BREWING LICENSE AGREEMENT
This is a sample contract for general information only.
BREWING LICENSE AGREEMENT
This Contract Agreement ("Agreement") is made this DD day of MMMM YYYY, by and
between PT. Bxxx Mxxxx Sxxxxx with its principal place of business at ______ ("Licensor") and
______, a corporation, with its principal place of business at ______ ("Operator").
RECITALS
WHEREAS, Licensor is engaged in the business of brewing, and leasing out brewing license
for malt beverages in the province of Bali (“Production Territory”), Indonesia.
WHEREAS, Operator owns, controls or possesses certain recipes, formulae and/or
specifications for beverage products as well as the right to use certain names, design, slogans, logos or
logotypes as brand names in conjunction therewith; and
WHEREAS, Licensor desires to work together for using the license to brew owned by
Licensor under the brand names identified below and Operator desires to do so.
NOW, THEREFORE, in consideration of the promises and covenants set forth herein, the
adequacy and sufficiency of which are hereby acknowledged, the parties, in good faith, agree as
follows:
1. GRANT.
Licensor hereby grants, and Operator hereby accepts, the rights to use of brewing
license in a non-exclusive manner for malt beverage products under the brand name "xxxxxxxxxx"
("the Trademark"), such products hereinafter referred to as "the Products", for which Operator owns,
controls or possesses all recipes, formulae, specifications, names, designs, slogans, logos and
logotypes in Indonesia (the "Territory").
2. TERM
This Agreement shall become effective and binding upon the parties on the date set
forth above and shall remain in effect for a period of sixty (60) months from such date ("the Initial
Term"). Either party shall be entitled, not less than ninety (90) days prior to the expiration of the
Initial Term, to give notice to the other of the termination of this agreement upon the expiration of the
Initial Term. In the absence of such written notice from either party to the other terminating this
Agreement on the expiration of the Initial Term, this Agreement shall continue indefinitely thereafter
subject to the right to either party to terminate this Agreement at any time, without cause, upon the
giving to the other of not less than ninety (90) days notice of such termination, and, in such event, this
Agreement shall be terminated on the date specified in such notice.
3. DUTIES OF LICENSOR.
a. License to Brew. Brewer shall provide the rights to use license to brew under category A
for alcohol contents up to 5%, and shall be made available to the Operator as part of this contractual
agreement.
b. Sample Analysis of Products. If required by the National Agency of Drug and Food
Control ("BPOM") and/or any alcoholic beverage regulatory authority, Licensor will help to facilitate
the process using appropriate samples of the Products provided by Operator for analysis. All costs
associated with initial analysis, will be borne by the Licensor, but any subsequent requests will be
borne by Operator.
c. Production and Label Approvals. Licensor will help to obtain any Certificate of Custom
Excise (“NPPBKC”) Approval as well as the appropriate label approvals and/or registrations for each
of the Products' labels. All initial costs incurred in obtaining such label approval and/or registration
shall be borne by Licensor, but any subsequent approvals shall be borne by Operator.
d. Brewing Location. Licensor shall arrange for the Operator to use the brewing license in a
location within the area (“Brewing Site”) of a province of Bali approved by Operator.
e. Production Capacity. License grants Operator to use the license based on agreed production
capacity (“Production Capacity”) on a yearly basis.
f. Invoice. Licensor will invoice Operator based on the amount of malt beverages being
produced monthly at the agreed price stipulated within this contract (“License Price”) on a monthly
basis.
4. DUTIES OF OPERATOR.
a. License to Brew. Operator will only refer to this contract for Production Capacity and
License Price within a Brewing Site. Any other locations will need to be discussed using separate
contracts.
b. Proprietary Information. Operator shall provide Licensor with specifications for the
Products as well as the Product flavour profiles, packaging materials and instructions and such other
information and materials as are required by BPOM if necessary.
c. Custom Excise. Operator shall inform the Licensor on the produced amount of malt
beverages on a monthly basis, and then provide Licensor the relevant custom excise amount to be paid
following government regulations. Licensor will then pay the custom excise to the government.
d. Production Capacity. Operator agreed to use the license based on agreed production
capacity (“Production Capacity”) on a yearly basis.
e. Payment. Operator will pay the Licensor on a monthly basis based on received invoices.
f. Cooperation. Operator agreed to working closely and together with Licensor in meeting
government regulations to ensure continuity of the contract.
