Internet Map Policy

INTERNET MINIMUM ADVERTISED PRICE POLICY

Through a significant investment in design, development and personnel, New Pacific Direct, Inc. (NPD) has established a strong reputation of providing quality furniture and home furnishings. NPD has determined that advertising NPD products at prices below certain levels established by NPD undermines NPD's trade reputation, image, and marketing strategy as a premium supplier of furniture and home furnishings, and also makes it less likely that dealers, distributors and/or retailers will carry NPD products and/or earn sufficient profits.

Advertising has the possibility to cause great harm to any company's products if those products are advertised at prices that will eliminate any legitimate retail competition. To resolve this issue, NPD has established this Internet Minimum Advertised Price (MAP) Policy to prevent potential brand degradation and so that advertised pricing reflects the true and reasonable value provided by our partners.

POLICY COVERAGE

This MAP policy applies to all parties advertising NPD products on the internet, even if those products are sold at a retail location. A retail location is defined as a retail store at a physical location where the enduser customer can purchase NPD products. This MAP policy does not apply to in-store advertising that is displayed only in the retail location. This MAP policy applies only to establish minimum prices advertised on the internet, and does not apply to set prices at which the products are actually sold, or offered for sale at a retail location.

Although resellers who feature NPD products online remain free to establish their own resale prices, NPD will, without assuming any liability, unilaterally impose sanctions as described in this MAP policy against resellers who advertise at prices below the MAP. This NPD policy is non-negotiable, and will not be altered for any reseller. NPD cannot ensure that all resellers will comply with this MAP policy, and nothing in this MAP policy or in any other agreement with NPD shall constitute as an agreement between NPD and reseller that other resellers will strictly comply with this MAP policy.

INTERNET MINIMUM ADVERTISED PRICE

NPD will provide resellers with a MAP list, which may be updated at NPD's sole discretion. This policy does not establish a maximum price for any NPD product, nor require any reseller to actually sell NPD products at the listed minimum advertised price. Reseller shall update its advertised sales of the applicable NPD products within 15 days of receiving NPD pricing updates.

POLICY VIOLATIONS

Each advertisement on the internet of NPD products below the MAP will be considered a violation of the policy. Reseller must immediately apply pricing corrections following notification by NPD of any policy violation. In the event a reseller chooses not to follow the NPD MAP policy, NPD will unilaterally impose sanctions and may discontinue further sales with a violating retailer, at its sole discretion.

POLICY MODIFICATIONS

NPD reserves the right at any time to modify, suspend, or discontinue the MAP policy in whole or in part, or designate promotional periods during which the terms of the policy change or designate periods of time during which the policy is not applicable. In no way does promotional pricing cancel this MAP policy. MAP pricing shall resume to be based on published list pricing at the end of any promotional period.

CONTACT INFORMATION

All questions or comments regarding this MAP Policy can be directed at info@newpacificdirect.com. NPD shall be solely responsible for determining whether a violation of the policy has occurred, communicating decisions to resellers regarding the policy and any communications regarding sanction imposed under this policy.