The Beat Q2 2022

THE BE T Issue 22 April 2022

Message from Linda Hi Team! Happy spring ! It certainly has been a whirlwind 2022 so far. We launched LogiCare3PL, we continue with our staff expansion across the company, the IT separation with Vitalant is moving along according to plan, and sales continues to grow at a heated pace. It is a fantastic start to the year. Financially, January revenues surpassed the $100 million level for the first time. We finished at $117.1 million, ahead of budget by 28% and beating January 2021 by 68%. The adjusted EBITDA had a solid performance against our budget target. Our cash conversion cycle slipped upwards to 29 days. We followed up with a strong February finishing at $93.9 million in revenue, favorable to budget by almost 3% and growing over prior year by 39%. Year-to-date, our $211 million performance has us ahead of budget commitment by over 15% and ahead of the two first months of last year by nearly 54%. Adjusted EBITDA was positive to budget proportional to our sales strength. February’s cash conversion favorably dropped by 2 days from January to finish at 27 days. In April we herald in National Volunteer Month. This year’s theme “ Volunteering Is Empathy In Action,” affirms the strong connection between volunteerism and empathy. As we have all witnessed the heart-breaking situation worsen in Ukraine over the last month, we have also seen some of the best of humanity step forward as volunteers to aid those affected by this tragic and senseless war. While this is just an example, there are many causes dependent on the selfless generosity of volunteers. I am currently working with the DE&I Council evaluation some of these to see where the BioCare team can provide its support through a volunteer day. I will also be sharing more details about this very soon. And finally, I couldn’t be happier with the accelerated momentum of BioCare’s DE&I initiative since its launch last fall. Beginning in Q1 2022, the DE&I Council began hosting monthly Education & Enrichment events for notable monthly observances and recognitions including MLK Day, Black History Month and National

Women’s History Month. The presentations have been informative and fun to participate in and the hosts have done a great job at elevating these important celebrations. So far, we’ve had outstanding attendance. If you haven’t had a chance to join one, I highly encourage you to do so. It is also a great opportunity to connect with colleagues who are based all over the country. In closing, I am continually impressed by your persistence to raise the bar in how we serve our customers. The sales number of course reflects this, but the continued attention to detail behind that speaks to your work ethic and commitment to our customers and their patients. You make a difference every day. Thank you and have a great Q2!

Warmly,

Linda

In the News

BioCare, Inc. Welcomes Cory Shouse as Senior Vice President of Information Technology

BioCare COO Andrew Kirk Provides his expert opinion on “The Evolution of Cold Supply Chains in the Wake of COVID19”

Learn More

Q1 2022 National Accounts & Trade Relations Updates

Sean Jeffries | Vice President of National Accounts

Hello BioCare team! I can’t believe it is already March. This year is certainly flying by. I hope you all are having a great start to 2022!

This year has been extremely busy on the national accounts and trade relations front. The IG market continues its upward growth trajectory, as we see not only organic growth within our customer base but also the addition of new customers. As we continue to grow in this space, we are starting to see supply chain tightening. Grifols, Kedrion, and BPL are all facing challenges related to managing existing customer growth. We continue to work closely with our partners to guarantee continuity of supply and ensure our downstream

customers can seamlessly administer products to patients. CSL had a few recalls earlier this year, but they are still well positioned to serve the needs of our customers. Our portfolio utilization with Pfizer continues to grow as well, due in large part to the innovative programs put in place by our sales team. All in all, our strong manufacturing relationships provide assurance that we can deliver the type of service that BioCare is known for. Additionally, we continue to work on expanding our partnerships with Group Purchasing Organizations. Last year we started discussions with Provista and I am happy to say we are in the final stages of reviewing the distribution agreement. I am optimistic we can get this completed and implemented in Q2. Strategically, this relationship will provide us access to a much broader customer base. It also would open the door for discussions with other Vizient/Provista contracted suppliers. Having access to contracted suppliers presents another avenue for expanding our portfolio. From Provista’ s perspective, it is a great opportunity for them to partner with a d istributor that is aligned with their strategic initiatives. I can tell you that Provista is extremely excited and is looking forward to growing their business with BioCareSD! Finally, I wanted to give you an update on the progress we have made in our pricing project, Flintfox. This project is progressing along quite well. We are aiming to implement this module by the end of Q2. What does this mean for the entire organization? We will have a system enhancement that will allow for better pricing, contract, and financial administration. The upfront work that Matt, Alta, Chad and Cristal and I are doing will mean less downstream maintenance for the rest of the team. CSR’s will be able to identify pricing more accurately, analytics will have the inputs they need to create more streamlined reporting (chargebacks, fees, pricing) and the sales team will have better access in real time to pricing reports. Our efforts will make the rest of the organization more efficient and provide access to the information you need.

