[PPT] - EARNINGS PRESENTATION Q415 March 2016 2015 1 highlights 2015 PowerPoint Presentation

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EARNINGS

PRESENTATION Q4’15

March 2016

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2015 highlights 2015 financial results investments 2016-2018

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1 2015 highlights

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CONSISTENT GROWTH

101 new pharmacies

 46 in Lima and 55 in Provinces, totaling 921 pharmacies

+29k sqm of additional GLA

 Acquisition of Real Plaza Sullana  7 mall expansions

+19k sqm of new sales area

 5 new supermarkets, totaling 106 stores  2 store expansions

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Refurbished and improved layouts of 10 supermarkets

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Before After New logo and store facades New layout and signage Shelf-ready packaging Improved lighting Improved in-store look and feel Increased sales area

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Innovative promotions and campaigns

3,757 +8.5% 2015 4,077 2014 +49 bps 26.1% 2015 2014 25.6%

Increase in Revenues Gross Profit Margin Improvement

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piloting new discount format

Piloting a low CAPEX, low cost, every day low price format to capture untapped demand and penetrate traditional trade 19 stores between 100 and 300 sqm in Lima Testing value proposition (assortment, price, store size, etc.) Ensuring cost structure through store productivity and efficient supply chain Deployed CAPEX of approximate US$2 mm for pilot

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3,500 m2

Supply chain efficiencies

2015 2014

7.3 bps

Reduced logistic expenses over sales

Transfer center in Arequipa converted to new

Distribution Center

Inventory Days

Enhanced distribution center productivity
New software to manage store inventory
2H15 preemptive inventory increase due to

El Niño effect

110 100 90 Q2’14 Q3’14 Q1’14 Q4’14 Q2’15 Q4’15 Q1’15 Q3’15

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Great place to work

The Best Companies to Work for >1,000 employees

#5

The Best Companies to Work for >1,000 employees

#11

The Best Companies to Work for - 251 to 1,000 employees

#5

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2 2015 Financial

results

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2015 consolidated financial results

Million Soles (S/. mm)

Highlights 2015 Revenues

Double digit growth in Revenues, Adj. EBITDA, and Net

Income vs. 2014

Reduced debt exposure to USD: 23% vs. 72% in 2014
Mark to-market gain of S/33 mm and net exchange

loss of S/169 mm

Increase in EPS from S/1.1 in 2014 to S/.1.4 in 2015
Adj. EBITDA

Net Income

6,798 6,147 1,868 1,738 Q4’14 10.6% 7.4% 2015 2014 Q4’15 144 113 99 21 Q4’15 Q4’14 27.3% 362.1% 2015 2014 724 604 219 202 2014 Q4’15 Q4’14 8.4% 19.9% 2015 Margin 11.6% 11.7% 9.8% 10.7% Margin 1.2% 5.3% 1.8% 2.1%

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InRetail Consumer InRetail Shopping Malls

10.7% 10.9% 2015 459 56% 44% 2014 415 56% 44% Q4’15 148 64% 36% Q4’14 133 64% 36% 9.8% 7.7% 2015 6,406 64% 36% 2014 5,833 64% 36% Q4’15 1,759 65% 35% Q4’14 1,633 67% 33% Margin: 8.2% 8.4% 7.1% 7.2% Net Rental Margin: 82.1% 80.7% 80.2% 82.8% 435 349 118 110 2015 2014 Q4’15 Q4’14 7.5% 24.5% 272 202 73 68 34.6% 7.9% 2015 2014 Q4’15 Q4’14 Supermarkets Pharmacies

2015 Financial results by segment

Million Soles (S/. mm)

Revenues

Adj. EBITDA

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SUPERMARKETS

RESULTS BY SEGMENT

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S/. mm Q4'15 Var % Q4'14 2015 Var % 2014 Revenues 1,149 5.0% 4,077 8.5% Gross Profit 313 10.9% 1,065 10.6% EBITDA 96 12.3% 259 11.8% Gross Mg 27.2% 146 bps 26.1% 49 bps EBITDA Mg 8.3% 54 bps 6.3% 18 bps

SSS +1.5% in Q4’15 and +3.7% in 2015 Gross margin expanded 49 bps

Innovative promotional campaigns
Higher rebates and store opening contributions
Higher rental and logistic revenues
Lower shrinkage due to logistic and operational initiatives

