Asahi Soft Drinks Co., Ltd.
Future Management Strategy

March 2021

President and Representative Director
Taichi Yoneme

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1. Mid- to Long-Term Vision
2. Management Strategy
3. Key Initiatives Underpinning Our

Management Strategy
1Mid- to Long-Term Vision

VisionWe will create new value for society,develop our "power to connect," andbecome the most trusted company.

Promises to customers
100 Years of Excitement and Smiles

Unique Advantages
our "power of connect,"

Material issues (key priority areas)

HealthCopyright © ASAHI GROUP HOLDINGS. All rights reserved.

Environment

Regionalco-development2

Unique Strengths & Material Issues for Achieving Our Vision

Create new value for society, achieve growth by harnessing our“power to connect”, and become the most trusted corporation

HealthMaking
ourselves, ourcompany, andthe entire
world, healthy

Environment
Power toConnect

Passing on theblessings of nature
to future generations

Regional co-development
Working hand-in-hand with people tocreate vibrant communities
Three material issues (key priority areas)

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31. Mid- to Long-Term Vision
2. Management Strategy
3. Key Initiatives Underpinning Our

Management Strategy
4Asahi Soft Drinks: Management Strategy
Medium-Term Management Policy“Aiming to be the leader in the soft drinks industry”
Achieve top-class profitability in the soft drinks industry, venture into new business domains, be a leader incooperative efforts in non-competitive areas, and establish a CSV-based management platform.

2021 Management Strategy
By strengthening brands and creating new value, aim to be an agile and robust soft drinks industry
leader with an especially strong presence in society.

2021 targets
Target2020

Comparison

Salesvolume(millioncases)

Revenue(billion yen)Core OP(billion yen)(margin)

262.00248.6713.33
105.4%

372.4

353.4

19.1
105.4%

29.5

27.8

1.7

Brand

（7.9％）

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(0.1%)

YoY

MITSUYA

41.90

102.8％CALPIS

40.20

106.7％

WONDA

34.30

102.2％JUROKU CHA

23.70

110.1％OISHII MIZU

18.40

111.7％

WILKINSON

32.00

107.9％

Six core brands

190.50106.0％

Total

262.00105.4％

106.3%（7.9％）

Sales volume52020 Review (enhancement of financial value)
Sales volume above industry average amid severe COVID-19 environment
Sales Volume in 2020
BrandSales

Revenue and Core OP by FY
YoYCore OP (billion yen)

Revenue (billion yen)(million cases)

MITSUYA

40.75

104.1％CALPIS

37.67

90.2％

4.74

105.6%

WILKINSON

29.66

110.1％

WONDA

33.56

85.0％

JUROKU CHA

21.53

94.2％

OISHII MIZU

16.47

82.7％

Six core brands

179.6494.5％

248.6793.8％

of which, concentrate

Total✓✓※*Shares of LB Co., Ltd. transferred in November 2017

Sales Volume by FY(%)

Sales Vol.
(million cases)

Asahi SoftDrinks (YoY)

Industry average(10,000 cases)(YoY)

Record-high sales volume for MITSUYA, CALPIS (concentrate), andWILKINSON, three long-selling brands with over 100 years of history
and that represent the core strength of Asahi Soft Drinks
Strengthened the carbonated drinks category and achieved sales of
100 million cases of carbonated soft drinks**Sugared (MITSUYA, CALPIS Soda, etc.); sugarless (WILKINSON),energy drinks (MONSTER, DODECAMIN)✓Installed a new PET plastic bottle production line at the Gunma plant
to manufacture lactic acid bacteria drinks and carbonated soft drinks,
and launched a production line for canned MONSTER andMITSUYA brand products

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6

2020 Review (enhancement of social value)
Initiatives geared towards enhancing social value in three key priority areas
Embracing the challenge of creating new value to help people lead healthy lives
through products and various initiatives designed to meet health needs✓Strengthened products for health management
and sleep improvement✓CALPIS Children's Lactobacilli Laboratory✓

Employee health challenge: Employees themselves considered,learned about, and took action on health issues

HealthAs a responsible corporation that uses PET plastic bottles and other plastic containers andpackaging, we launched the “Containers and Packaging 2030” initiative to take action on recycling
plastic resources and the issue of marine plastic pollution

Environment✓

Label-free products that help reduce waste and make rubbish-sorting easier✓

Promoted bottle-to-bottle recycling for PET plastic bottles✓

Cooperated on forest conservation activities with local governments✓

Watershed forest conservation initiatives to protect sources of clean water

Creating new value together with people in the community to invigorate regional
economies and to ensure healthy physical and mental growth in children of the next
generation
Regional
codevelopment✓

