Eat Just – Plant-based Eggs & Lab-grown Innovations –

26 July 2021

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Specialist:

Title:

Moderator: Nyree Hinton (NH), Third Bridge Sector Analyst

Alan Weiner (AW)

Former VP, Foodservice Partnerships at Eat Just Inc

Agenda:

1. Go-to-market strategies, foodservice distributor partnerships and retail opportunities

2. Plant-based competitive landscape – Eat Just vs Zero Egg vs Impossible vs Beyond Meat (NASDAQ:

BYND)

3. Eat Just’s growth opportunities and operating challenges

4. International opportunities for plant-based eggs, highlighting China

Contents

Q: Could you provide an overview of the plant-based foods industry and the categories driving adoption?

Q: How important it is to partner up with large foodservice distributors to push plant-based products?

Q: How do you get a new product such as a plant-based egg into major foodservice operators? You

mentioned it’s trial for future adoption, but how do new, unproven players even get their foot in the door? 4

Q: What factors are making it difficult for players to scale in this segment?

Q: Could you provide 2-3 trends you were following in the plant-based food segment pre-coronavirus and

how that has evolved since the pandemic?

Q: How would you split sales percentages across retail and foodservice in the plant-based foods market?

Q: Why do you think there’s historically been such focus on retail when pushing plant-based products, given

your comments around foodservice being where the opportunity is for further adoption into retail?

Q: What have you noted around consumer reception and adoption in foodservice? How would you rate the

success of some of these products and partnerships for a company such as Eat Just, given that a foodservice

player such as McDonald’s could start a partnership and then end it two months later?

Q: You mentioned LTOs [limited time offers]. How aggressively do brands need to push promotional activity

and marketing when a plant-based product features in one of these offers vs their operational efficiency?

Q: What is Eat Just’s value proposition around plant-based egg? Is it really better than traditional protein? 6

Q: You mentioned Eat Just’s method for protein extraction. How is the company’s production process or

tech different vs other players?

Q: Why do you think Eat Just decided to make plant-based eggs its flagship product or growth driver? How

ample is the opportunity for plant-based eggs?

Q: How would you assess Eat Just and its brand strength? How does that compare to its main competitor

Zero Egg?

Q: How are traditional egg producers reacting to a product such as Eat Just, which is environmentally

friendly, has a great value prop and seems to be able to price premium in a low-margin industry?

Q: It seems Eat Just is in a unique position, with a premium product and a high share percentage. Do you

think the company is being aggressive enough in the expansion of that product to scale as quickly as possible

and to get into every restaurant or channel that it could dominate?

Q: Foodservice has taken a hit during the pandemic. Do you think that provided an opportunity for plant-

based partnerships to leverage pricing and to secure partnerships? Alternatively, do you think it hindered the

progress in adoption and the speed at which plant-based foods were entering the foodservice landscape?

Q: What markets is Eat Just most active in and where do you think there’s opportunity for growth and new

distribution gains?

Q: Have you noticed any challenges with Eat Just’s scalability and agility to meet demand in a channel such

as foodservice?

Q: What are your thoughts on Eat Just’s structure and leadership? What’s the likelihood of an IPO or the

company being purchased by another bigger player?

Q: What are your thoughts on the international expansion opportunity? How are plant-based products or

plant-based eggs being adopted globally? Is the price point too high for some markets?

Q: How might prices develop or mature? Since Eat Just has such a high market share, is there really a need

for them to de-leverage pricing, whereas you have players such as Beyond Meat and Impossible Foods in a

price war to the bottom?

Q: How do you expect foodservice to recover in H2 2021?

Q: We discussed the health benefits of Eat Just’s plant-based eggs. What are the benefits, if any, of

alternative meat products? How important is it for alternative meat products to state a claim that their

products do have benefits vs just saying it’s an alternative product?

Eat Just – Plant-based Eggs & Lab-grown Innovations

Transcription begins at 00:00:03 of the recorded material

NH: Welcome to Third Bridge Forum’s Interview entitled Eat Just – Plant-based Eggs & Lab-grown

Innovations. I am Nyree Hinton and I’ll be facilitating today’s Interview with Mr Alan Weiner, former VP,

Foodservice Partnerships at Eat Just Inc.

Alan, before we get started with today’s Interview, please state I agree or I disagree to the following statement:

You understand the definition of material non-public information and agree not to disclose any such

information, or any other information which is confidential, during this Interview.

AW: I agree.

NH: Could you introduce yourself and your background?

