“Water is the lifeblood of our bodies, our economy, our “Water is the lifeblood of our bodies, our economy, our nation and our wellbeing.ʺ nation and our wellbeing.ʺ Brought to you by Premier Partners KANGEN WATER™ drink it. feel it. love it. share it.™ Enagic European Prospectus Overview and Summary For: Full Name Confidential Advanced Information The Prospectus has been drafted to provide the impending European expansion of Enagic This private document is invitation only and must NOT be used for general circulation. It is forbidden to post any content onto blogs or upload for public viewing on the internet. Premier Partners reserves the right to change, amend or alter any information contained within this document without prior notification. Version 1.02 Date Contents: Ctrl + click the headings below to follow shortcut links: Introduction & Background The 11th Hour Kangen Water™ Characteristics Company Background Endorsements Target Market The Marketing Plan 6 Ways to Earn Income Basic 8 point Income Structure Bonus Pools & Leadership Overrides Income Diagrams Page 14 Page 15 Page 18 Page 19 Page 3 Page 4 Page 5 Page 7 Page 10 Page 12 Page 13 Page 14 Product Price List Statistics Page 21 Page 22 Page 2 brilliant timing. with unlimited overrides and additional bonuses.9% advance over 2006’s volume level. total U. with the essential component in maintaining optimal health. relax and put a do not disturb sign on your door. Bottled water emerged as the second largest commercial beverage category by volume and is growing even more forcefully on a global scale where volume is unparalleled. healthy. *See page 21 for actual figures. uniqueness and leveraged.8 billion gallons. A machine that produces an unlimited supply of what is known as ‘Kangen water™’ that holds miraculous properties. which means U. At the centre is this powerful world beating. primary objective is to become a multi-billion dollar Company. a 6. That translates to over 29 gallons per person. alkaline drinking water which is rich in minerals and ionized through electrolysis. so versatile and so lucrative. from virtually nowhere the bottled water industry has become one of the most talked about topics in conversation and the fastest growing and most lucrative in business. so good for you that once you’ve tried it. first mover. exceptional quality. Global Trends: Ten years ago. Enagic. that pays substantial commissions daily on each sale(s). Grab your favourite beverage. and the huge impact it has on people’s life and environment. What if there was a way to produce the finest. who would have thought that people would actually pay for their water! The past decade has witness one of the most explosive global trends in modern times. It is recommended that you review this information along with the new interactive DVD that contains a comprehensive guide to why this opportunity is so different. a new niche of gap in the market to become wealthy through. other than carbonated soft drinks (CSD’s). tastiest. Back to top Page 3 . In 2007.Introduction: The Enagic prospectus is an invitation to explore the unique opportunity offered by Enagic. using a combination of key factors not found in any other business venture. sit back. Imagine a water with such incredible health benefits that the antioxidant properties contained in the water greatly slows down the aging process. purest. residents drink more bottled water annually than any other beverage. In essence. patent-pending marketing plan that captures the true essence of any entrepreneurs needs. and in 2005 were predicted to increase by a further 90% in the next 3 years. to make the most amount of money in the shortest possible time. pronounced En-a-jik. antioxidant healthy alkaline water.S. if the trend continues. privately owned Japanese technology Company that is ready to launch a revolutionary concept and accelerated income system into Europe. past and present that has an incredible 70% leveraged commission payout. Significant changes in consumers buying habits have contributed to the bottled water industries worldwide sales reach in excess of €30 billion annually. you can’t do without it. a 35 year old. doing the least amount of work.S. looking after all your health and financial requirements. category volume surpassed 8. the elixir of life and the fountain of youth. hydrating. It’s got to have mass appeal. debt free. Background: Entrepreneurs the world over are constantly looking for the next big idea. Kangen has become a household word in Japan and is now used mostly to describe pure. so unique. It’s not especially good for us and the growing plume of carbon dioxide and waste plastic piling up. transportation. In the US PepsiCo’s