1

Frito‐Lay:HealthierSnackingStoryOldwaysSupermarketDie==anLeadershipSymposium

KatherineFrancis,RDMarch31,2011

WhoWeAre

2

MissionStatement:

–Todevelopanddisseminatescien1ficinforma1ontosupportR&DproductdevelopmentinHealthandWellness

–FLNANutri1onScienceandRegulatoryAffairs

•KariHeckerRyan,PhD,RDDirector,Nutri1onScienceandRegulatoryAffairs

•DanielleDalheim,RDSeniorNutri1onScien1st

•KatherineFrancis,RDAssociateNutri1onScien1st

33

Frito-Lay has a long historyof leading healthy snacking

Natural/Organic

PortionControl

No FatHalf Calories

Trans FatsOut

No Fat Pita &Bagel Chips

SunflowerOil

Whole Grain Low Fat

33% Less Fat

Less Fat/Fewer Calories

PortionControl

Vegetables

Fat Free

ReducedFat

ReducedFat

Reduced Fat

Tropical Oils OutLess Fat/

Fewer Calories

LightlySalted

’87 ‘89 ‘90 ‘91 ‘92 ‘93 ‘94 ‘95 ‘96 ‘97 ‘98 ‘99 ‘00 ‘01 ‘02 ‘03 ‘04 ‘05 ‘06 ’07 ’08 ’09 ’10 ‘11

Tostitos WG

All Natural

4

<1987

Palmoil

1987‐2002

PHsoybeanoilCoKonseedoil

2002‐present

Corn,Sunflower,Soybean,andCanolaOil

SatFats

GoodFats

OurGoodFoodStoryWehavealreadymadesignificantimprovements

GoodFats

GoodFats

SatFats

SatFats

TransFats

5

Weonlyusehearthealthyoils0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Canola Oil

NuSun Oil

Sunflower Oil

Soybean Oil

Corn Oil

Olive Oil

Peanut Oil

Cottonseed Oil

PH Canola Oil

PH Soybean Oil

Lard

Beef Tallow

Palm Oil

Coconut Oil

Polyunsaturated Fat Monounsaturated Fat Saturated Fat Trans fat *

Replacing saturated fat with similar amounts of unsaturated fat may reduce therisk of heart disease. To achieve this benefit, total calories should not increase

6

BeKerThanYouThink

9outof10gramsoffatareMUFAsandPUFAs

0 grams trans fat

Comparablesodiumtoasliceofwhitebread

Nutrientsinherenttopotatoesandhealthyoils

Calories/servingcomparabletoothersnackfoods

Ournutri=onalprofileisbeKerthanyouthink

Nutri1onFactsServingsize1oz.(28g/About15chips)

AmountPerServing

Calories150 CaloriesfromFat90

%DailyValue

TotalFat10g 15%

SaturatedFat1g 5%

MonounsaturatedFat4.5g

PolyunsaturatedFat4.5g

TransFat0g

Cholesterol0mg 0%

Sodium170mg 7%

Potassium350mg 10%

TotalCarbohydrate15g 5%

DietaryFiber1g 5%

Sugars2g

Protein2g

VitaminE6% VitaminC10%

VitaminB64% Magnesium4%

Niacin6% Iron2%

7

The“Salty”SnackChipStory

Aretheyreally“salty”snacks?

–Despitetheirsaltytaste,theamountofsodiuminchipsiscomparabletootherfoods,suchasbreadsandcereals.

–Chipstastesal1erbecausethesaltisonthechip’ssurface;whileotherfoodsmixinandbakethesalt,whichhidesitstaste.

