Spartannash Corporate Responsibility Report

Corporate Responsibility Report Our Commitment. Our Impact.

With nearly 16,000 associates serving We measure success based on customers located in 47 states as well as decreasing our environmental our military heroes throughout the world, impact, advancing our social SpartanNash recognizes the value of stewardship and sustaining our our voice and strategic importance of commitments in accordance with our resources. our financial performance.

We are mindful that our business This report provides an overview of decisions, products, services and our journey and how SpartanNash is operations have a direct impact on leveraging both our voice and footprint the environment, our communities, to make a difference in the communities customers and co-workers. we serve.

We define this conviction as our We invite you to take a look. As you’ll Corporate Responsibility. see, we take relationships seriously – so much so that our vision is to be a We also acknowledge that Corporate best-in-class business that feels local, Responsibility is a journey – not a one- where relationships matter. and-done activity, event or initiative. At SpartanNash, we’re investing in today, Consequently, we continually to ensure a better tomorrow. challenge ourselves to identify, align and integrate impactful practices Who is SpartanNash 2-3 throughout our wholesale and military Historical Timeline 4-5 distribution supply chains, more than Social Responsibility 6-21 155 corporate-owned retail stores, Environmental Sustainability 22-32 and three service centers. Dennis Eidson CEO and Chairman of the Board SpartanNash is a $7.7 billion Fortune 400 company that was formed in November 2013 when Spartan Stores, based in We are Grand Rapids, Michigan, merged with Nash Finch Company, SpartanNash based in Minneapolis, Minnesota.

Together, we’re ‘Taking food places.’

12 WA ND 10

MT 6 5 VT ME MN 90 We are the nation’s fifth largest food 155 corporate-owned retail stores in Our primary retail banners include: SD WI NH distributor as well as the leading 10 states and distribute to independent • Dan’s Supermarket OR ID NY NH 3 MI RI distributor of grocery products to military retailers in 47 states. We also operate • D&W Fresh Market WY NE 27 CT IA commissaries in the United States. 17 distribution centers. • Econofoods 1 3 PA • Family Fare Supermarkets NJ Our military operations also serve: 1 OH MD Together, we’re ‘Taking food places.’ • Family Fresh Market DE • Europe IN WV • SunMart IL UT CO KS • Cuba We are guided by our core values of • Supermercado Nuestra Familia MO KY VA NV • Puerto Rico customer focus, innovation, patriotism, • ValuLand TN NC • Bahrain teamwork, respect, integrity, accountability • VG’s OK • Egypt and celebration and fun. The key to AR our success is our family of nearly CA AZ SC Headquartered in Grand Rapids, Mich., 16,000 associates, who put customers, NM SpartanNash also has service centers consumers, communities and co-workers MS AL GA in Minneapolis and Norfolk, Va. first, each and every day. TX LA We currently operate more than

Retail Store Count by State Wholesale Food Distribution Centers: MDV Distribution Centers: Service Centers: Bellefontaine, Ohio Bloomington, Indiana Grand Rapids, Michigan Food Distribution Coverage Bluefield, Virginia Columbus, Georgia Minneapolis, Minnesota Fargo, North Dakota Landover, Maryland Norfolk, Virginia Non Coverage Area Grand Rapids, Michigan Norfolk, Virginia Lima, Ohio Oklahoma City, Oklahoma Lumberton, North Carolina Pensacola, Florida Minot, North Dakota San Antonio, Texas Omaha, Nebraska Sioux Falls, South Dakota St. Cloud, Minnesota

2 | SpartanNash SpartanNash | 3

Our CR Journey

SpartanNash

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Nash Finch Company i M

d November 19, 2013 i

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renamed the NFC

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2013 2014 2015 Named one Began 2015 2011 Added all retail Spartan Stores 2007 Held first Earth of Fortune’s companywide Formalized Animal stores to energy Introduced Week events with ‘World’s Most energy project Welfare Policy dashboard diversity and Goodwill; began Admired Companies’ tracking 2015 Initiated program to 1917 2005 inclusion printing Facts Up Front 2015 ® track companywide Founded as Implemented training on Spartan brand 2015 Invested in new retail food product a sugar CO-OP, 1989 paper reduction products Expanded worksite aerodynamic wellness program tractors with donations and impact Grand Rapids, Purchased ink processes 2014

companywide increased fuel of corporate giving

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2008

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2015

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Integrated NFC and

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4 | Our Corporate Responsibility Journey Our Corporate Responsibility Journey | 5 Social Responsibility

6 | Social Responsibility Social Responsibility | 7 In 2015 Relationships $

1.5million Matter in company contributions to education, health and wellness, hunger, patriotic and community Making a difference where we live, work and play. initiatives

