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Consider the following data pertaining to the three warehouses operated by a company:

Warehouse #	Std. deviation of lead time demand
1	745
2	510
3	325

the company considers consolidating any two of its warehouses (i.e., risk pooling). Based on the information provided above and given that lead time demands between any two warehouses are correlated at 0.9 (i.e., 12 = 23= 13= 0.9). In which case will the reduction in safety stocks resulting from warehouse centralization likely be the greatest if we want to achieve a 95% service level? (Please provide detailed calculation processes)

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