TABLE OF CONTENTS
Tom Ford Company History .......................................... 4 Profile of Italy ................................................................ 8 The Sourcing Decision ............................................... 28 Business Etiquette in Italy ........................................... 40 Trade Agreements, Laws and Policies ....................... 46 Licensing Partners ...................................................... 50 Classifying the Import ................................................. 56 Cost Sheets ................................................................ 58 Shipping Routes ......................................................... 62 The Entry Process ....................................................... 64
TF COMPANY HISTORY Thomas Carlyle Ford was born in Austin, Texas. Both his parents, Tom Ford, Sr. and Shirley Burton, are real estate agents.
With money saved from acting jobs, Ford moves back to New York and enrolls at Parsons School of Design to study architecture and a bit of fashion.
June: After graduating from Parsons, and with basically no experience, Ford is hired by New York designer Cathy Hardwick as a design assistant. October: While picking up some samples for Hardwick at Women’s Wear Daily, he meets partnerto-be then fashion editor Richard Buckley for the first time.
Moves to Italy after Dawn Mello, creative director of Gucci a fabled house then in financial hot water taps him to design its women’s ready-to-wear. Following cutbacks, Ford finds himself designing menswear, as well as shoes and handbags.
January: Ford replaces Dawn Mello when she leaves Gucci to return to her post as president of Bergdorf Goodman. March: In Milan, Ford shows his first men’s and women’s collections as Gucci creative director.
TF COMPANY HISTORY February: Ford shows final collection for Gucci. A reviewer calls it “a fabulous farewell in which this perfection-obsessed superstar of fashion seized the moment to run his eye over everything he has achieved for the brand, and then do it better.” April: Closes the doors of Gucci Group’s London offices for the last time and, claiming to be on the lookout for a project to launch his directorial career, signs with CAA talent agent Bryan. June: The CFDA salutes ca him with its Board of Directors’ Special Tribute. September: Variety previews his first movie, A Single Man—which he directed and produced, as well as co-wrote the screenplay for at the Venice Film Festival. “An impressive helming debut,” the reviewer says. “Like the speck of sand that seeds a pearl, it’s the tiny fleck of kitsch at the heart of A Single Man that makes it luminous and treasurable.” December: GQ names him one of its Men of the Year. A Single Man is released in the States. Based on the novel of the same name by Christopher Isherwood, it stars Julianne Moore and Nicholas Hoult alongside star Colin Firth, who will later receive an Oscar nomination for his portrayal of a suicidal college professor.
January: He shows his men’s collection in London for the first time. Julianne Moore sports his graphic black-and-white dress on the Golden Globes red carpet. February: He officially returns to the runway, presenting womenswear during London Fashion Week. In an about-face, he invites photographers and bloggers to the show, sho which Vogue’s André Leon Talley describes as opulent and “beyond dazzling.” Pop singer Justin Timberlake debuts a video for his new single, “Suit & Tie,” in which he is outfitted by Ford.
A PROFILE OF ITALY SOCIAL Social welfare legislation in Italy began in the year 1898, was redesigned by law in 1952 and has subsequently been expanded. All workers and their families are covered and receive old age, disability, and survivor pensions, unemployment and injury benefits, health and maternity coverage. The system is primarily funded by employer contributions, along with employee payments and some government subsidies. Family allowances are paid for primarily by employer contributions, and are determined by the size and income of each family.
Conditions for old age pensions have varying conditions. The first maternity coverage was initiated in 1912, and updated in 2001. Despite full legal rights under law, women face some social discrimination in Italy. On average, women earn less than men and are underrepresented in management, their professions, and other areas.
Sexual abuse and violence remain a problem, although when reported, the authorities prosecute perpetrators and assist victims. Increased public awareness of sexual harassment and violence increased the number of reported abuses in 2004. The government is committed to protecting and promoting children’s rights. Human rights are generally respected in Italy. Lengthy pretrial detentions still occur due to the slow pace of the judicial system, and occasional cases of the mistreatment of prisoners were reported. Discrimination based on race, sex, religion, ethnicity, disability, and the language is prohibited by law.
Political Italy has a complex system of political alignments in which parties, their congresses, and their leaders often appear to exercise more power than parliament or other constitutional branches of government. Basic party policy is decided at the party congresses, generally held every second year, which are attended by locally elected party leaders. At the same time, the national party leadership is selected. Under the terms of the 1948 constitution, Italy is divided into 20 regions. Five of these regions are Sicily, Sardinia, Trentino Alto Adige, Friuli Venezia Giulia, and the Valle d’Aosta which have been granted semiautonomous status, although the powers of self-government delegated from Rome have not been sufficient to satisfy the militant separatists, especially in Alto Adige. Legislation was passed in the year 1968, which granted the remaining 15 regions an even more limited degree of autonomy. The councils and president are elected by universal franchise under a proportional system analogous to that of the parliament at Rome. The regions are subdivided into a total of 94 provinces, which elect their own council and president, and each region is in turn subdivided into communes, townships, cities, and towns that constitute the basic units of local administration. Councils elected by universal suffrage for a four-year term govern communes. The council elects a mayor and a board of aldermen to administer the commune. A commissioner in each region represents the federal government.
Cultural Ethnic Groups - Italy has been home to various groups of people: Lombards and Goths in the north; Greeks, Saracens, and Spaniards in Sicily and in the south; Latins in and around Rome; and Etruscans and others in central Italy. For centuries, however, Italy has enjoyed a high degree of ethnic homogeneity. The chief minority groups are the German-speaking people in the Alto Adige region and the Slavs of the Trieste area. Languages - Italian, the official language, is spoken by the vast majority of the people. While each region has its own dialect, Tuscan, the dialect of Tuscany, is the standard dialect for Italian. French is spoken in parts of Piedmonte and in Valle d’Aosta, where it is the second official language; Slovene is also spoken in the Trieste-Gorizia area. German is widely used in Bolzano Province, or South Tyrol, which is apart of the Trentino-Alto Adige region, which was ceded by Austria in 1919; under agreements reached between Italy and Austria in 1946 and 1969. The latter oversees the treatment of these German-speakers, who continue to call for greater linguistic and cultural autonomy. Religions - Roman Catholicism, affirmed as the state religion under the Lateran Treaty of 1929, lost that distinction under a concordat that the Vatican ratified in 1985. However, the Catholic Church continues to hold a privileged status with the state. An estimated 87% of native-born Italian citizens claim to be members of the Roman Catholic faith; however, only about 20% are active participants. Jehovah’s Witnesses form the second-largest denomination among native-born Italian citizens, with about 400,000 adherents. However, if immigrants are counted, the second-largest religion is Islam, with an estimated one million followers. About 100,000 people are Scientologists, 60,000 are Buddhists, 30,000 are Waldensians, 30,000 are Jewish and 20,000 are Mormons.
