September 2017 Board Book

Food Service Update

Sysco Mike Gallagher and Bob Carroll met with Derek Dafoe from Sysco in Houston in June and then in Southern California in August. Key topics included: • Sysco California visit in October to include key Sysco decision makers from culinary and category management from OPCOs nationwide • Strategic partnerships with key California processors who are open to co-branding with Sysco’s private label “Wholesome Farms” • Evolution of accrual based program to include small and medium-sized business vs. current large-volume only commodity opportunities (butter & pizza cheese) • Partnership between Technomic, CMAB and Sysco: Technomic VP and President presented to CMAB and Sysco a new “IRI-like” volume measurement tool for Foodservice that we will likely test in late 2017/early 2018 US Foods Nancy Campbell has continued to pursue the US Foods relationship with the goal of setting up a similar program as Sysco’s. The dairy category manager is going to visit California in October. They are completely aligned with and love our Real Maker’s campaign and invited us to their California regional meetings to present as part of their culinary innovation agenda. This is a fantastic way to introduce the CMAB and our program to the key sales managers. McDonald’s Ibotta Promotion CMAB helped McDonald’s pioneer a program with Ibotta in Southern California. Early results from the promotion are very strong. Ibotta’s average redemption rate is 23% and our program is tracking at 30.3%.