Document:

Exhibit 10.3

 

LOGISTICS

 

SERVICE AGREEMENT

 

BETWEEN THE UNDERSIGNED

 

EASYDIS, a French simplified joint-stock company [Société par Actions Simplifiée] with capital of €960,000, whose registered address is located at 1 Esplanade de France, 42008 SAINT ETIENNE, registered with the Trade and Companies Register of SAINT ETIENNE under the number 383 123 874,

 

Duly represented herein by its Managing Director, Mr. Rémi AUZANNEAU

 

Hereinafter referred to as “EASYDIS” or “THE SERVICE PROVIDER”

 

PARTY OF THE FIRST PART

 

AND

 

CDISCOUNT, a French public limited company [Société Anonyme] with capital of €5,162,154.62, whose registered address is located at 120-126 Quai de BACALAN, 33000 Bordeaux, registered with the Trade and Companies Register of BORDEAUX under the number 424 059 822,

 

Duly represented herein by its Supply Chain Manager, Pierre-Yves ESCARPIT

 

1

 

PARTY OF THE SECOND PART

 

Hereinafter referred to as “CDISCOUNT” or “THE CLIENT”

 

Hereinafter referred to as “The Parties”

 

PREAMBLE:

 

CDISCOUNT is a trade name of the Casino Group, specialised in e-commerce.

 

EASYDIS, on the other hand, is a logistics subsidiary of the Casino Group, and is specialised in storing goods.

 

The two companies declare that they are prepared to collaborate in order to meet the obligations of this Agreement, and its specifications and appendices.

 

This Agreement, as it is defined below, constitutes the entire indivisible agreement between the parties.

 

ARTICLE 1 / DEFINITIONS

 

For the performance of this Agreement and the Specifications, the terms and expressions with a capital letter are to be understood as follows. The same words and expressions written without a capital letter are to be understood according to their standard meaning.

 

	
AGREEMENT
    	
 
    	
This   logistics service agreement, the specifications, the other appendices and   possible amendments thereto.
    
	
 
    	
 
    	
 
    
	
THE   PRODUCTS
    	
 
    	
The Products   concerned are “non-food products weighing more than 30 kg and/or with a   length of more than 2 metres”, representing approximately 1,800 items. The   number of these items is likely to change according to the conditions set out   in the Agreement.
    
	
 
    	
 
    	
 
    
	
DELIVERY   POINT
    	
 
    	
Refers to CDISCOUNT’S   pick-up points (collection and delivery) or, more generally, any location   designated by CDISCOUNT.
    
	
 
    	
 
    	
 
    
	
SITE
    	
 
    	
Refers to the   platform or warehouse operated by EASYDIS for   the performance of the Agreement.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Geographic   address of the site assigned for the performance of the Agreement:
    
	
 
    	
 
    	
ZAC de l’Orme
    
	
 
    	
 
    	
42162   ANDREZIEUX BOUTHEON
    

 

2

 

	
SATELLITE
    	
 
    	
Refers to the   platform(s) or warehouses run by one of CDISCOUNT’S subcontractors and   operationally managed by EASYDIS for   the performance of the Agreement.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Geographic   address of the satellite Site assigned for the performance of the Agreement   on the date of signing the Agreement:

ZI la Plaine

Rue Charles   Nungesser

VEAUCHE   (42340)
    
	
 
    	
 
    	
 
    
	
QUANTITATIVE   CHECK
    	
 
    	
Refers to the   inspection made by EASYDIS on   site and at the satellite with regard to the quantities delivered for CDISCOUNT.
    
	
 
    	
 
    	
 
    
	
QUALITATIVE   CHECK
    	
 
    	
Refers to the   inspection carried out by EASYDIS when   receiving the products, with the aim of verifying their compliance with   regard to the order placed by CDISCOUNT with   the supplier.
    
	
 
    	
 
    	
 
    
	
SUPPLIERS
    	
 
    	
This refers   to CDISCOUNT’S suppliers who are responsible for its supply of Products on   the Site and whose invoices are sent to CDISCOUNT for   payment. EASYDIS will be the custodian of   the products which remain the property of CDISCOUNT.
    
	
 
    	
 
    	
 
    
	
SPECIFICATIONS
    	
 
    	
Document   included in Appendix 1 of the Agreement and listing all of the data provided   to EASYDIS in order to carry out its   service, namely specifications, processes, procedures, methods of performing   checks, definition of the Products, etc.
    

 

ARTICLE 2 / OBJECT

 

CDISCOUNT entrusts EASYDIS, which accepts according to the conditions set out in this Agreement, and in the Specifications and the appendices, to provide all services, from receipt of the Products on the Site until they are handed over to the freight forwarders (in particular, reception, warehousing, storage, preparation and shipment thereof), in order for them to be delivered to the delivery points designated by CDISCOUNT.

 

3

 

ARTICLE 3 / PRODUCTS OBJECT OF THE AGREEMENT

 

The Products, object of this Agreement, are defined in article 1 hereunder. The services of EASYDIS may be extended to products other than those referred to in article 1, after mutual consultation between the parties leading to the signing of an amendment or a new agreement, depending on requirements.

 

In such a case, the parties will meet in order to agree together on the amendments to be made to this Agreement and, in particular, on the period of time necessary for integrating these products into the EASYDIS Site.

 

ARTICLE 4 / CONDITIONS FOR PERFORMING THE SERVICES

 

EASYDIS undertakes to provide the services in compliance with the French and EU laws in force, as well as standard professional practices governing its activity.

 

EASYDIS undertakes, for the provision of its services, to comply with all points of the Specifications attached to this Agreement.

 

EASYDIS certifies that it has the structure, internal procedures, and all the human and material resources necessary to perform the service object of this Agreement.

 

EASYDIS is aware of its general obligation to provide information and advice and to warn CDISCOUNT regarding the logistics service that it provides under this Agreement. In turn, CDISCOUNT undertakes to keep EASYDIS closely informed of any and all changes that may have an impact on carrying out its logistics operations, object of the service.

 

ARTICLE 5 / STATUS OF THE EASYDIS SERVICES

 

The services, object of the Agreement, consist of:

 

·                  Operational management of the satellite run by a CDISCOUNT service provider

 

·                  Unloading and reception at the EASYDIS Site of products coming from the CDISCOUNT suppliers and checking these products according to the procedures established in the Specifications

 

·                  Warehousing of these products at EASYDIS’ Site or at its service providers’ site

 

·                  Maintenance, preparation and storage of the orders to be provided to freight forwarders in the conditions set out in articles 6, 7, 9 and 10

 

·                  Management, preservation and maintenance of stock (namely inspection, inventory, etc.)

 

4

 

·                  Receipt and issue of customer orders made via the GOLD online system

 

·                  Providing customer orders to the freight forwarders in charge of their delivery such that the products can be loaded and dispatched in normal conditions by the freight forwarders

 

·                  Exchange of EUROPE palettes on a one-for-one basis with the CDISCOUNT supplier at the time of delivery at the Site

 

·                  The administrative processing of the claims procedures with regard to the suppliers and freight forwarders delivering to the EASYDIS Site or to the satellite is carried out by CDISCOUNT

 

Any additional service will be subject to an amendment to this Agreement.

 

ARTICLE 6 / RECEPTION OF THE PRODUCTS

 

EASYDIS undertakes to assume full and complete responsibility for supervising the unloading of the products when they are delivered to the Site at the reception times defined between the parties, carried out by its staff and with its own equipment, within the limit of the site’s maximum capacity.

 

EASYDIS shall carry out visual qualitative and quantitative checks of the Products, such as defined in the Specifications, in the name of and on behalf of CDISCOUNT, based on the purchase orders, the receiving documents and on its own observations, and in the event of damage during transportation, or a missing item, will make the reserves that it deems appropriate within the deadline and in the manner set out in article L. 133-3 of the French Commercial Code.

 

ARTICLE 7 / WAREHOUSING

 

EASYDIS undertakes to set apart the stocks of products belonging to CDISCOUNT in conditions that enable it to always accurately identify them as belonging to CDISCOUNT. These conditions are defined in the Specifications attached to this Agreement.

 

In accordance with the Agreement, EASYDIS is custodian of the stock belonging to CDISCOUNT. As such, throughout the Agreement, EASYDIS undertakes to maintain any surveillance and security system so as to implement the means aimed at keeping the stock free of any damage (breakage, fire, loss, theft or other).

 

It is expressly stipulated that EASYDIS will not assume any responsibility with regard to the intrinsic qualities (sanitary or other) of the Products, said products being selected by CDISCOUNT, which purchases them according to the terms and conditions exclusively agreed by it and its suppliers, regardless of the origin, except for deliberate fault or gross negligence on the part of EASYDIS in the performance of its service.

 

As regards the intrinsic qualities of the products, CDISCOUNT guarantees EASYDIS and its insurers against any action brought by third parties on this matter, and, as such, it undertakes to take all appropriate measures with regard to its insurers.

 

5

 

CDISCOUNT recognises, where required, that the inspection of the products upon reception at the Platform is limited to the operations and procedures defined in the Specifications and thus shall not involve a general obligation of compliance of the Products at the expense of EASYDIS, in its simple capacity as custodian.

