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SUMMER 2022 | VOLUME 2

DFA’S FRONTLINE WORKERS BRING COOPERATIVE-WIDE VALUE

04 COOPERATIVE

BRAND TALK

LEARNING AND DEVELOPMENT

DFA 101: OUR SOCIAL RESPONSIBILITY REPORT

PLUGRÁ RELEASES SPREADABLE BUTTER WITH SEA SALT, OLIVE OIL

PERSONAL AND PROFESSIONAL GROWTH FOR ALL EMPLOYEES WITH DAIRYU

A look at a new product category produced by our premium butter brand.

Grow your skills with DFA’s Performance and Development Portal: DairyU.

How we showcase DFA’s commitment to take care of our planet, our land, our communities, our family farmowners and our employees.

PLANTS

DFA’S FRONTLINE WORKERS BRING COOPERATIVE-WIDE VALUE Out of DFA’s approximately 18,000 employees, nearly 13,500 work on the front line in essential occupations in DFA’s plants, labs and on the road. Frontline employees include drivers, forklift operators, laboratory technicians, pasteurizers and many more. These employees work long, sometimes unpredictable hours. They make up an important part of our DFA community, and the work they do touches families everywhere. For Jessica Kolek, lead laboratory technician at Eastern Laboratory Services in Medina, Ohio, this means working very early mornings, holidays and weekends to test milk samples for safety and quality. Jessica has a background in chemistry, and she applies her knowledge daily in the quality lab by testing milk for plate counts and antibiotic testing. “We’re all working for our farmers,” Jessica says. “That raw milk sample that we’re testing off of a truck impacts someone’s livelihood, and we know that. We take a lot of care to follow the proper procedures in order to ensure that we can get the best and most accurate results throughout the entire day. We all want to put out safe, high-quality milk and dairy products.”

for Reiter, too. I feel a strong responsibility as a driver to keep up Reiter and DFA’s good image that we’ve cultivated over the years.” Once milk is picked up and delivered to a plant by a driver, it’s in the hands of plant employees to safely turn it into the dairy products we all know and recognize. Edgar Reyes, plant maintenance mechanic for the Alta Dena® Dairy North plant in City of Industry, Calif., oversees all maintenance to machines on the plant’s floor, and he ensures equipment continues to run smoothly, so there aren’t gaps in the production process. The plant produces buttermilk, cream, fluid milk and ice cream mix. “I’m proud to work for DFA,” Edgar says. “We’ve built a great team of maintenance mechanics, and we feel very supported by our co-workers and managers.” Frontline employees work around the clock to deliver value to our Cooperative and provide families everywhere with nutritious dairy products — whether it’s a gallon of milk in your fridge or a family overseas using whole milk powder, these hardworking employees make it all possible.

Milk’s journey to a quality testing lab begins on a tanker truck, which is operated by a DFA employee licensed to load and drive it. Often, these drivers work long hours to make sure our family farm-owners’ milk is being picked up and dropped off on time. Drivers also ensure finished products from the plant get to their final destination — whether that be a store or a school, and Steve Aills, a route driver for Reiter™ Dairy in Springfield, Ohio, one of DFA’s regional brands, is no exception. Steve, who has a 29-year tenure, says he takes pride in driving for DFA and representing our Cooperative on the road.

“Plant employees deliver value to DFA in many ways,” says Kathleen Clark, plant manager of our Friendly’s® plant in Wilbraham, Mass. “Our team members are dedicated and passionate about the quality of our products and everyone’s safety. Several team members here have over 20 years of experience and service. This knowledge and dedication bring value, especially with the mindset of going above and beyond in all areas. These

“I’ve always enjoyed driving,” Steve says. “I like interacting with the people I meet, and I’m proud to work in the dairy industry. A lot of my ancestors were dairy farmers, and my father worked

to work in the dairy industry. A lot of my ancestors were

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I like interacting with the people I meet, and I’m proud

dairy farmers, and my father worked for Reiter, too.

employees share and train their knowledge so everyone can work safely and produce top-quality products. As a team, we are active in local charitable organizations that help support the area. We have pride in who we are, what we produce and how we can participate in the community.” It takes all DFA’s employees to make daily operations happen, and frontline workers are no exception. Whether working in an office, in a plant or on a farm, the work DFA employees do every day touches families everywhere. “I am extremely proud of all of DFA’s employees,” says Dennis Rodenbaugh, president and chief executive officer. “Our frontline workers show tremendous dedication day in and day out, working to make sure milk is properly and safely processed and delivered as the most nutritional, highest quality product for our customers and consumers. Our plants work every day to fulfill DFA’s core values of integrity, passion, quality and community, and that is a major part of what makes DFA a successful cooperative.”