SpartanNash’s goal is to be engrained In late 2015 and early 2016, SpartanNash We also offer our communities in the fabric of our communities – not just joined forces with our Grand Rapids several opportunities to partner with at the dinner table. warehouse associates to provide our us to raise funds for their favorite Flint, Mich. neighbors with safe drinking community nonprofits. Our corporate giving programs are water. Together, we donated two just one way we build relationships truckloads of bottled water, sparking Our Direct Your Dollars™ program is one within our local communities. In 2015, questions from associates and store such program. It is built on the concept we contributed $1.5 million toward guests on how they could help with of shopping with purpose, meaning our sponsorships, fundraisers, gift cards additional donations. The ensuing water store guests can use their purchasing and product donations to make our drive resulted in 1.3 million bottles of power to support their favorite nonprofits. communities stronger, healthier water – or 40 semi-truck loads – being Through our Direct Your Dollars program, and safer. donated and distributed by our team eligible nonprofit organizations can earn to the Flint community. Several Detroit $1,000, simply by collecting and submitting Lions football players got in on the $150,000 in eligible receipts from any of action, helping with the donation. our corporate-owned retail stores or fuel centers. All preschool and K-12 schools are SpartanNash’s retail, distribution and eligible to participate, as well as school- In 2015, we sponsored more than 800 For the third year in a row, we also service centers also support requests sponsored groups and clubs. Faith-based health and wellness events, including focused on raising resources and from local schools, athletic teams, faith- and community service organizations are the Michigan State University College awareness in memory of a co-worker, based organizations, community service also eligible, as are nonprofit organizations of Human Medicine Gran Fondo. As the Dan “Corky” Carman, during three ALS clubs and veterans support groups. with a 501(c)(3) determination. event’s Premier Sponsor in 2015 and walks in South Dakota and Minnesota. 2016, we encouraged our associates to Dan previously served as distribution These requests run the gamut – from Our SCRIP/TRIP program is another participate in this fun bike ride and raise director of the Sioux Falls, S.D. Fourth of July fireworks and festivities popular way for community groups to money to find a cure for skin cancer. distribution center and was diagnosed to sponsoring little league teams; from raise money by shopping in our retail We took the challenge to heart and with the disease in June 2013. For the helping host elementary school bake stores. Groups participating in SCRIP/ were the top fundraising team in 2016 past two years, SpartanNash has been sales to providing product for church TRIP can purchase store gift cards at – coming in first with $11,900. We also a gold-level sponsor of Walk to Defeat fundraisers; from raising community a discounted rate and then sell them provided free registration for associates ALS events in St. Cloud, Minneapolis dollars through food and wine events to as a fundraiser for their group. The and a discount on family, friends’ and and Sioux Falls, and in 2016, more than partnering with 4-H participants or Relay difference between the discounted store guests’ registrations. 40 associates, family and friends proudly for Life teams – and enable us to support price and the gift card value generates donned SpartanNash shirts and walked the communities where we live, work and needed funds for the organization. in Dan’s memory. play. In 2015, we underwrote $800,000 in community sponsorships in response In 2015, SpartanNash underwrote more to 4,365 requests – each creating than $295,000 in fundraising redemptions. an opportunity to build and strengthen local relationships.

8 | Corporate Giving Corporate Giving | 9 SpartanNash

Special Olympics Foundation SpartanNash has been a Presenting Sponsor of the Special Olympics Michigan Summer Games for 32 years and has supported the Special Food. Shelter. Patriotism. Olympics Minnesota Summer Games since 2003. In 2016, the SpartanNash Foundation expanded its partnership with Special Olympics to seven additional states – Colorado, Iowa, Ohio, Nebraska, North Dakota, South Dakota and Wisconsin – raising $231,650 for Special Olympics The SpartanNash Foundation represents Associates also volunteer to serve The SpartanNash Foundation chapters through a retail scan the best of its predecessors, the NFC on the Grant Review, Fundraising and campaign. As a result, more than Foundation and the Spartan Stores Volunteer subcommittees. Applications provides vital funding, raises awareness and introduces 20,000 Special Olympians had the Foundation, and continues an over are accepted year round, with grants opportunity to compete with other 100 year combined legacy of giving awarded on a quarterly basis. In 2015, associates to new volunteering children and adults with intellectual back to the communities we serve. the Foundation awarded more than opportunities. disabilities and experience the joy of $892,000 in grants to more than seeing themselves for their abilities The SpartanNash Foundation aligns , 40 community partners. Details on not disabilities. with its community grant recipients to grant recipients can be found at provide hunger relief, secure shelter spartannash.com/foundation. and support our military heroes. We are also deeply committed to continuing At designated times throughout the our 32-year partnership with Special year, the SpartanNash Foundation also In 2015 Olympics, in which we have donated invites retail store guests to join the more than $8.6 million, as well as Foundation in raising awareness and thousands of volunteer hours and funds for nonprofit community partners. $ meals for Summer Games volunteers. In 2016, we raised nearly $825,000 1,260,041 together through four companywide awarded to Our Foundation is funded primarily by scan campaigns, benefiting 191 local community our company with additional support Habitat for Humanity, Special Olympics, from our associates. In 2016, nearly patriotic and food pantry partners. nonprofits 4,000 associates pledged more than Our retail campaign to end hunger $300,000 to support the mission of our was the Foundation’s most successful charitable giving arm. This commitment companywide retail fundraising effort to included 100 percent participation date, raising nearly $300,000 on behalf from Foundation trustees, senior of 119 local food pantries and food executive team members and retail banks. Each store personally selected In 2016 Boys Town associates working at our Family Fare a community food partner, ensuring The SpartanNash Foundation awarded Supermarkets in Bellaire and Grayling, the scan to end hunger would have $ a $10,000 grant to Boys Town in 2015 Mich. and the SunMart in Sterling, a significant local impact. to underwrite expenses related to its Colo. We believe this participation 1,833,025 nine-acre community garden. Located rate reflects our culture of investing in In addition to the Foundation’s financial awarded to in Omaha, Neb., the Boys Town garden our neighborhoods to create stronger, giving, our company underwrites the community provides fresh produce to 600 students healthier communities. scan campaign costs to ensure that 100 nonprofits who live on-campus as well as the percent of dollars raised during our retail nonprofit organization’s student-run The Foundation is overseen by a scans go directly to our designated local farmers market. Students learn vital cross-functional board of trustees. or regional partners. lessons and the power of teamwork as they cultivate and care for the gardens throughout the summer and fall.

