2022 SDP Transformation Tool Kit

This second iteration of our transformation tool kit is a live document we will continue to update to provide you context, details, and contacts for our transformation in 2022!

SUPPLY CHAIN TRANSFORMATION: An Integrated Self-Distribution Model for the Future

GUIDE FOR SUPPLIERS 2022 Edition - Updated August 2022

SUPPLY CHAIN TRANSFORMATION: An Integrated Self-Distribution Model for the Future

TABLE OF CONTENTS: A MESSAGE FROM BOB L’HEUREUX, VICE PRESIDENT, ADUSA SUPPLY CHAIN SERVICES..........................3 FACILITY TRANSITIONS TIMELINE.............................................................................................................................4 SUPPORT OF ALL AHOLD DELHAIZE USA COMPANIES........................................................................................6 NEXT-LEVEL COLLABORATION WITH SUPPLIERS.................................................................................................7 CRITICAL ITEM CALLOUTS DC REPLENISHMENT/PURCHASING................................................................................................................8 DATA VALIDATION...............................................................................................................................................9 ELECTRONIC DATA INTERCHANGE (EDI)......................................................................................................10 ACCOUNTS PAYABLE.......................................................................................................................................11 ACCOUNTS RECEIVABLE................................................................................................................................12 LOGISTICS..........................................................................................................................................................13 GENERAL INFORMATION / RETAIL BUSINESS SERVICES VENDOR PORTAL...................................................14 TRANSFORMATION CHECKLIST..............................................................................................................................14 2022-23 FACILITY TRANSITION SPECIFICS & TIMELINES 2022 VENDOR TIMELINE AT-A-GLANCE.........................................................................................................16 BETH, PA. GROCERY.........................................................................................................................................20 YORK, PA. GROCERY........................................................................................................................................22 FREEZER SOUTH - MOUNTVILLE, PA.............................................................................................................24 APPENDIX: FACILITY DOCUMENTS & FORMS BETH, PA. GROCERY.........................................................................................................................................26 YORK, PA. GROCERY........................................................................................................................................32 FREEZER SOUTH - MOUNTVILLE, PA.............................................................................................................38

A MESSAGE FROM BOB L’HEUREUX

GUIDE FOR SUPPLIERS 2022 Edition Updated August 2022

Dear Valued Supplier, As we head into 2022, we’ll be well past the mid-point of work across Ahold Delhaize USA companies to transform the supply chain to an integrated self-distribution model for the future. As you know, this transformation is an integral part of enabling all Ahold Delhaize USA companies to deliver for Connected Customers – whenever, wherever, however they choose to shop – and position each brand, and your companies for continued omnichannel growth. As this journey continues, Ahold Delhaize USA companies recognize the important role of strong relationships and partnerships with the supplier community, and inside the supply chain, we are taking active steps to help you navigate the various aspects of the transformation, especially the transition of facilities into the self-managed network. This second edition of the Supply Chain Transformation Vendor Toolkit is one of many examples. In the subsequent pages, you will find comprehensive information to help guide you through the 2022 facility transitions, including the specifics around facility transitions and the context, scope, timing, and details of each. As new information becomes available, this document will also evolve. Please be sure to check the link regularly to access up-to-the-minute information. Key facility transition items are also reinforced through Ahold Delhaize USA companies’ monthly supplier updates. If you’re not already subscribed to the Vendor Portal, I encourage you and your team to sign up. Registration takes less than a minute, and access is granted instantly. Within the Vendor Portal, you can find a Self-Distribution tile, which houses this toolkit and many other tools and resources related to the supply chain transformation. If you need additional information or have suggestions for ways we can continue to enhance our partnership, please reach out to any of the contacts found in this toolkit or your brand category representatives. We look forward to continuing to drive mutual business growth and appreciate your support as we together optimize the capabilities of one of the largest supply chain networks on the East Coast. Bob L’Heureux Vice President, ADUSA Supply Chain Services

“Ahold Delhaize USA companies recognize the important role of strong relationships and partnerships with the supplier community, and inside the supply chain, we are taking active steps to help you navigate the various aspects of the transformation, especially the transition of facilities into the self-managed network.”

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

FACILITY TRANSITIONS TIMELINE

2022

FEB

MAY

FACILITY NAME:

Beth Grocery

York Grocery

LOCATION:

Bethlehem, PA.

York, PA.

FIRST SHIP:

Feb. 27, 2022

May 1, 2022

START VENDOR OUTREACH:

May 2021

June 2021

START POs:

Jan. 17, 2022

Feb. 28, 2022

TEMP STATE:

Grocery

Giant Food and The GIANT Company

Stop & Shop and The GIANT Company

BRAND SERVED:

Current Network Facilities: • S. Portland (S. Portland, Maine) • Winthrop (Winthrop, Maine) • Schodack (Schodack, N.Y.) • Dunn (Dunn, N.C.) • Greencastle (Greencastle, Pa.) • Butner (Butner, N.C.)

