Defense Supply Center Philadelphia

1. Defense Supply Center Philadelphia CAPT Ed Rackauskas, SC, USN Director, Subsistence Customer Operations 25 February 2008

2. Agenda • Overview • Operational Rations support • Garrison Feeding support • OEF/OIF support • Final thoughts…

3. Subsistence Customers Customers – 12,000 13M orders per year 65,000 different items Sales FY03 - $2.7B FY04 - $3.0B FY05 - $3.9B FY06 - $4.0B FY07 - $4.0B The Big Picture Inventory FY03 - $215M FY04 - $197M FY05 - $190M FY06 - $428M FY07 - $406M Personnel Suppliers 1,261 Employees 355 (342 civilian + 13 military)

4. FY07 Subsistence Business Readiness Dividends • Forward presence • Surge & sustainment • Joint strategy • Total asset visibility Warfighter $3.705B Other $318M + = Navy $353M Army $3,069M Air Force$201M Rations $498M Marine Corps $81M Garrison Feeding$3,088M Produce $437M DeCA $74M $4.0 Billion NonDoD$244M

5. Partnering with Customers and Industry • Uniformed Services • Joint Subsistence Policy Board (JSPB) • FEMA, Other Federal Programs • Natick Labs • VETCOM • Prime Vendor Food Shows Supplyplanning Demandplanning We are ENGAGED! Networking = understanding requirements & capabilities

6. Tailored Operational Rations • Individual Field Feeding Program • Meal, Ready-to-Eat (Ameriqual, Wornick, Sopakco) • Meal, Religious, Kosher/Halal • Meal, Cold Weather (MCW) • Food Packet, Long Range Patrol (LRP) • Tailored Operational Training Meal (TOTM) • Meal, Alternative Regionally Customized (MARC) • Group Field Feeding Program • Unitized Group Ration (A and Heat &Serve options) • Unitized B Ration (USMC only) • Survival Rations (Food Packet) • Humanitarian Daily Ration (HDR) • Health & Comfort Pack (HCP) • Ultra High Temperature Milk (UHT Milk) New Items • UGR-Express • First Strike (FSR) The right product for the mission!

7. Standard Expeditionary < 6 Months Temporary < 24 Months Ration Cycle U-M-U w/one UGR (A) meal every third day 21 Day CONOPS Menu U-M-U M-M-M U-M-M U-M-U U-M-U Theater Ration Mix Force Provider, LOGCAP or Direct Contract 90 % Supported by SPV Platform 10% Combination of MREs, UGRs Condition based UGR (H&S) 56% UGR (H&S) 34% UGR (H&S) 10% UGR (H&S) 05% UGR (H&S) 34% MRE 100% MRE 33% MRE 33% MRE 20% MRE 15% MRE 66% UGR (A) 11% UGR (A) 33% UGR (A)+ 70% UGR (A)+ 80% Facilities Force Provider LOGCAP & SPV MKT, CK, Unit Tents, Force Provider, Refers MKT, KCLFF, CK, Tents, Refers Deployment Days D+ 1-20 days 21-30 31-60 61-90 91-180 181 Days to 24 Months Notes: • Ration Legend: MRE-M, UGR (H&S) or UGR (A) – U, UGR (A) with Short Order Supplemental Menus – UGR (A)+ • Units deploying into developed areas may move directly into the temporary standard depending upon their mission and the theater logistical capabilities at that location. CONOPS Feeding Plan Timeline(Condition Based) Military LOGCAP 14 April 2006

8. Deployable Field Support(Field Feeding Equipment) • Specialized military-unique field feeding equipment and kitchen systems plus support • Development & design, installation, training, warranty service, spare parts, and replacement • Value added • Partnership with Natick, ACES & Services • Leveraged buying power • One-stop shopping and one face to the customer • Available items • Modern Burner Unit (MBU), Containerized Kitchen (CK), Tray Ration Heating System (TRHS), Food Sanitation Center (FSC), Single Pallet Expeditionary Kitchen (SPEK) $23.2MFY07

9. Radio Frequency Identification Tags(RFID Tags) • Active tags • Provide intransit visibility… container tracking via ITV Server • Implemented on all OCONUS and in-theater operational ration shipments • Passive tags • Provide inventory control… on shipping case and pallet • Implemented in MRE 26 and subsequent orders Government & industry partnership

10. FEMA Disaster Support • Then… limited demand planning with FEMA • Reacted to rqmts during disasters • 32M MRE meals • 28M commercial, shelf-stable meals • Now… interagency agreement with FEMA • Prepositioned 250k cases MRE inventory • Agreements for commercial, shelf-stable meals • Meal kits and care packs for infants and toddlers • Intransit visibility on all shipments New Orleans, Oct 22, 2005

