Citri-Fi 125 Introduction

Citri-Fi 125 Introduction

Market Review 2

Market Review Clean Label/Non-GMO/ Natural Market Non-GMO ingredient sourcing Recognizable ingredients found in the kitchen cupboard Shorter ingredient statements looking for functional ingredients Every food manufacturer has their own clean label program/policies Modified starches and gum replacement No artificial flavors/preservatives Cost Reduction Initiatives Replacing higher cost ingredients: eggs, dairy, gums & hydrocolloids Processing optimization: increased yields, shelf-life, etc. Health and Wellness Weight management, Heart health, Glycemic health, etc. Allergen-free gluten-free, wheat-free, egg-free, soy-free Food minus reducing fat, salt, calories Food Plus adding functional ingredients: fiber, omega-3s, etc. 3

Meat Category Review Clean label Modified starch, gum replacement Replace stabilizers Phosphate-free Cost reduction Yield improvements Replace higher cost ingredients: gums Meat extenders Hormone/antibiotic-free meats Meat analogues Varying protein sources soy, pea, quinoa, mycoprotein Snacks meat bars, sticks, jerkies 4

Bakery Category Review Gluten-free Gluten replacement Allergen replacement (e.g. eggs) Shelf-life extension Nutritional enhancement (e.g. fiber, minerals, vitamins) Cost reduction Egg reduction Health & Wellness Caloric reduction (e.g. fat/oil replacers, portion control) Use of REAL fruit Use of ancient grains, whole wheat flours Organic/Natural 5

Introducing Citri-Fi 125 VALUE PROPOSITION/POSITIONING 6

Fiberstar Products Our main product line that includes 11 product types differentiated by composition and/or particle size. The products have great versatility in the application scope that includes meat, bakery, beverages, sauces and dressings, prepared foods, dairy, soups, fruits and vegetables, pet food etc. CF100 & 125. Labeling: citrus fiber, dried citrus fiber, citrus flour Product Series Description Available Grinds Citri-Fi 100 Series Enhanced Citrus Fiber Standard, Fine, M40 and M20 Citri-Fi 125 Series Enhanced Citrus Fiber Fine and M40 Citri-Fi 150 Series Enhanced Citrus Fiber Standard Citri-Fi 200 Series Enhanced Citrus Fiber Co-Processed with Guar Gum Standard and Fine Citri-Fi 300 Series Enhanced Citrus Fiber Co-Processed with Xanthan Gum Fine and M40 7

Citri-Fi Products Products Citri-Fi 100 Series Citri-Fi 125 Series Citri-Fi 150 Series Citri-Fi 200 Series Citri-Fi 300 Series Meats Bakery Gluten-free Bakery Dairy Sauces/Condiments Beverages Pet 8

Why Citri-Fi 125 is Important Citri-Fi 125 provides customers an additional solution. As a result, this provides distributors potential for more sales. Citri-Fi 125 provides: most of the functional benefits as Citri-Fi 100 products potential lower usage levels at Citri-Fi 100 price parity which equates to COST SAVINGS $$$ especially for: Moisture management Oil reduction Egg reduction Yield improvement Clean label status for partial egg replacement unlike the Citri-Fi 200 Unique benefits depending on the application Virtually unlimited availability 9

Introducing Citri-Fi 125 Citri-Fi 125 is a natural, functional ingredient that contributes hydrocolloidal properties to provide the following benefits: Cost Savings Quality Improvements Health Enhancements Citri-Fi 125 is : Clean label Non-GMO All-natural Gluten-free Fiber source 10

Introducing Citri-Fi 125 Citri-Fi 125 provides the following functional benefits which improve yields, texture and quality through-out shelf-life: Water holding Texturizer Mouth-feel Citri-Fi 125 provides the following functional health benefits: Source of dietary fiber Oil and fat reduction in bakery Improves texture in allergen-free formulating 11

Citri-Fi Process Raw Citrus Fiber Before Processing After Processing EnhancedNaturalFibers Unique Functionality: Citri-Fi begins as raw citrus fiber after the juicing process. The natural cell wall material is mechanically processed to create the extended surface area individual to Citri-Fi. 12

Citri-Fi Manufacturing Process 13

Citri-Fi Sustainable Advantage Citri-Fi Supports Companies Sustainability Initiatives Raw Material Supply Oranges, lemons & limes from sustainable farm practices Byproduct from juicing process Not a grow & grind model just for citrus fiber Infinite supply of raw material: domestic/international juice processors Support the local citrus agricultural economies Citri-Fi Process Clean process; environmentally friendly No chemicals or organic solvents used Reuse the water; low use of water High production yields Higher Value Byproduct Nutritional composition and value preserved Natural replacer for chemical-based ingredients in food, cosmetics & personal care Improve Health & Wellness foods: reduce calories & fat, contributes fiber Biodegradable product for industrial applications 14

