Philp Industries Weekly Summary September 24th - September 30th KL Outdoors Prepared on October 4th 2017 Private and Confidential | Philp Industries

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

Activity Summary Ongoing Projects (Pending Amazon) -Working on getting OR ASINs out of Dropship inventory -New ASINs showing as KLIAA but Dropship ONLY -Dropship project: ASINs have correct replens, offers and correctly showing in Dropship inventory -Re-assigning ASINs to two new Swiss Cargo products that were assigned the same ASIN -Fixing SS Aruba variation -1 Merge pending Ongoing Projects Pending RDP team -all Parent ASIN data acquired to analyze (Awaiting Sam's assistance to decode category/subcategories) -Requesting additional images for all KL products -Cross-browse all ASINs Projects Completed this Week -Maintenance -3 Swiss Cargo NISs submitted (9 SKUs) New Item Set-ups -Terrain Hunting Blinds (3 SKUs): Set-up complete, but ASINs showing in Dropship inventory under Dropship only (Asked Ryan to fix) -Swiss Cargo (9 SKUs): All assigned ASINs but two different products were assigned the same ASIN, working to fix. Waiting for this to be fixed before further updates made to this group of ASINs. Images submitted and pending. Private and Confidential | Philp Industries

Catalog Maintenance Updates Activity # POs not accepted Partial Case Purchase Orders Missing Images Unowned ASINs Replen Codes Mismatched 28 ASINs Missing from Cost Spreadsheet 2 Vendor Code Missing from Cost Spreadsheet 47 UPCs Missing from Cost Spreadsheet Model #s Missing from Cost Spreadsheet Name Mismatches 22 UPC Mismatches Brand Name Mismatches 19 Brand Code Mismatches 18 Mfg Model/Catalog # Mismatches GL Mismatches Category Mismatches Subcategory Mismatches 1 ITK Mismatches Mismatched Parent ASINs Merging Submissions Manufacturer Mismatches Missing Product Detail Vendor Code Missing from Cost Spreadsheet: KLIAA/ABXID messed up. Ryan addressing. Item Name, Brand Name, Brand Code: Sun Dolphin products changed from Sun Dolphin identifiers to KL as title leader, brand name and KLIAA as brand code 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 Private and Confidential | Philp Industries

Category Activity Category Shipped COGS September 24th - September 30th Change over last week 2000 Outdoors - 2404 Hardshell Kayaks $7,151.75 $-6,330.50 2000 Outdoors - 2409 Kayaking and Canoeing Accessories $4,614.45 $2,502.34 2000 Outdoors - 2401 Canoes $2,816.80 $2,411.80 2000 Outdoors - 2390 Canopies $1,576.00 $394.00 9500 Street- Surf -amp- Snow - 9541 Plastic Snow Sleds $688.91 $-340.84 9500 Street- Surf -amp- Snow - 9805 Beach Stand Up Paddleboards $558.00 $-279.00 2000 Outdoors - 2403 Inflatable Kayaks $0.00 9100 Janitorial -amp- Sanitation - 9130 Cleaners -amp- Deodorizers Private and Confidential | Philp Industries

Brand Activity Brand Shipped COGS September 24th - September 30th Change over last week Sun Dolphin (SUNQW) $13,989.55 $-2,180.70 KL Industries (KLIAA) $3,416.36 $988.50 Extent (EXTG1) $0.00 $-40.00 STOER Third Coast (THJ10) $-410.00 Private and Confidential | Philp Industries

