Foster’s Group 2010 Interim Results16 February 2010

2OUTLOOK STATEMENT DISCLAIMER

Foster’s Group Limited (Foster’s) advises that the following presentation contains forward looking statements which may be subject to significant uncertainties outside of Foster’s control.

No representation is made as to the accuracy or reliability of forecasts or the assumptions on which they are based.

Actual future events may vary from these forecasts and you are cautioned not to place undue reliance on any forward looking statement.

3

Ian JohnstonChief Executive Officer

42010 INTERIM RESULTSUMMARY

Cash flow after dividends

Earnings per share

Earnings per share

Net profitNet profit

EBITSEBITS

Net sales revenue

Net sales revenue

Constant CurrencyReported

+ 0.3%

- 2.3%

+ 0.5%

0.0%

- 4.4%

- 14.0%

- 11.7%

- 12.1%

+ 20.1%

All figures are before SGARA

52010 INTERIM RESULTBUSINESS ENVIRONMENTStrong beer performance – international wine headwinds

Americas Wine

Oversupply in Australia and New Zealand

Pricing pressure – New Zealand sauvignon blanc

Australian dollar strength impacting exports

Declines in UK on-premise

Heavy discounting in UK grocery channel

Growth in Continental Europe and Nordics

Declines in on-premise channel

Channel shift to grocery at discounted prices

Canada return to growth

Economic downturn

Japan: below prior year

China: signs of improvement

Strength of the CUB business

Australian beer category volume growth

Headwinds in export and Pacific markets

CUB

EMEA Wine

ANZ Wine

Asia Wine

6TRANSFORMATION AGENDA

Capability Efficiency Growth

Sale of 21 of 36 vineyards

Cost savings on-track

Direct distribution in Nordics and Eastern Canada

Distributor alignment plan in the US

New organisational culture

Dedicated beer and wine sales teams in Australia

Strong operational management team

Premiumisation strategy

Integrated supply and demand

Australian tail brand rationalisation

7CUBMARKET ENVIRONMENT

Australian beer market

Strong Australian beer market

Market volume up approximately 1%1

Innovation renewing consumer interest

Positive mix and pricing trends

Market leader with 7 of the top 10 brands2:

- 2 of the 3 fastest growing brands2

- 3 of the 5 largest innovations2

Leadership team:

- Peter Cantwell, CUB Sales Director

- John Pollaers, CUB Managing Director, to commence in April

Sales transition:

- Positive customer feedback

- Increased coverage

Strong performance in supply

- Cost of sales increases below full year guidance

- Packaging capability upgrade

1. Foster’s estimate2. Nielsen packaged beer to December 2009

CUB

8CUBFIRST HALF HIGHLIGHTS

Beer

Leading Australian brand portfolio

Cider

Carlton Draught: now number 2 in regular beer1

VB: back in revenue growth

Category leading brands1: VB, Corona, Crown Lager, Pure Blonde

Strong innovation: Carlton Natural Blonde, Pure Blonde Naked Ale, VB Raw, Matilda Bay’s Fat Yak and Big Helga

Clear leader in the fastest growing alcohol category1

Key brands: Strongbow, Bulmers, Mercury

1. Nielsen to December 2009

9CUBOUTLOOK

Capability Efficiency Growth

Settled sales force with new leadership talent

Protect market leading position in key categories

Expand position in high growth categories

Support for the on-premise channel

Improve promotional effectiveness

Innovation to drive consumer interest

Investment in continuous improvement to improve efficiency

Protect and expand our leading market position

10

Stephen BrauerManaging Director - Americas

11AMERICAS WINEMARKET ENVIRONMENTChallenging market conditions

CategoryModest growth driven by innovation and value wines

Aggressive promotional activity across all channels

Consumers trading down across all price brackets

Continued channel shift from on to off premise

Millennials embracing wine category at early stage, driving growth at higher price points