Launched an initiative to help families have fun at home with suggestions foradjusting to the “new normal” by providing learning support content✓

Supported the Kodomo Shokudo (Children’s Cafeteria) program✓

Donated CALPIS to children through the CALPIS Hinamatsuri Gift Program, aninitiative that has been running for more than 50 years

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7Addressing Changes in the External Environment

In responding to opportunities and risks brought about by changes in theexternal environment, we draw upon our unique strengths to solve issues
and further drive business growth yet furtherOpportunities and Risks•Changes in purchasing channels and consumption categories owing to lifestyle changes (feweroutings and stronger demand for consumption at home)•Persistent slump in consumption and tendency among consumers to save due to deterioration inbusiness climate•

Higher raw material costs stemming from distribution expenses and market downturn caused bylabor shortages•

Heightened health awareness, including demand for products that boost immune system•

Expansion of societal issues in the environmental domain, such as the problem of plastic waste

Our Strengths•

Category-leading, long-selling brands (MITSUYA, CALPIS, WILKINSON)•Ability to understand and embrace diversity, including different cultures and ideas•

Perseverance aimed at achieving above-industry sales volume•Stable supply system and industry-leading profitability owing to streamlined production anddistribution systems•Corporate culture of addressing societal issues such as those relating to health and the environment

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8

1. Mid- to Long-Term Vision
2. Management Strategy
3. Key Initiatives Underpinning Our

Management Strategy
9Key Initiatives Underpinning Our Management Strategy

Aiming to become the most trusted corporation, and one that can respondflexibly and smoothly in any environment

Growth Strategies✓ Marketing strategies for core brands aimed at coping withchanges in demand

Structural Reforms✓ Future course of action in light of structural changes in vending
machine market✓ Build-out of optimal Group-wide production system✓ SCM reforms

Management Platform✓ Tie-ups with other companies✓ Initiatives for addressing societal issues

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102021 marketing topics

Empathy: Marketing activities that seek to bring us closer to consumers

Brands with histories stretching back more than a century① 100-year-old brands tackling new challenges
Unique Asahi proposals in the familiar sugarless tea category② JUROKU CHA rebranding

Providing unique Asahi value to both customers and the planet③ Diversification of CSV initiatives
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HealthEnvironment
11

Century-Old Brand: MITSUYA
Pursuing sustained growth by working to strengthen our brand platform withfocus on MITSUYA Cider

MITSUYA Cider
2020 Initiatives and Results✓ Product revamp (use of label roll reduces
annual plastic volume by some 60t)

MITSUYA Cider Lemola
New large-format product for consumers thatdrink both soda water and sugared carbonateddrinks, a new growth segment✓ TV commercial featuring popularmusic group✓ Initiative to help families have fun athome by providing learning
Have funat home
support content✓ No. 1 for quality*✓ Boost recognition of refreshing taste*Compared to major carbonated soft drinks

Refreshingly“gulpable”

2021 Key Activities✓ Continue to refine value of refreshingtaste, quality, and “Made in Japan”✓ Undertake “MITSUYA Day” sales
activities in response to the emerging“new normal” by utilizing digitalmarketing methods and non-contact
salesCopyright © ASAHI GROUP HOLDINGS. All rights reserved.

Refreshinglemon & limeflavor

Moderatesweetness

Sales target: 3 million cases
12Century-Old Brand: CALPISTapping at-home demand with concentrate and satisfying demand for differing
sweetness levels with ready-to-drink products
CALPIS concentrate

CALPIS ready-to-drink

2020 Initiatives and Results✓ Highest sales since 1994 for concentrate✓ Suggestions for using in versatile ways
during COVID-19 pandemic

Satisfying broad-ranging sweetness needs by expanding
the CALPIS series with the addition of CALPIS Light Blue
Strongersweetness

Standardsweetness

Lightersweetness

Sophisticated &luxurious

Targeting all consumers

Targeting womenseeking refreshment

2021 Key Activities✓ Suggestions on how
to have fun making
CALPIS from concentrate

Make
yourown
CALPIS!

✓ Digital marketing in step with thetimes

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A new CALPIS drinkwith no added sugar.
“Refreshingly lightsweetness.”
The perfect drink for achange of pace.