11. Multiple order lead times New items twice a year Basic staple items Limited items in system Manage inventories Stock in/stock out Paper system 24 to 48 hour lead time New items weekly Tailored catalogs Refined no. of items Manage vendors Direct Vendor Delivery Electronic Commerce How is Subsistence Prime Vendor Different? Traditional Support Prime Vendor Support

12. 22 platforms! OCONUS Prime Vendor PlatformsWe’re located where our customers are! Alicante SP Bischofsheim GE Alaska Azores Forli IT Korea Kyrgyzstan Japan Afghanistan Okinawa Gevgelija MA Turkey Guam Singapore Jordan Kuwait Hawaii Bahrain Qatar Ecuador UAE Djibouti

13. FF&V/LMR Turkey - PV Kuwait H1 Courage/ Palace H2.1 Mosel Airfield H3.1 Q-West H4 Marez/ Glory H5 Tall Afar/Sykes FF&V/LMR/PV - Kuwait D1.1 Volunteer D3 Prosperity D4 Ferrin/Huggins D5.2 BIAP West D7 CP Cuervo D8 Dragoon Base D11 Freedom Rest Phoenix Phoenix F1.1 Victory Base F1.2 Victory Camp S F2.1 Antelope F2.2 Blackjack F2.3 Pegasus F06 Justice I Baghdad CCF J1 Baghdad Palace L ISG TF626 TF626 FF&V/LMR Turkey - PV Kuwait C1.1 Victory Inn C1.2 Eagle Nest C2 Remagen C7 Warrior C8 Summerall J3 Kirkuk FT.SUSIE Ft. Susie DFAC HUB SUPPORT Prime Vendor Iraq 3 supporting warehouse platforms Dahuk Dahuk Bashur Bashur Dahuk Dahuk FF&V/LMR/PV - Kuwait C5.1 CSM Cooke C5.2 Wrangler Inn Tigris R. Tigris R. Arbil Arbil DIAMONDBACK DIAMONDBACK Mosul Mosul 1 1 2 2 Ninawa Ninawa Kirkuk Kirkuk IRAN IRAN Dayr az Zawr Dayr az Zawr At Tamim At Tamim As Sulaymaniyah As Sulaymaniyah 68 Dining Facilities (DFACs) FLB SPEICHER FLB SPEICHER FLB SYCAMORE FLB SYCAMORE Salah ad Din Salah ad Din Euphrates R. Euphrates R. 5 5 LSAANACONDA LSAANACONDA Samarra Samarra 12 12 AlQaim AlQaim SYRIA SYRIA AL ASAD AL ASAD 36 Forward Operating Bases(Mobile Kitchen Trailer sites) Taji Taji Diyala Diyala Baqubah Baqubah FF&V/LMR/PV - JORDON B1.1 Camp Al Asad B1.2 Camp al Asad B07 Al Qu’im Ar Ramadi Ar Ramadi Baghdad Baghdad BIAP BIAP Ar Rutbah Ar Rutbah 1 1 Fallujah Fallujah TQ TQ 10 10 Wasit Wasit Babil Babil H3 H3 H4 H4 Al Hillah Al Hillah Karbala Karbala AlKut AlKut Dezful Dezful Al Anbar Al Anbar Karbala Karbala Al Kufa Al Kufa FF&V/LMR/PV - Kuwait A1.1 Camelot A1.2 Mirage A1.3 Oasis A1.4 Desert Inn C3 Warhorse C3.D N. Baqubah C11 KMTB C3B FOB Gabe C3F FOBNormandy C3I 336 MP JORDAN JORDAN SCANIA SCANIA FF&V/LMR/PV - Kuwait K1 Tallil K2 Ceder II K4 TTM B08 Duke G4 Al Hillad Charlie J9 Al Hilliah CPA AlAmarah AlAmarah AnNajaf AnNajaf Al Qadisiyah Al Qadisiyah 22 22 CEDAR CEDAR Maysan Maysan PWC supports 104 DoDAAC customers within Iraq & Kuwait • 36 Forward Operating Bases (Mobile Kitchen Trailer sites) • 68 Dining Facilities (DFACs) AsSamawah AsSamawah Dhi Qar Dhi Qar Ahvaz Ahvaz 6 6 Ad Diwaniyah Ad Diwaniyah FF&V/LMR/PV - Kuwait G3 Al-Kut G6 Camp Echo K3 Scania D16 WKALSU D17 Iskandaria AnNasiriyah AnNasiriyah FLB CEDAR FLB CEDAR Ar’ar Ar’ar Tallil Tallil FF&V/LMR/PV - Kuwait B2 Blue Diamond B3 Camp Al Fallujah B3.2 MEK Fallujah B4 Camp Al Ramadi B6 TQ Ridgway B10 Al Taqaddum TF145 WTF145 C3K FOB Corregidor Al Basrah Al Basrah An Najaf An Najaf 1 1 Az Zubayr Az Zubayr 9 9 Safwan Safwan Retro-grade of trucks back to PWC NAVISTAR TAA VIRGINIA Rafha Rafha FF&V/LMR/PV - Kuwait J10 S. Team Basra EPW2 EPW2 KUWAIT KUWAIT SAUDI ARABIA Port of Shuwaikh SAUDI ARABIA 29-March-2006