Aquafina’s sales volume is down 12. For the first time. and pubs and restaurants being encouraged to stop stocking bottled water. UK launching similar campaigns to persuade people to boycott bottled water. according to research group Nielsen.7 per cent with sales revenues falling 5. greenhouse gas emissions and damaging effect of water extraction. “Bottled Water: Who Needs It?” Ctrl+click to watch video. and the ethical questions it raises such as: The Carbon footprint of bottled water generates 600x more CO2 than tap water. The rising tide of plastic polluting the coastline. sales volumes have slid 4. This trend is continuing with New York and now London. the world’s longest investigative TV show made a BBC documentary entitled. Environmental concerns on energy consumption. the government. Over 250 million barrels of oil per year are used to produce plastic bottles. media and public opinion and is that bottled water is a fad we can’t afford and becoming a thing of the past.000 children a day die from drinking poor water. another city called London.1 per cent in the 12 months to mid-August. Worldwide 6. yet we are drinking 200 times more bottled water as we did 3 decades ago. The amount of plastic produced globally has doubled since 2000.The 11th Hour In February 2008 Panorama. This is becoming more and more evident where supermarket sales are running at their slowest rate since bottled water started becoming popular a decade ago.’ It pointed out future governmental plans to make drinking bottled water as unfashionable as smoking! The city of San Francisco has already banned bottled water for its city workers and this has already been followed by Seattle. Drinking a bottle of water has the same impact on the environment as driving a car for a kilometre. Over 40% of bottled water is from municipal water supplies. this time in Ontario. The UK buys 13 billion plastic bottles of water a year and only recycles 3 billion. Canada is set to become one of the first cities in the world to partially ban single-use plastic water bottles in all city-run facilities after its councillors voted overwhelmingly to halt sales.000 litres of tap water. and in the UK. The €3 that would buy 1 bottle of water would pay for 10. The health hazard of the non-biodegradable bottles filling up the landfills. It takes seven litres of water to make a single one-litre plastic bottle. Population of many maritime birds diminishing through choking on raw plastic. viewers were made fully aware of the astronomical environmental effect bottled water has on our planet. Well it’s hard to believe that we are that much thirstier than we were in the mid Seventies.7 per cent year to date. Back to top Page 4 . Is the bottled water industry the ‘biggest con-trick in history?’ was the subject to a recent debate in the guardian newspaper. Hidden threat of granular pellets. In August 2008. the raw material that makes most plastic bottles In the Daily Telegraph newspaper an article was written on 17th February 2008 entitled ‘Bottled water is immoral. waste. some 2 million tons of the bottles are sent to landfills each year. and also demand significant amounts of energy to be produced. These waters typically measure a +100 or in some cases much higher on an Oxidation Reduction Potential (ORP) meter. Corporate Accountability International estimates that the annual cost of disposing of water bottles is €50 million. Neurologist & author of more than 240 publications Back to top Page 5 . and more than 21 per cent in 2006. stored. The True Cost of Bottled Water Bottled water is now being marketed for its purity. Drinking such water just contributes to the chronic over-acidity that underlines the abundant lifestyle related diseases and a major factor to being over weight. as opposed to anti-oxidants. hospitals and clinics have used purified. It’s being over acid that determines the amount of fat stored on your body. it doesn’t do you any good either and by drinking 2 bottles a day (1 litre) it would cost you around €16.000 per cubic meter. and transported. David Carpenter. the Worldwatch Institute reported in 2007. Scientific studies that have been performed in well respected universities and hospitals around the world that drinking Kangen water™ can: Release excess body fat and stored toxins Normalize blood sugar and insulin Normalize blood pressure Support healthy colon function Resolve urinary tract infections Relieve asthma and chronic respiratory infections Stop abnormal gastro-intestinal putrefaction Reduce proliferation of candida. alkaline water.000 over 15 years. fungus and undesired microforms Reduce chronic pain Improve wound healing Slows down the aging process The ability to