1. KUALA LUMPUR REGIONAL DISTRIBUTION CENTRE (KL RDC) - Supplier Manual - AEON Co. (M) Bhd. ~ Supply Chain Management ~ Ver. 1-1 (Effective Date: 06 th May 2013)

2. 2 Benefits Of Working With KL RDC Dear Supplier; Since year 1984, AEON (Malaysia) has seen significant growth, and we are in midst of passion for growth towards a number 1 retailer in Malaysia, and also in ASEAN countries by then. As our expansion grows rapidly, we would like to invite all of our business alliances to grow bigger together, as a strong win-win business team scenario. In conjunction of this, we have developed this new Kuala Lumpur Regional Distribution Centre (KL RDC) as our kick off infrastructure to support our continuous growth. You know that being a part of our distribution center will provide you major benefits and services of which some are below; 1.An increased in availability leading to increase your sales 2.Priority delivery to all AEON stores 3.Faster replenishment to stores 4.Higher frequent deliveries to stores 5.Reduction in administration matter for supplier 6.Reduced waiting time at each stores This document outlines the rules for working in our supply chain This pack provides you with details to understand the centralization ways of working. Please take time to read through the pack and feel free to contact us if you have any questions. Regards, AEON Co. (M) Bhd.

3. Agenda Agenda 1.Overview 2.Booking Guidelines 3.Requirements 4.Security Check 5.Register 6.Unloading & Inspection 7.Return Cargo Procedures 8.Security check before leaving KLRDC 9.Rental pallets 10.AEON Label 11.KLRDC General Regulations 12.Summary - RDC Reject Cases 13.Summary – Cases Penalty imposed 14.Other Conditions & Terms 15.Supplier’s Acknowledgement 16.Sample of Documents TBD

4. Overview  RDC located at Bandar Baru Bangi.  Monday to Saturday, 07:00 to 20:00, exclude peak season.  Manage AEON warehouse facility – Cross Dock (XD), Consolidation (CS) & Stock Point (SP).  Stock Point items will be stocked in RDC to ensure excellent availability and will be dispatched in 24 hours upon store ordering.  Cross dock & Consolidation items are an amalgamation of store demand and will be dispatched in 24 hours upon receiving at RDC. No stock held in RDC.  Cater for existing AEON stores and subsequent new stores. 4 Distribution CentreStore Code (DC Code) Receiving HoursOffice Hours KL RDC XD (each) 07:00 – 20:00 (Monday to Saturday) 09:00 – 18:00 CS (8010) SP (8012) 08:00 – 17:00 (Monday to Friday)

5. 100 ㎞ ： DC ： Store 5㎞ 5㎞ Klang Valley DCKL DCSA KL RDC 5 RDC Location

6. 6 Address: AEON Kuala Lumpur Distribution Centre (KL RDC) Jalan 6C/13, Off Persiaran Kemajuan Taman Persiaran Bangi 43650 Bandar Baru Bangi Selangor Darul Ehsan Telephone (Hunting Line): - To be advised - Fax: - To be advised - GPS: 2.9476398, 101.7608969 2.9476398N 101.7608969E 2°56'51.5033''N 101°45'39.2288''E Address & Contact

7. 7 Logistics & Information Flow Supplier AEON KL RDC AEON Store (Ordering & PO Data) (Accept PO & Create DO) (Payment Advice)(Confirm Payment) (RN Generated) Logistic Flow IT Flow B2B System AEON HQ

8. 8 Booking to KLRDC 1 1 Security check by Guards 3 3 Register lorry & drivers to KLRDC Office 4 4 Unloading & Merchandises Inspected 5 5 Receive “Receiving Note” 6 6 Arrive RDC 30min before appointment 2 2 Pick up goods to take back, if any 7 7 Inspection by our Security before leaving 8 8 N-1 day Booking Form Driving License RN DO Registration Form * GRN Gate Pass DC Pass Appendix P-1 Appendix P-1 Supplier Delivery Process * For the Details, Please refer each “Process Guideline” Appendix P-2 Appendix P-2 Appendix P-3 Appendix P-3 Appendix P-4 Appendix P-4 Appendix P-4 Appendix P-4 Appendix P-5 Appendix P-5 Appendix P-6 Appendix P-6 - Document -

