PROFIT CENTER THE 2018 GUIDE TO MAXIMIZING PROFITS

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1 PROFIT CENTER THE 2018 GUIDE TO MAXIMIZING PROFITS

2 PARTS & BIKE BUNDLING REBATES Purchase BICYCLES and/or PARTS and receive Quarterly Rebates for your PARTS purchases KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER ULTRACYCLE REBATES PARTS OR BIKE PURCHASES (Annually) Purchase ULTRACYCLE and receive Quarterly Rebates for your ULTRACYCLE purchases NOTE: ULTRACYCLE REBATES EXCLUDE OTHER PARTS PURCHASES PARTS REBATE $180K in Parts or $60K in Bikes 4% $120K in Parts or $40K in Bikes 3% $60K in Parts or $20K in Bikes 2% NOTE: PARTS & BIKE BUNDLING REBATES EXCLUDE ULTRACYCLE PURCHASES ULTRACYCLE PURCHASES (Annually) *** Credit Approved Dealers Only ULTRACYCLE REBATE $ % $ % $ % FINE PRINT & TERMS Rebates are based upon annual purchases and constitute the levels of rebate used in subsequent year & issued Qtrly. Parts Rebates are NOT available toward bicycle purchases. Rebates are issued as account credits Quarterly, to be used towards future purchases. Retailer annual purchases must meet minimum company margin requirements to qualify for rebates. Rebates issued in the month following each calendar Quarter end (issued in Apr, July, Oct, Jan). Retailer accounts must be current to issue rebates. Retailer rebates require credit approval. 2 On-Line KHSDEALERS.COM Toll Free Phone Toll Free Fax

3 Less IS More Here at KHS, we realize that you have a business to run and there is no time for over complicated programs. For 2018, we are introducing the Less is More program. KHS has partnered with a select group of suppliers to bring you new opportunities to maximize your profits all year round. We put together 12 popular suppliers that cover many different categories for you to save on, from every day commodity-type items to outfitting a pro-bike; KHS has you covered. While other programs in our industry can be confusing and require expensive qualifying orders, KHS is offering you a simpler path. Each one of these participating suppliers offers you an instant discount with a minimum purchase all year long. No need to navigate confusing tiered programs. No smoke and mirrors, just purchase the reasonable minimum amounts and reap the rewards. CYGOLITE 4 HOLLYWOOD RACKS 5 HONEY STINGER 6 KMC 7 MAXIMA RACING OILS 8 ODI 9 ONGUARD 10 PLANET BIKE 11 POLAR BOTTLES 12 RITCHEY 13 WHEELS MFG. 14 WTB 15 KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER 3

4 4KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER 2018 Program Receive a 6% discount on Cygolite products with every $250 minimum purchase Keep Customers Safe, DAY and NIGHT. ENGINEERED TO SHINE Contact KHS for details on how to save Designed, Engineered, Assembled in the USA. Program runs Jan 1st through Dec 31st 2018 Terms & Orders subject to credit approval Freight allowed when orders totals $500 This is not a qualifying program; dealer must meet minimum purchase amount each time to obtain listed discount

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6 6KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER Less IS More

7 7KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER Less IS More Program runs Jan 1st through Dec 31st, 2018 Terms & Orders subject to credit approval Freight Allowed when order totals $500 This is not a qualifying program; dealer must meet minimum purchase amount each time to obtain listed discount

8 8KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER 7% DISCOUNT WITH A $150 PURCHASE OF MAXIMA PRODUCTS PROGRAM DETAILS. Program runs Jan 1st through Dec 31st Terms & Orders subject to credit approval. Freight Allowed when order totals $500. This is not a qualifying program; dealer must meet minimum purchase amount each time to obtain listed discount MAXIMAUSA.COM MADE IN THE USA

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10 Who s watching your stuff? KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER Lock up 6% in savings when you place an order of $250 or more for Onguard locks. We make some of the toughest bicycle security products around for all kinds of situations. If it s worth keeping, it s worth locking it up. 10 Program runs January 1 through December 31, Terms and orders subject to credit approval. Freight allowed when order totals $500. This is not a qualifying program; dealer must meet minimum purchase amount each time to obtain listed discount. For specifications go to OnGuardLock.com

