dedicated to sustainable seafood excellence may 16, 2013, new york seafood investment forum

Dedicated to Sustainable Seafood Excellence

May 16, 2013, New York

Seafood Investment Forum

http://www.intrafish.com/

2


Forward Looking Statements

This presentation may contain forward-looking statements. Such statements

involve known and unknown risks, uncertainties, and other factors outside

management’s control including but not limited to total allowable catch levels,

selling prices, weather, exchange rates and fuel costs, that could cause actual

results to differ materially from those expressed in the forward-looking

statements.

Clearwater does not assume responsibility for the accuracy and completeness

of the forward-looking statements and does not undertake any obligation to

publicly revise these forward-looking statements to reflect subsequent events

or circumstances.

3


Company Overview

North America’s largest vertically integrated harvester, processor, and distributor of premium shellfisho ~79 million pounds sold in 2012

o Key species include: lobster, scallops, clams, coldwater shrimp and crab

o Recognized for quality, eco-harvesting practices* and reliable delivery

Largest holder of shellfish quotas in Canadao Operations in offshore Canada and Argentina

At-sea processing o Company-owned state-of-the-art factory vessels

o Advanced onshore processing, storage and distribution capabilities

Global sales, marketing and distribution platformo Diverse customer base with local sales forces

* Widest selection of MSC-certified species of anyseafood harvester worldwide

4


26%10%

38%

20%

23%

59%

7% 6%4% 4%2% 1%

2009 2030

North America EuropeAsia Pacific Central / South AmericaMiddle East / North Africa Sub-Sahara Africa

Powerful Industry Fundamentals

Asia-Pacific middle class sustainable growth provides a stable source of long-term demand (six-fold growth in consumer spending forecast through 2020)

Growing incomes have increased demand for high-capacity premium products

Increasing adaptation of premium priced western-inspired products

Robust Emerging Market Demand

Source: OECD, FAO Secretariates and PricewaterhouseCoopers.

Growing focus on health and wellness driving interest in “higher-quality” protein

Increasing consumer willingness to pay a premium for “sustainable” , traceable, safe food

Desire for “authentic” taste experiences (wild-caught vs. farm-raised) and scarcity premium (the seafood connaisseur)

Compelling Market

“Mega Trends” in Advanced

Economies

Supplier Pricing Power

Global demand outstripping finite wild-caught supply sources

Regulatory bodies managing wild-caught fisheries conservatively to protect long-term supply

Declining growth of both wild-caught and aquaculture production

Customers willing to pay a premium for high-quality sustainable supply

19%23%

30%

43%50%

Fish Oil Capture/Wild

Traded/Export

Fish Meal Aquaculture

Projected 2000-2020 Price Growth

5


Licensing - An enterprise requires a license to harvest the species harvested by Clearwater in the Atlantic Canada and Argentine offshore fisheries. Regulatory Authorities in Canada and Argentina strictly control the number of licensed enterprises and granting new licenses is extremely rare

Significant Capital requirements to acquire and outfit vessels (estimated total value in excess of $500 million)

Ongoing investments in R&D - Significant investments in proprietary technology and operations that reduce cost and/or increase productivity require a knowledgeable management team.

Global reach - A global, direct sales force that is capable of interacting with and selling directly to customers worldwide is required in order to execute on pricing opportunities.

Automated Shucking

(C$ in millions)

Significant Barriers to Entry

Lobster Innovation

http://business.financialpost.com/2011/01/27/the-next-frontier-of-branding-2/lobsterresized-2/

6


Wild Capture$80 bn

Aquaculture$60 bn

PrimaryProcessing

$60 bn

SecondaryProcessing

$120 bn

Distribution,Procurement

& Trading$80 bn

Leading Global Provider of Wild-Caught Shellfish

Valuable License Ownership

Balanced Global Footprint

Strong Presence Across the Value-Chain

Clearwater’s Value Added Pipeline• Scallops• Lobster• Clams• Shrimp

Balanced Species Mix(1)

100% 100%

49%39%

25%

Artic SurfClams

OffshoreLobster

SeaScallops

ArgentineScallops

ColdwaterShrimp

China17%

Japan13%

Other Asia5%

Europe35%

UnitedStates15%

Canada14%

Other1%

Scallops31%

ColdwaterShrimp

22%

Clams21%

Lobster18%

Crab4%

Other4%

Clearwater is a primary license-holder in all of its

key fisheries

20% 2-yr Sales CAGR

1) Reflects percent of 2012 net sales.