AW: My name is Alan Weiner. I’ve been in foodservice, I hate to say, 33 years, primarily in the sales-, sales-

leadership-facing roles. Always in food, food manufacturing and probably over the last 10 years, more in the

better-for-you space.

[00:01:27]

Q: Could you provide an overview of the plant-based foods industry and the categories driving adoption?

AW: It’s been interesting during the pandemic, over the last 18 months, the plant-based has definitely

benefited from it, but the plant-based segment, probably within the last 5-7 years, or seven years ago, really

was in its embryonic area as companies like Eat Just, many others, Impossible Foods, Beyond Meat, were

really just getting their feet wet. Then they started off in different areas, like Eat Just started out in

mayonnaise and other condiments and then eventually they found, of course, the eggs and that’s now their

home run, where they left that, the other products. Impossible Foods, same thing. Not same thing, but they

started off with a product and now have ventured out. Same thing with Beyond Meat. Historically, the

companies, they’ve raised great deals of money and they then find themselves attaching themselves, Beyond

Meat attached themselves to Cisco, and that was a platform that platformed them into many other different

areas. One of the things that’s really important to the plant-based movement is that historically, they are a

product or a portion of the overall product, not the end-all, being Eat Just Eggs can be consumed by

themselves, but they historically are eaten with other products. That’s when one of the things that they’ve

really had to learn is, “How do I take the Eat Just product, partner it with the Impossible or Beyond and then

maybe with another bread company or another cheese company?” I don’t know if that made sense or not, but,

yes.

[00:03:44]

Q: How important it is to partner up with large foodservice distributors to push plant-based products?

AW: I think it’s not just the distribution side. It’s also on the sales side. Imagine if I’m Eat Just and I’m calling

on Starbucks, as an example, or Dunkin’ Donuts, if I go in and pitch my Just Eggs, I’m going to go in and

present a Just Eggs sandwich, so you’ve got a plant-based egg patty, then what? Do you go in with a plant-

based cheese or plant-based bacon? What about the bread? You start thinking about the entire build.

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Foodservice or (? 04.39) retail, depending on how you go about it, there’s a cost. In foodservice, the

foodservice operators try to manage to a 28-32% food cost, so you need to go in thinking about the total cost

and then provide a total solution to that customer, saying, “Here’s my egg patty. Here’s this, this and this,” and

get the other parts of the build. Instead of the product costing you USD 1.12, it’s going to cost you USD 1.42.

Instead of selling it for USD 3.99, you’re going to sell it for USD 4.69, or whatever the numbers might happen

to be, but you really need to make sure that you come in with a turnkey solution for the customer, I think, and

many of them are getting better at that. Eat Just is partnering with others to do that and, again, I think that

that will help drive that. The interesting thing about foodservice is foodservice is trial for future adoption. The

future adoption is retail, what you see in your grocery stores. To me, the more trial that they have, the greater

the adoption. If people go into the retail stores and they see it, that’s one thing, but, like I said, I love the

opportunity that foodservice takes and does to help the retail build their business.

[00:06:19]

Q: How do you get a new product such as a plant-based egg into major foodservice operators? You mentioned

it’s trial for future adoption, but how do new, unproven players even get their foot in the door?

AW: It’s a great question. There’s a combination of things. Number one is do you have access into there and

then do you have the ability to scale with that customer? I think that’s one of the things, when you look at this

plant-based stuff a couple of years ago, Impossible Foods was having supply issues. What’s really important is

to make sure that before you go visit with any customer, can you supply them and do you have the ability to do

that? Once you get past, through all that heartburn, partnering with whomever you’re going to go in there with

and doing that, just picking on Just Eggs a little bit, they’re number one in the space. If people are looking to

build that category, I think that you’ve got to have the right story to tell, based off of the sales data about how

they’re going to help grow and attract new users from a marketing perspective, and why should that

foodservice operator take on that particular product vs something else? You’ve really got to make sure you tell

that story properly and, again, I think that they do a relatively really good job in doing that.

[00:08:04]

Q: What factors are making it difficult for players to scale in this segment?

AW: I do think that one of the hardest things to do is the supply of their ingredients. One of the hardest things

to do is the supply of the ingredients and from there, it’s really going to be about the supply chain and the

copacking. All of the copacking, which is extremely important, and depending on how they’re going to be

manufacturing all of that, to me that’s one of the biggest limiting things, is centred around that, is that when

these new companies get started, they’ve got to be able to find a way to produce and scale that. A lot of these

companies do not do their own manufacturing. They will do copacking.

[00:09:12]

Q: Could you provide 2-3 trends you were following in the plant-based food segment pre-coronavirus and how

that has evolved since the pandemic?

