ADAPTING TO A NEW CONSUMER LANDSCAPE - BILL BARTLETT CORPORATE AFFAIRS DIRECTOR MCCAIN FOODS (GB) LTD

Adapting to a New
Consumer Landscape
       Bill Bartlett
 Corporate Affairs Director
  McCain Foods (GB) Ltd

World of Confusion

• What is good?

• What is Bad?

           Mixed messages
                  =
          Consumers Confused

Chip Confusion
High Fat

Made from Reconstituted Potato

Heavily processed

*ICM Research showing fact perceptions   .

All Chips Are Bad….

….Myth or Reality?

McCain are keen to put the
       record straight

• We Just Peel, Cut, Cook, Freeze

or to put it another
       way…..

25 Years of McCain Oven Chips
       In Home Revolution

• Changed Habits of Nation
• Significant Reduction in Frying

Fat Facts….Not Fiction

• 17 Billion Chip Pans of Fat.

• ½ Billion Calories.

• (+ Chip Pan Fires)

5% Fat – Only 2 Ingredients

High Carbohydrate       Low in Sat. Fat
Source of Fibre         High in Poly Unsaturated Fat
Rich in Potassium
Good Source of Vit. C
Low in Sodium

…And What Have We Done In Catering
Where Deep Fat Frying is Necessary ?

• 1999 Best Fry Practice

• 2001 Delights

…Making Sure Our Products
         Are Fit For Purpose
• 2002 Reformulation Started

…And Now We Are Challenging
         The Status Quo

• 2003 Oven range developed

• 2006 Created by Kids for Kids

Fully engaged in the
Consultation process

School Meals

The Opportunity for Healthier
      Favourite Food

Nick: Kids snub our top grub
 CELEBRITY chef Nick    Official figures reveal
 Nairn slammed the      that    only   half  of
                        secondary pupils have
 Executive last night   EVER     eaten   school   Pupils turned off by healthy school meals
 after   it  emerged    dinners and just one in
 pupils are snubbing    TEN take them each
 a £63million school    day. Most head for chip        THE school dinner revolution prompted
 dinner revolution.     shops and burger vans.         by Jamie Oliver, the celebrity chef,
                                                       appears to have had little impact in
                                                       Scotland
                                                       according to a new study that reveals
                                                       that half of all secondary pupils have
                                                       never eaten school meals and only one
                                                       in 10 does so every day
                                                          A Scottish executive report reveals
                                                       that initiatives aimed at turning pupils
                                                       away from junk food has failed to
                                                       change eating habits.

Pupils shun healthy menus
in favour of junk food
PUPILS are rejecting healthy menus being introduced in      Pupils spurn healthier
schools in favour of junk food, one of Scotland's biggest
school meal providers has claimed.                          school meals
Tayside Contracts, which supplies meals to all secondary    THE number of
and primary schools in Tayside, warned that children were   pupils taking school
"voting with their feet“.                                   meals has fallen to
                                                            the lowest recorded
                                                            level, despite
                                                            attempts by the
                                                            Scottish Executive to
                                                            encourage
                                                            youngsters to eat
                                                            more healthily.

OR

Delivering Healthier Favourite Food
            in Schools -
      NPD meets New Technology

Our Oven Trial
• Pilot scheme January – June
  2006.

• Rational Ovens installed in 4
  secondary schools

• McCain lower fat “ovenable”
  potato products offered on
  menu

Results
• 10% increase in
  hot meals eaten

• 8/10 Child Preference

• Significant Reductions
  in running costs

Support & Endorsement
Kevin McKay – Past Chairman, Local
Authority Catering Association
            “Anything that improves the quality                       of meals served in schools can only
be applauded and encouraged. Balancing nutritional quality with the quantities of food required in today’s
              it’s great to see the nutritional and
schools is challenging, and
financial benefits that this project has managed to achieve.”

Support & Endorsement
Brendan Higgins – Head Teacher, Bishop
Wulstan Catholic School
          “Traditionally cooked chips were withdrawn from
our school menu long before the "Jamie's Dinners"
series. We have had the oven in place for over three months now and it has been very
impressive. We have seen a reduction of running costs and an
increase in the amount of time kitchen staff have to do
other jobs. I am now of the opinion that providing oven-baked chips
means they can be an acceptable option on our school
menu.”

Support & Endorsement
Ruth Willcox – Head of Catering,
Hertfordshire Local Education
Authority
         McCain/Rationale oven project in
          “The
Hertfordshire has been very successful and we have been
pleased with the results. Although the schools' commitment to healthy eating is strong,
the concept of oven chips with reduced fat has
been shown to be acceptable as part of a balanced
diet over the week. We are currently looking at catering equipment for the future
and will consider this oven as a modern option for the cooking of healthy foods offered
in secondary schools.”

Support & Endorsement
Ann Cumming - HFS Coordinator for
Renfrewshire.
         “ The ovens are fabulous at Castlehead High and they
                                           .
are an asset to the kitchen Apart from the oven
chips which are going down really successfully, the
catering manager uses the ovens in the morning for baking her muffins,
cookies and sponges and says the ovens are giving her the best results
she's ever had. The baked potatoes are also a great
success with the customers as they are nice and fluffy with crispy skins, just the
way they like them.”

Ovens in Schools:
           The Conclusion

       Changes to Cooking Method
                   +
                  NPD
                   =
Favourite Food That Meets Consumers Needs

….. However There Are a Couple of
       Issues to Address

Ovens in Schools:
   The Challenge

Bill To Pay

Ovens in Schools:
  The Challenge

Current Guidelines Limit The
        Opportunity

Confusion
• English Food Based Standards
  ‘Fried Food Twice A Week …Including The
    Manufacturing Process’

• FSA Nutritional Guidelines
  Chips
  – No More Than 5% Total Fat
  – No More Than 1% Saturated Fat

Clarity In Scotland
      Recommendation to Expert Group
• Some products that are deep fried in the
  manufacturing process but oven cooked, such as
  oven chips, can be quite low in fat.

• The Minister therefore intends to set a maximum
  fat and saturated fat limit for this type of
  product.

• The weekly limits on total and saturated fats in
  the nutrient standards will in turn limit how often
  they could be served at lunch.

Did you know?

• Chip Shop Chips                           SAT.
                                      FAT
                                            FAT

*Versus FSA Nutritional Guidelines

McCain Meets The FSA Guidelines

•   McCain Oven Chips
•   McCain Country Style Dice
                                          SAT.
•   McCain Lumberjacks              FAT
                                          FAT
•   McCain Roast Potatoes
•   McCain 5% Fat Wedges
            All Less Than 5%
          Total Fat / 1% Sat. Fat

In Summary

• We have a proven track record in delivering
  consumer solutions
• It’s the principle we apply across all of our
  markets
• Working with consumers and caterers is critical
• As is government and agencies