PPE FACILITATION SUMMARY INFORMATION
My thanks for your interest, Sunline Supply and our China partner have created a supply chain of over 60 of the most reliable and highest quality medical product manufacturers in Asia. We provide KN95 and N95 respirators, masks of different types, gloves, medical gowns, all the PPE so necessary at this time. We would appreciate an opportunity to assisting you. Many buyers have justifiable concerns when purchasing in China and Asia. Factories typically require a 30%-50% upfront deposit to begin production. Product availability is often random, many purchasers are not experienced buying in China and even those who are have worry about quality, on time delivery, fraud and advance payments. Sunline Supply has developed a business process and system that mitigates financial and manufacturing risk, provides assurance of quality and enables extremely fast manufacturing/delivery. No advance payments are required, we assume all financial and manufacturing risk. Sunline Supply handles paying 100% of the factory’s costs upfront, as well as all shipping and customs costs to bring medical products to our buyer’s facility in the United States. Only a Purchase Order and Letter of Credit, (LC) is required to begin manufacturing. This LC, which guarantees our payment, only funds after products have been manufactured, transported/delivered and passed an onsite inspection by SGS (sgs.com). SGS is the world’s leading firm in world trade performing verification of quality, quantity and documents. We have an additional program designed for credit worthy purchasers such as governmental agencies whose purchasing regulations do not permit deposits or an LC. They can use a binding Purchase Order; we then work with a financial institution to create an LC for the transaction. The Sunline Supply team looks forward to the opportunity of discussing your product needs with which we can help. Best regards, Jordan Berkowitz President Sunline Supply 313 W. 4th Street Bridgeport, PA 19405
SUNLINE SUPPLY / PG. 2
VALUE PROPOSITION RELIABLE SUPPLY CHAIN Sunline Supply has assembled a supply chain of over sixty (60) of the highest quality factories in China and Asia, manufacturing medical products such as Nitrile Gloves, 3ply and N95 masks, surgical and isolation gowns, protective suits, and the full array of PPE and other needed equipment. LONG TERM RELATIONSHIPS Sunline Supply’s partners in China as well as a senior member of our management team have been close family friends and business associates of our manufacturing group members for over twenty years. MITIGATE FINANCIAL RISK Due to high demand, most medical product manufacturers in China and the rest of Asia require payments of 30% to 50% in advance before manufacturing begins. Many foreign companies have entered into manufacturing agreements with Chinese and factories in other Asian countries that have ended badly, with shoddy merchandise and little recourse for resolution. § Sunline Supply handles all necessary upfront payments to all factories. § Our company fully manages the logistics involved in getting the medical products from the manufacturers in China or anywhere in Asia to the purchaser’s facility in the United States; all costs are quoted fully landed. § Our customers pay with a letter of credit that only funds after the products are: 1. Manufactured 2. Shipped to the United States 3. Delivered to the buyer’s facility in the United States 4. Pass an independent inspection by SGS (done at the buyer’s facility in the United States) to ensure that the medical products fully meet our customer’s standards (SGS is world’s leading inspection and verification company www.sgs.com) Due to our groups long standing relationships with the factories in China and Asia, we assume the full financial and operational risk of the terms of the manufacturing agreement. When working with Sunline Supply you can be sure that performance will be 100%.
SUNLINE SUPPLY / PG. 3
VALUE PROPOSITION CON’T .
REGULATORY COMPLIANCE All medical products in the Sunline supply chain are U.S. FDA/CDC approved, CE marked and fully compliant by all other national regulatory bodies as necessary for use in the countries where they are to be sold. BETTER VOLUME PRICING Our group does substantial business with the factories in the supply chain. We obtain better terms and reliable delivery even in this time of difficult procurement. Combined with Sunline Supply’s modest markup, our prices should be at or below any other source.
SUNLINE SUPPLY / PG. 4
BUYER SOP OUR MISSION As a primary facilitator for each opportunity, we strive to respect and protect everyone’s time and energy by connecting committed buyers to committed suppliers, seeing that significant PPE orders are filled to specifications. QUALIFY + SECURE ORDER 1. Secure NCNDA’s for all parties 2. Buyer side/Sunline phone call to discuss details of order(s) & status of the LOI/PO and POF 3. Depending on status of LOI/PO and POF, Sunline forward order details to possible Suppliers 4. Call between Buyers and possible Suppliers 5. Sunline build and share full contact list 6. DD tests performed. IE - LOA, documentation proving access to supply, prior successful deliveries, or similar showing Supplier ability to deliver product, DUNS/EIN checks, etc. 7. Once passing DD tests, Buyer cannot move forward from here without an official LOI/PO and POF 8. Upon LOI and POF, Supplier will produce an SPA according to the specific deal including a full delivery schedule. Lawyers continue until finalized. 9. If LC or Escrow Account is part of the payment terms with Supplier, Supplier will produce a Letter of Credit Form or Escrow Agreement for Buyer to complete and return 10. Once SPA is signed by all parties, Buyer will instruct the Bank to initiate LC or have funds deposited into Escrow. 11. Calls with Logistics as necessary depending on form of delivery
SUNLINE SUPPLY / PG. 5
BUYER SOP CON’T . PRODUCT + DELIVERY 1. Once LC is initiated, Supplier will either use LC to directly pay factory and start production, or generate their own LC with their bank to the factory (for fully financed options); for Escrow accounts, initial deposit funds will be released to the factory 2. Begin to secure freight and setup all logistics to meet delivery schedule 3. SGS or equivalent independent inspection agency to inspect each batch before moving from factory or distribution center to port. Report will be sent to Buyer on each batch as product is sealed inside containers 4. Updates from Supplier to the Buyer will continue as product is produced and begins to ship out 5. Final independent inspection (can be different agency than first inspection) in the US 6. Buyer approval of initial and final inspection authorizes the LC or Escrow release - per order terms 7. Continue to execute on delivery and payment release until contract is satisfied Note: IMFPA determined per opportunity, discussed as appropriate along the way ** all subject to change based on Supplier
SUNLINE SUPPLY / PG. 6
SHIPPING REQS
EXAMPLE OF SHIPPING REQUIREMENTS AND DETAILS COUNTRY OF ORIGIN + MANUFACTURE
Lead manufacturer: Sri Trang Gloves Gloves (Thailand) CO., LTD. Additional Chinese manufacturers to be utilized.
SHIPPING MARKS + LABELS
Nitrile gloves, powder-free.
TIME OF DELIVERY
See Schedule on next page.
PORT OF LOADING
Bangkok, Thailand and Port of Tianjin, China.
DESTINATION
Los Angeles, CA
INSURANCE
Paid by the exporter
SUNLINE SUPPLY / PG. 7
SCHEDULE EXAMPLE PRODUCTION AND DELIVERY SCHEDULE EXAMPLE The following is for 3 weeks of air and 1 week of ocean delivery. This is an example from a current deal of our logistics planning. Schedule does not vary by location, whether China or Thailand. Product is in millions of boxes.
SUNLINE SUPPLY / PG. 8
PRODUCTION / DELIVERY SCHEDULE CON’T.
SUNLINE SUPPLY / PG. 9
PRODUCTION / DELIVERY SCHEDULE CON’T.
SUNLINE SUPPLY / PG. 10