Larry’s Letter

Amongst all our good fortunes we had a tragic event happen this year in our RDC family, the veryuntimely death of Robin Willmott. Robin has been a friend and advocate for all of us. He was a fiercecompetitor and a tireless champion on behalf of Quality Care, RDC and Independent Pharmacy.

Robin came to Legend Pharmacies of Greater New York in the late 80’s. We had 5 members back thenand 780 when he passed. We went through many highs and a few lows but it never affected Robin’sincredible spirit. To the very end he stayed in touch with those he loved and he let us know he loved us.Every day I think of Robin, as do many, and I miss him and treasure the time we had together.

. . . . . . . . . . . . . . . . . . .$2.1 BILLION in sales!!! RDC is on fire! Everywhere we go there are great comments about ourreputation. We have been so loyal to Independent Pharmacy and its continuation and success.Pharmacists and Pharmacy owners everywhere in our market are well aware of the level of RDC’scommitment – and as the word continues to spread we almost always are given respect and time to tellour story. I believe when we open our new distribution center in the next two months we will be in foran unbelievable opportunity to show what we can do and grow dramatically in new markets.

We have been planning this new distribution center for well over two years. It has come togetherbeautifully and as we meet today we are in the midst of inventorying the building. Our staff has beenhired, our technology is in place and it is state-of-the-art. Our people are ready and we are itching toship our first orders the week of July 13th. We will start slowly, to work on the inevitable bugs, but wewill come up to speed quickly.

We had a huge challenge to connect our existing technology to the new equipment installed in NewJersey. To date it appears as though our IT department is doing a great job and we will be up and goingpretty much on schedule. Believe me when I say we have the state-of-the-art equipment in place. OurBoard recently met at the new building to inspect the operation and came away very impressed andexcited about what we will be able to do there. As a matter of fact, if we can effectually handle thelogistics of shipping $2 billion in sales to Ohio, Connecticut, Pittsburgh, Philadelphia, Long Island, MetroNew York, and New Jersey - with limited technology and 55,000 square feet in Rochester - IMAGINEwhat we will do with this new 106,000 square foot warehouse in the heart of the Metropolitan Easternseaboard.

I pinch myself when I see what we have done. When I think back to North Goodman Street just 14years ago and see the difference in how we operate today I just can’t believe how blessed we havebeen. Now to be moving into a whole new dimension is just awesome.

We must stay humble and grateful for what we have and what we have accomplished. We havescratched the surface but not anywhere’s near what we can do. Our goal is to change a lot ofPharmacies over to RDC and offer them a transfusion that comes from a committed partner whounderstands the needs of its customers and responds to those needs.

We are incredibly fortunate to have a Board of Directors that is so intent on helping make a differencefor their chosen class of Pharmacy – the Independents. We spend, hours and hours of the Board’s time

trying to help our customers, strengthening our members businesses, and always looking for ways tomake the profession stronger. Our support of Independent Pharmacy is unequaled in the industry, fromNCPA to State Associations to local organizations - not just in those types of settings but also in bringingin an excellent Specialty Program, a program on Pharmacy Succession, a new e-Prescribing program todrive more scripts to local Independents, new fixture and store design programs, and the industry’s bestgeneric program, GIA, which is winning the day for RDC in the battle for generic business. NO ONE big orsmall can compare with RDC when it comes to programs to help its members without the smoke andmirrors used by its competitors. A handshake is our contract!

Lastly but most important to me and to you, our employees are the best! Our Board is equallyconcerned with the quality of and welfare of the company’s staff. We enjoy the best working conditionswith the best benefits we can hope for and fair wages for all.

We understand you can purchase your needs from others at the same prices but the difference is ourcommitment to you - to get you that product the best way you want it and with all the follow-up youneed. I am very proud of what we stand for, you! I am looking forward to our best years ever!

Larry Doud,