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SUUNTO COLLECTION 2010

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<strong>2010</strong> Advertising / Distribution / E-Commerce Policy for Wristops Products<br />

Updated January 1st, <strong>2010</strong><br />

Suunto recognizes that our entire dealer network continues to invest their resources and efforts behind those premium products that<br />

allow for maximum return and maintain strong consumer loyalty. Suunto strongly believes that we must continue to offer superior<br />

products that create consumer demand and generate solid profitability for Suunto dealers. In addition, Suunto must continue to recognize<br />

those dealers that offer superior customer service and product selection on a broad level and to curtail free-riding of certain stores on the<br />

service level investment by other retailers.<br />

Suunto has provided this basic Manufacturers Advertising Policy (MAP), which applies to all dealers selling Suunto wristop products.<br />

Suunto has determined that price erosion of our premium products will have an adverse affect on Suunto’s broad dealer distribution<br />

network and on Suunto’s ability to reach consumers in all markets. All Authorized Suunto Dealers should be aware of this Policy as well as<br />

our guidelines with respect to Distribution and E-Commerce – as stated within this Policy.<br />

All retailers should understand that Suunto has the right to select and manage its distribution network and strategy. Changes to its<br />

distribution network may occur at any time. The existence of a vendor-retailer relationship must be a mutually beneficial relationship. The<br />

MAP Policy, Distribution Guidelines, and E-Commerce Guidelines expressed herein are a few of the many considerations given by Suunto<br />

to the continuation of Suunto’s vendor-retailer relationships.<br />

MAP Policy:<br />

Suunto will maintain an updated “Current MAP” list of those Wristop products that fall within this policy. Suunto reserves the right to<br />

update or modify this list at any time.<br />

All Current MAP Products listed will have a MAP retail price. The MAP retail price must be listed next to the featured product in all<br />

advertising. This includes any website or other information distribution method that solicits consumer interest in a listed product.<br />

Suunto reserves the right to approve any advertising or other means of consumer information that solicits interest in the listed products.<br />

Suunto may elect not to continue to supply products in the future to Dealers who (a) are in non-compliance with this MAP Policy, (b) use<br />

advertising phrases or tactics to undermine the legitimate purposes of this MAP Policy (including but not limited to discounts offered<br />

which result in “free-riding” on other retailers’ service investments), (c) use advertising phrases which, in Suunto’s reasonable discretion,<br />

communicate non-compliance with this MAP Policy.<br />

If Suunto determines, in its sole discretion, that a Dealer has taken any action inconsistent with this MAP Policy, which may include<br />

advertising a Current MAP Product below the price listed on the attached Current MAP Products List, then Suunto will take any of the<br />

following actions: (i) cancel all orders from that Dealer for the given Current MAP Products; (ii) refuse to accept new orders for the Current<br />

MAP Products for a period to be determined by Suunto; (iii) refuse to accept new orders for so long as the Current MAP Products appear<br />

on the Current MAP Products List; or (iv) refuse to accept all new orders from such Dealer and may terminate such Dealer’s accounts with<br />

Suunto.<br />

Any advertisement, promotion, consumer program that attaches another product or value added offer (including free freight or any gift<br />

with purchase offer) must be approved by Suunto or it may be deemed a violation of this policy and erosion of the integrity of Current<br />

MAP Products.<br />

Any posting or advertisement to sell new Suunto Wristop products (as listed under “Current MAP”) through the use of any “auction” site<br />

or related method of re-distribution (e.g. EBay, Yahoo Auctions) will be viewed as a violation of this policy, unless approved in writing by<br />

Suunto. Therefore, auction sites are not approved channels of distribution (unless approved in writing by Suunto). The retailer in such case<br />

provides no value-added distribution services in such channel, but can reasonably be viewed as merely a re-distributor to the auction site<br />

“e-tailer.”<br />

Suunto reserves the right to determine allocations for any dealer of all products - at any time.<br />

Suunto recognizes that any authorized Suunto account can make their own decision to sell any Suunto product at any price they choose<br />

without consulting or advising Suunto. Suunto reserves the right to make its own independent decision regarding product allocations and<br />

dealer participation as a member of Suunto’s distribution network – at any time.<br />

Suunto sales representatives are NOT permitted to discuss this policy or make any agreements or assurances with respect to Suunto’s policy<br />

regarding Advertising, Distribution or E-Commerce. This also includes any consumer program or promotion that affects the attached listed<br />

Wristop products. Any questions regarding this policy or any aspect of this policy should be addressed to the Sales Department at Suunto<br />

Sales Offices in Ogden, Utah.

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