Leadership Through Innovation

Transcription

1 A Berkshire Hathaway Company Leadership Through Innovation Innovative Systems and Solutions for the Protein Production and Grain Industries

2 DEMAND FACTORS Helps Meet the World's Growing Demand For Animal Protein and Harvested Grain As the world's population grows, so does the demand on the earth's food-producing ability. is positioned to help. Our passion is developing and providing innovative systems that help nourish the world, and doing so in smart ways that help our customers attain top efficiency and productivity. Primary drivers for s business include not only the growing world population, but also the tendency of the developing world, as it advances, to add protein to its diet. 's industry-leading systems help to produce animal protein with maximum efficiency as well as with a commitment to animal care and air quality management. World Population Trends In Billions Source: United Nations World Population Prospects Protein Per Capita Per Day Total Poultry Meat, Pork & Eggs In Grams Source: FAO Developed Countries Developing Countries Another of the key factors driving 's business is the increasing demand for feed and grain for the production of protein, biofuels and other uses. As the world's cropland per person has decreased, the need to protect feed and grain from post-harvest loss has become increasingly crucial. 's systems help preserve the quality of harvested grain through the latest technology in storage, handling, conditioning and drying. facilities in the United States as well as in multiple locations around the globe. Having reached nearly $800 million in annual sales, is committed to continued sales growth. Today, about half of 's revenue is generated outside the United States, primarily through the company's strong network of independent distributors and dealers. The company has grown through both innovation and acquisition, and it markets its systems and solutions under a variety of prominent brand names that are well-known in their industries. Founded in 1952, has been a Berkshire Hathaway company since Arable and Permanent Cropland In Hectares Per 1000 People Source: FAO and Census.gov Developed Countries Developing Countries is headquartered in Milford, Indiana, in a farming area with a rich agricultural heritage. In addition to its global headquarters facility, operates additional The first European office was established in Maldegem, Belgium Chore-Time Brock International was formed to sell the company's products outside the U.S. and Canada. 1950s Chore-Time was founded in 1952, followed by Brock in was established as the parent company for Chore-Time and Brock.

3 Core Markets We Serve Grain Storage, Handling, Conditioning and Drying Our Role in Grain Production s grain preservation systems include products designed to meet the needs of the grain and feed industries with unsurpassed quality and easy-to-use features. Known for their design excellence, quality, longevity and reliable operation, these products are used primarily by farmers and by commercial businesses such as feed mills, grain elevators, port storage and shipping facilities, commercial grain processing facilities and biofuel plants. Tillage Planting Agrochemicals Cultivation Irrigation Harvest GRAIN PRODUCTION CYCLE Moisture Testing & Drying Storage, Handling & Conditioning Land Seed Process Into End Product - Biofuel - Feed - Food Acquired Sibley Industries, Inc Acquired Roxell N.V.; restructured into business units Acquired Fancom B.V. and the grain bin division of Butler Manufacturing; initial public offering of common stock Acquired Staco, Inc.

4 C o r e M a r k ets We S e r v e Egg Production Systems Our Role in Protein Production Eggs B CT 's total package of egg production systems is designed to optimize egg production and to maximize egg quality, resulting in greater profits for egg producers. Our multi-branded product offering includes a fully integrated package of equipment for a variety of housing styles including aviary systems, nesting systems and enriched as well as standard cage housing. s systems and solutions for pullets Feed Water Pharmaceuticals and commercial laying hens Temperature Animal Husbandry are recognized as leaders in Air EGG the industry due to their PRODUCTION CYCLE quality, reliability and strong performance. Controls Manure Drying Birds Arctic Ocea Greenland Sea Process Into End Product - Eggs Buildings Genetics Kara Sea Barents Sea Norwegian Sea Sweden Finland Iceland 4 Norway 2001 Formed Agile Mfg., Inc. to sell Roxell, Shenandoah, ProTerra and, later, Agro Logic products in the Americas. Baltic Sea 2002 Acquired Beard Industries, Inc. Estonia Latvia Denmark North Sea Lithuania U. K. Netherlands Belarus Ireland Poland Belgium Germany Lux. Ukraine Czech. Rep. Slovakia Switz. Liech. Austria Slovenia France 2000 Acquired grain industry devices from ABC Industries. Italy Hungary Aral Sea Moldova Croatia Bosnia & Herz. Romania 2002 European logistics center established in the Netherlands and Poland. Serbia Montenegro Bulgaria Black Sea Uzbekistan Georgia Macedonia Albania Spain Azores Portugal Malta Greece Armenia Turkmenistan Azerbaijan Turkey Northern Cyprus Cyprus Syria Iran

