19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159

8100 Fax: (852) 2159 8106

1. Introduction
This document is the guideline to the suppliers in handling Kaufland ocean and air export shipments from Far East. Kaufland operated business in Germany and Eastern Europe countries including Czech Republik, Slovakia, Poland, Croatia, Romania and Bulgaria. Suppliers are requested to arrange Kaufland shipment to the above mentioned countries according to the shipping instruction from Kaufland.

2. Kaufland Purchase Order

2.1 Purchase Order Structure In general, Kaufland purchase orders (PO) are written as XX-XX-X-XXX-XXXX-XX-XX and please refer to below detail explanation. For example - DE-SN-1-660-0026-12-06 DE-SN 1 660 0026 12 06 Order Prefix Far East Item Group Running Order Number Year 2012 Batch Number Optional

2.2 General Contract Orders General Contract (GC-EI) is one of the order prefix from Kaufland PO. Each General Contract consist sub PO no. represent the ordering country(s) and quantity. Sub PO no. can be found on the bottom right corner from the first page of the PO. Please refer to below sample for the sub PO no. on Kaufland PO.

Kaufland Logistics Handbook Version 1.5

Page 1 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

There will be different sub PO no. according to the ordering country(s), please refer to below table for reference. DE-EI CD-EI CO-EI SK-EI CZ-EI HR-EI PL-EI RO-EI BG-EI Germany Combine quantity for all Eastern Europe Country Slovakia & Czech Republik Slovakia Czech Republik Croatia Poland Romania Bulgaria

Kaufland Logistics Handbook Version 1.5

Page 2 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

2.3 Summary Table of Kaufland PO Prefix Below table shows all order prefix of Kaufland PO. Each order prefix will be requested to ship to dedicate place of delivery. It is accepted to combine different order prefix with same place of delivery excepted CO-EI & CD-EI orders. For example, it is accepted for suppliers to ship DE-UT & DE-EI in the same shipment as place of delivery will be Donnersdorf for both order prefix.

Order Prefix

Arrival Port (Port of Discharge)

Place of Delivery (Final Destination) Donnersdorf Donnersdorf Donnersdorf

DE-EN DE-UT DE-TN DE-SN DE-FN DE-EI CO-EI CD-EI CZ-EI PL-EI SK-EI HR-EI RO-EI BG-EI Rijeka Constanza Varna or Burgas (Please see Remark) Hamburg or Bremerhaven (Please see Remark)

Donnersdorf Hamburg or Bremerhaven Donnersdorf Olomouc Olomouc Modletice Wola Krzysztoporska Ilava Zagreb Ploiesti Stryama

Allow to Combine with Following Order Prefix DE-UT, DE-TN, DE-SN, DE-EI DE-EN, DE-TN, DE-SN, DE-EI DE-EN, DE-UT, DE-SN, DE-EI DE-EN, DE-UT, DE-TN, DE-EI No DE-EN, DE-UT, DE-TN, DE-SN No No No No No No No No

Remark: Order prefix with possible arrival port Hamburg or Bremerhaven and Varna or Burgas will be subjected to the shipping line arrangement by the freight forwarder.

Kaufland Logistics Handbook Version 1.5

Page 3 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

3. Shipping Arrangement by Sea

3.1 Vessel Booking with Freight Forwarder DHL Global Forwarding (DGF) and Logwin Air + Ocean (Logwin) are the nominated freight forwarder for Kaufland in Far East. Both DGF and Logwin operated a centralized platform for all vessel booking. Supplier should send all the vessel bookings to Booking Center (BC) by email as follow, Shipments handled by DHL Booking Center (DBC) included all POs with Shipping Ports in Far East except Shipping Ports in Guangdong Province, China and Hong Kong edghk-dgf-kaufland@dhl.com Shipments handled by Logwin Booking Center (LBC) included all POs with Shipping Ports in Guangdong Province, China and Hong Kong cn.kaufland@logwin-logistics.com

