FINANCIAL RESULTS AND COMPANY OVERVIEW 2018 Second-Quarter Performance September 5th, 2018

Disclaimer Forward-Looking Statements and Preliminary Results This presentation includes “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. Forward-looking statements are based on management’s beliefs and assumptions and information currently available to management and are subject to known and unknown risks and uncertainties, many of which may be beyond our control. We caution you that the forward-looking information presented in this presentation is not a guarantee of future results, and that actual results may differ materially from those made in or suggested by the forward-looking information contained in this presentation. In addition, forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “plan,” “seek,” “comfortable with,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe” or “continue” or the negative thereof or variations thereon or similar terminology. A number of important factors could cause actual events to differ materially from those contained in or implied by the forward-looking statements, including those “Risk factors” in our annual report on Form 10-K, for the fiscal year ended January 28, 2018, filed on March 13, 2018 and those described from time to time in our, and HD Supply, Inc.’s, other filings with the U.S. Securities and Exchange Commission, which can be found at the SEC’s website www.sec.gov. Any forward-looking information presented herein is made only as of the date of this presentation, and we do not undertake any obligation to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise. Estimates for Net sales, Adjusted EBITDA and Adjusted net income per diluted share are preliminary estimates and are subject to risks and uncertainties, including, among others, changes in connection with quarter-end adjustments. Any variation between HD Supply’s actual results and the preliminary financial data set forth herein may be material. Non-GAAP Financial Measures HD Supply supplements its financial results that are determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”) with non-GAAP measurements, including Adjusted EBITDA, Adjusted net income, Adjusted net income per diluted share, Net debt and Free cash flow. This supplemental information should not be considered in isolation or as a substitute for the GAAP measurements. Additional information regarding Adjusted EBITDA, Adjusted net income, Adjusted net income per diluted share and Net Debt referred to in this presentation is included at the end of this presentation under “Capital Structure Overview and Reconciliation of Non-GAAP Measures.”

Q2’18 Execution Highlights Focused on Controllable Execution 1 Q2’17 Net Income includes $361M of Income from Discontinued Operations 2 See appendix slides 20 and 21 for a reconciliation of Adjusted EBITDA, Adjusted Net Income and Adjusted Net Income per Diluted Share to Net Income and Income from Continuing Operations 3 Free Cash Flow is defined as LTM Operating Cash Flow of $499M, Less Capital Expenditures of $98M (including Cash Flow from Discontinued Operations) Note: “VPY” denotes Versus Prior Year, “LTM” denotes Last Twelve Months +18% Net Sales Growth Versus Prior Year (“VPY”) +10% Organic Sales Growth VPY +17% Operating Income Growth VPY +60% Income from Continuing Operations VPY 70% Net Income Decline VPY1 +18% Adjusted EBITDA2 Growth VPY +55% Adjusted Net Income per Diluted Share2 Growth VPY $401M LTM Free Cash Flow3

Pricing In-line with Market Topics of Recent Investor Interest Topic Consideration 3. Freight Costs Inflation Rising Freight Costs Focused on Shareholder Value Currently Minimal Impact on Sourcing from Tariffs Proprietary Brands Rebar Represents Approximately 5% of Total Sales Tariff Impact on Rebar Remains Strong 5. Non-residential End Market

$1,352M $1,600M +18% Gross Profit Gross Margin % Operating Income Adj. EBITDA % Op. Income % $539M $622M 39.9% 38.9% $208M $246M $180M $211M 15.4% 15.4% 13.2% +15% -100 BPs - +18% ($ in millions, except per share data) $127M $182M +17% Net Sales 1 Q2’17 Net Income includes $361M of Income from Discontinued Operations 2 See appendix slides 20 and 21 for a reconciliation of Adjusted EBITDA, Adjusted Net Income and Adjusted Net Income per Diluted Share to Net Income and Income from Continuing Operations Q2’17 Adj. EBITDA2 VPY Adj. Net Income2 13.3% Q2’18 $0.64 $0.99 +55% Per Diluted Share2 +$248M +43% Net Income1 $442M $131M -70% $2.22 $0.71 -$1.51 Per Diluted Share1 +18.3% Net Sales Growth VPY Q2’18 Financial Results -10 BPs +10% +$137M organic