Top Products Parent Products Individual Products Product Shipped COGS Change over last week Sun Dolphin Sun Slider 5 Seat Pedal Boat with Canopy (B0186UXKSE) $1,925.00 Sun Dolphin Bali SS 10-Foot Sit-on top Kayak (B0186UZADM) $1,790.00 $1,074.00 Sun Dolphin 5 Seat Pedal Boat with Canopy (B0186V1JWM) $1,576.00 $394.00 Sun Dolphin Aruba SS 12-Foot Sit-in Kayak (B00HLB2TKK) $1,435.75 $-918.50 Sun Dolphin Aruba 10-Foot Sit-in Kayak (B0757NS39P) $1,424.00 $-1,068.00 Sun Dolphin Scout Elite SS Canoe (B01N1UORSI) $1,252.80 Sun Dolphin Excursion 10-Foot Sit-in Fishing Kayak (B0186UY9GQ) $1,160.00 $-3,480.00 Sun Dolphin Mackinaw SS 15.6-Foot Canoe (B01C6K3X96) $834.00 $429.00 Sun Dolphin Bali 13.5-Foot Tandem Kayak (B0186UYKGK) $744.00 $-744.00 Sun Dolphin Seaquest 10-Foot Stand Up Paddleboard (B0088B5DSW) $558.00 $-279.00 Individual Products Product COGS Change Out of Stock Sun Dolphin Sun Slider 5 Seat Pedal Boat with Canopy (Blue) (B002GNYS1Q / 72141) $1,925.00 0.00 % Sun Dolphin Bali SS Sit-on top Kayak (Tangerine, 10-Feet) (B00H35ZSWK / 51905) $1,790.00 $1,074.00 1.20 % Sun Dolphin 5 Seat Pedal Boat with Canopy (Blue) (B00261OVXS / 71551) $1,576.00 $394.00 Sun Dolphin Scout Elite SS Square Back Canoe (Hazelnut, 14-Feet) (B00ODJQIJG / 51165) $1,252.80 1.02 % Sun Dolphin Excursion Sit-in Fishing Kayak (Sand, 10-Feet) (B00H35ZT2E / 51390) $1,160.00 $-3,480.00 52.90 % Sun Dolphin Aruba SS Sit-in Kayak (Blue, 12-Feet) (B0088B54JA / 51825) $1,104.75 $736.50 0.37 % KL Industries 5 Person Sun Slider Pedal Boat Mooring Cover (B003Z734NK / AWWCV) $1,035.45 $205.34 0.68 % Sun Dolphin Bali Tandem Kayak (Lime, 13.5-Feet) (B017KNJFNM / 52365) $744.00 $-744.00 0.99 % Sun Dolphin Aruba Sit-in Kayak (Ocean, 10-Feet) (B00H8P196Y / 51370) $732.00 $-549.00 14.33 % Sun Dolphin Aruba Sit-in Kayak (Blue, 10-Feet) (B003Z7ZPYQ / 51320) $692.00 $-519.00 27.16 % Private and Confidential | Philp Industries

Increasing Products Increasing Parent Products Shipped COGS Change over last week Sun Dolphin Sun Slider 5 Seat Pedal Boat with Canopy (B0186UXKSE) $1,925.00 Sun Dolphin Scout Elite SS Canoe (B01N1UORSI) $1,252.80 Sun Dolphin Bali SS 10-Foot Sit-on top Kayak (B0186UZADM) $1,790.00 $1,074.00 Sun Dolphin Mackinaw SS 15.6-Foot Canoe (B01C6K3X96) $834.00 $429.00 Sun Dolphin 5 Seat Pedal Boat with Canopy (B0186V1JWM) $1,576.00 $394.00 Sun Dolphin Excursion 12-Foot Sit-in Fishing Kayak (B0186UYF4M) $360.00 Sun Dolphin Mackinaw 15.6-Foot Canoe (B0186UXTW6) $355.00 Sun Dolphin Camino SS 8-Foot Sit-on-top Kayak (B018NXSUCK) $142.00 Sun Dolphin Bali 6-Foot Sit-on-top Kayak (B0186UZQEK) $96.00 Increasing Individual Products Product COGS Change Out of Stock Sun Dolphin Sun Slider 5 Seat Pedal Boat with Canopy (Blue) (B002GNYS1Q / 72141) $1,925.00 0.00 % Sun Dolphin Scout Elite SS Square Back Canoe (Hazelnut, 14-Feet) (B00ODJQIJG / 51165) $1,252.80 1.02 % Sun Dolphin Bali SS Sit-on top Kayak (Tangerine, 10-Feet) (B00H35ZSWK / 51905) $1,790.00 $1,074.00 1.20 % Sun Dolphin Aruba SS Sit-in Kayak (Blue, 12-Feet) (B0088B54JA / 51825) $1,104.75 $736.50 0.37 % Sun Dolphin Mackinaw SS Canoe (Green, 15'6-quot-) (B002GXL2C4 / 51121) $429.00 2.82 % Sun Dolphin Mackinaw SS Canoe (Hazelnut, 15'6-quot-) (B00W4RBF1K / 51125) $405.00 31.12 % Sun Dolphin 5 Seat Pedal Boat with Canopy (Blue) (B00261OVXS / 71551) $1,576.00 $394.00 KL Industries 6-Feet Oar Assembly (B00261JH78 / 12738) $576.00 $384.00 0.55 % Sun Dolphin Scout Square Stern Canoe, 14-Feet, Green (B004RE8U1G / 51131) $375.00 99.97 % Sun Dolphin Excursion Sit-in Fishing Kayak (Sand, 12-Feet) (B00H35ZY2Y / 51895) $360.00 0.12 % Private and Confidential | Philp Industries

