The Origins Since 1997, FoodWorks has been gaining a strong presence along the east coast of Australia, changing and developing into the brand we see today.

The Australian United Retailers Limited brand FoodWorks was created through the successful merge of two independent supermarket groups; FoodWorks Supermarket Group and Australian United Retailers in late 2004.

Today FoodWorks now has over 700 supermarkets, food and convenience stores spanning the east coast, serviced by 85 support staff. Over 350 of these are under the FoodWorks brand, clearly visible by the fresh orange and green logo design and signage.

The past two years has seen the brand go from strength to strength, becoming a leading independent retail brand. Recent results outperform many of the larger chains including like for like sales up 6% year on year from July 2005 and customer numbers increased by 4.3%.

The Ethics FoodWorks prides itself on its fresh approach to retail whilst still retaining a friendly, communityfocused relationship with its customers. Each and every retailer in FoodWorks is different and all have a strong sense of independence, but all proudly uphold the positioning statement �What can we do for you today?�

Best Buy FoodWorks strives to give the customer value, going one step further in 2005 by developing the Best Buy private label brand as an alternative customer offering.

The rationale behind this brand was to present a range of products of equal quality to national market leading branded goods, but with more competitive pricing targeting those who do not wish to sacrifice quality for cost.

Through Best Buy, FoodWorks actively seeks to support Australian suppliers, and encourages them to use locally grown raw materials.

Eye-catching packaging and store point-of-sale mediums have been created to increase awareness of the new Best Buy range.

Recently launched Best Buy products in-store can be found in the following categories: milk, bread, ice-cream, cool sticks, fruit bars, frozen single-serve meals, frozen garlic bread, frozen bread rolls, paper towels, toilet tissue, bacon, organic spring water, and oats.

Lines currently not far behind in production are: spreads, olive oil, eggs, sugar, frozen vegetables, canned baked beans, canned spaghetti, canned tomatoes, dog treats, dry dog food, nappy soaker, biscuits, cheese, tuna, laundry and cleaning needs.

The Future At their annual conference in September, FoodWorks shareholders, all store owners, endorsed an ambitious business growth strategy and overwhelmingly supported further detailed investigation of a significant capital raising initiative.

Melbourne-based corporate advisory firm SLM Corporate will be assisting FoodWorks with the investigation process. Investing significant incremental capital in the FoodWorks retail system and brand will allow for many emerging opportunities in the market to be exploited.

FoodWorks has identified a number of critical business initiatives to invest in including store refurbishment and acquisition, a differentiated merchandise offer, back office systems and new generation retailer development programs.

FoodWorks is also focusing heavily on growing and positioning the new brand in the minds of current and potential consumers, media, suppliers, producers and potential new retailers through specialised and targeted marketing, promotions, public relations and advertising endeavours.

For more information about FoodWorks, visit the website at www.foodworks.com.au

For more information please contact: Gillian Griffiths FoodWorks Level 1 1601 Malvern Road Glen Iris, VIC 3146 Tel: +61 (0)3 9809 8610 Fax: +61 (0)3 9809 8699 Email: gilliangriffiths@foodworks.com.au