9. 9 1-1 RDC General Rule RefDetails XDXD CSCS SPSP 1RDC is not liable for any missing documents or un-collected stocks after issuance to driver or in the event driver refuses to collect.  2Anyone should be on proper dress and should bring ID, passport or driving license.  3Prohibited to approach to other area than waiting area, designated bay & designated toilets.  4Smoking & eating are prohibited in KLRDC compound, except at the designated area.  5Not allowed to bring bags, empty boxes and something you can put something into it.  6Dispute about merchandises after RN acknowledged by drivers are prohibited. Double mentioned  7Dispute about our classification of damage are not allowed.  8Follow designated route to get to KLRDC (details as per P.35-36)  9Follow KLRDC Traffic rules (details as per P.37)  Remark

10. 10 KL RDC 1-2 RDC Access Route 1

11. 11 KL RDC 1-3 RDC Access Route 2

12. 12 WAREHOUSE ONE WAY Lorry Waiting Area GUARD HOUSE Persiaran Kemajuan Jalan 6C/12 1-4 RDC Traffic Flow

13. 13 NGOK 1-4 RDC Dress cord HTSM

14. 14 2-1 Requirement – Documentation RefDetailsXDXD CSCS SPSP 1 Only WEB-EDI D/O hard copy are acceptable as proof of delivery. Any other documents are not acceptable.  2 Suppliers must issue amended D/O with exact item quantity to deliver, otherwise penalty may be imposed.  3 Receiving Note (RN) is the final proof of actual received goods, and no dispute are accepted after RN acknowledged by supplier.  4 Any documents are to be collected by supplier on their way to leave RDC on the same day. RDC is not liable for any missing /lost documents suppliers fail to collect by the time supplier leave RDC. 

15. 15 3-1 Requirement – Packing Specifications(Cartons) RefDetailsXDXD CSCS SPSP 1 Packing merchandises of same SKU into different size & design are prohibited. Merchandise in carton with different merchandise name/logo are prohibited. *Please refer 3-3  2 As for XD item, carton box must be clearly labeled with the “Carton Label” with correct store name which could be purchased from RDC.  4 As for food item, carton box must be clearly stated with “Product Expiry Date”.  5 Mixed item in one carton must have a separator. RDC to reject if this condition is not followed.  Remark

16. 16 RefDetailsXDXD CSCS SPSP 8 Price tag/label not attached for each of the merchandise (except food line), RDC to reject. Clothing / Soft merchandise = Price Tag Other boxes / Hard merchandise = Price Label  9 For Source Mark Barcode / Price Tag / Price Label, RDC to reject if Item Barcode & Price Tag can’t scan  10 Suppliers must bring masking tape / seal, and seal boxes after inspection by RDC.  3-2 Requirement – Packing Specifications(Cartons)

17. 17 1 2 3 Item B Item A Plain carton Item A Item B Item A Plain carton Item A Item B Plain carton Item A Separator Item B 3-3 Requirement – Packing Specifications(Cartons)

18. 18 3-4 Requirement – Carton Sticker & Price Label 35mm 60mm 30mm

19. 19 3-5 AEON Carton Label Send RDC “Label-Order Sheet” by fax by 15:00 1 1 N-1 day Bring cheque for the invoice amount with the invoice 3 3 N day Have labels and receipt from RDC against check 4 4 N day Have invoice for the labels from RDC by fax 2 2 N-1 day ※ N Day = Day you pick label s from KLRDC.  Purchase label without 1 working day prior order by designated order sheet.  Payment not by check. Any payment but check are not acceptable.  Check with RDC invoice copy. Check without RDC invoice are not acceptable.  Dispute about labels quantity after receiving RDC receipt. Restrictions Fax: 03-XXX-XXXX Tel: 03-xxx-xxxx Booking Centre

