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UPDATE FOR FRIENDS OF OGC THIRD QUARTER, 2021

INTRODUCTION

H E L LO, F R I E N D S ! Our third-quarter closing coincides with the send-off of summer. The Northwest heat fades away, and our excitement for fall and the energy of the holidays take over. Our 24/7 operation, orchestrated from our facilities, trucks, hubs and home offices, remains connected and driven by our mission and purpose. OGC coworkers thrive on helping our community celebrate around the table, give thanks to the many farmers who provide for us, and give back to those in need. We’ve worked creatively to keep stakeholder engagement and our connections strong throughout the pandemic, and our third quarter wrapped up a series of stakeholder listening sessions, a few careful (still masked) steps back out into our business network, and a bit of coworker-led volunteer time in our community. It also marked the beginning of a deeper journey into Diversity, Equity and Inclusion work, as we aim to reinforce a culture where all coworkers feel included and celebrated for the uniqueness they bring when they show up as their complete and true selves. Please take a few minutes in the pages of this report to read a few of the highlights from OGC’s last quarter and deepen your connection to our purpose. We hope the food, friends and spirit of the season brings you health, happiness and harmony.

– OGC M is s ion Te a m

Carla Balen

Everet Chenevert

Matt Mroczek

Mike Boyle

Sarah Brown

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

S U S TAI NAB L E FO O D & AG R I C U LT U R E P E R P E T UAL P U R P O S E T R U S T U P DAT E S

Become a Qualified Stakeholder! As a member of our community, please consider becoming a Qualified Stakeholder of the SFAPPT. Stakeholders are individuals or organizations with interest in the ongoing operation of a company owned by the trust (OGC!). Those who complete the qualification process are able to participate in the TPC’s election process.

2021 TPC Election: Important Dates

Stakeholder qualifications can be found here. If you belong to one of the five designated stakeholder groups (OGC coworkers, suppliers, purchasers, investors, and community allies) and are interested in becoming a Qualified Stakeholder, please follow this link to submit a simple Expression of Interest form, and we will follow up with more information.

November 18, 2021 – Voting opens at 8 am December 1, 2021 – Voting closes at midnight

November 12, 2021 – Last day to submit an Expression of Interest (EOI) to become a Qualified Stakeholder

Vote in the Trust Protector Committee (TPC) Election This Fall! The TPC acts as a “steward” to ensure that the companies in the SFAPPT stay aligned with the purpose and principles of the trust (learn more about SFAPPT’s governance here). All Qualified Stakeholders in the SFAPPT have an opportunity to vote in TPC elections.

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

Q UART E R LY H I G H L I G H T S O G C S E N D S S MAL L D E L E GAT I O N TO O R GAN I C P R O D U C E S U M M I T In September, five OGC coworkers traveled to Monterey, California to attend and exhibit at the Organic Produce Summit (OPS). OGC has restricted travel for in-person engagement since the spring of 2020, this approved exception for business provided an important opportunity to reconnect with vendors and customers. The OPS tradeshow drew 150 exhibitors and approximately 1,200 conference attendees creating an opportunity to introduce the updated and expanding line of Ladybug Brand™ produce. The show presented a chance to see and learn from the progress in the world of eco-friendly packaging. Our booth visitors were introduced to Ladybug Brand’s full line of items, including the new Ladybug Brand compostable paper potato bags and kiwi berries — both a big hit! In a sea of other booths, OGC’s was one of the most vibrant; a reflection of who OGC is and what the Ladybug Brand represents. The 2021 OPS was an invaluable opportunity to reconnect with existing and potential new suppliers and customers, and served to secure the OGC booth space for the future. We’re looking forward to the 2022 summit next July!

An OPS-hosted farm tour took OGC coworkers and a customer to Driscoll’s raspberry testing facility. O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

O G C I NVE S T S I N E Q U I T Y & I N C LU S I O N

OGC is committed to deepening the conversation and work of Equity and Inclusion in our organization. We recognize the need for external expertise and support and have hired a partner to serve as a guide in this work. Future Work Design brings deep expertise in helping organizations build their stamina and skills to have difficult conversations, identify where harmful or oppressive patterns may live in the organization and make meaningful change. In recent weeks, our partners have hosted listening sessions with coworkers who identify as Black, Indigenous and other People of Color (BI&POC) with the goal of co-creating an environment of trust, care and transparency. The feedback gained from coworker listening will inform workshops for OGC’s organizational leaders to learn, unlearn, and develop actionable strategies to guide OGC’s evolution. This is one step in our journey, and we expect it to be challenging work. We ask you, our stakeholders, to please hold us accountable and grow with us towards racial justice on the land and in the food system.

