q1’16 Q2’16 Q3’16 Q4’16 Q1’17

18 18 18 19 19

Consolidated Financial Debt1/ USD Exposure

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Debt

Cash

Net Debt

1,668

1,125

542

1,722

324

1,398

2,446

285

2,160

3.3x3.3x

3.6x

4.0x

3.6x

4.0x

3.2x

3.6x

2.9x

1.3x

2.9x2.8x

20132012 20152014 LTM Q1’172016

Debt/EBITDANet Debt/EBITDA

2,670

325

2,344

1/ Since 2015, ratios are adjusted for positive hedge effect

-S/ 46 mm debt in Q1’17 vs EoY 2016, explained by:

• +S/ 7 mm from debt increase• -S/ 57 mm from appreciation of FX (excluding

hedge effect)• +S/ 4 mm from 2021 bond structuring costs

Consolidated financial debtMillion Soles (S/ mm)

2,659

432

2,227

28%38% 35% 36%

72%

23%23% 23%

39% 42% 41%

dic-16dic-15dic-14 mar-17

PENUSDHedge

2,613

359

2,294

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Debt by segmentMillion Soles (S/ mm)

Total Consolidated Debt: S/2,613 mm

Debt / EBITDA: 3.3xNet Debt / EBITDA: 2.9x

Debt

Cash

Net Debt

976

306

670

1,095

215

880

1,347

168

1,179

691

656

35

624

81

543

1,111

124

987

2.7x2.7x

3.1x3.2x

3.0x2.9x

2.2x

2.6x

2.8x

2.4x

2.0x

2.4x

LTM Q1’1720162015201420132012

Debt/EBITDANet Debt/EBITDA

1,422

202

1,220

1,248

128

1,120

1/ Since 2015, ratios are adjusted for positive hedge effect

4.2x4.3x4.4x

5.5x5.4x

8.2x

3.7x4.0x

4.9x

3.7x4.7x

0.4x

201420132012 LTM Q1’1720162015

1,402

277

1,125

1,257

162

1,095

1,214

158

1,057

1,399

160

1,239

3 Recent events

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Paid US$ 20 mm of cash dividends on April 28th 2017

New dividend policy approved in the Annual Shareholders Meeting, held on March 31st 2017

“The company will annually distribute cash dividends for an amount no less than 10% of the Net Income of the period, after considering tax deductions, reserves and legal deductions. The dividends will be determined considering the Company’s liquidity requirements and financial situation. When the liquidity factors, levels of indebtedness and projected investments justify it, the Shareholders Meeting may agree on a different distribution percentage, distribute dividends on account or not distribute any dividends at all.”

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Recent events

Dividend Distribution

Floodings mainly affected the North Coast of Peru and North East of Lima

Minor impact on assets

Increase in logistic costs due to temporary road closures and use of sea/air transportation

Coastal Floodings

Vanessa Dañino

IRO

Alessandra Garrido

IR Senior Analyst

Shirley Perez

IR Analyst

IR email: ir@inretail.pe

Phone: +511 612 5423

This material was prepared solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any securities.

This presentation may include forward-looking statements or statements about events or circumstances which have not yet occurred. We have based these forward-looking statements largely on our current beliefs and expectations

about future events and financial trends affecting our businesses and our future financial performance. These forward-looking statements are subject to risk, uncertainties and assumptions, including, among other things, general

economic, political and business conditions, both in Peru and in Latin America as a whole. The words “believes”, “may”, “will”, “estimates”, “continues”, “anticipates”, “intends”, “expects”, and similar words are intended to identify

forward-looking statements. We undertake no obligations to update or revise any forward-looking statements because of new information, future events or other factors.

In light of these risks and uncertainties, the forward-looking events and circumstances discussed in this presentation might not occur. Therefore, our actual results could differ substantially from those anticipated in our forward-looking

statements.

No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein. It should not be regarded by recipients as a substitute for the exercise of

their own judgment. We and our affiliates, agents, directors, employees and advisors accept no liability whatsoever for any loss or damage of any kind arising out of the use of all or any part of this material.

This material does not give and should not be treated as giving investment advice. You should consult with your own legal, regulatory, tax, business, investment, financial and accounting advisers to the extent that you deem it

necessary, and make your own investment, hedging and trading decision based upon your own judgment and advice from such advisers as you deem necessary and not upon any information in this material.

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