SQUID, OCTOPUS, HERRING & MACKEREL PANEL

SQUID, OCTOPUS, HERRING & MACKEREL PANEL January 19, 2016 Miami, FL

THE SQUID, OCTOPUS, HERRING & MACKEREL PANEL Ruth Levy Jim Kenny Mike Daniels Ferran Pauner Egil Sundheim Brady Schofield 2

OVERVIEW Global Cephalopod Production (MT) Global Landings 2013 4 Million Tons 4.2% of Total Wild Landings Squid 2,920,000 tons Octopus 347,000 tons Cuttlefish 322,000 tons NSPF 430,000 tons Source: FAO 3

SQUID OVERVIEW 4

SQUID OVERVIEW Global Squid Production (MT) 4,000,000 World Squid Production (MT) 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 *2014 *2015 Source: FAO and Urner Barry; *Estimates 5

SQUID OVERVIEW Global Squid Production (MT) World Squid Production by Country (MT) 1,000,000 900,000 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 CHINA PERU KOREA, REPUBLIC OF JAPAN ARGENTINA INDONESIA TAIWAN PROVINCE OF CHINA UNITED STATES OF AMERICA THAILAND CHILE RUSSIAN FEDERATION MALAYSIA PHILIPPINES SPAIN FALKLAND IS.(MALVINAS) MOROCCO Source: FAO 6

SQUID OVERVIEW Global Production by Species 2009-2013 DOSIDICUS GIGAS VARIOUS SQUIDS NEI ILLEX ARGENTINUS TODARODES PACIFICUS COMMON SQUIDS NEI LOLIGO OPALESCENS BERRYTEUTHIS MAGISTER LOLIGO GAHI NOTOTODARUS SLOANI ILLEX ILLECEBROSUS LOLIGO PEALEII SEPIOTEUTHIS LESSONIANA OMMASTREPHES BARTRAMII ILLEX COINDETII LOLIGO REYNAUDII TODARODES SAGITTATUS INDIAN SQUID LOLIGO FORBESII LOLIGO VULGARIS ONYKIA INGENS Source: FAO 7

SQUID OVERVIEW Dosidicus gigas Illex argentinus Loligo edulis Loligo gahi Loligo opalescens Loligo pealei Ommastrephes bartramii Todarodes pacificus 8

SQUID OVERVIEW US Squid Production (MT) 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: NOAA, NMFS and Urner Barry 9

SQUID OVERVIEW US Squid Imports (MT) 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; *Estimate 10

SQUID OVERVIEW US Imports by Country (MT) 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 CHINA (MAINLAND) KOREA, REPUBLIC OF ARGENTINA CHINA (TAIWAN) INDIA OTHERS PERU THAILAND 5,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; *Estimate 11

SQUID OVERVIEW US Squid Exports (MT) 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; *Estimate 12

SQUID OVERVIEW US Exports by Country (MT) 100,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 CHINA (MAINLAND) SPAIN PHILIPPINES JAPAN ITALY UNITED KINGDOM MEXICO AUSTRALIA GREECE CANADA FRANCE NETHERLANDS OTHERS 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data 13

SQUID OVERVIEW U.S. Net Supply Domestic Landings MT 2010 2014 MILLION LBS MT MILLION LBS 153,945 339 121,030 267 0.300 0.250 0.200 US Consumption (LB) Exports 136,972 302 120,750 266 Imports 66,533 147 69,153 152 NET SUPPLY 73,322 162 69,265 153 0.150 0.100 0.050 0.000 2010 2011 2012 2013 2014 We don t eat squid, we eat Calamari.24 lb. per capita estimated consumption Source: US Census, NMFS, and Urner Barry s Foreign Trade Data 14

SQUID OVERVIEW Market Price Study $4.00 T&T TUBES RINGS R&T STEAKS $3.60 $3.20 $2.80 $2.40 $2.00 $1.60 $1.20 Mar 10 Sep 10 Mar 11 Sep 11 Mar 12 Sep 12 Mar 13 Sep 13 Mar 14 Sep 14 Mar 15 Sep 15 Source: Urner Barry 15

SQUID OVERVIEW Market Price Study T&T, THAILAND, 3-5 IN T&T, CHINA, 3-5 IN. $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 Jan-10 Mar-10 May-10 Jul-10 Sep-10 Nov-10 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Nov-12 Jan-13 Mar-13 May-13 Jul-13 Sep-13 Nov-13 Jan-14 Mar-14 May-14 Jul-14 Sep-14 Nov-14 Jan-15 Mar-15 May-15 Jul-15 Sep-15 Source: Urner Barry 16