20. 20 RefDetails XDXD CSCS SPSP 1 Suppliers to palletize cartons in standard Ti-Hi arrangement and stack carton on or lower than 1,600mm including pallet’s height. Note: Ti = number of carton per layer, Hi = number of layer per pallet  2 Supplier have to rent pallets until 30 days after "cargo released" to RDC if uses a rental pallet.  3 Only a standard 1100mm X 1100mm or1000mm X 1200mm, 4-way pallet with a minimum carrying weight 1000kg only are allowed.  4-1 Requirement – Packing Specifications(Palletize)

21. 21 RefDetails XDXD CSCS SPSP 4 Pallets and cartons must be properly secured with sufficient stretch films to ensure stability and no over hanging from pallet. Cartons over hanging from pallet are not acceptable.  5 Stacking are not allowed to contains more 1 PO in 1 pallet, and must have same expiry date (for food item).  6 Pallet indication is to be pasted on every pallets for each PO.  4-2 Requirement – Packing Specifications(Palletize) Remark

22. 22 RefDetails XDXD CSCS SPSP 1 Supplier must comply to the agreed window time at all time. All Appointment supplier must call, fax or e-mail to RDC to get an appointment 1 day before. RDC to reject if no appointment is made.  2 Delivery cancellation (with appointment) must inform RDC via email/fax at least 1 day before delivery day (by 16:00) or supplier shall be liable for a penalty from the merchandising side.  3 If delayed more than 15 minutes from the appointment time, supplier must wait queue & become last supplier to receive for the day  5-1 Requirement – Delivery Booking

23. 23 RefDetails XDXD CSCS SPSP 1 Supplier allowed to bring only “AEON" merchandise into RDC and exit with empty condition, except rejected / damaged / returned merchandise.  2 Supplier arrangement must followed with - By DO & Store [XD Receiving] - By DO [Consolidation]  3 Helper is required to assist unloading & inspection minimum requirement: 1) 20 ton truck = 1 Driver + 2 helper 2) 10 ton truck = 1 Driver + 1 helper 3) <10 ton truck = 1 Driver  6-1 Requirement – Transportation

24. 24 RefDetails XDXD CSCS SPSP 4 RDC Bay height is 1300mm so supplier’s vehicle’s specifications preferably should match with this height.  5 Single PO delivery with multiple lorries requires confirmation by supplier's coordinator on arrival all lorries at RDC to start receiving process. RDC shall not start receiving process if lorries arrival incomplete.  6 3 rd party transporter is allowed to bring more than one suppliers' merchandise. Transporter must arrange the merchandise by supplier, by PO and by SKU, and separate it physically by separator in lorries.  6-2 Requirement – Transportation

25. 25 RefDetails XDXD CSCS SPSP 7 Supplier must attend together with RDC Receiver during receiving process.  8 Pallet arrangement according to DO/SKU, Supplier must know to show or informed how to unload pallets according to DO.  9 Supplier must arrange delivery by vehicle or lorry allowed by RDC. Strictly no cars allowed. Details are following page. *Please refer 6-4  6-3 Requirement – Transportation

26. 26 Motor cycle Car 6-4 Requirement – Transportation Car (VAN) Box Lorry Canvas Lorry Open Lorry Trolley/Hand Carry

27. 27 label Light weight boxes (Upper side) heavy weight boxes (Lower side) label ex. Store Code 1001 Item Code A Item Code BItem Code C label Item Code A Item Code B Item Code C Store Code 1001 (in case of XD) Item Code A Item Code B Item Code C Store Code 1002 (in case of XD) Label 1. In case of XD (1) Unload by store and category and item (2) Use the cart rack for unloading (3) Please stack so that we can check the label (4) Please stack light weight items on upper side Please stack heavy items on lower side 7-1 Requirement – Unloading : XD

28. 28 Item Code A Item Code B Item Code C Item Code A Item Code B Item Code C 2. In case of Consolidation and Stock Point (1) Unload by item (1 item 1 pallet) (2) Use the PL for unloading 7-2 Requirement – Unloading : Cs / SP

