Corporate Group Facts and Figures

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Nigel Kennedy
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1 Corporate Group Facts and Figures

2 Facts and Figures Established: 1934 Parent company: Herbstreith & Fox KG Pektin-Fabriken, Neuenbürg Locations: Sector: Product groups: Market position: Neuenbürg (Baden/Württemberg) Werder/Havel (Brandenburg) Food industry Apple and citrus pectins Dietary fibres from fruit Sweeteners from fruit Products for gastronomy and communal catering Animal feed Global leader in the field of apple pectins Export rate: 65 % Distribution: Employees: Represented on all continents, focusing on Europe and North America with its own offices, field service and authorised dealers more than 400 employees worldwide Training rate: 5 % Own patents: > 50 Product Herbarom, Herbasweet, innovations: Herbacel AQ Plus, BASIC textur 1

3 Herbstreith & Fox Corporate Group Corporate Group Herbstreith & Fox KG Pektin-Fabriken Neuenbürg, Baden-Württemberg Herbstreith & Fox GmbH Werder/Havel, Brandenburg Herbstreith & Fox Kft. Budapest, Hungary Herbstreith & Fox Inc. Elmsford, USA Herbafood Ingredients GmbH Werder/Havel, Brandenburg herba cuisine GmbH (in the course of formation) Werder/Havel, Brandenburg agro FOOD SOLUTION GmbH Werder/Havel, Brandenburg 2

4 Herbstreith & Fox Corporate Group has been manufacturing high-quality pectins for the food industry for more than 80 years and is renowned world-wide as the pectin specialist. This outstanding position in the world market is based on decades of experience in research and development as well as customeroriented application technology. State-of-the-art manufacturing technology and continuous product innovation contribute significantly to the success of the corporate group. With its two manufacturing sites in Neuenbürg (Baden- Württemberg) and Werder/Havel (Brandenburg) the family-run business today employs more than 400 employees world-wide. Herbstreith & Fox KG (the parent company) supplies its customers with high-grade pectins for a wide range of applications. This mature product portfolio is complemented by the products offered by Herbafood Ingredients GmbH, an experienced supplier of high-grade dietary fibres and sweeteners made from fruit. herba cuisine GmbH (subsidiary in the course of formation) is a provider of innovative products based on natural raw materials for the gastronomy and communal catering sector. Another product field in which the nutritionalphysiological by-products from pectin manufacturing are processed is animal nutrition which agro FOOD SOLUTION GmbH caters to. 3

5 Herbstreith & Fox Locations Production site Neuenbürg Baden-Württemberg Raw material warehouse Neuenbürg-Rotenbach Baden-Württemberg Production site Werder/Havel Brandenburg 4

6 Herbstreith & Fox Corporate Group Milestones in the company history 1934: Foundation of the family-run pectin production plant Pektin-Fabrik Hermann Herbstreith KG in Wolfzennen / Lake Constance by Hermann Herbstreith 1938: Relocation to Neuenbürg/Württemberg 1948: Erwin Herbstreith takes over the management of the company after the death of his father 1975: Gerhard F. Fox, today general partner and managing director, joins the company 1980: Foundation of today s Herbafood Ingredients GmbH and production launch of Herbarom (colouring apple extract) in Neuenbürg 1987: Production of Herbasweet (sweetening apple extract) began in Neuenbürg 1990: Takeover and complete restructuring of an additional production location, today s Herbstreith & Fox GmbH, in Werder/Havel, Brandenburg. Foundation of Herbstreith & Fox Kft. with seat in Budapest, Hungary, to safeguard the company s raw material requirements and pectin distribution in the Hungarian market 1991: Erwin Herbstreith retires and Gerhard F. Fox takes over the management of the entire Herbstreith & Fox Corporate Group 1995: The introduction of Herbacel AQ Plus Apple and Citrus combines the nutritionalphysiological benefits of dietary fibres with technological properties in a way that is unique in the area of fruit fibres to this day 5

1999: Foundation of H&F Spain with its office in Santomera-Murcia 2000: Foundation of H&F Italy with its office in Sesto San Giovanni, Milan 2004: Foundation of the distribution company Herbstreith &

