7th Annual Open Innovation Conference

SODA-LO™ Salt Microspheres

How to develop a Global Go2Market plan to successfully

commercialize technology investments

April 17, 2013

Frank Truong

Tate & Lyle Innovation and Commercial Development

Global Strategy & Business Development Manager

M (217) 521-7958, frank.truong@tateandlyle.com

Commercial and Food Innovation Centre

Hoffman Estates, IL (USA)

Agenda

Introduction to Tate & Lyle and SODA-LO™ Salt Microspheres salt

reduction technology

Understanding global and local country trends to determine

customer and consumer unmet needs

Developing joint commercial and technical business plan with

global and local teams to ensure commercialization support

Obtaining the support of potential investment partners by sharing

Global Go2Market plan for feedback

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Tate & Lyle’s strategy and operating model

Speciality Food

Ingredients

Bulk

Ingredients

Global business units

Global growth unit

Innovation and Commercial Development

Customers

Operating Model Strategy

What:

Our vision is to become the leading global provider of speciality food ingredients and solutions

How:

A disciplined focus on growing our Speciality Food Ingredients business through:

– Deeper customer understanding, continuous innovation and agility

– Stronger positions in high growth markets

Driving our Bulk Ingredients business for sustained cash generation to fuel this growth

Our Open Innovation (OI) team discovers SODA-LO™

OI team sources ideas

Selecting the best fit for us

Ideas turn into opportunities through our new product

pipeline

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Sources: (1) CDC/Department of Health & Human Services USA, Vital Signs, February 2012. (2) Technomic, The Healthy Eating Consumer Trend Report, 2010. (3) Technomic, May 2011. (4) World Health Statistics, World Health Organization, 2012

About 90% of Americans aged 2 years or older eat

too much sodium.1

9 in 10

44% of the sodium we eat comes from only 10 types of foods. 1

44% 10

FOODS

46% of consumers said that

availability of low-sodium foods is important to their choice of restaurant.3

BUT consumers perceive lower salt to mean less taste.

LOWER SODIUM

More than 4 out of 5 consumers say that food described as low-sodium and low-salt is ‘healthier.’2

Excessive sodium intake has been linked to increased risk of hypertension, heart

attack and stroke.4

HEALTH RISK

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Why is salt reduction important to consumer health?

Standard

salt

crystals

~500µm

SODA-LOTM

~ 10-20µm

Smaller (microparticulate) salt crystals

increase surface area and enhance saltiness

flavour at a lower salt content

However, small particle size promotes

clumping and ‘stickiness’

Micronized Salt

Our technology produces a fine, free-flowing

powder with stable shelf life; avoids use of flow

agent additives

Enables reduction of salt and sodium by 25-50%

in various food applications while maintaining salt

taste and functionality

SODA-LOTM

Manufacturing process, particle size and use in food subject to pending patent application

Traditional Salt Crystals typically ~500µm

SODA-LO™ Salt Microspheres…technology overview

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Call on global team support in understanding trends and

determining unmet customer and consumer needs

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Reduced sodium

new product launch

segmentation

(1)

Global and local government initiatives to

reduce salt intake

Local country hypertension rate / salt intake per

capita

Reduced sodium packaging claim

vs.

silent reformulation

Regulatory / ingredient

labeling options / taste profile

Salt reduction technology

segmentation / cost in use

Consumer dietary behavior / channel

segmentation

(1) Mintel GNPD tracks reduced sodium new product launches only and not silent reformulation launches

Analyse and evaluate relevant market and industry data

Source: Mintel GNPD new product launches

Global Reduced Sodium New Product Launches by Country

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Develop a Go2Market Plan with global stakeholders support

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Voice of Market

Competitors Customers

CEO / EXCO

Approval OI, BD, IP,

Commercial / NPD

Sales / Marketing

Product Mgmt.

Technical Service /

Applications

Regulatory

Nutrition

Quality / Mnfg

Finance / Supply Chain

Regional BUs and

GMs

Obtain the support and consideration of an

investment partner

• Assessing preliminary views and assumptions on “size of prize” and data analysis methodologies

• Tate & Lyle’s requirement for a global Go2Market plan

Investment partner’s views on addressable

market

• Global evaluation of addressable market with collaborative input

• Understanding of resources required to successfully commercialize globally

Developing “Bottom Up” Global Go2Market plan

Review and agreement of Global Go2Market plan criteria and details

Sign off by investment partner’s board / Tate & Lyle EXCO for “win-win” partnership

Semi-annual review of business plan

Go2Market plan review – “Sign Off” with

partner and Tate & Lyle

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SODA-LO™ technology recognized globally in 2012

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Summary

Entering into adjacent categories for a global organization takes

time to develop required expertise given other priorities to deliver

growth on existing core businesses

The amount of global resources and time required to successfully

commercialise new technology investments can be significant…is

the global organization set up for success?

Important to manage potential investment partner’s expectations

and define criteria required to successfully commercialise…this will

impact the final business plan both organizations will commit to

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APPENDIX

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Tate & Lyle recently launched our dedicated OI Portal

www.tateandlyleopeninnovation.com

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