Economic The Italian economy, the world’s sixth-largest, has expanded since the 1950’s, it’s structure has changed markedly. Agriculture, which in 1953 contributed 25% of the GNP and employed 35% of the labor force, contributed only 11% of the GNP in 1968 and employed only 22% of the active labor force—despite continued increases in the value of agricultural production. Agriculture’s contribution to the GDP further declined to 8.4% in 1974, 5% in 2001, and 2.3% in 2004. Conversely, the importance of industriazation has increased dramatically. Industrial output almost tripled between 1953 and 1968 and generally showed steady growth during the 1970’s. In 2004, industry including fuel, power, and construction contributed 28.8% to the GDP.
Italy has generally been a leader in European industrial design and fashion due to lead growth in precision machinery and motor vehicles manufacturing. Services in 2004 accounted for 68.9% of the economy. However, apart from tourism and design, Italy is not internationally competitive in most service sectors.
Despite this economic achievement, a number of basic problems remain. Natural resources are limited, landholdings often are poor and invariably too small, industrial enterprises are of minimal size and productivity, and industrial growth has not been translated into general prosperity. The rise in petroleum prices during the mid-1970s found Italy especially vulnerable, since the country is almost totally dependent on energy imports. In addition, because economic activity is centered predominately in the north, Italians living in the northern part of the country enjoy a substantially higher standard of living than those living in the south. Partly because of increased energy costs, inflation increased from an annual rate of about 5% in the early 1970s to an annual average of 16.6% during 1975–81, well above the OECD average. Inflation was brought down to 14.6% in 1983 and to between 4 and 6% during most of the 1990s. In 1997 it was reduced to under 2%, its lowest level in 30 years. The inflation rate was estimated at 2.3% in 2004. From 1981 through 1983, Italy endured a period of recession, with rising budget deficits, interest rates above 20%, virtually no real GDP growth, and an unemployment rate approaching 10%. Unemployment hovered around the 10-12% range for most of the 1990s and at 9% into the 2000s. Between 1985 and 1995, GDP growth averaged 1.9% a year. It was quite low in 2003, at 0.7%. The GDP growth rate stood at an estimated 1.3% in 2004, and was flat in 2005. Economic growth was expected to pick up to a still disappointing 1–1.2% in 2006–07. Italy’s large public debt, public sector deficit, low productivity growth, and burdensome and complex tax system, are generally blamed for the poor state of the economy. A rigid labor market and generous pension system are also seen as responsible for a sluggish economy. The Silvio Berlusconi administration had abolished an inheritance tax, a move which was popular among affluent Italians. The 2005 budget included substantial tax cuts and a reduction in the number of tax rates from five to four. The corporate
tax rate was reduced from 36% to 33% in 2004. Berlusconi also attempted to loosen labor laws to increase temporary work contracts and ease hiring and firing practices. The government in the early 2000s was geared toward implementing spending cuts to spur consumer spending and corporate research and development. Pension reform, called a “financial time bomb� by economists, was proposed by the government and resulted in strikes in parts of Italy in mid-2003. Italy spends a massive 14% of GDP on pensions. In 2004, Italy raised the minimum age for state pensions from 57 to 60, but only beginning in 2008. One of Italy’s strengths is the thriving state of its small firms, which are often family owned. In 2003, the average number of workers per enterprise was just over four, the second-lowest figure in the EU. These small businesses are able to succeed in niche markets.
Silvio Berlusconi
Geographic Except for the fertile Po River Valley in the north and the narrow coastal belts farther south, Italy’s mainland is generally mountainous, with considerable seismic activity. During Roman times, the city of Pompeii, near present-day Naples, was devastated first by an earthquake in AD 63 and then by the famed eruption of Mt. Vesuvius. In the last century, a 7.2 magnitude earthquake in the Calabrian-Sicilian region occurred in December 1908 that leveled the cities of Reggio di Calabria and Messina and left about 100,000 dead. A quake in the south on November 23, 1980 claimed at least 4,500 lives. The Alpine mountain area in the north, along the French and Swiss borders, includes three famous lakes Como, Maggiore, and Garda and gives rise to six small rivers that flow southward into the Po. Italy’s highest peaks are found in the northwest in the Savoy Alps, the Pennines, and the Graian chain. They include Mont Blanc (4,807 m/15,771 ft), on the French border; Monte Rosa (Dufourspitze, 4,634 m/15,203 ft) and the Matterhorn (Monte Cervino, 4,478 m/14,692 ft), on the Swiss border; and Gran Paradiso (4,061 m/13,323 ft). Marmolada (3,342 m/10,965 ft), in northeast Italy, is the highest peak in the Dolomites.
Labor In 2005, Italy’s labor force was estimated at 24.49 million. In 2003 the occupational breakdown had 4.9% in agriculture, 32.2% in industry, 62.8% in the services sector, and 0.1% in undefined occupations. The estimated unemployment rate in 2005 was 7.9%. The law provides the right to form and join unions, and many workers exercise this right. According to union claims, between 35% and 40% of the nation’s workforce was unionized as of 2005. About 35% of the labor force was covered by collective bargaining agreements, which also included non-union employees. The right to strike is constitutionally protected, and workers engage in collective bargaining. Employers may not discriminate against those engaged in union activity. As of 2005, the legal workweek was set at 40 hours, with overtime not to exceed two hours per day or an average of 12 hours per week. However, in the industrial sector, maximum overtime was set at no more than 80 hours per quarter and 250 hours annually, unless limited by a collective bargaining agreement. Minimum wages in Italy are not set by law, but through collective labor contracts, which establish wages and salaries in every major field. In most industries these minimum rates offered a worker and family a decent standard of living. Labor contracts may also call for additional compulsory bonuses, while basic wages and salaries are adjusted quarterly to compensate for increases in the cost of living. With some limited exceptions, law prohibits children under age 15 from obtaining employment.
Inputs The Italian peninsula is a geologically young land formation and contains few mineral resources, especially metalliferous ones. What few exist are poor in quality, scant in quantity, and widely dispersed. The meagreness of its natural resources partially explains Italy’s slow transition from an agricultural to an industrial economy, which began only in the late 19th century. The lack of iron ore and coal especially hindered industrial progress, impeding the production of steel necessary for building machines, railways, and other essential elements of an industrial infrastructure. Iron and coal Half of Italy’s iron output comes from the island of Elba, one of the oldest geologic areas. Another important area of production is Cogne in the Alpine region of Valle d’Aosta; which lies at 2,000 feet (610 metres) above sea level. Little iron-bearing ore has been produced in Italy since 1984. Coal is found in small amounts principally in Tuscany, but it is of inferior quality, and its exploitation has been almost negligible. The vast majority of Italy’s coal is imported, mostly from Russia, South Africa, the United States, and China. Mineral production During the late 20th century, production of almost all of Italy’s minerals steadily decreased, with the exception of rock salt, petroleum, and natural gas. In the early 1970’s, Italy was a major producer of pyrites (from the Tuscan Maremma), asbestos (from the Balangero mines near Turin), fluorite (fluorspar; found in Sicily and northern Italy), and salt. At the same time, it was self-sufficient in aluminum (from Gargano in Puglia), sulfur (from Sicily), lead, and zinc (from Sardinia). By the beginning of the 1990’s, however, it had lost all its world-ranking positions and was no longer self-sufficient in those resources. Fuel deposits, too, were unable to keep pace with the spiraling demands of energy-hungry industries and domestic consumers. Although domestic production figures rose throughout the late 20th century, Italy remains a net energy importer. Small amounts of oil and natural gas used to be produced in the Po valley in the 1930’s, and asphalt was produced in Ragusa in Sicily. This
exploitation was followed by further oil discoveries in the Abruzzo and richer amounts in Ragusa and nearby Gela. Natural gas is the most important natural resource in the peninsula, found mainly on the northern plain but also in Basilicata, Sicily, and Puglia. Italy is one of the world’s leading producers of pumice, pozzolana, and feldspar. Another mineral resource for which Italy is well-known is marble, especially the world-famous white marble from the Carrara and Massa quarries in Tuscany. However, the reputation of these exceptional stones is disproportionately large when compared with the percentage of gross national product (GNP) accounted for by their exploitation.