14. Distribution Process in Iraq Port of Shuwaikh DFAC • Escort to base from HUB • Staging area • Notify DFAC trucks are in Staging Area • Military personnel escort truck to DFAC • Gov’t provides life/medical support & refueling • Downloaded trucks are retrograded back to staging area awaiting escort back to HUB where they follow flow in reverse PWC/Agility Warehouse K-Crossing IRAQ HUBS Loops until Trucks reach HUB that services destination - RF-Tags5 mins per tag (can take 10 hrs per day for each push - SAT Tags - Trucks loaded into MCT Matrix and placed into escort convoy - Trucks stop at HUBS along MSR • Trucks continue on with existing convoy or separate out into other convoys based on destination • New security escorts • Overnight stay at HUB causes life support, medical support and refueling issues (trucks & reefers) • Management of all issues are responsibility of PWC TOs • Incidents occur on the MSR; • Squad Leader Program helping move along SPV convoys from hub to hub • Convoy Commanders sometimes deviate from approved route • Recovery of broken down assets to HUB • Financial liability issues for loss MKT • HUB calls MKT site for escort to pick up trucks • Same as DFAC process Processes are also Gaps – not continual, but unpredictable & recurring

15. SWA Container Update

16. Prime Vendor Afghanistan Forward Operating Bases / Provisional Reconstruction Teams DFAC (21-day) BAF (Bagram) 5 Salerno 1 Kabul 7 KAF (Kandahar) 4 Total 17 KUNDUZ CAMP SPANN MAZAR E SHARIF NATO ISAF NARAY (2X) NANGALAM / BLESSING A-BAD (2X) BAGRAM (5X) METHARLAM KABUL (7X) HERAT J-BAD (4x) FF&V CHAGHCHARAN RC EAST MEYDAN SHAR PUL-E-ALAM TORKAM DURELAMAN CHAMKANI SALERNO FF&V GHAZNI GARDEZ (2X) CHAPMAN FF&V PAUL SMITH KHOWST FF&V KAF CSC DA 73 FF&V SHARONA CLARK Supreme supports 68 DoDAAC customers within Afghanistan • 49 Forward Operating Bases (FOBs) • 17 Dining Facilities (DFACs) • 2 Class I Yards DR 73 FF&V LAWARA RIPLEY ORGUN - E FF&V TARIN KOWT FARAH BERMEL SHKIN FF&V QALAT RCAG LAGMAN FF&V WAZA KAWA KANDAHAR (4X) GHECKO SHINKAY / SWEENY LASHKAR GAH (2X) GERESHK RC SOUTH SPIN BULDAK

17. Distribution Process in Afghanistan DFAC Operations Port of Karachi Kabul Airport FOBs supported via air SPV uses 2 x MI8 helos and one AN26 for support • Military / designated escorts shepherd trucks once on base to delivery locations • Downloaded trucks are retrograded back to SPV warehouse normally on the same day BAF - Trucks deliver direct to BAF DFACs and BAF Class I Yard Supreme Warehouse KAF - Trucks deliver direct to KAF DFACs and KAF Class I Yard • Movement from Karachi through Pakistan to Kabul requires an average of 12 days. FOB Operations FOBs - Trucks deliver direct to FOBs – move without military escort • Trucks must be staged outside each FOB for 24hrs prior to being allowed to enter and download. • Downloaded trucks are retrograded back to SPV warehouse normally on the same day they are downloaded • Numerous reported incidents along supply routes involving Taliban Militants – 99 fatalities since Dec 05 – most attacks include small arms fire and shoulder fired rockets.

18. Common Food Management System(CFMS) • Services agree to develop one common JOINTweb-based system tied to STORES to replace existing Service systems • DLA supports CFMS and has approved funding through FY11 • Integration Services contract awarded Mar 2005 • Prototype sites scheduled for FY08

19. Final Thoughts… • Dedicated, experienced workforce • Contingency support / War Reserve management • Customer relationships • Tried-and-true industrial base • Working toward Service-wide systems and processes from planning to consumption

20. Subsistence Readiness… …taking care of our warfighters world-wide and their families… Ready, willing & able to meet warfighter needs around the globe