COUNTDOWN DISTRIBUTION CENTRE PACK

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COUNTDOWN DISTRIBUTION CENTRE PACK
COUNTDOWN
          DISTRIBUTION CENTRE
                                                     PACK

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be presented,
reproduced or copied in any form or by any means (graphical, electronic or mechanical including photocopying, recording tape or by any
information storage and retrieval system) without the express written permission of Progressive Enterprises Limited.
COUNTDOWN DISTRIBUTION CENTRE PACK
COUNTDOWN DISTRIBUTION CENTRE VENDOR PACK

                                                                    Contents Page

         PEL DISTRIBUTION CENTRE NETWORK .................................................... 3

         Distribution Centres ............................................................................................................................... 3

         Changes for Vendors .............................................................................................................................. 3

         ENABLERS FOR DOING BUSINESS WITH PEL........................................... 4
         Pallet Labels ............................................................................................................................................ 4

         Pallets....................................................................................................................................................... 5

         Pallet Stabilisation .................................................................................................................................. 5

         Inbound Service Level ............................................................................................................................ 6

         DOING EBUSINESS WITH PEL ..................................................................... 6

         What is the eBusiness (B2B) Gateway? ................................................................................................ 7

         TRANSPORT CHANGES ................................................................................ 7

         Safety aspects for drivers ....................................................................................................................... 7

         Arrival Procedures ................................................................................................................................. 8

         Delivery Documentation......................................................................................................................... 9

         Carrier Requirements ............................................................................................................................ 9

         Chain of Responsibility Requirements ............................................................................................... 10

         Pallet Management ............................................................................................................................... 11

         Freight Cost Recovery (FCR) .............................................................................................................. 11

         DC Receiving Times Matrix ................................................................................................................ 13

         FREQUENTLY ASKED QUESTIONS (FAQ’S) ............................................. 15

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                                                                 PAGE 2 of 16
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         PEL Distribution Centre Network
         Countdown manages an Ambient National Distribution Centre in Auckland and Regional
         Distribution Centres in Auckland, Palmerston North and Christchurch. We also run 3 Produce
         DCs and contract 3 Chilled / Frozen DCs across the two islands

         This Distribution Centre Vendor Pack has been designed to provide you with the required
         information that will help you better manage the particular requirements of our DCs.

         Distribution Centres
         The Distribution Centres service approximately 250 stores across New Zealand. They include
         our corporate Countdown stores and the owner operated SuperValue/ Fresh Choice franchise
         stores.

         Changes for Vendors
         Our modern Distribution Centres are built with safety and efficiency in mind. As such, we
         require additional focus from our Vendors to supply ordered products to the correct packaging
         specifications, such as:

         •   Safe Vendor Pack lifting weights. The PEL maximum vendor pack weight is 16 kg; the
             maximum pallet weight must not exceed 1000kg)

         •   Accurately placed Pallet Labels (SSCC Bar Code)

         •   Accurate Palletisation (Ti-Hi)

         •   Provide GTIN on cartons (correct quantity, quality and magnification)

         •   Good quality NZ Standard pallets are used by a PEL authorised provider (no loose
             boards etc)

         •   No stock overhang on pallets

         •   Proper pallet stabilisation (typically using stretch wrap or cold water based PVA glue)

         •   High standard pallet wrapping, e.g. no plastic “tails”

         The ANDC uses Radio Frequency (RF) bar code scanning technology and you will need to
         comply with the PEL Packaging Specifications found on our web site via the following link.

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 3 of 16
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         Our Packaging Specifications:

         http://www.countdown.co.nz/media/998070/pel%20nz%20packaging%20specifications%20august%202010.pdf

         Our Barcode Specifications:

         If you need assistance in meeting PEL barcode requirements, GS1 New Zealand can help
         you - http://www.gs1nz.org/home.asp. The adherence to these requirements will assist in the
         efficient & timely receipt of your deliveries.

         Enablers for Doing Business with PEL
         Pallet Labels

         Since January 2005 it has been a preference for deliveries to any PEL DC to have a Pallet
         Label (SSCC label) applied as per our specification

         •   The pallet label is your “key” that unlocks the doorway for your pallets to be received in
             an efficient and timely manner into our supply chain. There must be a pallet label with
             unique SSCC numbers applied to each of the fork entry sides of your pallet. Therefore
             two identical pallet labels are required per pallet. There should be no duplicates across
             multiple pallets.