Transportation Due to Italy’s diverse geography, a variety of different transportation services exist within the country. The fact that much of the country was constructed before the modern elements of transportation, also impact the locations some of the vehicles can go. Some of the roads and bridges date back to Roman times, which were never designed for modern cars and buses. The major cities, too, have developed intricate forms of public transportation that allow for easy access to nearly all locations for both residents and tourists alike.
Business climate Italy’s high level of public debt, perennially slow growth, and the ongoing Eurozone financial crisis led to widespread concern in 2011. Italy could be forced to pay unsustainable yields to service its sovereign debt. While these concerns were likely overstated, the Italian government responded with three “austerity” measures in the form of new taxes and spending cuts totaling more than $100 billion USD during the second half of 2011. The pressure from financial markets also contributed to political change when Prime Minister Silvio Berlusconi stepped aside in November for Mario Monti to lead a non-elected, technical government. Monti moved quickly to address a number of economic structural impediments to reassure financial markets, encourage growth, and improve Italy’s investment climate. Monti’s efforts – including on rigid labor markets, opaque tax and commercial laws, tax evasion, and excess regulation -- have continued into 2012. Even if the Monti government makes progress in changing decades of norms and convincing entrenched interest groups to allow reform, old challenges continue to deter investors, including the presence of organized crime in many parts of the country. In 2011, Italy ranked below nearly all its EU peers in international NGO rankings of regulatory transparency and ease of doing business. Not coincidentally, Italians in 2011 again invested more abroad than foreigners invested in Italy. Net investment inflows dropped from 15.6 billion euros in 2009 to 7.2 billion euros in 2010, while net Italian investment abroad was almost unchanged from 2009 at 15.9 billion euros. In 2011, progress on the government’s “fiscal federalism” project – to reform the public finance system by devolving decision-making and accountability from the central government to regional and local entities – ground to a halt. The government, however, renewed its push to attract investment in the south, partially through targeted use of EU structural funds, to address the region’s high levels of corruption, unemployment, and lack of infrastructure. The GOI in 2011 remained open to specific foreign political turmoil, and the country’s high debt-to-GDP ratio. Italy’s new
government announced some measures in early 2012 that could bolster infrastructure spending in targeted areas and provide investment and tax incentives. Italy’s large, relatively affluent domestic market, proximity to emerging economies in North Africa and the Middle East, and assorted centers of excellence in scientific and information technology research continue to attractive to many investors.
Effects of the quota system The number of foreign citizens that are admitted into Italy for work purposes is defined every year by the Entry Quotas. The Entry Quotas was established by the Government through the Flow Decree (Decreto Flussi). The number of Quotas defined by the Government is given by the need of the labor market; for this reason the Flow Decree can be issued twice a year if it turns out that more employees are needed in the workforce, or, once every two years. The applications can be lodged only in the specific time of the year defined by the Decree and only till the quota is reached. It is worth noting that the applications are processed on a “first-come first-serve” basis and those applications that don’t fit in the number are rejected without any possibility of appeal.
Autonomous workers are those whose intentions are to enter Italy to practice a profession independently or to set up a commercial or industrial enterprise. The number of foreign citizens who can be admitted in Italy for self-employment activities is defined by the entry quotas established by the Government through the Flow Decree (Decreto Flussi). The work permit application has to be lodged at the competent Central Immigration Desk (Sportello Unico per l’Immigrazione) only in the specific time of the year defined by the Decree and only till the quota is reached. The applications that do not fit in the number are rejected without any possibility of appeal. A variety of documents have to be enclosed in the request, to mention a few: all the authorizations issued by the Italian Authorities envolved in the process e.g. Chamber of Commerce, Police Headquarters, Registry of Business, appropriate Professional Association as well as the ones proving the legal requirements pursuant the activity. The service, upon request, may not only be limited to the assistance in obtaining the work permit, visa and the equivalent permit of stay, but can also include the legal constitution of the company with the procurement of all the necessary documents. Subordinate workers are those who commit themselves to providing their work activities to the employer and the employer commits himself to pay the employee a salary. The work permit can be granted within or outside the Quota System. In the first case, the number of foreign citizens who are allowed to come and work in the Italian territory for subordinate employment, either with a fixed-term contract than an open-term contract or seasonal employment, is defined every year by the “entry quotas” established by the Government with the Flow Decree. The applications can be lodged only in the specific time of the year defined by the Decree and only till the quota is reached. Those applications that don’t fit in the number are rejected without any possibility of appeal.
Type of Culture With the Renaissance, the Vespa, slow-food movement, the Opera, Valentino, espresso, the Colosseum and the Sistine Chapel, the culture of Italy is as rich as its food. And with iconic cities like Rome, Venice, Florence and Naples featuring reminders of the past around every corner, it’s easy to see why Italians are so very proud of their heritage. Italy drips with sensational artwork, ancient icons, ornate architecture and historic sights. The streets are filled with people and places that exude character and charisma, and famous Italian artists, inventors and public figures that have contributed so much to the world are openly adored and celebrated.
In general, Italians place great value on family, food and the enjoyment of life. Good quality food made with the best ingredients is preferred to processed, fast food. Eating is a pleasure to be enjoyed with friends and family, not a necessary inconvenience. Respect for the family unit is paramount, with many families choosing to live close to each other for life. Community is also an important element of Italian life and can be seen in neighbours enjoying a passeggiata (an after dinner stroll and chat).
Italians certainly live their lives with passion. This is evident in their zealous approach to driving, passionate patronage of football (soccer) matches and exuberant social life. It is common to see Italians debate politics, fashion, sport and current affairs with ferocious verve, which can sometimes be quite confronting for people from meeker cultural backgrounds. But lying underneath the bold, animated exterior of most Italians is a deep, passionate love for life itself.
Masculine or Feminine A high score (masculine) on this dimension indicates that the society will be driven by competition, achievement and success, with success being defined by the winner / best in field – a value system that starts in school and continues throughout organisational behaviour. A low score (feminine) on the dimension means that the dominant values in society are caring for others and quality of life. A feminine society is one where quality of life is the sign of success and standing out from the crowd is not admirable. The fundamental issue here is what motivates people, wanting to be the best (masculine) or liking what you do (feminine). At 70 Italy is a masculine society. Children are taught from an early age that competition is good and to be a winner is important in one’s life. Italians show their success by acquiring status symbols such as a beautiful car, a big house, a yacht and travels to exotic countries. As the working environment is the place where every Italian can reach his/her success, competition among colleagues for making a career can be very strong.
