Strategy

Transcription

Strategy

중남미 유력바이어
유력바이어 초청
초청
중남미
상담회
상담회
2005. 6. 28
순
I.
서
중남미 시장동향 및 전망
II. 대중남미 무역 및 투자진출 현황
III. 중남미 유력바이어 소개
I. 중남미 시장동향 및 전망
1. 최근 경제동향 및 전망
(5.8%)
중남미 경제, 안정 성장궤도 진입
(2.`1%)
'03
'04
(4.4%)
'05
24년만에
24년만에최고
최고성장세
성장세구현
구현
2004년
미국(4.2%),
미국(4.2%),중국
중국(9.2%)
(9.2%) 등
등세계경기회복으로
세계경기회복으로수출
수출23.1%
23.1%증가
증가
원유,
원유,구리
구리등
등원자재
원자재가격
가격급등으로
급등으로교역조건
교역조건5.6%
5.6%개선
개선
외국인투자
외국인투자증가,
증가,국가
국가위험도
위험도개선
개선등
등
안정
안정성장세
성장세지속
지속
2005년
수출(7.0%),
수출(7.0%),내수,
내수,민간투자
민간투자확대가
확대가성장
성장견인
견인
중미
중미6개국
6개국등의
등의미국과
미국과FTA
FTA체결로
체결로대미
대미수출
수출확대
확대
미국,
미국,중국
중국등
등세계경제
세계경제둔화(3.0%),
둔화(3.0%),이자율
이자율인상
인상등의
등의요인
요인
으로
으로성장세
성장세다소
다소둔화
둔화
5.2%
주력수출시장
주력수출시장
회복세
회복세지속
지속
4.4% 3.8%
4.0%
1.2%
0.5%
'03
'04
'03
'05
브라질
'04
'05
멕시코
17.3%
9.0%
8.7%
베네수엘라
베네수엘라등
등
경제회복
경제회복본격화
본격화
6.5%
6.5%
'03
-7.5%
'04
'05
베네수엘라
'03
'04
'05
아르헨티나
중남미
중남미 자본조달
자본조달 여건
여건 크게
크게 개선
개선
(미국과
(미국과중남미국간
중남미국간국채수익률차
국채수익률차사상
사상최저)
최저)
(예:
(예:미국-멕시코
미국-멕시코수익율차
수익율차(02)
(02)6.3%p
6.3%p⇒
⇒(04)
(04)5.4%p)
5.4%p)
50년만의
50년만의경상수지
경상수지
흑자
흑자시현
시현
(GDP
(GDP비중)
비중)
(03)
(03)0.44%
0.44% ( ($75.7억)
$75.7억)
⇒
(04)
0.88%
($172.8억)
⇒ (04) 0.88% ($172.8억)
⇒
⇒(05)
(05)0.02%
0.02%( ( $3.9억)
$3.9억)
중남미
중남미만성적
만성적
외채
외채위기
위기개선
개선
추세
추세
외채비중
외채비중감소
감소
(GDP
(GDP비중)
비중)
(03)
(03)42.8%
42.8%($7,420억)
($7,420억)
⇒
⇒(04)
(04)37.2%
37.2%($7,272억)
($7,272억)
⇒
(05)
35.0%
($7,130억)
⇒ (05) 35.0% ($7,130억)
2. 중남미 시장 특성 및 여건
지역주의
지역주의
심화
심화
미국 등
등
미국
패권다툼
패권다툼
격화
격화
인구 5억
5억6천만명
6천만명
인구
(세계 8.7%)
8.7%)
(세계
범대륙경제통합
경제통합
범대륙
(FTAA: :34개국)
34개국)
(FTAA
미국
국 : : 남하전략
남하전략
미
브라질: :북상전략
북상전략
브라질
GDP 2조불
2조불
GDP
다수국과FTA
FTA체결
체결
다수국과
(멕시코43개국)
43개국)
(멕시코
멕시코: :중미통합
중미통합
멕시코
미국견제
EE UU : : 미국견제
역내교역확대
확대추세
추세
역내교역
중 국
국: : 기반조성
기반조성
중
거대시장
거대시장
연수입
수입4,600억불
4,600억불
연
(멕시코1,971억불)
1,971억불)
(멕시코
대형
프로젝트
시장
정유설비등
등SOC
SOC
정유설비
프로젝트진출유망
진출유망
프로젝트
IDB프로젝트
프로젝트진출
진출
IDB
가능(연89억불)
89억불)
가능(연
EDCF,전대차관
전대차관
EDCF,
활용프로젝트
프로젝트유망
유망
활용
해외투자
해외투자
유망지역
유망지역
소비구조
소비구조
다원화
다원화
대미, EU
EU우회수출
우회수출
대미,
(각국의FTA
FTA활용)
활용)
(각국의
고가, 저가시장
저가시장양분
양분
고가,
(44%절대빈곤층)
절대빈곤층)
(44%
자원개발투자
투자
자원개발
(철강, 동,
동, 식량,
식량,
(철강,
에너지등)
등)
에너지
1인당국민소득
국민소득상이
상이
1인당
현지생산및
및판매
판매
현지생산
완결형투자
투자확대
확대
완결형
(멕시코$5,969,
$5,969,
(멕시코
과테말라$1,690)
$1,690)
과테말라
국별시장규모
시장규모상이
상이
국별
(브라질1억8천만명,
1억8천만명,
(브라질
코스타리카430만명)
430만명)
코스타리카
3. ’05년 대 중남미 수출여건
긍정적 측면
측면
긍정적
남미정상외교
정상외교효과
효과가시화
가시화
남미
05.5월
5월룰라
룰라대통령
대통령 답방
답방등
등
--05.
05년미주개발은행(IDB)
미주개발은행(IDB)가입
가입
05년
한-칠레FTA
FTA발효
발효효과
효과가시화
가시화
한-칠레
자본재,부품소재
부품소재수요급증
수요급증
자본재,
플랜트 등
등 대형프로젝트
대형프로젝트발주
발주
플랜트
부정적 측면
측면
부정적
지역주의확산,
확산,차별조치
차별조치심화
심화
지역주의
일·멕FTA,
FTA,정부입찰
정부입찰제한
제한
--일·멕
중국등의
등의대중남미
대중남미경협
경협급진전
급진전
중국
대브라질
브라질200억불
200억불투자
투자
--대
칠레,멕시코와
멕시코와FTA
FTA추진
추진
--칠레,
빈부격차,
격차,중산층
중산층형성
형성미약
미약
빈부
⇒대
대중남미
중남미인식변화
인식변화없이는
없이는
⇒
시장상실 우려
우려
시장상실
II. 대중남미 무역 및 투자진출 현황
1. 무 역
04년사상
사상 최초로
최초로수출
수출100억불
100억불 상회(116억불)
상회(116억불)
04년
02년아르헨티나
아르헨티나외환위기,
외환위기,03년
03년브라질
브라질경기침체
경기침체영향으로
영향으로수출감소
수출감소
--02년
04년멕시코,
멕시코,브라질
브라질등
등주력
주력수출시장
수출시장회복
회복
--04년
18년흑자시장
흑자시장
••18년
100억
04년49억불(비중
49억불(비중16.7%)
16.7%)
--04년
50억
05년 150억불
150억불수출
수출
••05년
’02
수출
수입
’03
수지
’04
미국등
등세계
세계경제
경제성장세,
성장세,
--미국
고유가,원화강세
원화강세등
등변수
변수
고유가,
2. 투 자
현지
현지 생산·판매
생산·판매 완결형,
완결형, 자원투자
자원투자 확대
확대 예상
예상
(중남미
(중남미 지역주의
지역주의 대응
대응 차원)
차원)
• 대미 우회수출을 위한 해외투자 증가
- 471건 35.7억 불 (현지금융 미포함)
- 멕시코, 브라질, 중미 등
- 전자, 섬유, 무역업 등
(단위 : U$백만)
업체명
(국가명)
바이어명
(직위)
연간
매출
액
연간
수입
액
MABE
(멕시코)
Mr. Erick Yañez
(구매본부장)
5,000
300
- 멕시코 최대 가전업체
- 냉장고 부품조달 희망
Grupo
Gigante
(멕시코)
Mr. Miguel Carlos
(구매본부장)
3,000
500
- 멕시코 3위의 대형 유통업체
- 생활용품, 잡화류 상담 희망
Bimbo
(멕시코)
José Federico Suárez de la
Torre
(구매담당 이사)
3,400
140
- 중남미 최대의 제과업체
- 제과□포장기계, 포장재 등 상담 및 제품
제휴협력 희망
RECOPE
(코스타리카)
Jorge Vargas
(무역□프로젝트 이사)
1,170
1,140
- 코스타리카 석유공사(국영기업)
- 정유소 확장 프로젝트 상담 희망
INMSA AGRO
(온두라스)
Eduardo Leiva Andonie
(이사)
100
50
- 공단 설계 및 건설업체
- 에너지, 수자원관리 등 관련제품
상담희망
Mercasid, S.A.
(도미니카
공화국)
Antonio Hurtado Heim
(부사장)
150
60
- 도미니카 최대 식품□생활용품업체
- 식품가공 및 포장기계 상담희망
특기사항(상담품목)
1. MABE 사
☞ Mr. Erick Yanez (구매본부장)
- 연간 매출액 50억 달러
- 멕시코 최대 가전업체
2. BIMBO 사
☞ Mr. José Federico Suárez
de la Torre (구매본부장)
- 멕시코 최대 제과업체
3. MERCASID 사
☞ Mr. Antonio Hurtado Heim
(부사장)
- 연간 매출액 1억 5천만 달러
- 도미니카 최대 식품 및
생활용품 업체
4. RECOPE 사
☞ Mr. Jorge Vargas
(무역·프로젝트 이사)
- 코스타리카 석유공사
(국영기업)
5. INMSA Argo 사
☞ Mr. Eduardo Leiva Andonie
(이사)
- 온두라스 공단 설계 및 건설
업체
6. Grupo Gigante 사
☞ Mr. Miguel Carlos
(구매본부장)
- 멕시코 대형 유통업체
감사합니다.
감사합니다.
• 중남미지역본부 (멕시코)
• 멕시코시티 무역관 (멕시코)
• 상파울루 무역관 (브라질)
• 파나마 무역관 (파나마)
• 산티아고 무역관 (칠레)
• 보고타 무역관 (콜롬비아)
• 과테말라 무역관 (과테말라)
• 카라카스 무역관 (베네수엘라)
• 리마 무역관 (페루)
• 부에노스아이레스무역관(아르헨티나)
• 산호세 무역관 (코스타리카)
• 산토도밍고 무역관 (도미니카공화국)
Mabe Refrigeradores
Celaya Facility
Facility Highlights
General Information
¾ 2 different production lines: SxS
and Top Mount
¾ Annual Capacity: 870K
¾ Head Count : 2,212 total.
¾Total land area: 40 Hectares
Mission
To produce quality and world class refrigerators, that
achieve our costumers and stockholders expectations
by integrating competitive people, attend to their
integrity and enviroment, generating a continuous
improvement process to achieve bussiness growth.
¾ Plant Built Area: 1,345,500
ft2
¾ Office area: 37,600 ft2
¾ Laboratory: 21,500 ft2
¾ Total built area: 1,404,700 ft2
¾ Response time: 2-4 days
¾ Minimum order: 25 - 50 units
¾ Shipping capacity:
¾ By train 100%
¾ By trailer 80%
State-of-the-art site to produce a Leadership product for the US Market
Mabe Celaya Highlights
General Information
Current Production 2005
¾ Total Investment: 330 million U.S. dollars
¾ Production started October 2000
¾ SxS line 540 K units (2 shifts)
¾ Headcount:
¾
Direct
¾
Indirect
¾
Salaried
¾
Total
1,711
258
243
2.212
Equipment
Origin
¾ Case formers
¾
¾
¾
¾
Thermoformers
Door forming
Conveyors
Foaming Stations
¾ TM line 135 K units (1 shift)
¾ 72% vs total capacity.
¾ 300 different sku´s.
Spain
Germany
New Zeland
Mexico
Italy
MABE QUANTUM has the most adavanced technology of the world in order
to produce our refrigerators
Quality Strategy
Quality Highlights
Field Quality Improvement
• Six sigma strategy
• Design for six sigma
• FIS alarms for defects, CTQs and CTPs
• Scorecard / autopsy process being a lifestyle
• CIB / block change control
• Field quality focused
• Quality campaign
• ETQs
• Quality testing
Quality System
Supplier Quality
• ISO 9000-2000 system implementation in
process.
• Product certified by UL/DOE (USA), Semko
(Europe/Asia) CSA Canada and NOM for
Mexico
•Objective:Drive the company to a higher
performance level based on:
9Customer Focused
9Leadership
9Continuous Improvement
• Daily calls analysis.
• Field quality problem solution process
• Quality council, SCR projects review and
Subsystems perfomance followed every week.
• Engineering and quality leaders by subsystem
•Supplier process quality system (SPQ) in
place, tracking purchased parts CTQs
•Common approved supplier list within all
GECP sites
•Close communication with key suppliers to
monitor process variations at their sites
•Quarterly top management business review
with key suppliers.
•Electronic lab in place for damaged electronic
boards
Quality is our #1 Goal
SxS Line
23’ w / dispenser.
23’ wo / dispenser.
23’ Monogram.
26’ Monogram.
Top Freezer Line
Awards
Winner Product at American Market
The best of “What’s New”
•GE Profile Artica Model, received the 2001 “Best of
What’s New” Award from the “Popular Science
Magazzine”.
Winner of “Good Buy Award”
• The GE Profile Artica whith “Custom Cool” was the
winner of “Good Houskeeping Good Buy” for the
2002.
The best Certified Refrigerator by “Consumer’s Union Report”
november. 2002 & may 2003.
• The “Consumer’s Union Magazzine” qualiffied the GE
Profile Artica model like excellent and very good in the
next categories:
- Energy efficiency
- Noise
-Temperature handle
- Usefull
A leader product produced at the most advanced plant of the world!
NPI Projects
Main 2005 Projects :
2005 Model Year
Dual Evap 26´
25´ BIS
Polar II
Profile 23´
---+ 2M
+ 14 M
+175 M
+ 25 M
in Production
in Production
in Production
in Production
June ´05
GE Projected 2005 SxS: 540 K
GE Projected 2005 TM : 135 K
2006 Model Year
25´ BIS Int´l
Subartico
---Feb ´06
+ 5 M Mar ´06
+ 65 M Mar ´06
2007 Model Year
2007 Antartica
--Feb ´07
+ 200 M Feb ´07
Incremental Volume in the next two years = 370 K
Purchasing
Total
Suppliers # Parts
ADM
% ADM
Asia
29
228
$70,563,000
19.4%
Europe
3
5
$634,000
0.2%
Brasil
4
19
$6,300,000
1.7%
USA
82
482
$89,917,000
24.7%
Mexico
74
1811
$196,962,000
54.1%
192
2545
$364,396,000
USD
Total
REPUBLICA DE COREA
May 10th , 2005
Table of contents
I. Economic Figures
II. The Industry
III. Grupo Gigante Overall Strategy
IV. The Group´s Structure
V. Supermarket Strategy
VI. Joint Ventures
VII. Social Contribution
Table of contents
I. Economic Figures
II. The Industry
VI. Joint Ventures
Mexican Main Economic Indicators
GDP
Inflation (%)
Currency (pesos/usd)*
Interest Rates (%)**
Real wage (%)
* Year end
** Annual average
2002
0.75
5.70
10.40
7.08
4.10
2003
1.30
3.98
11.23
6.24
1.45
2004*
4.1
4.13
11.38
6.65
2.50
2005*
3.4
3.97
11.94
7.10
2.20
2006*
3.1
5.73
12.78
7.13
2.10
GDP Per Capita (current dollars)
$12,000
$11,200
$9,900
$10,000
$9,000
$8,000
$7,600
$6,000
$4,800
$4,000
$2,000
$0
Mexico
Argentina
Brazil
Chile
Venezuela
Population (million inhabitants)
200
184.1
180
160
140
120
105.0
100
80
60
39.1
40
25.0
15.8
20
0
Mexico
Argentina
Brazil
Chile
Venezuela
Demographic structure in Mexico
Years
80 to 84
70 to 74
60 to 64
50 to 54
40 to 44
30 to 34
20 to 24
10 to 14
0 to 4
6.0
4.0
2.0
0.0
Millions
2.0
4.0
6.0
Table of CONTENTS
I. Economic Figures
II. The Industry
VI. Joint Ventures
The Industry
Aggressive competition and Floor growth
Consolidation (Chedraui acquired Carrefour)
Redesigned formats
Better opportunities for specialized retailers
An increase in consumer credit
Real Estate developers (sale and lease back)
Increasing informal market
Pending fiscal reforms
Table of contents
I. Economic Figures
II. The Industry
VI. Joint Ventures
Overall Strategy
Maintaining a competitive position
(not the largest, but the most
profitable)