SQUID OVERVIEW 25.8% 0.5% Growth rate (relative % change) CALAMARI Overview -2.3% 1 year 4 year MenuTrends PENETRATION vs. 2014 vs. 2011 Historic Penetration Growth 22.6% 23.8% 25.9% 25.7% 25.9% 26.4% 26.6% 26.1% 25.6% 25.8% Restaurant Type 7.9% 3.8% 22.5% 39.1% 52.1% 5.7% 21.5% 30.9% 19.8% QSR Midscale Fine Dining National Chains Indep. 20.4% Midwest 31.1% Northeast Region 23.1% West 21.9% South 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 17

SQUID OVERVIEW CALAMARI Cuisines & Applications Menu Types % of menu items served at Applications Top Paired Flavors % of menu items that are % of menu items that also include Italian American Pizza Seafood Chinese Thai Mixed Ethnicity Japanese Mexican Steakhouse Other Asian Mediterranean Sandwich Central & So America Southern French 12.3% 11.2% 8.1% 5.6% 5.4% 4.5% 4.1% 3.3% 2.7% 2.4% 1.8% 1.3% 1.2% 0.8% 0.7% 32.1% Fried Protein App 43.6% Shellfish Main Entrée 13.5% Combos/ Multi Protein 7.9% Pasta 7.0% Non-Fried Protein App 4.7% Sampler 4.4% Salad Entrée 4.1% Entrée Stew / Soup / Chili 3.5% Other Entrée 2.3% Protein Side 2.0% Rice Entrée 1.8% Deli Salad Appetizer 0.9% Pizza 0.6% Appetizer Salad 0.5% Other App 0.5% Mexican 0.5% Fried 62.5% Fried calamari 61.5% Sauce 58.3% Red sauce 34.0% Shrimp 33.5% Pepper 26.1% Marinara 26.0% Spicy 25.3% Lemon 21.0% Garlic 20.8% Crispy 18.5% Noodle 18.0% Tomato 17.7% Mussel 17.3% Lightly 17.2% Fresh 17.2% Other European 0.5% Fish Main Entrée 0.4% Scallop 17.0% Caribbean 0.5% Hot Sandwich 0.3% Clam 16.6% 18 Other 1.3% Other 1.3% Seafood 16.4%

SQUID OVERVIEW Growth rate (relative % change) 10.5% -0.4% SQUID Overview 2.4% 1 year 4 year MenuTrends PENETRATION vs. 2014 vs. 2011 Historic Penetration Growth 10.3% 11.1% 10.6% 10.7% 10.2% 10.5% 10.6% 10.5% 10.5% Restaurant Type 3.3% 1.6% 13.8% 13.6% 19.4% 0.0% QSR Midscale Fine Dining National Chains 5.0% 16.3% Indep. 9.8% 9.6% 6.6% Midwest 11.9% Northeast Region 9.5% West 6.7% South 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 19

SQUID OVERVIEW SQUID Cuisines & Applications Menu Types % of menu items served at Applications Top Paired Flavors % of menu items that are % of menu items that also include Thai Chinese Japanese Italian Other Asian Mexican Central & So America Korean Seafood American Mediterranean Mixed Ethnicity Other European Indian Pizza Caribbean Steakhouse Coffee & Bakery 20 Other 11.6% 9.5% 8.0% 3.3% 2.7% 2.2% 1.5% 1.5% 1.3% 1.3% 0.9% 0.9% 0.7% 0.6% 0.4% 0.3% 1.0% 26.3% 25.9% Shellfish Main Entrée 39.6% Fried Protein App 9.5% Pasta 9.4% Entrée Stew / Soup / Chili 7.9% Other Entrée 6.7% Salad Entrée 5.6% Rice Entrée 5.3% Non-Fried Protein App 5.3% Combos/ Multi Protein 4.3% Deli Salad Appetizer 1.4% Protein Side 1.2% Other App 1.1% Fish Main Entrée 0.4% Veggie Main Entrée 0.4% Sampler 0.3% Mexican 0.2% Appetizer Soup / Chili 0.2% Appetizer Salad 0.2% Other 1.0% Sauce 47.2% Shrimp 44.8% Fried 40.3% Spicy 35.8% Scallop 33.0% Seafood 29.7% Calamari 25.0% Pepper 24.6% Noodle 23.0% Garlic 22.4% Hot 21.6% Onion 20.4% Sauteed 19.6% Vegetable 19.3% Mussel 18.9% Fried squid 18.7% Salad 18.5% Fresh 17.5% Fish 16.5%

