Blue Diamond AlmondFacts NovDec 2023_web

This issue of Almond Facts highlights Green Business Certified plants, an introduction to our 2021-22 Blue Diamond Growers Foundation scholarship recipients, and the latest from the Director of Sustainability.

NEWS, VIEWS, AND INDUSTRY INSIGHT

NOVEMBER-DECEMBER 2023

Blue Diamond Growers ’ 113 th Annual Growers Meeting

An Example of Partnership: California Manufacturers & Technology Association

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ALMOND FACTS

NOV–DEC 2023

Contents

14 FIELD TEAM 16 ANNUAL GROWERS MEETING 24 NEWS IN A NUTSHELL 30 GROWING THE GOODNESS 34 ADVOCACY REPORT 38 CULTIVATING SUSTAINABILITY 42 IN YOUR ORCHARD 50 CLASSIFIED ADS

Features 6 President’s Corner

30 An Example of Partnership The California Manufacturers and Technology Association is a longstanding partner of Blue Diamond ’s. From media appearances to panel discussions, hear at how we’ve partnered with CMTA this hear and what benefits this valuable partnership brought to Blue Diamond Growers in 2023. 34 Advocacy Report Hear about the Agricultural Council of California’s recent trips to Japan and Spain and how those countries are addressing new climate policies and demands. Plus, take a look at recent updates from California’s legislature and the potential impacts to Blue Diamond and our grower-owners.

Adapted from his 2023 Annual Meeting speech, President and CEO Kai Bockmann’s 113 th Annual Meeting address and his confidence in the co-op’s bright future. 10 Chairman’s Message Adapted from his 2023 Annual Meeting speech, Chairman Dan Cummings talks about Blue Diamond celebrating its 113-year anniversary in remarks adapted from his 2023 Annual Meeting address. 16 113 th Annual Growers Meeting Blue Diamond Growers ’ 113 th Annual Growers meeting was held on November 15 in Modesto, CA. Hear about the different Growers Sessions held, details from the Luncheon and more on the exciting new strategic plan.

ON THE COVER: Happy Holidays! Sharing Blue Diamond Growers goodness around the world.

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NOVEMBER–DECEMBER 2023

BOARD OF DIRECTORS Stephen Van Duyn, Chairman of the Board | Modesto Kent Stenderup, Vice Chairman | Arvin Dan Cummings | Chico Dale Van Groningen | Ripon John Monroe | Arbuckle George A. te Velde | Escalon Nick Blom | Modesto Dan Mendenhall | Winton

Matthew Efird | Fresno Joe Huston | Monterey Kristin Daley | San Francisco

OFFICERS Kai Bockmann, President and CEO Dean LaVallee, Chief Financial Officer/ Chief Operating Officer

ALMOND FACTS STAFF Blue Diamond Growers Communications Department,

communications@bdgrowers.com Jake Sonke, Acting Managing Editor Heather Devaney, Copy Editor Mari Patterson, Contributing Photographer Mel Machado, Contributing Photographer Gray Allen, Advertising Sales 916.783.4334 & 916.765.3234

Blue Diamond , the world’s largest processor and marketer of almonds, exports to over 100 countries.

Almond Facts , established in 1922, is published bimonthly by Blue Diamond Growers , 1802 C Street, Sacramento, California 95811. Address all correspondence to the Editor, Almond Facts , P.O. Box 1768, Sacramento, California 95812. Advertising subscription rates provided upon request. Blue Diamond is a registered trademark and marketing brand of Blue Diamond Growers . Other registered trademarks are The Almond People, Smokehouse, Golden State, Celebration, From the Valleys of California, Confetti and Almond Facts . Blue Diamond Growers does not endorse or verify statements made by advertisers within this publication. Blue Diamond reserves the right to refuse advertising. All rights reserved. Reproduction in whole or in part without written permission is prohibited.

© Blue Diamond Growers 2023

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ALMOND FACTS

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PRESIDENT’S CORNER

“GROWING TOGETHER” ANNUAL MEETING 2023

CEO’s Speech Well, what a year it’s been. I want to offer an enormous thank you to Dan Cummings and the Board for my warm welcome to Blue Diamond and all the support you’ve given me in my first year. Dan has been on the board since Nov. 2006 and has a 30-year history in our industry. We are lucky to have him! Since joining you in January, I’ve spent much of my time visiting your orchards, attending district meetings and getting the opportunity to meet so many of our growers and their families. I’m incredibly grateful for the warm hospitality, the frank conversations and the opportunity to connect on a deeper level with you, our grower-owners. When the Annual Meeting planning team asked me what the theme this year should be, I knew it had to be about Growing Together . When I think of growing together, a major part of what we’re talking about is our strategic plans to really grow our business and provide you with greater returns. I think everyone in this room agrees, it’s been a rough year. We can’t change that. I wish I could. But what we can do is grow this business! What we can do is bring the very best team together to execute a high growth strategy and bring Blue Diamond to more families all over the world.

Kai Bockmann President & CEO

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ALMOND FACTS

To drive this growth, we have a new Executive Leadership team in place with some familiar faces but also some new leaders. Because what worked in the past is not what will work in the future. To create a bigger, better, stronger Blue Diamond , we needed some new talent with specific skill sets.

Our two newest leaders are Carmen Bourgaize and Tony Laurenzana and I’m thrilled to have them both on board. Carmen brings 20 years of food service experience getting products anywhere and everywhere that consumers eat and shop. And Tony’s expertise in identifying prospective partners, and global markets that are ripe for growth, so we can expand our international footprint will be key to our growth strategy. At the Annual Meeting, I sat down with three other leaders, our Chief Growth Officer, Raj Joshi; COO/CFO Dean LaVallee and your VP of Member Relations, Mel Machado to discuss some details behind our strategic growth plan.