10 | SpartanNash Foundation SpartanNash Foundation | 11 Associate Helping Hands Volunteer Challenge in the Community

Celebrating associates dedicated to volunteering Living our vision to be a best-in-class business that and inspiring others to give back. feels local, where relationships matter.

SpartanNash has hundreds of Since 2011, our Minneapolis Service humble heroes amongst its ranks, Center has hosted an annual Helping volunteering year round to make Hands in the Community Day – a day their communities stronger. of community service where associates complete group volunteer projects at As a way to recognize and honor our various nonprofits. associates’ dedication to volunteering, we launched the 100 Club in 2016. Over the last six years, 1,628 associates Associates who exceed 100 recorded have participated in the Twin Cities, volunteer hours in a calendar year can contributing more than 10,500 hours select their favorite 501(c)(3) charity, and at 19 different community partners. the company will make a $100 donation in their name. The program has been so successful that we expanded it to our Grand Rapids, Recognizing our volunteers also inspires Mich. and Norfolk, Va. service centers others and encourages teambuilding and in 2016. More than 300 Grand Rapids group volunteer opportunities. With this associates volunteered 1,854 hours in mind, we challenged ourselves to log It is very satisfying to know that I am Kevin Terry, a payroll associate at the at 21 community partners, and more 15,000 volunteer hours in 2016, and we helping people and that I am making a Omaha, Neb. distribution center, also than 80 MDV Norfolk associates are on track to surpass our goal. difference. I’ve been involved in several has a passion for volunteering and works contributed nearly 500 hours at eight life-saving situations, which has a to rally his colleagues to participate nonprofit organizations. So many SpartanNash associates have tremendous impact on you. Plus, the work in group volunteering activities. In shown incredible commitment through that we do in the community is a positive September 2016, Kevin and nearly All total in 2016, Helping Hands has their volunteer efforts, but there is one in reflection of the company as a whole. 20 Omaha DC associates and their impacted 38 partners and produced particular that stands out. Don Anderson, families volunteered for two important 3,366 volunteer hours from 561 a truck driver out of our MDV Norfolk Don Anderson organizations on back-to-back days. volunteers, resulting in $75,900* facility who joined the company in 2002, MDV Norfolk truck driver First, they helped Habitat for Humanity worth of valuable assistance. has been volunteering for the Virginia with a Rock the Block beautification Beach Emergency Medical Services project, and the following day they As our associates give back, they station for more than 35 years. Don participated in an Out of the Darkness quickly learn how much they receive volunteers at the station – the largest walk to raise funds and awareness for in the process. Helping Hands helps volunteer EMS group in the U.S. – so those affected by suicide. us better connect with our Foundation frequently that he received a special grant recipients, community partners award recognizing him for more than and co-workers. 4,000 hours of volunteer service! See videos and photos at spartannash.com/volunteering.

*Based on Independent Sector estimate from U.S. Bureau of Labor Statistics.

12 | Volunteering Volunteering | 13 Ensuring Safe, Quality Food Keeping Our Building customer trust with each and every product.

Associates Safe With thousands of products shipping every day, ensuring each and every food item is safe for consumption is a corporate responsibility we don’t take lightly. And with an increasing number of perishable products, we have the added responsibility that our products are fresh and of top quality. Safety and satisfaction go hand in hand. We also prepare a number of items in our delis, bakeries and fuel center convenience stores. To ensure the safety and freshness of the food we prepare, our auditors perform comprehensive safety audits at each of these locations five times per year.