7 1999: Foundation of H&F Spain with its office in Santomera-Murcia 2000: Foundation of H&F Italy with its office in Sesto San Giovanni, Milan 2004: Foundation of the distribution company Herbstreith & Fox Inc. with seat in the USA 2006: Foundation of H&F France with office in Aix-en-Provence 2009: The newly-founded H&F subsidiary agro FOOD SOLUTION GmbH takes over the sector of animal nutrition With the brand herba cuisine Herbafood Ingredients GmbH presents products based on natural raw materials for the gastronomy sector 2011: Market launch of BASIC textur, the product innovation under the brand name herba cuisine at Gastrovision : Awards received for BASIC textur : Intergastra Innovation Prize (cat. Food ) Internorga Future Award (cat. Trendsetter Product Food & Beverage ) Brandenburg Innovation Award (cat. Food Industry ) 2015: Awards received for BASIC textur : STAR AWARD 2015 (cat. Food and Beverage ) Gewinner PREISTRÄGER 2014 B R A N D E N B U R G E R INNOVATIONSPREIS ERNÄHRUNGSWIRTSCHAFT 6 ZUKUNFTS PREIS 2014

Pectins Natural products made from fruit Although pectins were discovered in fruit more than 200 years ago it was not until the

On account of its gelling, thickening and stabilising properties pectin has become highly important primarily in the food industry, but

Today, highly-specialised pectins are mainly obtained from freshly harvested, dejuiced and gently dried apples and citrus fruit.

8 Pectins Natural products made from fruit Although pectins were discovered in fruit more than 200 years ago it was not until the beginning of the 20th century that the practical applicability of pectins in food production was really recognised. On account of its gelling, thickening and stabilising properties pectin has become highly important primarily in the food industry, but also in the cosmetic and pharmaceutical industry. Today, highly-specialised pectins are mainly obtained from freshly harvested, dejuiced and gently dried apples and citrus fruit. The manufacturing process from fruit to pectin requires a great deal of experience and great care in order to ensure the highest possible quality and purity. There is no pectin application which cannot be covered by a pectin type manufactured by H&F. 7

The most important application areas of pectins 34 % Jams and marmalades, including household gelling agents 18 % Beverages with milk ingredients 17 % Confectionery

9 The most important application areas of pectins 34 % Jams and marmalades, including household gelling agents 18 % Beverages with milk ingredients 17 % Confectionery 10 % Fruit preparations for yoghurts, milk, etc. 9 % Fruit preparations for bakery products 6 % Beverages in general 6 % Others, including pharmaceutical products 8

Dietary Fibres and sweeteners made from fruit Herbafood Ingredients GmbH offers a wide range of dietary fibres of unique functionality as well

The effectiveness of dietary fibres as essential ingredients of a well-balanced diet has long been proven.

preventing so-called lifestyle diseases.

10 Dietary Fibres and sweeteners made from fruit Herbafood Ingredients GmbH offers a wide range of dietary fibres of unique functionality as well as apple extracts for sweetening, flavouring and colouring. The effectiveness of dietary fibres as essential ingredients of a well-balanced diet has long been proven. The consumer is becoming more and more interested in foods that are valuable in terms of nutritional physiology, particularly with a view to preventing so-called lifestyle diseases. A diet that is rich in dietary fibres is deemed to be an effective means of preventing obesity, high blood pressure and constipation. Extracts from fruit also fully meet the expectations of the modern consumer seeking natural, healthy and tasty foods. Sweetening but also colouring and flavouring apple extracts from real fruit are the perfect solution to this development. 9

Our products Herbacel Classic Apple / Citrus / Orange Dietary fibres with the fruit s typical colour, aroma and taste and a dietary fibre content of approx.

11 Our products Herbacel Classic Apple / Citrus / Orange Dietary fibres with the fruit s typical colour, aroma and taste and a dietary fibre content of approx. 60 % Herbacel Classic Plus Apple / Pea / Oats Fine powders made from fruit, cereal or vegetable parts with a dietary fibre content of approx. 80 % Herbacel AQ Plus Apple / Citrus Citrus and apple fibres with a high water-binding effect, sensory neutrality and a dietary fibre content of approx % Herbapekt LV Apple / Citrus Apple and citrus pectins with reduced viscosity and a dietary fibre content of approx. 90 %, also available as an instant powder Herbapekt APE Apple Dried liquid pectin made from apples with a pectin content of approx. 25 %, containing fruit-inherent sugars, acids and the characteristic polyphenolics of apples Herbasweet Natural sweetness from apple components, from which the minerals, fruit acids and natural colourants have been extracted Herbarom Aromatic apple extract with colouring properties, also available with reduced sugar or as a powder 10

Natural basic products for the gastronomy sector and for food manufactories The herba cuisine products offer modern cuisine not only optimum texturising but they

more healthy preparation of foods without losing any of the flavour or aroma.