We discussed our five core initiatives along with goals and progress in each:

Strengthening our Value-Added Business — Almond Breeze is the #1 almondmilk brand in the U.S. and is growing dominance around the world, especially in South Korea and Brazil. Blue Diamond is also the #1 snack almond brand in the U.S. and we remain fiercely competitive. But right now, we are only in less than 20% of households throughout the country, so we have a lot of runway left. Our goal is to bring in more consumers and increase household share by making our brands top of mind through great advertising and innovative retail placement.

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NOVEMBER–DECEMBER 2023

PRESIDENT’S CORNER

Accelerating our International Footprint — Canada has about 10% of the population of the U.S. therefore we should expect our volume in Canada to be about 10% the size of the U.S. volume.

Canadians have a strong appreciation for almonds and innovative flavors. And no one does flavors better than Blue Diamond . In fact, our Spicy Dill Pickle snack almonds have been extremely popular and have a bit of a cult following at Costco Canada. We have retail distribution on many of our sizes and flavors, but we don’t have our full assortment available yet. So there’s room for us to increase distribution of some of our most popular U.S. flavors and formats, and potentially create custom regional Canadian flavors too. Aggressive Food Service Expansion — Almonds, almond flour and almondmilk play a huge part as key ingredients in many popular foodservice applications. From the almond milk in your coffee, to the almond flour in the baked goods, to the slivered almonds on the salad, there are so many possibilities. Right now, our products find their way into food service through third party distributors. We want to build direct relationships with major accounts. By staying close to the chefs, baristas and buyers who order our products, we’ll be able to leverage Blue Diamond ’s strengths as a competitive advantage.

Drive Innovation — We’re constantly innovating new ways to get more almonds into more households around the world. By diversifying our reach and targeting various demographics, we are increasing our household share. Thin Dipped Almonds launched earlier this year across the U.S. and has captured the hearts and taste buds of our customers. Our new Chilé ‘N Lime won Best Nuts by People Food Awards. And we’ve doubled down on non-dairy expansion efforts to meet evolving consumer preferences.

Our newest innovation, Almond Breeze ® : Almond & Oat will debut in January 2024. This unique blend brings together the deliciousness of almond milk with the creaminess of oat, using the same amount of almonds as we do in Almond Breeze ® products now.

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Operational Efficiencies — A lot goes into running our business of getting almonds to customers around the world. This year more than ever, we’re looking at ways to cut costs in operations. We’re looking at opportunities to save money, through distribution, systems, and administrative duties we do each day. The goal is to do things smarter, and to accomplish more with less. By reducing our costs we can provide a better return for growers as we move forward. In addition to reducing our costs, we’re looking at innovative ways to reduce our growers’ costs of doing business as well. I’m excited to introduce our Growers Connect Marketplace, an innovative group purchasing platform that truly epitomizes the concept of “stronger together” to help our growers reduce input costs. More information will come as that exciting program gets ready for launch.

Lastly, I want to thank you, our growers, for entrusting us with your livelihoods and your wonderful almonds. I won’t let you and your families down. I am beyond grateful to be Blue Diamond ’s CEO and I’m so excited to take us to the next level.

I wish you and your families a Happy Holidays!

Kai Bockmann President & CEO

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NOVEMBER–DECEMBER 2023

CHAIRMAN’S MESSAGE

“GROWING TOGETHER” ANNUAL MEETING 2023

Chairman’s Speech

The theme of our annual meeting and annual report this year was Growing Together . The belief that we are stronger together is the ideal our co-op was founded upon in 1910. My family has been part of this co-op for nearly 100 years. And I have to say, I don’t think I’ve ever seen a more challenging year for us as almond growers. We’ve experienced a combination of weather anomalies that led to significant quality challenges, and economic conditions that created problems for consumers, customers, and growers alike. This has produced weak market conditions and increased our operational costs, as growers, to unprecedented — some would say devastating — levels.

Dan Cummings Chairman of the Board

As one of our member families, the Navarras, shared in the wonderful video shown during the Annual Meeting luncheon, through good years and bad, the strength of our co-op helps sustain our farms, our livelihood. That’s why, despite the crop year we’ve experienced, I’ve never been more optimistic about the future of Blue Diamond . Veterans Day was observed around the country the weekend before Annual Meeting. I want to

acknowledge and thank all the growers and team members throughout Blue Diamond who have served in the military. We are grateful for your service and honored to have you as part of our Blue Diamond Growers family. Each year in recognition of Veterans Day, our Blue Diamond facilities host flag raising ceremonies and special breakfasts for our team members and retirees who are veterans. This year, our Sacramento site also sponsored and hosted a care package assembly event where 30 volunteers packed 50 boxes filled with Blue Diamond products and necessities donated by our employees for troops around the world. Also this past September, Blue Diamond employees participated in Move America Forward’s Annual Pack-a-thon to help assemble an incredible 2001 care packages for troops in remembrance of 9/11.

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ALMOND FACTS

Blue Diamond’s commitment to supporting our troops is especially meaningful to me. My own stepson, Ignacio serves in the 82 nd Airborne Division of the United States Army and is currently stationed in Ft. Bragg. His mother and I are extremely proud of his service to our country. As most of you know I’m a third generation Blue Diamond grower. I’ve had the honor of serving as your District 1 Director since 2006, and Board Chairman since 2014. It has been my extreme pleasure to help lead the co-op in this capacity. However, after 17 years on the Board, I have decided this will be my final term. Following the Annual Meeting, I turned my Chairman’s gavel over to your District 5 Director, Steve Van Duyn who was elected as your new Chair. I plan to spend the remainder of my term assisting Steve through this transition. If we’ve ever shared a conversation, you know that my family is everything to me. As I step away from the Board, I look forward to spending more time with my beautiful wife Yolanda, son Daniel, and the rest of our family in the home we are remodeling in Sevilla, Spain.