Economy stabilising, “Wall Street” ahead of “Main Street”

Unemployment, tight credit and depressed housing are main concerns

Economy

Consumer

12AMERICAS WINEBUSINESS PRIORITIESReshape business and position for growth

Leadership

Commercial acumen

Upgrading customer management skills

Focus on core brands and

core markets

Reshape and premiumise

portfolio

Accelerate innovation

Strengthen capabilities

Accelerate innovation pipeline in high growth segments

Scale emerging brands to capitalise on high growth trends

13

+2.2%

(9.8%)

(6.4%)

Q2-F10

Q1-F10

F09

AMERICAS WINEFIRST HALF HIGHLIGHTSClear signs of progress

Focus on core brands and

core markets

Reshape and premiumise

portfolio

Accelerate innovation

Strengthen capabilities

Mike Holden

Senior Vice President Sales

Francesca Schuler

Chief MarketingOfficer

Commercial Talent Growth in Key Markets1 Emerging BrandsGrowth in $10+1

Second Half Launch

Fastest growing

brand from Argentina

+1.3%

+10.6%

+5.3%

+1.4%

Massachusetts

Florida

New YorkMetro

Canada +14%

1. Depletions

14AMERICAS WINEROUTE TO MARKETRoute to market initiative progressing to plan

Completed Market

Assessment

Commencing Distributor

Engagement

Finalise Joint Goals and Objectives

Phase OneMarket

Negotiation

Complete Phase One

JuneJanuary

15AMERICAS WINEOUTLOOK

Capability Efficiency Growth

Increased consumer investment on core brands

Refined brand architecture for Beringer and Chateau St Jean

Accelerate innovation

Strengthen customer facing capabilities

Successfully implement route to market

16

David DearieManaging Director – ANZ Wine

17ANZ WINEMARKET ENVIRONMENT

Industry dynamics

Foster’s position

Well positioned in an oversupplied market

Good growth in Australia

Balanced inventories

Leading brand portfolio

Outstanding quality and cost efficiency

Oversupply

Strong Australian dollar

Industry profitability under pressure

Long term success will be built on branded wines

18ANZ WINEBUSINESS PRIORITIES

Sales execution

Be brilliant at the basics; build lasting partnerships

Portfolio execution

Exceptional brand planning

Balanced portfolio approach

Differentiated activities to win at point of purchase

Dedicated, focused and passionate team

Fact based decision making at the point of influence

Expanding distribution points

19ANZ WINEFIRST HALF HIGHLIGHTS

Brands

Transformation progress report

Dedicated sales team

Positive customer feedback

Significant improvement in sales call quality

Performance driven culture - accountability and responsibility

Timely decision making at a local level

4 of top 5 brands in volume growth

Top 10 focus brands showing growth over last year

Balanced channel and portfolio approach

Ongoing portfolio refinement

20ANZ WINEOUTLOOK

Capability Efficiency Growth

Execution and partnering

Excellence in supply and production

Focus on core brands

Integrated channel plans

Delivery of profitable volume growth

21

Peter JacksonManaging Director - EMEA

22EMEA WINECONTINENTAL EUROPEBuild on direct distribution in Nordics

First half highlights

Business priorities

Increased marketing investment

Build premium brands

Leverage sales and marketing capability

Drive growth in duty free and on-premise

Category leadership

Successful transition to direct distribution

Improved profitability

Strong brand performance

23EMEA WINECONTINENTAL EUROPEGrow grocery in other Continental European markets

First half highlights

Business priorities

Partnerships with key retailers

Core portfolio distribution

Leverage category leadership

Improve marketing and sales execution

Under-developed Australian category

Category leadership in grocery

Strong premium business in Central Europe

Declining sales in Eastern Europe

24EMEA WINEUNITED KINGDOM & IRELANDProfitability under pressure

Market Environment

Business priorities

Re-energise the Australian category

Premiumise portfolio

Prioritise investment

Manage cost base

Highly competitive market

Foreign exchange impact

Deep discounting

Economic uncertainty

Retailers focus on price

25

Angus McKayChief Financial Officer

26

1H 10

$m

ReportedCurrency Change

%

ConstantCurrencyChange

%

Volume (million 9L cases)