COOPERATIVE

WITH THE FUTURE IN MIND, PREP BEGINS ON DFA’S REFRESHED STRATEGIC PLAN As DFA’s new president and chief executive officer, effective July 1, Dennis Rodenbaugh is optimistic for the future of the Cooperative and recognizes the need for DFA to continually evolve. “The world has changed significantly over the past few years — driving change for our family farm-owners, our businesses, our global supply chain, our customers and our consumers,” Dennis says. “DFA must be at the forefront of where our members need us and where consumers expect us — today and into the future.” Every three to four years, DFA’s management and Board of Directors reassess the Cooperative’s strategic plan to ensure it is still guiding the organization to where it needs to be. The planning process to create DFA’s 2023 refreshed strategic plan has just begun. “Since the last strategic plan, which was released in 2019, DFA has grown and evolved as an organization, both in the scale and scope of our business,” Dennis says. “This evolution has also added to our business’s complexity, making it important that all aspects of the Cooperative are represented and are able to provide important input when thinking strategically about our long-term success. In addition, the environment in which we operate has changed drastically amid a worldwide pandemic and the myriad of challenges resulting from its effects.” While our foundation as a grassroots, farmer-owned, value-driven global dairy Cooperative and our focus on providing value to our family farm-owners will always serve as our true north star, Dennis recognizes that growth and complexity requires the organization to fully connect and leverage all of its attributes and capabilities — making it an ideal time to reassess our strategic plan. “The foundation of why we exist and who we are must never change, but growth impacts some of what we do and how we do it,” Dennis says. The planning process for our 2023 refreshed strategic plan will strive to be inclusive, involving employees across all levels and throughout the business. “Everyone plays an important role at DFA, and we need diverse perspectives as we look to the future,” Dennis says. Watch for more information about the 2023 refreshed strategic plan in the coming months.

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OUR PLANET

COOPERATIVE

DFA 101: OUR SOCIAL RESPONSIBILITY REPORT To better showcase DFA’s commitment to social responsibility, we began publishing a Social Responsibility Report annually in 2020. This document, which is shared internally and externally, details our efforts as an organization to take care of our planet, our land, our communities, our family farm-owners and our employees. “The Social Responsibility Report tells the story of our Cooperative and the progress we’ve made on our social responsibility initiatives over the past year,” says Hansel New, director of sustainability. “We chose to begin publishing a Social Responsibility Report to highlight the good work that DFA and our members are already doing and to keep us accountable to progress on our goals.” The yearly reports are each framed in sections based on our three sustainability pillars: our planet, our people and our communities, and they share our efforts from the prior year. “These pillars help support our sustainability strategy — to enrich the world through continuous improvement and innovation in the lives we touch, the planet we protect and the communities we reach,” Hansel says. “While the details change year to year and from report to report, our commitment remains the same.”

O U R S U S TA IN A BILI T Y J O U R NE Y The entire dairy industry, from farm to manufacturer, contributes to only about 2% of total U.S. greenhouse gas emissions. But that’s not good enough for us, so we’re focused on making improvements and doing even better.

HEALTHY SOIL Scaling regenerative agriculture practices across our farms to store more carbon in the soil

TRANSPORTATION EFFICIENCIES Optimizing routes to reduce fuel usage and minimize time on the road, and exploring low-carbon fleet options

We’re striving to reduce emissions across our business by 30% by 2030 through transportation efficiencies, plant optimization, healthy soil and healthy cows. Not to mention, we’re also increasing our use of renewable energy methods, such as wind turbines, solar power and anaerobic digesters, all in partnership with our farmer-owners, customers and industry allies.