11 SHINE A LIGHT ON PLANET BIKE DISCOUNTS IN 2018 BETTER PRODUCTS. BETTER WORLD. We love the balance the bicycle brings to the world and its power to make people, communities and the planet healthier. In addition to creating products that make cycling safer and more enjoyable, we pledge time, resources and profits to organizations working for sustainable transportation solutions. Planet Bike is partnering with KHS to offer a 5% discount on Planet Bike products for orders of $300 or more. Program runs Jan 1st through Dec 31st 2018 Terms & Orders subject to credit approval Freight Allowed when order totals $500 This is not a qualifying program; dealer must meet minimum purchase amount each time to obtain listed discount KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER COME RIDE WITH US. PLANETBIKE.COM 11

12 KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER SAVE 5% ON POLAR BOTTLE PRODUCTS AND RECEIVE A FREE 12-PIECE TABLE TOP DISPLAY. $100 ORDER MINIMUM Top performing insulated water bottles since 1994 Competitive pricing Lifetime guarantee Better customer service for you and your customers PROGRAM RUNS JAN 1ST THROUGH DEC 31ST TERMS & ORDERS SUBJECT TO CREDIT APPROVAL. FREIGHT ALLOWED WHEN ORDER TOTALS $500 THIS IS NOT A QUALIFYING PROGRAM; DEALER MUST MEET MINIMUM PURCHASE AMOUNT EACH TIME TO OBTAIN LISTED DISCOUNT 12

13 RECEIVE A 5% DISCOUNT ON RITCHEY ITEMS WITH EVERY $250 MINIMUM PURCHASE OF RITCHEY PRODUCTS KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER Program runs Jan 1st through Dec 31st Terms & Orders subject to credit approval. Freight Allowed when order totals $500. This is not a qualifying program; dealer must meet minimum purchase amount each time to obtain listed discount. Ritchey Ride to create. Create to ride. 13

14 KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER Less IS More 14

15 KHS PROFIT CENTER KHS PROFIT CENTER KHS PROFIT CENTER Less IS More 15

16 KHS Bicycles, Inc E. Harcourt St. Rancho Dominguez, CA PRESORTED FIRST-CLASS MAIL U.S. POSTAGE PAID City of Industry, CA Permit No KHS PRIME Prime (pronounced preem, after the French word for gift ) is a benefit for customers who have already reached $20,000 in annual purchases (bikes & parts) or when a single parts order is submitted that has $1000 in shippable parts. KHS Prime customers get freight allowed on almost all 2500 drop ship SKUs we have to offer (some exclusions apply). KHS Prime qualifying SKUs are noted on each SKU in the catalog as well as our B2B website.please look for this icon SAME DAY SERVICE GUARANTEE KHS guarantees to ship all orders placed before 3:00 P.M. (excluding Saturdays, Sundays, and Holidays) on the same day the order is received. If we do not get it out that day, you may request a credit equal to the amount paid to ship it. Guarantee does not apply to bicycles, warranty goods, back orders, credit holds, new accounts, out of stock items or drop ships. Guarantee applies to 48 contiguous states only. While KHS guarantees to ship all orders placed before 3:00 P.M., we generally are able to ship orders received much later than this. Please let your rep know if you need your order in a hurry and we will do our best to get it out that day! FREIGHT ALLOWANCE POLICY All orders are shipped freight prepaid and the freight charge is billed on your invoice. You may deduct part or all of the freight amount on parts invoices as indicated, ONLY if paid within terms. Unless requested otherwise, KHS will select the carrier. Our parts freight policy does not apply to bicycles or exercisers. If you qualify for our freight allowance, deduct the freight charge (excluding any COD fee or extra handling charges) when paying your bill. Our freight allowance policy applies only to the 48 contiguous states. (AK, HI and PR Dealers ask your sales rep for details) DROP SHIPMENTS do not qualify for freight allowance unless otherwise stated. Toll Free Phone Toll Free Fax On-Line KHSDEALERS.COM