Profitability & Cash Flow CUSTOMER LOGO Improving Your Profitability & Cash Flow

AGENDA Revisit current challenges and opportunities Review the Assessment process Present Assessment Findings Next Steps

CHALLENGES AND OPPORTUNITIES CUSTOMER LOGO CHALLENGES AND OPPORTUNITIES

Delete the items that do not apply add additional items as appropriate Current situation Multiple vendors/suppliers Supply chain costs too high Purchasing strategy: high volume/low price Excess investment in working capital Excess inventory - limited/no JIT deliveries Limited space for expansion Total Cost of Ownership (TCO) for packaging too high Quality managed on supplier-by-supplier basis No recent analysis of current packaging requirements Seek new/alternative product development opportunities Need to streamline packaging processes Escalating Costs of Goods Sold (COGS) “No supplier has a 360° view of my business” CUSTOMER LOGO Delete the items that do not apply add additional items as appropriate 3

Transform Your Supply chain Identify Profitability & Cash Flow Improvements Lower direct costs Improved working capital Capitalize on new efficiencies CUSTOMER LOGO 5 5 5

Streamlining the Supply Chain CUSTOMER LOGO From… To… 6

How We work for you… CUSTOMER LOGO You maintain control… …we do the work for you!

What you can expect CUSTOMER LOGO Improved Productivity and Working Capital Delivered Through Lower TCO Guaranteed SAVINGS CASH FLOW improvement

CUSTOMER LOGO ASSESSMENT PROCESS

SUPPLYONE ASSESSMENT PROCESS Assessment: <Date – Date> Process: Investigate buying patterns and opportunities for improvement Establish a baseline of total cost by documenting closed transactions for a 12-month period Collect samples, examine product applications and identify potential cost savings opportunities Assess best services platform that delivers improved operating and supply chain efficiencies Quantify guaranteed cost savings and cash flow improvements Exclusions: <Products/vendors not assessed>

CUSTOMER LOGO ASSESSMENT RESULTS: DIRECT COST SAVINGS IMPROVED WORKING CAPITAL INDIRECT COST SAVINGS

DIRECT COST SAVINGS ADVANTAGES Streamlined supply chain   Current (12/mo.) With PMP Program DIRECT COST SAVINGS Total Spend $x,xxx,xxxx  $x,xxx,xxx #VALUE! Vendors Assessed # TOTAL DIRECT COST SAVINGS ADVANTAGES Streamlined supply chain One point of contact Elimination of excess/ dead inventory Product standardization 360o view of products & spend BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow CUSTOMER LOGO

Improved Working capital Historical spend adjusted to current market compared to actual spend when determining ongoing realization of savings. Average Inventory calculated as follows: Sum of $ spend by item/number of transactions /2 $XXXX Guaranteed Average Inventory Reduction CUSTOMER LOGO

add additional items as appropriate Indirect savings Invoice Processing Summary Billing Inventory Management Just-in-Time Delivery 1Online Packaging Use Assessment Equipment Service Program Structural and Graphic Design Project Management NOTE: Delete the items on this page (and related detail on slides that follow) add additional items as appropriate

Indirect savings: Invoice Processing   Current (12/mo.) With PMP Program INDIRECT COST SAVINGS Vendors Assessed # Total Vendor Invoices 24  #VALUE * Based on average cost to process of $50/P.O. TOTAL INDIRECT COST SAVINGS #VALUE! CUSTOMER LOGO ADVANTAGES Reduced processing costs Improved A/P productivity Ability to refocus on value-added activities BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow

Indirect savings: Summary billing CUSTOMER LOGO ADVANTAGES Fewer invoices Lower transaction cost Improved employee productivity Ability to plan expenditures BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow

INDIRECT SAVINGS: inventory management ADVANTAGES Reduced onsite inventory levels & carrying costs Fewer deliveries No stock outs One vs. multiple contacts Increased warehouse space Reduced exposure (60 days maximum) BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow More Space for revenue generation CUSTOMER LOGO

Indirect savings: Just in Time delivery CUSTOMER LOGO ADVANTAGES Increased warehouse space Enhanced throughput BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow More Space for revenue generation

INDIRECT SAVINGS: ADVANTAGES Custom online catalog 24/7 accessibility Order automation Detailed reporting Fewer errors Simplified purchasing BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow CUSTOMER LOGO

Indirect savings: Packaging Use Assessment ADVANTAGES Less SKU’s Fewer spot buys Reduced obsolete inventory Confidence in product availability during seasonal spikes Lower Total Cost of Ownership BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow More Space for revenue generation CUSTOMER LOGO

Indirect savings: Equipment service ADVANTAGES Factory trained technicians Improved throughput Fewer bottlenecks Prompt, predictable response One point of contact vs. multiple equipment providers for service BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow CUSTOMER LOGO

Indirect savings: Structural & Graphic design ADVANTAGES Integrated approach to primary, secondary, tertiary packaging design, POP displays Latest CAD technology Enhanced brand awareness Safety and reliability One point of contact BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow CUSTOMER LOGO

Indirect savings: project management CUSTOMER LOGO ADVANTAGES One point of contact that understand your requirements Fewer resources Reliable, timely reporting and problem solving on your behalf BENEFITS Improved Productivity Enhanced Efficiency Increased Cash Flow

ASSESSMENT RESULTS Guaranteed Savings Based On: Last 12 month expenditures Current mix and volume of products Match specifications for all products Additional Savings Opportunities: Process improvement Product redesign Product innovation

FINDINGS SUMMARY $ 2,827 Add Findings data Direct Cost Savings $   $ Payment Terms Savings Freight Savings Inventory Reduction (assumes 30 day improvement) Interest Expense (6%) (assumes 30 day improvement) Energy Guaranteed Cash Flow Improvement Indirect Cost Savings Transaction Processing Improvements Total Savings Opportunity * 30 day improvement for presentation purposes Reduction (lighting) Add Findings data $ 2,827 25

CUSTOMER LOGO WHY SUPPLYONE

Large national company SupplyOne Locations: Albuquerque, NM Chesapeake, VA Cleveland, OH Columbus, OH Dallas-Fort Worth, TX Devon, PA El Paso, TX Hickory, NC Jackson, WI Norris, SC Oklahoma City, OK Paterson, NJ (NY) Pennsauken, NJ Phoenix, AZ Reading, PA Rockwell, NC Tampa Bay, FL Tucson, AZ Tulsa, OK Weyers Cave, VA …and Growing!

Unique Capabilities

Safe Quality Food Your single point of contact for: GFSI (Global Food Safety Initiative)compliance through SQF certification Packaging expertise for HACCP plans Material specifications and survey documents for all materials and 3rd party suppliers Letters of Guarantee for all primary packaging Supplier quality management

Maximizing Throughput & Profitability Strategic Manufacturing, Sourcing and Distribution Consultation on throughput and product protection Evaluate cost-in-use vs. price Creation of new packaging Maximize customer profitability Innovation Packaging Equipment Solutions Recommend, install and maintain equipment Capital expense programs tied to consumables Sales and service for packaging equipment

CUSTOMER LOGO RECOMMENDATION

Recommendation Sign partnership agreement Identify start date Agree on implementation plan Kick-off meeting Begin testing protocols and transition Conduct regular implementation reviews Review ongoing projects Set goals for program improvement Analyze YTD savings

Let Us Improve Your Profitability & Cash Flow Now. CUSTOMER LOGO Let Us Improve Your Profitability & Cash Flow Now.