Philp Industries Weekly Summary August 13th - August 19th Cycle Force Group Prepared on August 25th 2017 Private and Confidential | Philp Industries

A Data-Driven Approach AMAZON ORDERS AMAZON SALES FAST TRACK AMS CHARGEBACKS CATEGORY PERFORMANCE BRAND PERFORMANCE INDIVIDUAL PRODUCT PERFORMANCE Private and Confidential | Philp Industries

Amazon Orders Amazon PO Dollars SKUs Ordered Confirmation Rate Fulfillment Rate Private and Confidential | Philp Industries

Amazon Sales Shipped COGS Shipped SKUs Average Sales Price Inventory Weeks of Cover Private and Confidential | Philp Industries

Fast Track Fast Track Replenishable Out of Stock Non-Replenishable Out of Stock Lost Buy Box Private and Confidential | Philp Industries

AMS Sales Spend Average Cost of Sale Conversion Rate Private and Confidential | Philp Industries

Chargebacks PO - On-Time Non-Compliance Excessive Backordered Units Oversized Carton Prep - Set creation Private and Confidential | Philp Industries

Category Activity Category Shipped COGS August 13th - August 19th Change over last week 9000 Cycling - 9154 Bike Baskets $11,723.84 $1,318.61 9000 Cycling - 9100 Accessories $8,908.44 $62.31 9000 Cycling - 9312 Balance Bikes $4,971.21 $992.44 9000 Cycling - 9108 Tubes $4,967.08 $955.08 9000 Cycling - 9107 Tires $4,654.50 $-945.34 9000 Cycling - 9080 Trailers $4,132.05 $293.97 9000 Cycling - 9113 Bike Small Parts $3,522.65 $741.58 9000 Cycling - 9050 Mountain Bikes $3,232.97 $-847.97 9000 Cycling - 9204 Drivetrain and Accessories $3,076.36 $-129.88 9000 Cycling - 9220 Automobile Bike Racks $2,452.65 $31.54 9000 Cycling - 9065 Electric Bicycles $1,645.00 $-131.99 9000 Cycling - 9085 Child Seats $1,614.31 $451.47 9000 Cycling - 9208 Handlebars- Stems- and Seatposts $1,574.62 $60.91 9000 Cycling - 9067 Unicycles $1,538.51 $-424.51 9000 Cycling - 9110 Helmets $1,493.14 $-124.11 Private and Confidential | Philp Industries

Brand Activity Brand Shipped COGS August 13th - August 19th Change over last week Wald (WALE8) $12,952.44 $2,278.95 Nantucket Bicycle Basket Co. (NANBD) $4,948.54 $-818.55 M-Wave (MWAB7) $4,137.08 $87.41 Kawasaki (KAWC7) $3,817.84 $1,368.00 Panaracer (PANZK) $3,583.34 $-222.88 Ventura (VENX7) $3,548.22 $79.31 Trail-Gator (TRAYJ) $3,465.11 $438.69 Stop-A-Flat (STOXV) $3,107.00 $926.25 Hollandia (HOLBU) $2,715.75 $1,121.75 Mantis (MANVR) $2,646.89 $984.95 ByK (BYKA9) $2,098.00 $-270.00 Kenda (KENE8) $2,037.30 $-303.08 Greenfield (GRESX) $1,895.17 $839.34 Shimano (SHIAJ) $1,807.05 $-182.87 Minoura (MINVD) $1,606.41 $191.76 Private and Confidential | Philp Industries

