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1 PT Charoen Pokphand Indonesia Tbk Public Expose 16 May 2012

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Page 1: AF6DD3D6-4BB9-40B3-AFB0-4755BFF089ED

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PT Charoen Pokphand Indonesia Tbk

Public Expose16 May 2012

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Disclaimer and Forward Looking Statements

• This presentation contains certain forward looking statements and forward-looking financial information. Such statements and financial information are based on certain assumptions and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of PT CharoenPokphand Indonesia Tbk (the “Company”) to be materially different from those forecast. The inclusion of such statements and information should not be regarded as a representation, warranty or prediction with respect to the accuracy of the underlying assumptions by the Company, or any other person, or that the forecast results will or are likely to be achieved.

• This presentation is for information purposes only and does not constitute or form part of an offer, solicitation or invitation of any offer, to buy or subscribe for any securities, nor should it or any part of it form the basis of, or be relied in any connection with, any contract or commitment whatsoever.

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Introduction to PT Charoen Pokphand Indonesia Tbk

Indonesia’s largest producer of poultry feed, day old chicks, and processed chickens

Founded in 1972 by Charoen Pokphand Group ~ operating track record of 38 years

Market leader in Indonesia within each business segment, with strong established brands

Well positioned to take full advantage of the abundant opportunities in the Indonesian poultry industry

Publicly listed since 1991

Company Overview Ownership Chart

PT Charoen Pokphand Indonesia TbkPoultry Feed, Processed Chicken & Poultry-Related

PT Charoen Pokphand Jaya FarmDay Old Chick

PT Centralavian PertiwiDay Old Chick

PT Istana Satwa BorneoDay Old Chick

PT Satwa Utama RayaDay Old Chick

PT Vista Agung KencanaDay Old Chick

PT Cipta Khatulistiwa MandiriDay Old Chick

99.99%

99.96%

99.98%

99.96%

50.00%

PT Vista GrainPoultry Feed

99,99%

Company and its subsidiaries

PT Primafood InternationalProcessed Chicken Distributor

PT Agrico InternationalTrading

PT Feprotama PertiwiChicken Feather Mill

PT Poly Packaging IndustryWoven Bag for Poultry Feed

99.92%

99.96%

99.90%

99.32%

99.99%

PT Cipendawa AgriindustriDay Old Chick

99.99%

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North SumatraPoultry Feed, DOC, Food

BantenPoultry Feed, DOC, Food

West JavaDOC

RiauDOC

LampungPoultry Feed, DOC

Nationwide Production Facilities

Central KalimantanDOC South Sulawesi

Poultry Feed, DOC

Introduction to PT Charoen Pokphand Indonesia Tbk

South Sumatra DOC

Central JavaPoultry Feed, DOC, Food

East JavaPoultry Feed, DOC, Food

East Nusa TenggaraDOC

North SulawesiDOC

East KalimantanDOC

South KalimantanDOC

West KalimantanDOC

JambiDOC

BaliDOC

PapuaDOC

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Balaraja

SidoarjoSemarang

Denpasar

Medan

Lampung

Palembang

Pekanbaru

Banjarmasin

Samarinda

MakassarBogor

KarawangCirebon

Jakarta

Manado

BalikpapanPontianak

SurabayaBandung

Headquarters Branch Office Representative Office

SampitPadang

Salatiga

Nationwide Distribution Network

Introduction to PT Charoen Pokphand Indonesia Tbk

Jambi

Batam

Kupang

Jayapura

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Vertically Integrated Poultry Operations

Raw Material

Corn, Soybean Meal and others

Feed Mills

Poultry Feed

Breeding Farms

DOC FS BroilerDOC FS Layer

Broiler Farm

Poultry

Layer Farm

Poultry Egg

Distributor

More than 1,200 agent or poultry shop

Nucleus

More than 10,000plasma

Slaughter House

Poultry Meat

Distributor

Further Process

Value Added Food

Customer

Dedicated research and development yield efficient

feed conversion rate and disease

resistant

CP Group inter-exchange of intelligence resulting in

strong bargaining position against

suppliers

Loyal distributors and nucleus

served by our nationwide

network provide strong and stable

demand

Transfer technology to the

farmers as a service to improve

productivity and healthiness

Healthy assurance poultry

with hygienic process will serve more than 1,000

distributors

Breeding Farms

DOC PS BroilerDOC PS Layer

Raw Material

DOC GP

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2.220 2.363

656787

-

500

1.000

1.500

2.000

2.500

2010 2011 3Mo 2011 3Mo 2012

IDR

bill

ion

3.754 3.924

1.006 1.251

-

1.000

2.000

3.000

4.000

5.000

2010 2011 3Mo 2011 3Mo 2012

IDR

bill

ion

15.07817.958

4.380 4.894

-2.0004.0006.0008.000

10.00012.00014.00016.00018.00020.000

2010 2011 3Mo 2011 3Mo 2012

IDR

bill

ion

Financial Highlights

2.9813.181

8711.090

-

500

1.000

1.500

2.000

2.500

3.000

3.500

2010 2011 3Mo 2011 3Mo 2012

IDR

bill

ion

YOY: 19% YOY: 5%

YOY: 7% YOY: 6%

Net Sales Gross Profit

Net IncomeEBITDA

YOY: 12%YOY: 24%

YOY: 25%YOY: 20%

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2.447 2.405

648912

-

500

1.000

1.500

2.000

2.500

3.000

2010 2011 3Mo 2011 3Mo 2012

IDR

bill

ion

Financial Highlights

Sales Value Poultry Feed

Sales Value Processed ChickenSales Value DOC

11.208

13.822

3.327 3.462

-2.0004.0006.0008.000

10.00012.00014.00016.000

2010 2011 3Mo 2011 3Mo 2012

IDR

bill

ion

YOY: 23%

1.3231.579

364 438

-200400600800

1.0001.2001.4001.6001.800

2010 2011 3Mo 2011 3Mo 2012

IDR

bill

ion

YOY: -2% YOY: 19%

Poultry Feed71%

DOC19%

Processed Chicken

9%

Others1%

1Q 2012 Revenue Breakdown

YOY: 4%

YOY: 41% YOY: 20%

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Conclusion

Large scale opportunity

National macro economic growth driving increased demand

Strong growth prospects for increased poultry and egg consumption in Indonesia

Poultry meat remains the most affordable source of animal protein

Growth in modern food outlets

Strong competitive position and underlying fundamentals

Indonesians are currently undergoing a dietary shift that includes more animal protein

Superior feed formulation; track record and know-how

Proven large scale integrated business with established nationwide distribution channel

Dominant market share in Indonesia

Significant barriers to entry for competition

Strong brands and customer relationships

Strong consistent growth expected

Increase feed production and sales

Increase day old chick production and sales

Expand processed food business