Investor Presentaiton

OPERATIONS AND OUR suppliers OUR CUSTOMERS ARE IN CONSTANT CONTACT WITH NEW TRENDS, REGIONAL TRADITIONS, AND EVERYDAY HABITS THAT INFLUENCE THEIR SHOPPING NEEDS. IT IS POSSIBLE TO SERVE THEM EFFICIENTLY BY ESTABLISHING STRATEGIC, LONG-TERM RELATIONS WITH OUR SUPPLIERS, DEVELOPING REGIONAL SUPPLIERS, AND OFFERING TOP QUALITY PRODUCTS AT EXCELLENT PRICES. STRUCTURE AND MANAGEMENT We have a VP for self-service merchandising; for perishable merchandising; and one for customer insight and supplier development. The research constantly conducted by Customer Insight provides greater understanding of our customers, their lifestyles, shopping habits, and how satisfied they are with the service they receive. Moreover, there is an area -Compliance and Corporate Quality- that oversees the quality of the products and supplier compliance. This structure and additional tools help us obtain insight into our customers, create strategic relations, maintain quality standards, and increase the productivity of our company and suppliers. Our suppliers have tools provided by the company such as Retail Link, which allows them to understand demand levels, measure product sell-thru and thereby improve strategies and response capacities. SUPPLIER STANDARDS The relationship with suppliers of services and of merchandise for sale in stores is covered under the agreement governing the commercial relationship, including clauses on ethical behavior, anticorruption, labor liabilities, and compliance with Supplier Standards, according to which the suppliers agree to the following: Full compliance with the law and regulations enforce, including those governing labor-related issues, immigration, health, hygiene, and the environment, among others. Ensure voluntary hiring. Labor relations between the supplier and its employees must be voluntary, thereby forbidding slave labor, child labor, forced labor, or indentured labor. Legal compliance regarding the number of hours per shift and days off for workers. Implementation of hiring and employment practices that verify employee data such as age and the right to work in the country, with a proper contract covering policies and practices for wages, dismissals, training, and working conditions, pursuant to law. Respecting the right of workers to peacefully and legally join the labor unions of their choice, and to collective bargaining. Ensure that all their practices comply with environmental legislation regarding water, air, and wastes; and that all raw materials come from legal sources. Accurate record keeping on all financial information related to commercial ties with Walmart. Providing all workers a safe and clean working environment and taking the preventive measures needed to mitigate accidents. Compliance with Walmart's right to audit and/or verify at any moment and without prior notice. 2013 Financial and Social Responsibility Report 22 42

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