Compensation Plan Xelliss EN by xellisscorporate

ENGLISH

COMPENSATION PLAN â&#x20AC;£ EUROPE An opportunity for everyone

‣

Version : September 2020

This document is the Xelliss Compensation Plan, written in English for the European market. This document contains all regulations concerning the remuneration of distributors by Xelliss. The Compensation Plan forms an integral part of the Distributor Contract as well as the Application for Authorisation and the General Terms and Conditions of Distribution.

The Compensation Plan has been adapted for the US market. Please refer to the US Compensation Plan. The information contained in this document should not be regarded as a guarantee of financial compensation. Generating revenue in the mediumand long-term requires time and personal commitment. Xelliss reserves the right to modify and update this Compensation Plan at any time.

Xelliss is a member of:

Overview

Getting Started Your Registration The Activation Packs Your Online Tools Your Online Shop Your Back Office (BO) Business Concept 13 x 4-Week Periods Active Status ADP Order PV and the Dynamic Shopping Cart Your Genealogy Your Commissions 8 Ways to Generate Revenue Customer Margin Forty Bonus Team Bonus Ranking Bonus Matching Bonus Car Bonus Leadership Trip Diamond Bonus Glossary Glossary Compensation Plan Regulations

Â© Xelliss | COMPENSATION PLAN EN

Getting Started Your Registration The Xelliss Compensation Plan offers you different revenue possibilities in the short-, medium- or long-term. However, before you start to build your business, you have to register!

ADMINISTRATIVE FEE

€ 29 DISTRIBUTOR ID BACK OFFICE CUSTOMER ONLINE SHOP

In order to become a distributor, you must be sponsored by someone who is already a member of Xelliss. With the support of this individual, you will proceed to your registration. This will become effective as soon as you settle the administrative fee for opening the account, which is fixed at 29€ including tax (membership renewable annually and non-refundable). Membership gives you access to the online IT management tool (known as the back office) of your new company and to your customer online shop.

This registration enables you to purchase all of the Xelliss products directly from the company at the current distributor rate and to sponsor, should you so wish, people with whom you will have assured the promotion of your business opportunity. However, the simple fact of being registered does not qualify you for the collection of bonuses and commissions linked to the development of a team of distributors. It should be noted that the simple fact of sponsoring a new distributor does not give you any entitlement to remuneration.

Xelliss supports you in the development of your activity thanks to the Xelliss Academy (training system, documentation, newsletter, etc…).

Getting Started The Activation Packs To help you start your business, Xelliss offers you packs, which are only available during the first 40 days following your registration. The Activation Packs have been designed to optimise your business.  Each pack contains quantities of products adapted to your needs and in line with your wishes.

VITALITY Pack 160 PV

SPORT Pack

MOBILITY Pack

140 PV

120 PV

SEASON Pack

ANIMALS Pack

100 PV

220 PV

Your Online Tools Your Shop and BO Your online shop From the moment you become a Xelliss distributor, you have an online shop that is available 24/7 anywhere in the world, as well as a back office to manage your business.

Your back office (BO) Your back office allows you to track the sale of products on your online shop and the associated customer margin you will receive.

To develop your business centre, it is essential to have customers. A personalised link to your shop is then assigned to you so that you can share it in your network and promote our products to your customers, in particular via our Privilege Programme.

Here you will find: ‣ ‣ ‣

This tool also has other very useful functions for building and developing your business.

‣ ‣ ‣

Your back office is literally your dashboard, which provides you with information throughout your career as a Xelliss distributor. It has many functions designed to train, inform and support you in your business.

‣ ‣

Your personal account Your catalogue of products at preferential rates Your orders Your genealogy Your commissions (including customer margins) An agenda of Xelliss events (including training courses) Information resources Direct access to the Xelliss Academy app (also available on tablet and smartphone)

Business Concept 13 x 4-Week Periods Your Xelliss distributor account is valid for one year from the moment you pay your administrative fees. Your Xelliss activity is divided into 13 periods of 4 weeks (a total of 52 weeks).

Please note: 4-week periods do not necessarily correspond to calendar months. All the information related to your sales and the construction of your teams, for each week, can be followed in real time thanks to your back office.

