Dear Valued Customer,

I want to take the opportunity to give you a progress update from last week regarding shipping delays and out of stock rates. We continue to have challenges with our recent computer system upgrade and the unprecedented demand for our products.

While we are not where we want to be, we did make progress the past week increasing in-stock rates, particularly on other manufacturers’ brands, and reducing the backlog of orders. We remain several days behind our normal next-day shipping goal, but we hope to be back to our normal lead times within the next 7-10 days.

In an effort to catch up, we are expanding our operations and distribution staff and bringing in office personnel to help process orders. We have expanded to a seven-day workweek and invested in automation in our plants. All of these efforts have increased our capacity 50% over last year at this time, with the goal of increasing capacity another 25% over the next four weeks.

We continue to have challenges with our new computer system in providing up to date and accurate inventory information on the wholesale website. Our team is working diligently to address this issue, and we will provide an update in the coming weeks.

I apologize for the ongoing issues, and appreciate your patience and understanding as we try to get back to the service levels you expect from Frontier Co-op. I’ll be sure to keep you updated on our progress.

Sincerely,

Tony Bedard

CEO