Born in 1973...essence of the Canadian outdoors. Investor Presentation January 2018. Disclaimer ......

Born in 1973

Roots was founded by

Michael Budman and Don Green.

United by a summer camp

friendship and inspired by the

rugged beauty of Algonquin Park,

they set out to create an enduring

lifestyle brand that captured the

essence of the Canadian outdoors.

Investor Presentation

January 2018

Disclaimer

All figures discussed in this presentation are stated in $CAD millions, unless otherwise noted.

Non-IFRS Measures and Industry Metrics

This presentation makes reference to certain non-IFRS measures including certain metrics specific to the industry in

which we operate. These measures are not recognized measures under IFRS, do not have a standardized meaning

prescribed by IFRS and, therefore, may not be comparable to similar measures presented by other companies. Rather,

these measures are provided as additional information to complement those IFRS measures by providing further

understanding of our results of operations from management’s perspective. Accordingly, these measures are not intended

to represent, and should not be considered as alternatives to net income or other performance measures derived in

accordance with IFRS as measures of operating performance or operating cash flows or as a measure of liquidity. In

addition to our results determined in accordance with IFRS, we use non-IFRS measures including EBITDA, adjusted

EBITDA, adjusted net income, and adjusted net income per diluted share. This presentation also refers to comparable

sales growth, a commonly used metric in our industry but that may be calculated differently compared to other

companies. We believe these non-IFRS measures and industry metrics provide useful information to both management

and investors in measuring our financial performance and condition and highlight trends in our core business that may not

otherwise be apparent when relying solely on IFRS measures. Definitions and reconciliations of non-IFRS measures to

the relevant reported measures can be found in our MD&A under “Cautionary Note Regarding Non-IFRS Measures and

Industry Metrics”, which is available on SEDAR at www.sedar.com.

Forward-Looking Information

Certain information in this presentation contains forward-looking information. This information is based on management’s

reasonable assumptions and beliefs in light of the information currently available to us and are made as of December 5,

2017. Actual results and the timing of events may differ materially from those anticipated in the forward-looking

information as a result of various factors. Information regarding our expectations of future results, performance,

achievements, prospects or opportunities or the markets in which we operate is forward-looking information. Statements

containing forward-looking information are not facts but instead represent management’s expectations, estimates and

projections regarding future events or circumstances. Many factors could cause our actual results, level of activity,

performance or achievements or future events or developments to differ materially from those expressed or implied by the

forward-looking statements.

See “About this Prospectus – Forward-Looking Information” and “Risk Factors” in the Company's final prospectus filed in

connection with its initial public offering on October 18, 2017, which is available on SEDAR at www.sedar.com, for a

discussion of the uncertainties, risks and assumptions associated with these statements. Readers are urged to consider

the uncertainties, risks and assumptions carefully in evaluating the forward-looking information and are cautioned not to

place undue reliance on such information. We have no intention and undertake no obligation to update or revise any

forward-looking statements, whether as a result of new information, future events or otherwise, except as required by

applicable securities law.

OurStory

Born in 1973

Roots was founded by

Michael Budman and Don Green

• Created an enduring lifestyle brand

that captured the essence of the

Canadian Open Air

• Founder-led for 43 years with each

founder running a distinct division

• Apparel/Accessories

• Footwear/Leather

Roots Today Is A Successful Company

Global Distribution

116 Canada and 4 U.S. corporate stores109 Taiwan and 29 China partner-operated stores

eCommerce ships to over 50 countries

$307MM Sales

$48MM Adjusted EBITDA(1)

LTM 10/28/2017

Seamless Omni Channel

87% DTC 13% Partners and other

LTM 10/28/2017(3)

RichHeritage

44 years of

stories and

experience

SynonymousWith Canada & The Open Air

99% national

aided brand

awareness

Iconic ProductLeadership

Premium apparel,

leather, accessories

and footwear

Relentless Customer Focus

Insights drive designs and

elevated brand

experiences

Globalin Reach

29% of system-wide

sales generated

outside of Canada(2)

Ou

r Sto

ry

Note:

See Disclaimer – Non-IFRS Measures and Retail Industry Metrics.

All figures discussed on this presentation are stated in $CAD millions, unless otherwise noted.

(1) A reconciliation of historical Adjusted EBITDA to net income appears in the Appendix to this presentation.

(2) In Fiscal 2016.

(3) Channel mix as a percentage of sales.

Strong Financials

Brand potential being unlocked through refined growth strategy and

operational investments

Unlocking The Brand & It’s Business Potential Ou

r Sto

ry

Modernizing The Brand Transforming The Business

Strategic investments leave Roots well-positioned for accelerated growth

Very early in the process of leveraging strategic investments

3 clearly defined consumers

Staying true to the brand’s lasting values

Brand Inspiration: connection to the Open Air and

a healthy lifestyle

Reinventing the brand experience in stores and

online

Heightened brand communication to engage new

consumers

Final brand positioning remains under

development for new markets

Senior Management Team established to operate the

business

Further enhancing existing omni-channel capabilities

United Brand Range: simplifying the business by

editing and then amplifying key products and

categories

Creating a scalable infrastructure: POS, HRIS,

Planning, Roots.com

True business planning, analysis and enhanced

reporting in place to support investments

Improving store operations through enhanced training

and technology

Accelerated Growth Is Underway

Gro

wth

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teg

ies

UBR Unlocks Future Potential and

Simplifies the Business

Note:

See Disclaimer – Forward-Looking Information.