($ in millions)

7


FoodService

49%

Retail38%

Other13%

Balanced End-Market and Customer Exposure

Global Footprint

Worldwide distribution presence

Local sales and marketing teams

On-trend products in all markets

Channel Mix

Multiple touch points to global seafood consumers

Diverse Customer Base

No single customer represents more than 6% of revenue

Average top-ten customer relationship of nearly 10 years

2011 Revenues of $332.7 million

Broadest, highest-quality premium shellfish offering

Widest selection of MSC-certified species of any harvester/processor

Unique, “just-in-time” live lobster program

New product innovation, consumer/customer insight competency

Clearwater’s Value Proposition

8


Deep and Experienced Leadership Team

Deep management team focused on developing the Clearwater brand globally while preserving the Company’s commitment to quality and sustainability

Recently, Clearwater has expanded the senior management team, bringing in ten new additions including three individuals at the leadership level in China

• Joined: May 17th, 2010• Experience: 23 years

Ian SmithChief Executive Officer

Robert WightVP Finance & Chief

Financial Officer

Eric RoeChief Operating Officer

David RathbunChief Talent Officer

Greg MorencyVice President & Chief

Commercial Officer

Leadership Team

• Joined: November 16th, 1987• Experience: 35 years

• Joined: September 4th, 1988• Experience: 27 years

• Joined: April 26th, 2011• Experience: 25 years

• Joined: July 1, 2010• Experience: 35 years

Mike PittmanVice President Fleet

Paul BroderickVice President International Sales

Christine PenneyVP of Sustainability and

Public Affairs

Tyrone CotieTreasurer

• Joined: October 1st, 1988

• Experience: 48 years

• Joined: September 18th, 1989• Experience: 29 years

• Joined: September 3rd, 2002• Experience: 23 years

• Joined: July 1st, 1995• Experience: 17 years

John Burwash Chief Information Officer

David KavanaghVP & General Counsel

• Joined: November 5th, 2012• Experience: 24 years

• Joined: June 23rd, 2003• Experience: 23 years

9


Multiple Sources of Long-Term Cash Flow Stability

Unique, protected access to a scarce, highly-regulated resource Diminishing growth rates in global supply over next three

decades Growing focus on management of fisheries (i.e. licensing and

quota protection)

Robust global seafood fundamentals Growth in per capita consumption in developed and developing markets On-trend with consumers push toward higher quality, healthier proteins

Diverse product and species mix provides multiple customer touch points

Attractive value proposition for customers across all channels (retail, white table cloth, export, etc.)

Track record of successful innovation (packaging, branding, value-added)

Scarcity

Demand

Product Offering

Pricing Power

Consistent track record of pricing gains Focus on “high-value” premium species MSC Certification provides additional pricing halo

10


Sales and earnings trends

2008 2009 2010 2011 2012

$301,204

$284,065

$315,539

$332,785

$350,447

Sales (000"s)

CAGR

5.3%

2008 2009 2010 2011 2012

$36.2

$44.2

$50.7

$61.2

$72.2

Adjusted EBITDA (millions)

CAGR

18.0%

11


Most recent financial results – Q1 2013

Clearwater has committed to key financial targets, some of which are outlined below:

Return on assets is calculated as (EBIT / Total Assets).

Net leverage is calculated as (Total Debt - Cash) / EBITDA.

Rolling 4 quarters ended Q1 2013

Rolling 4 quarters ended Q1 2012

Peer company top quartile

(Target)

Sales Growth 4.0% 6.0% 5.0%

Sales in the first quarter of 2013 was constrained by lower available supply. Demand, particularly in China and throughout Asia remains strong for all our core species, as supply becomes available Management expects continued revenue growth in line with target.

Free cash flows (millions) $9.0 $0.0 NA

Growth in free cash flows has been driven by improvements in adjusted EBITDA, lower capital expenditures and working capital.

Return on Assets 10.7% 11.2% 12% or greaterReturn on assets shows a continuing trend of improvement and focused management of investments.

Net Leverage 3.2x 3.9x 3.0x or lower

Net leverage has improved due to stronger EBITDA levels and lower net debt balances. Seasonality will result in periodic increases in leverage and investments may also result in periodic increases in leverage from target leverage of 3.0x.


Seafood Investment Forum

THANK YOU

http://www.intrafish.com/

dedicated to sustainable seafood excellence may 16, 2013, new york seafood investment forum

Documents

seafood harvester

forwardlooking statements

crab o

canada o operations

o key species

scarcity premium

price growth slide

sea processing o company