As always, I want to thank you all for the work you do. This organization’s decades long success is a direct result of exceptional people who work here. This team truly Bio“Cares” about delivering excellence every day!

APRIL

Pam Wiltz | Director of Sales, Alternate Site Alt Sites Update

Wow, time flies when you are busy and focused on growth! It is hard to believe that we are almost at the end of Q1 2022.

Life appears to be getting back to normal. Our customers are ready to meet face to face as conference season kicks officially off. The National Home Infusion Association (NHIA) was held in Nashville from March 13 th – 16 th . Andrew Flessor, Dan Dulman, and I all attended. We had twenty-two (22) strategic meetings with customers, potential customers, manufacturers and one GPO partner scheduled over two and a half days. Phew! Exhausting, but quite productive for BioCare! It was interesting to see how well we all re-adjusted to the hectic conference schedule. It was like riding a bike, you never forget. The meetings were quite productive, and we are hopeful about several solid opportunities we are pursuing. Our focus on expanding the specialty business is a major part of the 2022 BioCareSD strategy. VYVGART launched in January. We have had good success in working with small to mid-size customers, connecting them with the manufacturer, and facilitating access to the product. The result has been an immediate increase in sales, but more importantly, we have become an invaluable partner to a customer that is rapidly growing. Our expertise, relationships and focus on the patient have been big components of this success. YTD VYVGART sales are $826,422. There are still several customers we are assisting through the approval process with the manufacturer. We expect to see VYVGART sales exponentially increase as the

medical community is better educated on the product and more patients are identified. Beyond VYVGART, we have had additional successes on expanding both ENTYVIO and TEPEZZA sales. YTD new business for these products are $1,560,422.00, with most of that total being purchased in March. In short, 2022 is off to great start! We are laser focused on new opportunities and are looking forward to another record year!

Q1 & Q2 Anniversaries & Observances

Observances

Birthdays

Anniversaries

FEBRUARY Michelle Martin Cory Shouse Tanner Perry Scott Gilman Linda Preston Randy Morgan

FEBRUARY Mike Long

APRIL National Volunteer Month Ramadan

Feb 05 Feb 10 Feb 12 Feb 14 Feb 17 Feb 20 Mar 01 Mar 06 Mar 16 Mar 22 Mar 26 Mar 27

21 Years (02/03/01) 1 Year (02/15/21)

Madiha Imtiaz Omar Agado

Apr 02 Apr 07 Apr 15 Apr 17 Apr 22

1 Year (02/15/21)

World Health Day

Passover

MARCH Debbie Blanchard 2 Years (03/01/20) Michelle Martin 1 Year (03/01/21) Andrew Kirk 23 Years (03/02/99) Andrew Flessor 2 Years (03/08/20) Matt Pharr 2 Years (03/08/20)

Easter

International Earth Day

MAY Chad Freeman Daniel Dulman

MAY Asian American Pacific Islander Month Mental Health Awareness Month Jewish American Heritage Month Older Americans Month Cinco de Mayo May 05 National Nurse’s Day May 06 Mother’s Day May 08

Jodi Lynn Schoonover Madison Edmonds

APRIL Mike Bass

Sean Jeffries

7 Years (04/06/15) Kathleen Hopping 23 Years (04/19/99)

Terrance Washington

APRIL Barbara Pantazopoulos Apr 08 Scott Steinman Apr 12 Omar Agado Apr 13 Pam Wiltz Apr 16 Quinn Williams Apr 17 Kathleen Hopping Apr 21 Brooke Blanchard Apr 28