Each week of Xelliss activity starts on Monday 00:00 and ends on Sunday 24:00 (CEST time).

Period 6

Example: Period 6 consists of weeks 21, 22, 23 and 24. Week 21 starts on Monday 24th and ends on Sunday 1st. Both weeks and periods can therefore run over 2 months.

w21

w22

w23

w24

52 weeks = 13 x 4-week periods 1

[1 2 3 4]

[5 6 7 8]

[9 10 11 12]

[13 14 15 16]

[17 18 19 20]

[21 22 23 24]

[25 26 27 28]

[29 30 31 32]

[33 34 35 36]

[37 38 39 40]

[41 42 43 44]

[45 46 47 48]

Period

Each period is fixed at 4 weeks

[49 50 51 52]

[Weeks]

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Business Concept Active Status Active status If Xelliss' activity is spread over 13 x 4-week periods, you must obtain "active" status during each period in order to be eligible for the different bonuses of the Compensation Plan (Team Bonus, Forty Bonus, Ranking Bonus...). To be active, you must place a so-called qualifying order. Each qualifying order triggers a distributor's active status for a period of 4 weeks, the current week of the order and 3 additional weeks. There are 2 active statuses for a given period: 45 PV status and 90 PV status 45 PV active status A qualifying personal order of products greater than or equal to 45 PV and less than 90 PV triggers your active status at 45 PV for a period of 4 weeks.

Active status with cumulative orders over the course of a week Over the course of a week, you can benefit from a cumulation of PV from personal orders and orders made by your customers, resulting in you being active at 45 PV or 90 PV. The system will automatically take account of the current week's PV to determine the status level (45 PV or 90 PV.) Change of status from 45 PV to 90 PV For distributors who wish to change their active status from 45 PV to 90 PV, in order to be eligible for all commissions in the Compensation Plan, simply place an order for a minimum of 90 PV and inform the system that this order is referred to as an "active status change".

90 PV active status A qualifying personal order of products greater than or equal to 90 PV triggers your 90 PV active status for a period of 4 weeks.

Current period: Period 0

Period 9

Period 11 Period 10

90PV QUALIFYING ORDER ACTIVE

ACTIVE

Example: a qualifying order of 90 PV triggers active status for fixed period of 4 weeks.

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Business Concept ADP Order ADP (Automatic Delivery Plan) The automatic delivery plan (ADP) enables the recurring shipment of an order of products, each month, on your chosen date. ADP is a feature available uniquely for orders greater than or equal to 90 PV. This procedure guarantees your active status at 90 PV from date to date. You benefit from 4 weeks of complimentary activity during a calendar year.

In your back office, you can set up and modify your ADP orders at any time: choice of products and delivery date to your home. It is also possible to continue to place other orders from time to time. Placing an ADP during a week in which a distributor is already active, resets their activity status. Their activity is therefore no longer 4 weeks but instead from date to date.

Period 11

Period 12

(12)

Illustration of an ADP offering a 5th week of activity: an ADP placed on the 12th of the month qualifies the distributor from date to date. In periods 11 and 12, the distributor is qualified for 5 weeks.

ÂŠ Xelliss | COMPENSATION PLAN EN

Business Concept PV and the Dynamic Shopping Cart Your points volume (PV)

Products

The basic principle of the Xelliss Compensation Plan is that an amount of points volume (PV) is associated with each commissionable product, which distributors can purchase at the current rate.

NaturaBlue Original

45 PV

NaturaGreen Native

23 PV

NaturaGreen Caps

23 PV

NaturaKrill (90 caps)

30 PV

The PV provides the basis for the calculation of bonuses and commissions.

NaturaBiome X3

45 PV

Pack Vitality

160 PV

The Compensation Plan revolves around your business centre, which earns PV on sales of commissionable products: PV on your personal orders, and the PV of your customers purchasing products from your online shop.

Your dynamic shopping cart The dynamic shopping cart is an advantage given to distributors to allow them to benefit from free products when placing their personal orders. In this way, for every 120 PV of products purchased per order, a free product is automatically added (to be selected from a pre-defined list).