• Salisbury (Salisbury, N.C.) • Dispuntanta (Dispuntanta, Va.) • Elloree (Elloree, S.C.) • Saco Freezer (Saco, Maine) • Hanover (Hanover, Md.) • Jersey City (Jersey City, N.J.)

• Fresh Meat (Camp Hill, Pa.) • Fresh Meat (Rhode Island) • Central Kitchen (Rhode Island) • Freetown Grocery (Freetown, Mass.) • Freetown Fresh (Freetown, Mass.) • Mauldin (Mauldin, S.C.)

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

FEB 2023

2023

Chester Perishable

Freezer South

Freezer North

INTEGRATED NETWORK Bringing Self- Distributed ADUSA Brand Center Store Volume To: 85%+

Mountville, PA.

Plainville, Conn.

Chester, N.Y.

Feb. 2023

2023

Nov. 2021

2023

Aug. 15, 2022

2023

Frozen

Perishable

Giant Food and The GIANT Company

Stop & Shop

• Jessup (Jessup, Md.) • Manchester (Manchester, Conn.) • Carlisle (Carlisle, Pa.) Current Network Facilities:

Facilities Supporting Network in 2023 and Beyond: • Beth 4 (Bethlehem, Pa.) - C&S Facility

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

To truly transform into an integrated model that drives omnichannel growth, new ways of working are required within Ahold Delhaize USA companies and with supplier partners. Each of Ahold Delhaize USA’s companies is committed to the success of the transformation. Brand category teams continue to serve as your contact for their brand’s unique merchandising and retail strategies and decisions. Other topics, however, are now unified into new models of collaboration supported by all companies to enable stronger partnerships with suppliers and greater ease of doing business. SUPPORT OF ALL AHOLD DELHAIZE USA COMPANIES

“Above and beyond all benefits, in my mind, is simplicity of engagement. Having the distribution network managed completely in-house will greatly simplify the way our companies collaborate on supply chain solutions. It will also enable the efficient identification of solutions that will ultimately improve the customer experience for Hannaford and each of Ahold Delhaize USA’s local brands.” Peter Forester, Senior Vice President, Merchandising, Hannaford

To succeed, we need to connect our mutual businesses in the omnichannel world. At Stop & Shop, we’re eager to partner with vendors and across Ahold Delhaize USA companies to drive our businesses and leverage our relationships to their fullest potential as we think about collaborative partnerships for 2022 and beyond. The commitment to self-distribution is a clear indicator that Ahold Delhaize USA is investing for long term, sustainable growth, which will support the changing needs of our consumers and our supplier partners. It’s a big lift, but we know we will make it happen! We value your support in helping us continue this journey in the coming months.

Pete Poutre, Senior Vice President, Category Management, Stop & Shop Jeffrey Dichele, Senior Vice President, Category Management, Stop & Shop

“Having clear line of sight to key metrics such as inventory levels, in-bound and out-bound volumes, and demand planning enables Food Lion to serve our customers using real-time data. This visibility and flexibility enable a nimbleness that is critical in today’s environment. As I look ahead, an integrated supply chain will allow the brands to leverage assets across the East Coast, improve service levels and product availability for customers and will make the

companies of Ahold Delhaize USA easier to work with day in and day out.” Geoff Waldau, Executive Vice President, Merchandising, Food Lion

“When the supply chain is integrated, the benefits this will yield, not only to The GIANT Company, but to our vendor partners, will be game changing. The strategic advantages this transformation will afford energizes me the most. I envision a world that will enable The GIANT Company to be much more nimbler and more responsive to the evolving needs of our customers.” John Ruane, Senior Vice President, Merchandising, The GIANT Company

“What most excites us about this work is the direct connection and collaboration Giant Food can achieve, especially on planning and measuring execution. COVID-19 is a great example of how multiple parties slow down the ability for us to quickly pivot, leverage our network and serve our communities. Our move to self-distribution will not only make Giant Food more responsive and more effective in the future, but will also enable Giant Food to deliver on our promise to our customers of Fresh & Full every day.”

Diane Couchman, VP, Category Management, Giant Food Richard Manzi, VP, Category Management, Giant Food

“When you think about the omnichannel experience, it’s not just about shopping online or on your mobile device. It’s the integrated customer experience – where they are connected to their local brand and get the same personalized experience on their phone, on the web and in stores. At the heart of delivering that is the supply chain. This transformation sits at the center of Ahold Delhaize USA companies’ abilities to thrive in an omnichannel marketplace.” Bobby Watts, Head of eCommerce Merchandising, Peapod Digital Labs “Over the past five years, Ahold Delhaize USA companies have been on a journey that began with one of the most successful merger integrations in the grocery industry. We stood up great local brands and services companies to continue to deliver for customers locally and began work to leverage collective size and scale. Now, we’re in the next phase of our transformation: becoming leading omnichannel retailers through our Connected Customer Strategy. Together, with great partners, we have tremendous opportunity to build new, innovative programs that deliver on our customers’ expectations and beyond.” Tonya Herring, Senior Vice President, Omnichannel Development, Peapod Digital Labs “Ahold Delhaize USA companies already run one of the most expansive supply chains on the East Coast. We’re scaled and we’re continuing to grow. That scale brings tremendous opportunities. But to bring these new opportunities to life, we need to think – and operate – in new ways to realize the potential for mutual growth with suppliers that this transformation brings.” Lee Nicholson, Senior Vice President, Procurement, ADUSA Procurement