We also audit all new vendors that supply our exclusive private brands and require them to be certified in the Global Food Safety Initiative (GFSI), which is the leading auditing process in the industry today. At SpartanNash, we hold ourselves Other safety initiatives include: Accident free for two years accountable to ensure not only the • Establishing safety champions at at MDV Pensacola Our SpartanNash MDV military division has shipped upwards of half a million safety of our customers – but also our each location On Oct. 1, 2016, our MDV Pensacola containers of food and general merchandise since 1978 to DeCA distribution associates and the millions of travelers • Hiring dedicated fleet safety professionals facility marked two years accident free. centers servicing U.S. military commissaries and exchanges via our export business. we see on the roads. We recognize this • Investigating accidents and completing This is a significant improvement over Our team works to ensure the safety and integrity of these products as they travel commitment to safety goes hand in hand post-accident training 2009, when we ended the year with 4,000 miles across the ocean to Europe or as far as 7,000 miles to Bahrain. with associate satisfaction. Following our • Implementing an intense, interactive 55 workplace accidents, which resulted merger, we formed a Fleet Safety Action multi-day defensive driving program in 184 lost time days and 1,042 work- Plan Group to evaluate our operations for all commercial drivers restricted days. The team made several and build upon best practices to create • Creating Safety Improvement changes, including discussing safety at a one-way safety improvement process. Teams at each distribution center each startup meeting and maintaining With 492 tractors and 1,478 trailers and retail location an active Safety Improvement Team that and more than 800 dedicated drivers meets each period to discuss current logging 50 million miles a year, fleet In 2015, we reduced our overall incident safety concerns and keeps associates safety is critical. rate by five percent and overall severity engaged in safety. rate by 26 percent versus 2014. We We believe safety starts with having the also reduced our over-the-road incident highest level of equipment and keeping rate (DOT recordable accidents) by it well maintained and road ready at all 71.4 percent. times. We continue to upgrade features such as anti-lock braking systems and In 2015, our MDV Pensacola, Fla., Minot, roll-stability packages. We also have N.D., and Junction City, Kan. DCs were an expectation that our drivers are well accident free. trained and complete a thorough trip inspection before and after each trip. Our environmental, health and safety team continually works to ensure the safety of our associates and customers by implementing robust, aggressive incident prevention programs and a very strong post-incident claims management protocol. Examples include safety scorecards for each DC and retail location monitoring key metrics and reporting them to executive management, and implementation of positive behavior-based recognition programs such as C.U.B.S (Caught U Being Safe).

14 | Associate and Food Safety Associate and Food Safety | 15 Serving Our Inclusion Military Heroes Inspires Innovation

Living our core value of patriotism. Differences expand our perspectives – and drive our innovation.

Our SpartanNash MDV military division SpartanNash contributes products, At SpartanNash, we embrace the unique But don’t just take our word for it. Here Board of Directors: exists to serve our military heroes and dollars and volunteer hours to military talents and backgrounds of our co- are examples of recent awards that reflect their families, at home and abroad. and veterans organizations and events workers, customers and communities. our commitment to diversity and inclusion: throughout the year, donates its We recognize that our differences 30% 20% 10% We are privileged to see firsthand the corporate plane to fly wounded veterans expand our perspectives – and that 2015-2016 Awards: Female Black Military sacrifices made to protect our freedoms, for medical service, collects American drives innovation. By cultivating Directors Directors Directors and we are committed to giving back in flags at all facilities for proper retirement relationships based on respect, integrity, Best and Brightest Companies a number of ways. and hosts Memorial Day, Fourth of July, teamwork and trust, we build a winning to Work For, National Association 9-11 and Veterans Day tribute events. culture – and recruit a winning team. for Business Resources (2016) Women in the Workplace: This commitment begins with Certified Veteran-Friendly Employer, recruiting, hiring, advocating for and 15% Distribution In 2015, SpartanNash helped 103 World Inclusion begins by dispelling Michigan Veterans Affairs Agency (2016) providing professional development War II veterans return to Washington, misconceptions and building 47% 20% Military opportunities for veterans, Reservists D.C. for one final mission. We donated relationships with co-workers and Power 300: Most Influential Black Company 45% Corporate and National Guardsmen. Corporate Directors, Savoy Magazine breakfast, a travel bag, water and snacks customers of all ages and backgrounds. Wide 58% Retail for 250 travelers who went on the Honor (2016), honoring SpartanNash board Today, we have more than 700 Flight, and we asked all associates to At SpartanNash this takes many members Maj. Gen. Hawthorne L. “Peet” associates among our ranks that have submit letters of thanks for the return forms, including building new alliances Proctor, U.S. Army (Retired) and Yvonne R. served or continue to do so. trip’s mail call. with race, ethnic and military-based Jackson, President, BeecherJackson, Inc. 27% Executive organizations; pursuing alternative Best and Brightest in Wellness, The respect and gratitude we have for We also hold a special place in our recruiting channels; mentoring at inner- Michigan Business and Professional Officers our military heroes is evident in other hearts for Honor and Remember. city schools; weaving inclusion topics aspects of our company, including Association and Michigan Food and into our onboarding and professional Beverage Association (2016) living our core value of patriotism The Honor and Remember organization development training; offering bilingual Racial/Ethnic Diversity: through our associate volunteer efforts, is deeply committed to never forgetting 100 Most Influential Women in Michigan, call center and retail support; translating 2% Other corporate giving initiatives, community those who paid the ultimate price vital information and signage; partnering Crain’s Detroit Business (2016), honoring 2% Asian board service and grant support from in service to our country. The flag with organizations to protect migrant Kathy Mahoney, SpartanNash EVP, 18% the SpartanNash Foundation. Grants serves as a symbol of remembrance. farm workers; creating flexibility for Chief Legal Officer and Secretary Total 5% Hispanic have provided vital transitional housing SpartanNash underwrites personal flag working parents, part-time students , 2020 Women Workforce 9% Black support, healing therapy, scholarships, Honor Roll Company presentations and flies the Honor and and retirees; and offering year-round on Boards (2015) mentoring and job training, basic Remember flag at all facilities. The flag opportunities to share our rich cultures. necessities, housing while seeking artwork is also displayed on our fleet of Corporate Champion Award, Women’s medical treatment and so much more tractor trailers. Forum of New York (2015), recognition through partners such as Vetshouse, for helping to advance women’s Fisher House Foundation and Warriors leadership at Ease. Top Women in Grocery, Progressive Grocer; 37 associates recognized since 2012