neutralize free radicals Promotes healthy weight loss Boosts body's immunity against disease Increases absorption of important vitamins and minerals “I think that drinking Kangen water is the most important thing a person can do for their health.50 for municipal water. Meanwhile.” ~ Dr.This compares with growth of 11 per cent over the same period last year. Bottled water sold in most industrialized countries costs between $500 and $1. electronically restructured. more than 40 percent of water bottled comes from public water supplies. Not only does bottled water damage the environment. and drinking them may cause oxidative damage to your body. The majority of bottled water brands and in particular the ones promising great health benefits have a mildly acidic pH value of below 7. ionized. meaning that they are a source of free radicals. known as Kangen water™. for over 30 years to treat a number of different diseases and conditions. While cities recycle about 23 percent of their plastic bottles. packaged. taste and health benefit’s with some even the promise of weight loss. compared to $0. In Japan. The Solution K A N G E N W A T E R™ ! The Elixir of life and the fountain of youth. hexagonal. Kangen water™ is rich in ionic minerals and helps the body preserve and maintain its calcium. organs and lymphatic fluids are released. Research shows (Bio-REDOX Lab) that Kangen water™ assists in repairing damaged DNA strands. more compact. and the machine is a licensed medical device in Japan. In order to be called Kangen. In North America and Europe. Kangen water™ is a ‘free radical scavenger’ with measurable anti-oxidant properties which are much greater than any food or nutritional supplement on the market. Kangen water™ is alkaline and is able to neutralise and balance a chronic over-acid state which is the underlying cause of many diseases. Kangen water™ provides a way for toxins to exit the body by neutralising free electrons. 5. Inc. Kangen water™ is a trademark of Enagic. Page 6 . resulting in fat loss. alkaline water or living water. the qualities the water must contain are as follows: 1. Tap or bottled Water Kangen water™ Kangen water™ is used in hundreds of hospitals and clinics in Japan for its scientifically documented health benefits. Toxins stored in fat cells. hexagonal shaped with no chlorine and other pollutants. magnesium. tissues. It is absorbed six times faster than tap water or bottled water as the clusters are smaller. pain. Kangen water™ is ‘Living Water’ that deeply hydrates the cells.What is Kangen Water? Kangen means ‘Return to Origin’ in Japanese and the word is regulated in Japan by the Japanese government. excess fat and inflammation.0 Micro-clustered forming a hexagonal structure Pure from bacteria and chemicals Enriched in minerals and nutrients Has a high negative ORP reading Kangen water™ is also known as hexagonal water. Have an alkaline pH reading greater than 8. microwater. To view the Kangen Water™ video demonstration Ctrl+click here. ionized water. 4. potassium reserves & proven to significantly increase bone density. spa water. 3. 2. for removal of cancer causing additives and treatments Enagic’s flagship product is the LeveLuk SD501 machine. anti-aging and anti-inflammation RESTRUCTURING . top of the line home model. Here are some of the unique features that make it the ‘gold standard’ in the industry: 5 year product warranty 15-20 year life span Comprehensive maintenance program Superior automatic self-clean system Approved medical device in Japan Is UL and certified as a food processor by the FDA Endorsed by the 6500 Doctors of the Japanese Assoc of Preventative Medicine Seven platinum coated titanium plates for electrolysis Page 7 . anti-oxidant. Kangen water™ ionizer in the world.for hydration at the cellular level AKLINIZATION . micro-clustered (hexagonal).for acidic waste reduction FILTERING . the finest most complete alkaline producing.The Characteristics IONIZATION . which is the most popular.for potent anti-oxidant. Increase Blood Oxygenation – Drinking Kangen water™ on a regular basis increases the amount of dissolved oxygen in the blood. leading to aging and illness. Balance Body pH – This is one of the first steps to optimal health and weight loss. invigorating and energizing to the body. 4.This incredible device not only produces the highest hexagonal Kangen-grade water. Back to top Page 8 . provides extra electrons that neutralize destructing free radicals that cause substantial biological damage. Increase Hydration – The Ionization process reduces the water molecular cluster by two thirds. 