 

During any seizure targeted at CDISCOUNT and carried out on the Site by a ministerial officer or a duly authorised administrative body, EASYDIS expressly undertakes to indicate to any intervening party (bailiffs, etc.) that the physical stock of the Products belongs to CDISCOUNT and shall warn the latter by any means, according to the urgency of the situation (email, fax).

 

During any seizure targeted at EASYDIS or a third party to the Agreement and carried out on the Site, EASYDIS expressly undertakes to indicate to any intervening party (bailiffs, etc.) that the physical stock of the Products belong to CDISCOUNT and shall do whatever is within its means to prevent these Products from being seized.

 

ARTICLE 8 / UNDERTAKINGS BY CDISCOUNT AND EASYDIS

 

CDISCOUNT shall generate the level of its stocks of Products from the Platform, whereas EASYDIS shall not incur any liability in the case of breakage, unless such breakage is the result of a proven error attributable to EASYDIS in the computer processing or physical handling of the flows.

 

CDISCOUNT undertakes to promptly inform EASYDIS of any additions and/or modifications to Products, and shall do so by fax or any other written means, within a maximum period of twenty-four hours before such additions or modifications are implemented.

 

CDISCOUNT and EASYDIS undertake to comply with the provisions of the Specifications and Appendices of this Agreement which form an integral part of their agreements. In this regard, each of the parties specially undertakes to collaborate loyally and in good faith in implementing these procedures and, as necessary, adapting them with the aim of arriving at the implementation of the best technique at competitive costs.

 

6

 

ARTICLE 9 / CUSTOMER QUALITY — MANAGEMENT OF STOCKS

 

The quality of service for its end customers and the reliability of its stocks are fundamental requirements and priority objectives of CDISCOUNT.

 

As such, EASYDIS, in collaboration with CDISCOUNT, shall employ all means necessary to measure the quality of the service, such as it is defined in the Specifications.

 

Any and all anomalies observed (breakages, deviations of stock) between the reception of the product and its shipment will be analysed jointly by the parties.

 

As a service provider, EASYDIS undertakes to provide the supervisor of the Cdiscount site with the GOLD access codes or with any other tool necessary for tracking the activity.

 

ARTICLE 10 / ORDERS

 

In accordance with that indicated in the Specifications, it is agreed that EASYDIS undertakes to:

 

·                  Prepare the orders by removing the products from CDISCOUNT’S stock

 

·                  Pack the products on palettes or any other support validated by both parties

 

The deadlines for preparing the orders and for scheduling collections are defined in the Specifications.

 

ARTICLE 11 / PRICE — INDEXING

 

The services are invoiced out according to the prices and conditions agreed between EASYDIS and CDISCOUNT as set forth in Appendix 2 “Pricing” in the Agreement, and in accordance with the legal and regulatory provisions.

 

ARTICLE 12 / PAYMENT

 

In order to be accepted by CDISCOUNT, in addition to the legal disclaimers, the invoice must indicate the following information:

 

·                  Fixed costs

 

·                  Variable costs

 

·                  Volumes invoiced

 

·                  Quantities shipped per day

 

CDISCOUNT shall pay EASYDIS by Bankers’ Automated Clearing Services issued and written out exclusively payable to the order of EASYDIS within sixty days of the invoice date.

 

In the event of failure to make payment within the deadline stipulated, EASYDIS shall be entitled to apply late payment charges calculated at the rate of three times the statutory interest rate.

 

7

 

ARTICLE 13 / CONTINUITY OF SERVICES

 

EASYDIS undertakes to ensure continuity in provision of the Services and to provide or have the Services provided without interruption for any reason whatsoever, except in a case of force majeure or a fortuitous event.

 

In the event of any difficulties that would jeopardize the continuity of service or in case of a recognised interruption, whatever the cause, the parties shall meet in order to set up an appropriate system so as to ensure the delivery of the Products by using any means that they deem fit to resolve or work around the difficulties concerned and to maintain a level of service in accordance with the demands of the Agreement.

 

On the other hand, in the event of complete interruption of the Services due to a case of force majeure or a fortuitous event lasting more than (2) two months, CDISCOUNT will have the option to terminate the Agreement.

 

However, if the event in question is due to a strike by EASYDIS’ own staff, then this period of two months shall be reduced to fifteen days.

 

ARTICLE 14 / AUDIT

 

CDISCOUNT may have any type of audit (e.g. financial, operational, IT) conducted on the Site and at any place where the Agreement may be performed, in order to ensure EASYDIS’ compliance with the Agreement and with any applicable regulations.

 

CDISCOUNT must inform the latter about such audit at least 48 hours before the audit is to take place. The audit must be conducted during the Site’s opening hours, and must not disrupt the Site’s activities under any circumstance.

 

The parties shall meet to share the conclusions of the audit report and take any corrective measures as necessary.

 

ARTICLE 15 / STAFF

 

EASYDIS’ staff shall, at all times, remain subordinate to and under the disciplinary authority of EASYDIS, which shall assume full responsibility for its employees.

 

On the date of signing this Agreement and every six months thereafter, EASYDIS shall send to CDISCOUNT attestation issued by the URSSAF (French Social Security Administration) regarding the obligations pertaining to declaration and payment of dues and contributions to Social Security, and a sworn statement certifying that the services are performed by employees who are lawfully employed under articles L.3243-1, L. 3243-2, L. 3243-4, L. 1211-13, L. 1211-15 and L.1221-10 of the French Labour Code.

 

8

 

EASYDIS shall designate one or more supervisors from among its staff members, who alone shall act as liaisons for CDISCOUNT.

 

Any CDISCOUNT staff members who may be called on to work at the EASYDIS Site shall undertake to comply with EASYDIS’ company rules, which the latter will have provided to CDISCOUNT beforehand for its information. CDISCOUNT shall remain responsible for its staff.

 

EASYDIS shall personally deal with any accident on its Site which may involve either its staff or anyone else, including CDISCOUNT’S employees, due to an error caused by its own staff, such that CDISCOUNT cannot be held liable unless an error was committed by CDISCOUNT.

 

CDISCOUNT shall personally deal with any accident that may occur due to an error committed by its own staff working at the EASYDIS Site, involving anyone, including EASYDIS’ employees, such that EASYDIS can only be held liable if this accident was due to an error committed by EASYDIS.

 

ARTICLE 16 / LIABILITIES AND INSURANCE

 

16 -1 Liability

 

EASYDIS remains liable, vis-à-vis CDISCOUNT or any third parties, for any type of damage for which it may be responsible, arising from the obligations and services under the Agreement.

 

EASYDIS shall also be liable, vis-à-vis CDISCOUNT, for damages caused by the subcontractors hired by EASYDIS to assist it or assume its place in performing an obligation and/or service covered under the Agreement.

 

16-2 Insurance

 

EASYDIS must take out insurance policies with reputable and solvent companies for sufficient amounts necessary in order to cover the liabilities that it incurs as a result of performing this agreement and, as defined in the above article, for any bodily injuries, material and immaterial damages, whether consequential or not. CDISCOUNT undertakes to inform the Client of the maximum value of the stocks once per year, on the date the agreement takes effect.

 

Prior to signing this agreement, EASYDIS undertakes to present proof of the insurance policies that it has taken out.

 

CDISCOUNT shall take out insurance policies with one or more reputable and solvent insurance companies and for sufficient amounts, so as to cover its products against risks including but not limited to fire, explosion and water leaks.

 

9

 

CDISCOUNT shall also take out necessary insurance policies with a reputable and solvent insurance company for amounts sufficient to cover the responsibilities that it incurs as a result of performing this agreement, so as to cover any bodily injuries, material and immaterial damages, whether consequential or not.

 

ARTICLE 17 / OBLIGATION TO PROVIDE INFORMATION

 

In view of the experience of the two partners, each party undertakes to exchange any information, including information gained from legal or regulatory obligations, enabling each one to progress and improve both the organisation as well as the quality of the Service. Both parties undertake to provide each other with the information and data necessary for managing and auditing the activity (see Appendix 1).

 

ARTICLE 18 / ENTIRE AGREEMENT

 

This agreement expresses all of the agreements and undertakings made by the parties with regard to the object of this Agreement and replaces and voids any other previous oral or written agreement or undertaking that may have existed between EASYDIS and CDISCOUNT as pertains to the objects hereof.

 

ARTICLE 19 / PARTIAL NULLITY

 

If any of the provisions of this Agreement should be declared null or unenforceable, the validity of the other provisions and of the entire Agreement shall not be affected or reduced.

 

ARTICLE 20 / ADAPTATION

 

In general, for all of the services arising from this agreement, the parties shall meet if it should become necessary to make any modifications to or clarifications of the rules defined between them.

 

Any modifications to the Agreement shall be subject to a written amendment, signed by both parties.

 

In any case, once a year, by 31 October at the latest, the parties shall meet in order to update the appendices to the agreement.

 

ARTICLE 21 / TERM

 

This agreement is entered into for a period of six years extending from 1/1/2013 to 1/1/2019.

 

10

 

Unless terminated by either of the parties, by registered letter with acknowledgement of receipt, one year before its expiration, the agreement shall automatically be renewed for a period of 2 years.

 

At the time of these renewals, the Agreement may be terminated every two years on its anniversary date by either of the parties, by giving one year’s advance notice by registered letter with acknowledgement of receipt.