SOCIAL RESPONSIBIL IT Y REPORT

PLANT OPTIMIZATION

RENEWABLE ENERGY

Increasing efficiencies in our dairy manufacturing facilities to optimize manufacturing systems, reduce energy demand and increase the use of renewable energy

Increasing the use of solar panels and wind turbines to turn nature’s natural elements into energy for farms, homes and local businesses

HEALTHY COWS

MANURE MANAGEMENT

Optimizing our cows’ diets, exploring the use of more feed additives and continuing to elevate overall herd health to reduce emissions and keep our cows happy and healthy

COLLABORATIONS AND PARTNERSHIPS

Driving adoption of advanced manure management practices, such as using anaerobic digestors, to turn cow manure into energy

We know we can’t tackle this alone. We’re proud to partner with others, including our farmer-owners, customers, industry groups and more, to drive innovation and help reduce greenhouse gas emissions

CO2E EMISSIONS

2022

2018

2022

10 | 2022 Social Responsibility Report

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2030 dfamilk.com/sustainability |

The Our Planet section of the Social Responsibility Report focuses on our continuous search for new, innovative ways to conserve resources, reduce waste and work efficiently across our farms, in our plants and on the road. From explaining the progress we’ve made toward our science-based target and our goal to reduce greenhouse gas (GHG) emissions across the supply chain by 30% by 2030 to our industry-wide partnerships, this section tells the story of our sustainability efforts from the previous year.

OUR PEOPLE

The Our People section of the Social Responsibility Report shares DFA’s efforts to invest in our people — from our family farm-owners to every DFA employee across the country — and provide them with the resources and tools to be successful. From training opportunities to diversity, equity and inclusion (DEI) efforts, we share all the ways we strive to care for the passionate people who make it possible to feed families down the road and around the world with fresh, real dairy straight from the family farm.

OUR COMMUNITIES

The Our Communities section of the Social Responsibility Report highlights DFA’s efforts as a purpose-driven organization to give back in all the ways we can — to all the communities we touch. From sharing nourishment to those in need through product donations and disaster relief efforts, to supporting the next generation of dairy advocates, our organization’s sense of community runs strong, and each year we find new ways to continue to enrich communities and consumers’ lives through all the possibilities of dairy. “As the world changes, our social responsibility efforts will shift focus where our efforts can be most impactful, but our primary commitments remain the same,” Hansel says. “We can all be proud to work for an organization that cares about the environment and society in which we operate.” To read DFA’s 2022 Social Responsibility Report, visit dfamilk.com/sustainability.

BRAND TALK

PLUGRÁ RELEASES SPREADABLE BUTTER Plugrá®, a DFA-owned brand the produces premium butter, launched a new spreadable butter made with olive oil and sea salt in January 2022 to expand its product line and appeal to more consumers. The new butter is available in a convenient, table-friendly tub and is perfect for those who want a softer butter for creamy spreading. With this new addition, Plugrá is positioning itself to enter a new product category that research shows consumers want: spreadable butter that’s still real, high-quality butter, not margarine or another substitute. High-quality butter is a Plugrá specialty — the brand’s name is derived from the translation of “plus gras,” in French, which means more fat. Most butters have either too little or too much butterfat, which does not give optimal quality and consistency for baked goods, but Plugrá butter has the ideal 82% butterfat. “Spreadable butter is the fastest-growing segment of butter,” says J.R. Nemelka, associate brand manager for Plugrá.

“We wanted to do something more appealing to the Plugrá consumer, so we created Plugrá using olive oil and sea salt.” Part of the decision to mix in olive oil and sea salt was to uphold the premium qualities in Plugrá butter, while keeping the convenience and approachability of the classic table-friendly tub. “Plugrá is a premium brand, and our consumers have high expectations for quality whether using it in their favorite recipes or for everyday use like spreading on toast or a bagel,” J.R. says. “We believe that people should have the opportunity to enjoy Plugrá no matter what dish they’re eating, so creating this spreadable butter allows people to use Plugrá in more versatile ways.” So far, the response to the new product has been positive, and Plugrá spreadable butter continues to find its way into more people’s homes every day. “We want to find every avenue for someone to taste the Plugrá difference,” J.R. says. “Everyone is really excited for Plugrá to have a place on the spreadable butter shelf.” To read more about Plugrá, find it in a grocery store near you and read recipes that use premium butter, visit plugra.com. thescoop | Summer 2022 5