29. 29 Summary – RDC Reject Cases RefProcessCase 1Security Control Delivery without 1 day prior booking 2Security Control Delivery more than 15min late from appointment 3Security Control Drivers and staffs in improper dress 4Security Control Delivery by improper lorries/cars 5Security Control Drivers and staffs with bad manners/behaviors 6Security Control Drivers and staffs violating KLRDC regulations 7Security Control Lorries not sealed or with different seal number from one on D/N. 8Security Control Lorry having goods of other suppliers and having goods for other destinations. 9Inspection Damaged items & extra items against the order 10Inspection Goods for XD not separated store by store in lorry 11Inspection Goods for XD without store labels and/or labels we can not scan. 12Inspection Delivery without sufficient number of unloading helper 13Inspection Goods for Consoli/DC without designated paper on every carton/pallet 14Inspection Price tag/label not attached for each of the merchandise (except food line). RDC have the right to reject if each of the merchandise not attached with price tag/label. Clothing / Soft merchandise = Price Tag Other boxes / Hard merchandise = Price Label 15Inspection For Source Mark Barcode / Price Tag / Price Label cannot scan TBD

30. 30 Summary – Cases Penalty Imposed RefCasesRate 1Delivery more than 15min late from appointment RM50.00/Lorry 2Delivery cancellation without notice before appointment time 3Delivery without booking in time 4Unloading uncompleted in designated time flame 5Fail to separate goods store by store in lorry 6Fail to bring enough tapes to seal boxes after inspection 7Fail to attach designated indications onto cartons/pallets. 8Fail to follow Loading Requirements 9Fail to bring dockets for rental (Loscam / Chep / etc) pallets 10Fail to collect goods to take back RM10.00/carton/day TBD

31. 31 Category Person In Charge TelephoneE-Mail Delivery Appointment Booking Centre To be advised 09:00 to 18:00 AEON-Booking@tsm.hitachi.com.my Logistic Matter AEON RDC To be advised 24 Hours To be advised Merchandise Matter AEON Merchandiser -- B2B MatterB2B Helpdesk 03–2161 1088 Mon to Fri 09:00 to 18:00 helpdesk@b2b.com.my Other Inquiryaeondcsupplierfeedback@aeonretail.com.my Contact List Remark

32. 32 Supplier’s Acknowledgement Supplier are required to submit the undersigned agreement of the RDC Delivery Requirement by 30 th April 2013. Sample TBD

33. 【 Appendix 】 KL RDC Supplier Manual - Process Guideline & Document Sample - AEON Co. (M) Bhd. ~ Supply Chain Management ~ Ver. 1-1 (Effective Date: 06 th May 2013)

34. 34 Booking to KLRDC 1 1 Security check by Guards 3 3 Register lorry & drivers to KLRDC Office 4 4 Unloading & Merchandises Inspected 5 5 Receive “Receiving Note” 6 6 Arrive RDC 30min before appointment 2 2 Pick up goods to take back, if any 7 7 Inspection by our Security before leaving 8 8 N-1 day Appendix P-1 Appendix P-1 Supplier Delivery Process Appendix P-2 Appendix P-2 Appendix P-3 Appendix P-3 Appendix P-4 Appendix P-4 Appendix P-4 Appendix P-4 Appendix P-5 Appendix P-5 Appendix P-6 Appendix P-6