Differentiate from competitors (innovation)
Improve our image (branding and stakeholders)
Balanced Scorecard (initiatives and kpi´s)
Strategy based on Human Capital, Technology and
Processes
Increase stores of our Joint Ventures
New marketing and Communication strategy
A deep change of culture
Worldwide raking: 199 (Deloitte Global Retailing report)
Our strategy from 30,000 ft
Vision / Strategy
Working to be your Preferred Store
1. Impulsar la
eficiencia operativa
2. Ser el
autoservicio
preferido
3. Maximizar nuestra
participación del gasto del
consumidor
4. Crecer con
rentabilidad
Human Capital
Processes
Technology
Strategy
Market Share
Improving same store
Improve efficiency
and profitability
Improving margins
sales
Reducing costs
Openings and
remodeling stores
Increase private label
products participation
in our mix
Optimizing technology
Expand centralized
distribution
Improve efficiency and profitability
Sustaining Margins
Reducing Costs and Optimizing
Technology
• Consolidation of IT systems for a
better decision making process,
implementation of SAP (largest
Strengthening the organization
•Career paths for all of our executives
•Centralized Management functions to
improve back-office efficiency
project for SAP worldwide for ISR)
•Incentive based Compensation for
• Expand centralized distribution
Executives
•New Stock Option Plan for executives
Where are we going?