Its texture is primarily based on surface adhesion. Physically speaking this describes the adherence or sticking together of different substances.

12 Natural basic products for the gastronomy sector and for food manufactories The herba cuisine products offer modern cuisine not only optimum texturising but they also help to reduce fat and replace ingredients rich in carbohydrates such a flour, starch or other thickening agents, thus allowing for calorie-reduced, lighter and more healthy preparation of foods without losing any of the flavour or aroma. BASIC textur is a purely plant-based basic texturising product made from citrus fibres and water of high nutritional-physiological value. Its texture is primarily based on surface adhesion. Physically speaking this describes the adherence or sticking together of different substances. In contrast to other texturising agents BASIC textur can be used warm or cold (it is practically independent of the temperature) as well as for vegan and E-number-free purposes. BASIC sweet and BASIC color, the sweetening and colouring apple extracts, complement the herba cuisine product portfolio. 11

13 Culinary fields of application of BASIC textur 28 % Espumas 20 % Spreads / dips / sauces 15 % Parfaits 14 % Emulsions 6 % Soups 6 % Preserved fruits and vegetables 6 % Stuffings / minced meat 4 % Beverages 12

Agricultural products and animal nutrition agro FOOD SOLUTION GmbH produces and distributes straight and compound feed.

Apple molasses as sugary extracts are also distributed as animal feed as flavour and energy carriers.

14 Agricultural products and animal nutrition agro FOOD SOLUTION GmbH produces and distributes straight and compound feed. These are based on the valuable side-products obtained in pectin production. Following depectinisation the pomace is dried and then used in the European animal feed industry as a valuable source of crude fibre component under the brand name Herbavital P / F12. Thanks to its high crude fibre content and its high quality Herbavital has a unique selling point in the animal feed market. Apple molasses as sugary extracts are also distributed as animal feed as flavour and energy carriers. In addition to this, pectin is also increasingly being used as feed for young animals, both livestock and pets. Pectin is prebiotic, supports the digestive system and naturally prevents diarrhoea in young animals. These feeding concepts are gaining importance as a stabilising agent for animal health for sustainable agricultural livestock production. 13

agro Food Solution Our products agropect Pectins Pectin as prebiotic animal feed for young

for livestock and pet feeding Apple molasses For added energy in the feed rations for

Thanks to its high fructose content it is especially suitable for horse feeding Dietetic

pectins and pomace APUNA horse treats APUNA (Apple Pure Nature) horse treats the 100 %

15 agro Food Solution Our products agropect Pectins Pectin as prebiotic animal feed for young animals Herbavital P / F12 depectinised pomace The safe and natural source of crude fibres for livestock and pet feeding Apple molasses For added energy in the feed rations for livestock and pets. Thanks to its high fructose content it is especially suitable for horse feeding Dietetic compound feed Private-label production and development of dietetic compound feed with pectins and pomace APUNA horse treats APUNA (Apple Pure Nature) horse treats the 100 % natural fruit or vegetable/fruit treat with the varieties APUNA, APUNA with carrot, APUNA with thyme, APUNA with lucerne and APUNA PECT An apple a day also keeps the vet away! 14

16 Research & Development Innovative product development solutions Continuous advancement of product know-how plays a central role at H&F Corporate Group. Many years of experience, creative ideas and state-of-the-art approaches to research are incorporated in product and process developments every day. By way of basic research the knowledge base on the various products is thus continually being expanded and applications optimised. Sustainability, often a mere catchword, is a central element of our R&D. It is our mission and our challenge to use our raw materials virtually in their entirety and to use the products obtained which often have unique selling propositions to develop creative formulations for modern, healthy foods. Research & development is therefore the cradle of innovative products which always satisfy the utmost quality requirements. Supporting our customers with technically sound product information for the manufacture of tasty, healthy food of excellent texture is highly important for H&F. 15

17 Herbstreith Pektinometer to determine the breaking strength of gels Rheometer to standardise gelling temperatures and gelling times Ridgelimeter to standardise high methylester pectins to constant grades Penetrometer to measure the strength of gels counteracting the probe 16

Qualitätsund and energy Energiepolitik Quality policy The company philosophy of the H&F Corporate Group is centred on social responsibility, quality, safety and energy

The facilities are kept up to date and efficient processes introduced for the continual improvement of environmental protection; we use renewable, environmentally friendly

Our efforts are regularly audited by external, independent institutes.