AW: Pre-COVID, I think that a lot of the plant-based companies were meandering around, “How do I get into

retail, or a specific retailer?” Then a lot of them, I think, were looking to get into some foodservice. I think

many of them found versions of their way to do an online platform and get D2C, or through some other third-

party delivery, like an Amazon. When I think about plant-based, I think that they continue to have significant

growth and then during the pandemic, with people having to find alternatives to healthier living, and doing

things at home, I think, like I said, the plant-based, they benefited from that. You look at somebody like Eat

Just, where they use the mung bean, which comes, I think, from Mumbai, and then they process it and they

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bought the processor in Wisconsin to be able to convert it into proteins that they needed to get out of the mung

bean, I guess. You’re seeing the speed to market, which I think has been one of the biggest things, is getting

more and more to their consumers, customers, as quickly as possible. Others are having other challenges. I

think it goes back to your question around the supply chain side, and pre-pandemic, no issues. Pandemic,

bigger issues. Cost of supply definitely has gone up, but they’re not alone in that, by the way. They’re not alone

in that.

[00:11:47]

Q: How would you split sales percentages across retail and foodservice in the plant-based foods market?

AW: By all means, I think retail far outpaces foodservice, no questions asked about that, but they work off of

each other, I do think, but there are a lot of these companies that to go play in retail is very expensive. It is

absolutely expensive. Slotting fees, other fees that are required. It is definitely something to be mindful of.

They charge you for shelf space. The number one cost to go play is frozen. Next is refrigerated. Ambient is a

little bit different. You’ve got to be very, very careful about the cost to play. The retailers today are able to

command greater dollars for that slotting and foodservice is not like that. You don’t have that. They’re

different businesses. They require different product packages, but they can work with each other. I do think

that, like I originally said when we started, foodservice is an opportunity, depending on where you in the

country, we can go eat an Eat Just biscuit, if that’s the case, or a sandwich. If I have a really good experience

and I end up in a grocery store and I see the product, “I had an Eat Just sandwich the other day at A, B, C

Place. I’ll try these.” That’s how those work off of each other. They’ve definitely been in retail. “I’ll buy it at

home,” and then I see it on the menu here, so it really is about making sure that they both can work off of each

other. Overall space, hands down, retail is going to outweigh that from foodservice today. I think we’re going

to continue to have gains in that, moving forward.

[00:14:09]

Q: Why do you think there’s historically been such focus on retail when pushing plant-based products, given

your comments around foodservice being where the opportunity is for further adoption into retail?

AW: Some people do it the other way. Beyond Meats did foodservice first then got in retail. Same thing with

Impossible Foods. I like it that way, because I think that’s the smarter way to do it, but for people to be

committed to foodservice it takes a while. It definitely does. Most of the big restaurant operators are looking 6-

12 months out. Starbucks is probably looking at menu items right now to at least July ’26 for items in Q1 2022

would be Q2 2022. They definitely are looking further out. In foodservice, it’s limited items. They’re not

carrying Eat Just and Zero Egg, who’s a competitor, and three or four others. They’re going to carry a product,

a sandwich, or iterations of that. It’s a much tighter space. In retail, then they carry Eat Just and other eggs

and other items, and then you have to make sure that you get your fair share. You’ll have greater volume in

foodservice. They work differently. They do work differently. I could sell a dozen sandwiches a day at a

Starbucks and I may not sell a dozen patties, or something like that, of Eat Just at a retail store. I might only

sell two or three. There are differences, but they both work together.

[00:16:10]

Q: What have you noted around consumer reception and adoption in foodservice? How would you rate the

success of some of these products and partnerships for a company such as Eat Just, given that a foodservice

player such as McDonald’s could start a partnership and then end it two months later?

AW: Okay, I understand. That’s one of the things. They’ll do these things called an LTO, limited-time offer.

For it to stay on the menu, it has to be to the left side of the decimal, not to the right side. The restaurants are

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constantly focusing on driving traffic and building their base business, and so some brands may try it as an

LTO to see how it performs, not just from a sales standpoint, but operationally as well. Very, very important

today operationally, with all the labour issues. If it meets those hurdles and performs, there is that opportunity

for it to stay on the menu. I believe what happens in a lot of times is the word complacency. You look at the

Egg McMuffin as an example, McDonald’s has nurtured that Egg McMuffin in many different ways over the

years and it’s continued to do very well with it, but if they changed out the eggs and made them cage-free, or

changed out the bread. They run promotions on it. They continue to make sure that it stayed top of mind with

their customers.