Top Products Parent Products Individual Products Product Shipped COGS Change over last week Trail-Gator Child Bike Tow Bar (B074RLP1Y7) $3,465.07 $536.45 Stop-A-Flat Puncture-proof, Thorn-resistant, No-flat Bicycle Tubes in 12/16... (B0127EGQZY) $3,107.00 $926.25 Nantucket Bike Basket Co. Classic Lightship Basket (B0041285Q4) $2,125.84 $-883.30 Hollandia Evado Electric City Commuter Bicycle (B01L8X7X48) $1,645.00 Fun Unicycle (B06XSMXHWP) $1,538.51 $-316.45 Bellelli Pepe Rear Mounted Baby Carrier (B0748567WM) $1,500.33 $451.47 Wald 582 Folding Rear Bicycle Basket (B06XVZGXYH) $1,360.01 $1,026.97 ByK E-350 Kid's Bike, 18 inch wheels, 8.5 inch frame, for Boys and Girls, f... (B01F26XMEC) $1,320.00 $330.00 Mantis Tri-Rad Folding Adult Tricycle (B01NAJ1OC8) $1,155.00 $924.00 Kawasaki Sumo 4.0 Fat Tire Bicycle (B01MSIK659) $385.00 Individual Products Product COGS Change Out of Stock Wald 10252 Bicycle Training Wheels (16 to 20-Inch Wheels, .75 and 1-Inch Fr... (B000C1YTCW / W10252) $3,350.60 $669.10 0.20 % Wald 1216 Bicycle Training Wheels (12 to 16-Inch Wheels) (B000C128PM / W1216) $2,427.75 $311.25 0.12 % Ventura Universal Bicycle Carrier Rack (B001NGF6AY / 440149) $1,726.65 $-43.90 0.18 % Trail-Gator Children's Black Trailer Tow Bar (B0011HZKI8 / 640022) $1,581.93 $-292.95 0.01 % Wald 742 Training Wheels (16-26-Inch) (B00079WKSO / W742) $1,454.03 $-679.31 0.22 % Nantucket Bike Basket Co Adult Classic Lightship Collection Stained Bicycle... (B004Y2LTKA / C/004/A) $1,298.99 $-510.63 0.04 % Trail-Gator Trailgator Bicycle Tow Bar (Red) (B000KAZUQY / 640020) $1,260.24 $953.98 83.11 % Stop-A-Flat 1.75 Tube, Yellow, 16-Inch (B00S0N8WCM / 820000001) $1,183.00 $650.00 0.00 % Mantis Tri-Rad Folding Adult Tricycle, 20 inch Wheels, 16 inch Frame, Unise... (B00FXMIUPW / 67520) $1,155.00 $924.00 47.98 % Kawasaki Sumo Fat Tire Bike, 26 x 4 inch Wheels, 18.5 inch Frame, Unisex (B00LUFF6PI / KA2606-1-MT) $385.00 Private and Confidential | Philp Industries

Increasing Products Increasing Parent Products Shipped COGS Change over last week Hollandia Evado Electric City Commuter Bicycle (B01L8X7X48) $1,645.00 Wald 582 Folding Rear Bicycle Basket (B06XVZGXYH) $1,360.01 $1,026.97 Stop-A-Flat Puncture-proof, Thorn-resistant, No-flat Bicycle Tubes in 12/16... (B0127EGQZY) $3,107.00 $926.25 Mantis Tri-Rad Folding Adult Tricycle (B01NAJ1OC8) $1,155.00 $924.00 Trail-Gator Child Bike Tow Bar (B074RLP1Y7) $3,465.07 $536.45 Bellelli Pepe Rear Mounted Baby Carrier (B0748567WM) $1,500.33 $451.47 Rennrad Convertible 2 in 1 Balance/Pedal Bike (B0127BF1GM) $418.00 Kawasaki Sumo 4.0 Fat Tire Bicycle (B01MSIK659) $385.00 Nantucket Basket - The Lightship Oval Collection (B00D3SIHUQ) $930.59 $365.84 Klokov Olympic Weightlifting Barbell (B01MTCGP24) $350.00 Increasing Individual Products Product COGS Change Out of Stock Trail-Gator Trailgator Bicycle Tow Bar (Red) (B000KAZUQY / 640020) $1,260.24 $953.98 83.11 % Mantis Tri-Rad Folding Adult Tricycle, 20 inch Wheels, 16 inch Frame, Unise... (B00FXMIUPW / 67520) $1,155.00 $924.00 47.98 % Hollandia Evado Electric City Commuter Bicycle, 3-Speed, 18-quot- Women's Frame,... (B01L6ULODO / HL12B-18) $840.00 11.40 % Wald 582 Rear Folding Bicycle Basket (12.75 x 7.25 x 8.5, Black) (B0012DZEBY / W582BL) $852.79 $806.77 59.45 % Hollandia Evado Electric City Commuter Bicycle 7-Speed, 18-quot- Women's Frame, ... (B01L6UL7AO / HL13A-18) $805.00 50.39 % Wald 10252 Bicycle Training Wheels (16 to 20-Inch Wheels, .75 and 1-Inch Fr... (B000C1YTCW / W10252) $3,350.60 $669.10 0.20 % Stop-A-Flat 1.75 Tube, Yellow, 16-Inch (B00S0N8WCM / 820000001) $1,183.00 $650.00 0.00 % ByK E-350 Kid's Bike, 18 inch Wheels, 8.5 inch Frame, Girl's Bike, Pink (B00Y0PO4Y4 / BY1803-1-JV) $990.00 $495.00 0.03 % Klokov 20 kg Olympic Weightlifting Bumper Plate (Single) (B072KLXLVJ / 0102-PASM-2005) $663.00 $493.00 28.54 % Wald 535 Rear Twin Bicycle Carrier Basket (18 x 7.5 x 12) (B000AB6DCS / W535) $501.60 $456.00 37.02 % Private and Confidential | Philp Industries