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

In June 2020, a new procurement function was launched to support the transformation to an integrated self- distribution supply chain model. More than a year later, this function is driving a new level of collaboration with suppliers, allowing Ahold Delhaize USA companies to engage as retailers of choice with the vendor community. Engagement with these programs is at the forefront of enabling both Ahold Delhaize USA companies and suppliers to achieve mutual omnichannel growth. NEXT-LEVEL COLLABORATION WITH SUPPLIERS

The ADvantage Program - advantagesupportcenter@adusaprocurement.com ADvantage Support Center - https://rbsprod.service-now.com/vendor_csm

The ADvantage Program officially launched in January 2021 and participating vendors are seeing their needs addressed through an enhanced focus on collaboration and growth, driving a true lasting ADvantage for vendors, consumers, and the local brands of Ahold Delhaize USA.

Participating vendors are collaborating with the ADvantage Partner Team and working cross-functionally on joint initiatives, realizing wins in areas that include supply planning, new item launch, unsaleables reductions, on-shelf availability improvements, network efficiency creation, inventory management and more. Additionally, ADvantage vendors are receiving enhanced reporting and scorecarding of key supply chain performance metrics, have access to the ADvantage Support Center for expedited issue resolution and streamlined connectivity to the entire ADUSA organization, and have opportunities to participate in a variety of dynamic forums that include access to Ahold Delhaize USA leadership from key areas such as category and supply chain. By the end of 2021, vendors will be able to access a dynamic version of the scorecard through PowerBi, giving them access to detailed, drillable metrics to drive performance improvements and identify areas of opportunity. Plans for 2022 and beyond are under way and include Vendor Collaborative Discovery Sessions on strategic topics, launching a cross-vendor council to build awareness of industry best practices, and further expansion of our GlobalWorx program with the DSD vendor community. The DSD program is currently collaborating with suppliers to build sustainable partnerships and drive improvement to key metrics measured for accountability. The partnership with GlobalWorx provides an extensive amount of data to leverage for implementing timely, astute actions. Quality data enhances smart decisions related to procurement and helps identify gaps, areas of strength, and assess supply chain risk more effectively. The reporting shared collaboratively allows suppliers to engage with the category team, field team and ADUSA Procurement team to maintain lower inventory levels, reduce OOS levels and gain visibility into dynamic reporting of vendor performance. The benefits of increased transparency and trust create clearer two-way feedback, enhanced awareness of expectations and a friction-free engagement. The DSD program is planning to enhance the offerings to the ADUSA vendor partners and continue to evolve around the GlobalWorx platform. Efficiency Programs - Efficiency.programs@adusaprocurement.com Through Efficiency Programs, Ahold Delhaize USA companies and supplier partners maximize efficiencies through purchasing and logistics behaviors. Ahold Delhaize USA companies consider efficiency program offers on an ongoing basis and look forward to partnering more closely in this area. Alternative Sourcing - programsourcing@adusaprocurement.com Through Alternative Sourcing, Ahold Delhaize USA companies partner with vendors on investment buy programs – forward buys, seasonal preparedness buys and quarter/year-end buys. The Alternative Sourcing team is here to assist with any nontraditional sourcing opportunities. Vendor Inbound Compliance - VIC Support Center: https://rbsprod.service-now.com/vendor_csm The VIC Program is focused on creating efficient work environments for associates and vendor partners at the distribution centers of the companies of Ahold Delhaize USA, as well as better in-stock conditions throughout the supply chain. By focusing on load conditions and service levels we can greatly improve the customer experience at our great local brands. Unsaleables/Reclaim - Unsaleables@adusaprocurement.com The Unsalables Team is dedicated to the reduction of unsaleable merchandise within our brands. The team works closely with Category teams at each brand, as well as with Vendor Partners, to analyze performance, identify root cause and to create mitigation plans effectively reducing overall cost to serve. Commercialization - Commercialization@RetailBusinessServices.com Through Commercialization, Ahold Delhaize USA companies seek to develop new and innovative ways to partner with the vendor community. We invite vendors to engage the commercialization team with ideas and opportunities to improve supply chain interactions, as well as create new endeavors and partnerships.