Negotiation Styles and Strategies In the north, people are direct, see time as money, and get down to business after only a brief period of social talk. In the south, people take a more leisurely approach to life and want to get to know the people with whom they do business. Allow your Italian business colleagues to set the pace for your negotiations. Follow their lead as to when it is appropriate to move from social to business discussions. Italians prefer to do business with high-ranking people. Hierarchy is the cornerstone of Italian business. Italians respect power and age. Negotiations are often protracted. Never use high-pressure sales tactics. Always adhere to your verbal agreements. Failing to follow through on a commitment will destroy a business relationship. Heated debates and arguments often erupt in meetings. This is simply a function of the free-flow of ideas. Haggling over price and delivery date is common. Decisions are often based more on how you are viewed by the other party than on concrete business objectives.
A SOURCING DECISION STRENGTHS Italy is positioned in the top ten economies in the world The Italian economy is driven by the production of high-quality procuts produced by small to medium-sized businesses Italy has a diversified industrial economy The boot shaped country is home to approximately 59 million people Italy is one of the most urbanised European countries The leading sectors in Italy are precision machine tools, packaging, fashion, stylish furniture, luxury boats and other products with high quality and design content Leader in leather and wool production Italy is universally associated with high style, fashion and creativity For decades, Italy has had a steady flow of tourism
WEAKNESSES Italy has two contrasting regions: The north is developed industrially and dominated by private companies. While the south, is less developed, welfare-dependent, and has a high unemployment There are still some parts of Italy which are underpopulated, mainly because the Italy is comprised mountain regions along the Alps Since most Italian companies are small enterprises, only some have staff that are fluent in English It’s all about who you know in Italy. Networking can be an almost fulltime occupation in and personal contacts typically allow people to be successful Italians often raise their voice to be heard over other speakers, however they do not do this out of anger. It is also common to be interrupted or for several people to speak at once. Italy currently has a high government debt and a somewhat fragile economy
A SOURCING DECISION OPPORTUNITIES Italy has the history and knowledge of quality and craftsmanship many other new, industrializing nations do not Italy’s factories are family run and handed down from generation to generation. Because of this, they have stable production capabilities without government involvment The country’s high reputation for quality increases their markey share for a luxury market Many companies want a piece of Italy’s heritage, therefore the country attracts many investments and new enterprises
THREATS France is able to offer the same knowledge of quality and craftsmanship, while having a more developed luxury market The inequality and division between Italy’s north and south regions Because most factories are small companies, they may not be able to meet deadlines and quotes of more advanced factories in other countries They are heavily reliant on the prices of their natural resources and goods, for instance wool and leather They are slower to adapt to newer methods of technology and may loose business to neighboring countries with higher capabilities
TF CODE OF CONDUCT
Introduction 1. Inspiring principles and structure of the Code of Ethics Tom Ford International, in the constant pursuit to comply with ethically unexceptionable conduct compliant with legal regulations, has felt the need to officialise all the fundamental values and rules of conduct guiding its responsible action in relations with its internal and external stakeholders in a corporate document, in order to pursue its corporate and social mission. This has resulted in the necessity for Tom Ford International to adopt a Code of Ethics which, once shared with all stakeholders, allows orienting actions towards ethical conduct based on correct and reciprocal cooperation, confirming in time the image of prestige and the excellent reputation of the company. Regarding the structure of the Document, the Tom Ford International Code of Ethics is divided into five main parts. This introduction is followed by parts two and three, comprising the fundamental values and the rules of conduct which represent the most systematic expression of these values. The rules of conduct have been drawn up trying to make clear the relationship of reciprocity (rights/duties) which connects the Group to its stakeholders in relation to the subjects considered. This is then followed by the parts relative to the ways of implementing the Code, the system of disciplinary action and the concluding provisions. 2. Code of Ethics and Model 231 The Code of Ethics must be understood as the “Declaration of Principles” of the Group which, by defining the fundamental Values of its responsible behavior, has a cascade influence on the policies and main processes of the company organization.
The Code must therefore be agreed as an autonomous document which is above “Model 231” as it identifies, through formalizing the fundamental values, the culture that the Company expresses in pursuing its mission. Model 231, on the contrary, contains systematic and detailed regulations but which have the aim of disciplining only sensitive processes with respect to the risk of offenses under Legislative Decree 231/2001 being committed. This, by way of example, means that there could be an infringement of the Code of Ethics but without the rules set out by Model 231 being broken, whilst the opposite hypothesis would be impossible. PART ONE: Values 1. Contrast and Harmony For Tom Ford International, contrast is an inexhaustible source of stimulus and inspiration. The value of Contrast generates the value of Harmony which is manifested in a style reconciling Luxury & Street, Tradition & Research, Creativity and Sartoriality, Excess & Rigour, Dream & Reality. 2. Respect of individuals For Tom Ford International, not tolerating any form of discrimination and persecution, paying constant attention to creating and keeping a safe, salubrious and appropriate working environment, where all the Employees and Collaborators are protected, are essential conditions to guarantee the “Respect of the individuals” who take part in pursuing the corporate mission. 3. Creativity and entrepreneurship For Tom Ford International, creativity is the essence that gives life to the designs. The Creativity value is linked to the value of entrepreneurship making it possible to create original products that express a unique style in line with the expectations of the market. 4. Integrity and Business ethics. For Tom Ford International Integrity is a fundamental value that must orient all relations and at every level, with external stakeholders, whether public or private subjects.
TF CODE OF CONDUCT 5. Responsibility and Honesty For Tom Ford International, Honesty and Responsibility are fundamental values that must orient the conduct of all those who, in contributing to the fulfilment of the corporate mission, learn of or handle sensitive information or use company IT instruments. 6. Respect for the environment For Tom Ford International, the Respect for the Environment is a fundamental value that the Company pursues, with sustainable conduct in carrying out its activity and supporting initiatives and projects that fight climate change. PART TWO: Rules of conduct 1. Relations with Employees A. Development of professional skills For Tom Ford International, developing creativity and professional skills is a fundamental objective to allow each person contributing to the fulfillment of the corporate mission, to be able to express to the best their individual potential. This is made possible by the Company’s constant attention to: B. Training and Responsibilization Tom Ford International undertakes to offer constant training, both in the context of the work required and concerning the responsibilization of its Employees on the respect of the rules of conduct and on the correct use of the company assets. C. Listening and Dialogue Tom Ford International undertakes to offer constant training, both in the context of the work required and concerning the responsibilization of its Employees on the respect of the rules
of conduct and on the correct use of the company assets. D. Incentivizing the spirit of belonging Tom Ford International undertakes to promote and incentivize, in its Employees, the spirit of belonging, creating an internal climate of cooperation and exchange of professional knowledge, indispensable to pursue the corporate mission. 2. Relations with Customers A. Commitment and Professionalism Tom Ford International puts its professionalism at the service of Customers with the aim of creating a solid relationship that retains their loyalty, based on the values of creativity, originality and integrity of the brand. B. Customer Care Tom Ford International bases its relations with Customers on the value of care, both offering unique creations which reflect the tastes and expectations of the clientele and to handle any complaints with maximum integrity and professionalism. C. Confidentiality Tom Ford International applies a strict policy in order to guarantee maximum confidentiality on the identity of its Customers and the exclusive pieces that are designed for them.