MAY Scott Gilman Peggy Yena

3 Years (05/06/19)

International Day Against Homophobia, Transphobia, and Biphobia

1 Year (05/10/21) Christine Osman 29 Years (05/24/93)

May 17

Memorial Day

May 30

JUNE Holly Duffy Ann Breslin

2 Years (06/01/20) 5 Years (06/05/17) 9 Years (06/19/13) 4 Years (06/25/18) 4 Years (06/28/18) 2 Years (06/29/20)

Kimberly Luick Randy Twitchell

JUNE Pride (LGBTQIA+) Month Caribbean American Heritage Month Indian Citizenship Act of 1924 (Native Americans) Jun 02 Juneteenth Jun 19 Father’s Day Jun 19

MAY Mike Long Scott Ross

May 15 May 19

Mark Steffes

Scott Steinman

JUNE Mike Bass

Jun 01 Jun 02 Jun 06 Jun 13 Jun 19 Jun 22 Jun 25 Jun 28

Deeahn Murray Varinder Chandel Cody Westbay Amanda Forrest

Ann Breslin Joni David Tori Albin

Quality Update Peggy Yena | Vice President of Quality

I thought I’d start with a big thank you to everyone for your ongoing efforts to put excellence in everything you do and for partnering with the Quality team to continue to improve our processes. Putting quality first is a market differentiator and so important to BioCare’s Family of Brands. As part of putting quality first, we’re able to confidently state to customers and business partners that we are a current Good Manufacturing Practice (cGMP) facility. To maintain this designation, we must follow cGMP regulations that are enforced by the FDA. This takes effort on everyone’s part to maintain this status; we must follow our Standard Operating Procedures (SOPs) 100% of the time, we must have transparent reporting of SOP deviations or lack of SOPs to the Quality team, and we must partner with the Quality team to look for opportunities to continually improve our processes. In addition to our cGMP facility status, we have our Drug Distributor Accreditation (DDA) (fka VAWD) through NABP. A new addition to our DDA this year will be to complete a successful Supply Chain Inspection. The Supply Chain Inspection is unannounced which means the inspector will show up at our front door with no prior notification sometime in the next eight weeks. Lastly, we had five successful inspections in 2021 with no major deficiencies (Arizona State Board of Pharmacy, Vitalant Internal Audits, Alexion). As part of these audits, we showcased our Quality Management System (QMS) capabilities including a full audit of MasterControl. Preserving our cGMP status, maintaining our DDA and Supply Chain Accreditation, having successful audits, and working towards other future accreditations (e.g., ISO 9001), will continue to set us apart from our competitors. The Rees temperature monitoring system was successfully launched on February 2, 2022, replacing the legacy Plexxium system. I can confidently say that the Rees system is a huge improvement over the Plexxium system both in system capabilities and service. The SOPs and training are complete and Quality is currently partnering with BioCare and Vitalant IT to properly shut down the Plexxium system and store the historical data.

We continue to log CAPAs, Events, and Customer Complaints in the newly launched deviation management system within MasterControl. As we mature this module as part of our QMS, it will help us better track and trend deviations such as product recalls, withdrawals, cGMP variations, and other system events. We welcomed Jordyn Maher to the Quality team last month and will be expanding the team over the next several months to help accelerate BioCare’s key initiatives. Opening a 55,000 square foot Warehouse in Olive Branch Mississippi is just one of the key initiatives and we’ll be looking to hire an on -site Quality Ma nager for that facility. In addition, we’ll be looking to expand the team in Arizona. As BioCare continues to expand and grow in 2022, Quality will continue to be your partner to help in that growth to maintain a step ahead of our competitors by putting quality first!

MAY 30, 2022

Human Resources Updates

Debbie Blanchard | Human Resources Manager

Hello BioCare family! We’ve had a great first quarter, right on the heels of our fantastic $1B finish to 2021. The teamwork, dedication, and resilience of our work family fills me with pride as we continue to break records and goals across the organization. There is however one shared goal that we are not doing very well on, so I’m writing to please ask for your help in turning this around. Policies and procedures change and our recollection of information fades over time, so training and retraining is a necessary component of working in a highly regulated industry. One of our 2022 goals was to have all assigned training completed throughout the year on or before the due date but unfortunately, we already have overdue training. I know we’ve all been busy and when you have multiple demands for your time, it’s easy to push training to the bottom of the To Do List but completing assigned training is an important part of each of our jobs. The patients, manufacturers, customers, and vendors, as well as governmental and accreditation agencies, rely on us to follow documented policies and procedures in everything we do. Auditors often ask to see our training records. Past due or late completions reflect poorly on BioCare and can set the tone for the entire audit, even if everything else goes well. Please do your part and set time aside to complete your assigned training before the due date. Schedule a recurring meeting on your calendar and if no training was released that week, you can shift that time to something else. Going forward, we will provide your manager with your percent of timely completions for incorporation and consideration on your performance review and merit increase.

