SPINS 30 Pricing Index Updated through Period 7, 2015 (four weeks ending 7/12/2015) Please note: Specialty Gourmet data reflect a channel restatement performed by SPINS with the Period 6, 2015 release. This will lead to differences in previously reported basket levels and trends. How does the regular price of an identical set of items compare in the Natural versus Conventional Food versus Specialty Gourmet Channels? To find out, SPINS selected 30 popular grocery items to include in a SPINS 30 market basket and we are monitoring their total cost to see how it changes on an annual and period-to-period basis in each of the channels. Basket: A diverse group of 30 Natural and Organic items, including beverages, entrees, snacks, dairy, cereal, soup and frozen and refrigerated goods. Methodology: Base (i.e., regular) price totals are trended over four-week periods using Total US level SPINSscan Natural, SPINSscan Conventional Food and SPINSscan Specialty Gourmet data. Total Basket: Natural channel prices hold; Conventional and Specialty Gourmet exhibit moderate increases. In P7 the basket cost was flat in Natural, rose by +0.2% in Conventional Food and increased by +0.3% in Specialty Gourmet. Prior period values were +0.4%, -0.2% and +0.4%, respectively. Since P3 2015 the channels, in order, have risen by +1.5%, +1.0% and +2.2%. The Conventional Food basket price remains lower than Natural by -4.9% (previously -5.2%) and below that of Specialty Gourmet by -11.1% (previously -11.1%). In the period, 12 of the Natural channel item prices increased, nine remained the same and nine decreased (a net +3). In Conventional Food, 13 of the item prices rose, 10 were unchanged and seven fell (a net +6). In Specialty Gourmet, 17 of the item prices moved upward, three were flat and 10 declined (a net +7). Total Basket Price $110 $105 $100 $95 $90 P7 P8 P9 P10 P11 P12 P13 Natural P1 P2 2015 Conventional P3 P4 P5 P6 P7 Specialty Gourmet SPINS LLC | 1111 Plaza Drive, Suite 800, Schaumburg, IL | 847.908.1200 | www.spins.com Period-to-Period Percentage Change 1.0% 0.8% 0.6% 0.4% 0.2% 0.0% -0.2% -0.4% -0.6% P7 P8 P9 P10 P11 Natural P12 P13 P1 2015 Con ventional P2 P3 P4 P5 P6 P7 Specialty Gourmet Annual Inflation: Trends ease slightly in Natural and Conventional Food while increasing in Specialty Gourmet. On a year ago basis, P7 prices were up by +1.9% in Natural, rose by +1.5% in Conventional Food and increased by +2.4% Specialty Gourmet. The P6 comparable figures were +2.0%, +1.6% and +2.2%. Period vs. Year Ago Percentage Change 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0.0% -0.5% -1.0% -1.5% -2.0% P7 P8 P9 P10 P11 P12 Natural P13 Conventional P1 2015 P2 P3 P4 P5 P6 P7 Specialty Gourmet SPINS LLC | 1111 Plaza Drive, Suite 800, Schaumburg, IL | 847.908.1200 | www.spins.com Commentary: Basket inflation in all three channels continues to run in the +1.5% to +2.5% range. Each period we compare the individual prices of the 30 basket items to see how many are more expensive vs. identically priced vs. less expensive than they were one year ago in each of the channels. Here is how things stand as of P7 2015: Natural: 20 more expensive, none identically priced, 10 less expensive (a net +10; previously a +8) Conventional Food: 17 more expensive, four identically priced, nine less expensive (a net +8; previously a net +8) Specialty Gourmet: 20 more expensive, none identically priced, ten less expensive (a net +10; previously a net +10) Conventional Food trends are powered by IRI. SPINS will continue to monitor the basket every period, so stay tuned. SPINS LLC | 1111 Plaza Drive, Suite 800, Schaumburg, IL | 847.908.1200 | www.spins.com