Pernod Ricard: 1st Quarter 2009/10 Net Sales: 1,646 Million

• Organic decline of 4%⁽¹⁾
• Sales in line with our expectations with a positive price/mix effect

• Press Release
• Source: Pernod Ricard
• On 1:30 am EDT, Thursday October 22, 2009

PARIS--(BUSINESS WIRE)--Regulatory News:

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Press release - Paris, 22 October 2009

Pernod Ricard’s (Paris:RI - News) consolidated net sales (excluding tax and duties) totalled € 1,646 million for the 1^st quarter 2009/10 (from 1 July to 30 September 2009), featuring:

• An organic decline of 4%, in line with our expectations,
• A 1% negative foreign exchange effect,
• A 1% negative group structure effect, primarily relating to the € 30 million contribution of Vin&Sprit sales and net of disposals (including Stolichnaya and Wild Turkey) of € 50 million.

The Spirits business proved resilient with an organic decline of 2%, whereas Wine and Champagne sales decreased by 13%.

The 15 strategic brands recorded a 5% organic decline in value, along with a 9% drop in volume, showing good resilience with a strong price/ mix effect.

Within this context:

• the most dynamic brands in value were Martell (+13%), which once again posted a remarkable performance, Havana Club (+6%), Jameson (+2%) and Ricard (+2%).
• ABSOLUT (-7%) suffered from a particularly high comparison base, the previous distributors having recorded significant sales prior to transfer of distribution to Pernod Ricard on 1 October 2008. However, in the US, there was a trend towards improved consumer offtake.
• Chivas Regal (-7%) was faced by both an unfavourable technical effect (transfer of distribution from Kirin to Pernod Ricard Japan) and difficulties in Duty Free and in Russia. The brand held up well in Western Europe and grew in South America.
• Ballantine’s (-15%) declined in Asia and Eastern Europe but maintained its position in Western Europe.
• the decline in Jacob’s Creek (-7%) was the result of a value strategy (price promotions not repeated). The contribution of the brand is growing⁽¹⁾.
• Mumm (-18%) and Perrier-Jouët (-38%) were adversely affected in an environment that remained difficult for champagne.

The portfolio of 30 local brands confirmed its satisfactory performance at a time of economic crisis with volumes up 1% and sales growth of 2%⁽¹⁾ over the quarter. Indian whiskies continued their very strong volume growth with Royal Stag (+33%) and Blender’s Pride (+19%). Imperial in South Korea and 100 Pipers in Thailand again returned to growth over this quarter.

Premium brands demonstrated their good resilience: they represent 70% of sales, the same percentage as that of the 1^st quarter 2008/09.

Review by region

Emerging markets were the major growth drivers in the 1^st quarter (+6%⁽¹⁾). Asia/Rest of World, driven by China and India, enhanced its share of net sales.

• Asia / Rest of World: € 514 million (organic growth of 3%)

• Americas: € 456 million (organic decline of 2%)

• North America: In the United States, depletions were up for the first time since summer 2008. Shipments were down compared to the 1st quarter 2008/09 taking account of the timing of distributors’ orders for Christmas and New Year. A number of marketing initiatives are in progress to support the brands. Canada declined whereas Mexico had modest growth.

• Central and South America: strategic brands achieved strong growth. Scotch brands (Something Special, 100 Pipers, Passport) reported good performances, especially in Venezuela.

• Europe: € 520 million (organic decline of 11%)

• Central and Eastern Europe: Russia and Poland reported significant declines on very unfavourable comparatives.
• Western Europe: the situation remained difficult in most markets. However, Sweden, Greece and Portugal are in growth.

• France: € 157 million (organic decline of 3%)

To conclude:

• The 1^st quarter 2009/10 proved satisfactory in comparison with a record 1^st quarter 2008/09. The 2^nd quarter performance will have to be viewed against comparatives which remain high.
• Sales in 1^st quarter 2009/10 reflect:

• a positive price / mix effect,
• a European market that remains difficult,
• but buoyant growth in most emerging markets, in particular in China and India.

• Early signs of improvement appear in certain markets (consumer offtake in Duty Free, depletions in the US).

Pierre Pringuet, Chief Executive Officer of Pernod Ricard, commenting on the sales stated: “The performance of this 1^st quarter strengthens our confidence for the current financial year and our determination to increase advertising and promotion investment in our strategic brands”.

Pernod Ricard will communicate its profit guidance for the current financial year at its Annual General Meeting, to be held on Monday 2 November next.

(1) On a like-for-like basis (organic growth for Vin&Sprit calculated over the 2 months August and September)

Please visit our website www.pernod-ricard.com to download the slideshow presentation

About Pernod Ricard

Created by the merger of Pernod and Ricard (1975), the Group has undergone sustained development, based on both organic growth and acquisitions. The acquisitions of Seagram (2001), Allied Domecq (2005) and recently of Vin&Sprit (2008) have made the Group the world’s co-leader in Wines and Spirits with consolidated sales of € 7,203 million in 2008/09. Pernod Ricard holds one of the most prestigious brand portfolios in the sector: ABSOLUT Premium Vodka, Ricard pastis, Ballantine’s, Chivas Regal and The Glenlivet Scotch whiskies, Jameson’s Irish Whiskey, Martell cognac, Havana Club rum, Beefeater gin, Kahlúa and Malibu liqueurs, Mumm and Perrier-Jouët champagnes, as well Jacob’s Creek and Montana wines.

The Group favours a decentralised organisation, with 6 Brand Owners and 70 Distribution Companies established in each key market, and employs a workforce of around 19,000 people. Pernod Ricard is strongly committed to a sustainable development policy and encourages responsible consumption of its products.

Pernod Ricard is listed on the NYSE Euronext exchange (Ticker: RI ; ISIN code: FR0000120693) and is a member of the CAC 40 index.

APPENDICES 1^ST QUARTER 2009/2010

Analysis of sales by region

Volume and organic growth of strategic brands

Analysis of currency effect

Analysis of Group structure effect

Pernod Ricard
Olivier CAVIL / Communication VP
Tel: +33 (0)1 41 00 40 96
or
Denis FIEVET / Financial Communication - Investor Relations VP
Tel: +33 (0)1 41 00 41 71
or
Florence TARON / Press Relations Manager
Tel: +33 (0)1 41 00 40 88