EXHIBIT 10.18
ADDENDUM TO AGREEMENT
FOLLOWING POINTS ARE AGREED UPON BETWEN XXXXX XXXXX, REPRESENTING IDL
International LLC, AND XXX XXXXX REPRESENTING PIVOT RULES, INC. AS AN ADDENDUM
TO THEIR AGREEMENT SIGNED MAY 20, 1996 BY BOTH PARTIES.
1. THE TERM OF THE REVISED AGREEMENT SHALL RUN UNTIL DECEMBER 31,
1998.
2. TERMINATION - IMMEDIATELY WITH CAUSE BY EITHER PARTY.
- WITHOUT CAUSE 6 MONTHS NOTICE BY PIVOT RULES AND 10 WEEKS NOTICE
BY IDL OR XXXXX XXXXX. FAILURE TO COMPLETE TERM OF NOTICE WILL CAUSE
FORFEITURE OF OUTSTANDING COMMISSIONS.
3. PIVOT RULES WILL PAY A BONUS TO IDL BASED ON ACHIEVED,
RECONCILED GM% OF MERCHANDISE SHIPPED AS FOLLOWS:
27% GM = 5% OF ANNUAL COMMISSIONS
28% GM = 10% " " "
29% GM = 15% " " "
30% GM = 20% " " "
GROSS MARGIN AS CALCULATED BY THE FORMULA IN THE ORIGINAL
CONTRACT AND ADJUSTED FOR ACTUAL LANDED COSTS AS DETAILED IN THE
ORIGINAL DEAL. RECONCILIATION, QUARTERLY AND AFTER YEAR END WILL
ALSO ACCOUNT FOR INVOICE PRICES ON SHIPMENTS, AND DISCOUNTS GIVEN TO
CUSTOMERS DUE TO PRODUCTION RELATED PROBLEMS.
4. COMMISSION TERMS OF THE NEW DEAL ARE 5% FOR THE 1ST ONE
MILLION DOLLARS FOB STARTING WITH EX-FACTORY DATED 1/197, AND 2.5% ON
BALANCE OF ALL ORDERS THROUGH 12/31/97 EX FACTORY DATES. 1998 TERMS
WILL BE THE SAME.
5. ANY ORDERS PLACED AFTER P.O. 196462, WITH EX. FACTORY DATES
BEFORE 12/31/96, AS WELL AS ANY UPWARD REVISIONS ON ORDERS ALREADY
PLACED, WIL BE UNDER HE NEW DEAL MEANING COMMISSION RATE IS 2.5%.
XXX XXXXX XXXXX XXXXX
PIVOT RULES COMPANY IDL International LLC
LLC
/s/ E. Xxxxxxx Xxxxx /s/ Xxxxx Xxxxx
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7/1/96 7/2/96