         •   The pallet label must utilise the GS1-128 symbology

         •   The receiving process will occur through the use of radio frequency scanners. Accurate
             receipt will require vendors to have compliant pallet labels. Stock may be rejected if a
             compliant pallet label is not applied as it is difficult to receive this stock manually.

         Common issues for vendors to review include:

         1. Poor quality of the printing of the bar codes on the label – this renders the label unusable
             as it cannot be scanned. Please check the quality of the labels and printers prior to
             application.

         2. Stock not palletised as per correct Ti-Hi

         3. Printing on Pallet Labels is not centred – the printing is running off the edges of the label
             stock, therefore the bar code cannot be scanned. The printer needs to be adjusted to re-
             centre the printing.

         4. Pallet labels not applied as per our specification. (Summary of specification: 50mm to
             100mm from the right-hand vertical edge on the fork entry side and between 400mm and
             800mm from the ground with no more than 5 degree tilt from vertical and not overlapping
             multiple cartons).

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 4 of 16
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         Pallets
         Pallets must be New Zealand Standard and by an approved PEL provider.

         •   Pallets cannot be used if there are missing pallet boards and the dimensions of tunnel
             and runners are not to specification.

         •   Any deterioration of quality in your pallets supplied may cause OH&S issues within our
             DC and may result in the rejection of your order and re-delivery at your cost.

         It is advisable that in advance of your deliveries coming into the ANDC, you discuss these
         requirements with your pallet provider so as to ensure there are no issues from your first
         receipt.

         Pallet Stabilisation
         •   All inbound pallets need to be stable and secure, with no overhang or load shift

         •   There are several acceptable methods for pallet stabilisation, for example cold water-
             based glue (PVA) between layers, stretch wrap or stretch tape. All pallets need to be
             wrapped, without exception.

         •   Where PVA glue is used, glue dots on the top of cartons must be between 3 to 5 mm in
             diameter; any greater than this will require excess force to move the carton and may
             result in injury when moving the carton.

         Do not use hot melt glue to secure layers of cartons on a pallet - Hot melt glue requires
         too much force to remove a trade unit from a pallet and may lead to injury of staff.

         •   Where pallets are stretch wrapped, care must be taken to ensure that it extends down to
             and include the wooden pallet, but no more than the top one-third. The plastic tail end of
             the stretch wrap must also be secured adequately so it does not come loose during
             handling and transit.      Serious safety issues can arise if the end piece is loose and
             becomes tangled in racking or other materials handling systems.

         Refer to Section 3 in the Packaging Specifications document for more details.

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 5 of 16
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         Inbound Service Level
         The vehicle with your purchase order may only arrive up to a maximum of 30 minutes prior or
         30 minutes after your Expected Delivery Time. Any vehicle arriving outside of this receiving
         window will NOT be permitted to enter the site, at the discretion of the DC Management.

         •   Your delivery must be made within the specified time window of 30 mins before and 30
             mins after your Expected Delivery Time that is displayed on your Purchase Order. For us
             to control on site parking and queuing we need strict adherence to these timeframes.

         •   Our Vendor Quality Compliance (VQC) system captures arrival and departure times at the
             gatehouses which are then used for your Inbound Service Level (IBSL) calculation
             against the original Purchase Order (PO) date and time.

         •   Carriers will be required to notify their arrival via intercom at the truck entrance and
             provide specific information (see Arrival Procedures on Page 11).

         Doing eBusiness with PEL
         The eBusiness system allows you to do business with PEL electronically. Our eBusiness
         capabilities extend to the exchange of business documents and the sharing of key business
         information through our Trade Partner Portal.

         We have been working with Vendors to expand the use of electronic trading (referred to as
         B2B). All eBusiness capabilities have been developed in line with Global Industry Standards
         and best practice. As such, the PEL preferred means of doing business is electronic and
         Trade Partners are encouraged to leverage our eBusiness capabilities for mutual benefit.

         By establishing an eBusiness relationship with PEL, your organisation can benefit from:

         •   Faster, more efficient and more accurate procurement

         •   Improved Service Levels & Compliance

         •   Improved overall Supply Chain visibility & efficiency

         •   Collaborative business process

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 6 of 16
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         What is the eBusiness (B2B) Gateway?
         Our B2B Gateway enables the exchange (two-way) of key business documents between PEL
         and Trade Partners.        Documents transferred over the eBusiness Gateway can include
         Purchase Orders, Purchase Order Response, Remittance Advice, Advance Shipping Notices
         and Invoice.

