PriceSmart Investor Relations July 2016 Forward Looking Statements This presentation may contain forward- looking statements concerning the Company's anticipated future revenues and earnings, adequacy of future cash flow and related matters. These forward-looking statements include, but are not limited to, statements containing the words expect, believe, will, may, should, project, estimate, anticipated, scheduled, and like expressions, and the negative thereof. These forward-looking statements include, but are not limited to, statements containing the words “expect,” “believe,” “will,” “may,” “should,” “project,” “estimate,” “anticipated,” “scheduled,” and like expressions, and the negative thereof. These statements are subject to risks and uncertainties that could cause actual results to differ materially, including the following risks: our financial performance is dependent on international operations, which exposes us to various risks; any failure by us to manage our widely dispersed operations could adversely affect our business; we face significant competition; future sales growth depends, in part, on our ability to successfully open new warehouse clubs and grow sales in our existing locations; we might not identify in a timely manner or effectively respond to changes in consumer preferences for merchandise, which could adversely affect our relationship with members, demand for our products and market share; although we have begun to offer limited online shopping to our members, our sales could be adversely affected if one or more major international online retailers were to enter our markets or if other competitors were to offer a superior online experience; our profitability is vulnerable to cost increases; we face difficulties in the shipment of and inherent risks in the importation of, merchandise to our warehouse clubs; we are exposed to weather and other natural disaster risks; general economic conditions could adversely impact our business in various respects; we are subject to risks associated with possible changes in our relationships with third parties with which we do business, as well as the performance of such third parties; we rely extensively on computer systems to process transactions, summarize results and manage our business; failure to adequately maintain our systems and disruptions in our systems could harm our business and adversely affect our results of operations; we could be subject to additional tax liabilities; a few of our stockholders own approximately 26.0% of our voting stock as of May 31, 2016, which may make it difficult to complete some corporate transactions without their support and may impede a change in control; failure to attract and retain qualified employees, increases in wage and benefit costs, changes in laws and other labor issues could materially adversely affect our financial performance; we are subject to volatility in foreign currency exchange rates; we face the risk of exposure to product liability claims, a product recall and adverse publicity; any failure to maintain the security of the information relating to our company, members, employees and vendors that we hold, whether as a result of cybersecurity attacks on our information systems, failure of internal controls, employee negligence or malfeasance or otherwise, could damage our reputation with members, employees, vendors and others, could cause us to incur substantial additional costs and to become subject to litigation and could materially adversely affect our operating results; we are subject to payment related risks; changes in accounting standards and assumptions, estimates and judgments by management related to complex accounting matters could significantly affect our financial condition and results of operations; we face increased public company compliance risks and compliance risks related to our international operations; if remediation costs or hazardous substance contamination levels at certain properties for which we maintain financial responsibility exceed management's current expectations, our financial condition and results of operations could be adversely impacted. The risks described above as well as the other risks detailed in the Company's U.S. Securities and Exchange Commission (“SEC”) reports, including the Company's Annual Report on Form 10-K filed for the fiscal year ended August 31, 2015 filed on October 29, 2015 pursuant to the Securities Exchange Act of 1934. The statements and information in the presentation are current only as of its date, and we do not undertake to subsequently update them. This presentation may include certain non‐GAAP financial measures such as Adjusted EBITDA intended to supplement, not substitute for, comparable GAAP measures. Reconciliations of non‐GAAP financial measures to GAAP financial measures are provided at the end of the presentation. Investors are urged to consider carefully the comparable GAAP measures and the reconciliations to those measures provided. For further information, please contact John M. Heffner, Principal Financial Officer and Principal Accounting Officer (858) 404- 8826 2 Introduction to Pricesmart 1 Company Overview 2 Current Business Update 3 Appendix 3 Company Overview Our Heritage 5 Today, PriceSmart is a Leading Pan-Regional Membership Warehouse Club Operator Business Overview (1) U.S.