Dear shareholders,

Last year posed challenges for Chiquita and served as a year for shaping and rebuilding the Chiquita brand into a premium produce supplier. Although costs have increased for Chiquita over the year 2006, we are delighted to share with you that net sales soared to new heights.

Overview

Chiquita faced financial challenges over the last year. Operating income and net income resulted in a net loss for the company over the course of the fiscal year 2006. These challenges were met by an overall increase in net sales. In the last year, we experienced the following results:

• Decrease in operating income:     2005: $188 million

                          2006: $28 million

• Decrease in net income:              2005: $131 million

                                      2006: $96 million

• Increase in net sales:                   2005: $3,904

                                                             2006: $4,499

This past year, we have faced issues that resulted in increased operating costs and decreased net income. Net sales for Chiquita have remained a positive point, impressively increasing in 2006. Higher operating costs have resulted from higher tariff rates by the European Union, an increase in consumer concern regarding the safety of packaged produce products, and increased industry costs. Net income decreased in the past year, resulting predominately from the increase in operating costs.

We are proud to announce that the 2005 acquisition of the Fresh Express brand has considerably increased net sales over the past year. All revenue, $1.1 billion, in the Fresh Cut sector was from Fresh Express.

In January, 2006 the European Commission imposed a higher tariff rate, resulting in increased tariff costs to Chiquita and a decline in banana pricing in core European markets. The new tariff resulted in the rise of costs for bananas imported by Chiquita into the EU from Latin America, Chiquita’s primary source of bananas. Last year, Chiquita acquired a net $75 million in higher tariff-related costs.

Several Latin American countries have opposed this EU tariff, which could benefit Chiquita in the future. Ecuador has requested a hearing with the World Trade Organization regarding the banning of the tariff. The hearing has been granted and a ruling is expected in late 2007.

The Chiquita brand was adversely affected by a decline in consumers’ assurance in the safety of packaged produce in 2006. Consumer concerns increased regarding safety of packaged produce after the discovery of E. coli in certain brands of packaged spinach in September 2006. Fresh Express products were never implicated in the issue; however, the brand was impacted, resulting in lower sales and unforeseen costs. The company believes that, resulting from the fresh spinach issue, operating income was at least $12 million lower than it would have otherwise been.

Chiquita is committed to food safety. Last year, Chiquita formed an independent scientific advisory panel to further explore how to enhance food-safety practices. Chiquita has committed $2 million to fund research projects to better understand and mitigate the E. coli threat.

Chiquita’s industry costs have increased over the past year, contributing to higher operating costs for the company.

• Fuel costs for Chiquita have increased substantially since 2003 and may continue to increase in the future. The company is hedging fuel costs to lock in fuel prices for three years (until 2009) to minimize the volatility that fuel prices could have on operating results.

• A rise in the cost of paper and plastic has been significant to Chiquita in the past year. Bananas, fresh cut items and other produce products are packaged and shipped in paper, plastic and cardboard items. Chiquita’s operational costs have increased over the past year so that the higher packaging costs are not translated to consumers.

Looking Forward

The year 2006 will be considered a rebuilding year for the Chiquita brand. We are encouraged by a bright and promising future full of growth and innovation. In the next years, we aim to double profits from 2005 and enhance our position as a global leader and innovator of healthy, fresh foods.

We see significant opportunity to expand our position as a global leader and innovator of healthy foods in the years to come. Chiquita will introduce innovative, profitable products to meet consumer needs for convenient, healthy foods.

To expand our position as a global leader of healthy foods in the future we plan to continue innovation in the following areas:

Fresh Express

• Two of 12 new Fresh Express products introduced in 2006 were the top-selling items across categories in U.S. supermarkets at that time.

• New Fresh Express products will continue to be introduced in the next year and we predict equivalent results.

Chiquita Minis

• Retail customers in North America have widely accepted this quick and healthy snack.

• Plans are in place to expand the product across Europe in 2007.

Chiquita Apple Bites

• Customers have made Chiquita Apple Bites the number one brand of sliced apples in the United States.

• Chiquita Apple Bites have made it easy and convenient for customers to enjoy fresh fruit anytime, anywhere.

• Subway restaurants recently added Chiquita Apple Bites to the menu and plan to expand the option across more than 14,500 restaurants in the near future.

Chiquita Just Fruit in a Bottle

• Chiquita Just Fruit in a Bottle has brought convenience and health together.

• Chiquita single serving smoothies have become a hit in several European retail stores.

We believe we have the opportunity to shape an efficient business with profitable products. We will continue to evaluate and determine how to make our company more efficient. We expect to make further progress in terms of gross cost savings in 2007 by delivering an additional savings of $40 million.

Chiquita is looking forward to a bright future full of possibilities. We are encouraged by significant opportunities in the areas of increased profitability, innovation and building a highly efficient operation. Our ultimate vision is to enhance our position as a global leader in healthy, fresh foods.

The Chiquita brand has momentum. We have faced challenges, and we are focused on delivering further improvements in the years to come. Nonetheless, this brand is growing and you, as shareholders, will benefit.

Your support is important for this momentum to continue, and we thank you for it.

Sincerely,

Fernando Aguirre

Chief Executive Officer

April 12, 2007