Exchange Supplier's Handbook May 2016 OPR: MD Change Number 1, 31 August 2018 Updates to this Publication This revision incorporates Change Number 1, 31 August 2018. • A strikethrough shows deleted information. • An underscore shows new or revised information. Exchange Supplier's Handbook Table of Contents Section Page The Exchange Fact Sheet Map to Exchange Headquarters 1 Visiting the Army & Air Force Exchange Service ........................................................ 1 - 1 Headquarters Visitation ............................................................................................... 1 - 1 Store Visitation Policy ................................................................................................. 1 - 1 Gifts and Gratuities ..................................................................................................... 1 - 2 Doing Business with the Exchange ............................................................................. 1 - 2 Exchange Activities ..................................................................................................... 1 - 3 2 Selling to the Exchange .................................................................................................. 2 - 1 General Procurement Information ............................................................................... 2 - 1 Hawaii ......................................................................................................................... 2 - 1 Other Overseas Exchanges ........................................................................................ 2 - 2 Non-Resale Items ....................................................................................................... 2 - 2 Books, Newspapers and Magazines........................................................................... 2 - 2 Services and Vending ................................................................................................. 2 - 3 Construction Contracting ............................................................................................ 2 - 4 Architect-Engineer Services ........................................................................................ 2 - 4 Support Service Contracts .......................................................................................... 2 - 4 Telecommunication Personal Information Service Contracts ..................................... 2 - 5 Hi-Tech Contracts ....................................................................................................... 2 - 5 Contracting Officers .................................................................................................... 2 - 5 eCommerce ................................................................................................................. 2 - 6 3 Exchange Guidelines to Quality Assurance ................................................................. 3 - 1 4 Items Authorized for Sale in CONUS ............................................................................. 4 - 1 5 Exchange Logistics ......................................................................................................... 5 - 1 Logistics ...................................................................................................................... 5 - 1 How Merchandise is Distributed ................................................................................. 5 - 1 Transportation ............................................................................................................. 5 - 1 Figure 5-1 Exchange Distribution Center Addresses 6 Exchanges ........................................................................................................................ 6 - 1 CONUS ....................................................................................................................... 6 - 1 Offshore .................................................................................................................... 6 - 24 Europe ....................................................................................................................... 6 - 25 Pacific ........................................................................................................................ 6 - 31 7 Glossary of Terms ........................................................................................................... 7 - 1 8 Glossary of Acronyms .................................................................................................... 8 - 1 Exchange Supplier's Handbook i Revenue: $9.2 B Dividends: $125 M to the Army $74 M to the Air Force $19 M to the Marine Corps $5 M to the Navy $224 M Dividend per Active duty Airman & Soldier: $260 MISSION & STRUCTURE FACILITIES WORLDWIDE The Army & Air Force Exchange Service’s enduring The Exchange is responsible for more than 2,440 mission is to make the lives of Soldiers and Airmen better facilities in more than 33 countries, 50 states & five U.S. through the goods and services we offer. The Exchange territories. Facilities include 123 main stores, 167 Military goes where Soldiers, Airmen and their families go to Clothing stores, 645 convenience stores (troop stores, improve their quality of life through retail goods and Express locations, Class Six outlets) 165 specialty stores services. Exchange earnings provide dividends to support & 67 theaters. The Exchange has more than 1,400 quick- morale, welfare and recreation programs. The Exchange serve restaurants such as Taco Bell, Burger King and is part of the Department of Defense and is directed by Starbucks as well as 3,375 concession operations. a Board of Directors, responsible to the Secretaries of the Army & Air Force through the Chiefs of Staff. This MILITARY & FAMILY SUPPORT year, the Exchange celebrates 120 years of service. When military members deploy to remote locations around the world, the Exchange is with them, offering products VISION and services to bring troops a taste of home. Since 9/11, Be the preferred retail and services provider more than 4,468 Exchange associates have deployed. The for the military family through extraordinary Exchange operates 49 contingency locations in Afghanistan, customer experience & value pricing. Kuwait, Jordan, Oman, Qatar, United Arab Emirates, Romania, Bosnia & Kosovo. Other Exchange support last year included SELF-SUPPORTING outfitting 1.3 million troops with combat uniforms, serving 4 The Exchange funds 97 percent of its operating million school lunches to their children and operating 7 plants budget from the sale of goods and services. The providing baked goods and bottled water to overseas bases. remaining 3 percent of Exchange funding comes Any American can support military members worldwide from appropriated funds; the vast majority of this by sending gift cards through the Exchange by logging support is devoted to overseas operations. on to shopmyexchange.com or calling 800-527-2345. SALES & DIVIDENDS WHO WE SERVE Roughly two-thirds of Exchange earnings are paid to The Exchange not only supports active-duty service Army MWR & Air Force Services programs. In the past members, but also military retirees and families. In 10 years, the Exchange has distributed more than $2.4 fact, 48 percent of Exchange customers are military billion for MWR to fund quality-of-life improvements. family members; 22 percent are retirees; 10 percent are Guardsman/Reservists and 7 percent are civilians. FAMILY SERVING FAMILY The Exchange is a major employer of military families. eCOMMERCE Approximately 26 percent of the Exchange’s nearly Online at shopmyexchange.com, the Exchange offers 35,500 associates are military family members; 10 percent products in every category and the same national brand are veterans; and 2 percent are active duty, Guard or merchandise found in brick-and-mortar stores. The Reserve personnel working part-time in Exchanges Exchange’s online assortment is updated continually, during their off-duty hours. In 2014, the Exchange offering convenience for those who don’t live near a was named Top Military Spouse Friendly Employer by military installation. Online shoppers pay no sales tax Victory Media, publisher of Military Spouse magazine. and enjoy free delivery when using a Military Star Card or when their online purchases total $49 or more. Current as of January 2016 Map to Exchange Headquarters Exchange Supplier's Handbook Section 1 Visiting the Army & Air Force Exchange Service Headquarters Visitation 1-1. Supplier visits at Exchange Headquarters (HQ) are by appointment only. Once your Exchange host has scheduled a meeting with you, you will be notified by e-mail of the appointment date and time. Please CLICK HERE for a detailed guide for requirements for visiting the vendor’s reception center (VRC). Store Visitation Policy 1-2. The Exchange encourages supplier participation in our facilities. Supplier participation support includes, but is not limited to, building promotional displays, product inventory scans, recommended order preparation, associate training and product demonstrations. Suppliers are either permanently assigned to a facility or they provide facility support on an as-needed basis. 1-3. Permanently assigned suppliers are normally issued a yearly gate pass that allows them unlimited access to military installations for purposes of working in our facilities. The gate pass will be issued only after a supplier has completed the necessary installation access paperwork, as determined by the local command.