Rolf Neise, British American Tobacco & Alex Hislop, DHL on 'Creating a World Leading Logistics Partnership'

Global Logistics Partnership

Rolf Neise and Alex Hislop

November 2009

British American Tobacco and DHL :

Making a global partnership work!

Who is British American Tobacco?

World’s most international tobacco group

� Over 300 brands

� 180 markets

� Global market share round 17%

� Market leadership in 50 countries

� Almost 54,000 employees

2008 performance

BAT DHL Joint Presentation November 2009 Page

2008 performance

� Gross Turnover £33.9bn

� Profit - £3,6bn (+24%)

� (£21,8bn tax contribution

2008 Statistics� 715 billion cigarettes produced

� 47 factories in 40 countries

� 5 Regional Product Centres

� Over 460,000 tonnes of leaf bought

� 280,000 farmers providing leaf

Deutsche Post DHL

MAIL EXPRESS

GLOBAL

FORWARDING,

FREIGHT

SUPPLY CHAIN

Worldwide Worldwide Worldwide Worldwide

BAT DHL Joint Presentation November 2009 Page

Worldwide

� DHL Global Mail –

biggest network for mail

distribution worldwide

� Delivers mail to about 40

million households

in Germany

� More than 72 million

shipments a day

Worldwide

� Strong presence

in 220 countries and

territories

� 4500 bases

� More than 4.2 million

customers worldwide

� 120,000 destinations

Worldwide

� No. 1 in global

air and ocean freight

� One of Europe’s leading

road freight forwarders

� 3,000 locations

Worldwide

� 2,500 locations

� 22.8 million square

meters of managed

warehouse space

� Leading provider of LLP

and CIS worldwide

3

Annual DP DHL Revenues in 2008 : €42 billion

281,000 employees

Logistics facilities operating in more than 3,000 locations, 220 countries and territories

What is the BAT / DHL Global Logistics Partnership?

4

“To create the world’s leading logistics

partnership”

Focussed Teams

BAT DHL Joint Presentation November 2009 Page

Focussed Teams

Clear Ways of Working

Manage Complexity

Move Fast, globally

Expand DevelopStandardise

BAT / DHL

Logistics Strategic Partnership

Faster, Better, Cheaper

Sustainable Innovation

DHL Partnership Framework

Effective & Efficient

BAT DHL Joint Presentation November 2009 Page

Expand

present

business

Develop

New

Business

Standardise

&

Globalise

Doing what we

do, but better

Doing the same

thing elsewhereDo New Things

Big Green &

Yellow

1200 → 2300 cases per load