Decreasing Products Decreasing Parent Products Shipped COGS Change over last week Sun Dolphin Excursion 10-Foot Sit-in Fishing Kayak (B0186UY9GQ) $1,160.00 $-3,480.00 Sun Dolphin Aruba 10-Foot Sit-in Kayak (B0757NS39P) $1,424.00 $-1,068.00 Sun Dolphin Excursion SS 10-Foot Sit-in Fishing Kayak (B01AW1F87G) $0.00 $-1,056.00 Sun Dolphin Aruba SS 12-Foot Sit-in Kayak (B00HLB2TKK) $1,435.75 $-918.50 Sun Dolphin Bali 13.5-Foot Tandem Kayak (B0186UYKGK) $744.00 $-744.00 Terrain Sport Sled (B003Z76J3W) $509.91 $-419.84 Sun Dolphin Sun Slider Adjustable 5 Seat Pedal Boat (B01BOL5H9C) $337.00 $-337.00 Sun Dolphin Aruba SS Sit-in Kayak (B0186V067Q) $-326.00 Sun Dolphin Seaquest 10-Foot Stand Up Paddleboard (B0088B5DSW) $558.00 $-279.00 Sun Dolphin 2-Pole Pedal Boat Canopy Replacement (B003Z6Z0RO) $207.00 $-69.00 Decreasing Individual Products Product COGS Change Out of Stock Sun Dolphin Excursion Sit-in Fishing Kayak (Sand, 10-Feet) (B00H35ZT2E / 51390) $1,160.00 $-3,480.00 52.90 % Sun Dolphin Aruba SS Sit-in Kayak (Lime, 12-Feet) (B00H35ZVV8 / 51865) $331.00 $-1,655.00 1.20 % Sun Dolphin Excursion Stainless Steel Fishing Kayak, Olive, 10' (B00UKRAUP8 / 51445) $0.00 $-1,056.00 0.91 % Sun Dolphin Bali Tandem Kayak (Lime, 13.5-Feet) (B017KNJFNM / 52365) $744.00 $-744.00 0.99 % Sun Dolphin Aruba Sit-in Kayak (Ocean, 10-Feet) (B00H8P196Y / 51370) $732.00 $-549.00 14.33 % Sun Dolphin Aruba Sit-in Kayak (Blue, 10-Feet) (B003Z7ZPYQ / 51320) $692.00 $-519.00 27.16 % Viking Sport Sled, Black (B000ZKPHDU / 90040) $509.91 $-419.84 0.00 % Third Coast Avalon 120 Sit On Angler Kayak (Orange/Gray/White) (B01M2VH4Q0 / 59293) $-410.00 14.04 % Sun Dolphin Mackinaw SS Canoe (Navy, 15'6-quot-) (B00W4RBJUC / 51127) $-405.00 97.36 % Sun Dolphin Sun Slider Adjustable 5 Seat Pedal Boat (Teal) (B000MB84YQ / 61143) $337.00 $-337.00 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