EMPLOYEE SPOTLIGHT

ASIF JABBAR For Asif Jabbar, a pasteurizer operator at the Kemps®/Cass-Clay® Creamery plant in Fargo, N.D., coming to work means collaborating with his co-workers to produce nutritious, safe dairy products that families everywhere can enjoy. Asif says his co-workers all feel like family, and he feels a responsibility to ensure the products making it into grocery stores are high quality and safe to eat. The plant produces cream, fluid milk, ice cream mix and yogurt. “Our facility really emphasizes quality and safety,” Asif says. “I never feel like I’m working. Our supervisors, managers and facilities are amazing. I feel very driven and motivated by them — whenever they need me, I’m there.” Asif makes yogurt and ice cream from start to finish daily, including the pasteurization process. He ensures that the products meet quality standards set by DFA and the government. Since starting at DFA in 2013, Asif says he has learned something new nearly every day and that he enjoys the fast-paced nature of his job. “I like the challenge of my job, because I need to make sure the food is safe to eat,” Asif says. “It makes my job interesting. I feel a personal responsibility to do my job well because I always imagine my daughter eating the yogurt that I make. I don’t want my family to eat something that isn’t high quality, so I work to make it safe for everyone.” “Asif’s work ethic and dependability are admired by his co-workers, as well as his uplifting sense of humor,” says Melissa Cullen, human resources manager at the plant. Despite working a hectic schedule at times, since Asif’s hours are determined by the needs of the yogurt line, co-workers can always count on him for a laugh. Whenever there’s yogurt that needs pasteurized, Asif is there with a smile on his face. “Our jobs can be stressful,” Asif says. “I like to crack some jokes and cheer people up — I’m really just a 42-year-old kid at heart. Once you work with people long enough, they become your family. I’m always making sure my co-workers are happy.”

I feel a personal responsibility to do my job well because I always imagine my daughter eating the yogurt that I make. I don’t want my family to eat something that isn’t high quality, so I work to make it safe for everyone.

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From left to right: David Staz, vice president of strategic accounts, Dairy Brands; Pat Panko, executive vice president, DFA, and president, Dairy Brands North; Tom Hall, senior vice president of sales, Dairy Brands; Marion Gross, executive vice president and global chief supply chain officer, McDonald’s Corporation; Carmine Catalana IV, president, Cumberland Dairy; David Catalana, vice president of sales, Cumberland Dairy; and Anthony Sawchuk, national account director, Dairy Brands, gather at the 2022 McDonald’s Worldwide Convention in Orlando, Fla.

COMMERCIAL

CUMBERLAND DAIRY CELEBRATES 50-YEAR PARTNERSHIP WITH MCDONALD’S Our Cumberland Dairy plant, which is part of DFA’s Dairy Brands Division, based out of Bridgeton, N.J., and produces fluid milk, cream, ice cream mix and extended shelf-life beverages, celebrated an important milestone with its largest customer in 2021: Cumberland Dairy has been a supplier to McDonald’s® Corp. for 50 years. Carmine Catalana III, the son of the founders of Cumberland Dairy, began producing milkshake mix for three individual McDonald’s restaurants in 1971. Since then, as both businesses have grown, Cumberland Dairy has won the business of numerous McDonald’s restaurants in the Northeast region of the United States. Cumberland Dairy supplies milkshake mix for sundaes, soft serve and McFlurry®, whole milk and cream for McCafé® beverages and caramel flavor base, and mocha flavor base mix for McCafé Frappé, which is a cool, sweet treat blended with ice and covered with whipped topping. “McDonald’s is Cumberland Dairy’s longest-standing and largest customer,” says Carmine Catalana IV, president of Cumberland Dairy. He says the partnership is reciprocal. “We are proud of our 50-year partnership with Cumberland Dairy, and grateful for the team’s ongoing commitment to consistently deliver delicious restaurant experiences our customers know and love,” says Marion Gross, McDonald’s senior vice president and chief supply chain officer for North America. “This commitment epitomizes the importance of the McDonald’s ‘three-legged stool model,’ in which franchisees, suppliers and company employees work together to meet the needs of customers around the world.” thescoop | Summer 2022 7