120 PV = 1 free product

Example of a dynamic cart shoppingcart 1x NaturaBlue Original (nouveau) 1x NaturaGreen Caps

shoppin 45 PV

1x NaturaGold

23 PV

1x NaturaFlex

10 PV

1x Cartouche rechange

9 PV

2x NaturaCafĂŠ

4 PV

Total PV of the order

121 PV

30 PV

This order of 121 PV triggers the dynamic shopping cart and the included free product.

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Business Concept Your Genealogy Your genealogy: your binary structure You

In order to develop your business of distributing Xelliss products, you will sponsor people who will then be placed to the left and right of your business centre. Distributors are listed in order of registration on the left and right leg. Your 2 legs comprise : -

your personally sponsored business partners, known as "direct" partners

distributors personally sponsored by your "direct" partners

your sponsor and your upline

Left leg Right leg Graphical representation of your binary structure

Your genealogy: your linear structure Your organisation can also be represented in the so-called linear form.

You Your linear tree

Your business partners directly sponsored by you will be integrated into your 1st level or 1st generation.

1st generation Your direct recruits

Partners sponsored by your direct recruits occupy your 2nd level or 2nd generation and so on.

2nd generation The distributors from your direct recruits 3rd generation The distributors from your 2nd generation distributors Etc.

Graphical representation of your linear structure ÂŠ Xelliss | COMPENSATION PLAN EN

Business Concept Your Commissions There are two types of commissions: weekly commissions and leadership (or end of qualification period) commissions.

Weekly commissions

Leadership commissions

As an active distributor, you will receive the following 3 commissions at the end of each week:

The higher your rank, the greater your leadership and the more you can access the next 5 bonuses:

Customer Margin This is the difference between the distributor's product price, excluding VAT, and the resale price to customers, excluding VAT.

The Ranking Bonus For every rank you reach, you receive a bonus. This bonus is progressive and permanent

The Team Bonus The Team Bonus takes into account all the PV generated by your genealogy, your customers and your personal orders.

Ruby and above

The Forty Bonus This bonus is a percentage on the purchase of the Activation Pack(s) selected by your recruit(s).

The Matching Bonus It allows you to earn additional commissions on your teams' Team Bonuses up until the 7th generation. The Car Bonus This bonus allows you to finance the leasing or purchase of a vehicle. Emerald and above

Note: From the Ruby rank onwards, the system activates dynamic compression at the end of each qualification period and recalculates your new rank and the related commissions. The compressed rank then becomes a qualifying rank and triggers the bonuses associated with this new rank.

The Leadership Trip Earn points for an invitation to the annual leaders' trip. The Diamond Bonus Share a percentage of the company's global PV.

To be eligible for Leadership commissions, you must be active during the week in which the end of period commissions are calculated.

ÂŠ Xelliss | COMPENSATION PLAN EN

Ways to Generate Revenue There are eight different ways to make money with the Xelliss Compensation Plan. You have solutions to improve your lifestyle by creating a continuous complementary income, earning trips and even a car bonus.

ÂŠ Xelliss | COMPENSATION PLAN EN

1. 2. 3. 4. 5. 6. 7. 8.

Customer Margin Forty Bonus Team Bonus Ranking Bonus Matching Bonus Car Bonus Leadership Trip Diamond Bonus

Customer Margin Online Shop Commissions

WEEKLY COMMISSIONS

Once you have paid the administrative fees, you become a Xelliss distributor and have access to your online shop and your BO for starting your business. Your online shop, accessible via a personalised link, allows you to sell Xelliss products 24/7 anywhere in the world.

Customer Margin : Qualification criteria

‣ Membership Being registered and having paid the annual subscription fee

With each order from your customers, you benefit directly from the margin corresponding to the difference between your purchase price and the price offered to customers. In your back office, as an indication, you will be provided with tables of recommended retail prices for your customers.