There are brands that will do it as an LTO and say, “This is working,” and then it’s not, and that’s okay. That

happens. What’s really important is to make sure that when you look at plant-based, there are very few brands

today that are committed to all plant-based. Plant-based is a part of what they’re becoming to attract new

users and trying to get them to try that. For Burger King, I think did the Impossible Whopper and how they’re

doing with it today is not as good as they were doing with it. Their customer says, “I still want to eat the meat,”

and more than they may want the Impossible. I think that’s something that the culinary team has to continue

to work on, push the edge of what they can use the product for, find more uses for the product vs just saying, “I

want to make a Just McMuffin for McDonald’s.” “Great, how else can you use that egg that you’re doing in

there?” It’s still very new, but I think it’s something that the companies have to continue to work on.

[00:19:34]

Q: You mentioned LTOs [limited time offers]. How aggressively do brands need to push promotional activity

and marketing when a plant-based product features in one of these offers vs their operational efficiency?

AW: A lot of times, before it gets into an LTO, it goes through a test. Before it gets to an LTO, it goes through a

test. A lot of times in these tests, let’s pick on Burger King as an example, they’ll test a product in a couple of

markets maybe and they’ll give you some window clings and some limited merchandising to see how their

guests react to it. Good, bad or indifferent. It is important though, if you’re in the plant-based area like Eat

Just, to get the product in front of everybody’s hands to try it and let them taste it, but the big thing about Eat

Just is the overall wellness benefits from your body and land, if you will. It’s plant-based. It’s not just the egg.

They’ve got other things that they need to integrate into that. If it were me, I would definitely continue to

reinforce the Eat Just brand name and then try to link some type of wellness and, like I said, land benefit to it,

but otherwise the consumer is not going to know about it, excuse me, the customer. If the customer doesn’t

know that it’s Eat Just and these are the benefits from it, I think that you’re doing yourself a disservice from a

retail perspective that if you have a good experience in foodservice that you’re not going to garner all of the

retail opportunities. The reason why I go back to that, I mention this a lot, is I cut my teeth at the Coca-Cola

Company. Foodservice for them always was immediate consumption. You put something in your hands right

away and you have a good experience and when you go to the grocery store, you’ll pick up some of the other

two litres and other things like that for the add-on inventory. This is the same scenario, is got to make sure the

customer has a good experience in the foodservice and, if they do, give them the opportunity to purchase it

through the retail side.

[00:22:16]

Q: What is Eat Just’s value proposition around plant-based egg? Is it really better than traditional protein?

AW: It’s a plant-based product, number one, so you don’t have to worry about any of the chickens or, I forget

what they’re calling them, but there’s no slaughter or anything about that. They are producing it from the

mung bean. There’s zero cholesterol. I think there’s equal, or maybe a little bit greater amount of protein than

a traditional egg. I’m not sure of the latest numbers, but the zero cholesterol is a big deal. Then the value side

to me is that it tastes like a regular egg, cooks like a regular egg, eats like a regular egg. They’re working to

improve the cost, but it’s also better on the land and the environment. To me, that’s pretty good. There are

some people like me, I’m old school, I still want to see a little white or a brown egg, but I believe the value

Private and confidential 6

proposition, it’s well-positioned. Like I said, they’ve got to convince a lot of people to continue to try it.

[00:23:56]

Q: You mentioned Eat Just’s method for protein extraction. How is the company’s production process or tech

different vs other players?

AW: Eat Just, they’ve invested a significant amount of money into technology and really understanding plants

and how they can use different plants to do and perform and do different things. They identified the mung

bean years ago and then continued to work on versions of the Eat Just Egg. From an actual process, and it

starts in the fields with them sourcing the mung beans, which, like I said, it’s in Mumbai. Then those get

shipped over, I assume it’s on the water, and those come over into their facility here, which I believe is in

Wisconsin, that extracts the protein out of the mung bean that it wants to use. What they do with the balance

of the mung bean, I do not know. I’m not sure if they use the entire mung bean or not. My guess is they do not

use all of it, that there’s some waste that gets repurposed. The actual manufacturing process, I can’t tell you,

but I do know that there’s only a handful of companies today that really can do that type of developing protein

and protein powders and the one that Just acquired is one of those that is able to do it. The actual machinery

and the traction of it, that I’m not that familiar with. I’m familiar enough to give you layman’s knowledge,

which I just did, but outside of that not anything further than that.

[00:26:11]

Q: Why do you think Eat Just decided to make plant-based eggs its flagship product or growth driver? How

ample is the opportunity for plant-based eggs?