-style Membership warehouse club operator ― First club opened in 1996 in Panama ― Company went public in 1997 ― Nasdaq Global Select Market (PSMT) Headquarters and primary DC in the U.S. $2.6Bn+ market cap TTM Sales of $2.8Bn ― 95K total transactions per day ― Annual average sales: $73.5MM/club 38 warehouse clubs across 13 countries ― 2.7MM+ sq ft (48,000 to 100,000 per club) ― 78% of clubs’ real estate is owned 1.5MM membership accounts ― Over 2.8MM card holders ― 88% renewal rate in established markets (excludes Colombia) Pan-Regional Presence Los Angeles – Distribution Center San Diego – Headquarters Miami – Primary Distribution Center Mexico – Distribution Center Jamaica (1) USVI (1) Guatemala (3) El Salvador (2) (1) Data as of 02/29/16 Honduras (3) Barbados (1) Aruba (1) Nicaragua (2) Trinidad (4) Costa Rica (6) Panama (5) Colombia (6) Net Warehouse Sales Breakdown Business 20% Retail 80% Note: Dominican Republic (3) Source: Company estimates Caribbean 30% Colombia 10% Central America 60% Source: 10-Q FY2016 6 Historical Perspective 1996-2002 2003-2005 2006-2010 2011-2016 Future Rapid Unit Expansion Transition / Inward Focus Back to Organic Growth Good Cash Flow / New Markets Continue Investments Closed nonperforming clubs Entered Colombia Additional capacity Operational improvements Exited markets (Philippines, Guam, Mexico) Expanded to 6 locations in the country New warehouse clubs Established presence in Caribbean and CEAM markets ($MM) 4,000 3,500 Focused on merchandising, operations and membership Recapitalization of Company with rights offering 3,000 Added clubs in larger markets SSS growth of 20.1%, 8.7%, and 8.2% in 2008, 2009, and 2010, respectively ($MM) ― Established markets ― Colombia 4,000 3,500 3,000 2,500 2,500 2,000 2,000 1,500 1,500 1,000 1,000 500 Market Cap has increased approximately 30x since 1998 500 0 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Market Cap LTM Revenue 7 Attractive Warehouse Club Facilities Exteriors Interiors 8 Differentiated Merchandising Strategy Multi-Sourcing / Multi-Category Sales Breakdown Locally Sourced Softlines Consistent Brand Management Other Food 2% 6% Hardlines • Average of 2,200 SKUs per club • 40 - 50% imported brands 12% 52% 48% 54% 26% US and Internationally Sourced Sundries Brand 4 Successful Private Label Business • Treasure Hunt Concept Drives Avg. Ticket ~10% of sales Picture 1 Picture 2 Picture 3 9 Generating Membership Value and Loyalty Facts Membership Type Targets higher income and upper-middle class families Over 2.8MM total cardholders 1.5MM total membership accounts 88% annual renewal rate (excluding Colombia) Offers co-branded credit card in nearly all of the Company’s markets at reduced or zero annual fee Diamond 94% of Accounts Business 6% of Accounts Membership Growth Increase from $30 to $35 Membership Growth (%) 30.0 25.0 20.0 15.0 16.1 16.0 13.0 8.0 10.0 Renewal Rate (%) 100 25.7 Open 3 clubs 95 in Colombia 90 13.5 10.0 85 7.9 80 5.0 0.0 75 2008 2009 2010 Total Membership Growth 2011 2012 2013 Renewal Rate 2014 2015 Platinum (Costa Rica) Description 2.6MM cards 1.4MM membership accounts Annual fee of $35 (most markets) 0.2MM cards 0.1MM membership accounts Annual fee of $30 plus $10 for add-on memberships Introduced in Oct. 2012 Annual fee of $75 with 2% rebate up to $500 Considering additional country inclusions in FY2017 10 Current Business Update Recent Financial Performance For the Nine Month Period Ending May 31, 2016… ― Net warehouse sales increased 4.4% over comparable period a year earlier. ― Membership income increased 6.3% to $34.2 million Total accounts grew 3.3% to 1,477,303 12-Month Renewal Rate of 80% (87% excluding Colombia) ― Warehouse gross profits as a percent of net warehouse sales were 14.2%, a decrease of 52 basis points year on year. ― Operating income of $103.9 million compared to $$111.5 million a year ago. ― Net income for 9-Month period was $66.5 million, or $2.19 per diluted share compared to $66.7 million, or $2.20 per diluted share. ― Cash and cash equivalents of $202.6 million ― Total debt of $97.7 million 12 Colombia Challenges PriceSmart views Colombia as a very good market for the Company in the long-term: COP to USD 4000 3500 3000 ― We are willing to accept lower margins during this time of currency volatility to build our business. ― Sourcing an increasing number of high quality products within Colombia at a good value. 