         The two methods available are:

         1. WebForms

         Messages can be presented via our FREE OF COST webforms system. Accessible via a
         standard web browser, webforms allows all Trade Partners to engage in the exchange of
         electronic messaging irrespective of their technical capabilities.

         2. Electronic Data Interchange (EDI)

         Messages can be exchanged directly with Trade Partners using traditional electronic
         messaging solutions (EDI).

         Our B2B Gateway is continually evolving to take advantage of the latest Industry trends and
         opportunities.

         Contacting the eBusiness Team
         We have a dedicated team of eBusiness Specialists ready to assist you with your eBusiness
         setup. Contact us today to discuss the next steps in doing eBusiness with PEL.

         Email: ebusiness@woolworths.com.au

         Telephone: +61 2 8885 3100

         Additional information on eBusiness with PEL is available on the following website:

         http://www.progressive.co.nz/PELB2B/

         Transport Changes
         Listed below are our requirements relating to all transportation and deliveries:

         Safety aspects for drivers
         •   No passengers (other than Transport Company offsiders or drivers in training) are to
             accompany the driver onto the dock.

         •   Personal protective equipment (PPE) must be worn at all times:

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 7 of 16
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                  o   The site is a safety vest/high visibility clothing designated area. Anyone visiting
                      the area must have safety vest/high visibility clothing for the duration of their visit.

                  o   Drivers / offsiders must wear safety footwear (enclosed steel capped boots) at all
                      times.

         •   Whilst unloading is in process, the Driver / offsider is to remain outside the vehicle in the
             designated area adjacent to their vehicle or otherwise as directed by the receiving teams.

         •   Children on site policy: For everyone’s safety, no children under the age of 16 are
             permitted on the site.

         •   Cell phones are not permitted to be used whilst driving on site. They are to be used only
             in designated locations

         Arrival Procedures
         •   All purchase orders have a specified appointment time. The vehicle may ONLY arrive up
             to a maximum of 30 minutes prior or 30 minutes after your appointed time.

         •   It is critical that vendors and their transport providers understand the potential for
             congestion to occur and the adherence to time slots will be crucial for all parties.

         •   Upon arrival, the following ten pieces of information must be provided to the gatehouse to
             assist in reducing truck turn around times:

                  1. All Purchase Order Numbers (POs not registered at the Driver Sequencing Office
                      will receive a “miss” for In-Bound Service Level).

                  2. Number of pallets to be delivered

                  3. Number of pallets to stay on the truck

                  4. Vehicle registration number

                  5. Number of passengers, including driver - confirm names

                  6. Transport details - carrier name

                  7. Truck type (e.g. Curtain-side or B-train)

                  8. Pick Up load (if applicable)

                  9. Chain of Responsibility (how many work hours does the driver have left on the
                      current shift)

                  10. Driver’s / offsider’s name for our Site Driver Induction and mobile phone number
                      in the event of a queue call up

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 8 of 16
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         •   If the delivery is running late or will not be delivered on the scheduled day, the Transport
             carrier must contact the Vendor who is responsible for notifying the PEL Replenisher prior
             to the scheduled arrival time on the date of arrival.

         •   An alternate appointment time and/or day may then be organised for the delivery to be
             made, provided our DC has the capacity to do so. No Shows lead to out of stocks in
             stores and are treated seriously by PEL, and will be followed up for explanation by the
             vendor. (Explain Who will follow-up)

         Delivery Documentation
         •   Two identical packing slips must be presented (one copy will be retained by PEL and one
             copy will signed and returned to the driver as proof of delivery).

         •   Consignment notes or run sheets will not be accepted for receipting purposes.

         •   The invoice must include the PEL purchase order (PO) number, the Vendor’s business
             name, address and Vendor ID Number and transport company name.

         •   Each delivery will consist of one PO to one invoice. More than one PO can be delivered
             on one vehicle but one PO cannot be delivered over multiple vehicles.

         •   Product descriptions on the paperwork must match those on the PO, the carton quantities
             and the Pallet (SSCC) and Logistics Labels where used.

         •   The sequence of products appearing on the invoice should be the same as on the PO.

         Carrier Requirements
         •   Dangerous goods - All relevant Legislation, standards and documentation must be
             adhered to.

         •   All deliveries must use a side unload vehicle at ANDC.

         •   Maximum vehicle height for side loaded trailers is 4.6 metres with the minimum deck
             height at 1 metre.

         •   Maximum vehicle height for side loaded drop deck trailers is 4.6 metres with the minimum
             deck height at 0.5 metre.

