CONCEPT WAREHOUSE PROPOSAL A roadmap to delivering a successful partnership with CATCOLNE’S CUSTOMER Prepared By: Catcolne Logistics BV Catcolne - Canti Proposal 2016 Page 1 Strictly private and confidential

Presentation Contents Overview: 1. Our Industry Background 2. Global Presence 3. Moving Past the 90’s 4. Assessing the Need for Change 5. Driven to Improve KPI’s 6. Optimizing Supply Chain through Red Prairie 7. Engaged Project Team 8. Proposed Set-up of New Warehouse Hornby – DS & LCS Group Proposal 2014 Page 2 Strictly private and confidential

Our Global Presence Barcelona Madrid The Netherlands Lyon Veronaa Milano Prato Lisboa Paris Copenhagen Berlin London Key Locations in Catcolne’s logistics European Network: Hornby – DS & LCS Group Proposal 2014 Page 3 Strictly private and confidential

Bring you to the New Millennium Assessing The Need for Change Core requirements to be met by engagement: Growth: Space utilization Allocations Customer Needs: Just in time Low unit of measure Speed Financial Viability Improving cost structure Customer Demographics Change in demographics to be met with improved operations Bring you to the New Millennium 1. Product Stabilization 2. Inventory Increased visibility Develop policies and procedures Unofficial stocking criteria 3. Guarded Approach Limited space available Hornby – DS & LCS Group Proposal 2014 Page 4 Strictly private and confidential

We are Driven to Improve KPI’s With our support through a continious focus on the customers position in the market and the confidence to offer the most reliable service What we can offer you: Drive profitability through productivity Reduction in cost Faster delivery times Better product visibility and resource allocation Total transparency on warehouse operations Hornby – DS & LCS Group Proposal 2014 Page 5 Strictly private and confidential

We are Driven to Improve KPI’s – Example: Picking Rates NDC Operations Tracker Week Ending   Output Target £K Actual £K Units available to pick Actual units picked Carried over units Picking % Monday Tuesday 99 21 10203 6431 3772 63% Wednesday 79 14763 11318 3445 77% Thursday 100 43 32183 28453 3730 88% Friday 50 95 14045 5391 8654 38% Total 348 238 71194 51593 19601 72% Through our warehouse management system and operations we can improve this by 25% Hornby – DS & LCS Group Proposal 2014 Page 6 Strictly private and confidential

Optimizing you Supply Chain through Red Prairie CANTI VALUE PROPOSITION RedPrairie’s Warehouse Management technology and services provide a comprehensive solution for distribution and inventory management covering: • Labour Management • Distributed Order Management • Inbound Operations • Inventory Management • Work Order Processing • Outbound Operations • Asset Management Strategic Value Create an Competitive Advantage RedPrairie Warehouse Management customers typically achieve: • Fulfilment cost reductions of 10-50% • Inventory storage and handling costs reductions of 10-35% • Throughput increases of 10-40% • Inventory visibility and accuracy near 100% • Inventory reductions of 5-25% Financial Value Hornby – DS & LCS Group Proposal 2014 Page 7 Strictly private and confidential

Example Set-up of a new Warehouse Office Stage Stage Order Completion Area Single Pallet Racks approx. 3500 locations with different home areas Loading and Unloading Area Hornby – DS & LCS Group Proposal 2014 Page 8 Strictly private and confidential

European Delivery Times Our service: Same day delivery Weekend Service Buffer stocks – next day delivery Driving time management Double Drivers’ shifts 48h 36h 24h Hornby – DS & LCS Group Proposal 2014 Page 9 Strictly private and confidential

Track and Trace Why Use Track and Trace? An existing operational dashboard that you can use Accurate and detailed information giving you greater control over your operations e.g. up-to-date ETA’s Information can be easily shared with your customers Extract the information so you can use it how you want What information is contained in Track and Trace? Voyage and Vessel information ETD, ATD, ETA and ATA Container numbers, HBL and MBL Weight and dimensions Ports Commodity Description Shipper and receiver Hornby – DS & LCS Group Proposal 2014 Page 10 Strictly private and confidential

Track and Trace (2/2) Example order: Hornby – DS & LCS Group Proposal 2014 Page 11 Strictly private and confidential

Steps to be taken – Road to success Engagement will be managed in a structured manner: Assemble Team Create Strategy Map Determine Baseline Implement Plan Measure Progress Have Some FUN! Hornby – DS & LCS Group Proposal 2014 Page 12 Strictly private and confidential

Slow Moving Parts Our procedure for best managing warehouse design Defined Slow Moving Identify Items Criteria Communicate Disposition Monitor Hornby – DS & LCS Group Proposal 2014 Page 13 Strictly private and confidential

Velocity and ABC Codes Carefully managed process What is needed Create legend Slotting Correct size Label SKU’s Reporting Hornby – DS & LCS Group Proposal 2014 Page 14 Strictly private and confidential

Example Warehouse Layout 631 “A” SKUs - 10 Pick Aisles - Ground Floor - 211 Over-Stock Locations Hornby – DS & LCS Group Proposal 2014 Page 15 Strictly private and confidential