Net sales revenue

EBITS

Net interest expense

Tax expense

Net profit after tax

80.1

2,302.2

570.1

(64.3)

(139.0)

363.0

-2.2

-4.4

-14.0

-23.6

-15.9

-11.7

-2.2

+0.3

-2.3

-13.5

-4.4

+0.5

Earnings per share

Weighted average number of shares

18.8 ¢

1,929.5m

-12.1

+0.3

0.0

+0.3

KEY FINANCIALS

All figures are before SGARA

27COST SAVING INITIATIVES

Cost savings on-track for $100m to be realised in FY 11

FY 09 1H 10

Beer Wine Corporate

$21m

$35m

FY 11: $100 million

of cost savings

FY 10: $70 to $80 million of cost savings

28CUBKEY FINANCIALS

Australia beer net sales revenue per case up 6.9% Australia beer:

– Volume down 1.1%

– Net sales revenue up 5.7%

– Net sales revenue per case up 6.9%

Cider volume up 9.3% and net sales revenue up 13.8%

Spirits & RTD volume and net sales revenue below the prior year

EBITS up 6.6%:– Increased brand investment

– 1H 10 mix adjusted unit cost of sales up 3.1%

– $10.3m benefit from cost reduction initiatives

Fiscal 2010 constant currency mix adjusted unit cost of sales increases expected to be 3 to 4%

-1.1%

+4.7%

+6.6%

Volume

NSR

EBITS

-1.1%

+5.1%

+6.2%

Reported Constant

CUB Net Sales Revenue

1.0

1.1

1.2

1.3

1H 09 BeerVolume

BeerPrice /

Mix

Cider /Spirits /RTDs

1H 10

$bn

29AMERICAS WINEKEY FINANCIALS

Recessionary economic conditions impacted Americas business

Shipments down 0.2%:– US shipments down 0.4%– Canadian shipments up 1.5%

Recessionary economic conditions: – Consumer trade down– On-premise and independent retail declines

Depletions in line with shipments

Constant currency net sales revenue per case down 6.8%:

– Unfavourable mix– Increased pricing activity

Constant currency EBITS impacted by:– Unfavourable mix– Increased promotional activity– Higher cost of sales from 2007 and 2008

Californian vintages

Volume

NSR

EBITS

Reported Constant

-0.2%

-16.3%

-62.0%

-0.2%

-7.0%

-45.3%

Americas shipments by source region

7.0

7.5

8.0

8.5

9.0

9.5

10.0

1H 09 California Australia OtherImports

1H 10

9L cases (m)

30ANZ WINEKEY FINANCIALS

EBITS growth in Australia offset by New Zealand

Core bottled wine growth in Australia:– Volume up 0.5% – Net sales revenue down 0.9%– Growth above $11 per bottle– Increased pricing activity

In Australia constant currency EBITS up 10.1%:– Overheads cost reduction initiatives – Continuous improvement programs– Procurement benefits

Difficult market conditions in New Zealand:– Recessionary market conditions– New Zealand oversupply– Exchange rates have reduced Australian

sourced wine profitability

ANZ Wine Volume

4.0

4.5

5.0

5.5

1H 09 AustraliaCask &

Vok

AustraliaCoreWine

NZ 1H 10

9L cases (m)

Volume

NSR

EBITS

Reported Constant

-13.1%

-6.9%

-1.1%

-13.1%

-6.5%

-0.8%

31EMEA WINEKEY FINANCIALS

Strong growth in Continental Europe

EMEA Wine Volume

4.2

4.7

5.2

1H 09 Nordics ContinentalEurope

UK &Ireland

1H 10

9L cases (m)