Like any healthy organization, the strength of Blue Diamond relies on dedicated leadership in every aspect of our co-op — from our Board of Directors to our Co-Op Leadership Team to our Grower Liaison Committee. I want to congratulate our new Grower Liaisons and returning Board of Directors members who were announced at the Annual Meeting. Thank you all for your commitment to helping lead our cooperative. This time last year, I was leading the search to find a new president and CEO for Blue Diamond Growers . An international executive search firm identified a number of excellent candidates, both inside the co-op and from other companies. Ultimately we chose a leader with exceptional expertise. Someone I consider to be wicked smart and not afraid to make hard decisions. From the moment Kai Bockmann started in January, he hit the ground running with an initial focus of meeting with every board member in every district throughout the state. He was determined to talk with as many of our growers as he could about what you need from your cooperative. Over the last several months, Kai and his Leadership Team have worked tirelessly to identify opportunities to strengthen Blue Diamond ’s product portfolio and substantially grow markets for our almonds around the world. They have developed an aggressive strategic plan and growth trajectory for Blue Diamond over the next three years that we’ve reviewed extensively as a Board. I want to assure you that each member of your co-op’s leadership team is personally committed to executing this strategic plan and driving Blue Diamond ’s success.

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NOVEMBER–DECEMBER 2023

CHAIRMAN’S MESSAGE

A key element of Growing Together is our co-op’s ability to develop and leverage strong partnerships. Over the years, we’ve built relationships with local, state and federal leaders that have helped shape, advance and in some cases protect our industry. One example of the impact made through those relationships is the recent bipartisan effort to secure critical funding for Nickels Soil Lab, the largest almond research facility in the U.S., and a member of our co-op. I want to acknowledge and thank Senator Brian Dahle and Assemblymember Cecilia Aguiar-Curry for successfully earmarking $503,000 for the support of lab operations. One individual in particular, Blue Diamond ’s federal advocate Julian Heron, has forged those crucial relationships and advocated on behalf of Blue Diamond Growers and our industry for more than five decades. I have considered this gentleman a close personal friend for the past 30 years and it was my extreme honor to recognize the extraordinary contributions of Julian Heron during the Annual Meeting. During our special tribute to Julian’s legacy, I was able

to share personal notes from a number of Blue Diamond leaders, including Roger Baccigaluppi, Steve Easter, Susan Brauner, and Clinton Schick. There are few words to describe the immense impact Julian has had on the almond industry, on Blue Diamond and on our growers. We will be forever grateful for his continued dedication and fortitude over the last 50 years. Another essential way we are Growing Together as a co-op is through our commitment to nurturing the next generation of farmers and industry leaders. Blue Diamond fosters leadership in current and future Blue Diamond members and through the industry through several different programs. Since its inception with my inaugural class of 1994, our Blue Diamond Leadership Program has graduated more than 550 members. The night before the Annual Meeting, we honored our 2023 Leadership Program class with a special graduation dinner. Congratulations to all graduates. I’d also like to acknowledge and thank Nick Blom for serving as program Chair this year.

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Another way we nurture the next generation of ag leaders is by providing college scholarships to local high school students through the Blue Diamond Growers Foundation. Since 2011, the Foundation has awarded nearly 200 scholarships to help students in local communities achieve their dreams of a college education. I’d like to recognize John Monroe’s dedication and passion as president of our Foundation. When planning your end of year philanthropic donations, please consider supporting our Foundation. Blue Diamond Growers has a long-standing partnership with Future Farmers of America, or FFA, to help promote education and excellence in agriculture. I’m proud that once again this year we were able to match donations to FFA on Giving Tuesday up to $25,000. With our support, this year the FFA was able to raise $57,630, providing 678 California FFA members with their own iconic blue jackets. Each year I have the privilege of recognizing one Blue Diamond grower for exceptional industry leadership and for going above and beyond to positively represent our Blue Diamond Growers cooperative. This year’s recipient of the Chairman’s Ambassador of the Year award is Kelli Evans. A third generation California farmer, Kelli has dedicated herself to advocating for

California agriculture and giving a powerful voice to almond growers throughout the industry and in government circles. In June, Kelli was selected to serve on the Almond Board of California. She also was recently named the Almond Alliance of California’s Member of the Year and chairs the newly formed Almond Alliance Grower Committee. Kelli also uses her leadership and influence to uniquely tell Blue Diamond ’s story and provide a personal connection with our growers, as one of our most active Blue Diamond Social Media Ambassadors. Congratulations, Kelli, and thank you for your contributions to Blue Diamond . In closing, I want to personally thank those of you who I have partnered with over my last 17 years on the Board. It has truly been an honor.