         •   Maximum overall vehicle height for rear loaded trailers is 4.3 metres and the minimum
             deck height is 1 metre and the maximum deck height is 1.5m.

         •   All deliveries must be delivered as secured palletised loads with no hanging string, plastic
             “tails” or poor quality wooden pallets.

         •   Pallets must be delivered in the correct Ti Hi configuration as required by PEL.

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 9 of 16
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         Chain of Responsibility Requirements
         •   All loads must be secured in accordance with the New Zealand Transport Agency
             guidance for load anchorage standards.

         •    Ensure that drivers delivering product have sufficient hours available to affect the delivery
             within the permitted driving and work hours as defined by the Transport Regulations.

         •   All vehicles must not exceed the permitted maximum axle loading weights and dimension
             limits.

         •   All vehicles must be in a roadworthy condition with current COF and RUC licensing.

         Mixed items on a pallet
         PEL will accept a maximum of 4 line items on a single layer pallet where each item is less
         than 3 cases. Vendors need to affix one pallet label to one of the trade units for each of the
         individual line items – ensure that these labels are facing outwards on the fork entry side of
         the pallet where it can be easily scanned. The remainder of the cartons should be grouped
         together behind the corresponding carton containing the pallet label.

         The Load
         After arriving at the ANDC, an inspection will be carried out on the load and checked for the
         following types of issues:

         •   Non existent Pallet Labels,

         •   Poor Quality Pallets – Pallets must be of good quality and be to the New Zealand
             Standard by an approved PEL provider e.g. No broken boards, no faulty tunnel or runner
             boards

         •   Carton overhang

         •   Cardboard overhang (slip sheets)

         •   More than 4 line items on a single layer pallet

         •   Excessive stretch-wrap

         •   Stretch-wrap covering the fork entry areas

         •   Loose or unravelling stretch wrap

         •   Damaged cartons

         •   Incorrect Pallet Ti Hi

         •   Poor load stabilisation

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                PAGE 10 of 16
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         •   Inadequate load restraint

         Serious non-conformances could lead to a rejection of your delivery.

         Pallet Management
         Vendor’s Responsibility:

         •   PEL will manage ALL transfer paperwork to and from the PEL account.

         •   New Zealand Standard pallets not issued by an approved PEL provider will not be
             returned or exchanged.

         For full information on the Pallet control model, please refer to the Freight section.

         Queries

         Any queries regarding pallet transfer/control can be directed to the ULD Specialist:
         Anthony Vercoe
         ULD Specialist – Auckland National Distribution Centre
         Progressive Enterprises Ltd
         09 275 2849
         Anthony.vercoe@progressive.co.nz

         Replenishment Requirements
         •   All deliveries must be delivered as secured palletised loads with no hanging string, plastic
             tails or faulty wooden pallets.

         •   Pallets must be delivered in the correct Ti Hi configuration as required by PEL - this is
             displayed on the Purchase Order

         •   To ensure data integrity, please contact your appropriate Replenisher as per details on
             your purchase order, regarding the above points or for further information.

         Freight Cost Recovery (FCR)
         •   All vendors must have an agreement in place prior to delivery

         •   You must contact the Freight Cost Recovery team for full details prior to product ranging
             to understand fully the freight cost recovery process.

             Email: freightcostrecovery@progressive.co.nz

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                PAGE 11 of 16
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      Checklist
                Area

                 Ten points of information are required for registration at the DC Gatehouse:
                     1. All Purchase Order Numbers (POs not registered at the Driver Sequencing
                        Office will receive a “miss” for In-Bound Service Level).
                     2. Number of pallets to be delivered
                     3. Number of pallets to stay on the truck
                     4. Vehicle registration number
                     5. Number of passengers, including driver - confirm names
                     6. Transport details - carrier name
                     7. Truck type (e.g. Curtain-side or B-Double)
                     8. Pick Up load (if applicable)
                     9. Chain of Responsibility (how many work hours does the driver have left on the
                        current shift)
                     10. Driver’s name for our Site Driver Induction and mobile phone number for
                         queue call up
                 Pallets are no more than 180cm in height, of good quality and to the New Zealand
                 Standard by a PEL authorised provider
                 GTIN barcode on cartons

                 Pallet Labels (SSCC), one on each fork entry side.

