Cold Chain Infrastructure at the Ports and Beyond · Conclusion • New and emerging markets will continue to increase food product demand and the need for cold chain solutions •

Cold Chain Infrastructure at the Ports and Beyond Diogo Lobo

President of Logistics [email protected]

(970) 371 - 9476

• Lineage was founded in 2011 by Bay Grove Capital through a combination of 12 acquisitions of premier temperature-controlled warehousing companies.

• We will continue to benefit from greater economies of scale from consolidation in the highly fragmented cold storage and logistics market.

The History of Lineage Logistics

1

2012

Re-branding

as Lineage

Logistics

2011

Santa Maria

acquired by

BGC

1907

Richmond

Cold Storage

founded 1978

Seafreeze Cold

Storage

founded

1992

Flint River

founded by Lem

Griffin and Zack

Aultman

1970

CityIce begins

operations

1979

Inland Cold

Storage

founded by Bill

Hendricksen

1984

Terminal Freezers

founded by

Lowell Dayton,

David Dayton,

and Gale Bernik

2009

CityIce acquired

by BGC

2008

Seafreeze

acquired by

BGC

2010

Flint River

acquired by BGC

2011

Terminal Freezers

acquired by BGC

2011

Richmond Cold

Storage acquired

by BGC

2012

Stanford

Refrigerated

Warehouse

acquired by BGC

2012

Castle &

Cooke Cold

Storage

acquired by

BGC

2013

UP acquired

by BGC

Start of

Lineage

Logistics

Platform

2013

SCS acquired

by BGC

2014

More M&A

To be

Announced

Our Vision: To be the world’s most dynamic temperature-controlled warehousing and logistics company.

Farm to Fork Cold Chain Solutions

PORT-CENTRIC WAREHOUSE SOLUTIONS

PUBLIC REFRIGERATED WAREHOUSING

2

DEDICATED DISTRIBUTION FACILITIES

ON-SITE FOOD PROCESSING AND SUPPORT

TRANSPORTATION

4PL GLOBAL LOGISTICS

OCEAN & AIR EXPORT SERVICES

CUSTOMS BROKER

REFRIGERATED INTERMODAL SERVICES

COLD CHAIN SYSTEMS

Strategic Alliance Linking U.S. via Intermodal

3

CHICAGO <> NORTHWEST

CHICAGO <> SOUTHWEST

CHICAGO <> TEXAS / MEXICO

CHICAGO <> SOUTHEAST

Cold Chain Geographic Sourcing to Connect Finished Goods to Global Markets

4 DISTRIBUTION PROFESSIONALS WITH DIVERSE PRODUCT AND COMMODITY EXPERTISE

Global Protein Consumption Continues to Grow

5

0

50

100

150

200

250

300

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 2019

Source: Historical figures per USDA FAS. Projected and forecasted data per OECD estimates.

(MT in mm)

Historical Forecast

0

50

100

150

200

250

1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011

6

Global Protein Consumption by Species

(MT in mm)

Source: USDA FAS

7.5%

29%

32.2%

70.2%

41.4%

47.7%

23.7%

23.3%

48.7%

North America

Central America

South America

Sub Saharan

Africa

Middle East

Southeast Asia

East Asia

Former

USSR

Oceania

Source: FAPRI February 2010

0.5%

Latin America represents over 1/3 of reefer exports

8 Source: Maersk Line

Top 5 Latin America Cold Chain Infrastructure Investments in 2013

9

432

93

244

79

77

During 2013 Brazil attracted 432

Greenfield projects, making it

the #1 country in the region in

terms of number of “Cold Chain

Logistics” projects received.

Source: fDI Markets, Global Greenfield Investement Trends. 2013

ECLAC (CEPAL) - Foreing Direct Investment in Latin Ameica and The Caribbean 2012

Conclusion

• New and emerging markets will continue to increase food product demand and the need for cold chain solutions

• Developing nations are consuming more

• May result in future food shortages and increased commodity prices

• U.S. and Brazil are heavily investing in cold chain infrastructure

• Inland ports and 3PL providers are crucial to the success of exports and Imports

• Customization by commodity will drive innovation of cold chain services

• Lineage Logistics is actively positioning itself to become the best in class, end-to-end global food logistics provider

THANK YOU! Diogo Lobo

President of Logistics [email protected]

(970) 371 - 9476