16 | Serving Our Military Heroes Diversity and Inclusion | 17 Delivering Healthier Options Choose Well. Meeting our customers’ desire to live healthier lifestyles.

In 2016

Live Well. SpartanNash offers distinct store-within-a-store Living Well health and wellness sections in 17 of our corporate-owned retail stores, with the plan to increase that 1, 208 number to more than 25 in 2017. These Living Well sections bring together a wide associates earned a array of healthy and nutritious products normally found throughout our stores – from A healthy life begins today! free Fitbit for adopting kombucha to bulk herbal tea and nut butters to chemical-free cosmetic products. healthier lifestyles No matter what aisle you’re in, nutrition labels are important to understanding the attributes of a product on your grocery list. We were one of the first companies to place the Facts Up Front nutrition icons on our Spartan® exclusive private brand products. Facts Up Front is a voluntary initiative where products include a specific nutrition icon on the front of the package identifying the calories, saturated fat, sodium and sugar in each serving. Our private brand team has added Facts Up Front Best practices make sense. That’s why In the process, we’re creating a culture We also recognize that our associates’ to more than 30 percent of our exclusive private brand Our Family® line of products we launched the Choose Well. Live where associates are empowered with well-being extends beyond physical as well, with the goal of having it on all Our Family products in the near future. Well. program in 2015, expanding the knowledge, opportunities and incentives health and wellness. Financial education associate wellness program introduced to maximize their own well-being. and resources, opportunities for In addition to our nutrition-based programs, SpartanNash also operates 82 in-store nearly a decade before by Nash Finch. professional and personal development pharmacies across our retail banners. Our YouRx Wait less. Pay less. pharmacy Through Choose Well. Live Well., eligible and community engagement through programs provide customers faster access to more than 250 different medications, It’s all about getting educated, getting associates can earn up to a $500 volunteering are just a few additional including free antibiotics, prenatal vitamins and diabetes medications and healthy and getting rewarded – and wellness incentive – in addition to other examples of the commitment to our $4 and $10 discounted generic prescriptions. Our pharmacists also offer customers having fun in the process. Through financial rewards – for adopting healthier associates. Annually, our associates numerous free or discounted health screenings throughout the year such as healthy our five pillar program, associates are lifestyles. In 2016, approximately 26 participate in more than 54,000 hours heart, bone density, derma view and diabetes screenings as well as immunizations. encouraged to assess and improve their percent of eligible associates were of company-sponsored professional physical, financial, social, community registered for the wellness program and personal development programs. and career well-being through a variety and more than 450 associates earned of interactive programs. the annual wellness incentive for their We believe that it’s the daily choices we achievements in the program. make in each of these areas that shape our overall satisfaction and well-being at work, at home and at play.