Technology (SAP)
Human Capital
Redesigned processes
Working in initiatives aligned to
four pathways (BSC):
¨ Improving operations
efficiency
¨ Being the consumers favorite
store
¨ Capture greatest share of
consumer wallet
¨ Profitable growth
Table of contents
I. Economic Figures
II. The Industry
VI. Joint Ventures
The Group’s Structure
Supermarket
Subsidiaries
Joint
Ventures
Supermarket Formats
Gigante
Hypermarkets
107 stores with
6,000 m2 average
Food, general merchandising & apparel
45,000 - 50,000 SKU’s
Value added services
45.2% total sales of Grupo Gigante
Bodega Gigante
“Bodega” concept
located in highly
populated zones
52 stores
Lower prices
Food, general merchandising &
basic apparel
25,000 - 30,000 SKU’s
Value added services
Super Gigante
Supermarket
63 stores
Food and supermarket
products
Community Store
15,000 - 20,000 SKU’s
17.6% total sales of Grupo
Gigante
SuperPrecio
Hard-discount. Proximity
supermarkets
46 stores
Food and basic products
1,500 SKU’s with emphasis in own
label
Low Priced and limited service
Large market, targeting middle to
low income customers
Strong competition from informal
outlets and family owned stores
Minimal Capex
Table of contents
I. Economic Figures
II. The Industry
VI. Joint Ventures
Supermarket Strategy
Improving
Improving the
the
Operation
Operation
Efficiency
Efficiency
To
To be
be the
the
Favorite
Favorite
Store
Store
Capture
Capture the
the
greatest
greatest share
share of
of
consumers
consumers wallet
wallet
Profitable
Profitable
growth
growth
Productivity
Productivity in
in the
the
Supply
chain
Supply chain
Increase
Increase store
store
traffic
traffic
Improve
Improve
ticket
ticket service
service level
level
Real
Real estate
estate
development
development
Inventory
Inventory
management
management
Redefining
Redefining
formats
formats
Assortment/
Assortment/
Quality
Quality
Corporate
Corporate
image
image
Logistics
Logistics
Promotions/offers
Promotions/offers
Marketing
Marketing
Purchase
Purchase and
and
Supply
Supply
Excellence
Excellence
Communication
Communication
and
and
image
image
Improve
Improve market
market
share
share
Improve
Loyalty
Innovation
Human
Human capital
capital
Technology
Technology
Working to be your Favorite Store ;
An Integrated Transformation
External
Internal
¨ New Image
¨ Redesigning
¨ Redefining
Processes
¨ Technology: SAP
¨ Logistics
¨ Cost Killing
¨ Human Capital
¨ New Organizational
Structure
¨ BSC
/Remodeling Formats
¨ New Facilities
¨ Real Estate
Development
¨ New Marketing
Strategy
Our different initiatives
•
•
•
•
•
•
•
•
DC´s
Realignment in the Org. Structure
Real Estate
Category Management
Pricing
SAP
New HR model (human capital)
New format Image for Gigante (Watt
International based in Toronto)
•
•
•
•
•
•
•
•
BSC
Communication strategy
Private Label
Consolidation of Super Precio
Deep change of Culture
Marketing
Processes
Intelexion: new HR system
Innovate to diferenciate
We are working to differentiate ourselves based in
innovation:
Share of
wallet
Inventory
Management
Fast
and
efficient
service
Assortment
Supply
Chain
Productivity
Innovation
Layout
Ticket
Promotions
Other sales drivers
We identified additional income sources to the operational budget based on
the analysis of a Business Case which is intimately related with BSC
Pricing
Creating & Implementing the Price
Strategy
Implementation
Management
Promotions
with Precision
Pricing Programs
Commitment
Business
Differentiators
Competition
Price
Price
Strategy
Strategy
Price Sensitive Lists
Consumer
Perceptions
Category / Brand
Roles
Pricing
Responsibilities
Information and
Technology
Management
Commitment
Right Prices at Right Times at Right
Stores
¨ Prices
• Introductory, base pricing
• Promotional pricing
• Mark-up/-down pricing
• Clearance pricing
¨ Visibility to market, customers, competitors, and costs
¨ Set goals and monitor performance
¨ Reinforce consistent price image
• Rules-based logic
• Tools and workbenches
¨ Execute pricing strategies
• EDLP
• Hi-Lo
• Competitive
• Demand-based
• Category management
• Private label
¨ Manage high volumes (many items x many stores)
¨ Collaborate in a secure environment
• Authorizations
• Workflow
• Audit trail
Benchmarking (Pricing)
At this moment we have implemented the whole
Pricing Strategy
Monterrey G vs HEB
2.00%
1.70%
1.50%
1.40%
1.10%
1.00%
0.80%
0.50%
0.40%
0.30%
0.20%
SEM 12
SEM 9
SEM 10
-1.00%
SEM 8
SEM 7
SEM 6
SEM 5
0.00%
SEM 4
SEM 2
SEM 1
SEM 3
0.10%
0.00%
-0.50%
0.80%
SEM 11
1.00%
-1.20%
-1.50%
% VS HEB
Benchmarking (Pricing)
GUADALAJARA vs WALMART
2.50%
2.00%
1.90%
1.50%
0.50%
% VS WALMART
SEM 12
0.10%
0.00%
-0.20%
-0.30%
SEM 11
SEM 8
-0.70%
SEM 7
SEM 6
SEM 5
SEM 4
SEM 3
SEM 2
SEM 1
-1.00%
0.20%
0.10%
0.00%
SEM 10
0.50%
-0.50%
0.90%
0.60%
0.90%
SEM 9
1.00%
Promotion Campaigns
April
Besides offering low prices, we promote
special sales days.
Freshness, assortment and quality
Processing plants,
Meats
Fruits
And
Vegetables
Value-added products
Buy directly from the producers
Use seasonal planograms
; Improve the cold chain and centralize the warehousing
(opening of new distribution centers)
Freshness, assortment and quality
Bakery
Groceries,
general
merchandise
and apparel
Develop new concepts:
Healthy products
Gourmet lines
Value-added products
Exclusive items
Prioritize private labels and
controlled brands
Assortment and quality
Groceries,
general
merchandise
and clothing
Focus the commercial area’s
structure and its processes to
aligne them with category
management philosophy.
Continue using planograms
Differentiation
Improve the image, quality,
assortment and turnover
Communication and Image
Definition and implementation of a communication
strategy in order to position ourselves as a store
with competitive prices and price-based
promotions
Strategic Line
Today´s
perception
of being
an
expensive
store
Price-Based
Promotions
Remodeling
Formats
Attitude
and
Customer
Service
“Gigante is
Your
Favorite
Store”
Communication and Image
New Formats:
Before
After
Operations
Standardization of our processes
¨ Redefinition of the roles for SAP implementation
Communication
Execution Evaluation
Reduction of Losses
Perpetual Stock
¨ Automatic Re-Stocking
¨ Centralized Distribution
¨ Inventory Reduction
Operations
Increased supplier participation in activities that
reinforce the differentiation by formats and
cities
¨ Promotional activities
¨ Worlds (In-Store Commercial Areas)
Health
and
Beauty
Babies
Drinks
Electronics
Home
and
Linens
Operations
Increase Productivity
¨ Meat Processing Plants
¨ Monitoring System: Attendence and Punctuality (Kronos)
¨ Multiservice Module
Clients
Clients x
hour (Ticket)
Service
Clients/Employees x
hour

Man Hours
(Employees x
hour)
Service Hours
Real Estate Development
Client satisfaction while
buying:
¨ Optimize sales floor
usage
¨ Standardize the image
and lay-out
¨ Make our commercial
gallery more efficient
¨ Update obsolete
facilities
¨ Respond to competitors
actions
Generate attractive spaces for
commercial galleries
Attract investors for construction and rentals
D Growth with less investment
Alliances: Blockbuster, Burger King,
Banks, etc
Land Reserve
Real Estate Development
New
Stores
Remodelings
Image
99
Redefined the concept of image and
brand (Coapa).
52
Redefined the concept ; ready to start in
May 2005 (Tultepec).
63
Positioning was successfully defined.
Logistics
Objective
Expand our capacity to
distribute more
efficiently
On-time, Cost-Efficient Distribution Services
produce client satisfaction
Logistics
¨ 100% Installed Capacity
In 2003, we defined
3 Objectives
related to Centralized
Distribution
¨ Align store ordering processes with the
Centralized Distribution plan.
¨ Provide suppliers with visibility
throughout the process by integrating the
supply chain.
In 1999, 13% of our Sales were carried out through Distribution Centers.
By 2004, 58% of our Sales were carried out through Distribution
Centers.
Operating at 100% Capacity: We have begun to expand our DCs in
Tultitlán, Edo. de México.
Logistics
Expected Benefits:
¨ Reduction of out-of-stocks
¨ Reduction of inventory days
¨ Fresh Products: Improve the quality and
reduce losses through temperature controls.
¨ Supplier Services
¨ Meat Plant
¨ Efficiencies in terms of Distribution
IT and processes (SAP)
¨
Go from Multi-System Interfaces to an integrated
solution (SAP).
•
•
•
•
•
•
¨
Finance Management and Costs
Merchandise and Stores (not POS)
Automatic Re-Stocking
Distribution Centers
Natural Connection with Solutions for Sales Floor and
the DCs Platforms (POS, Scales, Radio Frequency, etc)
Data Warehouse
360° Visibility for Operations
¨ Assimilation of Best Practices under a highly
disciplined plan.
Current Status: SAP Implementation
In Operation

