Letter of Offer

Satex S.p.A.

Via di Pietra Papa, 00146 Roma

Telephone: Roma 769910   Telefax: (06) 6815473 Telex: 285136

Mr L.Brain, Chief Buyer

F.Pynch & Co. Ltd.

Nesson House

Newell Street

Birmingham B3 3EL

United Kingdom

Dear Mr Brain,

     We are pleased to receive your enquiry, and to hear that you liked our range of sweaters.

     There would certainly be no trouble in supplying you from our wide selection of garments which we make for all age groups.

     We can offer you the quantity discount you asked for which would be 5% off net prices for orders over £ 2,000, but the usual allowance for a trade discount in Italy is 15%, and we always deal on payment by sight draft, cash against documents. However, we would be prepared to review this once we have established a firm trading association with you.

     Enclosed you will find our summer catalogue and price list quoting prices c.i.f. London.

     We are sure you will find a ready sale for our products in England as have other retailers in Europe and America, and we do hope we can reach an agreement on the terms quoted.

    Thank you for your interest; we look forward to hearing from you soon.

         Yours sincerely,

           D.Gladio