Dan Cummings Chairman of the Board

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NOVEMBER–DECEMBER 2023

FIELD TEAM

Regional Managers

Vice President, Member Relations Mel Machado

Tehama, Butte, Glenn, Sutter, & Yuba Christine Ivory, (530) 518-9109 Colusa, Yolo & Solano Nicole Jansen, (530) 338-6440 Sacramento County, San Joaquin County, North of Hwy 205 & East of San Joaquin River KC Clendenin, (209) 596-5375 San Joaquin County, West of San Joaquin River & South of Hwy 205 Stanislaus County, North of Tuolumne River & Hwy 132 Justin Elam, (209) 303-7306 Stanislaus County, East of Hwy 99, South of Tuolumne River Austin Jackson, (209) 417-2010 Stanislaus County, West of Hwy 99, South of Tuolumne River, South of Grayson & Howard Road’s West of San Joaquin River Merced County, North of Merced River & Hills Ferry & Stuhr Roads Trent Voss, (209) 470-5981 Merced County, South of Merced River & Hills Ferry Merced County, South of Hwy 140 Madera County, North of Avenue 12, Firebaugh Blvd, Avenue 7½, & W. Nees Avenue Carla Youngblood, (559) 240-0906 Madera County, South of Avenue 12, Firebaugh Blvd, Avenue 7½ & W. Nees Avenue, Fresno County, North of Hwy 201/Avenue 400, North of Conejo Avenue & Kamm Fresno County, South of Hwy 201/Avenue 400, South of Conejo Avenue & Kamm Avenue, East of Derrick Avenue, Tulare County, Kings County, & Kern County Anthony Scudder, (559) 470-9731 Membership Office Jennifer Claussen Supervisor – Member Relations Administration (209) 545-6225 & Stuhr Roads, North of Hwy 140 Kenny Miyamoto, (209) 323-8454 Avenue, West of Derrick Avenue Ashley Correia, (559) 356-1584

(209) 545-6222 – Salida (209) 531-6352 – Cellular Director, Member Relations Ben Goudie (209) 225-0413

Daniel Dekeyrel Member Relations Coordinator (Delivery Tags) (209) 545-6261

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ALMOND FACTS

2023 Grower Liaisons Committee Members

LEGEND

DISTRICT 1

DISTRICT 2 Maryann Warmerdam Don Bransford

Brian Erickson Stacy Gore Jerry Montz Steve Carlos Fred Montgomery

Chairman Vice-Chairman Ex-Officio Director Appointed (Member-at-Large)

Ryan Finnen Brian Cahill Jake Driver Ron Tadlock Jake Spooner

Daniel Varner Greg Overton

Almond Board Alternate Almond Board Director Almond Board Chair

Amy Abele Kelli Evans

Darcy Jones Kevin Davies Timothy Perraie John Nock Meredith Christopher Dan Cummings

Carole M. Cain Catherine Cain Josh Pippit John Monroe Elaine Rominger Gerald Rominger

DISTRICT 3

DISTRICT 4

Don Van Vliet Rick Phillips Louie Tallerico

Kevin Van Laar Rick Morris Paul Adrian Wayne Bruns Tim Roos Mike Ballatore Dawn Price Ian Koetsier Lance Ioppini Wesley Eisenga Matt Visser Rick Van Vliet George te Velde

Mike Bogetti Allen Sipma Bert Van Ryn Rudy Mussi Zack Reinstein Bruce Oosterkamp Donald Drake Noah Andersen Dirk Van Laar Dale Van Groningen John Thoming

For Grower Liaison contact information, please contact your regional manager.

Kevin Fondse Kenneth Roos

DISTRICT 5

DISTRICT 6

DISTRICT 8

DISTRICT 9

DISTRICT 7

John De Visser Manuel Furtado Lucas Van Duyn Grant Ardis

Frank Borba Michael Mora Paul Danbom Eric Genzoli Rod Vilas

Ryan Indart Lee Erickson Norman Pretzer Steve Bains Mike Yager Neil Amaral Mason McKinney Blake Little Colin Unruh Daniel Babshoff Melvin Lubisich Nayiri Saghdejian Matt Efird George Goshgarian Aldo Sansoni

Gurcharan Dhillon Kyle Balakian Keith Gilbert Karamjit Jhandi Mark Tos Benjamin Wilson Paramjit Dosanjh Lisa Marroquin Shaminder S. Brar Gerard A. Loaiza Chris Couture Pete Romanini Kent Stenderup Clinton Shick

Galen Miyamoto Joe Sansoni Jimmi Atwal Louis Bandoni David P. Souza James Ohki Jason Chandler Dan Smith Dan Clendenin Rodney L. Voumard Michael Temnyk Rodney E. Ratzlaff Jr.

Brandon Riddle Mark Giannini Dennis Bowers Arthur Bowman Matt Fredriks Harry (Sonny) Johns Danielle Higby LeBeouf Tim Baker Stephen Van Duyn Neil Van Duyn

Rick Alvernaz Gary Marchy Dirk Van Konyenburg Justin Romero Derek Coelho Robert Mailloux Nick Blom Charles Crivelli III Steve Vilas Bill Brush

Dan Mendenhall Robert J. Weimer

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NOVEMBER–DECEMBER 2023

ANNUAL MEETING

Blue Diamond Celebrates 113 th Annual Growers Meeting On November 15, 2023, Blue Diamond Growers celebrated its 113 th Annual Growers Meeting in Modesto, CA. While discussing the meeting’s theme, “Growing Together,” Blue Diamond President and CEO, Kai Bockmann, reflected on his