Finance and Accounting

Internal Consumption for Offices and Stores

Real Estate Management

Self-Service Management: Purchasing,
Operations and Distribution
Forthcoming:

Self-Service Management at the National level Q3 2005
Gigante´s SAP Foot Print
Advanced
Forecasting and
Replenishment
• Sophisticated forecasting
algorithms
• Auto replenishment
• Advanced inventory
optimization
• Supply chain analytics
• Supply chain event SCM
management
Supplier Management
• Vendor Performance
Management
• Supplier and
Merchandise Selection
• Vendor Negotiation
• Global Trade Services
Workforce Management
•Staffworks/ Workforce Deployment WFM
Merchandise &
Assortment
Planning
Merchandise Management
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Master data management
Assortment Management
Purchase order management
Allocations
Pricing & promotions
Replenishment planning
Load build / investment buy
Supply Chain Execution
Store management
Inventory Management
POS Connectivity
Financials (AP, GL, AR)
Real Estate
Human Resources (ESS, Payroll)
Product Lifecycle Mgmt. (PLM)
Quality Management (QM)
mySAP ERP
R/3 Enterprise
SRM
SAP Technology Stack • Information Integration
• People Integration
•Portals
•MDM, Knowledge Mgmt., BI
•Company wide Business Information
platform (Retail Templates)
•POS Data Management
Merchandise Planning
Assortment Planning
Location Planning
Long-range
Forecasting
• Financial Planning
BPS
Customer Analytics
•Customer reporting
•Data Mining
•Advertising
effectiveness
•Campaign
management
•Loyalty management
•Multi channel support
CRM
• Process Integration
• Application Integration
NetWeaver
Gigante´s Foot Print
Benefits Obtained
Inventory
Valuation
Business
Managment
Costs
Average Cost Valuation tells us what the Operating
Margin is at any given moment
Business Administration by Commercial Categories
Basic IT – One Language and Less Diversity among IT
Components
Reduce Administrative Personnel
Reduce Software License costs
Benefits Obtained
Inventory
Automatic Re-stocking and visibility of In-Store
Inventory, DCs and merchandise distribution in order
to improve the supply level.
Strictly measure the level of service provided by the
Suppliers
Balanced
Scorecard
Integration of the Control Measures from sales floor
transactions to strategy BSC.
Control of commercial galleries and invoicing
Improved
Operations
Revenue and Expense Control by Store Pricing
Financial Consolidation
Business Intelligence
¨ SAP- BW operating.
• P&L
• Sales
– Flash
– Progress - Category, Business Format, Region
and Store.
• Commercial Analysis (purchasing, 80/20, Service
Levels, etc)
• Management Reports (comparing productivity,
EBITDA, Margins and Product Assortments,
Revenue and Clients, etc).
B2B
¨ We have continued to expand on-line
services for the suppliers.
• Purchase Orders
• Sales
• Inventories
• Receipts
• Returns
• Payments
• Advance Shipment Notice (ASN)
Information Systems
ic
g
te
a
r
St
BSC
2005
Data Warehouse
al
c
i
ct
a
T
B2B
POS - Merchandise- Admin. - Salaries
ic
g
te
a
r
t
S
l
Score
a
c
Cards
ti
c
Ta
Data Warehouse
Finance
Department
Commercial DataWarehouse
Admin - Marketing - Distribution - POS
ve
i
t
ra
e
Op
2003
ve
i
t
ra
e
Op
Strategic Enterprise Management
Enterprise
Enterprise Portal
Portal
Performance
Business Planning
Business
Management
Measurement
And Simulation
Consolidation
Stakeholder
Relationship
Management
SEM
SEM
Strategy

Strategic Enterprise Management is a tool supported by the Business
Information Warehouse that holds up the Strategy Management, based
on the Kaplan and Norton methodology.

SEM aims to define target-based activities to achieve transparency and
to communicate the corporate strategy to all levels of the organization.
Strategic Enterprise Management
SEM
SEM
Gigante
Gigante Enterprise
Enterprise Portal
Portal
Strategy
Performance
Business Planning
Management
Measurement
and Simulation

Strategy Management.- Communicates strategies and objectives
throughout the organization using the Balanced Scorecard.

Performance Measurement.- Monitors the performance of strategic key
success factors and integrates external and internal benchmarks
through Management Cockpit. This is available in a store level.

Business Planning and Simulation.- Supports strategic and business
performance management through scenario planning, dynamic
simulation, and integration of strategic and operational planning.
Transformation is Based on People
Creation of Value
Improving the
Operational
Efficiency based
On people
Profitable
Growth people
based
Attract, maintain, motivate and develop talent
HR Efforts
Client Services (Internal and
External)
Planning and Development of
Talent
Reduce Turnover
On-Site, Remote and Internet-
Based Training
Communication
The Essence of
Our Company is in
our People and,
through them, we
Will Transform
The Business
Organizational Structure
Over the course of the last year, we have been

making significant changes to our Organizational
Structure
Reducing our Labor Force
A more Flexible and Horizontal Structure
An Attitude that welcomes change
Variable Compensation that is Results-Oriented
A 20% reduction in the Administrative Labor Force
($20 millon pesos)
Training redefinition
Table of contants
I. Economic Figures
II. The Industry
VI. Joint Ventures
Joint Ventures
Opportunities
¨ Increase Corporate Sales
¨ Inventory Turn-Over
¨ Increase Private Label Sales
Subsidiaries

Concentrate our efforts in the 2nd largest
city with the greatest number of Mexicans
Opportunities
¨
Consolidation and Positioning in the
“Latino” Market during 2005.
¨
Potential for Growth through Third
Party Investments
Subsidiaries

Succesful definition of the Business
Concept.

Growth:
We have 47 Restaurants
For 2006 we will grow 20% annually in
the number of units.
Consolidation of our image. In 2005,
70% of the units will have the new
image.
Growth with our own cash flow
¨
¨
¨
¨

Strategy:
¨
Our Strategy will continue to be
focused on the Client through:
Products, Service and the Shopping
Environment.
Joint Ventures

¨
¨
¨
¨
¨
¨
Consolidate our Mission by demystifying technology in all of the Mexican
homes.
Growth:
98 stores
Potential for 270 new units in 5 years
In 2004 we opened 14 units.
In 2005 we will open 30 units.
Growth with our own cash flow
Opportunities:
•
•
•
Efficient inventories.
New image.
Synchronize the Supply Chain with the United States.
Joint Ventures

Business Performance:
¨ Increase in Same Store and Total Sales
¨ Increases in Margins
¨ Reduction in Operating Expenses and
Administrative Expenses
¨ Increase Financial Revenues
94 Stores in Mexico and 9 in Central America.

Different points-of-sale:
¨ Stores
¨ Telemarketing
¨ Corporate Sales
¨ Internet
Joint Ventures

