2 Overview of the Marketplace 3 Penetration of Tea Total TeaHot TeaIced Tea (% of Population – Two Weeks) Source: NFO Research Share of Intake Panel

2

Overview of the Marketplace

3

Penetration of Tea

51%

41%

21%

13%

39%

34%

1988 1998 1988 1998 1988 1998

Total Tea Hot Tea Iced Tea

(% o

f P

op

ula

tio

n –

Tw

o W

eeks

)

Source: NFO Research Share of Intake Panel — 1988, 1998

4

Consumption Rate — Ounces per Person

144157

8293

138149

1988 1998 1988 1998 1988 1998

Total Tea Hot Tea Iced Tea

(Avg

. O

un

ces

per

Dri

nke

r –

Tw

o W

eeks

)


5

How Tea Is Consumed

25%19%

81%75%

1988 1998

Iced

Hot

(% o

f O

un

ces

of

Tea

Co

nsu

med

)


6

Hot Tea Drinkers

7

Age of Hot Tea Drinkers

28% 29%

20% 24%

25% 25%

27% 22%

1988 1998

10%3%

27%

32%

38%47%

25%

18%

1988 1998

50+

35-49

18-34

Under 18

Total Population Hot Tea

Index

124

120

88

29


8

Regionality of Hot Tea Drinkers

20%

33%

35%23%

21% 22%

24%

22%

Total Population Hot Tea

West

South

North Central

Northeast

Index

105

66

92

165

Source: NFO Research Share of Intake Panel — 1998

9

Demographic Summary — Hot TeaPercent Index

Gender

Male 36 74

Female 64 125

Age

Under 18 3 12

18-34 18 80

35-49 39 130

50+ 47 185

Income

Under $20K 23 106

$20K-$34K 19 94

$35K-$49K 23 83

$50K-$74K 23 122

$75K 12 105

Percent Index

Household Size

1 16 171

2 38 152

3 21 104

4 16 60

5 10 48

Population Density

<100,000 21 61

100,000-499,999 18 94

500,000-1,999,999 18 89

2,000,000 or more 44 158

Region

Northeast 33 168

North Central 22 92

South 23 66

West 23 104Source: NFO Research Share of Intake Panel — 1998

10

Hot Tea Consumption At Home and Away

109

73

Home Away

(In

dex

of

ou

nce

s co

nsu

med

)


11

When Hot Tea Is Enjoyed

Breakfast(39%)

Between Breakfast and

Lunch(9%)

Lunch(12%)

Between Lunch and Dinner

(8%)

Dinner(17%)

After Dinner(15%)


12

What Gets Added to Hot Tea

27%

5%

9%

20%

4%2%

Sugar NutraSweet Other sweeteners Milk Lemon Fruit juice/drink


13

Iced Tea Drinkers

14

Age of Iced Tea Drinkers

28% 29%

20% 24%

25% 25%

27% 22%

1988 1998

25%19%

22%

29%

24% 27%

29%

25%

1988 1998

50+

35-49

18-34

Under 18

Total Population Iced Tea

Index

113

110

94

73


15

Regionality of Iced Tea Drinkers

20% 20%

35% 49%

21%13%

24%18%

Total Population Iced Tea

West

South

North Central

Northeast


16

Demographic Summary — Iced TeaPercent Index

Gender

Male 50 103

Female 50 97

Age

Under 18 19 36

18-34 25 131

35-49 29 162

50+ 27 138

Income

Under $20K 23 117

$20K-$34K 20 101

$35K-$49K 26 93

$50K-$74K 18 98

$75K 13 252

Percent Index

Household Size

1 9 92

2 27 109

3 21 106

4 24 93

5+ 19 96

Population Density

<100,000 32 95

100,000-499,999 20 106

500,000-1,999,999 20 102

2,000,000 or more 28 100

Region

Northeast 20 102

North Central 18 77

South 49 138

West 13 61Source: NFO Research Share of Intake Panel — 1998

17

When Iced Tea Is Enjoyed

Dinner(40%)

Between Lunch and Dinner

(9%)

Lunch(28%)

After Dinner(12%)

Breakfast(6%)Between

Breakfast and Lunch(5%)


18

Iced Tea Consumption At Home and Away

110

70

Home Away

(In

dex

of

ou

nce

s co

nsu

med

)


19

What Gets Added to Iced Tea

31%

14%

7%

0%

4%

1%

Sugar NutraSweet Other sweeteners Milk Lemon Fruit juice/drink


20

Changes In Types of Iced Tea Consumed

64%

16%

9%

11%

63%

17%

11%

9%

75%

12%

12%

2%

1988

1998

YTD 1999

Ready-to-Drink

Unsweetened Mix

Presweetened Mix

Tea Bags /Loose Tea


21

Type of Iced Tea Consumed by Region

23%

49%

79%

66%

61%

40%

13%

22%

16%

9%6% 8%

Northeast North Central South West

Tea Bags

Powdered

Ready-To-Drink


22

Where Ready-To-Drink Tea Is Purchased

21%

9%

3%

1%

7%

9%

1%

43%

4%

9%

4%

1%

4%

7%

59%

0%

Other restaurant

Fast food restaurant

Vending machines

Warehouse club

Discount Store

Convenience store

Small grocery store

Grocery chain

1988

1998

Source: NFO Research Share of Intake Panel

23

Percent of Population Drinking Specialty Teas

RegularTea

Herbal TeaFlavored

Tea Green Tea

41%

18%

24%

12%

Source: NFO Research 1998 Multicard screener

24

Specialty Tea Drinkers’ Age

18%8%

13%7%

30%

40%36%

40%

19% 23% 21%30%

33%

29%

30%

23%

Regular Tea Herbal Tea Flavored Tea Green Tea

60+

40-59

20-39

Under 20


25

Specialty Tea Drinkers’ Income

17% 13% 12% 13%

31%

21% 22% 21%

16%

21% 22% 20%

11%

26% 24% 26%

25%

20% 20% 20%


$75,000+

$50,000 - $74,999

$30,000 - $49,999

$15,000 - $29,999

Under $15,000


26

Regionality of Specialty Teas

23% 21% 23% 22%

44%

31%34%

29%

15%

27%21%

26%

19% 21%

22% 22%


West

South

North Central

Northeast


Documents

2 Overview of the Marketplace 3 Penetration of Tea Total TeaHot TeaIced Tea (% of Population – Two Weeks) Source: NFO Research Share of Intake Panel