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

CONTACT INFORMATION AT A GLANCE

DEPARTMENT Accounts Payable Accounts Receivable

CONTACT INFO

RBS.Solutions@Retailbusinessservices.com RBS.Solutions@Retailbusinessservices.com sdpfrdatavalidation@adusaprocurement.com rbsesupport@retailbusinessservices.com rbsesupport@retailbusinessservices.com CPUContracts@adusaprocurement.com

Data Validation

EDI Invoice Setup

Electronic Data Interchange (EDI) Issues

Logistics

SelfDistributionReplenishmentTeam@adusaprocurement.com rbsap-documentservicesgroup@retailbusinessservices.com

Replenishment & purchasing

Sending Invoices (if EDI unavailable)

CRITICAL ITEM CALLOUTS As this journey continues, there will be critical interactions, needs and contacts for various areas to support seamless transitions of facilities into the self-managed network. These are detailed on the following pages. Suppliers will have new and/or expanded connection points inside the self-managed supply chain. However, along the way, suppliers will continue to interact with third-party companies, like C&S Wholesale Grocers, until the transformation is complete or a facility transitions into the self-managed network. Each specific facility’s overview in this toolkit speaks to the purchase order conversion dates, as well as other specific information. DC REPLENISHMENT/PURCHASING As procurement of product transitions to a self-managed model, teams from ADUSA companies will manage day-to-day buying and demand planning. Through this model, ADUSA companies will have full alignment and integration of demand planning in support of each of the great local brands and across the supply chain. This will enable ADUSA companies to better partner with suppliers on demand planning and fulfillment. To make facility transitions easier for suppliers, we will be implementing a PO mirroring process . Open POs from C&S that are due after the facility transition date and cannot be received prior to that date will need to be canceled and then a new PO for the same items, same quantities, and same due date will be initiated by ADUSA Distribution. To provide context and assist with your internal forecasting and production planning, we have provided general information on the inventory flow path for each facility. There will be no changes to assortment at this time. The inventory process can differ by facility. Pay special attention to each facility’s overview on the following pages. The diagram below provides an overview of what we know so far for the flow of inventory for the go-live of each facility within the self-managed network:

BETH GROCERY:

D emand will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same.

YORK GROCERY: D emand will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same. CHESTER PERISHABLE: Demand will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same. FREEZER SOUTH: Demand will come from the York Freezer and Aberdeen facilities, and the Freezer South will be stocked through transfers from York Freezer and Aberdeen facility. FREEZER NORTH: Demand will come from the Westfield facilities, and the Freezer North will be stocked through transfers from the Westfield facility.

If you have any general questions about replenishment and purchasing activities at distribution centers, email SelfDistributionReplenishmentTeam@adusaprocurement.com .

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

DATA VALIDATION To support the transition of facilities to the self-managed network, a team is available to ensure correct data is in place for purchase orders. At the vendor level , this includes confirming that there is a vendor number in the ADUSA system for each ship location/lead time combination and making sure those vendor numbers have the correct lead times, purchasing brackets, ship points and PO addresses associated with them. At the item level , this includes making sure each item is associated with the correct vendor number and validating the minimum delivered code, case and unit UPCs, case pack, unit size, case weight/dimensions and pallet pattern. Three-Stage Process The data validation team works with each vendor on a three-stage data validation process . This process is facility- specific, so vendors that ship product to multiple facilities will be contacted separately for each facility. Each Excel file that is sent out includes an instructions tab with detailed information about the definition of each field and the data that a supplier is expected to provide.

PHASE 1

PHASE 2

In Phase 1 , the data validation team reaches out to the vendor contact that C&S had on file to request detailed contact information . We need to confirm the correct contact information for data validation activities, as well as the correct contact for Electronic Data Interchange (EDI) setup. When the vendor returns this information, all contacts are logged. As we move from facility to facility, we will check this list to see if we have a contact on file for a vendor so that we don’t duplicate requests. • Each vendor will be assigned a replenishment analyst who will send tailored data validation requests and serve as your primary contact for purchase order- related data. correct, please provide the following information to sdpfrdatavalidation@adusaprocurement.com . When submitting contact information, please include your ADUSA vendor number(s) (if known) or your C&S vendor number(s). • The following information is needed from suppliers: • If you haven’t seen any correspondence and/ or want to be sure your contact information is - Contact information (name, email, and phone number) for all customer service representatives, sales representatives and brokers. - For each contact, please indicate the product line(s) and/or business area(s) they represent if you have multiple divisions within your organization. - For brokers specifically, indicate whether they are managing order entry or other purchasing-related functions. - Contact information (name, email, and phone number) for your electronic data interchange (EDI) representative. This information will be passed to our B2B group, which will reach out later to establish the EDI trading partner relationship and begin testing. If you are unable to trade EDI at this time, please provide a fax number for PO submission.

In Phase 2 , we send the data validation contact two spreadsheets to validate the vendor data . • Case UPC file - This Excel file lists all the items we have set up in our system under each vendor number. Because vendors may not be familiar with their vendor numbers (which are not the same as the C&S vendor numbers), this sheet serves as a reference point when completing the Vendor Data Validation sheet. • Vendor Data Validation file – This Excel file lists all the vendor numbers we have in our system for the vendor. For each vendor number, we ask the vendor to confirm the bracket min/max and lead time or provide corrections as needed. We also ask that the vendor provide the ship point address, the broker name (if applicable), and the PO address. • When the vendor returns these files, we review them for completeness and respond to the vendor with any questions. Once any issues have been resolved we will make any needed updates in our system.