Challenges for 2005:
¨ Consolidate our
Leadership Position in
Mexico and Central
America
¨ Continue with an
Aggressive Growth Plan
while Maintaining a High
Level of Profitability
• Stores
• International (open
stores in other
countries)
CAPEX
2% Net Growth in Sales
Over the next 15 months we will invest $90 million USD:
¨ 35 % for Remodelings
¨ 10% in Logistics
¨ 5% for Systems
¨ 50% in the Group’s New Stores
Self-Service
Gigante USA
Toks
RadioShack
Office Depot
Units
28
1
10
30
14
M2
37,790
3,000
4,500
21,000
M USD (E)
$
38.10
$
3.00
$
18.00
$
1.70
$
15.10
$
75.90
Table of contants
I. Economic Figures
II. The Industry
VI. Joint Ventures
Our Social Contribution
Gigante complied with its Social Responsibility through
different Actions and Strategic Programs that brought our
stores closer to their neighboring communities.
“Senior Citizens Employment Program”
“Savings Program”
“Productive Projects”
Gigante Foundation
Strategic Action Lines:
¨ Health
¨ Education
¨ Ecology
¨ Natural Disaster Relief
Has benefited more than 100,000 people
In 2004 and 2005, Grupo Gigante and Office Depot contributed
$31 million pesos
Ticket Round-Ups during 2004 generated $15 million pesos
Constitution of a Self-Sufficient Fund in the amount of $17
million pesos
Grupo Bimbo
JUNE 28
WHO ARE WE?
- Founded in 1945 in Mexico City
- Listed in the Mexican Stock Exchange since 1980
- Mexican bakery company, with strong international presence
(US $4.6 billion*)
- 74,000 employees (54,000 in México)
- Present in 14 countries (USA,México,Guatemala,Salvador,Costa
Rica,Honduras,Nicaragua,Colombia,Venezuela,Brasil,Argentina,
Chile, Peru, Chec Republic)
- Extensive distribution network in the Americas
-Close to 100 well recognized Brands
*Net sales 2004
MISSION
Manufacture and
commercialize food
products
Develop equity of
our brands
Working to satisfy
our consumers and
create value for our
shareholders.
Highly Productive and people oriented
International Leader in the bakery products industry
WORLD CLASS MANUFACTURING FACILITIES
z
Grupo Bimbo has achieved the highest standards in efficiency, sanitation
and safety in the baking industry.
z
It has continually updated and renewed production lines. For example,
the average useful life of an oven is 15 years, which is below the
median in the industry.
z
ISO 9000: 27 plants certified
z
HACCP: 27 plants certified
z
Environmental Control
System Certification: 3 plants certified
z
Manufactures 26 million products daily
EXTENSIVE DISTRIBUTION NETWORK
z
Grupo Bimbo has one of the largest distribution networks in
the Americas.
29,000 routes
Over 29,000
Units Fleet
1,325,250
points of
sale
Miles covered daily = 39 times around the globe
Bimbo´s Facilities
Head quarters
Bakeries
Salt Snaks and
candies
OUR GROWTH
Bimbo Sales VS MEXICO’S GDP
1980 BASE 100
600
500
400
300
200
100
0
1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004
GRUPO BIMBO SALES
GDP MEXICO
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Modernization of Refinery
Pipeline
Storage facilities and
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
English version
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Costa Rica
Location
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Costa Rica
Political and Social Stability
• Tradition of peace and stability
Central America
Costa Rica
– Army abolished in 1948
• Government
RECOPE
– More than 100 years of democracy
Projects
– 3 independent powers
Atlantic Terminal
– 4 years periods with reelection
– Presidential System
Pipeline
World Bank´s Political Stability Ranking
Rank*
Sales Terminals
Political Stability
23
Voice and Accountability
29
Pacific Terminal
Liquified Gas of
Petroleum
* The rank is made among a pool of 186 countries from all over the world,
Source: Kaufmann et al. (2003): Governance Matters III: Governance In
dicators for 1996-2002, World Bank Policy Research Working Paper 3106,
Source: CINDE
Political and Social Stability
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
• No financial crisis for more than 20 years
– Annual average growth of 4.5%
– Per capita income of $4,193 in 2003
• As a result, Costa Rica has been benefited
of good access to the global capital
markets and a moderate country risk
premium
• Costa Rican sovereign debt qualification:
Pacific Terminal
Liquified Gas of
Petroleum
Source: CINDE
Moody’s
Ba1
FITCH Ratings
BB
Standard & Poor’s
BB
Macroeconomic Stability in spite of
world economic crisis periods
35%
Central America
30%
Mexic o, Turkey,
Thailand,
Venez uela
Malaysia,
Costa Rica
Argentina
Indonesia, Cz ec
25%
Rep., The
RECOPE
P hillipines, Korea
20%
Braz il, Rusia
Projects
Atlantic Terminal
Pipeline
Sales Terminals
15%
10%
5%
0%
1990
1992
1994
1996
1998
2000
2002
Pacific Terminal
Liquified Gas of
Petroleum
Inflation
Rica)
tasa
de(Costa
inflación
Primary Source: Central Bank of Costa Rica
Source: CINDE
Devaluation
(Costa Rica)
tasa
de devaluación
2004
Stable Economy
Annual Growth of FDI (Foreign Direct Investment)
US$ million
Central America
700
Costa Rica
600
RECOPE
Projects
500
400
Atlantic Terminal
300
Pipeline
Sales Terminals
Pacific Terminal
200
100
0
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
Liquified Gas of
Petroleum
Note: 2004 preliminary figures.
Primary Source: BCCR
Source: CINDE
Costa Rica: Final Consumption of
Energy
120000
Central America
NO ENERGETIC
Costa Rica
OTHERS
100000
RECOPE
BIOMASS
ELECTRICITY
80000
Projects
Pipeline
Terajulios
Atlantic Terminal
HYDROCARBONS
60000
40000
Sales Terminals
20000
Año
Source: Dirección Sectorial de Energía
2001
1999
1997
1995
1993
1991
1989
1987
1985
1983
1981
1979
1977
1975
1973
1971
1969
0
1967
Liquified Gas of
Petroleum
1965
Pacific Terminal
Costa Rica: Real and Estimated volume of
petroleum fuels for year 2003-2017.
(Thousand of barrels)
30.000
RECOPE
25.000
Projects
20.000
Atlantic Terminal
15.000
10.000
Liquified Gas of
Petroleum
Source: Dirección Sectorial de Energía
2017
2016
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
Pacific Terminal
0
1993
Sales Terminals
5.000
1990
Pipeline
Others
I FO
JET
LPG
DI
Gasoline
1992
Costa Rica
35.000
1991
Central America
Hydrocarbons consumption by
economic sector
Central America
Transport
66%
Costa Rica
RECOPE
Industry
16%
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Agriculture
8%
Others
4%
Residencial
3%
Pacific Terminal
Liquified Gas of
Petroleum
Fuente: Dirección Sectorial de Energía
Comercial
3%
Public
0%
16
16
1,8
1,8
Costa Rica
14
14
1,6
1,6
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Hydrocarbons Sales
Sales (million
(million Bbl)
Bbl)
Hydrocarbons
Central America
1,4
1,4
12
12
1,2
1,2
10
10
1,0
1,0
88
0,8
0,8
66
0,6
0,6
PIB
PIB
44
Hydrocarbons
Hydrocarbons Sales
Sales
22
00
0,4
0,4
1991
1991 1992
1992 1993
1993 1994
1994
1995
1995 1996
1996 1997
1997 1998
1998 1999
1999 2000
2000 2001
2001
Year
Year
0,2
0,2
2002
2002 2003
2003
--
PIB (billions
(billions of
of colones)
colones)
PIB
Evolution of PIB & Sales of
Hydrocarbons – Period 1991-2003
Import of Hydrocarbons 1995-2004
800
800
12%
12%
11,1%
11,1%
700
700
8,9%
8,9%
9%
9%
Costa Rica
Projects
Ratio
Ratio
RECOPE
7,6%
7,6%
6%
6%
6,3%
6,3%
8,3%
8,3%
8,0%
8,0%
6,8%
6,8%
6,6%
6,6%
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
6,4%
6,4%
259
259
296
296
277
277
229
229
500
500
699,3
699,3
455
455
3%
3%
600
600
400
400
5,9%
5,9%
4,7%
4,7%
4,4%
4,4%
4,2%
4,2%
3,7%
3,7%
Pipeline
7,2%
7,2%
5,6%
5,6%
Atlantic Terminal
8,0%
8,0%
7,7%
7,7%
7,1%
7,1%
8,5%
8,5%
300
300
525
525
420
420
423
423
200
200
298
298
100
100
0%
0%
00
1995
1995
1996
1996
1997
1997
1998
1998
1999
1999
2000
2000
2001
2001
2002
2002
Petroleum
Petroleum Bill
Bill
Hydrocarbon
Hydrocarbon Imports/Total
Imports/Total Exports
Exports
Hydrocarbon
Hydrocarbon Imports/Total
Imports/Total Imports
Imports
2003
2003
2004
2004
million US$
US$
million
Central America
Una empresa con energía
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
REFINADORA COSTARRICENSE
DE PETRÓLEO
RECOPE: Strategic Frame
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Mission
– "RECOPE is a Costa Rican state-owned
company that contributes to the national
energy development. Our mission is to supply
the country's demand for hydrocarbons, with
excellence and care for the environment".