5. INSURANCE.
Company shall, at its own expense, obtain and maintain an adequate
product liability insurance during the term of the Agreement, and an) extension hereof (collectively
referred to as the "Policy"). Company shall provide Licensor with a certificate of insurance
evidencing the existence of the Policy no later than fifteen (15) days prior to the first production date.
6. PRICE AND PAYMENT.
a. During the term of this agreement Licensor shall charge Operator the price set forth on
EXHIBIT A ("Price"). The Price is valid within this contract validity, and excludes applicable Custom
Excise Tax, as more fully described on EXHIBIT A.
b.Operator shall inform the monthly production capacity, such that Licensor can calculate the
relevant invoice and custom excise tax.
c. Licensor will invoice the corresponding outstanding amount to Operator on a monthly
basis, and Operator needs to pay the invoice accordingly.
7. REPRESENTATIONS AND WARRANTIES.
a. Operator represents, warrants and covenants to Licensor that:
(i) it will assist Licensor in obtaining the necessary approvals, and registrations for
the Products, and
(ii) it is the legal owner or holder of all rights to the Trademark, any and all
trademarks and copyrights associated with the Products, whether registered, pending or common law,
including but not limited to the brand names of the Products, Company's name used in connection
with the Products, and all other names, designs, slogans, logos or logotypes used to identify the'
Products (collectively referred to as the "Trademarks"), and that the Trademarks do not, to the best of
Operator's knowledge, infringe upon any copyrights, patents, trademarks, trade dress, or other
property rights of any person, firm or entity.
b. Licensor represents warrants and covenants to Operator that:
(i) it currently has, and shall maintain during the term of this Agreement, all required
licenses, permits, registrations and certificates of approval as are necessary to brew the Products in the
Production Territory. Licensor currently holds province licenses authorizing it to brew the Products
set forth on Exhibit B.
9. TRADEMARKS.
Licensor recognizes the great value of the goodwill associated with the
Trademarks and acknowledges that the Trademarks and all accompanying rights therein, and the
goodwill attached thereto, belong exclusively to the Operator. Licensor shall not, during the term of
this agreement or thereafter, assert any right of ownership of the Trademarks or use the Trademarks
other than in accordance with the terms of to is agreement, or disparage or diminish the image and
quality of the Trademarks among the public. Licensor shall cooperate with Operator in preserving and
protecting Operator 's rights in and to the Trademarks.
10. RELATIONSHIP OF THE PARTIES.
The parties shall be deemed independent
contractors. Nothing herein contained shall be construed to create any partnership, joint venture,
agency or employment relationship between the parties. Neither party shall have the power or right to
bind the other party to any third party, and each party shall be responsible exclusively for its own
taxes and expenses related to doing business.
11. INDEMNIFICATION.
If any demand, claim or action is made or threatened against
Licensor for (a) trademark infringement, unfair competition or interference with a contract to which
Operator is a party, asserted as a result of Licensor's lawful performance of its obligations under the
terms of this Agreement, Operator shall defend, indemnify and hold Licensor harmless from any loss,
damage, liability, or expense, including reasonable attorneys fees, for which Licensor may be liable
and pay in response to any such demand, claim or action..
Licensor agrees to defend, indemnify and hold Operator harmless against any and all claims,
costs, expenses, losses, causes of action (including reasonable attorneys fees and costs), damages or
liabilities on account of the death and/or injury to any person(s) or damage to any property arising out
of, due to, or in any way connected with (a) Licensor's failure to provide the required license.
12. TERMINATION.
Notwithstanding anything else herein to the contrary, either party may
not terminate this Agreement.
13. CONFIDENTIALITY.
All Proprietary Information, material, information, data or records
(the "Materials") provided by one party to the other shall be the sole and exclusive property of the
party providing such Materials. The parties agree that any information that may be received from the
other party, including but not limited to, Proprietary Information, customer lists, product recipes,
formulae, specifications and pricing information, promotional or marketing materials, or the like in
connection with the Products or this Agreement or the rights and obligations provided for hereunder
(the "Confidential Information"), shall not be disclosed by such party to any other person and is only
to be used in the performance of the obligations under this Agreement and for no other reason. Each
party shall return the original and all copies of the Materials and Confidential Information received
from the other party promptly following the termination of this Agreement.