8

SODIUMCOMPARISONSOFFRITO‐LAYPRODUCTSANDCOMMONLYCONSUMEDFOODSANDSNACKS

LEADINGFRITO‐LAYPRODUCTS

AVERAGESERVINGOFCOMMONFOODS*

AVERAGESERVINGOFCOMMONSNACKS*

Tos$tosRestaurantStyleTor1llaChips(120mg/oz)

Fruityogurt(140mg/cup) Trailmix(170mg/½cup)

SunChipsMul1grainSnacksOriginal(120mg/oz)

WholewheatEnglishmuffin(155mg/half)

Microwavepopcorn(120mg/3cups)

RufflesPotatoChips(160mg/oz) Whitebread(170mg/slice) Grahamcrackers(190mg/2sheets)

FritosCornChips(160mg/oz) Angelfoodcake(210mg/piece) Wheatcrackers(225mg/oz)

Lay’sClassicPotatoChips(180mg/oz) Ready‐to‐eatcornflakescereal(265mg/cup)

Goldfish‐shapedcheese‐flavoredcrackers(240mg/oz)

DoritosNachoCheeseTor1llaChips(180mg/oz)

Plainbagel(380mg/3oz) Snackmix[pretzels,ryechips,minibreads1cks,wheatcrisps](380mg/2/3cup)

CheetosCrunchyCheeseFlavoredSnacks(290mg/oz)

Comagecheese(460mg/4oz)

*USDANutrientDatabase

Pretzels1cks(560mg/oz)

PRODUCTNEWS

9

CulinaryInnova=onCenter

– Directed by CertifiedResearch Chef Stephen Kalil•Combineculinaryarts,scienceandtechnology‐togetherknownas“culinology”–torecreateea1ngexperiences

10

LightlySalted50%lesssodiumthanoriginalvariety

per1‐ozserving

11

80mg85mg 220mg

Tos=toswith8gramsofWholeGrains

12

22millionpoundsofwholegrainsaddedtotheAmericandieteveryyear!

SunChipswithFiberAlwaysmadewith18gramsofwholegrains…

GoodsourceofFiberstar=ngin2010

13

NATURAL

14

Natural

15

PotatoesorCornHeartHealthyOils

Salt

Manyofourcoreproductshavealwaysbeennatural…

16

NaturalIn2011Lay’s,Tos=tos,SunChips,Baked!Lay’s,RufflesandRoldGoldwillbemadewithallnaturalingredients.

– Noar1ficialorsynthe1cingredients–Noar1ficialflavors–Noar1ficialpreserva1ves–Nopar1allyhydrogenatedoils–NoMSG–Noingredientsconsidered“unacceptable”by

WholeFoods

Approximately50%oftheFrito‐Layporjoliowillbemadewithallnaturalingredientsbytheendof2011.

NaturalColors

17

– NotusingFD&Ccolorsinournaturalproducts•Yellow6Lake•Red40

–Onlyusingcolorantsfromnaturalsources

•PaprikaExtracts•TurmericExtracts•AnnamoExtracts•CaramelColor

–Notmakingclaimsabout“noar=ficialcolors”forthisreason

18

NaturalNatural≠Healthy

–Notconveyingtoourconsumersthattheseproductsarebemerforthemnowthattheyarenatural

–Limitcommunica1ontostatementsoffactabouttheproduct–what’sintheproduct,andwhat’snot

–Moreandmoreconsumersarelookingfornaturalproducts–andwealwaysstrivetomeettheirneeds

SODIUM

19

SodiumThisyear,Frito‐Layisreducingsodiuminitsflavored

potatochipsbyanaverageof25%.

–Nosaltreplacers,justlesstopicalsaltandfeweringredientsthatcontributesodium,suchassodiumbicarbonate

–Evalua=ngseveralop=onstoreducesodiuminotherproducts

•TestfinerflakesalttogetbeKercoveragewithlesssodium

•Removesodiumbicarbonatefrombakedproductslikepretzels

20

GlutenFreeStar=ngin2011,Frito‐Laywillbeclaimingglutenfree

onmanyofit’scoreproducts.

– Manyofourproductsnaturallydonotcontainwheat,rye,orbarley.Wearenotreformula=ngtoremovegluten.