3.5 pH acidic water. with the abundance of hydroxyl ions (OH-).Kangen water™. all the way to a high alkaline 11.kills viruses and bacteria like e-coli and salmonella within 30 seconds). (which is used for treating many forms of skin conditions . Four Good Reasons to Drink Kangen™ 1. 2. Neutralize Free Radicals .5 pH for cooking and cleaning pesticides and herbicides from fruit and vegetables. its revolutionary technology can make an unlimited supply of 2. Smaller hexagonal water clusters enhance tissue repair and waste removal. healthy weight loss. Reverse osmosis water or ‘dead water’ such as Aquafina and Disani has a pH range from 5. increasing blood oxygenation and absorbing free radicals make it an essential source for a healthy youthful lifestyle.3 with the majority of bottled or ‘designer water’ with a pH value below 6. 9. boosting immunity. cleans oily and greasy objects. athlete’s foot fungus. It kills HIV and other virus such as MRSA. 9.5) has excellent cleaning and disinfecting properties that can prevent food poising and bacteria spreading. rashes. neutral drinking water for babies and taking medication.5) has a detergent effect and is able to dissolve and draw oil based substances. strep.5) is the delicious tasting. Clean Water (pH 7. eczema or dry skin. E.5–6. Kangen Drinking Water (pH 8.8. as the highest negative ORP and presence of hydroxyl ions occurs when the water is initially produced.5) offers cleansing and astringent qualities which lends softness to skin and tightens pores just like a ‘toner’ would. anti-oxidant. Strong Acid Sanitary Water (pH 2. With a pH greater than 11. deep hydration.0. Strong Kangen Water (pH 11. coli.0) is pure. The numerous health benefits from balancing your body’s pH. Drinking fresh Kangen water™ gives the body more anti-oxidant power and deep hydration that makes the machine one of the best investments you can make for your wellbeing and financial future. Page 9 . It’s great fro sensitive skin and problems like psoriasis. salmonella and a host of other pathogens in 30 seconds. alkaline drinking water that is the most important step to optimal health.5. and the percentage of hexagonal clusters is at its peak. hexagonal.0 it emulsifies oil. candida. 7 Kinds of Water There are 7 kinds of hexagonal water created by the LeveLuk SD501 machine that covers a complete range of pH values for multiple purposes and everyday use. Mild Acid Beauty Water (pH 5. removes pesticide residue from produce and infuses vegetables.Hexagonal Kangen Water™: More than Alkaline To get the full benefit of Kangen water™ it must be produced on demand. microclustered. In January 2000 Enagic began sales of their core product the LeveLuk range with the launch of LeveLuk DX. In November 2003 Yanbaru Natural Materials Factory opened in Okinawa. creator and original equipment manufacturer (OEM) of a revolutionary water technology that controls every aspect of production. ionized. Germany. Back to top Page 10 . January 2003 was designated as Global Year One. as won many awards and accolades and provides an unrivalled opportunity. lucrative.’ In 1998 Enagic devised unique marketing plan through word of mouth advertising that became there sole source of distribution that contributed to becoming a member of the Direct Sales Association. was born. Los Angeles Branch Office was opened. This great tasting antioxidant Kangen water takes care of all your health needs. for the research and development for water treatment technology. ionized alkaline water machine in the world with Enagic’s flagship product the LeveLuk SD501. Company History: Enagic was founded in June 21st 1974 in Tokyo. purest. Japan by Hironari Oshiro. Also that year Enagic began sales of Kangen Ukon Sigma. in one of the fastest growing. International operations were initiated and Enagic USA. Inc. Japan.Corporate Background Head quartered in Tokyo. By 1988 Enagic had become specialists in developing pure Kangen water™ with the philosophy of ‘True Health. June 2004 opened their New York Branch Office and later that year Enagic celebrated 30th year anniversary. True Wealth. the leading Japanese Company that specializes in electrolysis water generating technology. Japan Enagic has become the market leader. and in October 2001 merged with Toyo Aitexa. In July 2008 Enagic opens its doors into Europe. Product line-up was expanded to include the LeveLuk Super 501 and the Anespa bath water system. setting up the European offices in Düsseldorf. alkaline water in the world known as Kangen™ water (meaning ‘return to origin’ in Japanese) that has tremendous anti-aging and health benefits. September 2004 saw the unveiling of the most advanced micro-clustered. The net result is the finest. Enagic’s expansion into new markets continues to grow with Hong Kong opening in 2005 and Canada in August 2006. In September 2003 Enagic opened their 3rd country with the launch of Taiwan quickly followed a month later with the opening of the offices in Taipei. critical and most talked about industries in the world. from assembling to distribution. rock solid. 