S T R AT E G I C P L AN N I N G I S U N D E RWAY Over the past few months, the Mission Team and Board have been working together to finalize the first phase of a new strategic plan. This work, culminating in a strategic assessment, is a snapshot of our understanding of OGC’s current situation informed with ample input from our stakeholders (key insights and quotes from stakeholder listening are included). It compiles the best research, analysis and insights built by OGC over the last few years and highlights what is most relevant to the strategic decisions ahead. As we begin 2022, we’ll embark on the second phase of this work where we’ll be layering operating priorities and equity foundations with longer-range strategic planning, including vision, values, purpose and a more complete set of strategic alternatives. This work will serve to focus and define where we’d like to go and the various routes to get there.

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

S TAK E H O L D E R L I S T E N I N G P R OVI D E S I NVALUAB L E I N P U T The stakeholder listening that fed into the strategic assessment included over 20 in-depth interviews with a diversity of key stakeholders as well as a survey completed by more than 150 respondents. We received feedback on our strengths and weaknesses, industry trends, the importance of various social and environmental issues and thoughts on additional products and services. We asked respondents to rank the importance of a long list of social and environmental issues. Across stakeholder groups the following topics were consistently identified in their lists of top priority issues: – Living wages and benefits – Fair trade and farmworker health – Food safety – Diversity, equity, and inclusion – Farmland preservation – Water conservation – Organic integrity and fraud prevention We’re already working to incorporate this learning into our decision making and look forward to providing continued opportunities for you to provide input.

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

O G C I NVE S T S $ 2 5,000 TO F U RT H E R T H E WO R K O F T H E O R E G O N O R GAN I C C OAL I T I O N OGC is an active member and strong supporter of the Oregon Organic Coalition(OOC), a nonprofit trade association dedicated to growing the state’s organic industry and community. “From early on, the OOC understood the collective strength of working together,” said David Lively, OGC co-founder and pioneer emeritus.” “They brings the state’s organic sectors together for representation on issues and policies, helping us cast a larger shadow by working as a trade than any of us would cast individually.” Even during the pandemic, the OOC significantly increased its efforts to build and strengthen important relationships across the organic sector, especially with Oregon lawmakers. With a new strategic plan to strengthen the organization’s foundation, the OOC is poised to continue its advocacy for organics at the state level by investing in an experienced lobbyist, hiring an executive director, expanding communications, and hosting annual members events. Inspired by their action plan, OGC proudly invested $25,000 in the OOC’s work. Our donation, along with a generous $25,000 contribution from Mountain Rose Herbs, was leveraged by the OOC for a matching fundraising campaign, multiplying our impact. We’re grateful for the OOC’s work to create and strengthen opportunities for organics to thrive in Oregon, and for their leadership in inspiring the Organic Trade Association’s State Organic Advocacy Network, a new network created to share information and thought leadership between states. Click here to read about this exciting new network.

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

O G C ’ S R E PAC K P R O G R AM TAK E S O F F WI T H E F F I C I E N CY O F F E R E D BY T H E N E W P OTATO & O N I O N BAG G I N G L I N E Repack services are a major part of OGC’s business that presents exciting opportunities to meet the needs of our customers and growers in new, on-demand ways. This year’s investment in and installation of an automated potato and onion bagging line (POBL) has increased the dynamic and capable nature of our repack services. After months of careful planning, patiently overcoming a major shipping delay at the Port of Oakland, and then taking the time needed to make a few technical adjustments, the POBL is finally up and running, and it feels great. OGC Project Manager Anthony Seran had the honor of helping drive the transformation to what he likes to call “Repack 3.0.” Our repack program is ever improving and in its current iteration, it is more versatile and efficient than ever before. OGC now operates a small fruit packing line (SFPL), a small pack program (SPP), and newly automated potato and onion packing line (POBL). Repack is becoming ever more capable with each new installation and investment. With the automation provided by the new POBL and OGC’s seasoned team of potato packers, we’ve nearly quadrupled our packing volume. “This team had the new line humming after two days of operational training,” shares Anthony. “OGC’s Portland warehouse is bustling with repack action!” One of the items running on the line is OGC’s organic Ladybug Brand™ potatoes, packed in recyclable 3-pound paper bags. Look for them in stores throughout the Northwest.

F R E S H AI R, D I RT Y WO R K & TO G E T H E R N E S S Twenty OGC coworkers took advantage of the opportunity to spend a half-day harvesting, weeding and learning about the important food equity and access work being done at Food for Lane County’s Youth Farm in Springfield and Zenger Farm in Portland. Two half-days resulted in 80 hours of volunteered human power to help further the missions of these amazing nonprofits. The chance to step away from our routines, spend time together (socially distanced) and lend a hand was pure fun!