Organic Growth in Both Business Units Q2’18 Segment Performance Q2’18 $820M $781M Adj. EBITDA $150M $96M Net Sales ($ in millions) Q2’17 $769M $584M $145M VPY +7% +3% VPY +34% +52% $63M Q2’18 Q2’17 +15% organic

Q2’18 Taxes and Cash Flow Favorable Tax Asset with Significant Gross Federal Net Operating Loss (“NOL”) Carryforwards of Approximately $495M ~$161M Tax-affected Amount of Federal and State NOLs Cash Taxes $3M in Q2’18 $2-4M Estimated in Q3’18 $10-12M Estimated in FY’18 Effective Rate ~25% for Q2’18 Expected 25-26% for FY’18 $2.0B Net Debt1 at the End of Q2’18 2.4x Net Debt to Adj. EBITDA $401M Q2’18 LTM Free Cash Flow2 $28M of Capital Expenditures in Q2’18 Note: Contains forward-looking information; please see Disclaimer on slide 2 1 Reconciled on slide 16 “Net Debt” defined as Total Debt plus letter of credit and capital lease obligations, less cash and cash equivalents 2 Free Cash Flow is defined as LTM Operating Cash Flow of $499M, Less Capital Expenditures of $98M (including Cash Flow from Discontinued Operations) Taxes Cash Flow Capital Structure Execution

+18.3% Q2’18 Average Daily Sales Growth Q2’18 Monthly Average Daily Sales (%) 6.1% 33.4% 17.7% Aug. 6.0% 33.1% 7.4% 33.3% Facilities Maintenance Construction & Industrial (Preliminary) 18.7% 18.7% 17.8% 6.3% 34.5% 6.9% 6.7% May Jun. Jul. Prior Year $626M $513M $486M HD Supply Net Sales $488M 3.4% 5.6% Q2’18 4.3% 9.8% $436M 3.7% 8.2% $532M 2.6% 4.5% $408M 5.2% 9.3% $412M HD Supply Average Daily Sales Growth VPY ’17 Selling Days 24 20 19 20 Current Year Note: Contains forward-looking information; please see Disclaimer on slide 2 24 20 19 20 ’18 Selling Days Q3’18 organic 10.4% organic 10.2% organic 9.7% ’16 Selling Days 24 20 19 20 organic 10.6%

+16% +12% +18% +14% Q3’18 Guidance +16% Net Sales Growth VPY at Midpoint $1,610M $1,560M $214M $1,370M $249M $239M VPY Q3’17 Q3’18 Q3’17 Q3’18 Q3’18 Net Sales Adj. EBITDA Adj. Net Income Per Diluted Share1 VPY 1 Q3’18 Adjusted Net Income per Diluted Share range assumes a fully diluted weighted average share count of ~184 million Note: Contains forward-looking information; please see Disclaimer on slide 2. No reconciliation of the forecasted range for Adjusted EBITDA to Net income and Adjusted net income per diluted share to Net income per diluted share for the third quarter of fiscal 2018 is included in this presentation because we are unable to quantify certain amounts that would be required to be included in the GAAP measure without unreasonable efforts. In addition, the company believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. $1.00 $0.95 VPY ($ in millions, except per share amounts) $0.80 . . Q3’17 +25% +19% Midpoint $1,585M +16% $244M +14% $0.98 +23%