In the event of any breach of this provision by either party, the injured party may obtain an
injunction against the other party's disclosure of the data and shall be entitled to any damage or loss
occasioned by such disclosure. This application of confidentiality and non-disclosure shall not apply
to information which (a) is in the public domain at the time of the receipt from the other party, or
which comes into the public domain without breach of an obligation hereunder; (b) is known and can
be shown to be known by one party at the time of receipt from the other party; or (c) becomes known
to one party through a third source whose acquisition was independent of the other party and not in
breach of any obligation hereunder.
14. GENERAL PROVISIONS.
a. Entire Agreement. This Agreement and the exhibits referred to herein and to be delivered
pursuant hereto, constitute the entire agreement between the parties pertaining to the subject matter
hereof, and supersede all prior agreements, understandings, negotiations and discussions of the
parties, whether oral or written, and there are no warranties, representations or other agreements
between the parties in connection with the subject matter hereof, except as specifically set forth
herein.
b. Severability. If any term or provision of this Agreement shall, to any extent, be determined
to be invalid or unenforceable, the remainder of this Agreement shall not be affected thereby, and
each remaining term and provision of this Agreement shall be valid and enforceable to the greatest
extent permitted by law.
c. Captions. The captions and paragraph numbers appearing in this Agreement are inserted as
a matter of convenience only and shall not in any way limit, amplify or otherwise affect the term of
provisions hereof.
d. Governing Law and Venue. This Agreement shall be construed and interpreted according
to the laws of Republic of Indonesia.
e. Arbitration. Any dispute hereunder shall be settled by arbitration in Republic of Indonesia.
f. Attorneys' Fees. If either party brings an action to enforce this Agreement, or to declare
rights under this Agreement, the prevailing party in any such action shall be entitled to its reasonable
attorneys' fees to be paid by the losing party.
h. Notices. Unless otherwise specifically provided herein, all communications or notices
required or permitted by this Agreement shall be in writing and shall be deemed to have been given at
the earlier of the date when actually delivered to an officer of the other or three days after deposit in
the mail, certified or registered mail, postage prepaid, return receipt requested, and addressed as
follows, unless and until either party notifies the other of a change of address:
If to Licensor:
XXXXXXXXX
If to Operator:
XXXXXXXXX
XXXXXXXXX
i. Waiver and Modifications. Unless otherwise specifically provided herein, no waiver or
modification of any of the terms of this Agreement shall be valid' unless in writing and signed by both
parties. No waiver by either party of a breach hereof or default hereunder shall be deemed a waiver by
such party of a prior or subsequent breach or default of like or similar nature.
j . Force Majeure. In the event that either party is prevented or delayed from performing its
obligations under the terms of this Agreement by virtue of one or More events or contingencies
beyond its reasonable control, whether or not presently occurring or contemplated by either party,
including but not limited to, fires, labor strikes, labor disputes, accidents, sabotage, federal or state
legislation or any regulations or orders thereunder, judicial action, acts of God, war, or civil
commotion, such nonperformance shall be excused and shall not constitute a default under the terms
of this Agreement, provided, however, that in the event that such nonperformance continues for a
period in excess of three (3) consecutive months, either party shall have the option thereunder to
terminate this Agreement immediately upon written notice to that effect.
k. Further Instruments. The parties shall execute and deliver any and all other instruments and
shall take any and all other actions as may be reasonably necessary to carry out the intent of the
Agreement into full force and effect.
l. Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed an original, but all of which together shall constitute one and the same instrument.
IN WITNESS WHEREOF, the undersigned parties have executed this Agreement as of the
day and year first above written.
PT. BXXX MXXXX SXXXX
By:
Name:
Title:
XXXXXXXXX
By:
Name:
Title:
EXHIBIT "A"
PRICING AGREEMENT
LICENSE PRICE for 1st Year
"price will vary inversely according to volume of production per year.
You may roughly estimate $2 US to $3 US per liter of production. Note: prices may change at any time
prior to any actual agreement."
Assumptions:
1. The LICENSE PRICE is measured at Price / L
2. The LICENSE PRICE excludes the custom excise tax for alcohol, which is currently payable
at IDR 11,000 / L for category A, but it could be changed following any regulatory changes.
3. The LICENSE PRICE is paid on a monthly basis, depending on the capacity produced from
the previous month.
4. The LICENSE PRICE is to be negotiated on a yearly basis at a proportional increase of
percentage to the beverage retail price.
