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CA CAPA PABI BILI LITI TIES ES 1 CO COMPANY NY OVERVIEW Founded in 1966 1300 Employees 18 Locations Over 5 Million S. Ft. Over 125 Trucks Over 300 Trailers Contract Packaging Warehousing


  1. CA CAPA PABI BILI LITI TIES ES 1

  2. CO COMPANY NY OVERVIEW • Founded in 1966 • 1300 Employees • 18 Locations • Over 5 Million S. Ft. • Over 125 Trucks • Over 300 Trailers • Contract Packaging • Warehousing • Public/Contract • Distribution – Zenith • Transportation • Brokerage 2

  3. WAREHO HOUSI USING NG 18 locat ations ions KY, IN, O OH, MI Typical Verst Warehouse Operation: 180,000 – 775,000 Sq. Ft. • 30+ Truck Doors • Rail Doors – In Multiple locations • 30’ High Ceilings • Rack/Floor Storage • Advanced WMS Systems • AIB Certification • Food Safe Operations • Fully RF Integrated • Secure Truck Parking • Close Proximity to I-75 • Public Warehousing 3

  4. LOCA CATION ONS Ohio • 11880 Enterprise Cincinnati, OH • 9696 International Springdale, OH • 98 Glendale-Milford Rd Woodlawn, OH • 356 Three Rivers Parkway Addyston, OH Norther ern n Kentuck ucky • 1100 Burlington Pike Florence, KY • 2200 Gateway Hebron, KY • 300 Shorland Dr. Walton, KY • 340 Shorland Dr. Walton, KY Kentuck ucky • 1234 Gardiner Louisville, KY • 2000 Nelson Miller Pkwy Louisville, KY • 440 Greendale Road Lexington, KY • 7130 New Buffington Rd. Florence, KY • 1985 International Way Hebron, KY Indiana ana • 7025 English Avenue Indianapolis, IN Michigan gan • 1825 Rust Avenue Saginaw, MI 4

  5. TRANS NSPORTA PORTATIO ION Regi gional onal Ass sset t Base sed d Fleet eet & N Nation tional al Full ll Servic vice e Transportati ansportation Servi vices ces • Domiciled with Drivers and Live Dispatchers in: – Walton, KY – Cincinnati, OH – Louisville, KY • Over 100 Late Model Tractors • Over 250 48’ & 53’ Trailers • Same Day Service • Yard & Shuttle Service • Real Time Communications • Team Service for Expedited Shipments • 48 State Brokerage Authority • Intermodal Services • Dedicated Operations • EPA Smart way Transport Partner 5

  6. SAFETY TY • Obs Observ ervati ations: At least two per day per supervisor and Import mportan ant proac proactive ve the information gathered is used to uncover trends aspec pects: enabling us to reduce risks. • Planning work with – Observations/interactive conversations with management and employees on the floor risk assessment discussing hazards proactively • Managing through • Inci cide dent nt Inv Inves esti tigati tions ns: Used to educate the whole processes and systems company within 48 hrs. of the incident (Safety Alert). •The “right” Audited to ensure we have assurance that the behaviors (all incident will not be repeated. employees) – Thorough incident investigations with root cause • Everyone is involved analysis, open-ended questions and total facility • Performance monitoring and company involvement to reduce risk of reoccurrence • Continuous improvement • Pre-shift hift Meetin etings gs: Audited to ensure relevance of topic and understanding by employees. – Pre-shift meetings given by management using demonstrations, scripted daily topics and employee involvement 6

  7. QUA UALITY LITY • Quali Qual alit ity Initia itiativ ives: es: lity y Progra ram m Overv rvie iew: Our Quality Management System follows the ISO9001:2008 • ISO 22000 - GFSI Certified • ISO9001:2008 guidelines • FDA Registered &Inspected – The program is augmented with cGMP, AIB, Food • 19 Key Element – P&G Safe and HACCP procedures and programs • cGMP • Tiere • AIB ered Syst stem em: • IMS Listed – Tier 1 – Quality Manual • Smart-way Transport – Tier 2 – Standard Operating Procedures Partner - EPA • HACCP – Tier 3 – Work Instructions or DOP’s • LEAN Training – Tier 4 – Forms • Process Improvement • Bene nefi fits ts: – Reduce Cost – Improve Productivity ISO9001:2008 CERTIFIED – Reduce/Minimize Environmental Impact – Improve Quality Standards – Employee Training – Document Control 7

  8. GET ET IN IN SY SYNC WI WITH TH SH SHRINK RINK 8

  9. VERST LOGISTIC ISTICS S – PACK CKAG AGIN ING Loca ocated ted minu minute tes s fro rom Cinc ncin inna nati ti Airp rport • Shrink Sleeve Labeling – Automatic & Hand Application – TDO & MDO Films • Pressure Sensitive Labeling • High Elasticity Stretch Sleeve Labeling • POP DisplayAssembly • Side Seal / L-Bar Seal • Manual and AutomatedAssembly and Inspection • Multi-Packing - Club Store Bundling & Pallet Displays • Fulfillment – Pick pack • Re-Labeling • Conditioned Storage 9