DBC and LBC will handle the vessel booking with supplier according to the agreement with Kaufland. Supplier is requested to prepare separated vessel booking according to the place of delivery and order prefix minimum two weeks (10 working days) before the requested departure date. Please refer to Point 2.3 for the details and the combinations to prepare the vessel booking with KBC. Updated contact list of DBC & LBC can be obtained by email. 3.2 Booking Confirmation from Freight Forwarder The freight forwarder will release booking confirmation or shipping order to suppliers if the proposed sailing schedule able to meet Kaufland requirement. It is very important that booking confirmation or shipping order issued by the freight forwarder dont imply that the PO is released by Kaufland. Supplier must obtain the shipment release and approval from Kaufland merchandising team before ship out the goods. 3.3 Shipping Document Preparation and Distribution Please refer to the Logistics Manual issued by our service partner Markant Trading Organisation (Far East) Ltd. (MTO) for shipping document preparation and distribution. The Logistics Manual could be downloaded from MTO website on below links: http://www.markant.com.hk/suppliers/5mt9s76kla9.html

Kaufland Logistics Handbook Version 1.5

Page 4 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

Please refer to below table for the Consignee, Notify Party, Arrival Port and Place of Delivery (Final Destination) should be mentioned on the shipping documents. Supplier is requested to prepare separated shipping documents for each place of delivery. Order Prefix DE-EN, DE-UT, DE-TN, DE-SN, DE-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Same as Consignee Hamburg or Bremerhaven Donnersdorf DE-FN Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Same as Consignee Hamburg or Bremerhaven Hamburg or Bremerhaven CO-EI, CD-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Ceska republika v.o.s Pod Visnovkou 25 CZ- 140 000 Praha 4 Hamburg or Bremerhaven Olomouc

Consignee

Notify Party Arrival Port Place of Delivery Order Prefix

Consignee

Notify Party Arrival Port Place of Delivery Order Prefix Consignee

Notify Party

Arrival Port Place of Delivery

Kaufland Logistics Handbook Version 1.5

Page 5 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

Order Prefix Consignee

CZ-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Ceska republika v.o.s Pod Visnovkou 25 CZ- 140 000 Praha 4 Hamburg or Bremerhaven Modletice PL-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Polska Markety Sp. z o.o. Spolka Komandytowa ul. Szybka 6-10 PL - 50-421 Wroclaw Hamburg or Bremerhaven Wola Krzysztoporska SK-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Slovenska republika v.o.s. Trnavska cesta 41 A SK - 831 04 Bratislava 3 Hamburg or Bremerhaven Ilava

Notify Party Arrival Port Place of Delivery Order Prefix Consignee

Notify Party

Arrival Port Place of Delivery Order Prefix Consignee

Notify Party Arrival Port Place of Delivery

Kaufland Logistics Handbook Version 1.5

Page 6 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

Order Prefix Consignee

HR-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Hrvatska k.d. Vile Velebita 6 10 000 Zagreb Hrvatska Rijeka Zagreb RO-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Romania SCS Str. Barbu Vacarescu, Nr. 120-144, Sector 2 020284 Bucuresti Constanza Ploiesti BG-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Bulgaria GmbH & Co.KG Frau Shahanova Kukusch Str. 1 BG - 1309 Sofia Varna or Burgas Stryama

Notify Party

Arrival Port Place of Delivery Order Prefix Consignee

Notify Party

Arrival Port Place of Delivery Order Prefix

Consignee

Notify Party

Arrival Port Place of Delivery

Kaufland Logistics Handbook Version 1.5

Page 7 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

3.4 Container Shipment and Loading Factor 3.4.1 Full Container Shipment Kaufland only accept below type of containers for the general merchandise. a. 20 General Purpose Container (20GP) b. 40 General Purpose Container (40GP) c. 40 High Cube Container (40HC) 3.4.2 Loading Factor Loading factor is referring to the minimum loading volume for each type of the container. Supplier should advise BC for the shipping volume per order number which will be arranged. BC will decide the shipping mode and release equipment in line with the below general guideline. DHL Shipping Mode LCL 20GP 40GP 40HC Logwin Shipping Mode LCL 20GP 40GP 40HC