18 | Associate Wellness Customer Health and Wellness | 19 Double Up Food BucksTM Focusing on Providing easier access to affordable, healthy produce for low-income families.

the Farm

From apples to zucchini, buying Michigan-grown produce at 17 Family Fare Supermarkets allows participants in the Supplemental Nutrition Assistance Program (SNAP, formerly known as food stamps) to earn free fresh fruits and Partnering to ensure the fair and humane treatment vegetables through the Double Up Food Bucks program. of migrant farm workers and farm animals. SpartanNash is the only grocery retail chain with multiple stores participating in Double Up Food Bucks in Michigan. The program is funded by federal, state and private sources and administered by Ann Arbor, Mich.-based Fair Food Network. Our IT department integrated the Double Up Food Bucks program with our point-of- sale systems, which enabled us to pilot the program at two Family Fare Supermarkets in 2014, expand to five stores in 2015, and more than triple our participation to Animal Welfare In 2015, we formalized our commitments Fair Food Pledge 17 stores in 2016. Although we do not own or operate any in an Animal Welfare Policy, available SpartanNash is proud to be the first farms or animal processing facilities, at spartannash.com/animalwelfare, food distributor and retailer in Michigan For each dollar of fresh Michigan produce SNAP customers purchase using their SpartanNash takes animal welfare very which include: to sign Migrant Legal Aid’s Fair Food Bridge Card and yes Rewards loyalty card between August 1 and December 31, seriously. We believe animals can and Cage-free eggs Pledge, affirming our commitment to an equivalent amount of points – up to 20 points per day – is placed on their loyalty should be raised, handled, transported We will transition to cage-free eggs in fair labor practices for the state’s more card. Shoppers can then redeem the points for free fruits and vegetables. and processed in ways that ensure they our corporate-owned retail stores by 2025 than 94,000 migrant and seasonal are clean, safe and free from cruelty, or sooner, based on available supply, farmworkers and their families. “I love that we can offer the Double Up Food Bucks program at our store for the abuse or neglect. affordability and consumer demand. third year in a row,” said Renee Harris, store director of the Family Fare Supermarket By signing the pledge, SpartanNash located at 45 East Columbia in Battle Creek, Mich. “Through the program, we can Milk with no artificial commits to working in partnership with support local farmers while helping our customers stretch their food dollars and growth hormones Migrant Legal Aid if any of our 250 encourage healthier eating.” Our private brand milk has had no Michigan produce suppliers appear to artificial growth hormones (rBST/rBGH) be in violation of regulations requiring To learn more about SpartanNash’s participation in Double Up Food Bucks, for almost 10 years. fair treatment and safe working visit spartannash.com/DUFB. No genetically modified seafood conditions. This includes respecting the We have never sold and have no dignity of workers, treating them with intention of ever selling any genetically fairness and equity and providing fair modified seafood. wages, access to bathrooms and drinking water and safe, clean housing. Visit Polled genetics for dairy cows spartannash.com/fair-food for details. We support the use of polled genetics breeding programs for dairy cows, which if successful will ultimately eliminate the need for dehorning.

We share our commitments with store guests using in-store signage for milk, eggs and seafood. We will also continue to engage and work cooperatively with our vendors and suppliers to embrace and promote best practices for farm animal well-being in the supply chain process.

20 | Fair Food Pledge and Animal Welfare Double Up Food Bucks | 21 Environmental Sustainability

22 | Environmental Sustainability Environmental Sustainability | 23 Waste Giving Materials Reduction a Second Life

Minimizing waste has multiple environmental benefits. Extending the life of products beyond their initial use.

Food waste is a growing problem Some key elements of this initiative As a result of our increased efforts to SpartanNash reused 183 million pounds The SpartanNash Graphic Services team in America. specific to our distribution business are: minimize product damage, we reduced of pallets and recycled in excess of has implemented innovative and unique 235,657,567 our overall warehouse damage by 52 million pounds of materials in 2015. environmental sustainability practices over pounds of materials In fact, the Natural Resources Defense • Accurate sales forecasting for every $165,000 worth of product through This means we diverted more than the years as well. Starting in 1989, we Council estimates that nearly 40 percent product and packaging option mid-August 2016. Our Lumberton, 235 million pounds of waste from landfills. purchased an ink recycling machine for diverted from landfills of the food produced in the U.S., from • Ensuring damage-free shipping N.C. distribution center contributed to in-house recycling, reducing the amount in 2015 farm to fork, is never consumed. and storage this damage reduction, accounting for As an example of a closed loop system, of discarded ink by 2,500 pounds • Establishing a damage committee $31,000 in reduced food waste savings. our Michigan facilities collected, baled annually, as well as decreasing the While complicated, the process to and damage-free incentives and shipped to Petoskey Plastics nearly purchase of new ink. In May 1991, we reduce food waste, minimize damage • Creating an early warning/special “There are a lot of factors that tie into 500,000 pounds of plastic shrink wrap began recycling all set up and waste and divert products to families in need billing process that informs buyers our damage reduction efforts, but we used to secure pallets of products. paper, cores, wraps, aluminum plates is the foundation of our comprehensive of upcoming dating issues on a really tried to educate our associates We then purchased back from Petoskey and corrugated cardboard. waste management program. daily basis and increase their awareness and the Plastics 136,000 pounds of Greencore • Implementing continuous inventory program’s success,” said Jimmy Carter, trash can liners manufactured from 95,200 Our retail stores also collect meat In late 2015, we formally adopted a date checks Lumberton operations manager. “From pounds of our very own recycled shrink renderings – including leftover skin waste minimization program, also known one end of the building to the other, wrap plastic – meaning that 70 percent and bones from whole meats cut up as shrink reduction. Our retail operators also work to reduce it’s been a team effort, and the results of our trash can liners are made from our in our meat departments – as well as waste by monitoring product dates and really show.” own post-consumer recycled content. used fryer grease. In 2015, 529,803 ensuring proper ordering and rotation. pounds of meat renderings and grease were collected from 90 of our retail stores and repurposed into biofuels by our vendor.

