LINCOLN BLACK LABEL GUIDELINES

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1 The Lincoln Black Label Advertising Covenant Program is designed to guide Dealers in the development of Tier III advertising and marketing activities that promote Lincoln Black Label as a true premium brand. The nature of the review associated with the Lincoln Advertising Covenant Program is limited to conformance with the rules of the program as published from time to time and does not include compliance with any Federal, State, Local or other legal requirements or prohibitions. Dealers are responsible for ensuring that their advertising complies with all relevant legal requirements, regardless of whether such requirements are outlined in these guidelines. Dealers must also adhere to the Lincoln Contest and Incentive program rules. Dealers are responsible for ensuring that their ads do not misrepresent Lincoln s services offerings or products (i.e.: fuel economy, 0-to-60 performance, etc.). Pre-approval of Dealer ads by or on behalf of Ford Motor Company does not signify legal approval. Participating Dealers agree that the Dealer is responsible for ensuring that the Dealer s advertising conforms to all applicable local, state, and federal laws, and that Ford Motor Company is not responsible for any actions or proceedings of any kind, claims, damages, liabilities, costs, and/or expenses arising out of or relating to such advertising under this agreement. Participating Lincoln Advertising Covenant Program Dealers that place ads found to contain illegal content, or that violate the Sale and Service Agreement, are subject to chargeback of funds paid through the Lincoln Advertising Covenant Program. These guidelines are not intended to set forth legal advertising criteria but rather encourage advertising that promotes Lincoln as a true premium brand. PLEASE NOTE: ALL LINCOLN BLACK LABEL ADVERTISEMENTS ARE SUBJECT TO THE STANDARD LACP GUIDELINES LINCOLN BLACK LABEL GUIDELINES Separation of Brands 15B. All advertising that features a Lincoln Black Label vehicle must adhere to the following: In print ads, any section of the ad that is dedicated to Lincoln Black Label vehicles must be clearly separated by a solid, 1pt uninterrupted line. In television, Lincoln Black Label vehicles may be included with new Lincoln content as long as the Black Label content is clearly defined as Lincoln Black Label. Radio, television, outdoor, and internet banner advertisements, must be predominately Lincoln Black Label in order to count towards the Black Label Spend Requirement. PLEASE NOTE: If the Lincoln Black Label logo is the only Black Label element in a given advertisement, that ad will not count towards the Black Label Spend Requirement. 16B. Dealers must maintain a Lincoln Black Label Brand page on their Tier III website(s) to promote the Lincoln Black Label franchise. This page will be provided for the Dealers to add to their websites. Claims Regarding Favorable Status 17B. Advertising that claims The Only Black Label Dealer in (NAME STATE) or a similar claim appears, the claim must be based on an internal Dealer enrollment report for the previous calendar year validated by Lincoln. Brand Integrity 19B. Lincoln Black Label will provide ad templates that should be utilized without alteration. The only changes allowed would be those made through onsite customization via the Lincoln Toolbox, DADS or other Lincoln provided ad tools. The Lincoln Black Label logo must be used at least once prominently in an advertisement outside of the Dealership logo. Dealers may only use the approved logo that is on the Lincoln Dealer Toolbox. These approved logos may not be embellished or altered by the Dealer in any way. 1

2 All other non-template advertisements must contain one of the following Lincoln Black Label Taglines to be eligible for the Black Label Spend Review: o Lincoln Black Label, Our Ultimate Expression of Design and Personal Service o Introducing Lincoln Black Label, Our Ultimate Expression of Design and Personal Service o (Black Label Logo) Our Ultimate Expression of Design and Personal Service Mention at least two of the elements below: o Lincoln Black Label Experience Liaison o Complimentary Anytime Car Wash and Annual Detail o It s More Than Ownership. It s Membership o At Home Test Drives o Culinary Collection a Complimentary Dinner for Two o 4year/50,000-mile Premium Maintenance Plan o Service Pick Up and Delivery o Travel Collection o Exclusive Premium Materials o Curated Collection of Interior Themes o Exclusive Member Privileges EXCEPTIONS: o In television, only the Lincoln Black Label Tagline or two elements are required. o In radio, outdoor, and internet banner advertisements, the Lincoln Black Label Tagline and two elements are not required. However, if the creative features any text, the text must be specific to the Lincoln Black Label brand and may not advertise altered tagline or element(s). The Lincoln Black Label logo must be on the creative. 20B. When referencing Lincoln Black Label: Lincoln Black Label vehicles must be disclosed as such in the main body of the advertisement. Vehicle photography and descriptions must be consistent with the Lincoln model advertised. No words can be added to the end of the statement (i.e. Reserve, Select, Edition, Premier, etc.) When including a nameplate, the format must be as follows: Lincoln Black Label [vehicle nameplate] [theme] if desired. o (i.e. Lincoln Black Label MKZ Chalet) LINCOLN BLACK LABEL OVERVIEW INTRODUCTION The Lincoln Black Label Advertising Covenant Program is a voluntary advertising compliance program designed to guide Dealers in the development of Tier III advertising and marketing activities that promote Lincoln Black Label as a true premium brand. By enrolling and agreeing to the Lincoln Advertising Covenant Program Terms & Conditions, enrolled Dealers will be paid incremental Lincoln Black Label Advertising Covenant Funds on a monthly basis to comply with the Lincoln Black Label Advertising Covenant Guidelines. Lincoln Black Label Ad Covenant Program provides a free pre-approval service for dealers to utilize and verify compliance with Lincoln Black Label Guidelines. All potential ads can be submitted to Headquarters during regular business hours and will be returned will corrections and approvals within 24 hours. To submit advertising for pre-approval, please submit via the program website or Headquarters at lacp@ansira.com with the ad to be reviewed, as well as the dealership name it is being reviewed for and any other relevant information. Please refer to the LACP Guidelines and Overview for more details. 2