AW: The category for eggs, there are trillions of eggs that are consumed each year. When Just started, if you

remember, they started out with mayonnaise and they had somebody producing it for them. They then went

into salad dressings and cookies. They had other people producing those as well, copackers. To build the brand

name, I think they had some definite challenges in doing that and so I think that they learnt some things, both

good and bad, let’s leave it at that, about some of those challenges. Then, as they were looking for other areas

where they were on the outside in, they’ve got ice cream, they’ve got butter, they’ve got all these other products

that they can do, but it really just didn’t fit. Then, all of a sudden, the eggs, they got better iterations of it,

better iterations of it, and then finally got some acceptance where they’d found a product that they could

produce and they could find a copacker to produce it. Then the building of that began, which I remember

really, really well. It’s their flagship product. It’s got wide acceptance, both in retail, I know that. Then it’s got

acceptance in foodservice. Not wide acceptance yet, but it’s got acceptance. Eggs are consumed universally in a

lot of places. When Just started, they didn’t have to compete. There was nobody else in the space, so they’ve

got 98-99% share, outside whatever Zero Egg has been able to garner in the last 4-6 months. I think that when

you look at them now today, it’s more about how do they widen that out? More foodservice, more retail,

greater velocity at retail, greater acceptance at foodservice.

[00:28:52]

Q: How would you assess Eat Just and its brand strength? How does that compare to its main competitor Zero

Egg?

AW: Zero Egg, to me, I used the word competitor, but they’ve got an uphill battle. Zero Egg has got liquid

form, patty form and the unique thing that they also have is powder form, so that you can take their powder,

mix it with water and then go cook away. Then supposedly, they believe that they’ll have a cost advantage vs

Eat Just. Again, that’s what they say. I’ve not done a side-by-side comparison to tell you is one’s quality better

than the other’s, but I believe that Eat Just will outperform Zero Egg, to the best of my knowledge. Eat Just,

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they partnered with Michael Foods and Michael Foods in the United States is one of the, if not the, premier

egg-producing companies today, and from all forms of patties and liquid versions, egg whites and all the

above, and that is their business. I believe that that partnership that they’ve done with them will continue to

pay off for them, depending on how they nurture that. That’s up to them to nurture and build and develop, but

I believe that that probably has got a distinct advantage for Eat Just.

[00:31:05]

Q: How are traditional egg producers reacting to a product such as Eat Just, which is environmentally

friendly, has a great value prop and seems to be able to price premium in a low-margin industry?

AW: If you’re one of these guys and you have the opportunity to partner with them and they’re the only game

in town, I’d be licking my chops, because I have the ability to build off of my existing portfolio and then add

this particular product in, and if I’m that company, to me that’s a big deal. From my customer standpoint, if

you then put yourself in the customer’s shoes, from Mr and Mrs Supplier, egg supplier, I can give you all of

your cage-free, I can give you all of this, can give you the liquids, and I now have this better-for-you plant-

based option as well. You’re able to cover the entire gamut. Selfishly, it may only represent 5% or 10%, but it

helps you fill out your trucks, it adds additional margin, it does a lot of different things that you did not

necessarily have before, and so that’s both from a retail and customer, foodservice standpoint. I think it’s a

great thing. It’s better for them than it is anybody. They get the best of all worlds. Granted, they can’t take on

another product. They can’t do a lot of different things, but it’s a big advantage for them. Yes, there’s some

commoditised, it’s a commodity orientation with eggs and so they’re looking, Jimmy Dean introduced this

cracked egg in a little microwavable package. You know go from taking an egg that was USD 0.30, now the

package is USD 2.19 or something like that. I think that any time you have opportunity to partner with

somebody, where it can represent a low percentage of sales but can help drive their overall margins, that’s a

good thing. That’s really a good thing.

[00:33:57]

Q: It seems Eat Just is in a unique position, with a premium product and a high share percentage. Do you

think the company is being aggressive enough in the expansion of that product to scale as quickly as possible

and to get into every restaurant or channel that it could dominate?

AW: I would have to assume the answer is yes, but to me I think that you can always do more. What I would

be looking for is that national brand partner. Again, I’m going to pick on Starbucks, but it doesn’t have to be

them. How do you go out and partner with somebody like that? Even if you don’t make any money, or little bit

of money, that they give you some national brand awareness, to me that’s the big part there. How do you get

adjacent to something like that? I’m not saying they’re not doing that. I would be very, very aggressive today to

create that joint partnership like that. I think they are, but, again, in my opinion, you can never go so quick to

do that. I’ll go back to Impossible Foods and Beyond Meat, Burger King partnered with Impossible Foods,

McDonald’s partnered with Beyond Meat. It’s like they find some competing, similar product, but Burger King

won’t carry Beyond Meat and Impossible Foods, so I would be going as wide as I can, as quickly as I can, to not

allow somebody else to come in and do something.