(1) SKU reduction by the end of Fiscal 2018 relative to Fiscal 2016.

(2) UBR refers to United Brand Range initiative.

Consumer-Focused

Merchandising

Simplified

Pricing Tiers

Formalized

Sourcing Strategy

Defined Go-To-Market

Calendar

~40% SKU reduction by the end of Fiscal 2018(1)

Expect operational and cost efficiencies through increased unit volumes to fewer factories

Our Growth StrategiesMultiple levers will drive growth

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ies

1 Leverage operational investments

2 Pursue continued growth in Canada

3 Strategically Expand U.S Footprint

4 Expand in international markets

5 Deepen our offering in leather and footwear

Gro

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ies

1 Leverage Operational InvestmentsTransformational initiatives across our business

Leadership

Functional expertise and operational experience

Investments already made

Merchandising

Developed consumer-focused strategy

Store productivity

Analytical, data-driven approach to portfolio optimization

E-commerce

Improving our online storefront

Accelerated future growth

Comparable sales growth

Margin expansion

+

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ies

2 Pursue Continued Growth in CanadaExpand omni-channel productivity and whitespace opportunities

Note:


(1) Historical marketing investment and Fiscal 2019 target as a percentage of sales. Increased marketing spend will also support growth outside of Canada.

(2) SKU reduction by the end of Fiscal 2018 relative to Fiscal 2016.

(3) Fiscal 2014 to Fiscal 2016.

(4) Target of 26-30 renovations or expansions and 8-10 new stores between Q4 2017E and the end of Fiscal 2019.

Amplifying Brand

Communication

Leveraging

UBR

E-commerce

Enhancements

Store

Optimization

Grow Our

Store Network

<2% 4% ~40% 44% 26 - 30 8 - 10Investment(1) Investment(1) SKUs reduction(2) Historical sales CAGR(3) Existing stores by Fiscal 2019(4) New stores by Fiscal 2019(4)

Leverage our High-impact collections, Enhancing online Implement our proven Grow our presence coast-

exception brand simplified pricing tiers and shopping capabilities and playbook and updated to-coast in premium street

awareness consistent presentation streamlining connectivity retail concept and top-tier mall locations

Strategically invest in Drive frequency of customer Drive traffic and Target payback period Target payback period

integrated marketing to purchases and increase conversion across our of less than three of less than two

drive product demand units per transaction omni-channel platform years per store years per store

Majority of expected sales growth through the end of Fiscal 2019 driven by core Canadian business

Gro

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ies

3 Strategically Expand U.S. Footprint

Note:


(1) In Fiscal 2016.

High-potential markets under consideration Market development strategy

Long history of

organic demandE-commerce

sales in all 50 states(1)

Demographic

research Grow Roots seeding and digital activations

E-commerce customer acquisition and loyalty program

Retail stores to boost affinity and gain foothold as beacons

and commercial hubs for the brand

10 – 14 new stores by the end of Fiscal 2019

Guiding principles and products resonate with customers

Close proximity to existing infrastructure

Actionable leases for desired locations

Singapore and

Malaysia

Rest of

World

Plan in place with

our current partner

to establish presence

Evaluating 12 markets

for longer-term development

with new partners

Gro

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ies

4 Expand in International MarketsDevelop presence in existing and new markets

Note:



Opportunity for an additional 20 – 25

partner-operated stores by the end of Fiscal 2019

Continue to drive e-commerce penetration

Taiwan and China

109 partner-operated stores in Taiwan and 29 in China

Long-standing partnership with Branded Lifestyle

$107MM in system-wide sales in Fiscal 2016

Wholesale and royalty revenue streams

Stores designed to replicate Canadian retail experience

Increase penetration in existing markets

Market Assessment Criteria

Large opportunity size, aligned cultural values, strong

connection to the open air and seasonal relevance

Strong local operating partners with established

infrastructure and retail expertise

Local marketing supported by new go-to-market toolkit

Expand in additional informational markets

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ies

5 Deepen Our Offering in Leather and

Footwear

Elevate Leather Goods

Part of our DNA

Leverage longstanding genuineleather credentials

Modernizing the range ofour leather goods

Leathercustomization

Expand Footwear

Where Roots started

Cornerstone product

category potential

Significant footwear experience

among management

Best-in-class design and

manufacturing partner

Note:


Financial Outlook

Adjusted

EBITDA (1)

Sales

Pro Forma

Adjusted Net

Income (1)

($ in millions)

Historical Financial Performance

$36 $38 $42

$61 - $68

FY2014A FY2015A FY2016A FY2019E

$17 $20 $21

$35 - $40

FY2014A FY2015A FY2016A FY2019E

$217 $256 $282

$410 - $450

FY2014A FY2015A FY2016A FY2019E

Outlook

Note:

See Disclaimer – Non-IFRS Measures and Retail Industry Metrics.



(1) A reconciliation of historical Adjusted EBITDA and historical Pro Forma Adjusted Net Income to net income appears in the Appendix of this presentation.

Strong

momentum

across channels,

geographies and

products

Accelerating

earnings growth

leveraging

transformational

operational

investments

Financial OutlookStrong performance and leveraging transformational investments

to drive accelerated results

Financial Outlook Through 2019Two thirds of the revenue growth coming from Canada

29 %

66%

5%

Percentage of revenue per region

Note:


(1) Fiscal 2016 to Fiscal 2019.

Born in 1973...essence of the Canadian outdoors. Investor Presentation January 2018. Disclaimer ......

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