3 LINCOLN BLACK LABEL ADVERTISING COVENANT FUNDING Beginning January 3, 2018, Lincoln Black Label Dealers enrolled in the Program will be provided Lincoln Black Label Advertising Covenant Funds based on their previous month s Lincoln Black Label retail sales. Dealers will be paid an incremental flat fee of $1,000 per Lincoln Black Label vehicle sold (excluding fleet). Dealers will receive their monthly Lincoln Black Label payments on their VINCENT Payment Statement (VPS). Lincoln Black Label Advertising Covenant 2018 Payment Calendar Earnings Period Payment Date January 02/20/18 February 03/20/18 March 04/24/18 April 05/22/18 May 06/19/18 June 07/24/18 July 08/21/18 August 09/25/18 September 10/23/18 October 11/20/18 November 12/25/18 December 01/22/19 LINCOLN BLACK LABEL MARKETING SUPPORT FUNDING Dealers will also have the opportunity to request incremental funding for Lincoln Black Label experiential events and Black Label Media Campaigns through the program website. These funds may be provided up to 75% of the total cost of the program requested. The remaining 25% of the program may be funded out of your allocated LACP and or BL LACP funds. These programs will enable Lincoln Black Label Dealers to increase their brand awareness within their respective markets. The incremental Lincoln Black Label Marketing Support funds must be spent on Lincoln Black Label Exclusive Tier III Programs and must comply with all Lincoln Black Label and LACP guidelines. All approved Marketing Support Funds will be provided as incremental Lincoln Black Label Ad Covenant budget on a monthly basis. Dealers will be funded via their Dealer Payment Statement following the end of each month. Events/Sponsorship/Unique Media Campaigns Documentation Requirements Lincoln Black Label Experiential Events are strongly encouraged. Please utilize the Marketing Support Fund Request Form on the LAC Program Website to submit all requests for incremental funding. Please provide the following detail on the request form: Magazine Subscriptions please provide the type of Magazine and the demographics (household income, gender breakdown and age) o Provide # of months the advertisement will be running in the magazine Please describe the expected runtime the TV campaigns and brief description of the content Please provide a brief description of the event/sponsorship/autoshow/mall display Brief description of the event area and the Lincoln vehicles display Demographics stating the # of attendees and House hold income, gender breakdown and age (if available) 3

4 Brief description of advertising and /or marketing materials that will be used to announce and promote the activity. Cost & date of the event. Request if you would like to use the Lincoln Black Label Brand Wall. Request if you would like to use a Surface pro at the event (contains imagery from the Brand Walls) Dealers will be notified via as Lincoln Black Label Marketing Support Fund requests are approved. The incremental Lincoln Black Label Marketing Support funds must be spent on Lincoln Black Label Exclusive Tier III Programs and must comply with all Lincoln Black Label and LACP guidelines. To remain compliant, Dealers must submit all spend verification documents through the program website to confirm 100% spend. Lincoln Black Label Marketing Support Funds 2018 Payment Calendar Request Cutoff Payment Date 01/13/18 01/22/18 02/13/18 02/22/18 03/13/18 03/22/18 04/13/18 04/22/18 05/13/18 05/22/18 06/13/18 06/22/18 07/13/18 07/22/18 08/13/18 08/22/18 09/13/18 09/22/18 10/13/18 10/22/18 11/13/18 11/22/18 12/13/18 12/22/18 DEALER SPEND REVIEW Dealers enrolled in the Program will receive Lincoln Black Label Advertising Covenant Funds on a monthly basis. 100% of a Dealer s Lincoln Black Label Advertising Covenant Funds must be spent on the purchase of eligible media within the calendar year. Dealers will be randomly selected for quarterly spend reviews, verifying all Lincoln Black Label funds were spent in the quarter received. Dealers will have the ability to roll up to 20% of their quarterly spend requirement into subsequent quarters, as long as all funds paid in 2018 are spent within the calendar year compliance will be confirmed by an annual spend review during Q1 2019, which will verify all dealers have spent 100% of their 2018 payments. To validate that 100% of the Lincoln Black Label Advertising Covenant Funds went to purchase eligible media, Dealers must maintain advertising records for a period of at least the last four quarters. Quarterly Spend Review Dealers will be selected quarterly to review their prior quarter s payment & spend. The Lincoln Advertising Covenant Program Headquarters will randomly select and notify Dealers of the upcoming spend review. Selected Dealers will need to verify 80% of their funds have been spent on approved media within that given quarter by submitting all proof-of-advertising documentation within 45 days of notification. Should dealers fail to verify 80% spend of their quarterly earnings, they will face suspension in the following quarter. Please Note - All funds paid in 2018 must be used by December 31, 2018 (no rollover of Q4 funds permitted). 4

5 Annual Spend Review In Q1 2019, a full year 2018 review will be conducted on ALL Dealers. Should a dealer fail to verify 100% of the Lincoln Black Label funds received were spent on the purchase of eligible media within the calendar year, the dealer will be charged back for the total amount that was not verified. Digital Spend Review Document Submission Dealers are strongly encouraged to submit all compliant spend verification documents electronically through the program website. The program website will be updated daily to provide virtually real time tracking & monitoring of spend review requirements (both annual and quarterly). Lincoln encourages all dealers to submit all required documentation on a regular basis (monthly is recommended). Successful submission of approved documentation will only be needed once. Dealer Spend Review Examples: 5

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