18 Qualitätsund and energy Energiepolitik Quality policy The company philosophy of the H&F Corporate Group is centred on social responsibility, quality, safety and energy policies and a responsible relationship with nature and its resources. The company philosophy is also expressed in its fair, open relationships with its partners. The facilities are kept up to date and efficient processes introduced for the continual improvement of environmental protection; we use renewable, environmentally friendly energy resources, we keep our emissions as low as possible and are constantly striving to reduce CO 2 emissions. Our efforts are regularly audited by external, independent institutes. Thus, certification of our energy management in compliance with ISO and of our food safety system in compliance with FSSC has been the logical consequence. For us, quality means satisfying the expectations of our customers, employees, suppliers and of society. Quality and food safety have top priority for the H&F Corporate Group. 17

Active worldwide wherever our customers are! As a global player, H&F is represented all over the world. From Cape Town to Helsinki, from New York to Tokyo: we are always close-by.

Therefore, in addition to our subsidiaries in Hungary and the US, we also have our own offices in Spain, Italy and France in order to safeguard on site the proximity to our customers as well as our

19 Active worldwide wherever our customers are! As a global player, H&F is represented all over the world. From Cape Town to Helsinki, from New York to Tokyo: we are always close-by. Due to the diverging regional markets the world-wide distribution of H&F products requires a high degree of flexibility. Therefore, in addition to our subsidiaries in Hungary and the US, we also have our own offices in Spain, Italy and France in order to safeguard on site the proximity to our customers as well as our comprehensive service in the field of application technology. Last but not least, we also have our distribution partners who represent the H&F Corporate Group in over 40 countries world-wide. As competent partners, they are in a constant dialogue with our customers all around the globe providing a close distribution and service network as well as a high level of support quality. Customer satisfaction is vital for the success of H&F. We are wherever our customers are! 18

20 From Fruits to Pectin 1a Apple and citrus harvest Water Washing I Concentrating Washing II Grinding/ Mixing Alcohol Pressing Drying De-esterification/ Amidation Citrusöl Drying Storage Apfelsaft Herbacel Classic Plus/ Herbacel AQ Plus Alcohol Apple pomace/ Citrus peels Distillation Drying Precipitation Quality tests/ Standardisation Herbacel Classic Plus Herbacel AQ Plus 1b De-pectinised pomace/peels Pressing Alcohol Storage Fruit extracts Packaging and delivery Herbavital 1a Extraction 2 2 Pectin extract 1b Herbasweet de-pectinised pomace/peels Cleaning the pectin extract Filter Drying Cosmetics Food Our Products Pharmaceutical Products Pectins, dietary fibres, sweetening, colouring and flavouring apple extracts are important components of many food and luxury food, cosmetics and pharmaceutical products. Fruit extracts Deionisation/ Decolouration Concentration/ Deflavourisation Herbarom Herbasweet Herbarom For more information concerining the production process please refer to our website: material.

21 Contacts of the H&F Corporate Group Herbstreith & Fox KG Pektin-Fabriken Turnstraße Neuenbürg Germany Phone: Fax: Herbstreith & Fox GmbH Phöbener Chaussee Werder/Havel Germany Phone: Fax: Herbafood Ingredients GmbH Phöbener Chaussee Werder/Havel Germany Phone: Fax: herba cuisine Phöbener Chaussee Werder/Havel Germany Phone: Fax: agro Food Solution GmbH Phöbener Chaussee Werder/Havel Germany Phone: Fax:

Dietary Fibre for a Healthy Diet

Dietary Fibre for a Healthy Diet Herbacel Classic Herbacel Classic Plus Herbacel AQ Plus Herbapekt LV Before the industrial revolution the main function of food was to serve as man s primary source of