first ten months in the leadership role and acknowledged the significant challenges faced by growers and the world’s largest almond cooperative. In Bockmann’s remarks and those of Blue Diamond Growers ’ Board Chairman, Dan Cummings, both pointed to the remarkable headwinds for the almond industry, including higher input costs and inflationary pressures, depressed market prices, shifts in consumer purchasing patterns, unfavorable weather conditions and reduced crop sizes. To help counter these challenges, Blue Diamond Growers is advancing an aggressive strategic growth plan to navigate the marketplace conditions and drive substantial growth. “Volatility is our new normal, but our destination is set — and it is one of growth,” said Bockmann. “While this past year brought many challenges for our growers, no challenge is insurmountable. We have a rich history, an exceptional brand, and the right people and culture to deliver against our ambitious growth plan.” In laying out the plan, Bockmann shared with the audience that the strategies and methods that have helped bring the cooperative to where it is today will not achieve the growth and market expansion vital to Blue Diamond grower- owners’ financial success. The new growth plan prioritizes expansion into the massive foodservice market and other strategically selected international markets, while also strengthening the value-added business, doubling down on product innovation, and driving operational efficiences. “Foodservice is a trillion dollar industry that represents a significant growth opportunity for Blue Diamond , and we will directly target that sector as a strategic priority,” said Bockmann. “Additionally, we will diversify and innovate our product portfolio beyond our flagship Blue Diamond snack nuts and Almond Breeze ® . We will build on the tremendous success of these products — which are both the #1 brands in America for nuts and almondmilk.” Bockmann shared that flavor-focused product innovation remains a top priority, commenting that “no one does flavor like Blue Diamond ,” as proved by the widely popular Chilé ‘N Lime flavored snack nuts. The flavor, which was launched in Walmart this past year as a limited time offer, won the “Best Nuts” award in PEOPLE Magazine’s 2023 Food Awards.

Both Kai Bockmann and Dan Cummings pointed to the remarkable headwinds for the almond industry in 2023. Photo credit: Mari Patterson

“We have a rich history, an exceptional brand, and the right people and culture to deliver against our ambitious growth plan,” said Bockmann. Photo credit: Herta Wright

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(from left to right) Mel Machado, Kai Bockmann, Dean LaVallee and Raj Joshi discuss Blue Diamond Growers’ new Strategic Plan. Photo credit: Herta Wright

Chilé ‘N Lime won the “Best Nuts” award in PEOPLE Magazine’s 2023 Food Awards

The Blue Diamond Innovation team will continue to work with new flavors while advancing new and existing categories, including plant-based yogurt, chocolate, baking, beverages and plant-based cheese. On the foodservice front, the strategic growth plan focus is already delivering results. The Blue Diamond International Consumer and Innovation teams worked closely with a strategic partner in South Korea in the past year to develop Almond Breeze ® Barista Blend, which was introduced in 6,500 Starbucks across China earlier this year. “I’m confident that Blue Diamond Growers is poised to thrive in the years to come because we are stronger together,” said Bockmann. “We are excited to grow together as we bring our strategic plan and collective vision to life.” Supporting Grower Success and Advancing Sustainability In addition to tackling the marketplace challenges with strategy, innovation and expansion, Blue Diamond Growers also created a new grower-focused buying coalition. To help connect growers with trusted, well-known suppliers and build local, long-term relationships, Blue Diamond’s Growers Connect Marketplace aims to reduce input costs for farmers by negotiating better discounts with suppliers via group

Almond Breeze ® Barista Blend was introduced in 6,500 Starbucks across China earlier this year

purchasing organizations and the co-ops’ own internal platform. The goal of the marketplace is to reduce growers’ input costs by 5-15%.

Additionally, a notable highlight from the year is Blue Diamond Growers ’ advancements in sustainability. To continue growing the cooperative’s commitment to stewardship, Blue Diamond ’s Member Relations team held several online webinars encouraging grower participation in Blue Diamond ’s Orchard Stewardship Incentive Program (OSIP), a program where growers can earn financial incentives for implementing best practices related to orchard management, environmental issues, occupational health and safety, and community investment. These webinars also hosted the

Blue Diamond’s Growers Connect Marketplace aims to reduce production costs for farmers by negotiating better discounts with suppliers

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NOVEMBER–DECEMBER 2023

ANNUAL MEETING

Almond Board of California Almond Stewardship Platform and technical partners, the Pollinator Partnership and Project Apis m ., to discuss and educate growers on Bee-Friendly Farming. In July of this year, the U.S. Department of Agriculture (USDA) awarded Blue Diamond a five-year, $45 million “Partnerships for Climate-Smart Commodities” grant, a program designed to help farmers implement climate-smart practices on their land. The program offers growers no-cost cover crop seed and a financial incentive to plant cover crops and/or conservation cover on their land. These practices not only work toward taking carbon out of the atmosphere, but they also enhance

orchard biodiversity and improve soil health. The USDA Climate-Smart grant complements Blue Diamond’ s OSIP by lowering the cost of implementing the pollinator-friendly practices required to receive Bee-Friendly Farming certification.

Blue Diamond Announces New Board Chairman and Industry Recognitions In addition to sharing a vision for the future and highlights from the past year, Blue Diamond Growers announced a new Board Chairman and recognized the efforts of industry leaders.

Steve Van Duyn was elected to serve as the new Blue Diamond Board Chairman. Van Duyn is a longtime almond farmer and Blue Diamond grower who has served on Blue Diamond Growers ’ Board of Directors, representing District 5, since 2005 and served as Vice Chair since 2021. Van Duyn is the owner, president, and CEO of Van Duyn Family Farms in Ripon where he and his family grow almonds, walnuts, grapes and cherries. Van Duyn enters his role as newly elected chairman from current Board Chair, Dan Cummings — a third-generation almond farmer from Chico — after a distinguished 17 years of service on the Blue Diamond Board. “We cannot underestimate the incredible impact that Dan has had on the success of Blue Diamond Growers during his leadership on the board,” said Bockmann. “His wisdom, dedication, business accumen, global industry knowledge and steadfast commitment to progress — in any marketplace condition — has served the growers of Blue Diamond incredibly well and will be positively felt for many years to come. As Dan transitions leadership to Steve Van Duyn we are excited for the start of this new chapter and working together to carry on the legacy of service that Dan so admirably exemplified.”