Volume <21 CBM 21 CBM 50 CBM 57 CBM

Volume <25 CBM 25 CBM 54 CBM 65 CBM

Kaufland will consider to ship FCL below the minimum loading volume for exceptional case and it is subjected to Kaufland approval. 3.5 Full Container Load below Minimum Loading Volume In any case FCL is requested due to suppliers issues. The minimum loading volume for each type of the container will be followed as per below table. Container Type 20GP 40GP 40HC DHL 23 CBM 50 CBM 57 CBM Logwin 25 CBM 54 CBM 65 CBM

The freight cost different between the actual shipment volume and minimum loading volume will be settled by supplier to the freight forwarder directly unless there is special agreement with Kaufland.

Kaufland Logistics Handbook Version 1.5

Page 8 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

4. Shipping Arrangement by Air / Sea-air

4.1 Air / Sea-air Freight Booking with Freight Forwarder There is no nominated freight forwarder for air or sea-air shipment unless it is specified on the official Kaufland PO. 4.2 Incoterm for Air / Sea-air Shipment In General, Kaufland only accept incoterm CPT Stuttgart or CPT Frankfurt unless it is specified on the official Kaufland PO or there is separated agreement. 4.3 Shipping Document Preparation and Distribution Please refer to the Logistics Manual issued by our service partner Markant Trading Organisation (Far East) Ltd. (MTO) for shipping document preparation and distribution. The Logistics Manual could be downloaded from MTO website on below links: http://www.markant.com.hk/suppliers/5mt9s76kla9.html

Please refer to below table for the Consignee, Notify Party and Destination Airport should be mentioned on the shipping documents. Supplier is requested to prepare separated shipping documents for each destination airport. Order Prefix Consignee DE-EN, DE-UT, DE-TN, DE-SN, DE-EI Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany

Notify Party

Same as Consignee

Destination Airport

Stuttgart, Germany

Kaufland Logistics Handbook Version 1.5

Page 9 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

Order Prefix

CD-EI (Pls see Remark) Kaufland Warenhandel GmbH & Co. KG Roetelstrasse 35 D-74172 Neckarsulm Germany Kaufland Ceska republika v.o.s Pod Visnovkou 25 CZ- 140 000 Praha 4 Frankfurt, Germany

Consignee

Notify Party

Destination Airport

Remark: The order prefix will be changed to CD-EI for all KMO Countries and there will be a revised PO!! 4.4 Pre-Alert for Air / Sea-air Shipment Supplier should always inform our service partner DHL Global GmbH, Kaufland Germany and Hong Kong office with below contacts immediately after the shipment to avoid late pick up of cargo at the destination airport. Contact Information DHL Global Forwarding GmbH Name: Mr. Patrick Mohr Airfreight Import Clerk Tel: +49.(0).7158.9034.310 Fax +49.(0).7158.9034.319 Email: patrick.mohr@dhl.com Contact Information in Kaufland Germany - import.einkauf@kaufland.de - zoll.einkauf@kaufland.de - nicole.fischer@kaufland.de Contact Information in Kaufland Hong Kong - thomas.yau@kaufland.com.hk

Kaufland Logistics Handbook Version 1.5

Page 10 of 11

Latest Updated on 16/Apr/2013

19/F Tower 5, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong Tel: (852) 2159 8100 Fax: (852) 2159 8106

5. General Enquiry and Exceptional Management

Please refer to below communication channel if there is general enquiry or exceptional cases on the shipping arrangement for Kaufland PO. Shipment Handled by DHL Global Forwarding Logwin Primary Contact edghk-dgf-kaufland@dhl.com cn.kaufland@logwin-logistics.com - End Escalation thomas.yau@kaufland.com.hk thomas.yau@kaufland.com.hk

Kaufland Logistics Handbook Version 1.5

Page 11 of 11

Latest Updated on 16/Apr/2013