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Mr. Patrick B. NixonDirector and CEO

Mr. Patrick B. NixonDirector and CEO

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Control produce procurement

Leadership role in Health & Wellness

Virtual Commissary (Phase II)

Set the standard for fiscal responsibility

Speed to shelf

Lift per promotional dollar

Deliver the Store of the Future

Control produce procurement

Leadership role in Health & Wellness

Virtual Commissary (Phase II)

Set the standard for fiscal responsibility

Speed to shelf

Lift per promotional dollar

Deliver the Store of the Future

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(Insert Store of the Future Video

Here)

(Insert Store of the Future Video

Here)

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Sales Growth• $3,675.9 FYTD May vs. $3,610.5 in May FYTD 2006 (up $65.4M; +1.8%)

Benefit Value• 32% in FY 2006 vs. 30% Goal

Patron Satisfaction• 4.23 vs. 4.55 - (+7.6%)• ACSI for CY 2006 is 77 vs. Supermarket Industry 75

Sales Growth• $3,675.9 FYTD May vs. $3,610.5 in May FYTD 2006 (up $65.4M; +1.8%)

Benefit Value• 32% in FY 2006 vs. 30% Goal

Patron Satisfaction• 4.23 vs. 4.55 - (+7.6%)• ACSI for CY 2006 is 77 vs. Supermarket Industry 75

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15.322.1Inventory Turns

45,00016,829Avg. Number of SKU’s

34,14731,392Avg. Sq. Ft. per Store

$30.86$60.76Avg. Transaction

$ 7.12$16.15Weekly Dollar Sales per Sq. Ft. of Sales Area

$297,496$506,968Avg. Sales per Week

15.322.1Inventory Turns

45,00016,829Avg. Number of SKU’s

34,14731,392Avg. Sq. Ft. per Store

$30.86$60.76Avg. Transaction

$ 7.12$16.15Weekly Dollar Sales per Sq. Ft. of Sales Area

$297,496$506,968Avg. Sales per Week

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The AAFES Community Development Initiative• Concepts

Town Center

Lifestyle Center

Mixed Use Development

• Locations: AAFES investigating feasibility at 7 locations

DeCA will participate where it makes sense

FY 2008 replacement commissary at Fort Bliss

being planned as part of a Town Center

• May include: Fast food, fitness centers, furniture, military

clothing, theatres, and national retail chains for books, clothing,

casual dining, etc.

The AAFES Community Development Initiative• Concepts

Town Center

Lifestyle Center

Mixed Use Development

• Locations: AAFES investigating feasibility at 7 locations

DeCA will participate where it makes sense

FY 2008 replacement commissary at Fort Bliss

being planned as part of a Town Center

• May include: Fast food, fitness centers, furniture, military

clothing, theatres, and national retail chains for books, clothing,

casual dining, etc.

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“Clean Audit Opinion” Fifth Consecutive Year

Highest score in DoD for FY 2006 Annual

Statement of Assurance for Internal Controls

Average energy use per sq. ft. 10% above the

“Energy Star” rating for supermarkets

“Clean Audit Opinion” Fifth Consecutive Year

Highest score in DoD for FY 2006 Annual

Statement of Assurance for Internal Controls

Average energy use per sq. ft. 10% above the

“Energy Star” rating for supermarkets

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Best customer identity theft protection

• Latest encryption in DoD

• Strong firewalls and intrusion detection protect

confidential data

Annual FISMA and Privacy Act compliance

certification

Best customer identity theft protection

• Latest encryption in DoD

• Strong firewalls and intrusion detection protect

confidential data

Annual FISMA and Privacy Act compliance

certification

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Scholarship program

• Applications: 39,927

• Recipients: 3,532

• Dollars awarded: $5,506,000

Voter Assistance & Military One-Source

Spouse & family member hiring

• 38% employment

Scholarship program

• Applications: 39,927

• Recipients: 3,532

• Dollars awarded: $5,506,000

Voter Assistance & Military One-Source

Spouse & family member hiring

• 38% employment

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DeCA Dietitian

• Promote DeCA as Nutritional Leader

• Partnership with DoD

• Partnership with TRICARE

DoD Nutrition Committee

• “Ask a Dietitian” on www.commissaries.com

“Its Your Choice, Make It Healthy”

Campaign

• Regional commercial grocer application

DeCA Dietitian

• Promote DeCA as Nutritional Leader

• Partnership with DoD

• Partnership with TRICARE

DoD Nutrition Committee

• “Ask a Dietitian” on www.commissaries.com

“Its Your Choice, Make It Healthy”

Campaign

• Regional commercial grocer application

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Workforce of the Future

• Critical strategic element

Implement a more productive, flexible store level

workforce

Better serves needs of all stakeholders

More viable in a competitive sourcing environment

• Status

Initial briefing provided to 38 stores as of June 1,

2007

Implementation on target for 53 stores – FY 2007

All Hawaii stores; Grand Forks, ND; and Smokey

Point, WA

have received comprehensive WOF training

Workforce of the Future

• Critical strategic element

Implement a more productive, flexible store level

workforce

Better serves needs of all stakeholders

More viable in a competitive sourcing environment

• Status

Initial briefing provided to 38 stores as of June 1,

2007

Implementation on target for 53 stores – FY 2007

All Hawaii stores; Grand Forks, ND; and Smokey

Point, WA

have received comprehensive WOF training

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Commissary Advanced Resale Transaction

System

(CARTS)

• On track to deploy CARTS at all commissaries by May

2008

• CONUS operational testing & evaluation initiated

February 23, 2007

Engaged in testing at Fort Lewis, WA; McClellan, CA;

Lackland, TX; Fort McCoy, WI; San Diego, CA; Harrison

Village, IN

• OCONUS operational testing & evaluation initiated May

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Engaged in testing at Vogelweh, GE

Commissary Advanced Resale Transaction

System

(CARTS)

• On track to deploy CARTS at all commissaries by May

2008

• CONUS operational testing & evaluation initiated

February 23, 2007

Engaged in testing at Fort Lewis, WA; McClellan, CA;

Lackland, TX; Fort McCoy, WI; San Diego, CA; Harrison

Village, IN

• OCONUS operational testing & evaluation initiated May

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Engaged in testing at Vogelweh, GE

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DeCA Enterprise Business System – Replaces

legacy business applications

Cataloging Receiving

Ordering Inventory Management

• Milestone A approval on target – 4th quarter FY 2007

• Projected Milestone B approval & software

contract award – 3rd quarter FY 2008

• Projected Initial Operating Capability – FY 2011

DeCA Enterprise Business System – Replaces

legacy business applications

Cataloging Receiving

Ordering Inventory Management

• Milestone A approval on target – 4th quarter FY 2007

• Projected Milestone B approval & software

contract award – 3rd quarter FY 2008

• Projected Initial Operating Capability – FY 2011

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Individualized Shopping Experience

• Creating a sense of community

• Exciting shopping experience

• Brand name recognition

• High coupon usage

• Pantry loading or grab & go

Individualized Shopping Experience

• Creating a sense of community

• Exciting shopping experience

• Brand name recognition

• High coupon usage

• Pantry loading or grab & go

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Cooperative alliances with key business

partners

Effective use of technology

Individualized shopping experience

Enhance use of shopper data

Deliver premier shopping experience

Cooperative alliances with key business

partners

Effective use of technology

Individualized shopping experience

Enhance use of shopper data

Deliver premier shopping experience

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