Table of Contents

• Founded in 1952• $2.0 billion annual sales• 9 U.S. and 3 Canadian

warehouses • Largest Distributor of

natural, organic and specialty gourmet in North America

Our Vision: To be the best specialty food and natural product distributor in North America

Mission Statement: We are dedicated to the success of our customers and suppliers by providing exceptional marketing, merchandising, and distribution services

Our Founding Value: We Thank and Honor God in all we do

Key Philosophies:� Our work will be performed with integrity, honesty, and the highest ethical standards

� Our people are our most valuable resource� 10% of our pretax profits will be given to the less fortunate and other worthy causes

Our Goals:� Truly be the “specialty food and natural product experts” for every customer and supplier

� Generate “industry best” sales and marketing results� Achieve top tier distribution service levels, efficiency, and proficiency

• Largest Specialty Distributor in N.A.• Unmatched Capability in Sourcing, Marketing and Retail Support

• 4 Warehouses Serving this Channel• 3,000 +/- Stores Served Weekly

3,500 +Supplier’s From Around The World Independent Grocers • Largest Specialty Distributor to

Independent Grocers in U.S.• Address unique needs of Independents

Multi-Channel Distribution Reach

• 3,000 +/- Stores Served Weekly• Complete Natural Product Retailer Solution

• Complete product and service selection

Canada

• Largest SpecialtyDistributor in Canada

• Build and Host Websites• Ship Orders For Your Website• B2B and B2C Shipments• No Channel Conflicts

• Small order size – “FedEx” Shipments• Retailer Niche Specific – Gourmet, Confection, VMS

3

Coast to Coast Coverage

� 9 U.S. distribution centers• Chicago• Bloomington, IN• Dallas• Allentown, PA• Atlanta• St. Augustine• St. Augustine• Ft. Lauderdale• Los Angeles• Portland, OR

� 30,000+ points of distribution� 12,000+ customers� 2000+ sales and operations team� Imbedded account teams at major retailers

� Best in class Smart Assortment andcategory management team

4

Association Involvement

KeHE Distributors is actively involved with all

major industry associations, and holds

Board positions on most of these associations.

World-Class Distribution Efficiency

Supply Chain� Buying PODS tightly connected to Marketing & Assortment Team� “Manhattan’s” E3 purchasing system� 180,000 DC specific SKUs� Consolidation centers enhance inbound efficiencies

Warehousing� 12 North American warehouses

Transportation� Manugistics, Xata On-Board Computers, Fortigo� 3 compartment trailers (ambient, refrigerated, frozen )� 2.5 million route miles per year serving 33,000 custome r locations� Best-in-Class Fuel Economy, Auxiliary Power Units, EPA S martway

� 12 North American warehouses� Highly efficient, standardized 1WOW processes� State of the art pick to light, horizontal carousel and RF technology� Industry Leader in Food Safety

•“Certified Organic”• 5-time recipient of Silliker’s Platinum Award• Comprehensively committed to date-code integrity

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Relationship DNA

Supply Chain

Transportation

Account Mgmt.

Sku Variety

Complexity/Services

Payment Terms

Sku Variety

Marketing & Merchandising

In-Store Services

Credits/Spoils

Approach to Selling

� Tailored Solutions accordingly to Retailer / business needs

• Determine the ‘DNA’ of the relationship

• Our products match global trends • Our products match global trends and satisfy specific market needs

• Marketing and Merchandising opportunities Best in Class differentiation

• Single source solution with LantaoPartnership

Unparalleled Marketing Support

New Products (Keeping Assortments OnTrend )

Catalogs & Web Portal

� 7800+ new SKUs per year � Monthly New Item publications with attribute and dema nd data� Quarterly Turns & Trends publications providing assortmen t intelligence

� On Trend magazine monthly (includes deepest discount dea ls at KeHE)� Seasonal catalogs providing seasonally appropriate produ ct options� Retailer learning sessions at major shows and CAWs, and vi a webinars

� Over 8000 items on promotion in average month (most i n industry)

Product Knowledge (Keeping Store Staff Informed )

Catalogs & Web Portal(Product & Promo Opportunities)

Smart Assortment (Right Products in Store)

Selling Shows Events(Connecting Vendors & Retailers)

� Over 8000 items on promotion in average month (most i n industry)� Print & electronic catalogs monthly for chain grocery, in dependent

grocery, natural channel, and niche/alternative retail ers

� Best in Industry analysts and managers; fact-based experts� Spins, Nielsen, IRI, Spectra and other data (plus KeHE internal sales)� Scope of support ranges from individual sets to full stor e layout

� Internal: Regional CAWs, Holiday Show, Summer Sell ing Show, Carousels, Table Tops

� External: Natural Products Expos, IDDBA, Fancy Food, NPA, NGA, FMI, Anuga, Sial, Antad, Tutto, and others

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Assortment Management

• Data-driven, consumer-centric approach

• Develop optimal assortment and marketing solutions

Smart Assortment

Smart AssortmentSmart Assortment

marketing solutions

• Provides Category Management support for almost 3,000 suppliers…many of whom who cannot supply their own.

• Focus on getting right products in the right stores.

Assortment

Targeted Marketing Strategy: “Levels”

� Address need states at each level

� Trade customers up over time

� Create destination with most complete offering

Level IIISpecialty

Level IV Gourmet

complete offering

� Ensures right item, right store

� Help’s create promotional strategy

Level I - Commodity

Level II – Super Premium

New Product Sourcing

• Vendor appointments• Trade shows

� US and International• Agricultural product boards • Overseas sourcing trips

Cast a Large Net Know What You’ve Caught

• Weekly new product reviews� Analytic presentations� Key product attributes� Compare to current

products w/same • Overseas sourcing trips• International trade

organizations & delegations• Importers• Manufacturer visits• Culinary school affiliations

products w/same attributes

� Contrast with current products--differentiated?

� New vendor—in need of assistance?

Grocery Channel Publications

Education – Knowledge - Planning

September 2011Discounts Valid:

OnTrend by KeHE

(Monthly)

Pre-Show Guides

(Annually)

Grocery Buying Guide

(Monthly)

Discounts Valid:8/31/2011 – 10/1/2011

Marketing and Merchandising Support

Account Management

Store Level Sales & ServicesHoliday & Summer

Selling Shows New Product Pipeline

Vendor Carousels

In Store Demos, Ads, New Items

Cuisine Based Menu Selling

Monthly Promo Books; 100% Pass Through

Vendor Days (at retailer HQ)

Smart Assortment

Product Education

Planogram Compliance

Reset Support

Plan o gram Creation

KeHE International Accounts

The Butler Group of Companies

Maxwell Supermarket - Marsh Harbour -Abaco, Bahamas

TOCTAGON NV #9127

INTERNATIONAL EXPORTS INC. Food Center | St. Thoma

Rock Sound Properties

Gourmet Gallery

HARBOR LOBSTER AND FISH CO

MARKET GARDEN

TOCTAGON NV #9127

FINE FOODS LTD

Spanish Wells Food Fair

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