INTRODUCING EMPLOYEE RESOURCE GROUPS You may have heard about Employee Resource Groups (ERGs) earlier this year — a new opportunity for all employees to get involved with diversity, equity and inclusion (DEI) efforts at DFA. We plan to launch eight ERGs in the coming months for the following groups: Asian American/Pacific Islander, Black/African American, disabilities, Hispanic/Latinx, LGBTQ+, veterans, women and young professionals. Soon, all employees will have the opportunity to join ERGs. Stay tuned for more information later this year about how you can get involved.

What ERGs are:

What ERGs are not:

• Voluntary, employee-led groups to help foster an inclusive workplace

• Added responsibilities to your fulltime workload as a DFA employee

• Opportunities to build connections and network with employees across the Cooperative over shared interests

• A way to exclude others’ thoughts, beliefs and contributions

• A platform to partner with national and local organizations to give back and serve in our communities

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• A place for complaints or grievances • Exclusive to employees who identify as part of that community — allies are always welcome

IT TAKES DIVERSITY Just like the diversification of operations on a dairy farm or the variety of products our brands offer consumers, fostering an inclusive

INVESTING IN OUR FUTURE DFA’s DEI Scholarship Fund partners with national organizations to provide scholarships to diverse students interested in the dairy industry. As a global dairy cooperative, we need accountants, engineers, writers, scientists and more to be successful. This year, we will award 25 scholarships to deserving students across the country. Spread the word about our DEI scholarship partners to the students in your life. Email inclusion@dfamilk.com with any questions.

environment and investing in the diversity of our employee workforce strengthens all that we do as a dairy cooperative. DFA’s employees have unique experiences and perspectives, and when we positively embrace their uniqueness, it greatly contributes to the way our Cooperative grows and succeeds.

MARK YOUR CALENDARS July 25–29: DEI Week Sept. 5: Labor Day Sept. 15–Oct. 15: Hispanic Heritage Month Sept. 25–27: Rosh Hashanah

— Antoinette Redmond, program manager, Diversity, Equity and Inclusion

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LEARNING AND DEVELOPMENT

PERSONAL AND PROFESSIONAL GROWTH FOR ALL EMPLOYEES WITH DAIRYU As DFA’s Performance and Development Portal, DairyU is a valuable resource for all DFA employees. DairyU offers important training new hires need to know, as well as yearly Code of Conduct and compliance trainings, such as overviews of new policies. Thousands of free, on-demand learning courses are also available to help employees grow personally and professionally, and DairyU is accessible to all employees — no matter where you work in the organization. “For any employee wishing to enhance their career at DFA, DairyU provides a framework for employees to determine the skillset they need to grow professionally,” says Dorene Henley, senior manager of learning and development. “Then, they can take applicable training courses to improve or learn the skills they need.” “DairyU is meant to be a resource to help employees grow, not hinder them,” Dorene says. “That’s why we make it easily accessible for all employees. It’s also important to note that trainings and personal development opportunities are flexible so employees can take them as their schedules allow.” While you’re likely most familiar with required trainings, DairyU also offers a variety of optional professional development courses to provide ongoing education and career growth. Some instructor-led or virtual instructor-led options are available, such as the courses “Are You an Ideal Team Player?” and “How to Ask for the Leadership You Need.” If you are interested in one of these courses, search for it in DairyU and then select the button to be notified when the course is available. Additionally, there are thousands of on-demand courses available. You can search by keyword based on your interest. For example, search for “communication skills,” “listening” or

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“collaboration” to pull up a variety of courses related to those topics. Courses vary from five minutes to two hours, and many can be paused then continued later as employees’ schedules allow. “We have ample opportunities to grow your skills and DairyU is a good resource and starting point. I always encourage employees who are interested in growth to utilize it to its fullest capabilities,” Dorene says. If you have any questions about DairyU, email dairyu@dfamilk.com.

