Axfood reported stable earnings for the third quarter of 2012, with net sales increasing 3.5% to SEK 9,044 million. The operating margin was 4.1%, down slightly from 4.2% in the previous year. All of Axfood's business units saw positive results, with Hemköp reporting sales growth of 7.2% and Willys achieving its best third quarter result ever with a 1.4% increase in operating profit. Axfood aims to achieve an operating profit for 2012 at the same level as 2011 through continued sales growth, high levels of private label products, efficiency improvements, and investments in store renewals.

1. Axfood
January-September, 2012
1

2. Axfood Q3 2012
Net sales
• Favourable sales:
SEK 9,044 m (8,735) +3.5%
9,044
+3.5%
• Stable earnings: SEK 368 m (370)
• Operating margin: 4.1% (4.2)
• Positive result for all business units
2

3. Hemköp – Good sales growth
• Good sales performance: SEK 1,225 m
(1,143), +7.2%
– Like-for-like sales: +1.1%
• Stable profit: SEK 32 m (34)
– Operating margin: 2.6% (3.0)
• Increased marketing activities
Net sales
• Target 2012: 3% operating margin
+7.2%
3

4. Willys – Best third quarter result ever
• Stable sales growth: SEK 4,818 m
(4,706), +2.4%
• Good result: SEK 215 m (212) +1.4%
– Operating margin: 4.5% (4.5)
• 93 stores are now modernized
– Remaining 20 stores in the renewal program Operating profit
will be modernized during the coming year
215
+1.4%
4

5. PrisXtra – Continued positive result
• Decrease in sales due to major
road constructions
– Net sales: SEK 113 m (123), -8.1%
– Future strategic locations
• Positive result: SEK 4 m (-1)
5

6. Axfood Närlivs – Wholesale operation
Net sales
• Favourable sales growth mainly credited to +11.4%
deliveries to new customers
– Net sales: SEK 1,652 m (1,483), +11.4%
– Like-for-like sales affected by bad weather
conditions
• Operating profit: SEK 50 m (44), +13.6%
6

7. Dagab – Efficient logistics
• Stable development
– Efficiency and high delivery reliability
• Operating profit: SEK 46 m (56)
• Result affected by:
– Increased costs due to implementation of the
new business system
Delivery reliability
97.3%
7

8. Increased private label share
• Reached target of 25% private label share
Private label share
%
25
20
15
10
5
0
-01 -03 -05 -07 -09 -11
8

9. Market outlook 2012
• Uncertain market development
• Food price inflation at low levels
• Continued tough competition
• Price conscious customers
9

10. Strategy for profitable growth
• Further stimulate sales growth
– Well operated stores
• High level of private label
• Efficiency and cost control
• Ambitious pace of investment
– Continued high pace in store renewals
– Implementation of the new business
system continues
10

11. Axfood’s goal for 2012
Achieve an
operating profit
at the same level as in 2011
11

12. Financial Overview
January-September, 2012
12

13. Axfood Q3 2012
Net sales, SEK m
Operating margin, % Key ratios
Q3 Q3 Change
8,914 9,292 SEK m 2012 2011
8,735 8,718 9,044
Net sales 9,044 8,735 3.5%
Change in like-for-like sales,
0.0% -0.8% 0.8
%
4.2
4.2 4.1
3.6
3.4
Operating profit 368 370 -0.5%
2.8
Operating margin, % 4.1% 4.2% -0.1
Number of stores,
Q3 -11 Q4 -11 Q1 -12 Q2 -12 Q3 -12 244 232 12
Group-owned
13

14. Willys Q3 2012
Net sales, SEK m
Operating margin, % Key ratios
Q3 Q3 Change
4,961 SEK m 2012 2011
4,848 4,701 4,818
4,706
Net sales 4,818 4,706 2.4%
Change in like-for-like sales,
-0.1% -1.3% 1.2
4.5 4.5
%
4.1 4.4
3.6
Operating profit 215 212 1.4%
Operating margin, % 4.5% 4.5% -
Q3 -11 Q4 -11 Q1 -12 Q2 -12 Q3 -12
Number of stores 172 166 6
14

15. Hemköp Q3 2012
Net sales, SEK m
Operating margin, % Key ratios
Q3 Q3 Change
SEK m 2012 2011
1,255 1,271 1,225
1,239
1,143
Net sales 1,225 1,143 7.2%
Change in like-for-like sales,
1.1% 0.6% 0.5
%, Group-owned
Operating profit 32 34 - 5.9%
3.0
2.6
1.9 1.9
1.7 Operating margin, % 2.6% 3.0% - 0.4
Number of stores
Q3 -11 Q4 -11 Q1 -12 Q2 -12 Q3 -12 Group-owned 67 61 6
Franchise 114 97 17
15

16. PrisXtra Q3 2012
Net sales, SEK m
Operating margin, % Key ratios
Q3 Q3 Change
SEK m 2012 2011
132
140
130 113 Net sales 113 123 -8.1%
113
Change in like-for-like sales,
3.6
3.0
3.8
3.5 -8.1% -8.9% 0.8
%
Operating profit 4 -1
-0.8
Operating margin, % 3.5% -0.8% 4.3
Q3 -11 Q4 -11 Q1 -12 Q2 -12 Q3 -12
Number of stores 5 5 -
16

17. Axfood Närlivs Q3 2012
Net sales, SEK m
Operating margin, % Key ratios
Q3 Q3 Change
SEK m 2012 2011
1,673 1,652
1,483 Net sales 1,652 1,483 11.4%
1,382 1,441
3.0 3.0
Distributed sales 1,512 1,338 13.0%
1.7
Operating profit 50 44 13.6%
1.7
Operating margin, % 3.0% 3.0% -
0.6
Number of stores,
20 20 -
Q3 -11 Q4 -11 Q1 -12 Q2 -12 Q3 -12 Axfood Snabbgross
Delivery reliability, % 97.8 97.4 0.4
17

18. Dagab Q3 2012
Net sales, SEK m
Operating margin, % Key ratios
Q3 Q3 Change
SEK m 2012 2011
6,273 6,264 6,000
6,016 6,022
Net sales 6,000 6,016 -0.3%
Distributed sales 4,189 4,193 -0.1%
0.9 0.9
0.6 0.8 Operating profit 46 56 -17.9%
0.5
Operating margin, % 0.8% 0.9% -0.1
Q3 -11 Q4 -11 Q1 -12 Q2 -12 Q3 -12
Delivery reliability, % 97.3 97.0 0.3
18

19. Other Q3 2012
• Sales: SEK 1,113 m (1,038), +7.2%
• Operating profit: SEK 21 m (25)
– Includes amortization of new
business system
19

20. Key ratios January-September 2012
• Balance sheet, total: SEK 8,482 m (7,911)
• Cash flow operating activity: SEK 1,385 m
(1,004)
• Capex: SEK 679 m (696)
– Investment plan 2012: SEK 900 – 1,000 m
(993)
– Same level is expected for 2013
20

21. Financial targets & dividend policy
• Axfood's goal for 2012 is to achieve
an operating profit at the same level
as in 2011
• Equity ratio of at least 25%
• Shareholder dividend of at least 50%
of profit for the year after tax
• Long term target for an operating
margin of 4%
21

22. Summary
• Stable result and sales
development
• Efficiency and good cost
control
22

23. Axfood
Q&A
23