Supply Agreement, dated January 2, 2004, between,
Salmon Express Inc. (the "Company") and
Woodpak Industries] (the "Supplier")
Preambles:
WHEREAS, the Company is in the business of selling Salmon and other Seafood
Products;
WHEREAS, the Supplier is in the business of manufacturing and labelling/branding
cedar gift boxes of various sizes and shapes;
WHEREAS, the Supplier has already provided the Company in August of 2003 with 35
custom cedar gift boxes bearing the Salmon Express Logo, and the Supplier
already possesses the silkscreen logo stamping mechanism for producing Salmon
Express Gift Boxes (and thus can manufacture those boxes at a price more
favourable than that which can be offered to a first time customer);
The parties agree as follows:
During the year of 2004, the Supplier will manufacture cedar Salmon Express Gift
Boxes of the same size, shape, and design as those manufactured previously at
the following rates:
Volume of Order Rate per cedar box
-------------------
100 boxes . . . $ 8.60
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500 boxes . . . $ 7.80
--------------- -------------------
[1000]. . . . . $ 7.00
--------------- -------------------
[2000]. . . . . $ 6.65
--------------- -------------------
Payment Schedule:
Payment will always be half of the total order in advance, and half upon
delivery.
Manufacture Time:
From the date the cedar boxes are ordered, the Supplier will require a minimum
of 14 days to complete the order. For orders exceeding 1000 boxes, one day must
be added for each 200 boxes above 1000.
Penalties for late payment:
If the Company fails to deliver payment upon delivery, interest on overdue
payments will be calculated at a rate of 25 % per annum.
Penalties for late delivery:
For each day an order is not delivered past the agreed Manufacture Time (see
above), the Supplier will deduct 2.5% from the gross cost of the order.
Thereafter, the adjusted price will be the agreed cost of the order.
The forgoing is agreed this 2nd day of January, 2004.
/s/ Xxxx Xxxxx
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Salmon Express Inc.
per Xxxx Xxxxx, President
/s/ Xxxxx xxxxxx
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Woodpak Industries
per Xxxxx Xxxxxx