HOW TO ACCESS DAIRYU • If you have kiosks at your location, you access DairyU by clicking on The Parlor tile and logging in • Visit The Parlor (theparlor.dfamilk.com) on your computer. Click on the Performance and Development Portal under Useful Links • Log in through the ADP website (my.adp.com) and use your unique user ID and password to log in Please note: DairyU is available on mobile devices by accessing The Parlor or MyADP through a web browser.

CULTURE

COOPERATIVE

HALF & HALF SUMMER 2022 ISSUE IS HERE

MARK YOUR CALENDARS

Your summer 2022 issue of Half & Half, our magazine celebrating dairy and those who make it, has hit your mailbox. Among other articles and recipes, the summer 2022 edition of Half & Half features tasty recipes made in an air fryer, a new column where our registered dietician answers dietary and nutrition questions, a story about a farm kid who started her own meal kit delivery service and more. Want to share the goodness of Half & Half? Gift a subscription to a friend or family member today. Employees can use coupon code SUMMEREMP2022 at halfandhalfmag.com/subscribe to receive 25% off an annual subscription. Help spread the word about the goodness of Half & Half. Be sure to follow Half & Half on Instagram, Facebook and Pinterest for more recipes and inspiration, and tell your friends and family to follow us, too

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SUMMER

2022

Mylie’s Meals To Go Sip of Summer Ask the Dietician Countertop Cooking Ask the Dietic ianpg. 19 pg. 27 pg. 54 pg. 16 Countertop pg. 16 Cooking pg. 19 Mylie’s Meals To Go pg. 27 Sip of Summ er pg. 54

Diversity, Equity and Inclusion (DEI) Week | July 25–29, 2022 Join the DEI Advisory Council, DEI team and DEI ambassadors in recognizing our Cooperative’s second annual DEI Week, where we will spotlight newly established employee resource groups, the importance of a diverse workforce and how each of us can make a difference on our journey to becoming a more diverse, equitable and inclusive Cooperative. Value Integrity Month | August 2022 Formerly a week-long event, this year we are celebrating Value Integrity Month throughout August to recognize DFA’s value of integrity. Employees will increase their understanding of our Code of Conduct, the Raise It process and how DFA promotes a culture of always doing the right thing. Watch your inbox or digital signage for more information and ways to participate. Complete biometrics screening and health assessment | Aug. 31, 2022 DFA cares about your health and wellness. For employees and spouses enrolled in DFA-sponsored medical insurance, don’t miss the deadline to complete your health assessment and biometrics screening to know your numbers, take charge of your health and avoid a monthly $30 surcharge on your health insurance in 2023. Scan the QR code to learn more. Hunger Action Month | September 2022 During September, many organizations within the food industry, including DFA, join with Feeding America® to take the opportunity to highlight food insecurity in the country and give back to their communities through local and national food banks. Watch your inbox and digital signage for more information and ways to volunteer and give back through our charitable foundation, the DFA Cares Foundation.

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FARM

DFA FAMILY FARM-OWNER WINS SMITHSONIAN PHOTO PRIZE For DFA family farm-owner Shayna Stevens, of Carter and Stevens Farm in Barre, Mass., photography is more than a hobby. It’s become a business for her and a way to document snapshots of her family’s lives forever. The readers of Smithsonian magazine agree that she’s got a gift — her photo, titled “Teach Me, Dad,” was selected out of more than 40,000 entries to win the 19th annual Smithsonian Magazine Photo Contest Reader’s Choice award. The year’s theme, alongside other categories, was the American experience. Shayna (and everyone who voted for her photo submission) agree few things are as American as growing up on a dairy farm. “The farm is 100% my favorite subject,” Shayna says. “I love to take pictures of the cows, our farm and our kids on the farm. It’s really important to me to be able to show people how we live. Without farming, we wouldn’t be where we are today.” Most importantly, Shayna says this award sheds light on the ins and outs of dairy farming, which is something the general public may not think about day to day. “I don’t consider this a win just for myself, but I consider this a win for the dairy industry as whole,” Shayna says. “An international publication showcased life on a farm and how we raise our own kids to be the next stewards of the land. Farms teach the importance of hard work and how to grow from there.” You can see more of Shayna’s photography by following @thefamilyfarmer on Instagram.

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