FY’18 Guidance Strong Sales and Earnings Growth 1 End Market estimate of ~3% is the management estimate of the growth of our markets based on multiple quantitative and long-term average growth target based on management estimates and projections 2 Consolidated from March 5, 2018 3 Guidance Raised on June 5, 2018 and September 5, 2018 4 Operating Leverage is defined as Adjusted EBITDA Growth Divided by Total Net Sales Growth Note: Contains forward-looking information; please see Disclaimer on slide 2. No reconciliation of the forecasted range for Adjusted EBITDA to Net income for the full year fiscal 2018 is included in this presentation because we are unable to quantify certain amounts that would be required to be included in the GAAP measure without unreasonable efforts. In addition, the company believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. $5,121M FY’17 +300 BPs $360M $5,950M Core Business Growth1 A.H Harris2 53rd Week and Holiday Shift $75M FY’18 Net Sales ($ in millions) $731M FY’17 1.5x FY’17 Supply Chain Costs A.H Harris2 FY’18 FM Accelerated Investments FY’18 Adj. EBITDA $858M $7M $40M Midpoint Midpoint 53rd Week and Holiday Shift ($12M) Core Business Growth 1.5x Op. Lev4 $279M $62M $6,000M $5,900M $870M $845M $7M $115M Guidance Raised3 $23M Guidance Raised3

Approximately 3% End Market Growth for FY’18 FY’18 End Market Preliminary Outlook Residential Construction “Living Space” MRO Primary End Market Non-Residential Construction ~3% FY’18 End Market Estimates1 1% to 2% Current View as of September ’18  Mid-Single Digit 1 Management estimate; end market growth based on multiple quantitative and qualitative inputs Note: Contains forward looking information; please see Disclaimer on slide 2  Low Single Digits to Mid-Single Digit

Current Outlook Summary HD Supply Current Outlook Summary +16% Net Sales VPY at Midpoint $1,560M to $1,610M Net Sales +14% Adj. EBITDA VPY at Midpoint $239M to $249M Adj. EBITDA +23% Adj. Net Income per Diluted Share VPY at Midpoint $0.95 to $1.00 Adj. Net Income per Diluted Share Assumes ~184M Diluted Share Count1 Note: Contains forward-looking information; please see Disclaimer on slide 2. No reconciliation of the forecasted range for Adjusted EBITDA to Net income and Adjusted net income per diluted share to Net income per diluted share for the third quarter of fiscal 2018 and full-year fiscal 2018 is included in this presentation because we are unable to quantify certain amounts that would be required to be included in the GAAP measure without unreasonable efforts. In addition, the company believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors Q3’18 1 Assumes No Additional Share Repurchases 2 Management estimate; end market growth based on multiple quantitative and qualitative inputs FY’18 Approximately 3% End Market VPY2 +16% Net Sales VPY at Midpoint $5,900M to $6,000M Net Sales +17% Adj. EBITDA VPY at Midpoint $845M to $870M Adj. EBITDA +42% Adj. Net Income per Diluted Share VPY at Midpoint $3.22 to $3.35 Adj. Net Income per Diluted Share Assumes ~184M Diluted Share Count1

Q&A Q&A

Concluding Remarks One Team, Driving Customer Success and Value Creation Continual Operational Improvement +18% Net Sales Growth in Q2’18 VPY +18% Adjusted EBITDA1 Growth in Q2’18 VPY +55% Adjusted Net Income per Diluted Share1 Growth in Q2’18 VPY Continued Momentum into the Second Half of 2018 Team is Focused and Energized to Deliver 1 See appendix slides 20 and 21 for a reconciliation of Adjusted EBITDA, Adjusted Net Income and Adjusted Net Income per Diluted Share to Net Income and Income from Continuing Operations Note: “VPY” denotes Versus Prior Year.

