Comfort-Aire Cooperative Advertising Program; Co-Op Fund Accruals; Use Of Co-Op Funds - Heat Controller Comfort-Aire Manual

Section 1
Comfort-Aire Cooperative
Advertising Program
The Comfort-Aire cooperative advertising program
exists to make funds available for authorized
distributors to help them and their dealers, if the
distributor chooses, promote Comfort-Aire products
on a local and regional level.
This manual lists the conditions and regulations
governing cooperative advertising of Comfort-Aire
products sold by Heat Controller, Inc. All parties
participating in the co-op advertising program
are expected to understand and abide by these
conditions and regulations. Credits for authorized
co-op advertising and promotional activities will be
issued to distributors only if the regulations set forth
in this manual are strictly observed.
Section II

Co-op Fund Accruals

Distributors qualify for co-op funds based on Heat
Controller programs in effect during any given
year. Co-op funds are accrued based on product
shipments (less freight); service and repair parts do
not qualify for co-op funds.
To receive co-op funds, the distributor account
must be current. Any distributor who fails to make
payments, who is placed on credit hold, or who is
otherwise not current with his account is not eligible
for co-op funds until the account is brought up to
date. A distributor who through his own choice or
through Heat Controller action is removed from
"authorized distributor" status loses any co-op funds
accumulated during the current co-op year.
The accrual period is September 1 to August 31.
Funds not spent in the current year cannot be
carried over into the next year. Unused funds are
retained by Heat Controller.
Section III

Use of Co-op Funds

Cooperative advertising funds may be used only
for advertising in the media listed in this document
and under the conditions and limitations described.
The use of co-op funds for any use not specifically
described in this document requires advance
approval from Heat Controller. Likewise, any
advertising/promotional activity that deviates from
the descriptions in this document must have prior
approval.
Heat Controller, Inc., maintains full control
of the Comfort-Aire cooperative advertising
program on the distributor level. Comfort-Aire
manufacturer's representatives and salesmen
have the responsibility for review of distributor
co-op participation based on available funds
and authorized programs. However, only Heat
Controller, Inc., can authorize or approve co-op
advertising commitments and claims.
Heat Controller, Inc., does not establish cooperative
advertising programs or accept claims from dealers.
Dealers must submit their cooperative advertising
requests through their authorized distributors.
It is mandatory that all advertising showing Comfort-
Aire products and carrying the Comfort-Aire name
comply with good business ethics and conform to
the regulations of the Federal Trade Commission
and other pertinent Federal and state laws. The
advertising standards of the Association of Home
Appliance Manufacturers, the Air-Conditioning
and Refrigeration Institute and any other
appropriate industry organizations, as well as the
Better Business Bureau, apply to all cooperative
advertisements.
Eligibility—To quality for co-op funds, the Comfort-
Aire name and/or products must appear in the
advertising. No claims will be honored when
competitive companies or products are included
in the same advertisement. When Comfort-Aire
products are included with non-competitive products
in the same advertisement, claims are paid on
the percentage of space used for Comfort-Aire
products, not on the entire advertisement.
To qualify, every newspaper, broadcast, magazine,
billboard and direct mail advertisement must carry
the Comfort-Aire trade name in the authorized style.
The Comfort-Aire name must appear at least as
large in size as the distributor's or dealer's own
identification. Failure to comply with this regulation
is sufficient cause to reject an advertising claim.
The standards apply to all advertisements for
Comfort-Aire products, including company-prepared
ads as well as distributor and dealer advertising
in all media. The standards are designed to keep
advertising within the bounds of good business
practice as well as in compliance with the
regulations of the Federal Trade Commission which
prohibit unfair and deceptive practices in commerce.
Co-op credits will not be issued for advertising
which fails to comply with these regulations.
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