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

O G C D R IVE R S E AR N T H E G R E AT WE S T SAF E T Y AWAR D !

With incredible pride, we can say that our Transportation Team is #1 in safety! Earlier this fall, members of the Oregon Trucking Association gathered in Eugene to hear from safety professionals, experts and allied partners to explore recent changes to safety routines. During this event, the association recognized OGC with the Great West Safety Award, a first-place honor for the safest record among all private carriers in Oregon! The award acknowledged our drivers’ stellar road performance during the 2020 calendar year when they logged nearly 2,565,000 miles with no Department of Transportation reportable accidents! OGC Transportation Supervisor Holly Hasselbom attended and accepted on behalf of the team. “This is a year-long feat that our drivers pulled off, which speaks volumes to the diligence and dedication of the team. I couldn’t be prouder of their commitment to the company, our customers and suppliers, and the people they share the road with 365-days a year,” said OGC Transportation Manager Stretch Halterman.

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

C OWO R K E R N E WS

C OWO R K E R AMAN DA JAM E S - MART I N D E S I G N S O G C ’ S 2 02 2 C LOT H C AL E N DAR OGC’s tradition of creating a collectible cloth calendar to gift partners, friends and coworkers continues! The 2022 edition features artwork by Amanda James-Martin, Inventory Maintenance Lead in OGC’s Portland facility. In addition to being one of OGC’s produce pros, Amanda is also an incredible artist. Amanda attended Portland State University, where she studied Time-Based Arts and Printmaking. Printmaking is where she found her passion, so after earning her undergraduate degree, Amanda went on to earn a Master of Art in Printmaking at Louisiana State University (LSU). Her grad school experience included the opportunity to teach while taking classes, immersing herself more deeply in digital printmaking processes, screen printing, and photolithography as an instructor. She was drawn to printmaking for its roots in the working class and its ability to bring unique handmade art to folks that traditionally wouldn’t be able to afford fine art. Amanda shared that printmaking has roots in replicating fine paintings so that more people could have access to the imagery. “I also like that it gets my hands dirty and is labor intensive - it’s “hard-work” in every sense of the word,” Amanda explained. Upon returning to Portland, Amanda joined Whole Foods Market, which allowed her flexibility to dedicate time to art. She loved working at Whole Foods, and gained retail, produce, and leadership experience during her six-year tenure. She found herself among a creative community of other artisans and musicians. However, in search of a stable schedule, she pursued an opportunity at OGC, joining our team in the spring of 2020. Describing her artistic style as narrative-based, Amanda tells stories through visual props, textures and line-based illustrations. Inspiration often comes from her love of old movie posters and comic books. “I get lost in the details and love the challenge of trying to take my drawings through the printmaking process,” explains Amanda. The themes of growth and harvesting seeds for the future come through in the 2022 calendar drawing. Amanda shared that she made the ladybug an important character by giving her a role and playing with size and scale. Thank you to Amanda for sharing her talents! Sure to become another keepsake, OGC’s 2022 cloth calendar will soon be available to enjoy!