[00:35:55]

Q: Foodservice has taken a hit during the pandemic. Do you think that provided an opportunity for plant-

based partnerships to leverage pricing and to secure partnerships? Alternatively, do you think it hindered the

progress in adoption and the speed at which plant-based foods were entering the foodservice landscape?

Private and confidential 8

AW: For plant-based foodservice, it’s all about how you prepare the product. During the pandemic,

companies were challenged with seeing people and putting that type of stuff into there. I think new

development was slowed during the pandemic in foodservice. It just was and so it will be important,where we

started, what we talked a little bit about ago, “Is the liquid the right way, is it the patty? If it’s the patty, is it the

right package? If it’s the right package, can I supply it? Do I have the ability to do those things? Okay, got it.

Then do I have the right overall proposition for the customer that they can then take on and do?” Again, a lot

of the product during the pandemic is carry-out or third-party delivery and so people don’t really think a lot

about it, but how portable is that product? What I mean by that is how does a Just Egg product taste five, 10,

15 minutes after it’s prepared at the restaurant? If it’s Grubhub for Alan Weiner’s café, and Grubhub is

delivering it and I produced it at 12:35 and you don’t get it until 13:10, what’s the quality of that product? That

to me where you’ve got to make sure that your product will maintain the heat, or cold, whatever the

temperature requirements are, and what you’re eating is going to be as good eating it in your car, I call it a car

picnic, vs eating it in a location. That’s one of the big things that the pandemic is changing, is making sure that,

like I said, your product is portable and you churn up to take on that. Coming out of the pandemic, I think

that, again, the packaging is one of the things that really helps drive that.

[00:38:33]

Q: What markets is Eat Just most active in and where do you think there’s opportunity for growth and new

distribution gains?

AW: Of course, they are very heavy in retail. Walmart, all the big retailers, Kroger, they’re in all of those, and

when they started they were at USD 7.99, I think everyday price is now at USD 4.99, when it’s on sale USD

3.99. They can continue to drive that, whether it’s Kroger, Publix, all of the various chains throughout the

country, Albertsons, Safeway, etc. They’ve got other products now. They’ve got the patties, the sous-vide eggs.

They’re branching out from it being in the refrigerated case by the eggs. They then have their products in other

areas, to put eyeballs on it from a retail perspective, which I think is really smart. Foodservice, they’ve had

some nice wins with a couple of convenience stores, some other smaller chains. Again, I’ll go back to I think

the opportunity for Eat Just goes into the likes of, what do you call it, office environments, where they’ve got

all this health and wellness, colleges and universities, cafés. Your Starbucks, Dunkin’. You can continue to do

that. You’ve got the airlines, the travel business.

Again, I speak a lot of the hotels. That’s a big opportunity with all the people today looking to eat better, do

better, so wherever people like that are going and consuming food, you want to make sure that you have the

option to do that. It’s an undertaking though. You look at working with a company like Sodexo, which is a

GPO, group purchasing organisation, Sodexo does a lot of colleges, universities, offices and, again, they try to

provide healthy solutions. These offices, they’ve got thousands of people, so you’ve got a very captive audience.

If Eat Just can continue to do what they’re doing, take on a national brand to give it a little bit more brand

awareness, continue to provide stuff in these other areas, I love the hospitality, I love the travel, I love the

cafés. If they could partner with somebody like a McDonald’s or a quick service, I think that’s a win-win

opportunity. It wouldn’t surprise me if they’re not [sic] working on that. I would have my foot on the gas,

because we’ve seen other companies decide to take on their own versions of plant-based and so what you don’t

want to do, I think Tyson partnered with Beyond Meat, they gave up their investment and then Tyson said,

“I’m going to develop my own.” You could see some of these companies that have the wherewithal to do that,

so if McDonald’s said, “I’m going to create my own plant-based,” they can go out and do it.

NH: How big a threat to this industry is foodservice players or companies such as Kroger, with a large balance

sheet investing in plant-based offerings?

