Metro Inc.

Q3 performance: impacted heavily by Quebec produce DC strike - Adjusted EPS: $1.24 (within prior guidance), down 18.4% YoY; not adjusted for strike impact (~$0.32/share). - Sales: $6.97B (+1.4% YoY); Food same-store sales -1.5% (food total +0.5%); pharmacy same-store +4.8%. - Profitability: Adjusted EBITDA $581.4M (-11.3% YoY); reported EBITDA $555.7M (-15.3% YoY). - Strike cost/margin drag: company estimates ~$90M of lost profit + incremental direct costs (with $3M direct contingency costs and the rest primarily lost margin on lost sales).

Near-term outlook: Q4 expected to remain significantly pressured - After 4 weeks of Q4, food same-store sales still -1.5%. - Given no clear strike resolution timeline, Metro expects Q4 results to continue to be “significantly impacted” while stores rebuild assortment and work to regain traffic. - Management says contingency plans are improving weekly (assortment closer to full, stores generally well stocked) but do not replicate their normal network effectiveness.

Strategic execution updates: labor negotiations still ongoing, “ball in union’s court” - No formal negotiations for a few weeks; Metro says it is prepared to resume discussions in a realistic framework. - Company reiterates its position that its global offer is competitive vs. Quebec market and focuses on wages/conditions and long-term job quality. - Cost clarification: $3M direct costs in the quarter are largely security + operating the contingency plan via 3PL, and most of the $90M impact is lost margin from lost revenues.