35 year old privately held company.Notable Milestones.000 households in Japan Member of the Direct Sales Association Registered Patent and Trademark for Kangen Water Produce every piece for each machine assembled by hand Enagic won the Linus Pauling Grand Prize for Environmental Impact in 2004 Approved by the Japanese Ministry of Health & Welfare as a Medical Device Endorsed by Association of Preventative Medicine for Adult Diseases Original Equipment Manufacturer (OEM) Enagic carries the ISO 9001 and ISO 14001 certifications. with only one owner Technology used in 100’s hospitals and 400. 2007 revenues exceeded $300 million Over 450. Civilizations grew or withered depending on its availability. Achievements and other Highlights: Debt free. Enagic controls every aspect of the product distribution and quality assurance output including: • • • • • • • • Manufacturing Assembly Finance Parts Service Rebuild Trade Quality Control • • • • • • • • Marketing Sales Warranty Recruiting Training Support Promotion Advancement Each aspect is carefully integrated to ensure orderly progression from start to finish. Back to top Page 11 . Snyder.000 units sold globally by word of mouth "Water is the most basic of all resources." ~ Dr. Background & Corporate Profile: As an Original Equipment Manufacturers (OEM). Nathan W. Enagic has been honoured and endorsed by numerous organizations in Japan. Germany Planned offices openings: United Kingdom France Page 12 Italy South America Back to top . Recognition by the: Enagic water products and technology have been approved for their health merits and the LeveLuk SD501 has been categorized as a certified Medical Device in Japan. 12 offices and a factory in Japan: Tokyo Osaka Sapporo Nagoya Kagoshima Katano Hiroshima Shikoku Okinawa Nago Goza Additional International Offices: Kowloon. They endorse only the very best in any given category or industry. Enagic is the ONLY Company in the water industry to be awarded this honourable endorsement that it has achieved every year since it was first awarded to Enagic in 2002. NY Chicago.Endorsements During its impressive early history. Taiwan British Columbia. IL Honolulu. Cancer. Taiwan Tai Chung. HI European Office: Düsseldorf. Hong Kong Taipei. Two notable honours are as follows: An endorsement by the: This non-profit association of independent doctors is the largest and most respected organization of its kind and is known for its long and arduous selection process issues only one endorsement per product in a product line. Canada United States Domestic Offices: Los Angeles. Diabetes. High Cholesterol and Hypertension. Their focus is on reviewing and endorsing a variety of products and technologies that may help treat lifestyle related diseases such as Osteoporosis. CA New York. cooking. our bodies absorb roughly 2 glasses chlorinated water through our skin so Enagic has developed an ion mineral activator called Anespa for washing and bathing. Back to top Page 13 . Fountain of Youth The PH balancing your fluids of your body is the key to permanent weight loss. It’s not that people are over weight. water must be consumed daily at an average of 2. When not enough water is consumed. It is an essential nutrient and it is a part of every function of the body. During a shower. thighs. True health is not only maintained through the water we consume but with all the water we use in our daily lives …water for drinking. balances your pH level and rehydrates your body giving a natural way to cure hangovers. are experiencing the health issues that come with seniority and lifestyle choices. because our bodies constantly need energy and there’s a waste product in energy production which are acids. waistline and even our brain which is what makes people fat. Drinking Kangen water™ reverses the effects of alcohol. If the body doesn’t eliminate acids. buttocks. the body can begin to develop certain illnesses. personal care. In order to function properly.The Target Market The current €250 billion dollar market projected at €1 trillion by 2012 targets everyone who is seeking optimal health and well-being including: Enlightened Individuals Family Members Athletes Young People Baby Boomers North America Europe 23 other countries worldwide The Baby Boomers. They are more dedicated to resisting the aging process than any generation ever before and recognize that the only real solution is to fight the cause of the following ailments: Heart Disease and Stroke Infection Depression Sleep Disorders Low Energy Addiction Osteoporosis Leukaemia and Lymphoma Diabetes Attention Deficit Gout Acid Reflux Water is the single most important resource for the human body. then that acid gets parked on your hips. who are all fifty years of age and older. Water accounts for approximately 70% of an individual’s body mass. general cleansing and sanitation. they are over acid. Thousands and thousands of people around the world are experiencing the benefits of Enagic Kangen water™.5 litres per day. enhanced by a dual linear leadership structure on the back end. some of them close to the $1 million mark without a prelaunch with ONLY 1000 team members! The best way to describe this unique marketing plan is a Unilevel with coded bonuses on the front end. necessary to sell product to earn rank advancement and to earn commissions and additional income bonuses.000 in their first year with the Company. train. with the amount of commission based on distributor ranking with a maximum of 6 points per distributor. 6 x €175 = €1050.The Marketing Plan The power of Enagic’s marketing plan is quite literally outstanding. last year several US distributors made in excess of $500. directly from the company and enjoy the following features in the Enagic Compensation Plan: No stocking of inventory No monthly qualifications No time limits No annual renewal Pays daily Direct deposit Accumulative sales Six ways to earn International sponsoring Pass It On… To get your Enagic machine for FREE! Refer 3 They refer 3 Machine is FREE!! What’s so unusual about the plan is that there are NO Monthly Qualifications. There is NO sign-up fee to become a Distributor and NO product purchase is required. The LeveLuk SD501 costs €2780 (Ex. dynamically designed to incorporate the most effective reward system for today’s networker & entrepreneur. as well as a lucrative recession proof income to beat the credit crunch and recession. the plan pays on a point structure rather than levels. To illustrate the power and potential of the Enagic Marketing Plan. For a complete Marketing Plan Video explanation Ctrl+click to view. €160 autoship for 12 months over 15 years is €28. In 2 years you can accomplish more than most people in 40. Page 14 . Six Ways to Earn Income Enagic’s marketing plan begins with the basic 8 point compensation structure and is the foundation from which each distributor begins receiving daily commissions with all product sales.800. monitor and support profession-grade top income earners. It could well be the best investment you will ever make! All Distributors purchase product at the same cost. The SP is worth an extra €30 per point on every direct or indirect sale for a total of €175. designed to identify. motivate. Once a distributor has made one direct sale a Special Point (SP) status is reach and maintained by any additional direct sales within 90 days of each other. and without a shadow of a doubt there is no quicker and more exciting way to create true wealth with the least number of people. VAT) with 8 points totally €1400 allotted for pay out on each unit sold. It is. Other Companies take an average of 15 years to collect and payout commissions that takes Enagic 1 day on each sale. however.5% out in commissions. The marketing Plan is based around the direct and indirect sales of the LeveLuk SD501 Kangen Water™ machine with no product purchase required. Enagic has proven to be the most powerful income producing business system available today and is perfectly positioned to penetrate multiple niches as previously mentioned. you’re paid daily with cheques in the mail and the Company pays a heart stopping 73. Each point has the same monetary value of €145 (LeveLuk SD501) with 8 points paid out for each sale. All 1A to 6A distributors are qualified to receive basic 8 point commissions and. you earn the amount due for your rank. Back to top Page 15 . Each eligible Distributor is paid based on his/her pay rank at the time of calculation. if applicable. the Special Point bonus of €30 based on distributor ranking: Points 1A = 1 point 2A = 2 points 3A = 3 points 4A = 4 points 5A = 5 points 6A = 6 points Basic €145 €290 €435 €580 €725 €870 SP Bonus €175 €350 €525 €700 €875 €1050 Qualification 2 Direct Sales 3rd Unit 11th Unit 21st Unit 51st Unit 101st Unit The Basic 8 Commission Structure pay-out begins with the Distributor that made the sale and is paid out upline from that point through 8 points (€1400) within 8 levels. the person making the sale is paid first. Example #1 Example #2 Level 1 2 3 4 5 6 7 8 You 6A 1A 2A 1A 1A 2A Earns €175 Earns €175 Earns €350 Earns €175 Earns €175 Makes Sale & Earns €350 Sale Occurs