Steve Van Duyn enters his role as newly elected Board Chair. Photo credit: Gerry McIntyre

In addition to the new Board Chairman announcement, long-time industry champion, Julian Heron, was recognized for his remarkable leadership on behalf of Blue Diamond Growers . As a long-time, highly influential advocate, Heron is credited with advancing Blue Diamond Growers ’ voice and positions in Washington, D.C. for more than five decades. Among his many accomplishments are creation of the Market Access Program (MAP), a program that has benefited Blue Diamond Growers and countless other agricultural entities over the years. Heron was also instrumental in securing high-profile Blue Diamond Grower s’ representation on Presidential Advisory Boards during the Reagan, Bush and Clinton administrations to ensure Blue Diamond Growers had a seat at the table at the highest levels of federal decision making and policy-related input. Also participating in the recognition was Julian’s colleague, Lynn Jacquez, who will help lead Blue Diamond ’s federal advocacy initiatives moving forward.

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Kelli Evans was named the 2023 Chairman’s Grower Ambassador of the year. Evans is a third-generation Hispanic almond and rice farmer from Live Oak, CA. She is a staunch advocate for the almond industry in California and has served in numerous leadership roles and committees in support of Blue Diamond Growers and the almond industry. Additionally, Evans is highly visible on her social media platforms, advancing education and understanding about the agriculture industry. “Without question, it has been a challenging year, but the loyalty and leadership demonstrated by deeply committed individuals — such as Julian and Kelli — along with our current and incoming board leadership coupled with the dedication of Blue Diamond employees, will allow us to overcome these challenges together,” said Cummings. “I’m confident Blue Diamond will deliver great prosperity and a sustainable future for our growers, employees, their families, and the communities we call home.” Blue Diamond Annual Report Now Available In conjunction with the Annual Growers Meeting, the Blue Diamond Growers 2023 “Growing Together” Annual Report is now available on the Blue Diamond website at www.bluediamond.com/press/

Long-time industry champion, Julian Heron, was recognized for his remarkable leadership on behalf of Blue Diamond Growers. Photo credit: Mari Patterson

innovation stewardship retail placement collaboration resources partners growth future generations new products management resilience innovation stewardship retail placement collaboration resources partners growth future generations new products management resilience

Kelli Evans was named the 2023 Chairman’s Grower Ambassador of the year. Photo credit: Mari Patterson

2023 Annual Report

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NOVEMBER–DECEMBER 2023

ANNUAL MEETING

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ALMOND FACTS

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NOVEMBER–DECEMBER 2023

ANNUAL MEETING

ANNUAL GROWERS MEETING GROWER SESSIONS

Sustainability: Translating Orchard Stewardship to Market Value At Blue Diamond , sustainability provides an opportunity for growth. Customers who use our almonds to manufacture cereals, chocolate, snack bars and more are asking their almond suppliers to align with federally mandated and consumer-driven sustainability goals. Consumers who buy our snack almonds and Almond Breeze ® products expect brands to reflect their sustainability values. Dr. Dan Sonke was joined by other Blue Diamond sustainability and

marketing experts to discuss how Blue Diamond ’s Orchard Stewardship Incentive Program (OSIP) and the USDA Climate-Smart Grant are driving returns for our grower- owners. Panelists from Blue Diamond Growers : •  Dr. Dan Sonke , Sr. Director of Sustainability (Moderator) • Erik Stanek , Sustainability Specialist • Sarb Dhanjal , Sr. Director of Consumer Insights Analytics and Advocacy • Jasdeep Bains , Sustainability Specialist • Loretta Kelly , Director of Global Strategic Marketing Deep Dive on Navel Orangeworm With record Navel Orangeworm (NOW) numbers inflicting severe damages on an already struggling almond harvest, Blue Diamond ’s receiving stations saw incredible numbers of low-quality, worm-eaten almonds statewide. Mel Machado sat down with other industry professionals to discuss how the almond industry arrived at such high levels of NOW in 2023 and how growers can alleviate NOW issues in the future.

Sustainability: Translating Orchard Stewardship to Market Value. Photo credit: Mari Patterson

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ALMOND FACTS

Panelists: •  Mel Machado , Vice President of Member Relations, Blue Diamond Growers (Moderator) • Dr. Joel Siegel , Research Entomologist, US Department of Agriculture/Agricultural Research Service • Trent Voss , Regional Manager, Blue Diamond Growers • Carla Youngblood , Regional Manager, Blue Diamond Growers Growers Connect Marketplace Blue Diamond ’s Procurement Team is creating a new platform that provides our members lower prices and larger

Deep Dive on Navel Orangeworm. Photo credit: Mari Patterson

discounts on a wide range of products, services and inputs. Blue Diamond ’s Coe Hawkins and others discussed how the Growers Connect Marketplace combines Blue Diamond ’s procurement experts with grower insights to offer reduced discounts, higher rebates and other cost-saving mechanisms to Blue Diamond ’s grower-owners on a variety of commonly used materials, consumable products and other agricultural needs.

Presenters: • Coe Hawkins , Director of Procurement and Global Sourcing, Blue Diamond Growers • Ben Goudie , Director of Member Relations, Blue Diamond Growers • Joe Barnett , Director of Global Supply Technologies, Blue Diamond Growers • Kelli Evans , Grower, Blue Diamond Growers

Growers Connect Marketplace. Photo credit: Herta Wright

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NOVEMBER–DECEMBER 2023

NEWS IN A NUTSHELL

Blue Diamond Growers does not endorse or verify statements made by advertisers within this publication.