35. 35 P-1 Booking ProcessDateRemarks Day:N-1 09:00 | 16:00 ※ 1:Every Suppliers are entitled to “GID” or “Normal suppliers” as per volume. ※ 2:Check delivery volume against your quota allocated to each GID ※ 3:Fill up “GID Booking- Form” given. ※ 4:Fill up “Booking- Form” given. ※ 5:Do by mail or fax only. Booking by call is NOT acceptable. Day:N GID Suppliers Delivery to KLRDC on appointed time GID SuppliersNormal Suppliers Check volume No GID Booking FormBooking Form Send to KLRDC Get Booking# Yes Excess Not Excess ※1※1 ※2※2 ※3※3 ※4※4 ※5※5  Booking must be done to Booking Centre within 09:00 -16:00 of 1 working day before delivery time.  Suppliers must check with KLRDC Booking Control Officer, if Booking# are not given after 1 hour after booking. The phone # is : 03-XXX-XXXX  Drivers must arrive and register his lorry to Guardhouse 30 minutes before appointment time.  Cancellation must be done by 16:00 of 1 working day before delivery date booked.  Delivery without booking can be rejected. E-Mail: AEON-Booking@tsm.hitachi.com.my Fax: 03-XXX-XXXX Booking Centre

36. 36 ProcessRemarks ※ 1:Guardhouse check arrival time against appointed time. ※ 2:Guards check lorry spec against KLRDC regulations. Also check lorry sealed by seal (s) with same serial No. as one (s) mentioned on delivery note. ※ 3:KLRDC may reject receiving or allocate last turn of the day. ※ 4:Guards check driver and helpers’ dress against dress code. ※ 5:Leave ID or driving license of ALL persons to enter. ※ 6:Don’t park out of parking area, unless instructed to do so. ※ 7: Only driver go to Office to register. The others must be in lorry until offloading. In-Time Arrival ? Arrive at KLRDC Guardhouse by30minutes before appointment ※1※1 Fill up Register-Form to register driver, helpers & lorry Park lorry in Parking Area Rejected or allocated last turn of the day. Lorry Check Drivers come to Office to register Get 2 copies of Register-Form against ID card or Driving license P-2 Security Check No Yes No Yes ※3※3 ※2※2 ※5※5 ※6※6 ※7※7 Dress Check Yes No ※4※4

37. 37 ProcessRemarks ※ 1: ※ 2: Arrive at KLRDC Office by 15minutes before appointment Take number card and waiting for called in waiting area. P-3 Registration ※1※1 Hand over Register-Form, Delivery Order(D/O) to Office Take assigned bay card from Office Move lorry to designated bay  Approach to area in the warehouse other than waiting area.  Driver waiting out of designated area.  Helpers waiting out of lorry.  Smoking & Eating in KLRDC  Use other toilet than designated.  Stay in waiting area without purpose of waiting for call from KLRDC Office. Restrictions Return-Goods Have Goods Return Note （ GRN) from office Not Have Have

38. 38 ProcessRemarks ※ 1:Inspectors check bay# card and seal number(s) against D/O ※ 2:Driver & helpers offload merchandises by D/O# and open a box by SKU. ※ 3:Inspectors check merchandises separated in lorry and check packing style & AEON carton label pasted on ALL packages. ※ 4:Inspectors can instruct drivers to move off loading bay to re-arrange merchandises. ※ 5:Inspectors check product code & its q’ty of merchandise against D/O, and also check cartons conditions. Driver & helpers seal back boxes after inspection by their own tapes/seals. ※ 6:Lorry to move to Return-Goods bay and collect return-goods, if requested by Office Move lorry to designed bay ※1※1 Hand over Register-Form, D/O to designated KLRDC staff Have Inspector’s acknow- ledgement on Register-Form Move the lorry off from the loading bay and sort merchandises by D/O Check Return-Goods Process P-4-1 Unloading & Inspection : XD Yes No ※3※3 ※5※5 Have KLRDC staff cut seal(s) on lorry Check Driver & helpers offload merchandises onto pallets by D/O ※4※4 Inspection Yes No Column on Register-Form for rejected items filled up by Inspectors OK NG Return-Goods ※6※6 Not Have Have ※2※2 Driver go to Office to have Receive-Note and stamp on Register-Form