183,462,966 2,310,109 2,193,775 43,462,329 pounds of pallets pounds of paper pounds of plastic pounds of cardboard

24 | Minimizing Food Waste Reuse and Recycle | 25 Fighting Hunger

Reducing hunger and food waste by partnering with food banks and pantries.

In addition to the SpartanNash Grand Rapids, Mich. More than 70 Foundation’s support in fighting hunger, volunteers were on hand to pack up our company donated 2.58 million boxes of fruits, vegetables, grocery pounds of food – or the equivalent items and more. of approximately 2.15 million meals – to 147 community partners in 2015. “This show is such a gift for us,” said These donations come predominantly Sylvia Taylor, who manages the Flat from our distribution centers, but also River Outreach food pantry. “With the from our retail stores and food shows. amount of produce we get from today alone, we’ll be able to help 100 families, Donating to local food banks, pantries, who rarely get food of this quality. churches and other organizations It’s so amazing, and we can’t thank serving those in need in our communities SpartanNash enough.” achieves all three prongs of our corporate responsibility commitment. We are helping to fight hunger, keeping methane-producing food items out of landfills and reducing our disposal costs.

In May 2016, our MDV Norfolk facility partnered with Operation Blessing International, a nonprofit humanitarian organization working on hunger relief. Our facility made two donations totaling 9,100 pounds of dry goods and food products, which was distributed to five smaller local In 2015 hunger relief network partners. Operation Blessing estimates it supplemented well over 5,830 individual needs. 269,000 Our merchandising teams also donate display products from our food shows to pounds of product were local food banks and pantries. In August donated from seven 2016, for example, SpartanNash donated food shows more than 123,000 pounds of products – the equivalent of 80 pallets – to Access 2,585,086 of West Michigan at the completion of our pounds of food were annual fresh and grocery food show in donated in 2015

26 | Food Donations FoodFood Donations Donations | 27 Maximizing Reducing Our Fleet Efficiency Environmental Impact

Getting more out of each mile. Decreasing energy consumption saves natural resources and protects air quality.

As the fifth largest wholesale distributor We have been equipping and will These efficiencies reduce natural A key component of our post-merger, Between 2007 and 2014, we invested in the country, our more than 800 drivers continue to equip a number of our resource consumption, improve air three-year integration plan is the rollout $6.9 million in energy projects at our travel approximately 50 million miles a refrigerated trailers with the capability to quality and decrease our greenhouse of a comprehensive companywide energy Grand Rapids distribution center, year in 492 tractors and 1,478 trailers. be plugged into electrical outlets while at gas emissions. data tracking system, which allows us to 91 corporate-owned grocery stores and In order to transport our products in the warehouse dock, rather than running more easily and systematically analyze 26 fuel centers in Michigan. Our focused the most efficient manner possible, on diesel. This results in less fuel We plan to upgrade our remaining and efficiently manage the energy efforts have saved more than 200 million SpartanNash’s transportation team plans consumption and direct air emissions. tractors by 2018 and will be tracking performance of our company’s nearly kilowatt hours and reduced energy its trips so that trailers remain as full The tractors are also designed with an the environmental benefits and 200 facilities. consumption by 45 million kilowatt hours as possible on inbound and outbound automatic shut off to ensure they are not increased fuel efficiencies gained every year, equivalent to 11 percent of routes, maximizing our miles per gallon. running needlessly, with an override for from this total investment. Our current energy efficiency efforts our annual electricity usage in 2014. cold weather conditions. are focused on refrigeration, heating In 2015, we invested in the initial and cooling, and interior and exterior Light Corp, an energy partner, highlighted phase of upgrading our fleet to more Through the second quarter of 2016, lighting. We incorporate the latest the extensive warehouse lighting upgrade aerodynamic and energy efficient our fleet’s average miles per gallon technology available and often times at our Grand Rapids DC – which saves tractors and trailers. In addition to the increased 6.5 percent as compared push the energy efficient equipment more than 5.16 million kilowatt hours new aerodynamic design, the engine-to- to our 2013 baseline. This improvement manufacturers to move the technology annually – as one of their signature transmission gear ratio was engineered has reduced diesel consumption by forward. We also require energy projects showcasing an innovative with a fuel efficiency focus that does not 212,100 gallons and fuel costs by more contractors to recycle all equipment energy solution. compromise performance. than $400,000. packaging material and salvage any reusable components deemed useful for As we continue seeking out ways to maintenance of the project or for future make an environmental impact through projects. Contractors are also required energy efficiencies, all Michigan fuel to recycle all mechanical and electrical centers have been updated with LED systems removed from the project site, lighting. This challenging project % including lamps, which must be recycled required sourcing five different types with a qualified lamp disposal company of LED lighting systems, which now 6.5 to ensure mercury is adequately reduces energy consumption by mpg contained and disposed. 735,000 kilowatt hours a year. improvement saved 212,000 gallons of As a result, we have successfully fuel over six months recycled more than 90 percent of all energy project material, limiting waste that otherwise would have ended up in a landfill.