Previous newsletters can be found here: S:\Shared Folders\1 - BioCareSD\Human Resources\Newsletters

Diversity, Equity, & Inclusion Update

Hi team:

As we look forward to next quarter, we have several cultural celebrations. For April, we will recognize National Volunteer Month as well as International Earth Day. In May, Asian American Pacific Islander Month, Mental Health Awareness Month, Jewish American Heritage Month and International Day Against Homophobia, Transphobia and Biphobia on 5/17. Finally in June it is PRIDE Month, Juneteenth, and Caribbean American Heritage Month. In our DE&I Council alone, we have learned so much about each other’s cultur al background, as members have stepped up to volunteer and host an event or write an article. While the Council is carrying the torch for DE&I at BioCare, I am asking all of you to raise your hand if you would like to partner with one of us for any of these cultural celebrations. Also, as you have seen, not everything is virtual coffee. We have been sending educational emails throughout the month (we hope you have enjoyed them). If this is more suited to you, we would love for you to contribute as we always are seeking diverse perspectives. Lastly, we plan to roll our other learning and enrichment type programming as the year progresses so there will be many opportunities to volunteer. In closing, we are starting to really gain momentum and we want to hear from you! You were all invited to the DE&I TEAMS Channel. I encourage everyone to start or partake in conversation about the cultural events we celebrate. If you have an interesting article for the full team related to DE&I, post it! When you do post something, make sure you start with @general so that we are all alerted there is something new on the channel. Also, Debbie adds new employees as they start, but if you feel you have not been included, please send us an email so we can add you. Here is a link to the channel: https://teams.microsoft.com/l/channel/19%3aWwblPHW6h8_LfWoXk0_FRi3qX2Uc8p GfYIgk6DelAA01%40thread.tacv2/General?groupId=a8e794d4-1ad9-4726-86d5- 178f43249e7c&tenantId=bec1ef07-c7bd-4cd8-bbbf-dff9a9e33c8e

Happy Spring!

I want to give everyone an update on the DE&I Council, initiatives to-date, as well as some potential events in the near term. Since the launch of the program in the fall, the DE&I Council has been meeting regularly working on several items behind the scenes to ensure the DE&I initiative is focused, is clear on its remit, and is set up foundationally for success. It is important to ensure the unit is self-sustaining even if members in/out over time. For this to happen there must be a solid Mission and Vision, a formalized DE&I Charter, a clear program objective/purpose and a year one communications plan. I am happy to say we are about 90% complete on these items and finalizing the last on at the next meeting. We also established and have rolled out four sub-committees in the following areas: Communications, Attraction & Recruitment, Inclusion, Engagement & Retention, and finally Community Partnerships. Each of these committees meet independently to “get the work done” for the Council agenda. As everyone knows, we often must fly the plane and build it at the same time, and this council has risen to the occasion on this front. Through their commitment, we have been able to put on three Education & Enrichment events to celebrate important observances in January, February & March. We celebrated MLK Day, Black History Month & National Women’s History Month. As Linda mentioned in her column, they have been fun and educational and have also allowed the team across the country to connect with each other. From an “Inclusion” perspective (the “I” in DE&I), this helps those who work remote to be more connected and included with the team in Tempe. I’m excited to say that over 50% of the BioCare team has joined these virtual events so far. The Council’s goal is to continue to enhance progr amming. Every event is an opportunity for us to refine and hone, so we grow when we hold the next one. I encourage all of you to provide us suggestions on topics or discussions you would like us to consider for future events.

Have a great quarter!

