Management and Cost Restitution Agreement

This Agreement ... made ... entered into ... ______,

between

_________________________________

_________________________________

(hereinafter referred ... as “PA?).

 

and

________________________________

________________________________

 

PA ... restitute ... following costs

 

1.1. Personal costs

1.2. Selling costs

1.3. Travel expenses

1.4. Office expences

1.5. Other sundry expenses

 

The cost ... be restituted ... the following basis:

Management services ... the basis of an average of 20 hours a week at a rate of € 75 per hour. Secretarial services ... the basis of an average of 20 hours a week at a rate of € 40 per hour. Selling costs ... travel expenses ... the basis of 3% of ... turnover.

Office expenses at a monthly flat rate of € 400 per month.

Other sundry expenses at costs.

Other costs ... extraordinary costs ... be invoiced separately.

Invoices ... be issued ... a monthly ... quarterly basis.

This contact ... valid from ... 1st, April 2003 until any of ... parties notify ... other ... two months before ... end of ... contract.

Our agreement as of April Ist 2003 for ... cost restitution ... based ... an average of 20hours a week for management services as well as for secretarial services. After having analysed ... time used for ... German Permanent Establishment of . ... 2003 we found out, that ... average of hours used for management services as well as for secretarial services did not exceed 15 hours a week.

We therefore credit you with ... amount of € 14.512,50 calculated ... the basis of 5 hours weekly/4,3 weeks a month/9 months duration of agreement/rate € 75,00 per hour ... an additional amount of € 7.740 ... the basis of 5 hours weekly/ 4,3 weeks a month/ 9 months duration of agreement/rate € 40,00 per hour.

Starting with January 1st 2004 ... average of 15 hours a week ... be ... basis for Management ... Secretarial services agreed upon ... the Cost Restitution Agreement.

On ... other side ... the monthly invoices selling costs ... travel expenses ... the basis of 3% of ... turnover, were based ... a monthly turnover of € 80.000,-.

You were charged until now with 3% ... € 80.000,00 times 9, i.e. ... 720.000 3%= € 21.600,-. ... real turnover ... € 1.451.392,46, 3% thereof ... € 43.541,77. We therefore debit you with ... difference of € 21.942.

 

Best regards

 

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