– ValidateinternallytocomplywithFDAproposedruleof<20ppm

21

GlutenFree

–Consumersgetalotofmisinforma1onaboutglutenfree

•Gluten‐freedietsbeingpushedbycelebri1esashealthierorforweightloss

•Frito‐Layisonlyclaimingglutenfreeonpackaging,notimplyinganyothernutri1onbenefits

–WillexplainwhatglutenisandwhypeoplewithCeliacDiseaseneedtoavoiditviaFAQsonourwebsite

22

GlutenFree

SHARINGOURSTORY

24

25

SharingOurStory

26

Ingredientimages

Minimalcopy

Prominentpanelwithmoreinforma=on

MUFAsandPUFAs

highlighted

SharingOurStory

27

WhyFeatureFarm‐GrownIngredients?

– Underscoresimpleingredients

– Educateconsumersonwhatgoesintotheirfavoritesnackchips

– Highlightthatourproductsareasourceofimportantnutrients:Potassium,iron,VitaminsCandE

– Showthatina10‐ozbagofLay’s®Classicthereareabout:• 4.5mediumpotatoes• 7tspoil• 0.7tspsalt

DualLabeling

28

2.5‐ozbag

Nutrition FactsServing Size 1 oz (28g/About 15 chips)Servings Per Container 2.5Amount Per ServingCalories 1 ozEntire Package

160 400Calories from Fat 90 230

%Daily Value*Total Fat 10g , 26g 16% 40% Saturated Fat 1g , 2.5g 5% 13% Trans Fat 0g, 0g

Polyunsaturated Fat 2.5g , 7g

Monounsaturated Fat 5g , 13g

Cholesterol 0mg, 0mg 0% 0%Sodium 170mg, 410mg 7% 17%Potassium 350mg, 870mg 10% 25%Total Carbohydrate 15g, 38g 5% 13% Dietary Fiber 1g, 3g 5% 12% Sugars less than 1g, 2g

Protein 2g , 4g

Vitamin A 0% 0%Vitamin C 10% 25%Calcium 0% 2%Iron 2% 8%Vitamin E 6% 15%

Por=onControl

29

PerfectPairings

– Chips can also be a vehicle to get morefruit, vegetables and legumes into thediet by pairing with dips

• Tostitos with Salsa• Fritos with Bean Dip• Stacy’s with Hummus• Tostitos with Guacamole

30

RESOURCES

31

ConnectwithFrito‐LayTWITTER@Fritolay

ONLINE TOOLS

www.SnackSense.com

www.LicensetoSnack.com

WEBSITEwww.Fritolay.com

BLOGwww.snackchat.com

32

www.FritoLay.com

33

34

SnackSense.com

DownloadableMaterials

Tools for HealthProfessionals

FREECPEs

Licensetosnack.com

36

ToolstoHelpEducateConsumers

Frito‐Lay+

SupermarketRDs=

GrowingRela=onships

37

EngagementThroughouttheYear

38

–Providesamplesandinforma1onbeforeproductshitshelves

–HealthySnackingResearchCenterquarterlynewslemer

•FromtheFrito‐LayRDs

–Provideproductandresourcesforhealthfairsandin‐storeevents

Frito‐LaySupermarketRDInsightsSummit

– Since2009,Frito‐Layhashosted23SupermarketRDsforahands‐on,behind‐the‐sceneslookatourcommitmenttohealth&wellnessandinnova=on.

• Health&WellnessoverviewwithFrito‐LayRDs

• CulinaryCenterdemonstra1ons

• Facilitateddiscussionwithmarke1ng&shoppermarke1ngteams

• TouroftheSMARTLearningCenter

• ConsumerAffairsoverview

• TrendsreportwithindustryexpertPhilLempert

• PlanttouroftheIrving,TXfacility

39

40

Whatques=onsdoyouhave?

ProductTas=ng

41

HealthySnackingHour&

CookingDemonstra=on