Q&A APPENDIX

~$1.7B Net Debt Capital Structure Overview Q2’18 Debt Balances Senior ABL Facility Term B-3 Loans April 2016 Senior Unsecured Notes $49 1,000 4/5/22 8/13/21 Outstanding Debt3 Less: Cash and Cash Equivalents Net Debt $2,008 (228) $2,122 Balance Maturity 1 Represents the Stated Rate of Interest, Without Including the Effect of Discounts or Premiums 2 Subject to Applicable Redemption Price Terms 3 Excludes Unamortized Discounts of $5M and Unamortized Deferred Financing Costs of $19M ($ in millions) 3.07% 4.33% Interest Rate1 531 n/a Now Soft Call Date2 5.75% 4/15/24 4/15/19 Term B-4 Loans 10/17/23 4.58% 542 Now Plus: Letters of Credit 27 Plus: Capital Lease Obligation 87

Illustrative Adjusted EPS Calculation Adjusted EBITDA Adjusted Net Income per Diluted Share Illustrative Adjusted EPS Calculation Adjusted Net Income = = Diluted Shares Outstanding ÷ TBD TBD TBD ~184M FY’18 ($ in millions, except per share data) $152M $0.49 $91M ~186M Q3’18 Estimates Q3’17 $214M $0.80 $149M ~187M Q4’17 Depreciation and Amortization1 ( – ) ($24M) (~$101M) Amortization of Acquired Intangibles ($22M) ( + ) ~$22M $3M $3M Interest Expense, Net (GAAP) ( – ) (~$140M) Cash Income Taxes2 ( – ) (~$11M) Stock-based Compensation ( – ) ($31M) ($35M) ($2M) ($4M) 1 Includes Amounts Recorded within Cost of Sales 2 Q3’17 excludes $13 million of taxes paid in relation to the sale of the Waterworks Business Unit Note: Contains forward looking information; please see Disclaimer on slide 2. No reconciliation of Adjusted EBITDA to Net income, Adjusted net Income to Net Income and Adjusted net income per diluted share to Net income per diluted share for the third quarter of fiscal 2018 and full year fiscal 2018 is included in this presentation because we are unable to quantify certain amounts that would be required to be included in the GAAP measure without unreasonable efforts. In addition, the company believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. Actual ($7M) ($7M) (~$24M) Illustrative TBD TBD TBD ~184M (~$25M) ~$5M (~$35M) (~$3M) (~$6M) Q1’18 $190M $0.70 $130M ~185M ($24M) $5M ($33M) ($2M) ($6M) Q2’18 $246M $0.99 $182M ~184M ($27M) $6M ($35M) ($3M) ($6M) Other ( + ) - - $1M - - $1M

$513M Preliminary August Sales Monthly Net Sales ($) Facil. Maint. Const. & Ind. ’18 Selling Days ’17 Selling Days ($ in millions) HD Supply Net Sales (Preliminary) FY’17 $223 $283 $197 $208 $237 $212 $224 $287 $246 $249 $325 $263 $180 $249 $175 $182 $185 $179 $199 $288 $243 $237 $301 $250 $248 $188 20 19 25 18 20 281 20 20 25 20 19 24 20 20 19 25 18 20 23 20 20 25 20 19 24 20 Note: Contains forward-looking information; please see Disclaimer on slide 2 1 Contains an extra selling week as compared with other years. Fiscal 2018 contains 53 weeks FY’18 ’16 Selling Days 20 19 25 18 20 23 20 20 25 20 19 24 20 organic organic organic organic organic organic organic organic organic organic $436M $403M $531M $372M $390M $421M $391M $423M $575M $488M $486M $626M $513M $406M $539M $455M $451M $583M $480M Aug. Sep. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Jun. Jul. Aug.