 

ARTICLE 22 / TERMINATION OF THE AGREEMENT

 

In the event of serious or repeated breach in the performance of the Agreement by one of the parties, the other party may terminate the agreement after formal notice sent to the defaulting party by means of registered letter with acknowledgement of receipt has gone unheeded for more than 30 days.

 

In the event of termination of the agreement, regardless of the cause, EASYDIS shall honour the orders that have been previously sent to it by CDISCOUNT until the expiry date of the Agreement and CDISCOUNT shall pay the corresponding invoices to EASYDIS.

 

ARTICLE 23 / CONFIDENTIALITY

 

All the information communicated or acquired, and any documents received by either of the parties during the performance of this Agreement are to be considered confidential, and the parties undertake to respect such confidentiality both throughout the term of the agreement as well as during the two years following extinguishment of the Agreement, regardless of the reason for such termination.

 

ARTICLE 24 / INTUITU PERSONAE

 

This agreement is entered into in consideration of the fact that, as of the date of signing this agreement, both parties belong to the Casino Group.

 

If, during the term of the agreement, one of the parties leaves the Casino Group, the other party shall have the possibility of requesting that the terms and conditions are immediately renegotiated, particularly the pricing of the agreement. Should the parties fail to reach an agreement within three months, each one of the parties may then terminate the agreement by observing a period of three months’ notice, without payment of compensation to either party.

 

ARTICLE 25 / ELECTION OF DOMICILE

 

For the purposes of this agreement and any actions pursuant hereto, each party elects domicile at its respective registered address as indicated in the heading of this Agreement. Each party must inform the other party in the event of any change in said address.

 

11

 

ARTICLE 26 / ALLOCATION OF JURISDICTION

 

Any dispute that should arise from the agreement shall be referred to the exclusive jurisdiction of the Commercial Court of Paris, regardless of the number of defendants, emergency proceedings and/or on application.

 

Signed in Andrézieux

 

On 24/01/13

 

In two originals, one for each of the parties.

 

 

	
On behalf of CDISCOUNT,
    	
On behalf of EASYDIS,
    
	
 
    	
 
    
	
[Signature]
    	
[Signature]
    
	
 
    	
 
    
	
 
    	
Rémi   AUZANNEAU
    
	
 
    	
Managing   Director
    
	
 
    	
 
    
	
 
    	
[Stamp:   EASYDIS company stamp]
    

 

12

 

APPENDICES

 

I — Specifications

I Bis — Delivery specifications: suppliers

II — Pricing table

 

13

 

APPENDIX 1

 

SPECIFICATIONS

 

Products weighing more than 30 kg and/or with a length of more than 2 metres

 

	
Cdiscount.com
    	
Easydis
    
	
 
    	
 
    
	
 
    	
Your   logistics partner
    

 

 

TABLE OF CONTENTS

 

	
1.
    	
Scope
    	
3
    
	
 
    	
 
    	
 
    
	
 
    	
1.1.   Location and specifics of the   warehouse
    	
3
    
	
 
    	
 
    	
 
    
	
 
    	
1.2. Products
    	
3
    
	
 
    	
 
    	
 
    
	
 
    	
1.3. Other products
    	
3
    
	
 
    	
 
    	
 
    
	
 
    	
1.4. Estimated volume analysis in   2013 for the preparation of orders
    	
3
    
	
 
    	
 
    	
 
    
	
2.
    	
Permanent resources allocated
    	
4
    
	
 
    	
 
    	
 
    
	
3.
    	
EDI Flows
    	
4
    
	
 
    	
 
    	
 
    
	
 
    	
3.1. Description of IT flows
    	
5
    
	
 
    	
 
    	
 
    
	
 
    	
3.2. Item master record
    	
6
    
	
 
    	
 
    	
 
    
	
 
    	
3.3. Supplier purchase order
    	
6
    
	
 
    	
 
    	
 
    
	
4.
    	
Scheduling an appointment / Planning and procedures for delivery of   goods
    	
6
    
	
 
    	
 
    	
 
    
	
5.
    	
Supply of consumables
    	
7
    
	
 
    	
 
    	
 
    
	
6.
    	
Storage
    	
7
    
	
 
    	
 
    	
 
    
	
7.
    	
Preparation of customer purchase orders
    	
8
    
	
 
    	
 
    	
 
    
	
 
    	
7.1. Labelling
    	
8
    
	
 
    	
 
    	
 
    
	
 
    	
7.2. Cancellation of a customer purchase order
    	
8
    
	
 
    	
 
    	
 
    
	
 
    	
7.3. Shipping of the order
    	
8
    
	
 
    	
 
    	
 
    
	
8.
    	
Management of stock
    	
9
    
	
 
    	
 
    	
 
    
	
 
    	
8.1. Revolving inventory
    	
9
    
	
 
    	
 
    	
 
    
	
 
    	
8.2. Damaged items
    	
9
    
	
 
    	
 
    	
 
    
	
9.
    	
Management of returns
    	
10
    
	
 
    	
 
    	
 
    
	
 
    	
9.1. Identification of return flows
    	
10
    
	
 
    	
 
    	
 
    
	
 
    	
9.2. Receipt of return flows (non-damaged goods)
    	
10
    
	
 
    	
 
    	
 
    
	
 
    	
9.3. Receipt of return flows (damaged goods) 
    	
10
    
	
 
    	
 
    	
 
    
	
 
    	
9.4. Transfer of damaged items
    	
10
    
	
 
    	
 
    	
 
    
	
10.
    	
Operational data to be sent
    	
11
    

 

 

1.              Scope

 

1.1.    Location and specifics of the warehouse

 

The geographical address of the warehouse run by Easydis for the performance of the agreement is as follows:

 

ZAC de l’Orme

42162 ANDREZIEUX BOUTHEON

 

(Depending on the organisation of the stocks and in agreement with both parties, stock can be managed at different addresses e.g. SBO and Combronde, for example).

 

The total area of the site is spread out over 70,202 m2, distributed as follows: 66,240 m2 for dry storage, 2,576 m2 for offices, and 1,386 m2 for technical facilities.

 

1.2.    Products

 

The products concerned are items weighing more than 30 kg and/or with a length of more than 2 metres. They include:

 

·                  IT

·                  Image and sound (LCD Television, Plasma, HI FI Stereo)

·                  Large household appliances (washing machine, clothes dryer, dishwasher, refrigerator)

·                  Small household appliances

·                  Large household furniture (sofa, armchair, table, chair, bedding, etc.)

·                  Games/ toys

·                  Sporting equipment (bicycles)

·                  Auto parts and accessories

·                  Other items

 

1.3.    Other products

 

Other items may be handled within the framework of the partnership, subject to acceptance by Easydis.

 

1.4   Estimated volume analysis in 2013

 

Volumes for preparation in 2013 — Source Cdiscount (in items)

 

	
 
    	
 
    	
Budget
   Jan
   2013
    	
 
    	
Budget
   Feb
   2013
    	
 
    	
Budget
   March
   2013
    	
 
    	
Budget
   April
   2013
    	
 
    	
Budget
   May
   2013
    	
 
    	
Budget
   June
   2013
    	
 
    	
Budget
   July
   2013
    	
 
    	
Budget
   Aug
   2013
    	
 
    	
Budget
   Sept
   2013
    	
 
    	
Budget
   Oct
   2013
    	
 
    	
Budget
   Nov
   2013
    	
 
    	
Budget
   Dec
   2013
    	
 
    
	
EA1
    	
 
    	
106,607
    	
 
    	
96,194
    	
 
    	
90,519
    	
 
    	
78,217
    	
 
    	
83,938
    	
 
    	
95,715
    	
 
    	
109,079
    	
 
    	
96,387
    	
 
    	
90,913
    	
 
    	
94,896
    	
 
    	
97,759
    	
 
    	
116,453
    	
 
    
	
IT
    	
 
    	
114
    	
 
    	
84
    	
 
    	
79
    	
 
    	
71
    	
 
    	
69
    	
 
    	
64
    	
 
    	
85
    	
 
    	
74
    	
 
    	
83
    	
 
    	
80
    	
 
    	
79
    	
 
    	
107
    	
 
    
	
Image and sound
    	
 
    	
11,685
    	
 
    	
8,175
    	
 
    	
6,638
    	
 
    	
6,189
    	
 
    	
6,348
    	
 
    	
6,734
    	
 
    	
9,214
    	
 
    	
6,952
    	
 
    	
6,902
    	
 
    	
7,579
    	
 
    	
9,413
    	
 
    	
17,037
    	
 
    
	
Large household appliances   
    	
 
    	
69,815
    	
 
    	
59,932
    	
 
    	
53,422
    	
 
    	
45,299
    	
 
    	
48,144
    	
 
    	
56,261
    	
 
    	
59,858
    	
 
    	
59,781
    	
 
    	
58,229
    	
 
    	
61,081
    	
 
    	
59,379
    	
 
    	
68,451
    	
 
    
	
Small household appliances   
    	
 
    	
1,155
    	
 
    	
875
    	
 
    	
665
    	
 
    	
668
    	
 
    	
753
    	
 
    	
729
    	
 
    	
921
    	
 
    	
786
    	
 
    	
741
    	
 
    	