28 | Efficient Transportation Energy Efficiencies | 29 A Commitment to Local and Organic

Delivering local and organic options to customers.

Providing a local flavor the potential for a few bumps and missed At SpartanNash, we understand that turns along the way. To help make the our corporate-owned grocery store journey smoother – and ensure we guests and our independent retail bring new, hot products to our shelves – customers have a growing appetite SpartanNash team members offer value- for locally grown or produced items. added services, including assistance We have an equally strong appetite with labeling, licensing, marketing, to support our local farmers and direct-to-store delivery and much more. food producers by offering locally or regionally grown fruits and vegetables Emphasizing organics and center store products made locally. Many of our stores boast the largest Local products also travel fewer miles variety of organic produce in their to store shelves, which improves quality respective markets. In the second and our environmental footprint. quarter of 2016, our organic sales experienced a 29.9 percent growth in To help our store guests navigate our our wholesale business and an 18.6 aisles and find the products they want, percent growth across our corporate- we’ve created “I Heart Local” and “Proud owned stores. to Support Local” signs and placed them on as many as 1,500 items throughout Depending on the region, we offer more our stores, depending on the region. than 1,000 certified organic products to our distribution customers. Organic We understand that our customers sales are expected to significantly not only want to know that their increase as we expand the availability of produce came from a local farm, but our Full Circle™ private brand portfolio. they increasingly want to know more Full Circle offers nearly 300 wellness about the farmer that grows it. To meet products that promise “All-Around this need, SpartanNash is working Goodness,” including simple ingredients, with our suppliers to develop robust affordability and labels such as “natural,” communication programs to make that “organic” and “eco-friendly.” information more readily available on products, in stores and online.

We also continue to reach out to emerging local entrepreneurs to guide them on how to scale up their operations for distribution through our stores. Moving beyond an incubator kitchen or start-up craft brewery has

30 | Commitment to Local and Organic Commitment to Local and Organic | 31 Cultivating Environmental Stewardship

Earth Week collaboration reduces landfill waste and fuels workforce development and lots of fun.

Since 2011, SpartanNash has partnered We also encouraged store guests to Journeys are inspiring, challenging and fun. We’re with Goodwill Industries to divert more give reusable bags a try by handing 121,500 than 121,500 pounds of materials from out 926,750 free bags, and in 2016, our pounds of donations equal excited about our progress and future opportunities. landfills, equaling approximately 26,000 bakery departments had fun competing hours of Goodwill workforce development in a contest for the best Earth-themed 26,000 hours of workforce Keep an eye on us and join us on this ever-evolving training across many communities. From bakery items. The Cascade, Mich. training journey we call Corporate Responsibility. day one, the success of this partnership D&W Fresh Market bakery put the icing has been built on getting our associates on the cake with their creative and engaged – and having fun in the process. delicious designs. You can learn more at Each year, we set the bar higher, and in 2016, our partnership grew to 21 Goodwill spartannash.com/corp-responsibility. organizations across 14 states, offering on-site donation collections at 43 retail stores, 18 distribution centers and our three service centers.

Associates also got on board by planting trees and gardens, recycling and composting, building rain barrels and sharing how they ‘live green.’

For the past two years, we awarded the distribution center and retail store that collected the most Goodwill donations with a traveling trophy and celebratory The paper used in this report meets the following certifications: party. The Omaha, Neb. and Sioux Falls, N.D. DCs as well as the Knapp’s Corner D&W Fresh Market in Grand Rapids, Mich. and the VG’s Grocery in Owosso, Mich. have taken home the gold – and earned serious bragging rights in the process.

Manufactured using 100% post renewable biogas consumer content

SpartanNash Graphic Services printed this report with soy-based inks. Published Fall 2016.

32 | Engagement and Education through Earth Week On the cover: As part of SpartanNash’s volunteer efforts, our associates and their families lent a hand near the end of the harvest season to collect previously unharvested apples. The process – known as gleaning – minimizes food waste for local farms and provides fresh produce to local food pantries.

SpartanNash 850 76th Street SW Grand Rapids, MI 49518 616.878.2000 | SpartanNash.com