2016 Initial Guidance

2016 Initial Guidance (PDF format) Requires Acrobat Reader

Annual Investor Conference Press Release (PDF format) Requires Acrobat Reader

Fundamentals

Divisions SSSG Gross
New Units
Net
New Units
Restaurant
Margin
China 2-3% 600 At least 425 15% +
KFC 2-3% 270
Pizza Hut Casual Dining 2-3% 230
PHHS/Other 100
KFC 3% At least 675 Int’l At least 475 Int’l
Pizza Hut 3% At least 525 Int’l At least 325 Int’l
Taco Bell 3% At least 300 Global At least 225 Global
Divisions: Operating Profit1 Ex Forex
Growth
Benefit of 53rd Week (ppts) to Growth
China 10%
KFC 11% 1%
Pizza Hut 7% 2%
Taco Bell 9% 3%
1 For period reporters (KFC, PH and TB), operating profit figures include benefit of 53rd week. See column for % impact to Reported and Ex Forex Operating Profit Growth.

Inflation

2016 Inflation
China
Food & Paper 1%
Labor High-Single Digit
Taco Bell
Food & Paper 0%
Beef & Other Meats 0%
Tortilla 2%
Cheese & Dairy 3%
Chicken 0%
Produce -1%

Consolidated Yum! Brands ($MM)

Tax Rate (ex special)2 26 – 27%
Net Interest Expense2 $140
Worldwide G&A $1,500
2 Excludes refinancing
Capital Expenditures ($MM)
Allocation
     New units $500
     Remodels $300
     Projects/Other $200
By Division
China $500
KFC $250
Taco Bell $150
Pizza Hut $100