EBITDA margin improved 18 bps

Store and logistic efficiencies
Employee and marketing productivity

Excluding an extraordinary income in 2014, EBITDA grew 17.3% in 2015, and EBITDA margin improved from 5.9% to 6.3%

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PHARMACIES

SSS growth of 6.4% in Q4’15 and 5.1% in 2015 Gross margin improved 23 bps

Change in mix of products sold
Reduction in shrinkage

Increased penetration of high margin products Excluding an extraordinary income in 2014, EBITDA grew 13.9% in 2015, and EBITDA margin improved from 8.5% to 8.7% in 2015

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RESULTS BY SEGMENT

S/. mm Q4'15 Var % Q4'14 2015 Var % 2014 Revenues 613 13.3% 2,339 12.1% Gross Profit 194 14.7% 740 12.9% EBITDA 53 8.5% 202 9.7% Gross Mg 31.7% 41 bps 31.7% 23 bps EBITDA Mg 8.6%

38 bps

8.7%

19 bps

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SHOPPING MALLS

Maintained high occupancy rates in malls (~97%) Adjusted EBITDA growth

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34.6% mainly explained by the contribution of Real Plaza Salaverry (+S/27.5 mm), Centro Civico (+S/16.5 mm) and expansions of Huancayo, Guardia Civil and Juliaca Mark-to-market income of S/37.6 mm in 2015 from shopping mall expansions and acquisitions vs S/150.0 mm in 2014

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RESULTS BY SEGMENT

S/. mm Q4'15 Var % Q4'14 2015 Var % 2014 Revenues 118 7.5% 435 24.5% Gross Profit 80 5.8% 301 30.1%

Adj. EBITDA

73 7.9% 272 34.6% Gross Mg 68.1%

111 bps

69.1% 295 bps Net Rental Mg 80.7%

141 bps

82.8% 257 bps

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Quarterly Openings and SSS by Segment

288 274 273 273 270 261 253 249 Q2’14 Q1’14 Q3’15 Q2’15 Q1’15 Q4’14 Q3’14 Q4’15

Supermarkets

Sales Area (‘000 sqm)

No Stores 98 98 100 101 102 102 921 874 848 838 837 787 754 731 Q3’15 Q2’15 Q1’15 Q4’14 Q3’14 Q2’14 Q1’14 Q4’15

Pharmacies

No Stores

582 581 572 558 553 542 499 425 Q1’15 Q4’14 Q3’14 Q2’14 Q1’14 Q3’15 Q2’15 Q4’15

Shopping Malls

GLA (‘000 sqm)

No Malls 15 16 17 17 17 18

Supermarkets

Q3’15 4.3% Q2’15 4.1% Q1’15 5.6% Q4’14 4.9% Q3’14 2.6% Q2’14 5.2% Q1’14 4.8% Q4’15 1.5%

Pharmacies

Q3’15 2.1% Q2’15 5.7% Q1’15 6.4% Q4’14 5.9% Q3’14 8.2% Q2’14 10.8% Q1’14 9.3% Q4’15 6.4% 106 18

SSS Averages 2013: 0.4% 2014: 4.4% SSS Averages 2013: 2.7% 2014: 8.5%

Openings Same Store Sales (SSS)

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2015: 3.7% 2015: 5.1%

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Adjusted ebitda evolution

Million Soles (S/. mm)

160 110 101 104 202 154 131 117 216 170 170 163 10.6% 29.6% 39.0% Q4 Q3 Q2 Q1 +7.0% 38 26 24 26 68 55 43 36 73 67 66 63 21.0% 54.8% 74.4% Q4 Q3 Q2 Q1 +7.9% 81 42 42 45 85 48 44 55 96 54 52 57 Q1 +12.3% Q2 12.7% 19.2% 4.2% Q4 Q3 41 43 36 34 49 52 46 39 53 52 53 45 +8.5% Q1 Q3

0.1%

Q4 16.7% 15.9% Q2 2013 2014 2015 2013 2014 2015

InRetail Consolidated Shopping Malls Supermarkets Pharmacies

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Consolidated Net Income

Million Soles (S/. mm)

Net Income Net Income excluding after-tax FX and mark-to- market gains:

144 113 99 21 +27.3% +362.1% 2015 2014 Q4’15 Q4’14 Net Margin 1.2% 5.3% Net Margin

0.3%

6.0% 1.8% 1.6% 2.1% 3.5% 240 97 113

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Q4’14 Q4’15 +148.2% 2015 2014