745
    	
 
    	
878
    	
 
    	
1,239
    	
 
    
	
Sofa
    	
 
    	
11,347
    	
 
    	
13,148
    	
 
    	
9,204
    	
 
    	
7,899
    	
 
    	
7,154
    	
 
    	
7,520
    	
 
    	
12,703
    	
 
    	
9,695
    	
 
    	
11,010
    	
 
    	
11,224
    	
 
    	
11,120
    	
 
    	
10,535
    	
 
    
	
Bedding
    	
 
    	
3,183
    	
 
    	
3,010
    	
 
    	
2,325
    	
 
    	
2,422
    	
 
    	
2,009
    	
 
    	
2,474
    	
 
    	
3,960
    	
 
    	
3,408
    	
 
    	
3,304
    	
 
    	
3,103
    	
 
    	
2,945
    	
 
    	
3,468
    	
 
    
	
Large home improvement   goods
    	
 
    	
167
    	
 
    	
308
    	
 
    	
1,347
    	
 
    	
1,371
    	
 
    	
1,701
    	
 
    	
1,922
    	
 
    	
1,619
    	
 
    	
943
    	
 
    	
624
    	
 
    	
489
    	
 
    	
422
    	
 
    	
503
    	
 
    
	
Large gardening   equipment/supplies
    	
 
    	
1,401
    	
 
    	
3,055
    	
 
    	
9,596
    	
 
    	
7,628
    	
 
    	
10,365
    	
 
    	
11,481
    	
 
    	
8,612
    	
 
    	
4,233
    	
 
    	
1,721
    	
 
    	
857
    	
 
    	
707
    	
 
    	
631
    	
 
    
	
Large furniture
    	
 
    	
5,491
    	
 
    	
5,875
    	
 
    	
4,703
    	
 
    	
4,135
    	
 
    	
4,097
    	
 
    	
4,997
    	
 
    	
7,315
    	
 
    	
6,781
    	
 
    	
6,335
    	
 
    	
6,794
    	
 
    	
6,517
    	
 
    	
7,391
    	
 
    
	
Games/Toys
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    
	
Sports equipment
    	
 
    	
567
    	
 
    	
367
    	
 
    	
323
    	
 
    	
345
    	
 
    	
346
    	
 
    	
444
    	
 
    	
557
    	
 
    	
382
    	
 
    	
370
    	
 
    	
350
    	
 
    	
354
    	
 
    	
475
    	
 
    
	
Ready-to-wear
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    	
0
    	
 
    
	
Childcare
    	
 
    	
721
    	
 
    	
564
    	
 
    	
495
    	
 
    	
484
    	
 
    	
483
    	
 
    	
508
    	
 
    	
851
    	
 
    	
653
    	
 
    	
607
    	
 
    	
607
    	
 
    	
504
    	
 
    	
676
    	
 
    
	
Auto parts and accessories
    	
 
    	
32
    	
 
    	
34
    	
 
    	
33
    	
 
    	
33
    	
 
    	
29
    	
 
    	
36
    	
 
    	
42
    	
 
    	
32
    	
 
    	
31
    	
 
    	
29
    	
 
    	
32
    	
 
    	
48
    	
 
    

 

 

Volumes of physical stock (end of month) — Source: Cdiscount (in part)

 

	
 
    	
 
    	
Budget
   Jan
   2013
    	
 
    	
Budget
   Feb
   2013
    	
 
    	
Budget
   March
   2013
    	
 
    	
Budget
   April
   2013
    	
 
    	
Budget
   May
   2013
    	
 
    	
Budget
   June
   2013
    	
 
    	
Budget
   July
   2013
    	
 
    	
Budget
   Aug
   2013
    	
 
    	
Budget
   Sept
   2013
    	
 
    	
Budget
   Oct
   2013
    	
 
    	
Budget
   Nov
   2013
    	
 
    
	
EA1
    	
 
    	
133,457
    	
 
    	
119,858
    	
 
    	
113,761
    	
 
    	
131,249
    	
 
    	
134,639
    	
 
    	
122,762
    	
 
    	
127,467
    	
 
    	
125,857
    	
 
    	
131,263
    	
 
    	
135,897
    	
 
    	
157,629
    	
 
    

 

2.              Permanent resources allocated

 

Easydis undertakes to set up the structures and human and material organisations necessary for the receipt, preparation, and shipment of the volumes depending on the outputs defined between the two parties. Both parties must consult each other regularly in order to define the estimated volumes (receipt and shipment) depending on market evolution.

 

Easydis undertakes to inform and to exchange with Cdiscount the human and material resources implemented for providing the service.

 

Cdiscount undertakes to inform and exchange with Easydis about the receipt and shipment estimates.

 

3.              EDI Flows

 

 

 

Files: Cdiscount

Flow 1: Suppliers (creation)

Flow 2: Items (creation & modification)

Flow 3: Purchase orders

Flow 4: Picking slips (creation)

Flow 7: Modification of items

 

 

Files: EasyDis

Flow 5: Receipt movements

Flow 6: Notice of shipment

Flow 8: Stock corrections

Flow 9: Acknowledgement of receipt of cancellation of order (V2)

 

3.1.    Description of IT flows

 

Flow 1: Supplier record

Cdiscount forwards each new supplier created corresponding to the Easydis warehouse.

 

Flow 2: Items

All the items created at Cdiscount corresponding to the Easydis warehouse are forwarded to Easydis in order that it has record of the product information (dimensions, weight, height, depth, M3), suppliers, and descriptions of the items that might appear on the purchase orders or on the picking slips.

 

Flow 3: Purchase orders

Cdiscount transfers to Easydis all of the purchase orders that have been validated by the buyer and which correspond to the Easydis warehouse.

The supplier makes an appointment with Easydis to receive the goods based on these purchase orders.

 

Flow 4: Receipt of purchase orders

Easydis transfers to Cdiscount the information related to the total or partial receipt of purchase orders.

Easydis must only accept the purchase orders that have been sent to it via flow 3 and which have not been cancelled (flow 9 V2).

Easydis must enter the quantity actually received.

 

 

Flow 5: Picking slips

Cdiscount transfers to Easydis the Picking Slips exclusively containing the items in stock at the Easydis warehouse.

 

Flow 6: Shipment notices

When Easydis has finished the preparation and shipment of the Picking Slips indicated in flow 5, it forwards the corresponding shipment notices to Cdiscount.

 

Flow 7: Changes of items

Easydis sends Cdiscount additional or corrective information concerning the items, such as barcode, width, length, etc., by email. Cdiscount sends back the file of item master records corrected by EDI.

 

Flow 8: Stock corrections

When Easydis rectifies the stock of an item, a sheet with the corrections made is sent by EDI to Cdiscount in order for it to update its stock.

 

Easydis has its own IT tool for tracking stock, called Gold Stock. This tool enables electronic management of stocks moved.

 

In this way, Cdiscount is in direct contact with Easydis and benefits from feedback in real time.

 

·                  Viewing of stocks (Gold Stock)

·                  Computerised management of stock

 

3.2 Item master record

 

On a daily basis, Cdiscount sends a file with the item master records. The item master record is sent only once to GOLD STOCK, except in the case of updating the features of products.

 

Cdiscount is responsible for maintaining the item master record and, as such, must modify the features of the items should they change. However, if Easydis observes that one of the fields of the product is incorrect (barcode, name of the product, the dimensions or the name of the supplier), Easydis shall email the designated contact person in order that said person may make the update via GNX.

 

Cdiscount shall confirm the modifications made by email reply.

 

The correction of an item master record must be made within 24 hours following the request.

 

3.3 Supplier purchase order

 

Cdiscount sends Gold Stock the supplier purchase orders to be accepted (supplier order number, products and quantities, deadline for acceptance, etc.).

 

The orders are sent by Cdiscount to Easydis in EDI before making an appointment.

 

4.              Scheduling an appointment / Planning and procedures for delivery of goods

 

The details of the procedures for scheduling an appointment for delivery by the supplier and the cases of conformity or non-conformity at the time of delivery are detailed in the supplier delivery specifications.

 

Easydis undertakes to employ the necessary human and material resources according to the receiving volumes requested by Cdiscount. Cdiscount reserves the right to vary the volumes with an advance notice period of at least one week, in agreement with Easydis. If this fluctuation leads to changing the working hours, the period will be extended to two weeks.

 

 

Acceptance

 

Acceptance must occur within 24 hours following unloading.

 

In the initial inspection, the goods must be inspected

 

·                  Qualitatively: visual inspection of the goods (e.g. no moisture, no damaged parcels)

·                  Quantitatively in relation to the consignment note (inspection of the number of units in relation to the consignment note)

·                  In case of discrepancy, any reservations must be expressed in accordance with article L.13363 of the French Commercial Code

 

The goods must undergo a second inspection:

 

·                  Qualitatively: BARCODE / Reference / EC standard

·                  Quantitatively in relation to the Cdiscount purchase order and the delivery slip, check of quantities in relation to the consignment note

·                  A complaint must be filed:

 

·                  If the product does not correspond to the product ordered

·                  If the quantity on the delivery slip = physical quantity

 

·                  If the quantity on the delivery slip > quantity on the purchase order, the quantity on the purchase order will be accepted and a claim must be filed to dispute the excess quantity.