RECOPE: Strategic Frame
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Vision
– "RECOPE will be a state-owned petroleum
company under autonomous management
that will expand its framework of actions taking
into consideration its skills and its product image.
The company will be efficient, will have qualified
personnel, will be vertically integrated, and will
be strategically allied with the private sector,
within the boundaries of the natural monopoly
that this activity represents, with an international
competitive level".
Financial Statements
FINANCIAL STATEMENTS
AS OF DECEMBER 31, 2004
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
GENERAL BALANCE
ASSETS
TOTAL CIRCULATING ASSETS
TOTAL FIXED ASSETS
TOTAL OTHER ASSETS
COLONES
DOLLARS ( 1)
78.473.849.456,00
89.943.772.453,00
2.570.229.649,00
170.728.938,86
195.683.083,40
5.591.831,98
170.987.851.558,00
372.003.854,23
LIABILITIES
TOTAL CIRCULATING LIABILITIES
TOTAL LONG TERM LIABILITIES
TOTAL OTHER LIABILITIES
33.577.340.942,00
3.569.526.696,00
4.840.600.993,00
73.051.390,09
7.765.918,32
10.531.287,51
TOTAL LIABILITIES
41.987.468.631,00
91.348.595,93
COUNTABLE CAPITAL
129.000.382.927,00
280.655.258,30
TOTAL LIABILITIES AND COUNTABLE CAPITAL
170.987.851.558,00
372.003.854,23
TOTAL ASSETS
Financial Statements
STATEMENTS OF PROFIT AND LOSS
FROM JANUARY 1 TO DECEMBER 31, 2004
Central America
COLONES
DOLARES ( 1)
Costa Rica
RECOPE
Projects
Atlantic Terminal
SALES ( 2 )
5,07566E+11
1104267853
COST OF SALES ( 3 )
4,60733E+11
1002377466
GROSS PROFIT
46832897527
101890387,1
OPERATION EXPENSES
20888722168
45445831,89
747092934
1625387,116
26691268293
58069942,33
6010444582
13076417,59
20680823711
44993524,74
OTHER INCOMES ( OTHER COSTS)
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
NET PROFIT OR LOSS OF THE PERIOD
INCOME TAX
NET PROFIT OR LOSS AFTER TAXES
Notas:
( 1 ) 'Exchange Rate (sale) colón per U$ as o
459,64
( 2 ) The volume sold during the period of 2004 was 2 437 808 m3
( 3 ) Imports year 2004 - volume 2 493 886 m3
Colones
Cost CIF U$
364.357.661.289,00
698.729.159,00
National Petroleum System
Central America
Costa Rica
RECOPE
49.992 m3
473 m3
Tanker of 45.000 tpm
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
25.000 bbl/day CL
340.747 m3
20.170 m3
79.282 m3
1.737 m3
(Out of service)
Hydrocarbon Import by Volume according to
the country of origin, Year 2004
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Strategics Projects
Strategics Projects
Central America
Costa Rica
RECOPE
Sales Terminals
Projects
Atlantic
Terminal
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Pacific
Terminal
Pipeline
Modernization
of Refinery
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Atlantic Terminal
Atlantic Terminal
Location
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Atlantic Terminal
Description
• Existing Petroleum Terminal Characteristics:
Central America
Costa Rica
– Location: Puerto Moín
– Dimensions: 218m X 26,2m
RECOPE
– Design Capacity: 60 000 DWT, 15m depth BMSL.
Projects
– Actual capacity:
• 50.000 tons displacement,
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• 13m depth BMSL
• 10.5m (9.5m) max. draft
• 208m max. LOA
– Tower for Hoses, equipped with winches.
– Hoses/pipeline system for discharge.
– 8 Lines, 3.5 Km long, connecting to the refinery for
discharge of the products (6” to 20” diameter).
– Simultaneous multiple discharge.
Atlantic Terminal
Benefits
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Increase in productivity, given the 100%
availability of the existing terminal for the
other users.
– Decrease in waiting time (demurrage).
– Increase in import capacity of the petroleum.
– Decrease in the freight rate and demurrages.
– No demurrage for port congestion.
Atlantic Terminal
Investment
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Required investment: US$40 millions
• Date the project is required: 2010.
• Financing has to be confirmed by 2006.
• In 1999 CNC contracted HPC Hamburg
Port Consulting GmbH, who determined
that: “The financial results of this project
indicate that it is not feasible for
privatization under the terms of BOT”.
• MOPT-JAPDEVA-RECOPE agreement.
• The project starts in 2007 and finalizes in
2009.
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Modernization of the
Refinery
Location Plantel Moín - Refinery
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Location
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Description
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• To develop the refining infrastructure,
capable to supply fuels at a lesser cost
than the imported product, with technical
quality and controlled ecological impact.
– Increase in the refining capacity.
– Construction of new process units, that allow the
refinery to produce fuels that comply with the
quality standards.
– Installation of auxiliary units and utilities.
Benefits
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• High octane gasoline production
(decrease in the requirements of imported
gasoline for blending)
• Better utilization of naphtha in the
production of gasoline ( eliminates the
necessities to export naphtha).
• Production of diesel of 0,05% by weight of
sulphur (eliminates requirements of
blending).
• Production of L.P.G., propane and
butane.
• Maximization of diesel or gasoline.
Investment
Central America
Costa Rica
RECOPE
• Investment for the I Stage:
– Phase 1: US$ 53 million (already invested)
– Phase 2: US$ 125 million (approx.)
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
– Government approval from the Finance Ministry
and from Ministry of Planification (MIDEPLAN) to
start with Central American Bank of Economic
Integration (CABEI) the financing of the project.
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Pipeline
Pipeline - Location
Siquirres
Port Moín
Airport
Central America
Terminal El Alto
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Terminal La Garita
Turrialba
Refinery
Pipeline
Description
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Installation of a new 175.17 km long steel
pipeline of a 305mm nominal diameter
between the terminal of Moín situated in
Limón and the terminal of La Garita in
Alajuela.
• Additionally, includes new pumping
stations in the terminals of Moín, Siquirres,
Turrialba and the corresponding
installations at the receibing terminals of El
Alto y La Garita
Pipeline
Benefits
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Capacity to transport the products according to
the demand year 2020(approx.)
• Solves the transport requirements for the next 25
years.
• Reduces the inter-terminal product transportation
and distribution costs:
– Profit through pipeline transport ¢6,6/l
– Cost through camion cistern: ¢7,4/l
– Cost through pipeline: ¢0,79/l.
– Reduces the import and production costs
• More environmental safety in transportation.
• Does not affect the national road network.
III Stage of Pipeline
I Stage
Central America
II Stage
Costa Rica
III Stage
RECOPE
Siquirres
Projects
Barranca
Port
La Garita
Atlantic Terminal
Pipeline
Refinery
Table
El Alto
PIPELINE
300 mm, III STAGE
Turrialba
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Starting
Date
Finishing
Date
Length
(km)
Cost US$
Increase in Flow
rate (Diesel)
Bidding
24 August
2005
2 de
February
2007
123,24
$79.500.229,00
From 155 m3/h to
537 m3/h
LIC. PUBLICA 9303-03
CONTRACTORS
Pumping Stations
Capacity TECHINT S.A de
C.V.
Receipt of offer:
12 March, 2004
Moín:
Siquirres:
Turrialba:
2400 hp
2400 hp
3000 hp
Firm Adjudication: 17 February
2005. Ordinary Session #03919280 art.4 (10/02/05)
El Alto:
Receiving
and passing
La Garita:
receiving
Pipeline
Investment
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Investment of the project: US$ 90 million.
• Present Situation: Recope has already
contracted the company that will start the
construction of the pipeline towards the
end of this year in the month of august
2005.
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Sales Terminals
Optimisation of Storage capacity at Moín and
Distribution Terminals
Benefits
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Allows an improved operational flexibility of the
pipeline.
