EXHIBIT 10.4
This agreement is signed in 1/st/ April, 1996
Involved Parties
1. Dongguan Xxxx Xx Xxxx Trading Company (hereafter named "Party A")
Address: Dongguan Xxxx Xx Zhen
2. (Hong Kong) Creative Master Limited (hereafter named "Party B")
Address: Flat A, 8/F, Xxxxx Industrial Building, 00 Xxxxxxx Xxxx,
Xxxxxxxxxx, Xxxxxxx, HK.
Both parties signed a "Dongguan Chuangying Toys Factory Co. Ltd. (hereafter
named "Joint Enterprise")" contract in China on the date of 10/th/ September,
1994. The copy this original agreement is in the appendix A-1 for reference.
This internal supplementary agreement will serve as the reference of the
original agreement. After signing this supplementary agreement by both parties,
this supplementary agreement will be effective from 10/th/ September, 1994. This
supplementary agreement has the same legal binding as the original agreement. If
there is contradiction between these 2 agreement, both parties should comply
with the internal supplementary agreement.
The content of this agreement is as follow:
Condition 3: Cooperation condition and profit distribution
Party A agrees to waive 10% of its pre-profit/loss to Party B, in which
Party B act as a trustee. Party A does not have direct or indirect interest on
asset and loan of the joint enterprise. Party A also agrees to ask either Party
B or the joint enterprise for the agreed process fee. Such fee can be changed
under the consensus of the both parties
Condition 5: Joint enterprise management structure
The Direct and the Assistant Managing Director, appointed by Party A, do not
have the right to control the operation and finance of the joint enterprise.