 

·                  If the quantity on the delivery slip <> physical quantity

 

·                  If greater, acceptance of the physical quantity and a claim must be filed to dispute the quantity on the delivery slip

·                  If less, acceptance of the quantity corresponding to the delivery slip and a claim must be filed to dispute the excess quantity

 

The specific operations requiring re-packing and/or re-packaging are excluded from this invoice and will be subject to an estimate before carrying out these tasks, to be sent to Cdiscount’s contact persons.

 

In the event of any discrepancy, Cdiscount’s contact persons must be informed in order to make any decision with the aim of limiting complaints.

 

Quality control committees will be organised and will meet regularly at the different entities in order to improve the supplier’s packing and deliveries.

 

5.              Supply of consumables

 

Managing consumables is the responsibility of the staff at Easydis — Andrézieux. The costs inherent to securing packages on pallets are included in the price established for the service.

 

Specific operations requiring re-packing and/or re-packaging are not included in this invoicing and shall be subject to an estimate before carrying out such tasks.

 

6.              Storage

 

At its warehouse in Andrézieux les Sources, Easydis stores products offered for sale by Cdiscount, whose weight exceeds 30 kg.

 

Staff members at Easydis accept the products, store them, prepare the orders according to the instruction sheets sent by Cdiscount and then ship the products.

 

The staff members record the entry and exit movements of the products using the company’s Gold Stock software. A record of these movements is sent via EDI to Cdiscount.

 

Depending on the quantities received, the products are stored by references, in bulk or on racks.

 

 

The products stored in bulk are bundled in compliance with the manufacturers’ rules, indicated on the packages of the products (maximum number of items bundled).

 

The products stored on racks are put on pallets beforehand.

 

Each product reference is recorded in the Gold Stock system, listing a specific “address” at the warehouse (only one reference per address; however, depending on the quantities, a reference may consist of several “addresses”).

 

The optimisation of stock, location, satellite/ principal distribution and the storage rules are defined and discussed by both parties.

 

7.              Preparation of customer purchase orders

 

Each day, Cdiscount sends electronic files containing the customer orders to be prepared.

 

If a customer order consists of several products and one of the products is missing, Easydis then ships the product in stock. Cdiscount determines whether or not to generate a new picking list for the product not shipped.

 

7.1.    Labelling

 

After sending the electronic file, Easydis prints out the shipping labels (one label per parcel). These labels indicate (see Appendix 1: example of label):

 

·                  The customer’s contact information (full name and address of the customer)

·                  Order number (Cdiscount picking list)

·                  Gold Stock pre-assigned lot number

 

The physical picking of the parcels is done according to the instructions provided on the shipping labels or orally, depending on how Easydis organises the warehouse. Easydis will affix the labels onto the parcels.

 

7.2.    Cancellation of a customer purchase order

 

A customer order can be cancelled for a variety of reasons:

 

·                  Cancellation due to personal convenience

·                  Wait time too long due to partially, generally or temporarily running out of stock

 

Cancellation of a customer purchase order automatically results in cancellation of the sale between the customer and Cdiscount.

 

Easydis will receive a list of the cancelled orders from Cdiscount’s customer service department and therefore those orders will not be prepared.

 

In response, Easydis will acknowledge receipt of the request and validate the cancellation of the order.

 

Cancelling an order is only possible prior to preparation. If a product is already in the process of being prepared, the order cannot be cancelled.

 

A specific procedure will be set up in order to handle cancellations following a call made to the call centre to schedule an appointment via “C’est Chez Vous”.

 

 

7.3.    Shipment of the order

 

The products identified using preparation labels are grouped by SI GOLD on pallets at destination points for pick-ups and/or deliveries. These pallets are secured using a safety band (sellotape) and film wrap when necessary.

 

The pallets must not exceed 2 metres in height, except in the case of individual products having larger dimensions.

 

Easydis undertakes to limit the remaining products at the platform and to provide the items to Cdiscount when it has them. The rules for grouping orders on the same support or load are defined by Cdiscount in accordance with the delivery points.

 

8.              Management of stock

 

8.1.    Inventory

 

Easydis then conducts a physical inventory of the products present at the HUB by carrying out two physical cross-checks for each reference.

 

Cdiscount will then replenish its stock according to the discrepancies observed.

 

Easydis undertakes to perform regular inspections of stock at its own initiative or at the request of Cdiscount. In doing so, the objective is to carry out an inventory of all of the stock at least once every two months.

 

Stock corrections

 

Cdiscount may consult the stock corrections performed by Easydis by consulting the status of the stock corrections in Gold Stock or by consulting the file of stock corrections made available to Cdiscount everyday via EDI.

 

8.2.    Damaged items

 

Once the goods are accepted without any reported anomaly, all of the damaged items (e.g. due to breakage, loss, theft, missing items) observed at the Andrézieux les Sources site will be listed in order for Cdiscount to take them into account.

 

Easydis shall make the corresponding updates of stock, and begin monitoring these anomalies.

 

A percentage of breakage depending on the PUMP turnover and the number of items shipped will be monitored on a weekly basis in order for both parties to be able to implement actions to enable reducing breakage to a minimum; an objective will be established jointly by the parties as soon as possible.

 

A percentage of adjustment depending on the PUMP turnover and the number of items shipped will be monitored on a weekly basis in order for both of these parties to be able to implement actions to enable reducing the percentage of adjustment to a minimum; an objective will be established jointly by the parties as soon as possible.

 

A level of quality (BOA: error in references, in % of the turnover) net (including the analyses) will be monitored on a weekly basis in order for both of these parties to be able to implement actions so as to reduce the level of quality to a minimum; an objective will be established jointly by the parties as soon as possible.

 

 

9.              Management of returns

 

9.1.    Identification of return flows

 

Parcels returned from the meeting points or the departure points are identified using a listing (CCV: Excel file, Launched: via Nodisoft).

 

A product will be considered as damaged if the product and/or its packaging have been ruined. Damaged and undamaged products can be received in the same vehicles provided that they have been sorted beforehand and placed on different supports.

 

Non-damaged goods are reintegrated into the stock at the Easydis warehouse.

 

9.2.    Acceptance of return flows (non-damaged goods)

 

On receipt, returned products will be subject to an inspection of their quantity and condition. Non-damaged goods will be reintegrated into the stock at the warehouse.

 

9.3.    Acceptance of return flows (damaged goods)

 

The damaged products will be subject to a quantitative inspection on receipt, but will not be included in the stock electronically. They will be stored in a specially reserved area until their scheduled shipment to the Cdiscount platform.

 

9.4.    Transfer of damaged items

 

Damaged items will be systematically shipped to the Cdiscount site.

 

The procedure for handling returns will be reviewed and will be subject to its own specifications, which will be drafted in an addendum to this agreement in order to limit financial losses and expedite the flow of returns both for Cdiscount and the Andrézieux site and service providers.

 

10.       Operational data to be sent

 

The parties agree to establish daily indicators in order to monitor the activity and give themselves until the end of March 2013 in order to establish the format and content.

 

 

Appendices

 

Appendix 1: Example of parcel label

Appendix 2: Standard inventory type file

 

 

APPENDIX 1

 

	
 
    	
CDT ANDREZIEUX CDIS
    
	
 
    	
Order No. 1102281112LV4N8
    
	
 
    	
Ref: 006339 Picking Slip No. 10822637
    
	
 
    	
CEFMB410FSA — CONTINENTAL EDISON FM
    
	
 
    	
 
    
	
 
    	
Date of   Appointment Truck
    
	
 
    	
 
    
	
 
    	
Cdiscount   PICK-UP POINT
    
	
 
    	
FAUCONIER SYLVIE
    
	
 
    	
ZAC DU FERRIER   ALLEE DES BLEUETS
    
	
 
    	
60440 NANTEUIL   LE HAUDOUIN
    
	
 
    	
 
    
	
 
    	
CD031   [barcode] EMP
    
	
 
    	
 
    
	
 
    	
Picking Slip No. 10822637
    
	
 
    	
Lot No.: 886096 Parcel No.: 1082253770101
    
	
 
    	
 
    
	
 
    	
01-H-53-406
    
	
 
    	
CEFMB410FSA — CONTINENTAL EDISON FM
    
	
 
    	
 
    
	
 
    	
Parcel No.: [barcode]
    
	
 
    	
 1082253770101
    
	
 
    	
 
    
	
 
    	
Ref:   006339
    
	
 
    	
CEFMB410FSA   — CONTINENTAL EDISON FM
    
	
 
    	
FAUCONIER   SYLVIE
    

 

 

APPENDIX 2

 

	
CASINO CODE
    	
 
    	
DESCRIPTION
    	
 
    	
QUANTITY (consumer
   sales unit)
    
	
000100
    	
 
    	
ARTMARTAOC45440W   — AMARTIN AOC 4544
    	
 
    	
37
    
	
000101
    	
 
    	
LADENAM144 —   LADEN AM144
    	
 
    	
20
    
	
000102
    	
 
    	
ELECASI63010W   — ELECTROLUX ASI63010
    	
 
    	
1
    
	
000103
    	
 
    	
WHIRLAWOD1366   — WHIRPOOL AWO/D 136
    	
 
    	