Volume

NSR

EBITS

Reported Constant

+2.0%

-16.2%

-76.2%

+2.0%

+4.8%

+114.3%

Constant currency net sales revenue per case up 2.7%

Continental Europe volume up 25.7%:– Direct distribution in the Nordics– Strong growth in the Netherlands– Declines in Eastern Europe; duty free and

on-premise

UK & Ireland volume down 7.5%:– Recessionary environment– Increasingly competitive UK grocery

channel

Constant currency EBITS benefiting:– Distributor margin capture in the Nordics– In-market bottling cost benefits– Overhead reductions

32ASIA WINEKEY FINANCIALS

Increased investment and focus on Asia

Asia Wine Volume

0.0

0.5

1H 09 GreaterChina

SouthEast Asia

Japan 1H 10

9L cases (m)

Volume

NSR

EBITS

Reported Constant

-11.4%

-7.4%

-25.6%

-11.4%

-7.4%

-28.1%Volume declined 11.4%

– Good volume growth in China, Hong Kong, Taiwan, Singapore and Malaysia

– Lower sales in on-premise and duty free

Constant currency EBITS down $2.5 million impacted by lower volume

Increasing focus in the region:– Management team relocated to Singapore– In-market sales and marketing investment– Brand and channel mapping underway– Route to market opportunities– Innovation pipeline

33

1H 10 constant currency mix adjusted cost of sales:

– Australian sourced wine marginally below the prior year

– Californian sourced wine up approximately 5%

Fiscal 2010 constant currency mix adjusted unit cost of sales expected to be similar to fiscal 2009 and in line with guidance

2009 Californian vintage approximately 20% higher than previous vintage1

– Grape production for Foster’s owned vineyards above the prior year

– Foster’s intake in line with demand requirements

2010 Australian industry vintage currently underway:

– Vineyard yields currently expected to be in line with longer term averages

– Grape prices likely to come under further pressure

GLOBAL WINECOST OF SALES

1H 10 cost of sales increases in line with guidance

1. California Department of Food and Agriculture

Wine Cost of Sales

Vintage Update

34

SelectedCurrency

WineEBITS

$m

Group ProfitBefore Tax

$m

Average

AUD/USD

AUD/GBP

Other

1H 09

78.64

44.88

1H 10

86.99

53.10

(31.5)

(31.5)

(19.9)

(22.2)

(31.1)

(19.8)

Total (82.9) (73.1)

AUD/USD

AUD/GBP

1H 10

86.99

53.10

Sensitivity

1¢ change

1p change

1.9

2.3

0.8

2.2

CURRENCY SENSITIVITIES

Impact of FX on 1H 10

2H 10Indicative

Sensitivities

35CASH FLOW AND NET DEBT

2,611.4 694.5

68.9127.2 17.2

293.9 5.6 30.3 1.6 243.9

2,217.7

500

1,000

1,500

2,000

2,500

3,000

FY 08 NetDebt

OCFPIT Net Interest Tax Net Capex NetDividends

NetAcquisitions

& Loans

SignificantItems

SharePurchases

Non-cashItems

FY 09 NetDebt

$m

Operating cash flow after dividends $187.3m

36CAPITAL STRUCTUREAND DEBT PROFILE

Robust and stable balance sheet

0

500

1,000

1,500

2,000

FY 10 FY 11 FY 12 BeyondFY 12

$m

6.1

7.8 7.9

8.9

4

5

6

7

8

1H 07 1H 08 1H 09 1H 10

times

1. Pre significant items

• Interest cover 8.9x, gearing 58.8%

• Debt portfolio 58% fixed, 42% floating rates

• Gross debt weighted average maturity 6.8 years

• $302.0 million debt repayable within 12 months

• $1.8 billion of committed undrawn bank facilities

• $352.3 million of cash

Interest Cover1 Debt Maturity

37

Ian JohnstonChief Executive Officer

38FOSTER’S GROUPOVERVIEW

Capability Efficiency Growth

Business structure transition completed in Australia

Completed route to market changes delivering improved performance

Capability build in each region

Focus on improving execution and effectiveness

$100 million of cost savings on target

New sense of energy and urgency

Supplementary Information

40

1H 09 2H 09 FY 09 1H 10

Volume(1)

