This document discusses natural flavors and sustainability from Givaudan's perspective. It notes that while strawberry is the most popular flavor for kids' yogurt, producing all strawberry yogurt in the US with natural strawberry flavor would require the equivalent of many football fields of strawberries. The document then discusses consumer perceptions of natural, focusing on composition, formulation, preservation, cultivation and transportation. It outlines Givaudan's approach to natural flavors, including its history with vanilla and portfolio of vanilla solutions. Finally, it presents Givaudan's strengthened sustainability approach called "A sense of tomorrow", focusing on the environment, responsible innovation and sourcing for shared value.

1. Natural Flavors are Clean Label
and Sustainable
A perspective from Givaudan
1

3. Most preferred
flavor of kids
#1 flavor in yogurt
3
Strawberry
3

4. Choose from the following options
What option would you prefer in your product?
N&A
Strawberry
Flavor?
Natural
Strawberry
Flavor WONF?
Natural Strawberry
Flavor?
Crushed
strawberries?
4

5. If all strawberry yogurt
consumed in the USA used
natural strawberry flavor,
this would require
football fields of strawberries!
Source: Givaudan
5

6. Choose from the following options
What option would you prefer in your product?
N&A
Strawberry
Flavor?
Natural
Strawberry
Flavor WONF?
Natural Strawberry
Flavor?
Crushed
strawberries?
6
Still the same choice?

7. As Naturalness is one of the
most important demand
drivers for consumers, how
can we give them great tasting
products that they: trust |
from recognized natural
sources | sustainable?
7

8. Natural flavoring standard
of identity
8
FDA Regulation
21 CFR 101.22 (a)(3)
The term natural flavor or natural
flavoring means the essential oil,
oleoresin, essence or extractive...“
Extractive definition:
“anything capable of being extracted”

9. 9
For consumers, natural means
‘as intended by nature’
• Natural is associated with
healthy, fresh and organic
• The less processed or
complex the product, the
more natural it is
Decoding natural
• Market fresh
• Traditional process
• Fruits and vegetables
• Mother earth
• Bio/Eco labels
• Provided by animals
• Homemade dishes
Spontaneous associations
with natural:
Source: Givaudan

10. 10
Consumer perceptions are mainly linked to
composition and formulation
1. Composition (81%)
• Presence of natural components
• It contains pieces or derivatives of
fruits/vegetables
2. Formulation (50%)
• It contains no artificial flavoring
• It contains no coloring
3. Preservation (35%)
• No preservatives
• Recently harvested ingredients
4. Cultivation (28%)
• It has no or limited usage of pesticides
• Organic
5. Transportation (7%)
• Ingredients from local producer
• Produced in my country / region
7%
28%
81%
50%
35%
Source: Givaudan

11. 11

12. 12
Increasing media coverage on the issue

13. Givaudan Naturals
Rich history…
deep presence
Natural
Givaudan is also the
largest global purchaser
of Natural Vanillin
History
Givaudan has been an active
partner in vanilla
Presence
Today, Givaudan is one of
the largest buyers of
vanilla beans in the world
and the largest certified
organic vanilla buyer
globally
100
years
TasteEssentials® Vanilla
13

14. Givaudan’s approach to solving the challenge
Going beyond
beans…
a full vanilla
portfolio
Customized extracts
liquid, powder, concentrates
Origin specific vanilla
Bourbon/Madagascar, Tahitian
Clean label solutions
Organic, Fair Trade
Natural extenders
Extract, Vanillin
Natural vanilla
flavors/extenders
Kosher, Halal, GMO-free, Organic
TasteEssentials® Vanilla natural options
14

15. Agricultural
Practices
Food
Security
Education Hygiene &
Health
Alternative
Revenues
• Beekeeping
• Animal breeding
• Vanilla
harvesting and
curing practices
• Improved rice
farming practices
(SRI)
• Construction
& renovation
of schools
• School material
developed and
supplied
• Construction
of lavatories in
several villages
• Construction of
health centres
and water wells
An example of our “Communities at Source” program
Current Madagascar Program Pillars
TasteEssentials® Vanilla
Scope
15
32 villages organic farmers
and their families
children3,000 4,000

16. FlavorVision® Global Trends
Confidential and proprietary business information of Givaudan 16
Tailored
Expectations
Crafted
Identities
Layered
Wellness
Human
Connection
DelightFULL Risk-Aware
Augmented
Self

17. A strengthened approach to sustainability
‘A sense of tomorrow’

18. A sense of tomorrow
Meeting needs today. Defining what’s next.

19. Confidential and proprietary business information of Givaudan 19
Alignment with the UN Sustainable Development Goals
Supporting 9 out of 17 goals

20. Confidential and proprietary business information of Givaudan 20
A sense of tomorrow
Three focus areas where we can make a genuine impact
Acting for our
environment
Innovating
responsibly
Naturals
Greenhouse gas
Emissions
Renewable
Electricity
WaterWaste
Health and Well-being
Our people and partners
Sourcing
for shared value
Communities
at Source
Sourcing
at Origin
Responsible
Sourcing
Sustainable Processes

21. Engaged people and strong partnerships
At Givaudan we:
• Develop and promote our people
consistent with our Company DNA
• Ensure that everyone gets home
safe everyday
• Embrace a balanced workforce
to unleash our full potential
• Empower our people to care and
act for sustainability through
our “Green Team” network
We foster strong partnerships:
Confidential and proprietary business information of Givaudan 21
A sense of tomorrow

22. Working together
to bring you the best
solutions from nature
Givaudan
...your natural partner
www.givaudan.com/sustainability