Chief Financial Officer’s review

SABMiller has delivered a resilient performance. We have successfully raised prices in response to higher raw material prices, while maintaining lager volumes, and effectively managing our fixed costs.

Key performance indicators (KPIs)

SABMiller has a clear strategic focus, with four strategic priorities, as noted in the Chief Executive’s review. Management use a range of KPIs to monitor progress against these priorities. Some of the most important measures are detailed in the Key performance indicators table below.

Certain KPIs are discussed in further detail within the review of the year’s financial performance. Financial and non-financial KPIs are also discussed in the Chief Executive’s review and in the operations review.

Selected disclosures of results on an organic, constant currency basis are made to illustrate underlying performance excluding the effects of acquisitions net of disposals and changes in exchange rates. Results on an organic basis exclude the first 12 months’ results in the case of acquisitions and the last 12 months’ results of any disposals. Constant currency results have been determined by translating the local currency denominated results for the year ended 31 March 2009 at the exchange rates for the comparable period in the prior year.

Volumes

Following the inception of the MillerCoors joint venture, the group has revised its volume Definitions. In the determination and disclosure of volumes, the group aggregates 100% of the volumes of all consolidated subsidiaries and its equity accounted percentage share of the volumes of all associates and joint ventures. Contract brewing volumes are excluded from volumes although revenue from contract brewing is included within revenue. Volumes exclude intra-group sales volumes. This measure of volumes is used in the segmental analyses as it more closely aligns with the group revenue and EBITA disclosures.

In the determination and disclosure of aggregated volumes, the group aggregates 100% of the volumes of all consolidated subsidiaries, associated companies and joint ventures. Contract brewing volumes are excluded from aggregated volumes although revenue from contract brewing is included within revenue. Aggregated volumes exclude intra-group sales volumes.

The chart adjacent shows the group’s organic growth in lager volumes for each of the last five years based on the revised definition.

This year’s volumes reflect the high comparable growth rates achieved last year and the weakening of consumer demand in many of SABMiller’s markets, as a result of the global economic slowdown. Total volumes, including soft drinks and other alcoholic beverages volumes, grew by 1% on an organic basis and 2% on a reported basis to 260 million hl. Within this total, lager volumes at 210 million hl were up 2% on a reported basis and level on an organic basis. Particularly strong growth in lager volumes was achieved in Africa and Asia. On a reported basis, aggregated beverage volumes, including soft drinks and other alcoholic beverages, grew 10% to 359 million hl and aggregated lager volumes increased 11% to 292 million hl, reflecting the acquisitions in Europe, Africa and Asia and the MillerCoors joint venture.

Revenue

Group revenue (including the group’s share of joint ventures’ and associates’ revenue of US$6,599 million) was US$25,302 million. This represented an increase of 9% on an organic, constant currency basis and exceeded the growth in organic volumes. Price/mix gains of 8% were achieved, with Africa and Asia and South Africa Beverages the more significant contributors.

Group revenue growth demonstrated the group’s success in raising prices in response to significantly higher raw material costs despite limited volume growth, capitalising on the strength of the group’s brands. The adjacent chart illustrates the organic growth in group revenue for each of the last five years with performance shown in constant currency.

Malcolm Wyman, Chief Financial Officer

Lager: organic volume growth

(%)

Group revenue growth

(%) Organic, constant currency basis

Key Performance Indicators

Indicator

Definition

Performance

Organic growth in lager volumes

Organic growth in lager volumes is measured by comparing lager volumes in the year with those in the prior year excluding the effects of acquisitions and disposals (organic information is defined in Definitions). Lager volumes are measured as 100% of the volumes of all consolidated subsidiaries and the group’s equity accounted percentage share of the volumes of associates and joint ventures (contract brewing volumes are excluded).

0% 2009

+6% 2008

Group revenue growth (organic, constant currency

Growth in group revenue compared to the prior year is measured on a constant currency basis (as defined in Definitions) and excluding the effects of acquisitions and disposals (organic information is defined in Definitions). Group revenue is defined as revenue plus the group’s equity accounted percentage share of the revenue of associates and joint ventures.

+9% 2009

+10% 2008

Growth in volumes of premium brands

Growth in premium brand volumes is compared with the prior year. Premium brands are defined in terms of their selling price relative to the market average selling price within their local market (premium segment is defined in Definitions). Volumes are measured as 100% of volumes of consolidated subsidiaries and the group’s equity accounted percentage share of the volumes of associates and joint ventures.

Latin America

+27% 2009

+9% 2008

Volume growth of selected international and regional premium brands outside home markets

Growth in the volume of Peroni Nastro Azzurro sold (outside the home market of Italy) compared with the prior year. Volumes include 100% of volumes of all consolidated subsidiaries, associates and joint ventures.

+17% 2009

+72% 2008

EBITA growth (organic, constant currency)

EBITA growth compared to the prior year is measured on a constant currency basis (as defined in Definitions) and excluding the effects of acquisitions and disposals (organic information is defined in Definitions). EBITA is defined as operating profit before exceptional items and the amortisation of intangible assets (excluding software) and includes the group’s equity accounted percentage share of associates’ and joint ventures’ operating profit on a similar basis.

+5% 2009

+9% 2008

EBITA margin progression

EBITA margin progression is measured by the change in bps of EBITA margin compared with the prior year. EBITA margin is EBITA (as defined above) as a percentage of group revenue (including the group’s equity accounted percentage share of the revenue of associates and joint ventures).

-110 bps 2009

0 bps 2008

Adjusted earnings per share growth (EPS)

Growth in adjusted EPS is measured by comparing the adjusted EPS for the current year with that of the prior year. Adjusted EPS is measured using adjusted earnings divided by the basic number of shares in issue. Adjusted earnings are measured using the definition in Definitions.

-4% 2009

+19% 2008

Hectolitres of water consumed per hectolitre of lager produced

Water consumption divided by the volume of lager produced. All consolidated subsidiaries are included on a 100% basis together with the equity accounted percentage share of the MillerCoors joint venture.

4.5 hl 2009

4.6 hl 2008