• Reduces the demurrage (US$18000/día).
• Increased efficiency in refining process, the import
operations, storage and distribution, reducing the
transportation cost to a minimum.
• Assures the quality of the products, by allowing the
necessary reposition time to comply with the
standards of quality control without affecting the
storage.
• Allow the preventive and corrective maintenance
of the tanks without affecting the established
minimum inventories.
Installations for the sale of IFOS
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Consists in the construction of a pipeline
blending system, interconnection between
the rawmaterial tanks and pumping system
and the replacement of existing 8”
pipeline to a 12” pipeline.
• Will allow to sell 300m3/h each to two
tankers (ships) simultaneously, which will
increase significantly the sales of IFOS
helping to dispose off the excess
production of fuel oil.
• Estimated cost $US 2.2 million.
• The bidding process will start in the year
2005.
Relocation of Pipelines
Port - Refinery
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Because of the changes being made to
increase the capacity of the present port
facilities, the existing pipelines connecting
the port with the refinery have to be
relocated over a longitud of 2 km.
• Estimated cost $US 2.1 million.
New Terminal
Juan Santamaría International Airport
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Future
Terminal of
RECOPE
Present
Installations of
RECOPE
New Terminal
Juan Santamaría International Airport
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
•Estimated Cost 6 million US$
•Enters in operation 2006-2007
Daniel Oduber – Liberia Airport
Central America
TO DE
DEPOSI
INA
GASOL
AL
TERMIN
DE LA
AREA
JEROS
DE PASA
Costa Rica
DE
AERA
RECOPE
CARGA
5
142,3
80,68
6
186,7
20,00
0
22 0,5
0
170,0
0
115,0
Projects
0
190,0
Ubicación RECOPE
75,00
8
117,1
1
491,4
23 ,00
0
215.4
Atlantic Terminal
47 ,50
0
182,5
N =2865
E=3
02.2
21
67947.
230
2
M O JO
N 0+635
EL= 79.
790
275 0m
Pipeline
Sales Terminals
A GUAR
Pacific Terminal
Liquified Gas of
Petroleum
DIA
O
CERCAD
NUEVO
NTE
EXISTE
O
CERCAD
x 45m
A LIBE
3
RIA 1
Km
Daniel Oduber – Liberia Airport
0
15
30
45
60
75m.
ESCALA GRAFICA
Central America
핾 EA ASIGNADA A RECOPE
POR AVIACI? CIVIL
18.064m2.
Costa Rica
RECOPE
핾 EA REQUERIDA POR RECOPE
10.952m2.
Projects
303
Atlantic Terminal
302
301
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Estimated Cost 3 million US$
• Enters in operation 2006
Distribution Terminals
Installations for the service to our clients
Central America
Plantel
Costa Rica
Cost
Million $US
Commisioning year
RECOPE
Projects
Atlantic Terminal
Moin
6
2007
La Garita
1
2007-2008
El Alto
2
2007-2008
TOTAL
9
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
Pacific Terminal
Pacific Terminal
Options Analysed
Central America
Costa Rica
• Punta Morales
• Puntarenas
RECOPE
• FERTICA
Projects
• Roca Carballo
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Caldera
Pacific Terminal
Location
Central America
PLANTEL BARRANCA
Costa Rica
RECOPE
Projects
Fertica
Atlantic Terminal
Pipeline
Proyecto
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
BOCA
DEL RIO BARRANCA
Pacific Terminal
Description
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Strategic Project
• Only for casual imports
• CONVENTIONAL BUOY MOORING (CBM)
System, a marine pipeline, pumping system
at the coast and a land pipeline to
Barranca.
• Tankers (Ships) of 20.000 TDW diesel and
gasoline
• Investment: $6.3
Pacific Terminal
Benefits
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• The construction of this terminal will allow
RECOPE to import diesel and gasoline
through the pacific coast to fulfil the
national demand in case of any
emergency or a natural disaster on the
Atlantic coast or at the refinery impedes
the normal import of hydrocarbons at
Moín Port in the Atlantic Coast or their
transport to the rest of the country.
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
LPG System
Scope of Project
Central America
Costa Rica
RECOPE
Projects
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• The Project “Increase in capacity and
Improvements (revamp) of the receiving,
storage and sales facilities for LPG –
Terminal Refinery Moín” consists e in:
Scope of Project
Central America
Costa Rica
• A pipeline of 12” for transportation from
port to the refinery, with a flow rate
measurement system.
RECOPE
• Five spheres of 25.000 BBls each.
Projects
• Six bullets for the storage of the production
of 1500 BBls each.
Atlantic Terminal
Pipeline
Sales Terminals
Pacific Terminal
Liquified Gas of
Petroleum
• Pumping system with measuring devices to
sales.
• Pumping system for the transferences.
• New control and supervision room.
• Estimated Cost US $28 million.
2005
New Business Development
INMSA ARGO / Korea
HONDURAS
Infrastructure
Ports :
•3 Caribbean Ocean Ports
•1 Pacific Ocean Port
Airports :
•4 International Airports
Universities
•14
z Population
6,569,026
z Democratic
Constitutional
Gov 1982-2005
z GNI p.c. US$ 970
('04)
z Literacy
72.7% total
HONDURAS INDICATORS
PROJECTIONS
Projected 05
2004
GNP GROWTH
4.0%
5.0%
Annual Inflation
6.8%
9.1%
MONETARY SECTOR
January 05 January 04
Deposit rate
10.9%
11.6%
Lending rate
30.8%
31.8%
Exchange rate (Lps./US$1.00)
19.00
17.78
Source: Central Bank of Honduras
2004 GNP US$6,700 mm
2003
3.2%
6.8%
n.a.
n.a.
n.a.
Organizational Structure
President of
the Board
Board of Directors
General Manager and Sales/Marketing VP (2)
V.P.New Business
Development (1)
ISO Statistical
Unit (2)
Project Manager (3)
Engineering
Mgr (8)
Plant
Mgr (5)
Controller/ISO RD (1)
Field Mgr
(3)
General
Accountant
(4)
HR Mgr (1)
Operation
Mgr (7)
MIS (1)
Authorized Civil Work
Sub Contractors :
• Inversiones Rio Nance
• Proinmsa
Structural
Steel
Estimators
and Staff (4)
Civil Works
Estimators
and Assistant
Estimator (2)
Admin.
Mgr (6)
NEW BUSINESS DEVELOPMENT
SOURCING STRATEGY
CO-GENERATION
TRI-GENERATION
Waste Water Treatment Plants
Textile/Industry/Residential
Others
Procurement
of Equipment and
Materials for Large Scale
Industrial Complexes and Supply
Chain for Textile and Automobile
Wire Harness
I.A.I.
Large Scale
Industrial/Residential
Complexes
Conventional Products Mix
Export Sales
For Pre-Engineered Steel
related Products
U.S.A./Caribbean Market
CATEGORY: CONSTRUCTION
Material, equipment, machinery and technology for industrial
and commercial complexes
- Industrial finishing for floors
- Aluzinc and Aluzinc prepainted roof and sidewalls claddings
- Structural Steel (Brokers) Beams, Plates, Angles and Tubular
Profiles.
- Industrial Air Condition systems
- R-13, R-19 Insulation for roof systems applicable in industrial
buildings.
- Sprinklers or Similar Fire protection Systems for industrial or
commercial buildings.
- Waste Water Industrial Plant Systems emphasis COLOR DYE
removal
- Energy efficient Illumination systems for industrial buildings.
CATEGORY: ENERGY
Equipment and Technology Representations for
Renewable and Nonrenewable Production of Power
Generation ( 3 MG and up).
-
Wind
Hydro
Thermal
Small gen sets diesel engine (up to one mega )
CATEGORY: AUTOMOTIVE
- Chain of suppliers to distribute soft components
for the wire HARNESSES automotive industry in
Central America (cables, terminals, connections,
others).
- Set up in Honduras Distribution and or
Manufacturing to produce “ tape“ for the
automobile wire harness industry demand in
Central America.
MARKETING
z DIRECT MARKETING TECHNICAL
SALES FORCE HONDURAS AND
CENTRAL AMERICA
z NET WORKING
z WEB PAGE
z USA BASED OFFICE(INMSA ARGO
USA)
PRODUCTS AND
SERVICES
DESIGN AND ENGINEERING
FOR STRUCTURAL STEEL
WORKS AND LARGE
SCALE INDUSTRIAL AND
COMMERCIAL COMPLEXES
STEEL TANKS
UNDERGROUND
STORAGE STEEL AND
FRP TANKS
NON CONVENTIONAL
STEEL STRUCTURE
UTILITY POWER PLANT
LARGE SCALE
INDUSTRIAL
COMPLEXES AND
CIVIL WORKS
LEAR
WOON CHUN HONDURAS
USA EXPORT TRACK
RECORD AND GROWTH
OPPORTUNITIES
GALVANIZED STEEL STRUCTURE
EXPORTED INTO THE U.S.A.
MARKET
Typical Broiler
Chicken
Houses
exported into
the U.S.A.
THANK YOU
감사합니다.
Demographics
Dominican Republic
Area
- Population
South
North
- Main Cities :
Santo Domingo
Santiago
San Cristobal
La Vega
48,000 km2
8.5MM
5.5
3.0
+2.5MM
-1.0MM
0.5MM