The Employees are, therefore, bound not to use and/or disclose the confidential information on Customers acquired during their work except subject to prior authorization by their superior and in the respect of the specific corporate policy.
TF CODE OF CONDUCT 3. Relations with Suppliers and Commercial Partners A. Transparency in selection Tom Ford International chooses its Suppliers and Commercial Partners following criteria of meritocracy, based on professionalism, solidity and economic value, applying internal procedures aimed at guaranteeing the best traceability and transparency in selection.
Suppliers and Commercial Partners are bound to comply with the standards of selection chosen by the Company and must always avoid applying pressure by taking advantage of any personal acquaintances to be introduced.
B. Awareness and Training Tom Ford International undertakes to make its Suppliers and Commercial Partners aware of the topics of this Code of Ethics, for them to respect rules of conduct coherent with those stated herein, in particular with reference to the respect of human rights and sustainable and responsible management of environmental and social impact. Suppliers and Commercial Partners, once selected, are obliged to comply with the standards of conduct indicated by Tom Ford International in its Code of Ethics and in Model 231. C. Correctness in relations Tom Ford International undertakes to establish with its Suppliers and Commercial Partners relations of correctness and and transparency and to define fair contractual conditions, without taking advantage of its position as dominant contracting party.
4. Relations with the Public Administrations
Tom Ford International undertakes to ensure maximum integrity and transparency in relations with the Authorities of supervision and control, with the Magistracy and in general with any Public Official.
5. Relations with the Market A. Fair competition Tom Ford International, in pursuing its mission, undertakes to respect the rules of fair competition and transparency in business, taking on its competitors in a serious and collaborative way. B. Management of sensitive information Tom Ford International undertakes to treat sensitive or privileged information concerning the Group, Clients, Suppliers, Commercial Partners and Competitors with maximum confidentiality and in the respect of the laws of reference to avoid committing market abuse with the aim of influencing the trend of financial instruments. 6. Relations with the Environment
Tom Ford International undertakes to adopt policies of sustainabl and efficient management for its impact on the environment, both relating to the company’s business and the indirect impact produced by the activity of Clients, Suppliers and Commercial Partners.
Suppliers and Commercial Partners are bound, in performing their business activity, to comply with and respect standards of environmental protection in line with the policy of sustainability adopted by Tom Ford International.
BUSINESS ETIQUETTE
Types of Communication and Relationships Italians prefer to do business with people they know and trust. A third party introduction will go a long way in providing an initial platform from which to work. Italians much prefer face-to-face contact, so it is important to spend time in Italy developing the relationship. Your business colleagues will be eager to know something about you as a person before conducting business with you. Demeanour is important as Italians judge people on appearances and the first impression you make will be a lasting one. Italians are intuitive. Therefore, make an effort to ensure that your Italians colleagues like and trust you. Networking can be an almost full-time occupation in Italy. Personal contacts allow people to get ahead. Take the time to ask questions about your business colleagues family and personal interests, as this helps build the relationship Italians are extremely expressive communicators. They tend to be wordy, eloquent, emotional, and demonstrative, often using facial and hand gestures to prove their point.
Social and Cultural Elements Business meetings - Appointments are mandatory and should be made in writing (in Italian) 2 to 3 weeks in advance. Reconfirm the meeting by telephone or fax (again in Italian). Many companies are closed in August, and if they are open many Italians take vacations at this time, so it is best not to try to schedule meetings then. In the north, punctuality is viewed as a virtue and your business associates will most likely be on time. The goal of the initial meeting is to develop a sense of respect and trust with your Italian business colleagues. Have all your printed material available in both English and Italian. Hire an interpreter if you are not fluent in Italian. It is common to be interrupted while speaking or for several people to speak at once. People often raise their voice to be heard over other speakers, not because they are angry. Although written agendas are frequently provided, they may not be followed. They serve as a jumping off point for further discussions. Decisions are not reached in meetings. Meetings are meant for a free flow of ideas and to let everyone have their say. Business attire - Dressing well is a priority in Italy. Men should wear dark coloured, conservative business suits. Women should wear either business suits or conservative dresses. Elegant accessories are equally important for men and women. Business cards - Business cards are exchanged after the formal introduction. To demonstrate proper respect for the other person, look closely at their business card before putting it in your card holder. It is a good idea to have one side of your business card translated into Italian. If you have a graduate degree, include it on your business card. Make sure your title is on your card. Italians like knowing how you fit within your organization. Gift giving - Do not give chrysanthemums as they are used at funerals. Do not give red flowers as they indicate secrecy. Do not give yellow flowers as they indicate jealousy. Quality, rather than quantity, is important. Do not wrap gifts in black, as is traditionally a mourning colour. Do not wrap gifts in purple, as it is a symbol of bad luck.
Greetings - Greetings are enthusiastic yet rather formal. The usual handshake with direct eye contact and a smile suffices between strangers. Once a relationship develops, air-kissing on both cheeks, starting with the left is often added as well as a pat on the back between men. Wait until invited to move to a first name basis. Italians are guided by first impressions, so it is important that you demonstrate propriety and respect when greeting people, especially when meeting them for the first time. Many Italians use calling cards in social situations. These are slightly larger than traditional business cards and include the person’s name, address, title or academic honours, and their telephone number. If you are staying in Italy for an extended period of time, it is a good idea to have calling cards made. Never give your business card in lieu of a calling card in a social situation. Titles - Follow Italian business protocol by waiting until you are invited before using first names. Italians always start with the more formal title + family name and some continue to do so even when they have worked together for years. It is a sign of respect, though it can also mean that they feel that they do not know each other well enough to move to first names. Moving too quickly to first names can make Italians uncomfortable as they may feel that you are pretending to be friendly for ulterior motives. In most Italian companies, executives and subordinates continue to use titles and surnames only. In many large Italian multinationals, however, the corporate culture of using first names has become the norm and you may find that your Italian colleagues move very quickly to familiar terms. If the person you are meeting is outside your company e.g. a supplier he or she would expect to use the more formal greeting for a long time. You are expected to use “Signore” [Mr.] and “Signora” [Mrs.], plus the family name, when introduced to strangers. “Signorina” [Miss] is rarely used in Italy today, and is best avoided.
It is most commonly used when a woman appears relatively young [late teens /early twenties] and is unmarried. Where a title is known, it is best to use it, as a title relating to a university degree has higher status than “Signore” or “Signora.” A male university graduate is given the title of “Dottore”, while the female equivalent is “Dottoressa.” If in doubt whether someone has a degree or not it is best to err on the side of caution. You pay a compliment even if you get it wrong. Italians who have a degree in engineering use the title Ingeniere (written Ing.) instead of Dottore and lawyers use Avvocato (written as e.g. Avv. Rossi) as they are considered to have higher status again. (time) Italians are usually relaxed around issues relating time being late with a good reason will not have any negative consequence.