NSR ($m)

EBITDAS ($m)

EBITAS ($m)

EBITS ($m)

EBIT ($m)

Net Profit ($m) (before significant items and SGARA)

81.9

2,407.6

748.4

664.7

663.2

663.5

411.1

71.1

2,083.5

596.6

502.4

501.8

479.6

330.4

153.0

4,491.1

1,345.2

1,167.1

1,165.0

1,143.1

741.5

80.1

2,302.2

647.2

570.5

570.1

560.0

363.0

(1) 9L cases millions

RESULT SUMMARY

41

1H 09$m

EPS¢s

1H 10$m

EPS¢s

Net profit after tax(before significant items and SGARA)

411.1 21.4 363.0 18.8

SGARA after tax 0.2 (7.3)

Net profit after tax 411.3 21.4 355.7 18.4

Diluted Weighted Average Shares (m) 1,924.2 1,929.5

EPSRECONCILIATION

42

1H 09 1H 10 Change

OCFPIT before Significant Items ($m)

Less: Significant Items ($m)

Reported OCFPIT ($m) (1)

691.9

7.8

684.1

694.5

30.3

664.2

EBITDAS ($m)

OCFPIT ($m)

Cash Conversion (%)

748.4

691.9

92.5

647.2

694.5

107.3

(13.5)%

0.4%

14.8 pts

(1) Statutory Operating Cash Flow pre Interest, Tax & Dividends

CASH FLOWCONTINUING BUSINESS

43

1H 09$m

1H 10$m

EBITDAS

Working Capital

Other Items

748.4

(31.0)

(25.5)

647.2

52.4

(5.1)

OCFPIT before Significant Items

Net Interest Paid

Tax Paid

691.9

(81.9)

(128.4)

694.5

(68.9)

(127.2)

Net Operating Cash Flows before Significant Items

Net Capex

Dividends Paid

Free Cash Flow after Dividends

481.6

(51.9)

(273.8)

155.9

498.4

(17.2)

(293.9)

187.3

CONTINUING BUSINESS FREE CASHFLOW PRE SIGNIFICANT ITEMS

44

1H 09 2H 09 FY 09 1H 10

CUB Volume (1)

CUB NSR ($m)

CUB EBITS ($m)

58.0

1,207.2

456.2

50.8

1,072.0

404.5

108.8

2,279.2

860.7

57.4

1,264.0

486.4

Other Volume (1)

Other NSR ($m)

Other EBITS ($m)

4.0

36.5

11.8

3.7

30.6

12.8

7.7

67.1

24.6

3.5

31.0

7.2

Total Volume (1)

Total NSR ($m)

Total EBITDAS ($m)

Total EBITAS ($m)

Total EBITS ($m)

Total EBIT ($m)

62.0

1,243.7

497.3

468.1

468.0

468.0

54.5

1,102.6

456.0

417.5

417.3

417.3

116.5

2,346.3

953.3

885.6

885.3

885.3

60.9

1,295.0

519.5

493.7

493.6

493.6

Capex ($m) 20.2 37.1 57.3 15.6

(1) 9L cases millions

GLOBAL BCS

45

1H 09 2H 09 FY 09 1H 10

Americas Volume (1)

Americas NSR ($m)

Americas EBITS ($m)

9.5

583.9

115.2

8.4

509.3

44.1

17.9

1,093.2

159.3

9.4

488.6

43.8

ANZ Volume (1)

ANZ NSR ($m)

ANZ EBITS ($m)