Introducing Citri-Fi 125 Availability Fiberstar s Citri-Fi 125 Production Capacity is virtually unlimited. Additional capacity came on January 2014. Labeling (depending on country s regulatory): Citrus Fiber, Citrus Flour, Dried Citrus Fiber Packaging: Net 20.0kg (44lbs.) 16 x 5 x 37 kraft bag 50 bags per pallet Shelf-Life: Thirty-six (36) months from date of manufacture, under recommended storage conditions Pricing: In parity with Citri-Fi 100 products 15

Technical Review Ground Meat: Improved Yields Muffins: Oil Reduction Muffins: Gluten-free Cake: Egg Reduction 16

Citri-Fi 125 vs 100 Differences in Functionalities Do not assume Citri-Fi 125 can be used as a substitute for Citri-Fi 100 or vice versa Citri-Fi 125: has a higher water holding capacity has a basic lower viscosity; however in bakery batters it is proving to have higher viscosity stabilizes foam, which Citri-Fi 100 does not has difficulty in most dairy does not stabilize emulsions as well as Citri-Fi 100 17

Citri-Fi 125 in Ground Meat Benefits Raw yield reduced purge into diaper pads Increased cooked yield Moist and juicy texture Other Potential Applications Meat analogues Fillings 18

Citri-Fi 125 in Ground Meat Formulation Control w/extra Water 1% Citri-Fi 125FG (6.5 times extra water) Ingredients Unit % Unit % Ground Beef (80/20) 500.0 93.5 500.0 92.5 Water 35.0 6.5 35.0 6.5 Citri-Fi 125FG 0.0 0.0 5.4 1.0 Total 535.0 100.0 540.4 100.0 Usage Amount of Citri-Fi: Best results are achieved when Citri-Fi is incorporated at 0.25-1% of the total formula weight. Additional water is recommended at 4 to 7 times the weight of Citri-Fi. How to add Citri-Fi: After water is thoroughly distributed in ground beef, Citri-Fi should be added slowly while mixing. 19

Citri-Fi 125 in Ground Meat Purge Reduction Improved raw yield Reduced raw purge into drip pads Raw ground beef sample drip pads, 200g samples were held for 96 hours. Control 3.5 grams purge Citri-Fi 125FG 0.4 grams purge Control Citri-Fi 125FG 3.5 grams 0.4 grams 20

Citri-Fi 125 in Ground Meat Yield Improvement Increase in raw yield (%) Increase in cooking yield (%) Moist and juicy texture Trial Raw Yield (%) Cooking Yield (%) Moisture (%) Control 98.22 74.36 54.50 1% Citri-Fi 125FG 99.80 80.23 58.06 Control Citri-Fi 125FG

Citri-Fi 125 in Ground Meat Sensory Results Citri-Fi 125 ground meat was preferred Moist and juicy texture due to the increased cook yield Neutral odor = no odor interference 22

Citri-Fi 125 in Bakery: Oil Reduction Oil Reduced Muffins Benefits Oil reduction Moisture retention Improved quality through-out shelf-life Other Potential Applications Cakes Breads (yeast, quick, flatbreads) Biscuits Scones 23

Citri-Fi 125 in Bakery: Oil Reduction Formulation Full Fat Control 25% Reduced Fat Citri-Fi 125GF (1:14) Ingredients Unit % Unit % Muffin Mix 600.0 53.5 600.0 53.5 Eggs 210.0 18.7 210.0 18.7 Oil 180.0 16.0 135.0 12.0 Usage Amount of Citri-Fi: To achieve a 25% oil reduction in this formula, replace 45 grams of oil with 3.0 grams of Citri-Fi 125FG and 42.0 grams of additional water to equal the 45 grams of oil removed. Citri-Fi 125FG 0.0 0.0 3.0 0.3 Water 132.0 11.8 132.0 11.8 Additional Water 0.0 0.0 42.0 3.7 Total 1122.0 100.0 1122.0 0.0 How to add Citri-Fi: Citri-Fi should be pre-mixed into the formula dry ingredients, such as the muffin mix or flour. 24

Citri-Fi 125 in Bakery: Oil Reduction Muffin Volume Citri-Fi 125FG produces oil reduced muffins equal or better in texture to fullfat version Trial Full Fat Control Citri-Fi 125FG (1:14) Sample Volume (cm 3 /g) % Baking Loss Average Height (mm) 2.16 6.51 43.01 2.16 6.81 44.20 25