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Century-Old Brand: WILKIINSONWILKIOSON continues to provide customers with value as a No. 1 brand2020 Initiatives and Results✓ Record sales for 13 straight years!
✓ Purchases by women up 20% YoY✓ Rated the highest for fizzy carbonation✓ Sales of large 1L PET bottles up 69%
YoY

Estimated sales(million yen)Size of Carbonated Water MarketWILKINSON’sshareand WILKINSON’s Share（%）

2021 Key Activities✓ Continue to refine WILKINSON value✓ Provide health value on top of thevalue of stimulating carbonation andno added sugar✓ Target female and new customers*1 intage SRI data for carbonated water market for Jan-Dec 2020Cumulative sales for all store formats nationwide

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JUROKU CHA Rebranding

JUROKU CHA rebranded as tea that is good for both people and the planet

・Fermented ingredients
・Production processes
that draw out healthbenefits of ingredients

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・Sustainable packaging
・Longer shelf life of 12months (previously nine)

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Diversification of CSV initiatives
Creating shared value by providing unique Asahi value to both customers
and the planet
EnvironmentHealth✓

Helping people adjust naturally to a new daily
rhythm and putting a smile on more faces by
nurturing sound minds and bodies✓✓

Steady growth since launching industry-firstlabel-free products in 2018
Trial retail sales of single bottles scheduled for
2021

Monitoring
physicalcondition
Mood elevation
Positive feelings
Refreshment
Quality sleep

Exerciseroutines
Prevention oflifestyle diseases
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Future direction in light of structural changes in vending
machine market
Advancing structural reforms in the vending machine business and furtherboosting profitability✓Improving profitability with focus on curbing fixed costs- Reduce machine costs by encouraging use of refurbished models- Enhance productivity by streamlining routes- Discontinue unprofitable machines✓Boosting sales per machine- Promote mutual sales of top-selling products of other vendors- Review expansion policies and product lineups in light ofCOVID-19 impacts✓Evolving vending machines in response to new normal- Facilitate more non-contact purchasing(smartphone apps, card readers, etc.)- Employ antimicrobial materials

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Build-out of optimal Group-wide production system

New PET production line at the Nagoya plant of Asahi Breweries✓ Production of PET plastic bottle products to commence from May this year at theNagoya plant of Asahi Breweries✓ Annual production capacity of 9 million cases (CALPIS Water and other products)✓ Investment of approximately ¥5.0bn
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18

SCM reforms
Realizing distribution involving less haulage and ensuring stable supply ineach area even in the midst of COVID-19 pandemic

From 2019 to 2021
Divide into six blocks.

Alliance

Hokuriku
AkashiOkayama

AB Nagoya factory

AB IbarakiFujiyoshida

Alliance

RokkoFujisan✓ We have increased our number of nationwide blocs to six (from four) and strengthened
our area supply structures by forming alliances with other firms in regions where wehave no plants➢ This has reduced the volume of shipments that are redirected outside of a bloc,
thus lowering haulage costs
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19

Tie-ups with other companies

Working in partnership with other firms to find solutions to industry-wide issues
Issue: Streamlining of vending machine
operations

Kirin Beverage

Issue: Building a more sustainable distribution
system to reduce environmental impacts

Nissin Foods and Nippon Express

Areas in which we subcontract vending machine
repair work were expanded

Joint transport operations between Kanto and Kyushu
kicked off in September 2020

Improved working environment, prevention of sell-out
losses, and higher levels of service

Higher loading ratios have reduced the number of trucks
used by 20%

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Initiatives for addressing social issues
Promoting the “Containers and Packaging 2030” initiative for sustainability
Recycled PET plastic and environmentally-friendly materials➢By 2030 we aim to use recycled PET plastic and plant-derived eco-friendly materials for 60% of the total weight of ourplastic containers and packaging (PET plastic bottles, labels, caps, other plastic bottles).
Reducing weight➢We aim to reduce the weight of plastic containers and packaging by expanding our range of label-free bottles.
Developing new environmentally-friendly containers➢We aim to undertake R&D into non-plastic containers and new environmentally-friendlymaterials.

Using eco-friendly materials and investing inchemical recycling technologies
We have invested in JEPLAN Inc., a bottle-to-bottle recycler, andwe are assisting in the relaunch of plant operations at one if its
subsidiaries, PET Refine Technology Co., Ltd.

Expanding range of label-free bottles
2020
Two-fold YoY increase in label-free bottles(2.23 million cases)
2021
Targeting 3.0 million cases

The recycling plant ofPET Refine Technology,a subsidiary of JEPLAN

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to change without notice. The company and its officers and representatives accept no responsibility or liability forany damage or inconvenience that may be caused by or in conjunction with any part of these materials.