LUCKY STRIKE SPONSORSHIP OBJECTIVES PROVIDE WORLDWIDE TV AND PRESS EXPOSURE PROVIDE INT'L PLATFORM FOR IN-MARKET EXPLOITATION AND CROSS-PROMOTIONAL OPPORTUNITIES * RATIONALE SUBz>iANTir'~LiNT'LTVAUDILcNCE(150MILL!ON) PARALLEL GROWTH IN PUBLIC INTEREST IN SPORT * TARGETED TO YOUNG ADULT MALES * NO DOMINANT SPONSOR IN SPORT * MAJORITY OF RACES HELD IN KEY LUCKY STRIKE MARKETS %0 L~1j Co Co a, BATCo document for Legal Services : Health Canada 20 October 1999 LUCKY STRIKE SPONSORSHIP 1993 KEY ACTIVITIES 9 INITIATED RESEARCH PROGRAM BATCO QUANTITATIVE AWARENESS/ IMAGE MONITORING (CHILE, HOLLAND, MALAYSIA, SPAIN) -- RESULTS PENDING B&W AWARENESS MONITORING (JAPAN/PARAGUAY INITIALLY) -- IN FIELD TV/PRESS EXPOSURE MONITORING IN 16 KEY LS MARKETS (S.I.S.) 0 CD %0 L-1~ Co CD -1-4 BATCo document for Legal Services : Health Canada 20 October 1999 LUCKY STRIKE SPONSORSHIP 1993 KEY ACTIVITIES * 7V/PRESS EXPOSURE MONITORING (CONT'D) FIVE RACES SIXTEEN COUNTRIES JAPAN (4/18) BELGIUM SPAIN (5/2) BRAZIL AUSTRIA (5/16) BULGARIA GERMANY (6/13) CHILE HOLLAND (6/26) CHINA cis -GERMANY HOLLAND INDONESIA ITALY JAPAN MALAYSIA PARAGUAY SINGAPORE SPAIN SWITZERLAND (.1-J c:) Co Co CC) BATCo document for Legal Services : Health Canada 20 October 1999 LUCKY STRIKE SPONSORSHIP 1993 KEY ACTIVITIES * TV/PRESS EXPOSURE MONITORING (CONT'D) KEY RESULTS Q RACES) TVEXPOSURE LUCKY STRIKE MARLBORO ROTHMANS MINUTES 330 482 231 SHARE 4.8 6.9 3.3 AD VALUE S1.9 $3.9 $1.4 PRESS EXPOSURE VERBAL 244 222 153 PHOTOS 357 425 116 AD VALUE S1.4 $2.0 $1.4 TOTAL TV/PRESS VALUE S3.3 $5.9 $2.8 0 (-4 CD L4 Un %0 (A Co CC) N10 BATCo document for Legal Services : Health Canada 20 October 1999 0 0 0 LUCKY STRIKE 0 1 r+ SPONSORSHIP Ep 11 TV/PRESS EXPOSURE MONITORING.(CONT'D) r KEY RESULTS Q RACES) (D cc so KEY SOURCESOF EXPOSURE cn 30 25 X =r t5i, 104 1.34 4.062 ~mrvmwl "d, F M F MTV 15 Q15 2.298 rM : 0 4.138 U 10 1. 121 Z. e14 0 0 0 (D 0 LUCKY STRIKE MARLBORO ROTHMANS RACK SIGNAGE BIKE UNIFORM OTHE co 06H6S202 LUCKY STRIKE SPONSORSHIP 1993 KEY ACTIVITIES INCREASED TV EXPOSURE ù INCREASED TRACK SIGNAGE (5 TRACKS - BATCO FUNDED) ù VIDEOVISION FEATURE STORIES (SYNDICATION) ù TV COMMERCIAL ù TRACKANNOUNCMENTS ù EUROPE DORNA TV DEAL * SUZUKI 500cc CONTRACT RENEWED FOR'94-'95 * IMPROVE USER MARKET EXPLOITATION e NOVEMBER WORKSHOPS 9 NEED UPPER MANAGEMENT PUSH C) L.r.4 Ln 1-0 cc -10 BATCo document for Legal Services : Health Canada 20 October 1999 LUCKY STRIKE SPONSORSHIP 1993 KEY ACTIVITIES * 500cc WORLD CHAMPIONSHIP NOW - FEBIMAR 191-14 VICTORY ADS (BSB) 15/30 SEC. TV SPOT - "CELEBRATIONS" (GREY) 1-2 MINUTE"WE ARE THE CHAMPIONS" TV SPOT (DORNA SYNDICATION) 6-7 MINUTE CHAMPIONSHIP FEATURE STORY (VIDEOVISION) CHAMPIONSHIP AWARDS BANQUET IN NOVEMBER SUZUKI DEALERS CHAMPIONSHIP MATERIALS PACKAGE CHAMPIONSHIP MERCHANDISE (GPP) CHAMPIONSHIP THEME IN ALL BTL ACTIVITIES AFTER FEB/MAR 1994 LEVERAGE CHAMPIONSHIP STATUS IN ALL EXPLOITATION ACTIVITIES (NOT NEW NEWS) C) LP-J ~-n ~.0 L'Il CD -.0 r'li BATCo document for Legal Services : Health Canada 20 October 1999 LUCKY STRIKE SPONSORSHIP 1993 CENTRAL BUDGET (MILLION $'S) AUTHORIZED ESTIMATE SUZUKI CONTRACT $6.9 $6.9 SDC CONTRACT 0.9 0.0 VIDEOVISION FEATURES/TRACK ANNOUNCEMENTS 0.4 0.4 TRACK SIGNAGE o.2 o.2 OTHER 0.5 0.8* OTAL $8.9 $9.2 +0.3 *WORLD TOUR/SUZUKI MATLS $0.1 TV RIGHTS FEES 0.1 AWARDS BANQUET 0.1 (0.1 FROM BARCLAY) $0.3 0 tA C) N-0 U4 co BATCo document for Legal Services : Health Canada 20 October 1999 LUCKY STRIKE SPONSORSHIP 1994 KEY PLANS * 2 BIKE 500oc TEAM (SCHWANTZ/BARROS) ù CONTINUE RESEARCH PROGRAM ù CONTINUE FEATURE STORIES/TRACK ANNOUNCEMENTS ù NEW 15/30 SEC. TV COMMERCIAL (WITH BATCO) ù DORNA RIGHTS PACKAGE SIGNAGE AT 8 TRACKS (5-BATCO, 2-B&W, I-SOUZA CRUZ?) MERCHANDISING RIGHTS TV RIGHTS - EUROPE, SOUTH AMERICA SATELLITE FEED (FUNDED BY MARKETS) ENTERTAINMENT VIDEO (MTV) ù NEW BIKE/LEATHERS DESIGN TO IMPROVE BRAND EXPOSURE LEVERAGE CHAMPIONSHIP STATUS IN AL ACTIVITIES CHAMPIONSHIP LOGO IMPROVE SUZUKI COLLABORATION DEALERS CP4 REPLICA BIKE PROGRAM V1 NO C.-I Co -10 _9~_ BATCo document for Legal Services : Health Canada 20 October 1999 LUCKY STRIKE SPONSORSHIP 1994 CENTRAL BUDGET (MILLION S'S1 SUZUKICONTRACT $6.8 SDC CONTRACT 1.0 FEATURE STORIESITRACK ANNOUNCEMENTS 0.4 TRACK SIGNAGE 0.5 TV COMMERCIAL 0.1 OTHER 0.6 TOTAL $9.4 0 (A CD L.p4 (-n ~10 L4 Co ~1.0 Ul BATCo document for Legal Services : Health Canada 20 October 1999 0 0 CL 0 The Luctcy Strike sponsorsilip is relevantan(I 1jigI, CD P 1*0 rf r, *le atnOng Outs target Consumers. (0 CO) SPOntflneo"S awareness of events CD Age Age Motorbike racing/Motorbikes Total 18-24 25-3Q 38% 38% W Formula I GP 39% 29% 31% 26% 0 Music concerts 30% 33% 26% Football 31% 29% 33% Car racing/Cars CL 24% 24% 24% 0 0 P-IL 0 -Smirre: HAT(-'O StIlIly Cr (D 96826S202 0 CL 0 s rip, -% Lucky Strike is the brand with the best awarenes 0 motorcycle GP racing. M Cn TotaI awareness companies CD Z sponsorinz m Lt~ Lucky Strike Other Brand 0 Tota smokers mokers SMOK-Ulz) Lucky Strike 92% 93% 92% Marlboro 87% 87% 87% =r 0 Michelin 64% 60% 66% A) Rothmans 62% 61% 62% 2) CL Dunlop 58% 58% 58% 0 0 Source: BATCO Sponsorship Tracking Sludy 0 Cr (D Z6926S202 > 0 0 CL 0 the b r+ Kevin Schwantz is est known GP rider, even ~l I before his 1993 championship victory. Q Spontaneous awareness GP Lucky Strike Other Brand Total smokers smokers 3: Kevin Schwantz 32% 26% 36% (D Wayne Rainey 29% 27% '3 0 % =r Michael Deohan 16% 13% 19% 0 to John Kocinski 15% 9% 19% CL 0 0 Source: BATCO Sponsorship TracUing S(mly PIL 0 Cr (0 (D 26H6S~H There is a good iniage fit between Lucky Strike target brand attributes and the iniage of CP motorcycle racing. 1-11) Lucky Strike iniage Spain Masculine Feminine YoungerJ Older Modern, -Traditional High qualfty -Low quality Casual - Form al International - Local Fun -Serious Prest.igiousl C; Ordinary .mericain values I me,can valu- No A. n Advenrurous Freedom J Unadventurous I No Freedom Self confident-' Not self confident Image appeals Image is unappealir 7 TOW Me image 0: image LS; others 1: image LS;ochers 0: image I.S. LS smokers 1: image LS; LS smokers (_J4 C) LN Source: BATCO Sponsorship Tracking S(udy Ln co \0 BATCo document for Legal Services: Health Canada 20 October 1999 Initial research evidence indicates that the Lucky Strike sponsorship is d riving the brand towards its target iniage. 1_5 Lucky Strike ima4, ge Indonesia Old Rq DOINES [A LS O-WAVE ~iLXESIA LS I-WAVE UqDONT~SIA NIC * Amer-can values 0.5 Modern MascuLine Fun loving Local , Low quality Advemurous Casual IMagCd=13'ta9PCa1 0 Prestigious Freedom 'a Image aweals Ifigb quality Trad:dorzal Self~nfid= Fo. -.121 International Young -0.5 Feminine . Serious No Amencan, values -1.5 -0,5 0 5 1 1.5 ~J4 (_n Source: BATCO Sponsorship Tracking Study CD 4=~ BATCo document for Legal Services : Health Canada 20 October 1999