21

22

23

24

SQUID OVERVIEW Squid Discussion 25

OCTOPUS 26

OCTOPUS OVERVIEW Global Octopus Production (MT) 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 *2014 *2015 Source: FAO and Urner Barry 27

OCTOPUS OVERVIEW Global Octopus Production (MT) 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 CHINA MOROCCO JAPAN MEXICO MAURITANIA KOREA, REPUBLIC OF SPAIN PORTUGAL INDONESIA THAILAND ITALY PHILIPPINES TUNISIA SENEGAL GREECE FRANCE BRAZIL MALAYSIA CHILE TANZANIA, UNITED REP. OF OTHERS Source: FAO 28

OCTOPUS OVERVIEW Global Octopus Distribution Octopus Landings in 2013: Geographic View Total Octopus Landings (Tons) / FAO Area 29

OCTOPUS OVERVIEW US Octopus Imports (MT) 24,000 22,000 20,000 18,000 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data 30

OCTOPUS OVERVIEW US Imports by Country (MT) 6,000 5,000 4,000 PHILIPPINES SPAIN CHINA (MAINLAND) INDONESIA THAILAND INDIA 3,000 PORTUGAL MEXICO 2,000 VIETNAM JAPAN 1,000 MALAYSIA 0 2010 2011 2012 2013 2014 *2015 PERU OTHERS Source: US Census and Urner Barry s Foreign Trade Data 31

OCTOPUS OVERVIEW Morocco Octopus 32

OCTOPUS OVERVIEW Market Price Study PHILIPPINES SPAIN INDIA INDONESIA THAILAND $4.50 $4.00 $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 Mar 10 Sept 10 Mar 11 Sept 11 Mar 12 Sept 12 Mar 13 Sept 13 Mar 14 Sept 14 Mar 15 Sep 15 Source: US Census and Urner Barry s Foreign Trade Data 33

OCTOPUS OVERVIEW Growth rate (relative % change) 7.5% 2.2% OCTOPUS Overview 28.6% 1 year 4 year MenuTrends PENETRATION vs. 2014 vs. 2011 Historic Penetration Growth 4.5% 5.0% 5.0% 5.4% 5.4% 5.5% 5.9% 5.9% 6.3% 7.4% 7.5% Restaurant Type 1.5% 1.3% 6.3% 10.5% 24.1% 0.0% QSR Midscale Fine Dining National Chains 4.0% 11.4% Indep. 4.3% Midwest 8.9% Northeast Region 6.8% West 5.4% South 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 34

OCTOPUS OVERVIEW OCTOPUS Cuisines & Applications Menu Types % of menu items served at Japanese Italian 16.5% Mexican 13.1% Chinese 9.6% Mediterranean 5.0% American 4.7% Other Asian 4.5% Mixed Ethnicity 4.4% Thai 3.0% Seafood 2.0% Pizza 1.6% Korean 1.5% Steakhouse 1.4% Central & So America 1.1% French 1.1% Sandwich 1.0% Other European 0.6% Coffee & Bakery 0.5% 35 Other 0.4% 27.9% Applications Top Paired Flavors % of menu items that are % of menu items that also include Shellfish Main Entrée 32.3% Sushi 28.1% Non-Fried Protein App 26.4% Shrimp 27.3% Combos/ Multi Protein 9.6% Salad 25.1% Salad Entrée 7.4% Grilled 24.3% Deli Salad Appetizer 4.2% Sauce 18.9% Entrée Stew / Soup / Chili 3.5% Baby 16.9% Pasta 2.9% Sashimi 15.8% Other App 2.5% Tomato 15.3% Other Entrée 1.8% Potato 14.2% Rice Entrée 1.4% Lemon 13.9% Fried Protein App 1.3% Fish 13.9% Sampler 1.1% Grilled octopus 12.6% Appetizer Salad 0.9% Onion 12.0% Fish Main Entrée 0.9% Spicy 11.5% Mexican 0.9% Red 11.2% Protein Side 0.9% Clam 11.2% Fried Other App 0.8% Scallop 11.2% Appetizer Soup / Chili 0.4% Pepper 11.2% Other 1.0% Vinaigrette 10.9%

36

37

OCTOPUS OVERVIEW Octopus Discussion 38

HERRING 39

HERRING OVERVIEW Global Herring Production (MT) 3,000,000 Atlantic and Pacific 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 Source: FAO and Norwegian Seafood Council 40

HERRING OVERVIEW Herring Trade Import Nations - MT 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 200,000 LITHUANIA UKRAINE EGYPT POLAND DENMARK NETHERLANDS RUSSIAN FEDERATION CHINA, PEOPLE'S REPUBLIC OF GERMANY NIGERIA 0 2005 2010 2013 2014 Source: Norwegian Seafood Council 41

