Weekly Relative Value Update Food and Beverage

Research evidence excerpt

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Weekly Relative Value Update

Food and Beverage – 7/31/26

Industry Overview

31 July 2026

Company and Industry News

High Yield Credit

United States

Retail and Apparel

Lamb Weston (LW): Shoestring fry yields support our Underweight

Darling Ingredients (DAR) 2Q26 EBITDA well above consensus

ICE BofA Global Index Data

Exhibit 1: ICE BofA Global Index Data, as of 7/30/26

The HY Food/Bev/Tobacco index trades at 6.8%, 50 basis points inside of the US HY Master II index

Current

Index

US High Yield Master II

US High Yield BB

US High Yield B

US High Yield CCC

US HY Food/Bev/Tobacco

YTW

7.3%

6.3%

7.4%

14.4%

6.8%

OAS

284

174

299

1,006

226

One Year Ago

Rtg

BB3

BB2

B2

CCC1

B1

YTW

7.1%

5.9%

7.2%

12.4%

6.2%

OAS

289

171

298

839

205

Rtg

B1

BB2

B2

CCC2

B1

Total Return

1-WK

0.1%

0.3%

0.0%

0.3%

MTD

-0.3%

0.0%

-0.8%

-0.3%

QTD

-0.3%

0.0%

-0.8%

-0.3%

YTD

1.6%

1.5%

2.4%

-0.6%

0.6%

Source: ICE Data Indices, LLC; data excludes floating rate notes, defaulted notes and non-rate notes

BofA GLOBAL RESEARCH

Ratings

Exhibit 2: BofA High Yield Ratings

BofA ratings on High Yield Food and Beverage issuers’ bonds

Underweight

B&G Foods

8.0% Sr Sec’d Notes

BellRing Brands

7% Sr Notes

Lamb Weston

4.875%, 4.125%,

4.375% Sr Notes

Performance Food Group

4.25%, 6.125%, 5.625%

Sr Notes

Marketweight

Chobani

Primo Water

4.625%, 7.625% Sr Notes

4.375% Sr Sec’d Notes,

Darling Ingredients

6.25% Sr Notes

5.25%, 6.0% Sr Notes

Simmons Foods

Post Holdings

4.625% Sr Sec'd Notes

6.25% Sr Sec’d Notes,

United Natural Foods

5.625%, 5.5%, 4.625%,

6.75%

4.5%, 6.375%, 6.25% Sr Notes

US Foods

TL-B, TL-B, 6.875%, 4.75%,

4.625%, 7.25% Sr Notes

Overweight

Herbalife

7.75% Sr Sec’d Notes

4.875% Sr Notes

Restricted

Rise Baking

8.625% Sr Sec’d Notes

Source: BofA Global Research

BofA GLOBAL RESEARCH

BofA Securities does and seeks to do business with issuers covered in its research

reports. As a result, investors should be aware that the firm may have a conflict of

interest that could affect the objectivity of this report. Investors should consider this

report as only a single factor in making their investment decision.