2022 December Board Book

E-commerce: The e-commerce channel has had its fair share of ups and downs over 2022. While some seasonality will always be at play moving into 2023, we do know that e commerce continues to be where the growth is coming from. Making up one-fifth of grocery sales today, e-commerce sales make up almost three-quarters of growth.

Retail Consumer Promotions: Let’s wrap up our last board pages of the year with the known sales impact of our integrated consumer promotions. First, we kicked off 2022 with our Renew Reset Restore smoothie promotion focused on fluid milk, yogurt, and cottage cheese in California. This digitally driven promotion included targeted email communication, Chicory recipe search, Instacart Featured Products/SEM, a combination of digital rebates through

Checkout51 and instant redeemable coupons, digital advertising through Deutsch LA, and social media/PR support through Ketchum. While many factors were at play across these different dairy categories, growth pockets shined with lactose-free (+102%) and organic milk (+3.2%), drinkable yogurt (+24%), and single-serve cottage cheese (+25.9%) versus the prior year.

Our smallest integrated consumer promotion of the year was our Lenten season push focusing on Hispanic-style cheese and cream/sour cream. This promotion centered around Southern California retailers leading up to Easter featuring a new set of meatless recipes. This promotion

included in-store signage, instant redeemable coupons, targeted email communication to shoppers of these focus retailers, Instacart SEM/Featured Products, Chicory recipe search, as well as paid social amplification with our