Business Entertaining Table manners - Remain standing until invited to sit down. You may be shown to a particular seat. Table manners are Continental -- the fork is held in the left hand and the knife in the right while eating. Follow the lead of the hostess - she sits at the table first, starts eating first, and is the first to get up at the end of the meal. The host gives the first toast. An honoured guest should return the toast later in the meal. Women may offer a toast. Always take a small amount at first so you can be cajoled into accepting a second helping. Do not keep your hands in your lap during the meal; however, do not rest your elbows on the table either. It is acceptable to leave a small amount of food on your plate. Pick up cheese with your knife rather than your fingers. If you do not want more wine, leave your wine glass nearly full.
Utensils - Italians do not switch knives and forks. The knife remains in the right hand, and the fork remains in the left. When the meal is finished, the knife and fork are laid parallel to each other across the right side of the plate, with the tines of the fork facing downward. If you put both utensils down on the plate for any real length of time, it is a sign to the waitstaff that you are finished, and your plate may be taken away from you. Alternately, if you lay your cutlery down on either side of the plate, it means you have not finished. Dining etiquette for you place setting. The fork and spoon above your plate are for dessert. There are often many additional pieces of cutlery: if you’re unsure of which utensil to use, always start from the outside and work your way in, course by course. There will be separate glasses provided at your setting for water and white and red wine (after-dinner drink glasses come out after dinner). If you have a small plate as well as a larger one, plus a bowl, most likely the small plate will be for antipasto (salad plates will come out later), and the large plate for the main course: the bowl will be for soup if a soup spoon is present, or for pasta if a soup spoon is not present. Dining etiquette for eating bread. Bread is usually served without butter (therefore, there will usually not be a butter knife, but there may be a bread dish: if so, this usually means that olive oil will be served to dip the bread into; if not, you can place your bread on the side of your main plate or on the table throughout the meal).Dining etiquette for your hands. When not holding utensils, your hands should be visible above the table. Rest your wrists on top of the table (never your elbows).
TRADE AGREEMENTS & LAWS Basic labeling requirements in Italy: + Name of products (physical condition or specific treatment) + Name/address of manufacturer, packer, seller or importer in the Italian + Language + Country and place of origin + Ingredients in descending order of weight + Metric weight and volume + Additives by category name + Special storage conditions + Minimum shelf life date + Expiry date + Lot number + Indication of allergens + Indication of maximum limits of fats for meat based products + Net quantity in volume for liquids and in mass units for all other products + Instructions for use, if necessary The duty rates applied to imports into Italy typically range between 0% (for example books) and 17% (for example Wellington Boots). Some products, such as Laptops, Mobile Phones, Digital cameras and Video Game consoles, are duty free. Certain goods may be subject to additional duties depending on the country of manufacture, for example Bicycles made in China carry an additional (anti dumping) duty of 48.5%. The standard VAT rate for importing items into Italy is 22%, with a few exceptions attracting VAT at reduced rates of 10% or 4%. VAT is calculated on the value of the goods, plus the international shipping costs and insurance, plus any import duty due.
U.S. CBP Officers in Foreign Countries Specialist is currently waiting to deploy. Rome, Italy CBP Representative American Embassy Via Veneto 119/A 00187 Rome Tel: 011-39-06-4674-2475 Textiles and textile products are considered trade-sensitive and as such may be subject to a higher percentage of examinations than other commodities. When packages contain goods of one kind only, or when the goods are imported in packages the contents and values of which are uniform, the designation of packages for examination and the examination for CBP purposes are greatly facilitated. If the contents and values differ from package to package, the possibility of delay and confusion is increased. Sometimes, because of the kinds of goods or because of the unsystematic manner in which they are packed, the entire shipment must be examined.
Additional Questions for Textile and Apparel Importers 1. Has the importer had a prior relationship with the named party? 2. Has the importer had any seizures or detentions of textile or apparel products that were directly or indirectly produced, supplied, or transported by the named party? 3. Has the importer visited the company’s premises to ascertain that the company actually has the capacity to produce the merchandise? 4. Where a claim of an origin-conferring process is made in accordance with 19 CFR 102.21, has the importer ascertained that the named party actually performed that process? 5. Is the named party really operating from the country that he or she claims on the documentation, packaging or labeling? 6. Have quotas for the imported merchandise closed, or are they near closing, from the main producer countries for this commodity? 7. Does the country have a dubious or questionable history regarding this commodity? 8. Have you questioned your supplier about the product’s origin? 9. If the importation is accompanied by a visa, permit or license, has the importer verified with the supplier or manufacturer that the document is of valid, legitimate origin? Has the importer examined that document for any irregularities that would call its authenticity into question?
LICENSING PARTNERS Tom Ford International has many licensing partners in order to launch products at a more accessible price point. They are run by trusted partners and required little to no cash investment from Tom Ford, only his time and design sense.
Ermenegildo Zegna manufacturers most of Tom Ford’s menswear collection, including a ready-to-wear and made-to-measure clothing, footwear, and accessories. They are a family run, Italian comanpy with corporate offices in Milan and headquarter factories in Trivero, Italy. With 500 stores globally, Zegna has fourteen total factories - seven in Italy and seven smaller manufacturers overseas. At the companies centennial celebration, Gildo Zegna, the company’s chief executive, said “When you have deep roots, you have wide wings,” said. “And in this centennial year we are healthy, liquid and ready to attack.”
In 2006, Estee Lauder introduced a stand-alone Tom Ford beauty brand. With this partnership, Ford is able to take advantage of Estee Lauder’s expertise in the fragrance business. Not only is Tom Ford to gain, but Estee Lauder also benefits from Ford’s network, fame and marketing sensibility. Together, Tom Ford and Estee Lauder maintain a full beauty line for women, including skincare, and have recently launched a men’s skincare line.
