Supplier Requirements Agreement 03-01 July 2015 OPR: MD Change Number 02, 16 Jul 18 Updates to this Publication This revision incorporates Change Number 02, 16 July 2018. • A strikethrough shows deleted information. • An underscore shows new or revised information. Supplier Requirements Table of Contents Page 1 Introduction .................................................................................................................................... 1 2 Corporate Policy ............................................................................................................................ 1 Terms and Conditions ............................................................................................................... 2 Social Responsibility and Labor Standards ............................................................................... 3 Supplier Personnel and Representatives .................................................................................. 4 Supplier-Owned Equipment/Fixtures ......................................................................................... 5 Alcoholic Beverages and Tobacco Products ............................................................................. 5 Inspection/Quality Assurance (QA) ........................................................................................... 6 Specifications/Purchase Descriptions ....................................................................................... 8 Recalled Merchandise Return Policy ........................................................................................ 8 3 Technology ..................................................................................................................................... 8 Universal Product Code (UPC) or European Article Number (EAN) Requirements ................. 9 Electronic Data Interchange (EDI) Requirements ................................................................... 11 Supplier Use of Exchange Computer Systems ....................................................................... 15 4 Marketing ...................................................................................................................................... 16 Advertisements ........................................................................................................................ 16 Product Demonstrations, Testers & Consumer Samples ........................................................ 16 Product Samples ..................................................................................................................... 16 Logo/Artwork/Proof .................................................................................................................. 16 5 Floor Ready .................................................................................................................................. 17 Ticketing, Pricing and Garment Labels ................................................................................... 17 Hangers ................................................................................................................................... 19 Sizing ....................................................................................................................................... 19 Presentation Standards ........................................................................................................... 19 Wrinkle Prevention .................................................................................................................. 20 6 Logistics ....................................................................................................................................... 20 General Instructions ................................................................................................................ 20 Shipping to CONUS/Overseas Locations ................................................................................ 21 Marking .................................................................................................................................... 22 Exchange Standard Shipping Label Guidelines ...................................................................... 23 Loading/Unloading ................................................................................................................... 24 Pallet Pick Program ................................................................................................................. 25 Hazardous Articles .................................................................................................................. 25 Documentation ........................................................................................................................ 25 Movement Information ............................................................................................................. 26 Shipping to Overseas Locations .............................................................................................. 27 Special Programs (Crossdock/Vendor Managed Inventory) ................................................... 27 Air Shipments .......................................................................................................................... 28 Imports – Shipping from Overseas Location ........................................................................... 28 Fashion Distribution Facility (FDF) .......................................................................................... 31 7 Replenishment ............................................................................................................................. 33 Inventory Adjustments ............................................................................................................. 33 Service Level Agreement ........................................................................................................ 33 Stock Structure/Authorized Ordering Activities ....................................................................... 34 8 Tax Exemption Certificate ........................................................................................................... 35 Supplier Requirements i Page 9 Duty Drawback ............................................................................................................................. 35 For Contractors Agreeing to Immediate Reductions ............................................................... 35 Duty Drawback ........................................................................................................................ 35 10 Invoicing and Payment ................................................................................................................ 36 Invoicing Procedure ................................................................................................................. 36 Improper Invoices .................................................................................................................... 37 Payment Process .................................................................................................................... 37 Payment by Electronic Funds Transfer ................................................................................... 39 Proof of Shipment .................................................................................................................... 40 11 Fine Jewelry .................................................................................................................................. 40 12 Food and Beverage ...................................................................................................................... 41 General .................................................................................................................................... 41 Shipping and Marking .............................................................................................................. 43 Additional Requirements ......................................................................................................... 43 13 eCommerce – Virtual Vendors .................................................................................................... 43 Delivery Orders ........................................................................................................................ 43 Shipping/Packing Instructions ................................................................................................. 43 Invoicing ................................................................................................................................... 44 Returns .................................................................................................................................... 44 Notification of Regulations Change ......................................................................................... 44 Special Instructions ................................................................................................................. 45 Warranty of Availability ............................................................................................................ 45 Vendor Shipments to Exchange Warehouses ......................................................................... 45 VendorNet for Drop Ship Vendors ........................................................................................... 45 Virtual Vendor Customer Privacy Policy .................................................................................