BLUE DIAMOND INVESTMENT PROGRAMS Current Investment Rates available as of August 1, 2023

Blue Diamond Growers offers members short-term and long- term investment programs. The objective of these programs is to serve as a competitive investment alternative for our members and provide Blue Diamond Growers with a steady source of funds. The interest rates effective August 1, 2023, for the program are listed here:

Short-Term Investment Certificate (STIC)

Long-Term Investment Certificate (LTIC) (Maturity Date of 6/30/2026)

Initial Investment Required

$1,000

$50,000

Interest Rate

6.25%

4.25%

(Variable, subject to change)

(Fixed rate)

For more information, contact your local Regional Manager, or Member Services at (209) 545-6225.

This summary does not constitute an offer to sell or a solicitation to purchase investment certificates. We will provide a package of documents for the programs to those members who are California residents and who express an interest in participating in the program.

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ALMOND FACTS

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25

NOVEMBER–DECEMBER 2023

NEWS IN A NUTSHELL

#WeAreBlueDiamond2023 Social Media Activity We’ve had a busy few months! Our Regional Managers hosted a booth at the first annual Spotlight Ag Conference, where we had the opportunity to connect with ag industry experts. To celebrate National Farmers Day our office staff passed around a fun sign that said, in no uncertain terms, “WE LOVE OUR GROWERS!”

Thanks to the USDA Climate-Smart Grant, we were able to host cover crop field days with our technical partners, Project Apis m ., where growers learned the ins and outs of cover crop maintenance. We highlighted various Blue Diamond employees who go the extra mile and work to make Blue Diamond Growers a successful cooperative and a great place to work. During the Thanksgiving season, we highlighted bluediamond.com , where you can many tasty recipes that use almond ingredients. To celebrate Giving Tuesday, Blue Diamond partnered with California Future Farmers of America (FFA) to provide over 650 iconic blue jackets to California FFA members.

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ALMOND FACTS

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NOVEMBER–DECEMBER 2023

NEWS IN A NUTSHELL

Apple Cinnamon Cream Cheese Muffins Time: 45 minutes Difficulty: Easy Servings: 12

Ingredients • 2 cups complete (just add water) pancake mix (plain or honey wheat) • ¾ cup Almond Breeze ® Vanilla Almondmilk • ¾ cup sugar • 1/3 cup vegetable oil • 1 tsp. almond extract • 1 tsp. cinnamon • ¾ cup peeled, chopped green apple • 1/3 cup dried cranberries (optional) • 4 oz. Neufchatel or regular cream cheese (dairy or non-dairy), torn into 1/2-inch pieces • cup chopped Blue Diamond Honey Roasted Almonds ( optional )

Directions 1. Preheat oven to 375°F and line 12 muffin cups with paper liners. 2. Stir together pancake mix, Almond Breeze ®, sugar, oil, extract and cinnamon in a medium bowl. Lightly stir in apples, cranberries and cream cheese. 3. Spoon into prepared cups and sprinkle with almonds. Bake for 20 to 25 minutes or until a toothpick inserted into the center comes out clean. Let cool then store in a covered container with a loose fitting lid. Muffins may be frozen. To reheat, leave wrapped muffins on the counter overnight, or microwave a frozen muffin on 50% power for about 20 seconds.

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ALMOND FACTS

Dairy Free Holiday Sugar Cookies Cook Time: 25 minutes Difficulty: Easy Servings: 48

Ingredients Cookies: • 1 cup butter flavored vegetable shortening • 1 cups sugar • 1 egg • 1 tsp. vanilla extract • 2 ¾ cups all-purpose flour • 1 tsp. baking soda • tsp. baking powder • ¼ tsp. cream of tartar • 3 to 4 tbsp. Almond Breeze ® Original Almondmilk, divided • Decorator sugar or sprinkles Icing: • 4 cups powdered sugar • ¾ cup vegetable shortening • 1 tsp. vanilla extract • 3 to 4 tbsp. Almond Breeze ® Vanilla Almondmilk • Food coloring Directions 1.  Heat oven to 375°F. Line cookie sheets with parchment paper. 2.  In large bowl, beat 1 cup shortening, sugar, egg and vanilla with electric mixer on medium speed until creamy, scraping sides of bowl if necessary. Add flour, baking soda, baking powder and cream of tartar. Mix on low speed until well mixed. Add 2 tablespoons of Almond Breeze and beat until smooth. 3.  Form into 1¼” balls, using rounded tablespoonfuls of dough. Place 2 inches apart on cookie sheets. Spray flat bottom of measuring cup or drinking glass with cooking spray; dip in sugar. Press each cookie flat, dipping into sugar every other time.

4.  If desired, lightly brush tops of cookies with remaining Almond Breeze and sprinkle with colored decorator sugar or sprinkles or leave plain and frost when cooled.

5.  Bake 8 to 10 minutes or until edges start to brown. Cool on cookie sheets 2 minutes. Remove to cooling racks.

6.  In large bowl, beat powdered sugar, ¾ cup shortening, vanilla and 3 tablespoons of Almond Breeze with electric mixer on low speed until moistened. Beat on medium-high speed until smooth and creamy, adding Almond Breeze for desired spreading consistency. Tint as desired with food coloring.