CLASSIFYING THE IMPORT The Harmonized Tariff Schedule (HTS) The HTS code for being imported products is: 6402.20.00. Men’s Footwear Footwear with upper straps assembled to the sole by means of plugs. Chapter: 64 Heading: 10 Subheading: 20 Tariff item: 6402.20.00.00
Ocean Freight
A. Type of box used: Metal B. Number of boxes: 5 C. Type of container: Metal Container 45ft D. Space needed in container: 3 composite shelves E. Cost to ship the merchandise: 4,938.41- 5,458.24
Air Freight
A. Type of garment carrier: Hanging Racks and Shelves B. Number of garment carriers: 5 C. Space needed in air freight: 4 composite shelves D. Cost: 1,167.08 – 1,289.94
SHIPPING ROUTES ITALY to the UNITED STATES
Shipping timeline Ocean Freight Shipping Delivery Time: 100 days **Tom Ford makes Menswear, Womanwear, Shoes, Beauty, and Eyewear** Production Reservation: 7 days Production: 10 days Packing/Preparing for Shipping: 7 days Pick-up Cubed Units: Set date made (reservation) Roadway Truck Transportation provided by consolidator Shipment taken to Port: Within 7 days Shipment loading into Container at the Port: 1 week Air Freight: N/A
Customs Ocean travel time: 4-8 weeks Milan to Naples: 10 days of travel time Naples to New York, United States: 30 days of travel time New York, New York to Tom Ford. Tom For distributes to varied states within the US. Shipment Unloaded and transferred onto Trucks: 5- 7 days U.S. Customs: 7-10 days Shipment from NY to other US states: 1-2 weeks Roadway Truck **Arrival of shipment**
Import Power of Attorney (POA) Instructions Please read carefully and use the following instructions to complete the POA form: 1. Type or print your IRS #. (EIN - Employer ID # or SSN - Social Security # as applicable). If importing under a Customs assigned ID number, that number must appear on the POA. 2. Check the appropriate importer category. 3. Type or print the full name of the individual, partnership, corporation (as it appears on corporate records), sole proprietorship, or Limited Liability Company. 4. Enter the appropriate category checked in (2) above. 5. Type or print the state in which you reside or are incorporated. 6. Type or print the complete address at which you conduct business, including city and state. a. Individuals and Sole Proprietorships: Enter the legal residence of the person named in (3) above. b. Corporations and Partnerships: Enter primary or corporate business address. 7. Select only one of the options listed; POA to be valid for a specific period of time or only for a specific AWB. (See instructions #8 or #9 below for selected option) 8. Enter the date until which the POA is to remain valid. If you do not enter a date, the authorization will remain valid until you revoke it in writing. Note: DHL Express requires the POA to remain in effect for at least 15 days after the signature date. 9. Enter the air waybill for which the POA is valid (Only when POA is restricted to a single Air waybill). 10. Type or print the name of the person duly authorized to execute the POA. a. Corporation: Corporate officer empowered to grant POA on behalf of the corporation. If other than a corporate officer, a Delegation of Authority must accompany the POA (19 CFR 141.37). b. Partnership: Any partner authorized to execute the POA. POA’s for Partnerships and Limited Partnerships or LLP’s must be accompanied by a copy of the partnership agreement [19 CFR 141.39(a)(2)]. c. Individual or Sole Proprietorship: The person named in (3) above. 11. Sign the POA: Signature must belong to the individual in number 10 above. 12. Enter signatory’s title. 13. Enter the signature date in the following format: month/day/year Note: This date is a confirmation of the effective date. Questions can be directed to your DHL sales representative
DEPARTMENT OF HOMELAND SECURITY
1. Filer Code/Entry No.
U.S. Customs and Border Protection ENTRY SUMMARY
Form Approved OMB No. 1651-0022 EXP. 08-31-2014
2. Entry Type
3. Summary Date
4. Surety No. 5. Bond Type 6. Port Code
7. Entry Date
8. Importing Carrier
9. Mode of Transport
10. Country of Origin
11. Import Date
12. B/L or AWB No.
13. Manufacturer ID
14. Exporting Country
15. Export Date
16. I.T. No.
17. I.T. Date
21. Location of Goods/G.O. No.
18. Missing Docs 19. Foreign Port of Lading
22. Consignee No.
23. Importer No.
25. Ultimate Consignee Name and Address
City 27. Line No.
State
Zip
City A. Entered Value B. CHGS C. Relationship
35. Total Entered Value
$ 36. DECLARATION OF IMPORTER OF RECORD (OWNER OR PURCHASER) OR AUTHORIZED AGENT Importer of record and that the actual owner,
or purchaser or agent thereof. I further declare that the merchandise
33. A. HTSUS Rate B. ADA/CVD Rate C. IRC Rate D. Visa No.
CBP USE ONLY
Total Other Fees
purchaser, or consignee for CBP purposes is as shown above, OR
State 32.
$
I declare that I am the
24. Reference No.
26. Importer of Record Name and Address
28. Description of Merchandise 29. 30. 31. A. HTSUS No. A. Grossweight Net Quantity in B. ADA/CVD No. B. Manifest Qty. HTSUS Units
Other Fee Summary for Block 39
20. U.S. Port of Unlading
Zip 34. Duty and I.R. Tax Dollars
Cents
TOTALS
A. LIQ CODE
B. Ascertained Duty
37. Duty
REASON CODE
C. Ascertained Tax
38. Tax
D. Ascertained Other
39. Other
E. Ascertained Total
40. Total
owner was obtained pursuant to a purchase or agreement to purchase and that the
prices set forth in the invoices are true, OR was not obtained pursuant to a purchase or agreement to purchase and the statements in the invoices as to value or price are true to the best of my knowledge and belief. I also declare that the statements in the documents herein filed fully disclose to the best of my knowledge and belief the true prices, values, quantities, rebates, drawbacks, fees, commissions, and royalties and are true and correct, and that all goods or services provided to the seller of the merchandise either free or at reduced cost are fully disclosed. I will immediately furnish to the appropriate CBP officer any information showing a different statement of facts.
41. DECLARANT NAME
TITLE
42. Broker/Filer Information (Name, address, phone number)
SIGNATURE
DATE
43. Broker/Importer File No. Paperwork Reduction Act Notice CBP Form 7501 (06/09)
Certificate of Origin 1. Goods consigned from (Exporter's business name, address, country)
2. Goods consigned to (Consignee's name, address, country)
Reference No GENERALISED SYSTEM OF PREFERENCES CERTIFICATE OF ORIGIN (Combined declaration and certificate) FORM A Issued in
(country) See Notes overleaf
3. Means of transport and route (as far as known)
5. Item number
6. Marks and number of packages
4. For official use
7. Number and kind of packages, description of goods
11. Certification It is hereby certified, on the basis of control carried out, that the declaration by the exporter is correct.
8. Origin criterion (see Notes overleaf)
9.
Gross weight or other quantity
10. Number and date of invoices
12. Declaration by the exporter The undersigned hereby declares that the above details and statements are correct; that all the goods were produced in
(country)
and that they comply with the origin requirements specified for those goods in the Generalised System of Preferences for goods exported to
(importing country)
Place and date, signature and stamp of certifying authority
Place and date, signature of authorized signatory
Ocean Bill of Lading Instructions Shipper:
ORIGINALS REQUIRED Booking Number:
Consignee:
Forwarder:
FMC #:
Rate Reference Number
Temperature Control Range from:
°C
to:
Notify Party Dangerous Goods Consignments Require: Shipper’s Declaration Container Packing Certificate Emergency Response Information Precarriage By:
Port of Receipt:
Vessel:
Port of Loading:
Type of Movement (traffic routing)
Port of Discharge:
Place of Delivery:
On Carriage By:
PARTICULARS FURNISHED BY SHIPPER
°C
RESET FORM
STRAIGHT BILL OF LADING - SHORT FORM
Carrier Name: Carrier Address: City State and Zip: TO: Consignee Address City State and Zip FROM: Shipper Address City State and zip FOR PAYMENT SEND BILL TO: Name Address City State & Zip Number Shipping Units
*HQ
Phone Date
SHIPMENT IDENTIFICATION NO. FREIGHT BILL PRO NO.
SAC
DUNS TRAILER/CAR NUMBER ROUTE
SPECIAL INSTRUCTIONS
SHIPPER'S INTERNAL DATA
SID NO.
