1. Saving people money so they can live better
Finance Overview
DSV Kickoff Meeting

2. Overview Today’s discussion will focus on Payables & Deductions
Background on Payment for Cost of Goods Sold (COGS)
Deductions overview
Retail Link/Invoice/Remittance file
Potential payment variances
Inquiry process for charge back details
Contacts
DSV Kickoff Meeting (Finance)

3. Payment for Cost of Goods
Every week, Walmart.com batches all received “Shipped Status” P.O. lines and communicates the amount to be paid to Walmart Accounts Payable System
Timeframe
12:01 A.M. Saturday through Midnight Friday
We do not currently age accounts to applicable terms
Payment is for cost of goods only
“Ship Status” drives the charge to the customer’s credit card and authorization for payment to vendor for cost of goods
PO level documentation for these transactions is sent via the AP Remittance File
All payments are made by Walmart systems and payments for other divisions will be on the same check if applicable
Walmart.com DSV automatic payments are identified as
Walmart.com bulk inbound payment are identified as 01 – applicable store number
Example: Delivery to Carrollton, GA DC = store # Payment for the inbound PO would appear as
Manual adjustments made by WM.com are identified as
DSV Kickoff Meeting (Finance)

4. Deductions
Based on the terms noted in the DSV Legal Addendum, Walmart.com will reduce payments to cover returns agreements, Customer Service Adjustments (CSAs), lost in transit carrier claims, upgrades, etc.
Returns ( )
Deduction based on product shipped to the Walmart Return Center
Return to Vendor: Item Cost + 10% fee, deducted monthly
Walmart Disposition: Item Cost without fee, deducted quarterly
Return Center’s month is generally the 25th through the 25th
Customer Service Adjustment (CSA) ( )
Quarterly, one month in arrears based on reason code for the adjustment
Shipping Carrier Claims ( ) detail next slide
Monthly, based on lost in transit information from the Walmart finance team located in Bentonville, Arkansas
Changed Ship Methods ( )
To recoup unplanned cost based on shipping via expedited carrier / service
Coop Agreement ( )
Charges generated by Merchandising for price protection, discounts, etc.
Vendor Compliance Charges ( )
DSV Kickoff Meeting (Finance)

5. Walmart.com Claims Recovery Process - Carrier Claims
Carrier Claims occur when merchandise is either lost or damaged in transit and a refund of merchandise cost is requested.
DSV Carrier Claims notifications are sent directly to the vendor as well as a summary notification at the end of each month.
Deduction amount as follows:
FedEx (COG or if COG > $100 then maximum allowed $100)
All other carriers (COG plus shipping cost charged to customer)
The vendor, as shipper of record with carrier, will then submit a claim to the carrier and once processed, carrier will either approve or decline the claim
Approved – Funds sent directly from carrier to vendor
Declined – Declination letter sent to vendor explaining reason for declination. Vendor then submits declination (no substitutes) to Walmart.com for reimbursement of previously deducted COG.
As the Shipper of Record, the DSV files their own Parcel carrier claim.
BV will handle LTL carrier claims directly
USPS does not allow claims
Contact for inquires
DSV Kickoff Meeting (Finance)

6. Select: Check Index Screen (from Drop down menu)
Retail Link / 1
Select: Check Index Screen (from Drop down menu)
DSV Kickoff Meeting (Finance)

7. Select the check you want to view
Retail Link / 2
Select the check you want to view
DSV Kickoff Meeting (Finance)

8. The check details are presented on a separate screen
Retail Link / 3
The check details are presented on a separate screen
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9. Sample of System Generated Invoice
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10. Sample of a DSV AP Remittance File
DSV Kickoff Meeting (Finance)

11. Potential Payment Variances
Order level variances
Order Status
Walmart.com only charges the customer, recognizes the sale, and authorizes payment to the vendor after receiving a shipped status (856)
If the product physically ships, but a final status other than “shipped” (856) is returned to Walmart.com, then the payment will not occur
Final status order types indicating PO was canceled include:
Backordered
Discontinued
Cancelled
Cost variances
The vendor’s payment is based on the cost in Walmart.com’s system at time of order
Merchants are responsible for updating costs and communicating any errors that need to be manually corrected
DSV Kickoff Meeting (Finance)

12. Inquiry process for charge back details
We moved our Vendor Management Support to our Corp. Headquarters in Arkansas. Details of charges will be provided by our U.S. Financial Shared Services (FSS) Contact Center.
In order to provide a more timely and effective customer service, the Walmart Financial Shared Services Contact Center (FSSCC) requests that all suppliers use an E-Form for all inquiries sent to:
Phone: (888) (M-F 7:00am – 6:00pm CT)
You can find the E-Form in Retail Link by clicking on Site Map > Contact Center > Supplier Inbox Form (.xls)
No E-form no request being processed by FSS
DSV Kickoff Meeting (Finance)

13. Other contacts Receipt of checks Vendor Hotline 479-273-4089
General questions and concerns
DSV Carrier Claims Inquires
DSV Kickoff Meeting (Finance)