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

PHASE 3

In Phase 3 , we send the data validation contact two spreadsheets to validate the item data . • Item Data Validation File – This Excel file lists all the item numbers we have in our system for the vendor. If the vendor has multiple vendor numbers, there will be a separate tab for each vendor number. Vendors are asked to confirm that the item is still active and is set up under the correct vendor number. They are asked to provide the item increment and minimum delivered code date and then review the item level details (UPCs, case pack, case dimensions, pallet pattern, etc.) and provide corrections if needed. • Missing Item Form – If the vendor sees items missing from the item data validation file, we ask that they enter the item information on this form so we can either correct any setup issues or work with the Category teams to have the item set up in the system. If no items are missing this form is not needed. • When the vendor returns these files, we review them for completeness and respond to the vendor with any questions. Once any issues have been resolved we will make any needed updates in our system. Timing The data validation team begins vendor outreach for data validation approximately 32 weeks prior to go-live. We allow a total of 15 weeks for completing all three stages of the process with all vendors in a facility. Individual vendors will be given deadlines for each phase as we work with them to complete the process. Data validation must be completed 17 weeks prior to go-live to support IT testing processes as well as to allow time for EDI setup and transaction testing. ELECTRONIC DATA INTERCHANGE (EDI) It is critical to seamless execution of facility transitions that EDI connections are established. Teams are reaching out to suppliers via email and direct calls to establish these connections. All suppliers are asked to provide correct EDI contactsto rbsesupport@retailbusinessservices.com . For questions and support: • rbsesupport@retailbusinessservices.com should be used to contact the EDI team that supports Stop & Shop, The GIANT Company and Giant Food. In addition, all EDI correspondence related to the supply chain transformation project should be sent to this address. • esupport@retailbusinessservices.com should be used to contact the EDI team that supports Hannaford and Food Lion. Once correct contacts are established, we will conduct the following testing: EDI Testing 1. All-Item PO Test: EDI team creates a test PO for all items using the production data set (not test environment) and sends to vendor. Vendor is required to positively validate the information sent and indicate if there are any discrepancies. Documentation of that validation email to be archived. All vendors are targeted to receive this test. 2. BICEPS PO/Invoice Test (test environment): EDI team creates a test PO in BICEPS, and the PO is sent to the vendor. Vendor returns corresponding invoice. EDI Test plans to intercept the invoice using a new report that will compare the invoice against the PO sent and report any errors. These invoices DO NOT go into Prompt (we need to keep extraneous transactions out of Prompt to not interfere with E2E testing). Any data errors will be communicated to the appropriate group for remediation. All vendors are targeted to receive this test. 3. E2E Testing (test environment): Some vendors may be selected for roundtrip (BICEPS to Prompt) PO/Invoice testing. This is to test the overall flow of transactions through various business test cases required by accounting. Vendors selected for this testing will be notified. Timing Time frames for EDI set-up and testing for each facility are listed in the facility-specific pages of the toolkit.

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

Vendor Freight Allowance As ADUSA Procurement is sending purchase orders (POs) for facilities, some vendors are seeing a change in the way the freight allowance is displaying. The allowance appears at the item level, instead of the way it previously displayed at the PO header level. This is a change in the way information is displayed. It does not have an impact on the freight allowance. Please continue to process purchase orders as you normally would.

ACCOUNTS PAYABLE Information and Questions

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

ACCOUNTS RECEIVABLE Information and Questions

The Retail Business Services Customer Solutions Center is the primary point of contact for Accounts Payable information and questions. Information that can be obtained from the Customer Solutions Center includes invoicing, general payables questions, general receivables questions and Customer Solutions Center portal access. The Customer Solutions Center can be reached Monday-Friday from 8 a.m. – 5 p.m. ET by phone at 1-866-366-3386 or anytime via the Customer Solutions web portal . Please call the Customer Solutions Center for setup. Please also note that this is a separate portal from the Retail Business Services Vendor Portal. The Vendor Portal is a source for business information. The Customer Solutions Center Portal is a portal for accounting-specific information. Promotional Cost and Deals As most facilities transition from C&S into the self-distribution network, promotional Cost and Deals will change from being based on store shipments to inbound POs at the distribution center. However, some facilities transitioning into the self-managed network will service multiple Ahold Delhaize USA brands. This is an operational change from today, where distribution centers service only one Ahold Delhaize USA brand. Because of the expanded service to multiple brands at these sites, we are making changes to the management of cost and deals at these locations. Two of these facilities are planned to transition in the first half of 2022: Beth Grocery (Bethlehem, Pa.), which is a multi- service facility for the Stop & Shop and The GIANT Company brands, and York (York, Pa.), which is a multi-service facility for The GIANT Company and Giant Food. At these sites, please note the following with respect to the management of Cost and Deals: • Promotional cost and deal billbacks • O/Is (Off Invoice) cannot be brand specific in a multi-serve facility • Only billbacks can be use to create brand specific deals • Billing for Case Allowances at a facility servicing multiple brands • O/Is: PO Receipt/Reconciliation • Brand Billbacks: Promotioal cost & deal billbacks will be invoiced upon shipment to stores Please also note additional callouts for warehouse deals for ALL facilities servicing the Stop & Shop, Giant Food and The GIANT Company brands: National Off Invoice (0/Is) • National O/Is are allowed at a multi-serve facility • O/Is cannot be brand specific in a multi-serve facility • All other case allowances negotiated with the brands must be submitted as billbacks • No change to direct store delivery (DSD) O/Is Supply Chain Deals • O/Is based and will continue to be PO driven Billing for Case Allowances Facilities serving a single brand: Freetown, Mass. (54); Carlisle, Pa. (20); Jessup, Md. (71); Manchester, Conn. (91) • O/Is: PO Receipt/ Reconciliation • Brand Billbacks: Receipt/ Reconciliation Facilities serving multiple brands: Beth Grocery, Bethlehem, Pa. (95, SS 32, TGC 35); York, Pa. (93, TGC 37, GF 38), Freezer South (24, TGC 41, GF 42) • O/Is: PO Receipt/Reconciliation: Beth Grocery (95), York (93), Freezer South (24) • Brand Billbacks - Store Shipments: Beth Grocery (SS 32, TGC 35), York (TGC 37, GF 38), Freezer South (TGC 41, GF 42) MLP Updates MLP provided on invoicing should match the MLP in place at the time of PO creation. Cost/MLP updates are effective based on order/PO creation dates. • Single brand: Freetown, Mass. (54); Carlisle, Pa. (20); Jessup, Md. (71); Manchester, Conn. (91) • Multiple brands: Beth Grocery, Bethlehem, Pa. (95); York, Pa. (93); Freezer South (24)

