Yum!Middle East, North Africa, Pakistan & Turkey

Yum!Middle East, North Africa, Pakistan & Turkey

Irfan Mustafa, Vice President & Managing DirectorIrfan Mustafa, Vice President & Managing Director

Population . . . . . . . . 575 millionGDP . . . . . . . . . . . . $ 2,770 billion Proven Oil Reserves. . 740 billion barrels

Population . . . . . . . . 575 millionGDP . . . . . . . . . . . . $ 2,770 billion Proven Oil Reserves. . 740 billion barrels

Existing Markets

The Land of the Bold and the Accountable . . .

ISRAEL

NOTE: The remaining countries in Africa not shown on this map and Israel are part of other franchise business units: Southern Africa and Europe respectively

Middle East, a Region in Turmoil

Intifadah — “The Uprising” September 2000

9/11 September 2001

Iraq War April 2003

Saudi Bombings 1st half 2004

Lebanon Assassination February 2005

Jordan Bombings November 2005

9

1313

2

-5

’01 ’02 ’03 ’04 ’05 F

136

267376

760

Yum! McD BK Dom

Yum! Penetration Twice Nearest Competitor

Yum! Performance (2000 – 2005)

’00 ’05 F ’00 ’05 F ’00 ’05 F ’00 ’05 F

Unprecedented SSSG % (WPSA)

Dubai, UAE

5.2% CAGR

KFC26%

PH21%

Local14%

McD18%

BK14%

Dom7%

2.2

4.14.54.6

5.4

KFC PH McD BK Dominos0.1

2

9

25

59KFC

PH

McD

BK

Dominos

Dominant Market Share *

Top of Mind * Purchase Frequency Leaders *

Yum! Category Share*

Yum! Performance

Yum! 47%

Note: This is unaided brand awareness

Note: Past 90 days

KFC 70%Pizza Hut 76%

* 2005 Internal Estimates

$15$13

$17

$21

$26

’01 ’02 ’03 ’04 ’05 F

Strong Profit Growth

Operating Profit($ million)

. . . System Sales 5-Year CAGR +14%. . . System Sales 5-Year CAGR +14%

Growth Engines

Robust Base Business

Differentiate Pizza Hut Dine-In & Delivery proposition

KFC to leverage its leadership through food innovation

Continued Expansion — 500 restaurants

Retail Revolution in the Region

Four Key Drivers

1. The Mindset

2. The Passion

3. The Partnership

4. Process & DisciplineThe Arab Boardroom

Newsletter

Customer Mania Conference Customer Mania Conference

Franchisee Awards

CHAMPS Challenge

Yum! Culture in Action

Growth Engines — Middle East of Today

Growth Engines — Middle East of Tomorrow

Potential Growth Engines — NEW Territories

Iran 350Iraq 150Syria 75Libya 50Others 75

Potential — 700 Restaurants

?

Growth Engines — Creating a Third Leg

Growing consumer need

Franchise “pull”

2010 Bold Goal — Double the Business

$15 $13$17

$21$26

$50

’01 ’02 ’03 ’04 ’05 F ’10Target

Operating Profit($ million)