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

P O L I CY & ADVO C ACY U P DAT E

S U P P O RT I N G O R E G O N ’ S C L E AN T R U C K R U L E 2021 This fall, Oregon’s environmental and transportation leaders and lawmakers are moving to endorse the proposed “Clean Truck Rule.” This rule, modeled after California’s progressive Clean Truck policy, aims to significantly reduce emissions that contribute to climate change and better air quality, has many environmental benefits, and OGC supports it. However, it requires businesses involved in trucking to adopt a schedule of electric equipment replacement to meet the new standards at a rate that may surpass the industry’s ability to deliver. OGC is fully committed to a sustainable future and to reducing the impact our transportation operations have on the environment. Still, we voiced our concerns about the timeline. Below is a synopsis of OGC’s comments submitted on this proposed rule. The “Clean Truck Rule 2021” paves a path for a more sustainable future. Reducing our transportation system’s dependence on fossil fuels is a necessary step to address changing climate and improve the quality of life in urban environments by eliminating smog-forming emissions and significantly reducing noise levels. The idea of electrification brings the promise of so many solved problems, which is why OGC is supportive of California’s long-time leadership in developing bold and necessary action to reduce harmful emissions. We applaud Oregon’s DEQ for recognizing not only what is taking shape in California but also in recognizing that businesses in Oregon need support to begin taking significant steps to reduce the impacts the transportation industry has on our planet. It takes drive, determination, and partnerships (and sometimes competition) within the private and public sectors to enable practical solutions for a better tomorrow. With a history of pushing the envelope in continuous improvement and innovation, we are eager to be a candidate for the new equipment. However, there are many challenges and several yet-to-be-determined impacts that warrant Oregon waiting another year before considering the adoption of this rule. With growing pressure to act quickly regarding business impacts on our ever-changing climate, we understand the urgency around adopting these rules and appreciate Oregon DEQ’s willingness to bring this proposal to the public for consideration. OGC’s hesitancy to offer full support of the adoption of this rule at this time is meant to encourage the state and private sector to investigate and analyze the following concerns/issues and determine if the proposed rulemaking is the best fit for Oregon in 2021: First-generation equipment is not yet in production. The extra year provides an opportunity for manufacturers to ramp up production to meet anticipated demand before making mandates on the percentages of new equipment that must be sold. Oregon needs additional subsidies and incentives to support the cost impacts of complying with this rule. Zero-emission trucks are estimated to cost about three times as much as a conventional diesel truck of the same class. If Oregon wishes to be a leader in clean trucks on the road, then it should ensure that the equipment can be economically viable by leading in subsidies and incentives and working with equipment manufacturers to identify opportunities to reduce lifecycle costs. First-generation equipment is not providing the range needed for widespread adoption in Oregon. Oregon’s major cities are spaced at distances that make roundtrip travel with electric vehicles difficult. Current electric trucks offer reduced payload capacity. An equivalent sized electric truck will have a lower payload because of the heavier drivetrain. This is a major concern for OGC because many of the products we haul are heavy, already requiring extended weight permits. Additional considerations in terms of weight restriction relief for electric trucks would help mitigate this challenge. An additional year would allow further investigation into other options for achieving the rules’ substantive goals while reducing the negative economic impact on businesses. While adopting California’s progressive rules may be our only option given the EPA’s regulatory framework, we would appreciate more time to consider alternative initiatives and new innovations that might realize similar positive impacts. Waiting another year before voting on this rule would allow businesses time to investigate legislative options for enacting complimentary incentives and subsidies. We feel it would be a shame for manufacturers to create capacity to meet their production goals for zero-emission trucks, only to see it idle with few buyers able to place orders. We look forward to figuring out how to make this feasible for businesses and we remain committed to being an active partner with the state of Oregon in lessening our impact on the planet. O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

N OT E S F R O M T H E F I E L D M E LO N S,O K R A & M O R E F R O M G R OWE R AL AN S C H R E I B E R Agricultural Development Group, located outside of Eltopia in arid eastern Washington, is owned and operated by Alan Schreiber. Besides producing some of the best organic melons our region offers, along with numerous other crops, Alan is also a professor researching and exploring emerging varieties. OGC Buyer Rachel Pienovi, along with OGC’s Communications & Engagement Specialist Ana Johns, visited Alan and his team during the height of the melon season on one of the hottest days in August, blanketed by wildfire smoke. Alan brought us to his melon fields to sample some of the phenomenal varieties he grows, including the crowd-pleasing Charentais, complex and musky Tuscan, thirstquenching watermelon, and some truly outstanding Canary and honeydew melons.

Alan and OGC Buyer, Rachel Pienovi

We also had the opportunity to wade into a crop rarely seen in this part of the country: okra. With some strategic planning and support from OGC, Alan planted his first ever field of okra, a marvelous plant to behold! Alan worked with OGC Buyer Josh Spoden to identify okra as a high-producing rotation crop which can help improve soil previously planted with eggplant and other nightshades. We’re looking forward to seeing how we can expand interest for Alan’s okra in the Pacific Northwest! In addition to melons and okra, Alan shared updates on his heirloom, slicer and cherry tomatoes, numerous varieties of eggplant, asparagus projects and more. OGC is looking forward to 2022’s warmer months and bringing in the incredible organic fruits and vegetables sourced from Agricultural Development Group!

O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021

Organically Grown Company appreciates the leadership, experience and guidance provided by our dedicated Board of Governors and the SFAPPT Trust Protector Committee and Trust Enforcers. BOARD Brian Rohter | Hood River, OR Cathy Calfo | Santa Cruz, CA Cecil Wright | Viroqua, WI Maia Larson | Springfield, OR Mike Bedessem | Hudson, WI

TRUST ENFORCERS Andy Westlund | Scio, OR Robbie Vasilinda | Eugene, OR Mike Neubeck | Eugene, OR ARE YOU AN OGC CUSTOMER, GROWER, INVESTOR, COMMUNITY ALLY OR COWORKER? If you fall into one of these groups, you have the opportunity to influence how our business is run by becoming a Qualified Stakeholder. Consider Submitting an Expression of Interest.

organicgrown.com O R GAN IC AL LY G R OWN C O MPANY | UPDATE FOR F R I END S OF OGC | Q3 2021