Turtle & Hughes Trip Promotion 2005 Rules/Criteria

Rules for Sales Personnel:

1. This promotion is for our customer base that is privately owned (OEMs, contractors, integrators). Publicly held companies are ineligible. Attendees must be at least 21 years of age at the time of trip departure.
2. The focus of the promotion is to:
   • increase sales and profitability
   • avoid low-margin orders
   • promote our sales position at new accounts
   • improve our sales position at existing accounts
3. Additional goals of the promotion aim to:
   • increase profitability for Turtle & Hughes
   • promote the CDC
   • improve income / commissions
   • build and solidify relationships with our customers
4. Low margin orders will not qualify sales personnel for a trip. Low margin orders include direct orders under 12% average GP or stock/trans orders under 18% average GP for customers during the promotional period.
5. Eligible customers receive a base-purchase requirement for the promotional period. This purchase requirement is based on the dollar volume achieved during the same time period last year. In addition to the base-purchase requirement, customers receive a target volume for growth in the promotional period, which will range from a minimum of $250,000 to a maximun of $350,000, depending on.
6. Customers can win only two (2) trips, for a total of two couples couples. This means that 350,000 points earns one (1) trip and 700,000 points earns two (2) trips.
7. Customers will receive official rules and regulations.
8. Owners or principals of eligible companies must sign the proper documentation to participate in the promotion. Sales personnel assigned to accounts are responsible for getting this information to the Trip Committee.
9. Only management level personnel (i.e., owners, purchasing managers, project managers, or other levels of management) qualify for a trip.
10. Customers who earn trips but who do not, for any reason, choose to participarte will not receive refunds or prize substitutions.
11. The trip is not transferable.
12. To go on the trip. sales personnel must have four (4) individual qualifying accounts each of whom earns acceptable profit margins.
13. As a requirement for earning a trip, sales personnel must also participate in a certain number of joint sales calls with each of the sponsoring vendors.
14. Sales personnel and their spouses who qualify for a trip must agree to attend for the purpose of promoting Turtle & Hughes and entertaining customers. If a salesperson and/or spouse is not willing to participate in that capacity, they will be asked to withdraw. Employees must understand that this trip is designed for the entertainment of customers and not for an employee's vacation.
15. Split accounts will qualify only one salesperson for a trip. In the case of a split account, the primary sales person on the account will go. Sales personnel must declare ownership of accounts before signing them up for the promotion.
16. To earn points, orders must be booked, shipped, and billed within the promotional period. Plus, all financial accounts must be settled within the Turtle & Hughes credit/payment terms by the end of the promotional period.
17. To ensure that your customers get credit for the points they are required to earn, you must double check that they fully understand the following:
• All orders must ship and be billed by the end of the promotion period.
• All orders must be paid for within Turtle & Hughes’ payment terms.
• All orders must be paid in full 30 days prior to trip departure.
18. All existing backorders (or backlog) at the end of the promotion are excluded. Only orders started within the dates of the trip promotion will count toward earning a trip.
19. Back charges that Turtle & Hughes finds unacceptable will be deducted from an account’s points. Returns will also reduce points earned toward obtaining the trip.
20. Four (4) sponsoring vendors will participate in the trip promotion. We will promote those vendors monthly. Customers will receive bonus points for purchasing sponsoring vendor products from stock. Type 3 purchases (from stock) are the only type that will earn bonus points (i.e., no drop shipments or orders other than stock orders).
21. The Trip Committee will review all accounts and emerging issues at sign up time and at the end of the promotion period.
22. We will hold a sales meeting before the promotion is launched to discuss full details of all rules, regulations, and marketing aspects of the promotion.

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