Citri-Fi 125 in Bakery: Oil Reduction Moisture Retention Citri-Fi 125FG muffins retained moisture comparable or better than full-fat control 26

Citri-Fi 125 in Bakery: Gluten-free Muffins Benefits Structure/Texture Moisture retention Improved quality through-out shelf-life Other Potential Applications Gluten-free biscuits Gluten-free cakes Gluten-free cookies/brownies Gluten-free yeast bread 27

Citri-Fi 125 in Bakery: Gluten-free Muffins Formulation Control 0.3% Citri-Fi 125FG Ingredients Unit % Unit % Gluten-free Muffin Mix 920.00 49.50 920.00 49.30 Liquid Egg 300.00 16.10 300.00 16.10 Vegetable Oil 156.00 8.40 156.00 8.40 Calcium Propionate 1.50 0.08 1.50 0.08 Milk 482.00 25.90 482.00 25.80 Citri-Fi 125FG 0.00 0.00 6.00 0.30 Total 1859.50 100.00 1865.50 100.00 Usage Amount of Citri-Fi: Best results are achieved when Citri-Fi is incorporated at 0.25-1.0% of the total formula weight. If texture is dry, add 2-7 parts water. How to add Citri-Fi: Citri-Fi should be pre-mixed into the formula dry ingredients, such as the muffin mix. 28

Citri-Fi 125 in Bakery: Gluten-free Muffins Muffin Volume Citri-Fi 125FG improved muffin height compared to gluten-free control Trial Sample Volume (cm 3 /g) % Baking Loss Average Height (mm) Control 2.40 11.13 48.78 0.3% Citri-Fi 125FG Control 2.80 11.02 51.99 0.3% Citri-Fi 125FG 29

Citri-Fi 125 in Bakery: Gluten-free Muffins Moisture Retention Citri-Fi 125FG retained moisture over 7 days better than gluten-free control 30

Citri-Fi 125 in Baked Cake Egg Replacement Benefits Up to 20% egg reduction cost savings Clean label Structure/Texture Moisture retention Improved quality through-out shelf-life *Hi-Ratio Cakes stabilizes foam Other Potential Applications Muffins Brownies Cookies Crepes/Pancakes Waffles 31

Citri-Fi 125 in Baked Cake Egg Replacement Formulation Full Egg Control 20% Reduced Egg Citri-Fi 125FG (1:21) Ingredients Unit % Unit % R&H Cake Bases 500.00 53.30 500.00 53.30 Eggs 175.00 18.70 140.00 14.90 Oil 150.00 16.00 150.00 16.00 Citri-Fi 125FG 0.00 0.00 1.59 0.20 Water 112.50 12.00 112.50 12.00 Additional Water 0.00 0.00 33.41 3.60 Total 937.50 100.00 937.50 100.00 Usage Amount of Citri-Fi: To achieve a 20% egg reduction in this formula, replace 35 grams of egg with 1.59 grams of Citri-Fi 125FG and 33.41 grams of additional water to equal the 35 grams of egg removed. How to add Citri-Fi: Citri-Fi should be pre-mixed into the formula dry ingredients, such as the cake base. Add additional water with liquid ingredients from the original formula. 32

Citri-Fi 125 in Baked Cake Egg Replacement Cake Volume Citri-Fi 125 produced cake equal or better than full egg control height Trial Sample Volume (cm 3 /g) % Baking Loss Full Egg Control 2.21 5.24 20% Reduced Egg Citri-Fi 125 (1:21) 3.06 4.97 33

Citri-Fi 125 in Baked Cake Egg Replacement Moisture Retention Citri-Fi 125FG retained moisture over time equal or better than the full egg control. 34

Application Recap Ground Meat 125FG Oil Reduction in Bakery 125FG Moisture Management in Bakery/Gluten-free 125FG Egg Reduction in Bakery (including aerated batter) 125FG (125M40) 35

Summary Citri-Fi 125 has virtually unlimited availability Citri-Fi 125 performs similarly to Citri-Fi 100 however can be used at lower levels than Citri-Fi 100 in some food applications; At parity of Citri-Fi 100 pricing = Cost Savings $$$ Citri-Fi 125 offers the following benefits: Moisture management Oil/fat reduction Egg reduction Yield improvement Take advantage of the Citri-Fi 125 contest with CASH AWARDS$$$; Please contact your Fiberstar sales representative. 36

QUESTIONS & ANSWERS 37