Defense Commissary Agency Transformation: Far East CONUS BRAC Impacts Mr. Richard S. Page DeCA West, Director

Topics Sales Performance Far East Re-stationing BRAC Impact on CONUS Stores

Sales Performance FY 2007 vs. FY 2006 YTD Sales up 0.60% YTD In $M Sales up 0.60% YTD and down 0.70% vs. Program

Customer Transactions Customer transactions: FY 2007 vs. FY 2006 YTD Count In M Customer transactions: $59.94 FY 2007 vs. $58.25 FY 2006 YTD

Korea – Present FY06 Total Sales: $ 79,605,753 Camp Casey Yongsan Yongsan CDC Camp Page Camp Howze Camp Red Cloud Camp Stanley Hannam Village Housing Area Camp Eagle Camp Humphreys Camp Carroll Osan AB Osan CDC Camp Walker- Taegu Taegu CDC Kunsan AB Legend: Camp Hialeah –Pusan Commissary/CDC Locations Closed Commissaries Chinhae

Projected Total Sales: Korea – Projected 2012 Projected Total Sales: $ 74,714,108 K16 * Pyong-taek CDC * Camp Humphreys Camp Carroll Osan AB Osan CDC Camp Walker- Taegu Kunsan AB Legend: Chinhae Commissary/CDC Locations New Construction Possible Future Commissary Host Gov. Provided Facility *

Japan – Present FY06 Total Sales: $ 87,735,562 Misawa Yokota Sagamihara Sagami Depot Kanto Plain CDC Camp Zama Atsugi Yokosuka Camp Kure Iwakuni CDC Iwakuni Sasebo Hario Legend: Commissary/CDC Locations

Projected Total Sales: Japan – Projected Projected Total Sales: $ 97,458,993 Misawa Yokota Sagamihara Sagami Depot Kanto Plain CDC Camp Zama Atsugi Yokosuka Camp Kure Iwakuni CDC Iwakuni Sasebo Hario Aomori Hills Legend: Commissary/CDC Locations Possible Future Commissary

Okinawa – Present FY06 Total Sales: $ 76,916,177 Camp Courtney Kadena AB Camp Foster Camp Kinser Okinawa CDC Legend: Commissary/CDC Locations

Projected Total Sales: Okinawa – Projected Projected Total Sales: $ 62,264,559 Camp Courtney Kadena AB * Okinawa CDC Camp Foster Legend: Commissary/CDC Locations Host Gov. Provided Facility *

Guam – Present FY06 Total Sales: $ 47,664,084 Andersen AFB Orote CDC NB Orote Legend: Commissary/CDC Locations

Projected Total Sales: Guam – Projected Projected Total Sales: $ 101,632,144 North Ramp: AF ISR/Strike & USMC ACE Finegayan: Navy Comm/USMC HQE/GCE/LSE Ops/Training, USMC QOL Guam CDC Andersen AFB NB Orote Apra: Navy Ops Transient CVN USMC Embark Military Support Highway Current Commissaries - Present Forces - DPRI moves IGPSB moves Potential Future Commissary Legend: NAVMAG: Navy/USMC Crew-Served Weapons Training/ Ordnance Storage Andersen South: USMC Maneuver/MOUT site

Hawaii -- Present FY06 Total Sales: $ 212,362,029 Kaneohe Bay Schofield Barracks Pearl Harbor Hickam AFB Barbers Point

Projected total Sales: Hawaii -- Projected Projected total Sales: $ 233,035,748 Kaneohe Bay Schofield Barracks Pearl Harbor Hickam AFB

Far East and Hawaii of the Future Total Projected Sales: $ 569,094,818 (+ 10%) Hawaii Sales: $ 233,035,748 Stores: 4 Korea Sales: $ 74,714,108 Stores: 7 CDCs: 2 Guam Sales: $ 101,632,144 Stores: 3 CDCs: 1 Japan/Okinawa Sales: $ 159,712,818 Stores: 14 CDCs: 3 Total Projected Stores: 28 Total Projected CDCs: 6

Pacific Theatre Recap Korea – Re-Stationing will reduce Military footprint, but increase commissary access Japan - MCAS Iwakuni to increase by 3,734 Okinawa – Will decline by 8,000 Marines and 1 Commissary Guam – Will triple in size Hawaii – Will continue to grow Pacific Sales – Projected to increase by 10%

Construction Required BRAC Impacts Major Troop Increases Commissary Change in AD Strength Construction Required Fort Bliss 11,354 Replacement Fort Sam Houston 7.648 Upgrade Fort Carson 4,178 Fort Sill 3,444 None Fort Riley 2,415 Nellis 1,149 McConnell 677 China Lake 154

Conclusion U.S. Army reaches end state sometime after 2012 End state sales expected to be around 85% of FY 2006 Maintain level of services as funding tightens Fostering recruitment with smaller labor pool Emphasis on performance, service & quality standards Maintain relevance in end-state footprint