5.2

326.7

37.4

3.7

272.1

34.2

8.9

598.8

71.6

4.5

304.0

37.0

EMEA Volume (1)

EMEA NSR ($m)

EMEA EBITS ($m)

4.7

226.2

50.4

4.1

155.4

(5.0)

8.8

381.6

45.4

4.8

189.5

12.0

Asia Volume (1)

Asia NSR ($m)

Asia EBITS ($m)

0.4

27.1

8.6

0.5

44.1

19.2

0.9

71.2

27.8

0.5

25.1

6.4

(1) 9L cases millions

GLOBAL WINE

46

1H 09 2H 09 FY 09 1H 10

Total Volume (1)

Total NSR ($m)

Total EBITDAS ($m)

Total EBITAS ($m)

Total EBITS ($m)

Total EBIT ($m)

19.8

1,163.9

264.1

213.0

211.6

211.9

16.7

980.9

145.2

92.9

92.5

70.3

36.5

2,144.8

409.3

305.9

304.1

282.2

19.2

1,007.2

146.0

99.2

99.2

89.1

Capex ($m) 25.4 68.8 94.2 (11.2)

(1) 9L cases millions

GLOBAL WINE

47

1H 09$m

FY 09$m

1H 10$m

Gross Debt Gross Borrowings

Debt Issuance Costs

Fair Value Adjustment to Fixed Debt

Borrowings per Balance Sheet

3,367.5

(20.7)

220.6

3,567.4

2,764.6

(19.7)

128.6

2,873.5

2,598.6

(27.3)

104.9

2,676.2

Net Debt Cash

Fair Value of Fixed Rate Debt Hedges

Net Debt

(296.2)

(220.9)

3,050.3

(133.0)

(129.1)

2,611.4

(352.3)

(106.2)

2,217.7

Debt Portfolio AUD (A$)

USD (US$)

GBP (GBP)

Other (A$)

% Fixed – Gross Borrowings

Weighted average maturity of gross debt

301.1

1,991.8

80.0

20.4

54%

8.0yrs

305.0

1,934.8

35.0

-

60%

7.4 yrs

304.5

1,980.5

42.5

-

58%

6.8 yrs

DEBT SUMMARY

48

Gearing Group Interest Cover (1)

(1) EBITS Interest cover, before significant items

4.6 4.66.0 6.2

7.8 7.9 7.9 7.98.9

0123456789

10

1H06

FY06

1H07

FY07

1H08

FY08

1H09

FY09

1H10

X117

7864

5563 62

76 7059

0

20

40

60

80

100

120

140

1H06

FY06

1H07

FY07

1H08

FY08

1H09

FY09

1H10

%

CAPITALSTRUCTURE

49

Exchange rateAverage exchange rates used for profit and loss purposes in the 6 months ended 31 December 2009 are: $A1 = $US 0.8699 (2008: $A1 = $US 0.7864), $A1 = GBP 0.5310 (2008: $A1 = GBP 0.4488). Period end exchange rates used for balance sheet items are: $A1 = $US 0.8938 (2008: $A1 = $US 0.6917), $A1 = GBP 0.5559 (2008: $A1 = GBP 0.4800). Constant CurrencyThroughout this presentation constant currency assumes current and prior period earnings of self-sustaining foreign operations are translated and cross border transactions are transacted at current year exchange rates. BCSBeer, Cider, Spirits / Ready To Drink (RTD) category.CUBCarlton & United Breweries.Significant ItemsSignificant Items include continuing material items, discontinued material items and gains or losses on sale of discontinued operations.EBITEarnings before interest, tax and significant items.EBITSEarnings before interest, tax, significant items and SGARA.EBITDAS Earnings before interest, tax, depreciation, amortisation, significant items & SGARA.OCFPITOperating cash flow before cash receipts and payments associated with significant items and other one-off transactions and prior tointerest and tax.SGARAAustralian accounting standard AASB141 “Agriculture”.

DEFINITIONS