                 Update of PEL master data in your internal systems

                 Aware of all new requirements in the new ANDC

                 New EDI location set up

                 No more that four (4) line items on a single pallet layer

                 Aware of new delivery address

                 Lead times reviewed and updated

                 Carrier aware of safety and delivery requirements

                 Ensure pallet TiHi configuration is correct to PEL requirements

                 Supplied your driver induction details

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                PAGE 12 of 16
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         DC Receiving Times Matrix

                                                       What are the           What are our         What are our
                               What are our           standard pallet         pallet stacking        receiving
           Distribution      receiving times?       heights in our DCs?      policies in terms       policies –
             Centres        (Receiving window          What are the            of Inbound           ‘Subject to
                              is 30mins +/- of           policies on              trucks?        check’ or ‘Leave
                               Booking time)            Exceptions?                                  only upon
                                                                                                 checking stock’.
          ARDC - 9700.       5pm to 3am with       Standard height 1.4m       Standard as the    Orders received
           Address: 80      variations for peak      with exceptions for     above document      strictly – Subject
          Favona Road,             times.          light weight products                              to Check
            Mangere,
          Auckland. Ph:
           09 2752627.
          ANDC – 9722.          13.30pm to         Inbound max height         Stable stacking    Leave only upon
           Address: 60           19.30pm           is 1.8m and/or 1025       and wrapped to       checking stock
           Kerrs Road,                                      kg               the base boards
         Wiri, Auckland.                                                         with good
         Ph: 09 2752722.                                                      quality pallets
           Palmerston         Mon-Fri: 5am –       Pallet Height is 1.4m.     No stacking of     Orders received
          North – 9745.       5pm. Sat: 6am –      Exceptions are paper        other Vendor      strictly – Subject
          Address: Cnr         12pm. NO Sun           and other light        products on top          to Check
           Mako Mako           except special        weight products.             of ours.
             Drive &            request from                                 Common sense
         Mihaere Drive,            buyer.                                     in weights and
           Palmerston                                                           crushability
          North. Ph: 06                                                       when stacking
            3540200.                                                              pallets.
                                                                             Mezzanine decks
                                                                                    OK.
         Christchurch –     9731: 0600 – 1230.         Standard pallet          Normal and       Orders received
              9731            Trucks on time           height is 1.8m.       Chinese stacking    strictly – Subject
                               window is +/-        Exceptions apply on                               to Check
                                  30mins            carbonated drinks,
                                                   chips, biscuits, cereal
                                                           and TP.
          Christchurch –     9795: 1300-2100.          Standard pallet         Normal and        Orders received
         9795. Address:       Trucks on time           height is 1.8m.       Chinese stacking    strictly – Subject
            146 Shands         window is +/-        Exceptions apply on                               to Check
          Road, Hornby,           30mins            carbonated drinks,
           Christchurch.                           chips, biscuits, cereal
         Ph: 03 3440850.                                   and TP.
             Auckland        Auckland Chilled:       Standard height is       Pallet stacking    Trucks on time
          Chilled/Frozen     Mon – Fri: 0300-      1.2m. Only exception      can be doubled       window is +/-
           DC’s – 9727.      1300. Sat: 0300-       is butter pats 1.4m      up if packaging         30mins
            Address: 27      1130. Sun closed.                                can withstand
          Dalgety Drive,                                                     weight without
             Manukau,                                                        causing damage
          Auckland. Ph:                                                       or H&S issues.
           09 9683935.                                                       Any pallets with
                                                                             damages will be
                                                                                 rejected.

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
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           Palmerston        Palmerston North        Standard height is      Pallet stacking     Trucks on time
              North          Chilled: Mon – Fri:   1.2m. Only exception     can be doubled        window is +/-
         Chilled/Frozen          0600-1300          is butter pats 1.4m     up if packaging          30mins
             – 9747.                                                         can withstand
         Address: 22-30                                                     weight without
           Makomako                                                         causing damage
              Road,                                                          or H&S issues.
           Palmerston                                                       Any pallets with
          North. Ph: 06                                                     damages will be
            3568177.                                                            rejected.