EXHIBIT "B"
LOCATION IN WHICH LICENSE IS VALID
BALI Province, Indonesia
BREWING LICENSE AGREEMENT
This Contract Agreement ("Agreement") is made this DD day of MMMM YYYY, by and
between PT. Bxxx Mxxxx Sxxxxx with its principal place of business at ______ ("Licensor") and
______, a corporation, with its principal place of business at ______ ("Operator").
RECITALS
WHEREAS, Licensor is engaged in the business of brewing, and leasing out brewing license
for malt beverages in the province of Bali (“Production Territory”), Indonesia.
WHEREAS, Operator owns, controls or possesses certain recipes, formulae and/or
specifications for beverage products as well as the right to use certain names, design, slogans, logos or
logotypes as brand names in conjunction therewith; and
WHEREAS, Licensor desires to work together for using the license to brew owned by
Licensor under the brand names identified below and Operator desires to do so.
NOW, THEREFORE, in consideration of the promises and covenants set forth herein, the
adequacy and sufficiency of which are hereby acknowledged, the parties, in good faith, agree as
follows:
1. GRANT.
Licensor hereby grants, and Operator hereby accepts, the rights to use of brewing
license in a non-exclusive manner for malt beverage products under the brand name "xxxxxxxxxx"
("the Trademark"), such products hereinafter referred to as "the Products", for which Operator owns,
controls or possesses all recipes, formulae, specifications, names, designs, slogans, logos and
logotypes in Indonesia (the "Territory").
2. TERM
This Agreement shall become effective and binding upon the parties on the date set
forth above and shall remain in effect for a period of sixty (60) months from such date ("the Initial
Term"). Either party shall be entitled, not less than ninety (90) days prior to the expiration of the
Initial Term, to give notice to the other of the termination of this agreement upon the expiration of the
Initial Term. In the absence of such written notice from either party to the other terminating this
Agreement on the expiration of the Initial Term, this Agreement shall continue indefinitely thereafter
subject to the right to either party to terminate this Agreement at any time, without cause, upon the
giving to the other of not less than ninety (90) days notice of such termination, and, in such event, this
Agreement shall be terminated on the date specified in such notice.
3. DUTIES OF LICENSOR.
a. License to Brew. Brewer shall provide the rights to use license to brew under category A
for alcohol contents up to 5%, and shall be made available to the Operator as part of this contractual
agreement.
b. Sample Analysis of Products. If required by the National Agency of Drug and Food
Control ("BPOM") and/or any alcoholic beverage regulatory authority, Licensor will help to facilitate
the process using appropriate samples of the Products provided by Operator for analysis. All costs
associated with initial analysis, will be borne by the Licensor, but any subsequent requests will be
borne by Operator.
c. Production and Label Approvals. Licensor will help to obtain any Certificate of Custom
Excise (“NPPBKC”) Approval as well as the appropriate label approvals and/or registrations for each
of the Products' labels. All initial costs incurred in obtaining such label approval and/or registration
shall be borne by Licensor, but any subsequent approvals shall be borne by Operator.
d. Brewing Location. Licensor shall arrange for the Operator to use the brewing license in a
location within the area (“Brewing Site”) of a province of Bali approved by Operator.
e. Production Capacity. License grants Operator to use the license based on agreed production
capacity (“Production Capacity”) on a yearly basis.
f. Invoice. Licensor will invoice Operator based on the amount of malt beverages being
produced monthly at the agreed price stipulated within this contract (“License Price”) on a monthly
basis.
4. DUTIES OF OPERATOR.
a. License to Brew. Operator will only refer to this contract for Production Capacity and
License Price within a Brewing Site. Any other locations will need to be discussed using separate
contracts.
b. Proprietary Information. Operator shall provide Licensor with specifications for the
Products as well as the Product flavour profiles, packaging materials and instructions and such other
information and materials as are required by BPOM if necessary.
c. Custom Excise. Operator shall inform the Licensor on the produced amount of malt
beverages on a monthly basis, and then provide Licensor the relevant custom excise amount to be paid
following government regulations. Licensor will then pay the custom excise to the government.
d. Production Capacity. Operator agreed to use the license based on agreed production
capacity (“Production Capacity”) on a yearly basis.
e. Payment. Operator will pay the Licensor on a monthly basis based on received invoices.
f. Cooperation. Operator agreed to working closely and together with Licensor in meeting
government regulations to ensure continuity of the contract.
