China Fact Sheet

Total retail units as of May 31, 2012: 374

Trust-Mart Hypermarket 29 Supercenter 334 Sams Club 6 Neighborhood Market 2 Discount Compact Hyper 3 Associates History 100,319* Walmart began its retail operations in China in 1996, with the opening of a supercenter and Sams Club in Shenzhen. Walmart's Global Sourcing Office opened in February 2002. In February 2007, Walmart purchased a 35 percent interest in Trust-Mart. In June 2011, Walmart signed a MOU with the Shanghai local government to establish Walmarts China eCommerce headquarters in Shanghai. Walmart China has received numerous awards and recognition for the companys business practices including: Walmart China was awarded "Chinas Best Talent Development Company in 2011" by Training Magazine of Xinhua Daily Media Group during the Eighth China Enterprise Training & Development Forum. Walmart China Sams Club E-commerce was recognized for High Integrity Demonstration Enterprise in ecommerce and information application areas by China E-commerce Association (CECA). Walmart China was named a Top 25 CSR Corporate Practitioner in March. In February, Walmart China was selected Special Award for 2012 Responsible Company Under the Spotlight: Meanwhile, Walmarts Womens Development Fund was awarded 2012 Outstanding CSR Project Under the Spotlight . Walmart China won the Most Influential Enterprise award at the High-forum in Commemoration of the 10th Anniversary of Chinas Accession into WTO, hosted by China Business Herald on December 18, 2011. Walmart China was awarded the Outstanding CSR Company during Xinhuanet.coms 2011 China CSR High Forum. Opportunity At Walmart China, opportunity means continuous engagement with customers, suppliers, our associates and the communities where we operate. This is a long-term strategy for our business in China, including delivering real value to our customers, building and keeping mutuallybeneficial partnerships with our suppliers and providing our associates with development and career opportunities. China is a very important potential growth market for Walmart. We have had steady growth over the past years. We opened 43 stores in 2011 and have full confidence in this market and will continue this growth momentum. Walmart China firmly believes in local sourcing. We have established partnerships with nearly 20,000 suppliers in China. More than 95 percent of the merchandise in our stores is sourced locally. In addition, Walmart is committed to local talent development and diversity, especially the

Awards

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cultivation and full utilization of female staff and executives. At Walmart China, 99.9 percent of our associates are Chinese nationals. All our stores in China are managed by local Chinese. Additionally, more than 60 percent of Walmart China associates are female and about 40 percent of those are at management level. In 2009, the company established the Walmart China Womens Leadership Development Commission for driving womens career development. Following the Chinese governments work priorities in the recent 12th Five Year Plan, we have created programs that support domestic consumption, boost rural economic development and create economic opportunities to raise employment, strengthen food safety systems and promote sustainability across our business. In spring 2011, vegetable farmers in many area of China, including Henan, Shanxi, Guangdong, Zhejiang and Liaoning, have suffered from unsellable vegetables. To answer the call of the Ministry of Commerce and local governments to help this situation, Walmart signed a proposal in Beijing to help farmers sell excess vegetables through our direct farm program. The company has been purchasing vegetables and fruits from farmers and selling them at fair prices in its stores across China, which has helped farmers through a period of difficulty and ensured that our customers can purchase safe and affordable produce. Community At Walmart China, we are contributing to a harmonious society and community. Since 1996, we have donated more than RMB 65 million in cash and in-kind support for community involvement and brought our expertise to assist in disaster relief. Walmart China associates have also volunteered more than 200,000 hours in their communities. Helping communities is what we do every day. And when a crisis strikes, this becomes an even greater priority. Programs include: In April, the third consecutive Walmart Earth Month campaign kicked off in five Chinese cities with the theme of Planting Trees to Refresh the Communities. Walmart China stores carried out tree-planting activities along with local community volunteers, supplier representatives and local environmental protection organizations. Nearly 10,000 trees were planted. In addition, all Walmart China stores turned off one-third of in-store lights during non-peak hours, saving a total of approximately 500,000 kws/hour. On the eve of International Womens Day 2012, Walmart announced Walmart Green Farmer, a sustainable agriculture program co-founded with BSR. The program received a RMB 2.2 million grant from the Walmart Foundation. Walmart will invite experts in the field of sustainable agriculture, as well as agricultural suppliers, to go to farms and perform on-site training for farmers in areas such as water management, soil management, pesticide use, and fertilizer use. This project is designed to create a greener agricultural supply chain. Half of all beneficiaries of this project are women. In March, Walmart China made a second donation of RMB 1 million to the China Womens Development Foundation to continue funding the Revolving Fund on Poverty Alleviation for Mothers project. In December 2011, Walmart China, in collaboration with Weibo.com of Sina, launched a charity event on Weibo.com called @ Sending Warmth into Communities (http://weibo.com/wmcsr), in search of 365 touching and respectful figures in our neighborhood and to present them with new years gift packages. As of February, 2012 it has received great attention. During this period, Walmart has launched nearly 300 micro charity activities in stores in more than 140 cities nationwide and has sent more than 3,000 warm gift packages. In the future, @Sending Warmth into Communities will be upgraded into a micro charity platform of Walmart China, allowing the company to develop closer connections with and send warmth all around our communities.

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Sustainability Walmart China is committed to incorporating sustainability throughout its supply chain and in its daily operations. Sustainability has been a global priority of Walmart since 2005. Today, Walmart China has public commitments on 14 key sustainability programs, covering store operations (waste, energy, and food throwaways), merchandising (energy-efficiency appliances, direct farm) and community programs which include: Direct Farm: As of October 2011, we had set up 81 direct farm projects in more than 23 provinces and cities, spanning a total space of nearly 840,000 mu, engaging more than 810,000 farmers. In September 2011, Walmart and Business for Social Responsibility (BSR) launched farmer training. Through this project, we have invited more than 40 specialists to form a pool of sustainable agriculture training experts. These experts have conducted pilot training sessions in the Shandong Shouguang vegetable base and the Guizhou Guiyang vegetable base. Experts have taught a variety of sustainable agriculture techniques including soil testing, sustainable pesticide and fertilizer management and waste recycling. For the first half of 2012, we will expand our training to 12 vegetable farms and we hope to expand to 30 farms this year, and plan on having up to all farms included by the end of 2013, with half of those benefited being women. Waste: In cooperation with Beijing GoldenWay Biology Tech (BGB), 10 stores composted more than 360 tons of organic waste in 2011. BGB picks up organic waste from the stores every day and treats it in their recycling stations. These stations use microorganisms, temperature and pressure to convert the waste into protein feed and fertilizer additives. This byproduct is then used by companies and farmers to grow organic produce and feed livestock. Currently, our fresh buying team is negotiating with this vendor and plan to source organic produce to sell in Walmart stores, creating a closed loop. Energy: We continue working on energy efficiency of our facilities in China. We remodeled seven stores in 2011. By using LED lighting, adjusting temperature, and using heat reclaiming systems we achieved up to 59 percent water reduction and 40 percent energy efficiency, which represented an overall GHG reduction of 11 percent. In 2011, Walmart China completed its first solar project with the installation of a roof-mounted solar system at its Honey Lake (Xiangmihu) store in Shenzhen. The solar installation covers 30 percent of the stores roof space and provides an estimated 18 percent of its electricity needs. This alone will reduce greenhouse gas (GHG) emission by 430 tons annually. *As of May 2012 ###

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