+10.2% Organic Preliminary Average Daily Sales Growth in August Average Daily Sales – Organic1 (VPY%) HD Supply Organic Average Daily Sales Growth VPY1 (VPY%) 1 Adjusted for Acquisitions, Divestitures, and Selling Days 2 Contains an extra selling week as compared with other years. Fiscal 2018 contains 53 weeks Note: Contains forward-looking information; please see Disclaimer on slide 2 Facil. Maint. Const. & Ind. 1.3% 6.1% 4.3% 4.9% 2.2% 7.1% 5.9% 5.4% 6.3% 7.4% 6.1% 6.0% 4.3% 10.3% 14.5% 16.4% 18.6% 13.3% 17.3% 9.4% 16.3% 16.0% 14.0% 14.4% 15.7% 9.8% FY’17 FY’18 ’18 Selling Days ’17 Selling Days 20 19 25 18 20 282 20 20 25 20 19 24 20 20 19 25 18 20 23 20 20 25 20 19 24 20 ’16 Selling Days 20 19 25 18 20 23 20 20 25 20 19 24 20 (Preliminary) organic organic organic organic organic 6.7% 5.2% 10.0% 9.8% 10.9% 6.8% 11.7% 12.0% 17.7% 18.7% 18.7% 17.8% 17.7% 7.5% 10.3% 10.6% 10.4% 9.7% 10.2% Aug. Sep. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Jun. Jul. Aug.

Reconciliation of Non-GAAP Measures: Net Income to Adjusted EBITDA ($ in millions) 1 Depreciation and amortization includes amounts recorded within Cost of sales in the Consolidated Statements of Operations 2 Represents the loss on extinguishment of debt including the write-off of unamortized deferred financing costs, original issue discount, and other assets or liabilities associated with such debt. Also includes the cost of debt modification. 3 Represents the costs related to exiting the Company’s previous corporate headquarters and the costs incurred for strategic alignment of our workforce. These costs include severance, relocation costs and other related costs 4 Represents the costs incurred in the acquisition and integration of A.H. Harris Construction Supplies July 29, 2018 July 30, 2017 Net income $131 $ 442 Less income from discontinued operations, net of tax 1 361 Income from continuing operations 130 81 Interest expense, net 35 49 Provision for income taxes 50 Depreciation and amortization 1 27 22 Loss on extinguishment & modification of debt - Restructuring charges 2 2 - Stock-based compensation 3 6 6 Adjusted EBITDA $ 246 $ 208 46 - Three Months Ended July 29, 2018 July 30, 2017 $220 $ 527 1 388 219 139 68 98 69 51 44 - 9 - 12 12 $ 436 $ 365 75 3 Six Months Ended Acquisition and Integration Costs 1 - 3 - Other (1) - (1) - 4

Reconciliation of Non-GAAP Measures: Net Income to Adjusted Net Income and Adjusted Net Income Per Share ($ in millions, except share and per share amounts) 1 Represents the loss on extinguishment of debt including the write-off of unamortized deferred financing costs, original issue discount, and other assets or liabilities associated with such debt. Also includes the cost of debt modification. 2 Represents the costs related to exiting the Company’s previous corporate headquarters and the costs incurred for strategic alignment of our workforce. These costs include severance, relocation costs and other related costs 3 Represents the costs incurred in the acquisition and integration of A.H. Harris Construction Supplies Weighted average common shares outstanding (in thousands) Basic Diluted Adjusted Net Income Per Share - Basic Adjusted Net Income Per Share - Diluted Net income $ 131 $ 442 Less income from discontinued operations, net of tax 361 Income from continuing operations 130 81 Provision for income taxes 46 50 Cash paid for income taxes (3) (7) Amortization of acquisition related intangible assets (other than - software) Restructuring charges2 - 2 Loss on extinguishment & modification of debt1 - Adjusted Net Income $ 182 $ 127 182,992 197,752 183,822 198,954 $0.99 $0.64 $0.99 $0.64 1 - 6 3 $ 220 $ 527 388 219 139 75 69 (5) (10) - 9 - $ 312 $ 207 183,659 199,230 184,456 201,010 $1.70 $1.04 $1.69 $1.03 1 3 11 6 July 29, 2018 July 30, 2017 Three Months Ended July 29, 2018 July 30, 2017 Six Months Ended Acquisition and Integration Costs3 - 1 - 3