5. INSURANCE.
Company shall, at its own expense, obtain and maintain an adequate
product liability insurance during the term of the Agreement, and an) extension hereof (collectively
referred to as the "Policy"). Company shall provide Licensor with a certificate of insurance
evidencing the existence of the Policy no later than fifteen (15) days prior to the first production date.
6. PRICE AND PAYMENT.
a. During the term of this agreement Licensor shall charge Operator the price set forth on
EXHIBIT A ("Price"). The Price is valid within this contract validity, and excludes applicable Custom
Excise Tax, as more fully described on EXHIBIT A.
b.Operator shall inform the monthly production capacity, such that Licensor can calculate the
relevant invoice and custom excise tax.
c. Licensor will invoice the corresponding outstanding amount to Operator on a monthly
basis, and Operator needs to pay the invoice accordingly.
7. REPRESENTATIONS AND WARRANTIES.
a. Operator represents, warrants and covenants to Licensor that:
(i) it will assist Licensor in obtaining the necessary approvals, and registrations for
the Products, and
(ii) it is the legal owner or holder of all rights to the Trademark, any and all
trademarks and copyrights associated with the Products, whether registered, pending or common law,
including but not limited to the brand names of the Products, Company's name used in connection
with the Products, and all other names, designs, slogans, logos or logotypes used to identify the'
Products (collectively referred to as the "Trademarks"), and that the Trademarks do not, to the best of
Operator's knowledge, infringe upon any copyrights, patents, trademarks, trade dress, or other
property rights of any person, firm or entity.
b. Licensor represents warrants and covenants to Operator that:
(i) it currently has, and shall maintain during the term of this Agreement, all required
licenses, permits, registrations and certificates of approval as are necessary to brew the Products in the
Production Territory. Licensor currently holds province licenses authorizing it to brew the Products
set forth on Exhibit B.
9. TRADEMARKS.
Licensor recognizes the great value of the goodwill associated with the
Trademarks and acknowledges that the Trademarks and all accompanying rights therein, and the
goodwill attached thereto, belong exclusively to the Operator. Licensor shall not, during the term of
this agreement or thereafter, assert any right of ownership of the Trademarks or use the Trademarks
other than in accordance with the terms of to is agreement, or disparage or diminish the image and
quality of the Trademarks among the public. Licensor shall cooperate with Operator in preserving and
protecting Operator 's rights in and to the Trademarks.
10. RELATIONSHIP OF THE PARTIES.
The parties shall be deemed independent
contractors. Nothing herein contained shall be construed to create any partnership, joint venture,
agency or employment relationship between the parties. Neither party shall have the power or right to
bind the other party to any third party, and each party shall be responsible exclusively for its own
taxes and expenses related to doing business.
11. INDEMNIFICATION.
If any demand, claim or action is made or threatened against
Licensor for (a) trademark infringement, unfair competition or interference with a contract to which
Operator is a party, asserted as a result of Licensor's lawful performance of its obligations under the
terms of this Agreement, Operator shall defend, indemnify and hold Licensor harmless from any loss,
damage, liability, or expense, including reasonable attorneys fees, for which Licensor may be liable
and pay in response to any such demand, claim or action..
Licensor agrees to defend, indemnify and hold Operator harmless against any and all claims,
costs, expenses, losses, causes of action (including reasonable attorneys fees and costs), damages or
liabilities on account of the death and/or injury to any person(s) or damage to any property arising out
of, due to, or in any way connected with (a) Licensor's failure to provide the required license.
12. TERMINATION.
Notwithstanding anything else herein to the contrary, either party may
not terminate this Agreement.
13. CONFIDENTIALITY.
All Proprietary Information, material, information, data or records
(the "Materials") provided by one party to the other shall be the sole and exclusive property of the
party providing such Materials. The parties agree that any information that may be received from the
other party, including but not limited to, Proprietary Information, customer lists, product recipes,
formulae, specifications and pricing information, promotional or marketing materials, or the like in
connection with the Products or this Agreement or the rights and obligations provided for hereunder
(the "Confidential Information"), shall not be disclosed by such party to any other person and is only
to be used in the performance of the obligations under this Agreement and for no other reason. Each
party shall return the original and all copies of the Materials and Confidential Information received
from the other party promptly following the termination of this Agreement.