-0.5MM
POPULATION AGE
Dominican Republic
A Young Country
60-65+ Years
25%
8.0%
Under 10 years of age
22.4% Teenagers
76.6% Under 40 years
40-59 Years
20-39 Years
0-19 Years
15.0%
29.1%
47.5%
ETHNIC GROUPS
White:
16%
Black:
11%
Mulatto: 73%
Inflation Rate (%)
12%
70%
11,3%
65,3%
10% 9,2%
61,4% 62,3%
63,0%
60,4%
60%
55,6%
51,8%
8%
47,9%
50,9%
46,1%
Mensual
Acumulada
12 meses
6%
32,9%
4%
50%
28,7%
31,1%
2,6%
2,3%
24,4%
2%
28,5%
31,9%
31,1%
2,0%
32,6%
1,4%
30%
30,7%
28,7%
25,2%
0,6%
0,7%
21,5%
40%
35,5%
20%
0,5%
0%
Ene
-2%
Feb
Mar
Abril
9,2%
-4%
Source: Banco Central de República Dominicana
May
Jun
Jul
Ago
Sept
-1,1%
Oct
Nov
Dic
10%
-1,7%
-1,5%
0%
ECONOMIC INFORMATION
Annual Growth GDP
9,40%
10,0%
8,2%
7,3%
8,0%
6,0%
7,3%
5,50%
4,8%
4,0%
2%
1,95%
2,0%
0,0%
-1%
-0,40%
-2,0%
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
DIVISION OF POPULATION BY ACTIVITY
Agriculture and
Industry
Services
20%
33%
1%
7%
Public Adm.
Construction
4%
35%
Mining and
electricity
Others
U$ EXCHANGE RATE
45,00
41,82
Exchange Rate
40,00
37,55
35,00
30,00
25,00
21,45
20,00
15,00
13,16
13,26
14,00
1994
1995
1996
14,40
14,70
1997
1998
16,45
16,63
16,95
1999
2000
2001
10,00
5,00
0,00
2002
2003
2004
U$ EXCHANGE RATE
46
45
44
43
42
41
40
39
38
37
36
35
34
33
32
31
30
29
28
October
October
September
September
October
October
November
November
28
23
18
13
8
3
28
23
18
13
8
3
29
24
19
14
9
4
29
24
19
14
9
4
30
25
20
15
10
5
30
27
December
December
Net International reserve
Excluding Reserve Requirement
In US Million
227,2
197,9
75,4
18,2
0,1
ene
feb
mar
abr
may
jun
jul
ago
-66,9
-94,5 -83,0
-113,1
-119,4
-177,2-162,7
Source: Secretería de Estado de Finanzas de la República Dominicana, nov. y december son
estimates
sept
oct
nov
dic
THE GROUP
Total MercaSID Group
Total Sales
US$276MM
Human Resources
2,550
COMPLEXITY
Personnel
Brands
10
20
8
10
SKU's
84
211
72
150
48
517
300
3
20
INDUVECA
1,250
9
98
T otal Group
2,550
60
635
Spreads & Oil
Foods
K.C.
F.S./Ind./Exp.
M ERCASID
Crystal
1,000
OUR BUSINESS
Business
Market Share
Oils & Fats
76%
Edibles
65%
Personal Care (Kimberly Clark)
73%
Foodservice and Industry
N/A
Meat Products (Induveca)
65%
Water (Crystal)
23%
MERCASID
MERCASID
SHAREHOLDERS
80%
20%
BONETTI &
ARMENTEROS
VITIENES
ADMINISTRATION
STRUCTURE
Executive
Vice-President
Roberto Bonetti
Support Units
Business Units
Finance
Administration
Oils & Fats
Edibles
Operations
Corporate
Sales
Kimberly
Clark
F.S./Ind.
Corporate
Purchasing
Corporate Statement
• Our main goal is to strengthen
our leadership in the consumer
markets.
• To expand our line of products.
• To develop activities in the
institutional sector and the
export market.
Corporate Statement
• We have been fostering close links with
multinational corporations, offering a
full-fledged distribution channel for their
products.
• Our commitment is also to strengthen
our corporate business through an
aggressive merger and acquisition
program based on the careful
observation and evaluation of potential
markets.
OUR MISSION
• Is to lead in innovation, production, and
marketing of consumer products that
satisfies or exceeds expectations of the
Dominican consumer.
• We achieve our mission through
excellence in quality, responsible service
and the will to maintain a continuing
commitment to improving our company
KEY ASSETS
Our People
MercaSID will always be committed
to the personal and professional
growth of its employees.
KEY ASSETS
OUR BRANDS
MercaSID has achieved a prominent
position by creating strong brands
through active research of market
needs and strong marketing and
promotional support. Consumers
throughout the Dominican Republic
consider our products to be of
excellent quality.
KEY ASSETS
Commitment To Quality
At MercaSID we strive to maintain
our quality standards throughout
all our processes.
The company is ISO 9000-2
certified.
VISION
• To Be the Number One Consumer Food
Company in the Caribbean Region
by maintaining our leadership
and solid market position in each
category in which we compete
EDN OILS & FATS
MARKET SHARE
Oils & Fats
9%
17%
MercaSid
La Fabril
Cesar Iglesias
Margarines
74%
Edible Oils
Rica
4,1%
Parkay
1,5%
Sabrina
2,5%
Ricamesa
5,8%
Otras
5,8%
Dorina
5,2%
Amapola
0,6%
Manicera
74,5%
EDN EDIBLES
KIMBERLY CLARK
MARKET SHARE
Oils
Oils
Corn
Corn Flour
Flour
Olive
Olive Oil
Oil
Margarine's
Margarine's
Cereals
Cereals
Soy
Soy Milk
Milk
Meat
Meat Products
Products
Diapers
Diapers
Mayonnaise
Mayonnaise
Chocolates
Chocolates
Bottled
Bottled Water
Water
INTERNATIONAL BUSINESS PARTNERS
•
•
•
•
•
•
•
•
•
•
•
Unilever/B.F.
Kellogg's
Campofrio
Kimberly Clark
The Pillsbury Company
Hershey Foods International
Koipe
The Häagen Dazs Company
Danone
Cargill
Novartis
1972
1987
1992
1994
1994
1995
1997
1997
1999
1999
2004
DISTRIBUTION
MARKET ANALISIS BY CHANELS
DIVISION OF CLIENTS BY CHANNELS
TYPE OF CLIENT
TOTAL
%
MERCASID
%
MARKET
PESO
+ SQ - PROY.
OF TOTAL
598
8
74
1.58%
0.02%
0.20%
570
8
74
95.32%
100.00%
100.00%
Self Service
Discount Stores
Surtidoras
Farmacies
Corner Stores
525
38
33
1,600
35,000
1.39%
0.10%
0.09%
4.22%
92.41%
445
32
23
423
27,014
84.76%
84.21%
69.70%
26.44%
77.18%
TOTAL
37,876
Wholesale
Supermarket Chains
Middle sized Supermarket
28,589
We visit a total of 16,000 Corner Shops
Crystal Water
OUR PLANT
OUR PRODUCTS
• Water Crystal
–
–
–
–
9 oz. Cup
0.5, 1 & 1.5 lt. Bottle
1 Gallon Bottle
5 Gallon Bottle
INDUSPALMA
INDUSPALMA
Production
3,974
Hectares in current production
815
Hectares in development
4,789
Total Hectares Planted with palms
Annual Production
15,000 MT Crude Palm Oil
1,250 MT Crude Palm Kernel Oil
2,500 MT Palm Kernel Meal
INDUVECA SHAREHOLDERS COMPOSITION
Popular
Rivera
10%
36%
54%
MERCASID
The Company
¾Induveca is the leading company in the
production and distribution of branded proccessed
meats in the Dominican Republic.
¾The company was first established in 1968 by Mr.
Pedro Antonio Rivera and in 2001 MercaSID
acquiered mayority share.
¾Induveca is the leading company in distribution
of refrigirated product visiting directly 90% of POS
nation wide
Vision
To be the preferred branded refrigerated
products company in the Dominican
Republic and to actively compete in the
Caribbean Market.
Mision
.
Maximize results implementing the
best business practices.
Structure
Board of Directors
Executive Committee
RB, MMc, AH, JP
Executive Vice-president
JG
Sales &
Marketing
Distribution
Administration
Finance
Technical
Area
R&D
Our Products
¾Salami
¾Ham
¾Sausage & Hot Dog
¾Smoke Meat Product
¾Cured Processed Meat
¾Pork Fresh Meat Cut
Sales 2004
RD$2,934 MM
US$73.3 MM
66.7 MM/LBS
Market Share
65 MM POUNDS
65/70% Salami
65/70% Ham
55/60% Sausage
Markets/Positioning Statements
POSICIONAMIENTO
A quality product for every
member of the family
A quality product made locally by
artisans for the family
A quality product made with care
in pursue of my health and that
of my family
A fun quality product made to be
share amongst all
PREMIUM
ALTO
VALOR
VALOR
ECONOMICO
SALES STRUCTURE
Territories
Territories
South
North
South
North
CENTROS/OFFICINAS
CENTROS/OFFICINAS
TOTAL
TOTAL
PERSONAL
PERSONAL
Pre-Ventas
Pre-Ventas
Junior
Junior Pre-ventas
Pre-ventas
Retail
Retail
Juniors
JuniorsRetail
Retail
Asistentes
Asistentes
Supervisores
Supervisores
Gerentes
GerentesNacional
Nacional Canales
Canales
Gerente
Gerente Nacional
Nacional Ventas
Ventas
Asistente
Asistente Gerencia
Gerencia
Analista
Analista de
de Ventas
Ventas
TOTAL
TOTAL
Transportacion
Transportacion
Retail
Retail
Pre-Ventas
Pre-Ventas
TOTAL
TOTAL
11
11
11
11
Sto
Sto Dgo
Dgo Occ
Occ
Sto
Dgo
Sto Dgo Ori
Ori
FOODSERVICE
FOODSERVICE
TOTAL
TOTAL
11 Santiago
Santiago
11 La
La Vega
Vega
Romana
Romana
Azua
Azua
44
22
77
11
70
70
77
70
70
10
10
22
11
11
11
183
183
33
109
109
78
78
14
14
92
92
54
54
33
57
57
66
22
22
12
12
11
118
118
12
12
118
118
15
15
22
11
11
11
281
281
00
132
132
17
17
149
149
48
48
55
48
48
55
Market Visit
South
South
North
North Foodservice
Foodservice
Total
Total
CLIENTS
CLIENTS
Retail
Retail
Pre-Sales
Pre-Sales
Total
Total
17,146
17,146 12,973
12,973
287
144
287
144
17,433
17,433 13,117
13,117
107
107
107
107
Monthly
Monthly Visits
Visits
82,061
82,061 52,733
52,733
428
428 135,222
135,222
30,119
30,119
538
538
30,657
30,657
Our Brands
Our Company
Our Country
THE GROUP