8
    
	
000105
    	
 
    	
FAUREFTA103 —   FAURE FTA 103 — SECHE [DRY]
    	
 
    	
45
    
	
000106
    	
 
    	
BOSCHSGI57M86EU   — BOSCH SG157M86EU
    	
 
    	
6
    
	
000107
    	
 
    	
PHIL_42PFL5603H   — PHILIPS 42PFL5603
    	
 
    	
204
    
	
000108
    	
 
    	
BOSCHSG157M82EU   — BOSCH SGI57M82EU
    	
 
    	
8
    
	
000109
    	
 
    	
WHIRLPADG8533IX   — WHIRPOOL ADG8533
    	
 
    	
2
    
	
000110
    	
 
    	
ELECASI63010X   — ELECTROLUX ASI63010
    	
 
    	
3
    
	
000111
    	
 
    	
WHIRLAFG6212B   — WHIRLPOOL AFG6212B
    	
 
    	
52
    
	
000112
    	
 
    	
ELECEKP90310X   — ELECTROLUX EKP90310
    	
 
    	
1
    
	
000113
    	
 
    	
FAUREFDF105 —   FAURE FDF 105
    	
 
    	
3
    
	
000114
    	
 
    	
LADEN5295SI —   LADEN 5295SI
    	
 
    	
36
    
	
000115
    	
 
    	
WHIRLPAWE10727   — WHIRLPOOL AWE 1072
    	
 
    	
0
    
	
000116
    	
 
    	
WHIRLAKZ229IX   — WHIRLPOOL AKZ 229 I
    	
 
    	
171
    
	
000117
    	
 
    	
FAUREFTE233 —   FAURE FTE233 SÈCHE LI
    	
 
    	
55
    
	
000119
    	
 
    	
WHIRLPOOLAWZ3302   — WHIRLPOOL AW3302
    	
 
    	
5
    
	
000120
    	
 
    	
PHIL_42PFL3522D   — PHILIPS 42PFL3522
    	
 
    	
502
    
	
000121
    	
 
    	
WHIRLFRSS2VD3J   — WHIRLPOOL FRSS2VD3
    	
 
    	
68
    
	
000123
    	
 
    	
WHIRLAWOD10814   — WHIRLPOOL AWOD1081
    	
 
    	
34
    
	
000124
    	
 
    	
WHIRLAKZ229WH   — WHIRLPOOL AKZ 229 W
    	
 
    	
29
    
	
000125
    	
 
    	
WHIRLPOOLAWE7777   — WHIRLPOOL AWE7777
    	
 
    	
2
    

 

 

APPENDIX 1 BIS

 

SPECIFICATIONS

 

SUPPLIER DELIVERIES

 

Products weighing more than 30 kg and/or with a length of more than 2 metres

 

1

 

 

	
Cdiscount.com
    	
 
    	
Easydis
    
	
 
    	
 
    	
Your logistics partner
    

 

TABLE OF CONTENTS

 

	
1.
    	
PREAMBLE
    	
3
    
	
 
    	
 
    	
 
    
	
2.
    	
SCHEDULING   AN APPOINTMENT
    	
3
    
	
 
    	
 
    	
 
    
	
3.
    	
DELIVERY   SLIP
    	
5
    
	
 
    	
 
    	
 
    
	
4.
    	
TYPES   OF DELIVERY
    	
6
    
	
 
    	
 
    
	
4.1. Palletised delivery
    	
6
    
	
 
    	
 
    
	
4.2. Bulk delivery
    	
7
    
	
 
    	
 
    
	
5. PACKING OF PARCELS
    	
8
    
	
 
    	
 
    
	
6. IDENTIFICATION OF THE   PARCELS
    	
9
    
	
 
    	
 
    
	
7. QUANTITIES ORDERED
    	
9
    
	
 
    	
 
    
	
8. NON-CONFORMITIES ON RECEIPT
    	
9
    

 

2

 

1.              PREAMBLE

 

The measures established enable better coordination between suppliers / freight forwarders and warehouse and optimisation of the delivery, receipt and storage operations.

 

The purpose of these specifications is to lay out the rules and mode of operation for the delivery of Home/ Leisure/ Multimedia products.

 

Depending on the type of product, the supplier may be required to deliver to several logistics sites, including transit sites whose addresses will be provided at the time of making the appointment and/or are found on the purchase order. It is essential to respect the delivery address for these products. Where required, Easydis reserves the right to reroute a truck at the time of its appointment.

 

The supplier must deliver the order on the date requested and in compliance with these specifications. The freight forwarder must show up on the scheduled date and time of the appointment with the documents corresponding to the delivery and the purchase order number on hand.

 

Upon arrival at the delivery sites, the driver in charge of the delivery is required to sign the safety protocol that will be presented to him. He must also wear personal protection equipment (safety boots and fluorescent vest). Any non-compliance may result in the entire truck being rejected.

 

Parking on the premises of the warehouse is prohibited between 21:00 and 05:00. The freight forwarder must take the necessary measures to comply with this rule. The warehouse is also closed between Friday 21:00 and Monday 05:00.

 

All of the logistics documents (e.g. delivery slip, bill of transport) must be written in French. However, documents written in English may also be accepted.

 

Considering the value of the goods, the supplier undertakes to exercise (or have its freight forwarder exercise) all necessary precautions to ensure the security of the method of transport.

 

The goods must have already cleared customs before arriving at the warehouse (except for EMC cases)

 

2.              SCHEDULING AN APPOINTMENT

 

The receiving hours at the warehouse are from Monday to Friday, from 06:00 to 16:30.

 

However, depending on the type of merchandise delivered, it may not be possible to schedule pick-ups in the afternoon. This information will be provided when making an appointment.

 

The supplier must deliver the order on the date requested, in accordance with the Cdiscount Supply Terms and Conditions and in compliance with these specifications.

 

3

 

The supplier (or its freight forwarder) is required to schedule an appointment prior to any delivery. Deliveries made without an appointment will be rejected. The contact information for scheduling an appointment is provided below. Requests to schedule an appointment must be made by email.

 

Easydis les Sources

ZAC de l’Orme

P.O. Box 20077

42162 Andrézieux Bouthéon

Email: jzambelli@groupe-casino.fr

 

The appointment must be requested as soon as possible and no later than 15 days before the delivery date mentioned on the purchase order. The appointment will then be set according to the availability on the schedule concerned.

 

Notification of any change in appointment or impossibility of making a delivery must be given at least 48 hours in advance to the email address indicated for scheduling appointments (except for an incident/ traffic accident, which will be treated on a case-by-case basis).

 

A truck must be assigned to a single order; that is, an order must not be delivered on several trucks. In the case of an anomaly, it is necessary to contact Cdiscount’s supplier to make any changes.

 

The following information is mandatory for scheduling an appointment:

 

·                  The supplier’s or the freight forwarder’s contact information (telephone, fax, email)

·                  All of the order numbers to be delivered

·                  The type of delivery (palletised, bulk)

·                  The container number, if known

·                  The total number of pallets actually delivered (stacked or on the ground) or parcels for bulk deliveries

·                  The date stipulated on the order (provided by the supplier) and desired delivery date

·                  The type and reference number of the products (enabling these products to be routed)

·                  Any possible comments (e.g. palletisation 100x120, catalogue)

 

The appointment given will never be prior to the delivery date requested by the supply house, unless specifically requested by the latter.

 

In several purchase orders are delivered for which only some have an appointment scheduled:

 

·                  Purchase orders without an appointment will be rejected.

·                  Failure to distinguish between purchase orders with an appointment and those without an appointment will result in the entire order being rejected.

 

Beyond one hour of delay, the delivery will be accepted or rejected according to the availability at the warehouse. Whatever the problem, the supplier must warn the supply house.

 

In the event of delays, the supplier may be subject to penalties beyond any commercial negotiation in accordance with the CDiscount Supply Chain Conditions.

 

4

 

3.              DELIVERY SLIP

 

All deliveries must be accompanied by one or more Delivery Slips corresponding to the goods delivered.

 

Any purchase order delivered without a delivery slip or with other documents (i.e. packing list) will be rejected.

 

·                  A Delivery Slip is not a Shipping Voucher, nor an invoice or a purchase order. Submitting a purchase order instead of a Delivery Slip is prohibited.

·                  Any order delivered with a Delivery Slip having been subject to handwritten changes shall be rejected or be subject to Reservations.

·                  In accordance with the laws in force, the goods must also be accompanied by a consignment note.

·                  During the delivery, before opening the trailer/container, the driver must present to the guard station the Delivery Slips as well as the consignment note. The Delivery Note must not be affixed to a pallet or inserted in a parcel. The supplier shall, however, provide the documents to the Cdiscount suppliers, should they be requested.

·                  Special case of containers: In order to avoid any difficulties on receipt, in the case of containers, it is preferable to put a photocopy of the Delivery Slip on the first parcel (on the doors) of the container.

 

A single reference must be delivered in the same manner on all sites and in accordance with the master item record provided beforehand by the purchaser.

 

If a vehicle shows up without a delivery slip, it must wait at the parking lot PL for an unspecified amount of time until the documents are received either by email or fax. Consequently, it will not be able to be unloaded and will have to schedule another appointment.