In the event of any breach of this provision by either party, the injured party may obtain an
injunction against the other party's disclosure of the data and shall be entitled to any damage or loss
occasioned by such disclosure. This application of confidentiality and non-disclosure shall not apply
to information which (a) is in the public domain at the time of the receipt from the other party, or
which comes into the public domain without breach of an obligation hereunder; (b) is known and can
be shown to be known by one party at the time of receipt from the other party; or (c) becomes known
to one party through a third source whose acquisition was independent of the other party and not in
breach of any obligation hereunder.
14. GENERAL PROVISIONS.
a. Entire Agreement. This Agreement and the exhibits referred to herein and to be delivered
pursuant hereto, constitute the entire agreement between the parties pertaining to the subject matter
hereof, and supersede all prior agreements, understandings, negotiations and discussions of the
parties, whether oral or written, and there are no warranties, representations or other agreements
between the parties in connection with the subject matter hereof, except as specifically set forth
herein.
b. Severability. If any term or provision of this Agreement shall, to any extent, be determined
to be invalid or unenforceable, the remainder of this Agreement shall not be affected thereby, and
each remaining term and provision of this Agreement shall be valid and enforceable to the greatest
extent permitted by law.
c. Captions. The captions and paragraph numbers appearing in this Agreement are inserted as
a matter of convenience only and shall not in any way limit, amplify or otherwise affect the term of
provisions hereof.
d. Governing Law and Venue. This Agreement shall be construed and interpreted according
to the laws of Republic of Indonesia.
e. Arbitration. Any dispute hereunder shall be settled by arbitration in Republic of Indonesia.
f. Attorneys' Fees. If either party brings an action to enforce this Agreement, or to declare
rights under this Agreement, the prevailing party in any such action shall be entitled to its reasonable
attorneys' fees to be paid by the losing party.
h. Notices. Unless otherwise specifically provided herein, all communications or notices
required or permitted by this Agreement shall be in writing and shall be deemed to have been given at
the earlier of the date when actually delivered to an officer of the other or three days after deposit in
the mail, certified or registered mail, postage prepaid, return receipt requested, and addressed as
follows, unless and until either party notifies the other of a change of address:
If to Licensor:
XXXXXXXXX
If to Operator:
XXXXXXXXX
XXXXXXXXX
i. Waiver and Modifications. Unless otherwise specifically provided herein, no waiver or
modification of any of the terms of this Agreement shall be valid' unless in writing and signed by both
parties. No waiver by either party of a breach hereof or default hereunder shall be deemed a waiver by
such party of a prior or subsequent breach or default of like or similar nature.
j . Force Majeure. In the event that either party is prevented or delayed from performing its
obligations under the terms of this Agreement by virtue of one or More events or contingencies
beyond its reasonable control, whether or not presently occurring or contemplated by either party,
including but not limited to, fires, labor strikes, labor disputes, accidents, sabotage, federal or state
legislation or any regulations or orders thereunder, judicial action, acts of God, war, or civil
commotion, such nonperformance shall be excused and shall not constitute a default under the terms
of this Agreement, provided, however, that in the event that such nonperformance continues for a
period in excess of three (3) consecutive months, either party shall have the option thereunder to
terminate this Agreement immediately upon written notice to that effect.
k. Further Instruments. The parties shall execute and deliver any and all other instruments and
shall take any and all other actions as may be reasonably necessary to carry out the intent of the
Agreement into full force and effect.
l. Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed an original, but all of which together shall constitute one and the same instrument.
IN WITNESS WHEREOF, the undersigned parties have executed this Agreement as of the
day and year first above written.
PT. BXXX MXXXX SXXXX
By:
Name:
Title:
XXXXXXXXX
By:
Name:
Title:
EXHIBIT "A"
PRICING AGREEMENT
LICENSE PRICE for 1st Year
"price will vary inversely according to volume of production per year.
You may roughly estimate $2 US to $3 US per liter of production. Note: prices may change at any time
prior to any actual agreement."
Assumptions:
1. The LICENSE PRICE is measured at Price / L
2. The LICENSE PRICE excludes the custom excise tax for alcohol, which is currently payable
at IDR 11,000 / L for category A, but it could be changed following any regulatory changes.
3. The LICENSE PRICE is paid on a monthly basis, depending on the capacity produced from
the previous month.
4. The LICENSE PRICE is to be negotiated on a yearly basis at a proportional increase of
percentage to the beverage retail price.
EXHIBIT "B"
LOCATION IN WHICH LICENSE IS VALID
BALI Province, Indonesia