27.5% in financial expenses, net, in 2015, explained by a
ne-time expense in 2014 of S/.97 mm for bond tender

premiums

Lower mark-to-market gains:
S/33 mm in 2015 vs. S/138 mm in 2014
S/18 mm in Q4’15 vs. S/97 mm in Q4’14
Additional FX loss, net:
FX loss of S/169 mm in 2015 vs S/115 mm in 2014
FX loss of S/37 mm in Q4’15 vs S/58mm in Q4’14

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115 82 89 144 113 Net Income 2014 EBITDA Growth Net Income 2015 Other

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Hedge + OMR Effect Higher FX Loss

143

Lower Mark to Market

106

Lower Financial Expenses

Net Income Breakdown

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CapexAND CASH-FLOW Breakdown

Million Soles (S/. mm)

19 2014: S/792 mm

Free Cash Flow 2015: S/276 mm

Cash-Flow Breakdown

197 105 134 74 104 333 242 114 Q3’14 Q2’14 Q1’14 Q1’15 Q4’14 Q4’15 Q3’15 Q2’15

2015: S/510 mm

787 235 285

510

Operating Cash Flow Starting Cash Balance Financial Expenses and Other

215

Debt Reduction

111

CAPEX Ending Cash Balance

Consolidated Capex

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CONSOLIDATED Financial DebT

Million Soles (S/. mm)

Consolidated Financial Debt USD Exposure

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28% 38% 72% 23% 38% dic-15 dic-14 Hedge USD PEN Debt Cash Net Debt 1,668 1,125 542 1,722 324 1,398 2,446 285 2,160 2,467 242 2,225

3.6x 3.7x 3.6x 3.8x 4.0x 3.6x 4.0x 3.2x 3.6x 2.9x 1.3x 3.4x 3.2x 3.4x LTM Q1’15 2014 2013 2012 2015 1/ LTM Q3’15 LTM Q2’15 Debt / EBITDA Net debt / EBITDA

2,499 302 2,197 2,599 190 2,410 2,670 325 2,344

1/ Ratios consider positive hedge effect of S/57 mm

+S/224 mm debt in 2015 vs 2014, explained by:
S/111 mm from debt reduction
+S/235 mm from depreciation of FX
+S/91 mm from call spread liability
+S/9 mm from structuring costs and

interests payable

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Debt by segment

Million Soles (S/. mm)

Total Consolidated Debt: S/.2,670 mm

Debt / EBITDA: 3.6x Net Debt / EBITDA: 3.2x

Debt Cash Net Debt 976 306 670 1,095 215 880 1,347 168 1,179 1,374 148 1,226 691 656 35 624 81 543 1,111 124 967 1,139 161 977 1,339 144 1,195 1,128 93 1,035

3.1x 3.3x 3.1x 3.2x 3.2x 3.0x 2.9x 2.6x 2.8x 2.4x 2.0x 3.0x 2.7x 2.9x 2014 2013 2012 2015 1/ LTM Q3’15 LTM Q2’15 LTM Q1’15 Debt/EBITDA Net Debt/EBITDA

1,456 127 1,329

4.5x 4.3x 4.5x 5.0x 5.5x 5.4x 8.2x 4.1x 4.9x 4.7x 0.4x 4.1x 4.1x 4.3x LTM Q3’15 2015 1/ LTM Q2’15 LTM Q1’15 2014 2013 2012

1,144 66 1,078

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1,422 202 1,220

1/ Ratios consider positive hedge effect of S/19 mm for InRetail Consumer and S/38 mm for InRetail Shopping Malls

1,248 128 1,120

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Investments 2016-2018

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Investments 2016-2018

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2016 Key Investments Projected CAPEX of S/2 B for 2016-2018 Supermarkets Pharmacies Shopping Malls

Opening of 10k sqm of sales area (+3.5% growth) Initiate construction of additional 5k sqm to be opened in Q1 2017 Initiate construction of new automated Distribution Center and Food Manufacturing Plant to be operational in 1H 2018 +80 new pharmacies (+8.7% growth in 2016) Mall expansions to add 14k sqm of GLA (+2.5% growth in 2016) Start construction of Puruchuco mall (120k sqm of GLA) to open in 2H 2018

Supermarkets 54.1% Pharmacies 8.2% Shopping Malls 37.7%

By Segment

New stores, malls and landbank 67.7% Refurbishing and expansions 15.2% Maintenance 6.8% Logistics, IT, other 10.3%

By Type of Investment

SLIDE 24 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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EARNINGS

PRESENTATION Q4’15

March 2016