At the American Logistics Association’s national convention and leadership forum, Exchange Director/CEO Tom Shull shared updates on the Exchange’s industry-leading performance and reaffirmed its 130-year-old mission to go where Warfighters go.
During the Nation’s longest government shutdown, the Army & Air Force Exchange Service remains a lifeline for those who serve and have served. This was the message the Exchange’s Director/CEO Tom Shull shared with hundreds of fellow military resale and industry leaders at the 2025 American Logistics Association’s (ALA) national convention and leadership forum in Virginia Beach, Va., earlier this week.
“The military resale benefit matters more than ever,” Shull said. “We have the courage, the conviction and passion to continue serving the best customers in the world. It’s an honor to support our troops and their families every day as one team.”
ALA is a nonprofit organization that protects and promotes Quality-of-Life benefits for service members, their families and retirees. At the conference, Shull shared updates on the Exchange’s industry-leading performance and reaffirmed its 130-year-old mission to go where Warfighters go no matter the challenge.
“The military resale benefit matters more than ever,” Exchange Director/CEO Tom Shull said at the American Logistics Association’s national convention and leadership forum. “We have the courage, the conviction and passion to continue serving the best customers in the world.”
Serving During the Shutdown
When the government shutdown began, the Exchange stepped up to supplement support of all authorized shoppers.
The MILITARY STAR® card, administered by the Exchange, quickly became an even more important financial readiness tool for those experiencing economic uncertainty.
Days after the shutdown began, the MILITARY STAR card rolled out a 90 days no interest relief offer for all Defense Commissary Agency purchases. On Halloween, this offer was extended to include all November commissary purchases.
“We’ll be there every day during the shutdown to make sure families can buy groceries,” Shull said. “We’re not sitting on our hands—we’re making it happen.”
From Oct. 6 through Oct. 28, MILITARY STAR card sales at the commissary increased more than 20% over the same time last year, while new accounts grew 35%.
MILITARY STAR is also automatically waiving minimum payments without credit penalties for active-duty, Reserve and Guard members.
Additionally, the Exchange worked with U.S. Financial Management Command to provide prepaid gift cards to Army trainees at Forts Benning, Jackson, Leonard Wood and Sill. These cards have allowed recruits to obtain essential training supplies throughout the shutdown.
So far, more than $5 million in gift cards have been issued, with another $2 million ready to ensure uninterrupted support.
Strong Financial Performance
The Exchange continues to deliver strong financial results, Shull said. Through September, Exchange year-to-date revenue topped $5.8 billion, up nearly $100 million vs. 2024.
Exchange fiscal year 2025 earnings climbed 7.4% year-over-year to $318 million, and fiscal year 2024 EBITDA (earnings before interest, taxes, depreciation and amortization) of 10.3% outperformed major retailers including Walmart, Target, Best Buy, Macy’s and Kohl’s.
“We have loyal customers who believe in our mission,” Shull said. “Everything we earn goes right back to those we serve—100% supports military Quality of Life.”
STAR Power
The MILITARY STAR card is serving as a powerful Quality of Life enabler, accounting for $1.8 billion in sales and representing roughly 19% of all sales.
The card, which provided $473 million in benefits to the military community last year, offers the lowest APR among all unsecured retail cards. According to an annual study by Bankrate, the MILITARY STAR card’s APR of 13.99% is less than half that of the industry average of 30.14% and is available to all cardmembers, regardless of credit score.
“It’s the best financial readiness tool out there,” Shull said. “There’s no FICO score required—just the oath to defend our Nation. And there are no annual, late or over-limit fees.”
With proper approvals, Shull said, the card can do even more to enhance the military community’s financial readiness.
With two-thirds of military families living off-installation, extending MILITARY STAR card acceptance beyond military installations is a top priority. Shull confirmed that work is underway to finally allow the MILITARY STAR card to truly go where service members and their families go.
The way forward
Shull also outlined the Exchange’s ongoing initiatives, highlighting the organization’s commitment to serving Warfighters past, present and future. Key initiatives highlighted include:
Improving the customer experience by:
Leveraging key partnerships with brands such as Bass Pro Shops and The Home Depot.
Upgrading in-store shopping experience, especially at Expresses.
Launching a shopping app in 2026.
Expanding 24/7 self-service stores.
Optimizing food by:
Aligning the portfolio with demand and the Department of War’s health and wellness priorities.
Supporting military food security efforts, including the Army’s FEED program, which piloted at Fort Hood this summer.
Improving the supply chain by:
Implementing warehouse automation.
Optimizing routing and store delivery to reduce costs and lead times.
Removing unproductive merchandise
Leaning in to cooperative efforts to:
Pursuing MILITARY STAR card acceptance off-installation.
Leveraging the military resale Joint Buying Alliance, which produces more than $20 million in customer savings annually.
The Most Important Mission
For Shull, Team Exchange excels where it matters most—at the tip of the spear.
“I couldn’t be prouder of what we do to bring a taste of home to the troops when they’re in harm’s way,” Shull said before showing his closing video of support at the tip of the spear. “Team Exchange is on the front lines—bringing essential support, comfort and connection to Warfighters wherever they serve.”
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