Level 1 2 3 4 5 6 7 8 You 6A 2A 3A 1A Earns €350 Earns €350 Earns €525 Makes Sale & Earns €175 Sale Occurs 9 9 All of the activity in these two examples took place within your 8 levels. When these commissions are calculated on each unit. At any given rank. less the amount due to other distributors between you and the sale. His/her sponsor is paid next and each eligible upline in succession until 8 points (€1400) are paid out. A Distributor never has to start over and Distributors 2A through 6A can have an unlimited number of direct sales. it is always retained until the next rank is attained. you will be qualified to advance directly to 6A when your accumulated sales volume amounts to 100 units within 8 levels. A Distributor advances directly from 1A (must have 2 direct sales) to any other rank when the accumulated volume meets the stated requirements. and after you make another direct sale after this point. Example: You are a 1A Distributor with at least 2 direct sales.Use the Enagic Basic 8 point Commission Structure chart on page 19 for reference as you are reading the explanations. You 1A You 6A Direct #1 Direct #2 Direct #3 100 Units total within 8 Levels Back to top You 1A 1A 2A €350 10 3A €525 20 4A €700 50 5A €875 100 6A €1050 €175 Group Sales 2 €1050 €875 €700 €525 €350 €175 8 Referrals 6 Referrals 7 Referrals 5 Referrals 3 Referrals 4 Referrals €175 €350 €175 €119 Page 16 €525 €350 €175 €700 €525 €350 €175 €875 €700 €525 €350 €175 . The following explains how ranks are achieved one step at a time. Once a rank is achieved. although one step at a time is not necessary. Understand these numbers are the maximum each rank could make from the sale on that particular level. beneath your 5th direct. 2A Distributor Qualification to Achieve this Rank: You must first be a 1A Distributor. Reward: Earn €525 Earn €525 Earn €350 Earn €175 per per per per unit unit unit unit on your 4th direct sale. Page 17 . down through your 7th level. on your 7th level. sold beneath your 4th direct. on your 8th level. Down through 8 points within 8 levels. Reward: Earn Earn Earn Earn Earn Earn €875 €875 €700 €525 €350 €175 per per per per per per unit unit unit unit unit unit on your 6th direct sale. You must personally sell one additional unit to be paid as this rank. sold on your 6th level. sold on your 8th level. Reward: Earn Earn Earn Earn Earn €700 €700 €525 €350 €175 per per per per per unit unit unit unit unit sold sold sold sold sold on your 5th direct sale. sold on your 7th level. down through your 4th level. sold beneath your 6th direct. You must personally sell one additional unit to be paid as this rank. sold on your 5th level. Earn €175 per unit sold on your 8th level. on your 6th level. down through your 5th level. You must personally sell one additional unit to be paid as this rank (your 3rd direct sale). Basic 8 Point Commission Structure 1A Distributor Qualification to Achieve this Rank: Personally sell one LeveLuk SD501 to advance to the rank of 1A (a unit sold to one self is counted as a sale) Reward: Earn €175 commission per unit on the first 2 direct sales. sold on your 7th level. 4A Distributor Qualifications to Achieve this Rank: Accumulated total sales of 20 units (direct plus indirect). Reward: Earn €350 per unit on your 3rd direct sale Earn €350 per unit sold beneath your 3rd direct.1. 5A Distributor Qualifications to Achieve this Rank: Accumulated total sales of 50 units (direct plus indirect). You must personally sell one additional unit to be paid as this rank (your 4th direct sale). Accumulated total direct sales of 2 units. 3A Distributor Qualifications to Achieve this Rank: Accumulated total sales of 10 units (direct plus indirect). down through your 6th level. sold on your 8th level. Earn €175 per unit on indirect sales from those first two 1A Distributors. Earn €525 per unit sold on your 6th level. Earn €350 per unit sold on your 7th level. Back to top Page 18 . Reward: Earn €1050 per unit on your 7th and all subsequent direct sales. Earn €1050 per unit on indirect sales beneath your 7th direct. down through your 3rd level. Earn €700 per unit sold on your 5th level. Earn €875 per unit sold on your 4th level.6A Distributor Qualifications to Achieve this Rank: Accumulate total sales of 100 units (direct plus indirect) You must personally sell one additional unit to be paid as this rank. Earn €175 per unit sold on your 8th level. C. (Tokurei NOT counted) B. Three 6A Distributors and higher who are nearest to a new sale will be qualified. The Step-Up Bonus will be calculated at the end of the month and paid on the 25th of the following month. ★ Bonus payment consists of above 1 + 2. 