AW: I don’t really see foodservice, traditional foodservice, saying, “I’m going to go out and develop my own

Just Egg.” I really don’t see that. I do say maybe I could see it more in retail, if the category continues to get

bigger and drive cost out of it, it’s part of their strategy, is to build their private label side, always has been. It’s

how they built their cereals and all the other products, and they’ve done that. To me, it’s something that you

have to be mindful of. Costco is known to take on brand products and then further it down the road and a

Kirkland Signature, which is part of their strategy. I’m not sure it’d be as easy in this plant-based world,

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because, like I said when we started, Eat Just has spent a ton of money on technology in its plants. Could I see

them partnering with another company vs developing their own? Sure, so instead of being Eat Just, if it’s Zero

Egg, that I could see, so if Zero Egg had the ability to come in and improve margins, improve flavour and

better taste, why wouldn’t they do it? Unless they’re branding it Eat Just Sandwich, which they may or may not

be. If you go back to the McDonald’s, McDonald’s saying it’s an Eat Just Egg McMuffin, it can’t be an Eat Just

product. If it’s just a plant-based Egg McMuffin, they can go out and go to Zero Egg without doing anything,

no issues. You asked a minute or so ago, “What are some things that Eat Just could do?” I’d be making sure I’d

slap my name, my brand name, everywhere I could, to make sure it’s called an Eat Just Egg McMuffin or Egg

McMuffin made with Eat Just, so that they put that in the consumer’s eyes.

[00:45:42]

Q: Have you noticed any challenges with Eat Just’s scalability and agility to meet demand in a channel such as

foodservice?

AW: They’ve got great distribution through Dot Foods. Dot Foods is the truly only national re-distributor that

can distribute for them. They’ve got a good distribution model. Again, I think the logistics, supply chain and all

of that, really no issues. You can argue shelf life maybe, but the product should be consumed well enough in

advance of that, so that becomes a moot point. They really don’t have many issues. I would say the challenge is

how do you go wider quicker and get more customers to deliver the product to consumers? To me that’s the

issue, or the opportunity.

[00:47:04]

Q: What are your thoughts on Eat Just’s structure and leadership? What’s the likelihood of an IPO or the

company being purchased by another bigger player?

AW: Eat Just was founded by Josh Tetrick and, I forget the other guy’s name. Josh, I think, has learnt a lot.

There was some stuff that was written about him and the company, I think, a few years ago. Probably 50% is

right, 50% is wrong. Nobody is ever perfect, if that makes any sense. I do think that Josh wants to run the

company. I think an IPO based off of the amount of money that they have borrowed and all that kind of stuff,

is the route that they’re going to go. For him to run the company, I can’t see it being under New York or the

Nasdaq. I’d be shocked. I could see it being done overseas, like somewhere in China maybe, but then again I

could be wrong. I don’t see it being bought privately, unless somebody like a General Mills or another big

company like that wanted to acquire it, but to me, the things that I would be looking at are how much money

have they received from investors? There’s that, and then does Josh want to run the company long term?

Those two things, I think, if I were looking at it, I would be asking myself, “Josh, do you want to run the

company if it’s publicly held?” “Yes, I do.” “Okay.” I don’t know if he’s, I’m not saying capable, but I don’t know

if he’s able to do that in the United States with all the requirements on the stock exchanges. I think he’d have a

better chance of doing that if it’s on one of the international exchanges. I don’t see it being bought privately,

just due to the sheer amount of money that they’ve borrowed over time. Not borrowed, has been invested.

[00:49:53]

Q: What are your thoughts on the international expansion opportunity? How are plant-based products or

plant-based eggs being adopted globally? Is the price point too high for some markets?

AW: I think China consumes about half of the world’s consumption of eggs and there’s more of an acceptance,

and I’ve seen it for Hong Kong where they launched the Just Egg almost a couple of years ago now. There’s a

greater acceptance for that and the use of that product. It makes a lot of sense of where they’ve really put a

foothold into that and done that. I think the biggest thing that you have to do, and Josh has been smart about,

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is putting feet on the street and setting it up there vs doing it from San Francisco and trying to hope that it gets

done properly. You’ve got to have your muscle in the market there to do that. I think that there’s tremendous

upside there. There’s significant upside here, but I think that you’ll have greater acceptance and greater upside

there than you will here.

[00:51:13]

Q: How might prices develop or mature? Since Eat Just has such a high market share, is there really a need for

them to de-leverage pricing, whereas you have players such as Beyond Meat and Impossible Foods in a price

war to the bottom?