HERRING OVERVIEW Herring Trade Supplying Nations - MT 1,800,000 1,600,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 OTHERS CANADA FAROES ICELAND USA CHINA RUSSIA NORWAY EU27 200,000 0 2005 2010 2013 2014 Source: Norwegian Seafood Council 42

HERRING OVERVIEW Herring Market Price Study (Atlantic) Average Import Price USD/KILO FROZEN FILLET FROZEN WHOLE $2.80 $2.40 $2.00 $1.60 $1.20 $0.80 $0.40 Mar 11 Sep 11 Mar 12 Sep 12 Mar 13 Sep 13 Mar 14 Sep 14 Mar 15 Sep 15 Source: Norwegian Seafood Council 43

HERRING OVERVIEW US Landings Herring (MT) 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Source: NOAA, NMFS 44

HERRING OVERVIEW US Herring Imports (MT) 50,000 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; *Estimate 45

HERRING OVERVIEW US Imports by Type 2011-2015 15% 3% 12% FRESH OR CHILLED FISH 8% FROZEN FISH CURED OR SMOKED FISH CANNED OR PREPARED FISH NOT FOR HUMAN CONSUMPTION 62% Source: US Census and Urner Barry s Foreign Trade Data 46

HERRING OVERVIEW US Herring Exports (MT) 70,000 60,000 50,000 40,000 30,000 20,000 HERRING ROE, CURED HERRING FILLET, FROZEN HERRING ROE, FROZEN HERRING, FROZEN HERRING, FRESH 10,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; * Estimated 47

HERRING OVERVIEW US Herring Exports (MT) JAPAN CHINA (MAINLAND) CANADA OTHERS 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; * Estimated 48

HERRING GERMANY 49

HERRING RUSSIA 50

HERRING RUSSIA 51

HERRING SCANDINAVIA 52

HERRING AND OTHER FISH DELICACIES IN LATVIA 53

HERRING OVERVIEW Herring Discussion 54

MACKEREL 55

MACKEREL OVERVIEW Global Production (MT) Chub and Atlantic 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 *2014 *2015 *2016 Source: FAO and Norwegian Seafood Council 56

MACKEREL OVERVIEW Mackerel Trade Import Nations - MT 1,200,000 1,000,000 800,000 600,000 400,000 200,000 UNITED KINGDOM POLAND INDONESIA THAILAND JAPAN EGYPT RUSSIAN FEDERATION CHINA, PEOPLE'S REPUBLIC OF NETHERLANDS NIGERIA 0 2005 2010 2013 2014 Source: Norwegian Seafood Council 57

MACKEREL OVERVIEW Mackerel Trade Supplying Nations - MT 2,000,000 1,800,000 1,600,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 OTHERS JAPAN FAROES ICELAND CHINA NORWAY EU27 200,000 0 2005 2010 2013 2014 Source: Norwegian Seafood Council 58

$2.40 MACKEREL OVERVIEW Mackerel Market Price Study Average Import Price USD/KILO $2.20 $2.00 $1.80 $1.60 $1.40 $1.20 $1.00 Mar 11 Sep 11 Mar 12 Sep 12 Mar 13 Sep 13 Mar 14 Sep 14 Mar 15 Sep 15 Source: Norwegian Seafood Council 59

MACKEREL OVERVIEW US Landings Mackerel (MT) 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Source: NOAA, NMFS 60

MACKEREL OVERVIEW US Mackerel Imports (MT) 25,000 20,000 15,000 10,000 5,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; *Estimate 61

MACKEREL OVERVIEW US Mackerel Imports by Type 1% 2011-2015 56% 37% FRESH OR CHILLED WHOLE FISH FROZEN WHOLE FISH CURED OR SMOKED FISH CANNED OR PREPARED FISH 6% Source: US Census and Urner Barry s Foreign Trade Data 62

MACKEREL OVERVIEW US Mackerel Exports (MT) FRESH FROZEN PREPARED/PRESERVED 60,000 50,000 40,000 30,000 20,000 10,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; *Estimated 63

MACKEREL OVERVIEW US Mackerel Exports (MT) CANADA PERU GHANA OTHERS MEXICO 60,000 50,000 40,000 30,000 20,000 10,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015 Source: US Census and Urner Barry s Foreign Trade Data; * Estimated 64

MACKEREL JAPAN 65

MACKEREL SCANDINAVIA 66

Smoked Mackerel Latvia 67

HOT SMOKED MACKEREL WITH TOPPINGS IN LATVIA 68

MACKEREL OVERVIEW Mackerel Discussion 69