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

Netting and Deductions Bill Payer is not affected and remains the primary method for promotional payment. For vendors with a Bill Payer account, deductions will be made against your balance. With facility/sourcing transition ongoing, ADUSA will continue to utilize C&S for A/R deductions until July 2022. Throughout July AR Deductions will transition from C&S to ADUSA. *Exception – New Vendors (Vendors Not Currently Serviced by C&S) will have billings deducted from ADUSA AP Payments. Electronic Funds Transfer (EFT) – Exception Vendors Only To set up EFT, please follow the steps outlined below: • Vendor to send email to RBS.CashApplications@retailbusinessservices.com request EFT setup information • Retail Business Services Accounts Receivable team will send W9 and bank information • Vendor can work with bank for setup. • All remittances should be emailed to RBS.CashApplications@retailbusinessservices.com same day of EFT transaction Lockbox Address for Paper Checks (Used Only for Exception Vendors Without EFT Capabilities) AHOLD USA, INC 3213 Payshere Circle Chicago, IL 60674 Manufacturer Paper Coupons At this time there is no change to Manufacturer Paper Coupon processing. Brands will continue with the process that is in place today. Reclamation Any changes to processing and billing of store reclamation product will be on a facility-specific basis. We will provide more information to vendor partners throughout this process. LOGISTICS As distribution centers come into the self-managed network, we will be reviewing and identifying backhauling impacts and opportunities, as well as inbound load-planning needs six months prior to each transition. All load appointments are moving from Retailix to the Manhattan system. You can find the Manhattan best practices and routing guide in the Retail Business Services Vendor Portal. As you prepare for upcoming facility transitions, we encourage you to take the following steps related to logistics: • Review the Routing Guide in the Retail Business Services Vendor Portal; • Consider flexible scheduling for demand needs; • Prepare to manage a more direct relationship with Ahold Delhaize USA companies; and • Prepare visibility to manufacturing and mixing center sites to have origin source point discussions. As Ahold Delhaize USA companies continue to invest in and expand the supply chain network, we look to have an increasing presence and partnership in solutioning your logistics needs and offer the following: • Optimized Freight Solutions: Partner on inbound freight for the best outcome • Fleet for Hire: Fleet for hire lanes with our large private fleet that can deliver freight on the East Coast from Maine to Georgia and run cross-country to produce-growing regions • Best Network Solutions: Direct Plant Shipment (DPS) opportunities, including channel enhancements • Reduced Dwell Time & Cost: Less Than Load (LTL) consolidation opportunities

• Enhanced Quality: Focus on quality in transit to reduce waste and protect product integrity. To reach us to discuss these opportunities please email CPUContracts@adusaprocurement.com .