AW: To me, the pricing is part of the acceptance model. If you and I are walking in the grocery store, let’s go

through both examples, retail and foodservice. If I can buy a pint of egg whites, cage-free egg whites, for USD

4.99, or I can buy a bottle that’s 16 ounces for either USD 4.99 or USD 5.99 of Eat Just, interesting. I’m the

consumer. I’ve got to really want to go to that other little bottle to do that. In foodservice, I can go buy a cage-

free egg patty vs the Just Egg patty. One is, call it, USD 0.50 more, as an example. If you look in both of these,

if you look at the Just current packaging, it doesn’t really talk about any of the other benefits outside of Just

Egg. Not that you’ve asked, but if I were doing anything today, it’s probably more than just one thing, but

communicate better about their packaging, to give me a reason to make sure that I understand why I should

pay USD 4.99 for 16 ounces vs USD 4.99 for 32 ounces. Then the same thing in foodservice. Help me, as a

consumer, understand what I’m doing for my body and for the environment, if I’m going to pay USD 0.50

more. I think that that’s really one of the big things that they’ve got to nail down. Otherwise, I think that they

then develop a market that will continue to grow, but maybe not grow at the same leaps and bounds. That’s

how I would compete against them. If were Zero Egg, that’s what I would do. That’s what I would do, but that’s

me.

[00:53:54]

Q: How do you expect foodservice to recover in H2 2021?

AW: I think when you think about foodservice, there are so many different areas of foodservice. If you look at

hospitality, hotels and places like that, struggling, because they can’t find help. The demand is there, but they

can’t find help to work in the hotels. Office buildings, Sodexo and all these others, and Foodbuy, I think they’re

beginning later this year, Q4 this year, you’ll see some resemblances of what it used to be, but maybe not on an

everyday basis. Within traditional foodservice, the quick serve, some are doing better than others. Chick-fil-A

is killing it. They’ve found a way to really connect well with their customers. They’d be a great partner for Just,

by the way, with their egg patty. Burger King, not doing so well. Not as good as others. Steak ’n Shake, not as

good. There are some that are good and some that are bad. I think one of the common themes, as labour has

been a tough issue, people are rethinking the interior of their dining rooms and they’re saying, “I’ve done this

well just doing drive-through. Let me rethink my labour, because I don’t have a choice. I want enough people

to staff it.” Those are probably real concerns coming out of the pandemic.

[00:55:31]

Q: We discussed the health benefits of Eat Just’s plant-based eggs. What are the benefits, if any, of alternative

meat products? How important is it for alternative meat products to state a claim that their products do have

benefits vs just saying it’s an alternative product?

AW: If you were to talk to my children that are 15 and 17, they’re much more in tune with some of these

alternatives and benefits than me, I’m 57. Benefits being if you look at the overall food supply, with the

population growth, we’re going to come to a breaking point where there are food shortages and food issues.

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That to me is a big one. It’s not going to be for a while, but that is a big one. You look at talking about cellular

agriculture. It’s not plant-based meat, it’s cellular agriculture, where they harvest a cell from a chicken and

then they feed it with plants to help grow it. They’re saying that it tastes like a chicken, eats like a chicken,

cooks like a chicken and, in some cases, this other thing, the notion is that you do not have to refrigerate it or

freeze it. It can be ambient. That, for me, is conceptually very difficult. It’s ambient. It can be room

temperature. It doesn’t have to be cold or anything like that. You can leave it in your pantry. It’s really

interesting. Then they can control the blood. No blood, cholesterol, no cholesterol, no fat. They can control all

of that. If you want three ounces, it’s going to be three ounces. Not 3.4, not 2.6. It’s going to be three ounces.

Eat Just has identified another big sector and there are many of them in that space. There are a lot and they’ll

continue to look for partners, I think, to help them achieve that significant capital investment required, and I

think they’re doing this in Singapore right now with the Eat Just Nuggets, and the chicken nuggets. I think

that it’s something that’s going to take a while, but they’ll have, I think, as they look in that business, on the

meat side, more and more from marketing, consumer awareness of the benefits, some of the same things we

talked about on the egg side, but proliferated. They’ll have to do it much better than they’re doing it now and

really get behind it. I don’t even know what you call it. Is it meat? I don’t know. Meat to me is a live animal. I

think that’s in some of the debates that come up. It just might be a chicken or a steak. I don’t know what

they’re going to call it, but I’m sure that they’ll probably figure that part out, for sure.

[00:59:25]

NH: Just about out of questions, so we will now end the Interview there. Let me close by saying thank you for

your input, Alan. Really good Interview. We were able to cover a lot. Thank you, clients, for joining Third

Bridge Forum’s Interview today. If you would like to arrange a private meeting or consultation, please contact

your relationship manager. Have a good one.

AW: Thank you. Bye-bye.

Transcription ends at 00:59:39 of the recorded material

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