Canadian Operations RETAIL FOOD SERVICE 1.3 STRATEgy Overview From our sales and marketing headquarters in Toronto, the flagship brand of our business,  High Liner,  is sold to every major Canadian grocery retailer and club store. It is  Canada’s leading retail seafood name. The brand includes  more than 100 individual products, from our traditional  battered and breaded fish portions to innovative and highly  popular premium products that offer a variety of seafood  species responding to modern tastes. Retail also includes the  Mirabel  and  Royal Sea brands , offering unparalleled variety to  Canada’s retailers and clubs. Retail also sells private label  brands to customers.  Our Canadian food service business, also headquartered in  Toronto, is growing due to our ability, through worldwide  procurement, to provide food service customers with  new innovative products and new species. Food Service  specializes in delivering seafood and menu expertise  to restaurant chains and Canada’s leading food service  distributors. Food Service products are sold under the High Liner, FPI  and  Mirabel  brands. High Liner is the largest  frozen seafood supplier in the food service channel. Private  labels are also produced for some of our larger customers. Our overall business is a simple one: we satisfy the seafood preferences of North American consumers. We do  not need to be a vertically integrated seafood harvester to  achieve this goal. We need to be, and are, seafood experts. We focus exclusively on creating and marketing top-quality  frozen seafood.  Our mission statement describes our business: Growth in the global supply of seafood is due to increased  aquaculture production and the stabilization of wild-caught  species in most areas of the world. However, demand has  increased faster than supply, resulting in increases in raw  material costs. This increased demand came about as a result  of increasing interest from North American consumers in  seafood as a healthy food choice. In addition, increasing  disposable incomes in countries like Russia and China also  increased demand. The trend of increasing demand was  reversed, at least temporarily, during 2009 and to a lesser  extent in 2010, as a result of the global financial crisis and the  changed relationship between currencies of producing and  consuming countries. In 2011, demand increased as the  economy showed signs of recovery. We expect 1  longer-term  demand to continue to increase and we have seen increased  costs in 2011 and expect 1  raw material costs in 2012 to  increase again for most species that we procure.  Seafood is a growing category in the food industry. The global  supply of seafood is expanding, and consumer demand is  increasing due to the recognized health benefits and taste of  seafood. Our growth will be based on these trends 1 .  • Our team brings value to our retail, club store and food  service customers through our commitment to the  development and delivery of high-quality and innovative  value-added seafood, and by providing them with a  superior customer service level. • We increase earnings, and thus shareholder value, by: – Partnering with our customers and suppliers  – Developing our brands  – Achieving operational excellence – Providing leadership, development opportunities, and a safe and pleasant working environment to our employees. Capture Aquaculture Source : FAO Fishery Statistics Global fisheries production share of capture and aquaculture ’93 ’95 ’97 ’99 ’01 ’03 ’05 ’07 ’09 160 140 120 100 80 60 40 20 0 (Million MT) 16 HIGH LINER FOODS INCORPORATED 1 Certain information in this sentence and paragraph contains forward-looking information See disclosure in Section 9 of this document 