  10. VERST LOGISTIC ISTICS S – ADV DVANTA NTAGE GES Littl ttle e or No Capita pital l Inve nvest stmen ment • Capacity to Serve – Multiple Automated Lines for Maximum Yields and Volume Capabilities – Automated Secondary equipment: » Bulk to Bulk De-Palletizer/Re-Palletizer, Bottle Descramblers & Cap Sorting Bowls, De-Casing, Case-Packing • Over 100 sets of automatic application tooling in stock = Significant Savings & Speed to Market • Increased Productivity – Pre-fill decorating at Verst versus post fill decorating in house • ISO9001:2008 ISO22000 GFSI Certified – HACCP, GMP, FDA Registered & Inspected – IMS Listed, Kosher approved, ABC License • Project Management – Technical Support / Expertise • Supply Chain Management • Turnkey Service 10

  11. VERST LOGI GISTICS TICS – TURNKEY SERVICE ICES True “Turnkey” Operat ation ion • Contract Packaging • Shrink Labeling • Warehousing & Logistics • Transportation • “One Stop Shop” 11

  12. CO CONT NTRA RACT CT DE DECO CORA RATING TING – CU CUSTOMER OMERS 12

  13. CO CONT NTRA RACT CT DE DECO CORA RATION TION 13

  14. CO CONT NTRA RACT CT DE DECO CORA RATION TION Fo Food od & & Be Beve verage ge 14

  15. CONT CO NTRA RACT CT DE DECO CORA RATION TION Personal onal Ca Care re & Ho & Household ld Cl Cleaners rs 15

  16. PALLE LET T DI DISPLA LAYS S & CO COMBO MBO PACKS CKS 16

  17. CO CONT NTRA RACT CT DE DECO CORA RATING TING – LABEL SUPPLIES 17

  18. CO CONT NTRA RACT CT DE DECO CORA RATING TING – FILM & CONTAINERS 18

  19. SHR HRINK NK SLEEVE E LABEL L – APPLICAT ICATIO IONS NS Tamper Ev Evident dent Bands nds Full Body dy Shrink rink Sleeve Sleeves Multi ti-Pack Packs & On On-Pack Packs Product Promotions and cross Increasingly popular for Hugely popular in Wine & branded items consumer protection in the Spirits, Food & Beverage, Package (label) remains intact, pharmaceutical, vitamin, Personal Care, Automotive and once promotional wrap is food and beverage Household Chemical industries removed industries Pre-Fill ill or r Post ost Fill ill – Post Fill ll – Out utsourced Post Fill ll – In In Hous ouse In Hous In use or Out utsour urced 19

  20. SHR HRINK NK SLEEVE E LABEL L – APPLICAT ICATIO ION (TDO DO) 20

  21. Shrin ink k Sleeve eve Applicatio cation n Flow Ch Chart art 1. Volume , run size & number of SKUs Applic licatio ion Optio ions 2. Container Drawings/Samples request & evaluation 3. Tooling / change parts availability 4. Timing Requirements / Lead Time 5. Application line requirements – Steam tunnel 5. Descrambler/Auto-Orientation/Case Packer - Tooling Auto vs. Au vs. Hand and 1. Inbound Case/Bags/Bulk Boxes (Lined) /Bulk Palletized 2. Tumble Packed vs. Soldier Packed 3. Pre vs. Post Fill Ship ippin ing Speci ecific icatio ions 4. Pallet Load Specification 5. Stack in trailer and warehouse – space requirements 6. WMS Tracking/Lot-Date Coding/InventoryReporting 1. Primarily Determined at Label Development Stage Lab abel el Sizing ing 2. Shrink Label supplier(s) selected 3. Testing with Grid Material - LF & CL Dimensions 4. Panel placement – Template 5. Distortion evaluation for artwork development 6. Label Perforation (In-Line)/Placement 7. Final Testing with printed labels, digitals or grey scales 8. Establish Quality Standards - Targets Seco condar ary Pack ckagin ing/ Log ogis istic ics 1. Bags/Trays/Corrugated Boxes/POP Display (Post-Fill) 2. Multi-Packing/Club Store packaging (Post-Fill) 3. Transportation To/From 4. Warehousing and Storage/Safety Stock Shor ort (Manu nual) l) 5. Supply Chain Management Prod oductio ion Run Run 1. 15,000 (hand) to 50,000 (auto with tooling) 2. Filling line production testing Full ull Prod oduc uction 3 Shipping , top load , micro testing & distribution testing 4 Full Production 21

  22. SHR HRINK NK PERCE CENT NTAGE AGE & SL SLEEVE E LAY FLAT De Deter termin ine Shrin ink Perc rcenta tage Step St ep 1: 1: With Flexible tape, measure the smallest & largest circumference of the container. The difference between c2 & c1 is the Shrink % and can determine film to be used. Label bel “Lay Flat”: (In millimeters) Largest Circumference(c2) divided by 2 and then add 3mm for fit during application and tooling consideration. Verst has over 80 sets of application tooling in stock that align with many different Lay Flat sizes. 22

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