Kinds of Packaging, Description of Articles, Special Marks and Exceptions
REMIT C.O.D. TO Address City State & zip
COD
Code
AMT: $
Weight Subject to Correction
Subject to Section 7 of conditions, if this shipment is o be delivered to the consignee without recourse on the consignor, the consignor shall sign the following statement:
Rate
C.O.D. FEE
$ $
PREPAID COLLECT
TOTAL CHARGES
Charges
$
The carrier shall not make delivery of this
NOTE - Where the rate is dependant on value, shippers are required to state shipment without payment of freight and all other FREIGHT CHARGES specifically in writing the agreed or declared value of the property. lawful charges. ARE PREPAID UNLESS The agreed or declared value of the property is hereby specifically stated by the shipper MARKED COLLECT to be not exceeding
$
Signature of Consignor
per
CHECK BOX IF COLLECT
RECEIVED, subject to the classifications and lawfully filed tariffs in effect on the date of the issue of this Bill of Lading, the property described above in apparent good order, except as noted (contents and conditions of contents of packages unknown), marked consigned and destined as indicated above which said carrier (the word carrier being understood throughout this contract as meaning any person or corporation in possession of the property under the contract) agrees to carry to its usual place of delivery at said destination, if on its route, otherwise to deliver to another carrier on the route to its destination. It is mutually agreed as to each carrier of all or any of the said property, over all or any portion of said route to destination and as to each party at any time interested in all or any of said property, that every service to be performed hereunder shall be subject to the bill of lading terms and conditions in the governing classification on the date of shipment. Shipper hereby certifies that he is familiar with all the bill of lading terms and conditions in the governing classification and the said terms and conditions are hereby agreed to by the shipper and accepted for himself and his assigns.
SHIPPER
CARRIER
PER
PER
* Mark "X" or "RQ" if appropriate to designate Hazardous Materials as defined in the Department of Transport Regulations governing the transportation of hazardous materials. The use of this column is an optional method for identifying hazardous materials on bills of lading per Section172.201(a)(1)(iii) of Title 49, Code of Federal Regulations. Also, when shipping hazardous materials the shipper's certification statement prescribed in Section 172.204(a) of the Federal Regulations must be indicated on the bill of lading, unless a specific exemption from this requirement is provided in the Regulations for a particular material.
This notice informs the PPQ Office of the arrival of a restricted article at a port of entry. The information is used to schedule required inspections. (7 CFR 319.321, 322, and 325).
FORM APPROVED OMB NO: 0579-0049
U.S. DEPARTMENT OF AGRICULTURE ANIMAL AND PLANT HEALTH INSPECTION SERVICE PLANT PROTECTION AND QUARANTINE
NOTICE OF ARRIVAL
INSTRUCTIONS: Immediately upon arrival, the permittee or his agent should prepare original and one copy of this form. Submit copies to the Plant Protection and Quarantine office having jurisdiction over the port of arrival.
1. NAME OF CARRIER
3. NAME OF PERMITEE/CONSIGNEE
2. DATE OF ARRIVAL
4. PORT OF ARRIVAL
5. PERMIT NO.
6. PORT OF DEPARTURE
7. CUSTOMS ENTRY NO.
8. CONSIGNOR/SHIPPER (Name and Address)
9. PRESENT LOCATION
10. COUNTRY AND LOCALITY WHERE GROWN
11. NAME OF PREVIOUS U.S. PORT (In Transit Only)
12. LT. NO.(In Transit Shipments Only)
13. DESCRIPTION OF PRODUCT MARKS, BILL OF LADING, AND/OR CONTAINER NO.
14. SIGNATURE OF IMPORTER OR BROKER
QUANTITY AND NET WEIGHT
COMMODITY
15. FULL BUSINESS ADDRESS OF IMPORTER OR BROKER
16. DATE SIGNED TELEPHONE NUMBER (INCLUDE AREA CODE) 17. DISPOSITION OF PRODUCT
TO BE COMPLETED BY PPQ OFFICAL
18. SIGNATURE AND TITLE OF PPQ OFFICAL
19. DATE SIGNED
According to the Paperwork Reduction Act of 1995, no persons are required to respond to a collection of information unless it displays a valid OMB control number. The valid OMB control number for this information collection is 0579-0049. The time required to complete this information collection is estimated to average .08 hours per response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.
PPQ FORM 368 (AUG 2005)
Previous editions are obsolete.
PACKING LIST SHIPPER Invoice No:
Page _____ of _____
Invoice Date:
Ship Date: File Number:
CONSIGNEE:
BILL TO:
SHIPMENT INFORMATION Customer PO No:
Letter of Credit No:
Mode of Transportation:
PO Date:
Currency:
Transportation Terms:
Ref No:
Payment Terms:
Number of Packages:
AWB/BL No:
Incoterms Desc.:
Gross Weight(Kg):
QUANTITY
UNIT
DESCRIPTION
NO. PKGS TOTAL:
GROSS WEIGHT LBS KGS
NET WEIGHT LBS KGS
COMMERCIAL INVOICE Invoice Information Invoice Number Order Number
Invoice Date
Shipper Information Name Address Telephone Fax VAT Number Country Notify Party
Consignee Information Name Address Telephone Fax VAT Number Country Address
Shipping Information AWB Number Forwarding Agent
Date Of Export Payment Mode
Shipment Information Number Of Specification Of Commodities Pieces
Wt (Kg)
QTY
Unit Price
Total Weight
Currency
Amount
Total Amount
Country Of Origin I hereby certify that the items listed above are true and correct Name Signature
______________________________ ______________________________
Reset Form
E/CMI01
Avoiding Documentary Credit Problems 1. Sending the buyer a letter of credit proforma To avoid problems and delays in payment, it is recommended that the exporter convey in writing some guidelines to the buyer as to what terms the credit should contain, the complete name and address of the bank to which the letter of credit should advised by the opening bank, and details of shipment terms. If these are spelled out in advance of the issuance of the credit than costly amendments may not be required. A sample letter of credit template, or proforma, is indicated below:
SAMPLE LETTER OF CREDIT TEMPLATE / PROFORMA TO: { BUYER}
PROFORMA INVOICE: YOUR REF.: YOUR REF. DATE:
We have indicated below those terms and conditions that we would find acceptable in a letter of credit issued by your bank. Your efforts to gain compliance with these terms and conditions in the issuance of this letter of credit will ensure prompt dispatch of your order. If your bank is unable to issue the credit within the following guidelines, please contact us providing information on those areas that must be altered. This will eliminate needless delay and costs involved with amendments after the credit has been opened. Only those items marked with an "X" will apply. 1.
[ ] The letter of credit is to be irrevocable and subject to the Uniform Customs and practice for Documentary Credits, as published and updated from time to time by the International Chamber of Commerce.
2.
[ ] The letter of credit is to be [ ] Advised [ ] Confirmed by our bank: KeyBank National Association Attn: International Operations Telex No.: 212525 SNB UR SWIFT No.: KEYBUS33 ABA.: 041001039
3.
[ ] The beneficiary is to be shown as:
sectn_4.doc
“I am one of those people who isn’t great at anything, but I’m pretty good at most things.” - Tom Ford