2. Allocation bonus based on number of machines sold in total group (A + B +C) A. 5. Each calendar quarter. Enagic pays commissions to distributors after the total amount accumulated equals €200. Monthly Bonus Back to top Must be a 6A2 Distributor (or higher) to be eligible for this bonus. Page 19 . International Bonus Pool Must be a 6A2 Distributor (or higher) to be eligible for this bonus. 2nd and 3rd nearest 6A Distributors must have a direct sale within a year to receive this commission. he/she will receive an Educational Allowance for each unit sold below his/her 8 points. When a distributor becomes a 6A Distributor. the Step-Up Bonus will be paid to the closest 6A distributor. Commissions are paid within 8 points and amount of commissions are based on distributor ranking. Educational Allowance Must be a 6A Distributor (or higher) to be eligible for this incentive. 3. All 1A and higher ranking distributors are qualified to receive filter commissions.00 (€28. without limitation of levels.00 each for the other two 6A Distributors) for each SD501 sale below the 8 points. Step-Up Bonus When a prospective distributor is qualified to be a 6A distributor. Basic bonus based on number of machines sold in your group (8 levels of 6A’s) x €15. The Education Allowance is paid daily. without limitation of levels. The step bonus pays a maximum of €12. This bonus is paid on the 25th of the month following the end of each calendar quarter. 1. The Step-Up Bonus is paid out on your first two 6A legs once you have reach the rank of 6A distributor for 6 consecutive months.000 for each of your first two 6A legs) additional commission as a fast-track incentive to reach the rank of a 6A2 distributor. 4. Qualification based on direct/indirect (1A-5A) sales of 5 machines monthly. The Allowance is effective for units sold after the first day of the month following the Distributor's advancement to 6A.2. Allocation based on your rank. Filter Commissions Filter commissions are paid daily. when sales occur. Allocation based on open volume (or direct) sales in your 1A – 5A group.000 (€6. The bonus is paid up to €1000 on each of the first two 6A distributors depending on the accumulated quantity of units purchased from the beginning of each month. 6. The 6A Distributor will receive the Educational Allowance. 3% of the total gross sales of Enagic are distributed proportionately to eligible Distributors who meet the following qualifying conditions. Allocation based on number of machines sold in your total group. The nearest 6A Distributor receives €119. Products SD 501 DX II ANESPA Goods Price €2. Page 20 .50 (approx £2. s/he. D0 – If a Distributor makes at least one direct sale within 3 years.20 Total Price €3.780 €2.308.50) for a Total Price of €3.00) SP – Special Point is reached after 1st direct sale and maintained through a new direct sale within a 90 day cycle. FA0 – If a Distributor makes no sale within 3 years. D1 – If a Distributor makes at least one direct sale within a year. s/he is not qualified to receive any commissions at all. s/he is qualified to receive full commissions.713.528.20 €1. s/he is qualified to receive 50% of commissions.5% (€485.680 VAT (19%) €528.280 €1.20 €319. *Please note: VAT in Europe is set at the German rate of 19% until new offices are setup in other EU Countries.20 €432.266.999.20 €2. but no direct sale within a year.20 Margin EU Basic SP €145 €115 €85 €175 €140 €103 Margin US Basic SP $215 $170 $130 $260 $205 $155 Margin JAPAN Basic SP ¥23200 ¥28000 ¥18400 ¥22400 ¥13600 ¥16400 VAT – *VAT in Europe varies and in the UK is 17. 007.291.4 $8.8 6.113.7% 11.4% Year 2000 2001 2002 2003 2004 2005 2006 2007 2008(P) (P) Preliminary Source: Beverage Marketing Corporation GLOBAL BOTTLED WATER MARKET Leading Countries' Consumption and Compound Annual Growth Rates 2002 .418.8 $11.857.2% 7.573.880.5 $10.0 36.7% 8.869.407.283.1 5.725.898.2007 2007 Rank 1 2 3 4 5 6 7 8 9 10 Countries United States Mexico China Brazil Italy Germany Indonesia France Thailand Spain Top 10 Subtotal All Others WORLD TOTAL Millions of Gallons 2002 2007 5.5% 7.6 8.277.6 CAGR* 2002/07 8.533.7 6.8% 9.5% 7.541.6% 17.0 $6.2008(P) Millions of Gallons 4.2% 0.787.9% 6.100.9 2.901.0 9.462.2 1.S.225.538.169.885.400.5 Annual % Change -12.9% 3.538.185.6% * Compound annual growth rate Source: Beverage Marketing Corporation Page 21 Back to top .4 4.2 13.7 7.2% 8.540.5% 3.2 3.8 3.4% 8.5% 9.795.9 49.622.7% Millions of Dollars $6.621.138. BOTTLED WATER Volume and Producer Revenues 2000 .8% 7.0 1.6 2.269.9 7.4 $9.705.823.6 $7.3 5.284.1 1.1% 8.795.526.823.5 2.5 2.3% 3.8% 8.7% 1.054.9 8.9% 7.8 2.6% 10.9 $12.2 1.4 1.6 5.5% 6.558.7 9.0 3.594.2 25.3 34.806.191.2 2.1 2.6A U.6 2.743.5% 7.4 $10.6% 14.8% 8.8% 7.0 Annual % Change -9.