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

TRANSFORMATION CHECKLIST For every facility we ask that your teams use this checklist as an ongoing part of your internal meetings around this work and our business. DATA VALIDATION: ❍ Data Validation: Data Validation Contact Info Request Returned (32 weeks/8 months prior) ❍ Data Validation: Case UPC and Vendor Data Validation Files returned (cascading process) ❍ Data Validation: Missing item forms due back from vendor (cascading process) ❍ Data Validation: Data Validation Complete (17 weeks/4 months prior) VENDOR OPTIMIZATION: ❍ Network/Vendor Optimization: Vendor updates internal demand and production planning forecasts where relevant. (24 weeks/6 months prior) EDI/B2B: ❍ EDI/B2B: EDI Contact Info Request Returned (30 weeks/7.5 months prior) ❍ EDI/B2B: All Item PO Test (cascading process) ❍ EDI/B2B: BICEPS PO/Invoice Test (cascading process) ❍ EDI/B2B: E2E Testing - 25 vendor test only* Tests the overall accounting transaction flow (cascading process) GENERAL INFORMATION / RETAIL BUSINESS SERVICES VENDOR PORTAL As a general resource, you can access a wide array of information about all Ahold Delhaize USA companies on the Retail Business Services Vendor Portal. The portal can be accessed from www.retailbusinessservices.com/vendors . Click on the Vendor Portal logo in the middle of the page. Information about the supply chain transformation can be found under the Self-Distribution tab within the Portal. Registration is required to access the portal. However, registration takes less than a minute and access is granted instantly. Ahold Delhaize USA companies encourage all suppliers to register all team members who work with Ahold Delhaize USA companies to register for access to the portal. Users who are registered on the portal receive communications and key updates from Ahold Delhaize USA companies, sent directly to their email. Supplier contacts who are not registered for the portal will not receive email updates.

ACCOUNTING: ❍ Accounting: Vendor Responses for new Vendor Setup sent. (60 days/2 months prior)

EFFICIENCY PROGRAMS: ❍ Efficiency Programs: Relevant Efficiency Program discussions complete. Efficiency.programs@ adusaprocurement.com (45 days prior)

LOGISTICS:: ❍ Logistics: Vendor inbound CPU agreements due back (30 days/1 month prior)

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

2022 FACILITY TRANSITIONS SPECIFICS & TIMELINES

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

2022-23 VENDOR TIMELINE AT-A-GLANCE

FACILITY NAME

JAN

FEB

MAR APR

MAY

JUN

JUL

AUG

EDI / B2B: EDI testing and go-live readiness complete

Accounting: Vendor responses for new vendor setup sent Efficiency Programs: Relevant Efficiency Program discussions complete Logistics: Vendor inbound CPU agreements due back

Go Time! ADUSA Distribution POs start to land at DC

BETH GROCERY

EDI / B2B (Cascading process): -BICEPS PO/ Invoice Test -E2E testing; 25 vendor test only *Tests the overall accounting transaction flow -EDI testing and go-live readiness complete

Go Time! ADUSA Distribution POs start to land at DC

EDI / B2B: EDI setup begins

EDI / B2B: EDI setup complete

Network Optimization: Inventory flow path and demand impacts communicated Logistics: Vendor inbound CPU agreements due back

YORK GROCERY

Accounting: Vendors needing new

Accounting: Vendor responses for new vendor setup sent Efficiency Programs: Relevant Efficiency Program discussions complete Logistics: Vendor inbound CPU agreements due back

vendor #s identified

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

2022-23 VENDOR TIMELINE AT-A-GLANCE (CONTINUED)

FACILITY NAME

JAN

FEB

MAR APR

MAY

JUN

JUL

AUG

Logistics: Vendor inbound CPU agreements due back

Data Validation Complete

Data Validation

EDI / B2B (Cascading process): -BICEPS PO/Invoice Test -E2E testing; 25 vendor test only *Tests the overall accounting transaction flow -EDI testing and go-live readiness complete

EDI / B2B: EDI testing and go-live readiness complete

EDI / B2B: EDI setup begins

EDI / B2B: EDI setup complete

Go Time! ADUSA Distribution POs start to land at DC

FREEZER SOUTH

Logistics: Vendor discussions on current freight rates, transition plan and CPU agreements

Network Optimization: Inventory flow path and demand impacts communicated

Accounting: Vendors needing new

Accounting: Vendor responses for new vendor setup sent Efficiency Programs: Relevant Efficiency Program discussions complete

vendor #s identified

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

2022-23 VENDOR TIMELINE AT-A-GLANCE (CONTINUED)

SEPT

OCT

NOV

DEC JAN FEB MAR APR MAY

Receiving capacities will start slowly & gradually increase

Outbound pilot begins, full outbound shipping begins

throughout Q4 2022 C

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

BETH, PA. GROCERY

Overview Beth Grocery in Bethlehem, Pa., is a leased facility where ADUSA Distribution is taking on more space. Procurement services will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same. C&S Relationship Purchase order (PO) and service discussions should continue with C&S for all POs with a ship date of Feb. 27, 2022 or prior. Any POs placed by C&S that may need to be received after Feb. 27, 2022 due to delayed shipments or other issues will still be received, but the C&S POs will need to be canceled and new ones placed by ADUSA Distribution. All POs for delivery Feb. 28, 2022 and beyond will come from ADUSA Distribution.

Ship To Address: ADUSA DISTRIBUTION, LLC 4820-4950 HANOVERVILLE RD BETHLEHEM, PA 18020 SHIP TO DUNS: 0804911859501 Bill To Address: ADUSA DISTRIBUTION, LLC P.O. BOX 981759 EL PASO, TX 79998 BILL TO DUNS: 0804911850000 Brand Served: Stop & Shop and The GIANT Company Major Flow Changes: None. Procurement will move from C&S to ADUSA Distribution, and there will be no assortment changes. Click here for Beth Grocery documents and forms.