5 Core Markets We Serve Poultry Production Systems Our Role in Protein Production Poultry Pharmaceuticals Animal Husbandry POULTRY PRODUCTION CYCLE 's equipment for poultry production maximizes poultry s natural potential and also its production efficiency. Preferred by customers for its strong performance, reliability and quality, our multibranded product offering includes a fully integrated equipment package for floor-raised poultry (broiler chickens, broiler parent stock, layer parent stock and turkeys) that is well-known in countries around the world. Feed Water Temperature Air Birds Controls Buildings Genetics Process Into End Product - Poultry Meat became a wholly owned subsidiary of Berkshire Hathaway Inc Acquired a controlling interest in Yan Agro Logic (1988) Ltd Acquired key assets of Shenandoah Mfg. Co Acquired the assets of Swine Service Specialists, Inc.

6 Core Markets We Serve Pig Production Systems Our Role in Protein Production Pigs 's customized, comprehensive pig production solutions help to keep pigs healthy and productive. Our product offering includes conversion solutions (such as feeders); environmental solutions (such as ventilation and air quality systems); evaluation solutions (such as sorting systems); and sow care solutions. Featuring the latest in animal-friendly designs, high quality, reliability and performance, offers both equipment and expertise in order to provide a suitable system that meets the needs of sow and pig producers. Pigs Pharmaceuticals Animal Husbandry PIG PRODUCTION CYCLE Feed Water Temperature Air Controls Air Cleaning Buildings Genetics Process Into End Product - Pork Acquired Uniqfill International B.V Sales office and warehouse established in Malaysia Acquired both Laake GmbH and the Porcon group of companies; formed the PigTek Pig Equipment Group Acquired B. Mannebeck Landtechnik GmbH.

7 Additional markets we serve Systems for Other Applications Oil Containment, Industrial Storage and Handling, Equestrian Sports, Precision-Molded plastic components, Air Cleaning and Horticulture serves additional markets with the same quality and excellence synonymous with its core market systems. These include (1) oil containment systems, (2) storage and (5) handling for industrial materials, (3) equestrian sports systems, (4) precision-molded plastic components, (6) air cleaning and scrubbing systems and (7) products for horticulture (such as the mushroom growing facility pictured here) Acquired the assets of Shore Sales of Illinois, Inc. STRATEGY FOR GROWTH Emerge as Best Cost Manufacturer Emphasize Product-Driven Focus Expand Global Physical Presence Fortify Through Acquisition 2010 Acquired Ironwood Plastics, Inc. Enhance Financial Strength

8 Core Market Products and Systems MARKETS PRIMARY BRANDS, PRODUCTS AND USES SAMPLE INSTALLATION Poultry Production BRANDS: Agro Logic, Chore-Time, Fancom, ProTerra, Roxell, Shenandoah PRODUCTS: Feeders and drinkers; ventilation, heating and cooling systems; controls and software; nests and egg collectors; feed storage and delivery systems; and incinerators. FOR: Broiler chickens, broiler breeders (parent stock), layer breeders (parent stock) and turkeys. Egg Production BRANDS: Chore-Time, Fancom, Roxell PRODUCTS: Feeders and drinkers; ventilation, heating and cooling systems; controls and software; housing systems; egg collectors; feed storage and delivery systems; and incinerators. FOR: Pullets and laying hens. Pig Production BRANDS: Chore-Time, Fancom, Laake, Mannebeck, PigTek, Porcon, Roxell, Uniqfill PRODUCTS: Automated and electronic feeding systems; drinkers; ventilation, heating and cooling systems; controls and software; sorting systems and scales; group housing; feed storage and delivery systems; and air quality management systems. FOR: Sows and pigs in gestation, nursery, wean-to-finish and grow-out. Grain Preservation BRANDS: Brock, Shore PRODUCTS: Systems for storing, handling, conditioning, moisture testing and drying grain. FOR: Farms, feed mills, grain elevators, port storage and shipping facilities, commercial grain processing facilities and plants for biofuel production., INC. A Berkshire Hathaway Company 611 North Higbee Street P.O. Box 2000 Milford, Indiana U.S.A. Phone Fax ctb@ctbinc.com Internet: C/201204