          Christchurch          Christchurch         Standard height is      Pallet stacking     Trucks on time
         Chilled/Frozen:     Chilled: Mon – Fri:   1.2m. Only exception     can be doubled        window is +/-
           9797, 9799.        0630 – 1530. Sat      is butter pats 1.4m      up if packaging         30mins
           Address: 32             Closed.                                   can withstand
          Halwyn Drive,                                                     weight without
             Hornby,                                                        causing damage
          Christchurch.                                                      or H&S issues.
         Ph: 03 9433930.                                                    Any pallets with
                                                                            damages will be
                                                                                rejected.
            Auckland         0600-1600 Daily          Standard Pallet       Pallet stacking is   Orders received
            Produce                except            Height is 1.8m or             1.8m          strictly – Subject
                             Christmas/Good          2.2m if split pallet                             to Check
                                   Friday
           Wellington        0300-2100. Due           Standard Pallet       Pallet stacking is   Orders received
            Produce          42% Stock being         Height is 1.8m or            1.8m           strictly – Subject
                              received from          2.2m if split pallet                             to Check
                            Auckland: Sunday
                                 to Friday
          Christchurch      0800-1600 Sunday          Standard Pallet       Pallet stacking is   Orders received
            Produce          to Friday. Closed       Height is 1.8m or            1.8m           strictly – Subject
                                 Saturday.           2.2m if split pallet                             to Check

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                 PAGE 14 of 16
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         Frequently Asked Questions (FAQ’s)
         There has been and will continue to be a vast amount of “Change” experienced as we
         commission our new National Distribution Centre (NDC) and ramp up our Regional
         Distribution Centres (RDCs) to improve end-to-end efficiencies through the PEL Supply
         Chain.

         The Question & Answers below addresses the most frequently asked questions by Vendors
         and hopefully will answer any queries you may have:

         Q.1      How do I go about printing or generating the Pallet Label?

                  A          If your IT Department is unable to implement a Pallet Labelling solution, GS1
                             New Zealand (http://www.gs1nz.org/home.asp) provide a list on their web site
                             of software and printing providers in each state who can supply a full Pallet
                             Label printing solution.

         Q.2      How & where do I place the Pallet Label containing the SSCC on my full or part
                  pallets?

                  A          We have posted on our Vendor's Website the Pallet label Specification
                             document detailing how Pallet Labels should be applied.

                             http://www.countdown.co.nz/media/1271362/pallet%20label%20specifications.pdf

                             A brief summary of the requirements: 50mm to 100mm from the right-hand
                             vertical edge of the fork entry side and between 400mm and 800mm from the
                             ground with no more than 5 degree tilt from vertical and not overlapping
                             multiple cartons.

         Q.3      How will Inbound Service Levels (IBSL) be affected if the delivery is held up at the
                  DC’s by PEL?

                  A          Drivers are to check in at the Gatehouse at truck the entrance upon arrival.
                             This arrival time is used in the service level calculation.

         Q.4      If there is a request by PEL and agreement with the Vendor to a delivery time
                  change, either earlier or later, will the delivery be flagged as “On Time”?

                  A          Yes - if requested by PEL and on authority of DC Replenishment and only if
                             the new delivery time slot is met.

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                PAGE 15 of 16
COUNTDOWN DISTRIBUTION CENTRE VENDOR PACK

         Q.5      If I cannot make the delivery date & time do I need to call anyone?

                  A        Yes - If you are the carrier you must call the Vendor. If you are the vendor
                           then you must call the PEL Rebuyer/Replenisher. If you do not show up on
                           the day scheduled without any prior notification then this “No Show” is treated
                           seriously by PEL and will be followed up for explanation by the vendor.

         Q.6      Why are carton GTIN’s required

                  A        ANDC is a new facility utilising the latest product scanning technology. In the

                           receipt process, the carton GTIN is scanned to verify the product in our WMS

                           system & then it is checked against the GTIN barcode on your pallet label to

                          ensure what we ordered has been correctly supplied.

         Q.7      What can I do to improve pallet wrapping & pallet stability?

                  A        Ensure that pallets do not have any protruding wrapping dags or loose tails
                           as this can lead to serious OH&S issues. Ensure that the pallet is wrapped to
                           the top one-third of the pallet only. String can be used to secure your product,
                           but it must not have loose tails. The correct cold water-based PVA glue can
                           be used between layers to secure the load. Check that your trade units do not
                           exceed the edge of the wooden pallet – i.e. no overhang. Please refer to the
                           PEL NZ Packaging specification document for further details.

                           http://www.countdown.co.nz/media/998070/pel%20nz%20packaging%20specifications%20august%202010.pdf

Copyright © 2011 by Progressive Enterprises Limited. COMMERCIAL IN CONFIDENCE. No part of this document may be
presented, reproduced or copied in any form or by any means (graphical, electronic or mechanical including
photocopying, recording tape or by any information storage and retrieval system) without the express written permission of
Progressive Enterprises Limited.
                                                                                                              PAGE 16 of 16
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