 

The following information must be indicated on the Delivery Slip:

 

·                  Cdiscount internal order number

·                  Name and address of the supplier

·                  Supplier and/or Cdiscount internal item reference numbers (SKU)

·                  Quantities ordered and delivered per reference

·                  Barcode of the reference

·                  Number of handling units (number of pallets and/or parcels)

 

The information supplied to Cdiscount on the databases for referencing of items must be rigorously respected. Any discrepancies observed between information submitted and delivery may result in rejection of goods or in the supplier being re-invoiced for a service.

 

In the case of a palletised reception:

 

The information to be provided is as follows:

 

·                  Supplier parcel with EAN code (1 reference = 1 unique EAN code)

·                  Number of layers

 

5

 

·                  Number of parcels or items on a pallet

·                  Dimensions of the parcels

·                  Weight

 

In the case of a bulk reception:

 

The information to be provided is as follows:

 

·                  Supplier parcel with EAN code (1 reference = 1 unique EAN code)

·                  Number of layers in the container

·                  Dimensions of the parcels

·                  Weight

 

See the following example of a Delivery Slip:

 

	
 
    	
 
    	
Delivery Slip
    	
 
    	
 
    
	
Supplier Name
    	
 
    	
Cdiscount
    	
 
    	
 
    
	
Supplier   address
    	
 
    	
Delivery address
    	
 
    	
 
    
	
 
    	
 
    	
Cdiscount order no.
    	
 
    	
 
    
	
Total pallets   delivered:
    	
 
    	
 
    	
 
    	
 
    
	
Total parcels   delivered:
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Item code 1 —   Description item 1
    	
 
    	
Qty   delivered/ Qty ordered
    	
 
    	
Parcel No./   Pallet No.
    
	
Item barcode   1
    	
 
    	
 
    	
 
    	
 
    
	
NO. per outer
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Item code 2 —   Description item 2
    	
 
    	
Qty   delivered/ Qty ordered
    	
 
    	
Parcel No./   Pallet No.
    
	
Item barcode   2
    	
 
    	
 
    	
 
    	
 
    
	
NO. per outer
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Item code 3 —   Description item 3
    	
 
    	
Qty   delivered/ Qty ordered
    	
 
    	
Parcel No./   Pallet No.
    
	
Barcode   article 3
    	
 
    	
 
    	
 
    	
 
    
	
NO. per outer
    	
 
    	
 
    	
 
    	
 
    

 

4.              TYPES OF DELIVERY

 

4.1.    Palletised Delivery

 

The pallet must not be broken, and must be tightly wrapped in film (including goods and mount) in order to guarantee the stability of the products when the film is removed. It must also be wrapped with a safety band in order to ensure the integrity of the goods delivered.

 

Pallet characteristics:

 

·                  Must be at European standards 80x120 (EUR, CHEP, etc.), insofar as it is possible: any request for different palletisation (100x120, plastic, without value, etc.) is subject to prior approval by the Department for Coordinating Flows.

 

6

 

·                  Must be adapted to the product in terms of size (The products should not be able to be damaged if they extend excessively beyond the wooden support).

·                  Must not exceed 1.80 m, including the mount:

·                  Any delivery of pallets between 1.80 m and 2.40 m will be subject to rejection or, in the case of approval by Easydis, an estimate for repalletisation at the supplier’s expense 

·                  Deliveries on pallets larger than 2.40 m will be systematically rejected.

·                  Must be fireproof.

 

The following information must be indicated on the pallets:

 

·                  Address of the warehouse

·                  Name of the supplier

·                  Corresponding Cdiscount purchase order number

·                  Progressive pallets

 

The pallets must be hold a single reference when the volumetry so allows. Using multiple references is allowed only if:

 

·                  The references are grouped together on the same pallet

·                  A same reference is not found duplicated on several supports

 

Non-conformities in the palletisation may result in the goods being rejected or in the supplier being re-invoiced for a service.

 

Palletised deliveries of parcels presenting sub-parcels A + B must have been processed in order that A and B are bound together (e.g. sellotape, film, strap). If that is not the case, the loading will be similar to a bulk delivery and may be rejected.

 

4.2 Bulk Deliveries

 

Rules for filling bulk containers and trucks:

 

·                  Load reference by reference; do not mix the parcels.

·                  Leave space between the last layer and the roof in order to be able to grab the parcels (At least 10 cm).

·                  Respect the pictogram of the parcels.

·                  Do not load flat parcels on the ground in order to prevent such parcels from bursting open.

·                  Even out the loading.

·                  Bind the goods down if the load is not full.

·                  Cushion the end of the container to prevent objects from falling when opening the container.

·                  No trailers covered with a tarpaulin to guarantee complete parcels

·                  Make sure the container air holes are not blocked.

·                  Bind large and heavy products down in order to avoid any risk of accidents when opening the doors of the container or of the truck during unloading, in the case of a full container.

 

GEM tv deliveries > 51 cm

 

It is essential to follow the loading plan:

 

·                  The goods must be loaded by reference.

 

7

 

·                  A useable space of 5 cm must be left on each side in order to enable the vehicle to be unloaded from the back and by “clamp”. This margin must be secured by detachable cushioning devices (air-bag in non-excessive quantities).

·                  Respect the direction of the pictograms of the parcels.

·                  Delivering layered parcels is prohibited.

·                  If necessary, the parcels must be tied up.

·                  Respect the direction of the clamping (the product must be able to be clamped by accessing the back doors of the truck).

 

GEM/ TV products must not be delivered in a gooseneck truck (with a taller platform than the cabin of the truck) because unloading with a pincher carriage is impossible.

 

In the case of a bulk container or truck with a multi-parcel reference, the loading must be carried out in order that it is possible to put all of A+B back together immediately. Consequently, the loading must alternate the products A and B, or even C.

 

E.g.: parcel A to the right and parcel B to the left

 

The truck must be tall enough to be able to fit on the platform (without a machine or wedges) and in such a way that unloading is possible with the classic handling frontal type pincher carriage equipment for the household appliances (condition of the bed of the truck).

 

The loading plan must respect unloading constraints: heavy parcels must be placed at the front of the trailer and light parcels at the back in order to avoid instability, thus making it difficult or impossible to unload.

 

If a packing band is used, it is essential to use a plastic one and not a metal one (to avoid the risk of injury).

 

5.              PACKING OF PARCELS

 

The packing of parcels must ensure that the product is not damaged until delivery to the end client by withstanding the necessary handling during logistics and transport.

 

It is essential that the packing and dimensions be identical to those indicated on the Cdiscount product sheet.

 

The parcels must be intact (not wet or torn, etc.).

 

The packing must be arranged so that the goods are maintained correctly.

 

The packing must be adapted to the weight and size of the product in order to be make it possible to follow the pictogram and the manufacturer’s recommendations, allowing reloading during freight forwarding, storage and handling until delivery to the end customer.

 

For the household appliances the wooden battens that strengthen the package must not exceed the length of the product (polystyrene).

 

8

 

The parcels must be securely closed. The packaging of the same product must be identical throughout the life of the product.

 

The following logo must appear on the packages of the products received.

 

FURNITURE DELIVERIES (e.g. sofas, armchairs, living room furniture, outdoor furniture)

 

Each item must be protected by a cover before being placed in a double ribbed box with film wrap. A protection must be added to the backdrop in order to avoid rips or tears and to protect fragile products.

 

6.              IDENTIFICATION OF THE PARCELS

 

Each parcel must be identified by a parcel label.

 

The following information must be indicated:

 

·                  Logistics EAN in ITF form (DUN 14) or EAN 13

·                  The colour and/or vat number must be mentioned on the parcel

·                  Product labelling

·                  Weight

·                  Progressive (Parcels 1/2, 2/2... for multi-parcel references)

·                  Storage and/or handling pictogram (Unless directly present on the packaging)

 

The size of the label must be large enough to ensure the information is readable.

 

The parcel label must be affixed on one of the sides of each box or display in such a way that it is visible from outside of the pallet.

 

7.              QUANTITIES ORDERED

 

The supplier undertakes to deliver the quantities ordered in accordance with the order (in terms of quantity and reference) in one delivery, on the confirmed date of the appointment and in one truck, if possible.

 

If any item is missing, it will inform the supply house as soon as possible.

 

The deliveries of remaining amounts will be left up to the supply house and will require another appointment to be scheduled.

 

No excess quantity or product substitution will be accepted unless agreed to by the Cdiscount supply house.

 

8.              NON-CONFORMITIES ON RECEIPT

 

Any non-conformity on receipt in general will cause a delay and may create a disturbance at the supplier’s expense, or may lead to the goods being taken back.

 

Whatever the risk, the supplier must warn the supply house.

 

9

 

Cases of non-conformity are as follows:

 

·                  No. per outer not respected

·                  Switching of item

·                  Replacement item at the supplier’s initiative

·                  Incomplete parcel (or empty)

·                  Error on the label

·                  Colouring

·                  Composition of the no. per outer

·                  Non-compliance with the logistical data

·                  EAN not compliant with that expected

·                  Non-compliant, insufficient or non-existent packaging

·                  Technical files

·                  Damaged, soiled, ripped, broken or wet product

·                  Unsuitable or damaged load carrier

·                  Lack of support on a palletised delivery

·                  Pallet too high or unstable

·                  Impossible to unload with a clamp device

·                  Margins (on the side and between the roof and the product) non-existent

·                  Impossible to remove bulk parcels (Overfilling the container, moisture having made the parcels swell)

·                  Etc.