39. 39 ProcessRemarks ※ 1:Inspectors check bay# card and seal number(s) against D/O ※ 2:Inspectors check if “Consoli- Indication” on palletized merchandises. ※ 3:Inspectors can instruct drivers to move off loading bay to re- arrange merchandises. ※ 4:Check product code & its q’ty of merchandise against D/O, and also check cartons conditions. ※ 5:Lorry to move to Return-Goods bay and collect return-goods, if requested by Office Move lorry to designed bay ※1※1 Hand over Register-Form, D/O to designated KLRDC staff Have Inspector’s acknow- ledgement on Register-Form Move the lorry off from the loading bay and put “Consoli Indication” Check Return-Goods Process P-4-2 Unloading & Inspection : Consoli Yes No ※2※2 ※4※4 Have KLRDC staff cut seal(s) on lorry Check Driver & helpers offload palletized merchandises by D/O ※3※3 Inspection Yes No Column on Register-Form for rejected items filled up by Inspectors OK NG Return-Goods ※5※5 Not Have Have Driver go to Office to have Receive-Note and stamp on Register-Form

40. 40 P-4-3 Unloading & Inspection : DCSP HTSM

41. 41 7  Violation of RDC Delivery Regulations  Drivers & all helpers don’t attend inspection.  Occupy bays long time due to improper loading of merchandises.  Sorting merchandises for XD in bay and in lorry.  Dispute about RDC’s classification of damage. Restriction Cases may be taken as damaged-goods P-4-4 Inspection Procedures HTSM

42. 42 ProcessRemarks ※ 1: Driver check receiving goods against GRN. Have GRN from Office in Register Offloading merchandises and move to GRN area with lorry RDC staffs correct GRN statements Check P-5 Goods Return ※1※1 Hand over GRN to RDC staff and Receive Goods to take back OK NG Drivers make signature on GRN as receiving acknowledgement Drivers have GRN column on Register-Form filled by RDC staffs Driver go to Office to have R and stamp on Register-Form

43. 43 ProcessRemarks ※ 1:Lorry must come to guardhouse within 10 min. after getting RN. ※ 2:Guards inspect lorry compartment and confirm goods stated on GRN and/or Register form only on the carrier. ※ 3:Guards inspect drivers & helpers’ belongings. ※1※1 Have further instructions from RDC Inspection P-6 Security check before leaving NG ※3※3 Inspection Driver go to Office to have Receive-Note and stamp on Register-Form Move to Guardhouse and hand over GRN & Register-Form to Guards NG OK Have GRN from Guardhouse. Exchange Pass with driving license & ID card of all persons Leave KLRDC ※2※2

44. 44 P-7 Rental Pallets HTSM

45. 45 Sample - Delivery Order : XD 8010 RDC-KL 80101000222966

46. 46 Sample - Delivery Order : Consolidation 80111000245146 8011 RDC-KL RDC-KL (CONSOLIDATION) 8011

47. 47 Sample - Delivery Order : SP 8012 RDC-KL (STOCK POINT) RDC-KL 80121000006342

48. 48 Sample - Appointment Booking Form HTSM

49. 49 Sample - Registration Slip HITACHI TRANSPORT SYSTEM (M) SDN. BHD. (173682-T) HTSM

50. 50 Sample - Receiving Note (RN)

51. 51 Sample - Gate Pass (Exiting the DC) HITACHI TRANSPORT SYSTEM (M) SDN. BHD. (173682-T) JALAN 6C/13, OFF PERSIARAN KEMAJUAN TAMAN PERSIARAN BANGI 43650 BANDAR BARU BANGI SELANGOR DARUL EHSAN. TEL: 03 – 8926 2020 FAX: 03 – 8926 4040 HTSM

52. Draft Update Log DateLog 2013 Jan 14 th 1 st Circulation for review/feedback from SCM (Operation) & Hitachi 2013 Feb 08 th Discussed with HTSM and SCM team during the Friday’s meeting. 2013 Feb 09 th Merged the ‘Requirements’ into the slide after sorting. 2013 Feb 09 th SUGA checking & amend 2013 Feb 13 th HTSM inserts some slide and rearrange order of slides. 2013 Feb 14 th SUGA combined Aeon & Hitachi slide 2013 Feb 14 th WiS added Sample of Carton Sticker & Price Label 2013 Mar 27 th & 28 th *Supplier’s Briefing Session