1. Albertsons Six Sigma Program Cap November 24, 2003

2. Albertsons Breakthrough Value Program Cap Albertsons requires a Program Cap - to establish maximum potential payment to SSA Cap must not compromise BVS program performance: –Need to focus and drive SSA & Albertsons to breakthrough performance –Cap must be high enough to support and enable us to achieve exceptional results Other program controls must be considered when establishing Program Cap: –Individual Project Cap ($750K maximum payment to SSA for any single project) –Maximum 24 months of benefits used to determine SSA fee –Steering Committee controls project selection Cap Should be a Stretch to Achieve During Engagement Period

3. Albertsons Breakthrough Value Program Cap Cap Should Be $45M, Or Higher, To Set Stretch Goals $300 $600 SSA Fixed Fee Pricing “Risk” premium & Time-Value of Money “Stretch” Goal $24 $48 SSA Fee ($M) Albertsons Benefits ($M) Based on “Accelerated Deployment” pricing proposal for 24 Month Deployment

4. Trademarks and Service Marks Six Sigma is a federally registered trademark of Motorola, Inc. SigmaFlow is a trademark of Compass Partners, Inc. MINITAB is a trademark of MINITAB, Inc. VarTran is a trademark of Taylor Enterprises. The following are trademarks of Six Sigma Academy as of March 2003 (alphabetical): Breakthrough Design Breakthrough Execution Breakthrough Lean Breakthrough Sigma Lean Breakthrough Six Sigma Breakthrough Strategy ® Breakthrough Value Services Design for Six Sigma Software Design Six Sigma for Software Design with the Power of Six Sigma ESSENTEQ FASTART INTELLEQ METREQ SigmaCALC ® SSA Navigator Weaving excellence into the fabric of business.

5. Six Sigma Academy www.6-sigma.com Phone: (480) 515-9501 Fax: (480) 515-9507 8876 E. Pinnacle Peak Road Suite 100 Scottsdale, AZ 85255