 

Non-compliant goods will be subject to:

 

·                  either the goods being immediately taken back

·                  or repair invoiced to the suppliers (incurring expenses, repair work)

 

The warehouse reserves the right to reject:

 

·                  Goods damaged during transport (e.g. load having moved during transport, victim of theft)

·                  Pallets without a safety band (or with a defective safety band)

 

10

 

APPENDIX 2

 

PRICING

 

1

 

Both the variable and fixed invoices for the service for Cdiscount will be calculated according to the actual corresponding costs and according to the method of breaking down the expenses as defined below.

 

The invoices will be issued each month M+1 for the month M.

 

	
 
    	
 
    	
DESCRIPTION
    	
 
    	
INVOICING METHOD
    
	
WAGES AND   EXPENSES
    	
 
    	
Wages and   expenses of permanent staff
    	
 
    	
Hours worked
    
	
VOCATIONAL   TRAINING
    	
 
    	
 
    	
 
    	
Real (in auto with the Wages & Expenses)
    
	
EXTERNAL   STAFF
    	
 
    	
Temporary   staff
    	
 
    	
Hours worked
    
	
PROFITSHARING   AND SHAREHOLDING
    	
 
    	
 
    	
 
    	
Real (in auto with the Wages & Expenses)
    
	
RELATED COSTS
    	
 
    	
Group   catering, clothing, occupational doctor
    	
 
    	
Ratio of hours worked Cdiscount Activity / Total hours worked   Andrézieux
    
	
EMPLOYEE   COSTS
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
TAXES AND   FEES
    	
 
    	
 
    	
 
    	
Portion of the areas occupied (1)
    
	
RENT
    	
 
    	
Gross rent   paid for the site
    	
 
    	
€38 per year / m2 occupied (2)
    
	
RENTAL FEES
    	
 
    	
 
    	
 
    	
Portion of the areas occupied
    
	
OCCUPANCY   COSTS
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
FIXED   PLATFORM SERVICE
    	
 
    	
Payment of   service provider invoice
    	
 
    	
Real
    
	
VARIABLE   PLATFORM SERVICE
    	
 
    	
Payment of   service provider invoice
    	
 
    	
Real
    
	
PLATFORM SERVICE
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
UTILITY   EQUIPMENT RENTAL
    	
 
    	
Maintenance   cart
    	
 
    	
Real
    
	
MISCELLANEOUS   EQUIPMENT RENTAL
    	
 
    	
Rental of   mobile racks
    	
 
    	
Real
    
	
AMORTIZATION   OF EQUIPMENT
    	
 
    	
 
    	
 
    	
Real
    
	
PURCHASE OF   SMALL EQUIPMENT AND SUPPLIES
    	
 
    	
 
    	
 
    	
Portion of the areas occupied
    
	
UPKEEP OF   MAINTENANCE EQUIPMENT
    	
 
    	
 
    	
 
    	
Portion of the areas occupied
    
	
AGREEMENTS   FOR MAINTENANCE OF CARTS
    	
 
    	
 
    	
 
    	
Real
    
	
COST   OF EQUIPMENT
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
CLEANING
    	
 
    	
Cleaning of   the site
    	
 
    	
Portion of the areas occupied
    
	
SURVEILLANCE   AND SECURITY
    	
 
    	
Prosegur
    	
 
    	
Portion of the areas occupied
    
	
OTHER   EXTERNAL SERVICES
    	
 
    	
Maintenance   of green spaces, snow-clearing
    	
 
    	
Portion of the areas occupied
    
	
EXTERNAL   STAFF
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
UTILITIES
    	
 
    	
Water, gas,   electricity
    	
 
    	
[50% x portion of the areas occupied + 50% x portion of the total   hours worked Andrézieux] X total cost (utilities)
    
	
MISCELLANEOUS   SUPPLIES
    	
 
    	
 
    	
 
    	
 
    
	
Miscellaneous   supplies
    	
 
    	
Small tools
    	
 
    	
Portion of the areas occupied
    
	
Office   supplies
    	
 
    	
Office   equipment
    	
 
    	
Ratio of hours worked Cdiscount Activity / Total hours worked   Andrézieux
    
	
Labelling   supplies
    	
 
    	
Exploitation   labels
    	
 
    	
Portion of the areas occupied
    
	
Packaging   supplies
    	
 
    	
Sellotape   Cdiscount
    	
 
    	
Real
    
	
POST OFFICE   AND TELECOMMUNICATIONS SERVICE
    	
 
    	
Franking,   telephone service
    	
 
    	
Ratio of hours worked Cdiscount Activity / Total hours worked   Andrézieux
    
	
MISCELLANEOUS   TRANSPORT
    	
 
    	
 
    	
 
    	
Real
    
	
TRAVEL COSTS
    	
 
    	
 
    	
 
    	
Real
    
	
IT
    	
 
    	
 
    	
 
    	
Ratio of hours worked Cdiscount Activity / Total hours worked   Andrézieux
    
	
OTHER   EXPENSES
    	
 
    	
 
    	
 
    	
Ratio of hours worked Cdiscount Activity / 
    

 

2

 

	
 
    	
 
    	
 
    	
 
    	
Total hours worked Andrézieux
    
	
OPERATING   COSTS
    	
 
    	
 
    	
 
    	
 
    

 

(1) Breakdown of the surface area of the Andrézieux site. Sources: 70,202m2 of total area, of which 2,576m2 is office space and 1,386m2 is for technical facilities.

Dry storage thus represents 66,240 m2.

E.g. calculation of Qp in January 2013: (Area of dry storage occupied by Cdiscount) / (Total dry storage area) = 46,000m2 / 66,240m2 = 69.4%

This ratio is subject to fluctuate each month according to the area occupied by Cdiscount.

(2) The m2 occupied by Cdiscount are calculated as follows:

= [Area of dry storage occupied by Cdiscount] + Portion [Dry storage occupied by Cdiscount] X [Technical facilities]

E.g. in January 2013: 46,000 m2 + 69.4% X 1,386m2 = 46,962m2

The gross rent paid per m2 thus amounts to €38 for the year 2013. This amount will be indexed on the following years. The offices occupied by Cdiscount will be subject to invoicing in addition to the real amount.

 

[Initials]

 

As concerns invoicing, Easydis undertakes to provide the breakdown to Cdiscount in order to conduct a control (i.e. number of hours, invoice).

 

However, if certain expenses do not fall within the framework defined in the table above, the parties agree to meet to approach each other in order to reach mutual agreement on a rule for sharing expenses.

 

Any investment request or requirement must be validated by mutual agreement between EASYDIS and Cdiscount and will be subject to invoicing at the real amount.

 

3Exhibit 10.4

 

AMENDMENT TO THE LOGISTICS

 

SERVICE AGREEMENT FOR P30 PRODUCTS

 

TERM

 

BETWEEN THE UNDERSIGNED

 

EASYDIS, a French simplified joint-stock company [Société par Actions Simplifiée] whose registered address is located at 1 Esplanade de France, 42000 SAINT ETIENNE, registered with the Trade and Companies Register of SAINT ETIENNE under the number 383 123 874,

 

Duly represented herein by its General Manager, Julie BADICHE

 

PARTY OF THE FIRST PART

 

AND

 

CDISCOUNT, a French public limited company [Société Anonyme] whose registered address is located at 120-126 Quai de Bacalan, 33000 BORDEAUX, registered with the Trade and Companies Register of BORDEAUX under the number 424 059 822,

 

Duly represented herein by its Supply Chain Manager, Pierre-Yves ESCARPIT

 

PARTY OF THE SECOND PART

 

1

 

Logistics Service Agreement

EASYDIS / C DISCOUNT

 

PREAMBLE

 

The Parties entered into a logistics service agreement on 24 January 2013 (hereinafter the “Agreement”) and a contract amendment on 16 May 2014, extending the services to freight forwarding services.

 

The Parties hereby intend to amend certain terms of the Agreement according to the terms set out below.

 

ARTICLE 1

 

This Agreement took effect on 1st January 2013 for a period of six (6) years.

 

The Parties have decided to extend its term for a period of six (6) years as of 1st June 2014.

 

This Agreement will be tacitly renewable for successive periods of the same duration.

 

Easydis will have the option to terminate this Agreement at the end of each six-year period by providing two (2) years’ advance notice sent by registered letter with acknowledgement of receipt.

 

Cdiscount will have the option to terminate this Agreement at the end of every two-year period by providing two (2) years’ advance notice sent by registered letter with acknowledgement of receipt.

 

ARTICLE 2

 

These amendments shall take effect as of 1st June 2014.

 

*

* *

 

All the other provisions of the Agreement shall remain unchanged and fully enforceable.

 

Signed in Bordeaux, on 16 May 2014

 

	
On behalf of Cdiscount
    	
On behalf of Easydis
    
	
[handwritten endorsement:
    	
[handwritten endorsement:
    
	
“read and   approved”]
    	
“read and   approved”]
    
	
 
    	
 
    
	
[Signature]
    	
[Signature]
    

 

2

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