2500 2000 1500 1000 APR FEB MAR JAN DEC SEP OCT JUL AUG JUN APR FY2016 MAY FEB MAR DEC OCT NOV SEP AUG JAN FY2015 0 NOV 500 The devaluation of Colombia peso (COP) has had a measurable effect on the consolidated financial results of the Company ― Imported merchandise price increases impacts demand ― Sales and Membership results are translated to fewer US dollars ― Q2 US$ Sales declined 32% from year earlier Locally sourced merchandise sales grew 9% in Q2 (in COP) ― New members sign-ups at 3 of the Colombia clubs were the highest of any of our clubs in Q2. ― Expansion of warehouse club in Barranquilla includes the addition of a parking deck. ― Colombia warehouse club #7 (Chia, north of Bogota) will open in September 13 Current Investments / Focus Areas Distribution Network and Capabilities Warehouse Club Capacity and Growth E-Commerce Platform Enhancement Colombia 14 Well-Developed Distribution Network Key Facts Distribution Network Five DC’s in North America, Costa Rica, Colombia, Trinidad and Panama for imported merchandise ― Totaling approximately 450,000 square feet ― One DC located Mexico City to reduce crossborder tariffs for certain items ― Costa Rica, Colombia, and Panama DC’s enable direct shipments from suppliers Dominican Republic (3) Guatemala (3) Core competency of international shipping and local import logistics expertise EL Salvador (2) Jamaica (1) Honduras (3) Aruba (1) Nicaragua (2) Costa Rica (6) Managed sourcing logistics from over 20 countries USVI (1) Barbados (1) Trinidad (4) Panama (5) Colombia (6) Executes over 20,000 ocean-container shipments annually Staff of 250 dedicated logistics associates in 13 countries Primary DC Other / Regional DCs Recently announced the planned acquisition of build-to-suit distribution center in Miami for improved efficiency and long-term stability 15 Warehouse Club Growth Two new warehouse clubs successfully opened in the past 12 months ― Costa Verde, Panama (June 2015) ― Masaya, Managua, Nicaragua (November 2015) Masaya, Managua, Nicaragua Land was acquired and construction is nearing completion of a warehouse club in Chia, Colombia ― September 2016 opening Looking to expand existing warehouse clubs where the site allows for that expansion ― Chia, Colombia Barranquilla, Colombia Capital investment expected to be approximately $45M for second half of fiscal year 2016. Barranquilla, Colombia 16 E-Commerce: www.pricesmart.com 17 Appendix Historical Growth Performance Same Store Sales Growth (1) Net Warehouse Club Sales (1) % $Bn 3.0 2.5 2.0 1.5 1.0 0.5 0.0 1.1 1.2 1.4 1.7 2.2 2.0 2.4 2.7 20 20.1 18.1 8.7 10 Total Units (1) 8.2 9.0 4.8 2.7 2008 2009 2010 2011 2012 2013 2014 2015 Total Membership Income & Accounts 50 40 25 26 (1) $MM # Warehouse Clubs 27 29 29 31 33 37 38 20 10 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 50 40 30 20 10 0 MM 34 20 16 18 0.6 0.7 0.7 23 38 27 0.8 1.0 44 1.5 1.1 1.2 2.0 1.0 0.0 2008 2009 2010 2011 2012 2013 2014 2015 Membership Fee Income Notes: 14.5 0 2008 2009 2010 2011 2012 2013 2014 2015 30 10.8% Average 30 Membership Accounts (1) Fiscal years 19 Historical Earnings Performance EBITDA Margin (1)(2) EBIT Margin (1)(2) % % 8 5.4 6 5.8 6.4 6.4 6.4 6.6 6.6 6.5 6 5.6 5.3 4 5 5.2 5.3 5.5 5.3 4.7 4.4 2 0 4 2008 2009 2010 2011 2012 2013 2014 2015 Diluted EPS (1) 2008 2009 2010 2011 2012 2013 2014 2015 ROIC (1)(3) $ % 4 3.07 2.95 2.78 3 1.65 1.29 1.43 2 2.07 2.24 1 0 25 20 15 10 5 0 2008 2009 2010 2011 2012 2013 2014 2015 Notes: (1) Fiscal years (2) Excludes asset impairment and closure costs and provisions for pending litigation (3) ROIC = EBIT * (1 - Effective Tax Rate) / (Net PPE + Net Working Capital + Goodwill) 16.8 18.4 17.0 16.2 15.6 13.9 14.4 13.9 2008 2009 2010 2011 2012 2013 2014 2015 20 Adjusted EBITDA Reconciliation Fiscal Year Ended ($MM) Net income, as reported Aug-08 Aug-09 Aug-10 Aug-11 Aug-12 Aug-13 Aug-14 38 42 49 62 68 84 93 Discontinued ops 0 0 (0) 0 0 - - Net income attributable to NCI 0 0 0 - - - - Losses of unconsolidated affiliates - 0 0 0 0 0 (0) (1) 3 1 (1) 5 5 4 9 13 23 27 35 39 41 11 14 15 21 24 24 28 Asset impairment and closure costs 1 (0) 0 - - - - Provision for pending litigation 1 - - - - - - 61 73 89 110 132 152 167 Total other income (expense) Provision (benefit) for income taxes Depreciation & amortization Adj. EBITDA 21