Decreasing Products Decreasing Parent Products Shipped COGS Change over last week Steppenwolf Men's Tycoon LTD Pro Full Suspension Mountain Bike, 27.5 inch w... (B017P7LZZO) $0.00 $-2,075.99 Steppenwolf Transterra M.E2 Electric City Coummter Bicycle, 700c wheels, 20... (B017P7KWH6) $-1,776.99 Nantucket Bike Basket Co. Classic Lightship Basket (B0041285Q4) $2,125.84 $-883.30 ByK E-250 Kid's Bike, 14 inch wheels, 6.5 inch frame, for Boys or Girls, fo... (B01275TAOC) $778.00 $-600.00 Klokov Olympic Weightlifting Bumper Plates (B0731YG1LC) $1,029.00 $-533.39 Viva Legato 7 City Bike with internal hub, 700c Wheels, 53 or 59 cm frame (B00LGZO3NI) $-495.95 Mantis Taureno Tandem Bicycle (B01N3SNR9O) $-489.50 SE Bikes Royal 16-Speed Road Bicycle (B00LGYZOAA) $-489.00 Hollandia New Oma Dutch Cruiser Bicycle (B01MXDJ14E) $-483.00 Body Glove Greystone 24.1 Boy's Cruiser Bicycle (B01MQFI9U7) $-343.98 Decreasing Individual Products Product COGS Change Out of Stock Steppenwolf Men's Tycoon LTD Pro Full Suspension Mountain Bike, 27.5 inch w... (B0173GCARO / SWM435-5001) $0.00 $-2,075.99 0.00 % Steppenwolf Transterra M.E2 Electric City Coummter Bicycle, 700c wheels, 23... (B017361MKK / SWE035-5801H-1) $-1,776.99 Fun Blue 20-quot- Unicycle with Alloy Rim (B003R9U9J8 / 659323) $-920.36 32.65 % Wald 742 Training Wheels (16-26-Inch) (B00079WKSO / W742) $1,454.03 $-679.31 0.22 % ByK E-250 Kid's Bike, 14 Inch Wheels, 6.5 Inch Frame, Girls' Bike, Lilac (B01EJY9S2I / BY1403-1-JV) $150.00 $-600.00 16.56 % Klokov 25 kg Olympic Weightlifting Bumper Plate (Single) (B071KDCMJY / 0102-PASM-2505) $-514.50 9.82 % Nantucket Bike Basket Co Adult Classic Lightship Collection Stained Bicycle... (B004Y2LTKA / C/004/A) $1,298.99 $-510.63 0.04 % Viva Legato 7 City Bike, 700c Wheels, Men's Bike, Grey, 53 cm Frame (B00K8T2C0O / VIV-002-2A) $-495.95 77.79 % Mantis Taureno Tandem Bike, 26 inch Wheels, 18 inch Frame, Unisex, Red (B00QGPPFVM / MA2612-1-MT) $-489.50 45.87 % SE Bikes Royal 16-Speed Road Bicycle, Gray, 50 cm (B00GS080A8 / 2134674050) $-489.00 Private and Confidential | Philp Industries

Appendix Private and Confidential | Philp Industries

Services Review Using a Data-Driven Strategy Catalog Data Quality Compare Amazon data sources and purchase orders to identify and set up missing catalog items Continuously compare replenishment codes to all available data sources to maintain fidelity Create new listings for missing items and set up new products in advance of line changes Scrape Amazon content to detect and correct changes in variations or suppressed products Detect and consolidate duplicate listings Forecasting Provide digestible format of Amazon forecasts and supplementary planning recommendations Analyze historical recommendations for accuracy and improve forward forecast Operations Monitor fulfillment to proactively spot data issues Update catalog data to ease fulfillment problems Educate your team on fulfillment practices to improve fulfillment rates International Expansion: Sell on Amazon Globally Promotions/Marketing Update Amazon content to improve search relevance and conversion to sale Execute comprehensive marketing strategy across Amazon promotional tools “Own” critical keywords in search results Add premium content to qualified listings Monitor and update targeting, balance of promotions to maximize ROI Profitability Negotiate with Amazon on COOP terms Improve Amazon pricing strategy over time Analyze metrics to find opportunities for margin improvement or increase sales volume through margin reduction Monitoring Continuously compare Amazon data to consolidated vendor “Reference Data” Correct data issues on a weekly basis Analyze key metrics to provide high-level feedback Flexibility: What does your company need? Private and Confidential | Philp Industries

Contacts Dan Philp Sage King Managing Partner dan@philpindustries.com 206-300-2141 Sage King Vendor Support sage@philpindustries.com Private and Confidential | Philp Industries