Receiving and Shipping Schedule:

BETH GROCERY OPERATION

SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY

7:30 a.m. – 7:30 p.m.

Receiving

Shipping

24 / 7

Inventory Build and Production Planning Impacts: ON TIME and IN FULL are critical for both ADUSA companies and suppliers as facilities transition into the self- distributed network. For Beth Grocery, ADUSA Distribution will take over inventory in the facility from C&S, so there should not be a significant impact to demand.

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

BETH, PA. GROCERY VENDOR TIMELINE

DEPT.

TIMELINE TASK

PROCESS

CONTACT

Data Validation team will provide forms to vendors for timely completion to ensure set up of items, customer relations, etc. to aid in procurement plans.

Data Validation

Data validation begins

sdpfrdatavalidation@adusaprocurement.com

August 2021

Vendor discussions on current freight rates, transition plan and CPU agreements Data validation complete

October 2021

CPUContracts@adusaprocurement.com

Logistics

Three-phase data validation process must be complete on time to allow for IT testing and EDI setup and transaction testing. Teams reach out to suppliers via email and direct calls to establish these connections. All suppliers are asked to provide correct EDI contacts via email.

Data Validation

October 2021

sdpfrdatavalidation@adusaprocurement.com

November 2021

rbsesupport@retailbusinessservices.com

EDI / B2B

EDI setup begins

Inventory flow path and demand impacts communicated

Details shared with vendors through this Supply Chain Transformation Vendor Toolkit and through our monthly vendor communications, which are sent through the Vendor Portal .

Network Optimization

November 2021

Internal process.

December 2021

EDI setup complete

Once correct contacts are established, EDI will conduct testing. EDI team creates a test PO for all items using the production data set (not test environment) and sends to vendor. Vendor is required to positively validate the information sent and indicate if there are any discrepancies. ALL VENDORS Accounting to send request forms to vendors; vendors to provide completed forms for setup process. EDI team creates a test PO in BICEPS, and the PO is sent to the vendor. Vendor returns corresponding invoice. EDI Test plans to intercept the invoice using a new report that will compare the invoice against the PO sent and report any errors. ALL VENDORS Some vendors may be selected for roundtrip (BICEPS to Prompt) PO/Invoice testing. This is to test the overall flow of transactions through various business test cases required by accounting.

rbsesupport@retailbusinessservices.com

EDI / B2B

Cascading Process

rbsesupport@retailbusinessservices.com

EDI / B2B

All Item PO Test

Vendors needing new vendor #s identified

December 2021

RBS.Solutions@Retailbusinessservices.com

Accounting

Cascading Process

BICEPS PO/ Invoice Test

rbsesupport@retailbusinessservices.com

EDI / B2B

E2E testing; 25 vendor test only *Tests the overall accounting transaction flow EDI testing and go-live readiness complete Vendor responses for new vendor setup sent Relevant Efficiency Program discussions complete. Vendor inbound CPU agreements due back

Cascading Process

rbsesupport@retailbusinessservices.com

EDI / B2B

January 2022

rbsesupport@retailbusinessservices.com

EDI / B2B

January 2022

Vendors to provide completed forms for setup process.

RBS.Solutions@Retailbusinessservices.com

Accounting

Efficiency Programs

January 2022

Efficiency.programs@adusaprocurement.com

January 2022

Vendor to supply completed agreements to logistics team.

CPUContracts@adusaprocurement.com

Logistics

GO LIVE DATE: February 27, 2022

Go Time! ADUSA Distribution POs start to land at DC

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

YORK, PA. GROCERY

Overview The York Grocery facility in York, Pa., was purchased by ADUSA Distribution from C&S. Procurement services will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same. ES3, a third-party fulfillment provider, will continue operations at the site. C&S Relationship Purchase order (PO) and service discussions should continue with C&S for all POs with a ship date of May 1, 2022 or prior. Any POs placed by C&S that may need to be received after May 1, 2022 due to delayed shipments or other issues will still be received, but the C&S POs will need to be canceled and new ones placed by ADUSA Distribution. All POs for delivery May 2, 2022 and beyond will come from ADUSA Distribution.

Ship To Address: ADUSA DISTRIBUTION, LLC 4875 SUSQUEHANNA TRAIL YORK, PA 17406 SHIP TO DUNS: 0804911859301 Bill To Address: ADUSA DISTRIBUTION, LLC P.O. BOX 981759 EL PASO, TX 79998 BILL TO DUNS: 0804911850000 Brand Served: Giant Food and The GIANT Company Major Flow Changes: None. Procurement will move from C&S to ADUSA Distribution, and there will be no assortment changes. Click here for York Grocery documents and forms.

Receiving and Shipping Schedule:

YORK GROCERY OPERATION

SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY

Receiving

24 / 7

Shipping

24 / 7

Inventory Build and Production Planning Impacts: ON TIME and IN FULL are critical for both ADUSA companies and suppliers as facilities transition into the self- distributed network. For Freetown Fresh, ADUSA Distribution will take over inventory in the facility from C&S, so there should not be a significant impact to demand.

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