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NOVEMBER–DECEMBER 2023

GROWING THE GOODNESS

An Example of Partnership: The California Manufacturers and Technology Association As a global brand and grower-owned cooperative, Blue Diamond has a long history of building robust networks and partnerships with other organizations and businesses in the industry. These relationships establish us as an industry leader in both agriculture and business. A key part of that leadership is our participation in and membership of industry associations, which are organizations that provide advocacy, coalition building, information-sharing, and leadership for their members. Blue Diamond belongs to several associations, all of which play an important role in our business and the ability to leverage the united voice of the industry at the state and federal levels. The California Manufacturers and Technology Association (CMTA) is one of the associations Blue Diamond has partnered with. CMTA works to create and enhance a strong business climate for California’s manufacturers, processors and technology-based companies. The organization has worked with the state government to develop balanced laws, effective regulations and sound public policies that stimulate economic growth and create new jobs while also safeguarding the state’s environmental resources. Since Blue Diamond joined CMTA, the association has helped to increase Blue Diamond Growers ’ brand visibility and has helped to safeguard our operations through effective advocacy here in California.

In August, Blue Diamond ’s Vice President of Manufacturing, Jeff Hatfield, joined CMTA President and CEO, Lance Hastings, in an on-air interview with Fox 40 to discuss manufacturing at Blue Diamond . That same month, CMTA Communications Vice President, Ananda Rochita, toured Blue Diamond grower Mike Doherty’s farm, learning more about the almond growing process and featuring Doherty and Blue Diamond on CMTA social media to highlight the manufacturing side of the almond industry.

In August, Hatfield joined CMTA’s Lance Hastings in an on- air interview with Fox 40 to discuss manufacturing at Blue Diamond.

CMTA’s Ananda Rochita, toured Doherty’s farm in August, learning more about the almond growing process, featuring Doherty on CMTA’s social media pages. Photo credit: Jake Sonke

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ALMOND FACTS

GROWING THE GOODNESS

Hatfield was featured as a panelist at CMTA’s MakingCA conference, discussing manufacturers’ perspective on workforce needs and employee development. Photo credit: CMTA

Most recently, CMTA hosted the MakingCA conference this past October to celebrate National Manufacturing Day and bring together policy makers and California- based manufacturers from across the state. Blue Diamond ’s Hatfield was featured as a panelist at the conference, discussing manufacturers’ perspective on workforce needs and employee development. Through these panels and conversations, attendees discussed important issues and topics in the industry and highlighted their needs and concerns to policy makers in the room. In addition to its expertise in media and industry engagement, CMTA is an invaluable asset to manufacturers in California. With thousands of bills moving through the state legislature each year, it is important that Blue Diamond and the manufacturing industry have a pulse on the

potential impacts of incoming legislation and regulations. CMTA’s team of policy and lobbying experts are incredibly effective, leveraging their influence and expertise to support or mitigate bills. A recent CMTA success this year included a veto of AB (Assembly Bill) 316, a law placing weight limitations on autonomous heavy-duty vehicles. Blue Diamond is grateful for CMTA and their efforts this year. Their interactive approach to partnership and industry engagement have provided us with new ways to showcase the cooperative, increase our brand awareness, support our operations, and safeguard manufacturers, like Blue Diamond , from troublesome legislation. Partnerships like these are an invaluable asset to Blue Diamond and our ability to support and protect the cooperative and our grower-owners.

Beth Miller, Government Affairs Intern, Blue Diamond Growers

Mallorie Hayes, Government & Public Affairs Manager, Blue Diamond Growers

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ALMOND FACTS

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Blue Diamond Growers does not endorse or verify statements made by advertisers within this publication.

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NOVEMBER–DECEMBER 2023

ADVOCACY REPORT

Lessons Learned During International Delegation Travel and Connections to California Advocacy

In 2023, I had the privilege of joining two separate delegations of business and agricultural leaders seeking to gain a greater understanding of global energy and climate issues.

Trade Mission to Japan On the trade mission to Japan this past spring, I participated in meetings alongside California’s Lieutenant Governor Eleni Kounalakis, California Department of Food and Agriculture (CDFA) Secretary Karen Ross, Blue Diamond ’s Alicia Rockwell and others.

Japan’s Smart Energy Week coincided with our trip, and the nation highlighted their

Emily Rooney with Lt. Gov. Eleni Kounalakis, CDFA Secretary Karen Ross, GO-Biz Director DeeDee Myers, Blue Diamond’s Alicia Rockwell and ag industry leaders. Photo credit: Ag Council of California

commitment to be carbon neutral by 2050. Similarly, California is committed to achieving carbon neutrality by 2045 through greenhouse gas emission reductions and the removal of carbon dioxide from the atmosphere. Japan is advancing smart and sustainable energy solutions through innovative technologies. In my observation, Japan is more focused on tangible progress in areas that are often neglected in California. Importantly, and my personal favorite, was the use of biomass energy. Public and private Japanese funding is being dedicated to biomass initiatives, showing a commitment to moving the technology forward, advancements that we would like to replicate here in California. Delegation to Spain In October I participated in a delegation led by Secretary Ross to Spain regarding climate-smart agriculture and connected with our Spanish counterparts over the issues we face in California. Spain is embarking on research over the next few years to attempt to measure carbon emissions at the farm level. The Institut Valencia d’Investigatacions Agraries (IVIA), an agricultural research entity, is one of the participants in this research and I am eager to learn more about the findings. As we discussed Governor Newsom’s signing of Senate Bill (SB) 253, a bill that requires significant emissions reporting, the IVIA director quipped, “the farmers are not going to like that.” At least in this space, it seems we have a universal language. SB 253 requires businesses with over one billion dollars in annual revenues to report not only direct (Scope 1) and indirect greenhouse gas emissions (Scope 2), but also supply chain emissions (Scope 3). The Ag Council advocated

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