Barb

Jeff Beck | Chief Development Officer New Business Update

BioCare team, we are off to a fabulous start to 2022 and that’s following a record year where we reached $1B in revenue! The first quarter is already in the books and it was another record breaker. At the close of 2021 the new business team added four new products which are really starting to pick up steam as we finish Q1. TEPEZZA, KRYSTEXXA, UPLIZNA and VYVGART had combined revenues of over $25MM! While we are happy with these additions, we are relentlessly pursuing a multitude of other opportunities in our new business pipeline. We have firm commitments to distribute four more new products in 2022 or early 2023, depending on when the manufacturers receive approval and launch.

Our strategy has remained consistent in our new business prospecting. The specific criteria the team looks for in new products are the following:

• Core, adjacent and new therapeutic areas per strategic plan o Hematology, Neurology, Immunology, Ophthalmology, Rheumatology, Biosimilars o Opportunistic especially with current partners and known entities with relationships • Drug Indications o Do we already have drugs with these indications? o If not, does our sales team have the knowledge and bandwidth? • Route of administration o IV & Sub-Q, are preferred for now, but we are open to other routes of administration

I will keep everyone apprised as new products come on board. Let’s keep the momentum going and have another record year!

JUNE PRIDE MONTH

Colleague Spotlight

Book of the Month

Dan Dulman is BioCare’s newest Alternate Site Sales Manager. He started with BioCare in August of 2022. He brings with him an extensive amount of experience working in complex supply chains and analytics. This, he says, is the greatest contribution he has brought to the BioCare organization. Eager to see both BioCareSD and LogiCare3PL grow and expand their presence in the market, he seeks to assist in operational excellence wherever he can. So far, he says that in his short time here he really likes his role because it provides life-saving medication to patients in need. It makes an impact. I asked him to tell me in his short time here, what’s the most important lesson he has learned on the job? He said “things at BioCare can be very dynamic and you need to be able to adapt and respond when needed.” I asked him to think back to when he started at BioCare and reflect on what he knows now that he wishes he knew back then. He said “I’m still very new and learning, but I have the best mentors in Pam Wiltz and And rew Kirk.” He also shared that he is very motivated by success. Dan and his wide Luba have two Sphinx cats named Bacon and Lil Momma. He describes himself as eager , flexible and a “go getter.” He plays the bongos for fun but admits that he’s not very good at them. He loves pizza and BBQ. His favourite movie is Ferris Bueller’s Day Off, and his favorite book is The Challenger Sale. The best concert he ever attended is The Dave Matthews Band. In his spare time, he and Luba enjoy the beach and eating in new restaurants. He said they are both real foodies. When I asked him about he told me that right now all their efforts are helping Ukraine. He said both their family is fromUkraine so they are doing whatever they can to support the refugee crisis. Dan played football for the University of Albany in NY, so his favorite activity is football, and he is a huge NY Giants fan. And, he said if he could swap places with anyone for a day it would be with Tom Brady because “he must be live the best life.” He also said that he and Luba love the outdoors and often go boating, walking or just “beaching.” If he could travel anywhere in the world he wants to go to Italy or Spain on a food tour. Finally, when I asked him what is the most exciting or dangerous thing he’s ever done? He told me it was relocating for Florida eleven years ago when he was offered a position there. He and Luba made a leap of faith and just did it. He said “we had no family, no friends, no support in a new place. Eleven years later everyone is here in Florida and we are thriving.”

The eternal question ‘Who am I?’ must be weighed against an ever deeper question: ‘Who are we?’ We are writing each other’s stories as much as we are writing our own. In his bestselling book, The Good Life, High Mackay argued that kindness and respect for others are the hallmarks of a life well lived. Now in The Art of Belonging Mackay shows how strong communities develop our moral sense and build our emotional security. He says that as ‘social creatures’ we can only reach our potential when we engage with our communities – in the local neighborhood, at work and even online. Drawing on his lifelong work as a social researcher, Mackay creates a fictional suburb, Southwood, and populates it with characters who, like most of us, struggle to reconcile their need to belong with their desire to live life on their own terms. Through a series of stories, illuminated by Mackay’s social analysis, we witness the conflicts that arise when individuals assert their needs at the expense of others, but we also glimpse the satisfactions that flow from contribution to the common good.

Dan, thanks for jumping all in and for your contributions to BioCare!

4 out of 5 Stars

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