Table of Customer Margin on Privilege Packs Privilege Pack

Margin

VITALITY

160 PV

32 €

SPORT

140 PV

28 €

MOBILITY

120 PV

24 €

SEASON

100 PV

20 €

ANIMALS

220 PV

44 €

This commission is paid to you every week. Boost your customer sales by promoting: 1- The dynamic shopping cart and its benefits 2- The Privilege Programme and its 3 avantages

1 The Privilege Programme Build loyalty among your best customers by offering them the opportunity to join our Xelliss Privilege Programme. For one year, Privilege Customers can benefit from 3 advantages:

‣

10% discount on all their purchases

‣

1 product offered for any order over 90 PV

‣

A total of 250 PV to receive free products

VITALITY Pack

MOBILITY Pack

SPORT Pack

SEASON Pack

ANIMALS Pack

160 PV

120 PV

140 PV

100 PV

220 PV

Privilege Customer’s Dynamic Shopping Cart The dynamic shopping cart is an advantage that involves choosing a product offered when ordering with a minimum amount of PV. At each level of this amount of PV reached, one product is free. For Privilege Customers, the dynamic cart is in increments of 90 PV.

90 PV = 1 free product

Example of dynamic cart 1x NaturaBlue Original

45 PV

1x NaturaGreen Caps

30 PV

1x NaturaGold

23PV

Total PV of the order

98 PV

This order of 98 PV triggers the dynamic shopping cart and the included free product.

Forty Bonus Bonus on the Activation Pack

WEEKLY COMMISSIONS

It represents the first bonus for the animation of your teams over 2 generations during the first 40 days following registration. Forty Bonus 20% (FB20) You receive 20% of the PV for the products contained in one of the Activation Packs of your new direct partners (level 1). •

Forty Bonus 10% (FB10) You receive 10% of the PV for the products contained in the Activation Pack of new partners from your direct partners (level 2). •

Please note: 1/ Your new direct partners and new level 2 partners can purchase as many Activation Packs as they wish, but only during the first 40 days following their registration.

FORTY BONUS: Qualification criteria

‣ Membership Being registered and having paid the annual subscription fee ‣ Personal Points Volume Being active with 45PV or 90 PV during the week in which your new direct and level 2 partners order an Activation Pack ‣ Eligibility period You are eligible for the 2 Forty Bonuses during the first 40 days of your new direct partners' registration. ‣ Forty Bonus 10% You are only eligible for the Forty Bonus 10% during the first 40 days following the registration of your new direct partners.

2/ If an Activation Pack is returned, even partially, the associated bonuses will be cancelled and the PV removed from the system.

You Table of Forty Bonus for Activation Packs Activation Pack

FB 20%

FB 10%

VITALITY

160 PV

32 €

16 €

MOBILITY

120 PV

24 €

12 €

SPORT

140 PV

28 €

14 €

SEASON

100 PV

20 €

10 €

ANIMALS

220 PV

44 €

22 €

Level 1 Forty Bonus 20%

Level 2 Forty Bonus 10%

Example of the Forty Bonus calculation Here is an example of a Forty Bonus received by a distributor, with the purchase of a VITALITY Activation Pack by both first and second level partners. Pierre chose the VITALITY Activation Pack (160 PV) in order to have sufficient products to launch his business.

VITALITY Pack

In his first week, he reached his first objective: to have 2 business partners.

160 PV

His first 2 partners also choose the VITALITY Activation Pack. Pierre

Pierre uses the duplication system to help his 2 partners to do the same during the first 40 days. Forty Bonus commissions Pierre earns a FortyBonus of 20% : 160PV x 20% = 32€ x 2 partners i.e. 64€.

Level 1 160 PV

160 PV

Pierre is eligible for the Forty Bonus of 10% : 160PV x 10%= 16€ x 4 partners i.e. 64 €.

Level 2 160 PV

160 PV

Team Bonus 12% on your Group PV

WEEKLY COMMISSIONS

Team Bonus calculation The Team Bonus takes into account the organisation of the volume of PV generated in the 2 legs on the right and left. At the end of each week, the system calculates the volume of PV generated in the 2 legs, taking into account the total amount of extra PV (see table below) to determine the Team Bonus pay leg. The pay leg is the weakest leg in terms of PV. The calculation of the Team Bonus is then as follows: 12% x Group Point Volume of the pay leg. The calculation of the Team Bonus takes into account the total PV generated by the pay leg. In case of equal volume between your 2 legs, the left leg will be considered as the pay leg. The system counts the PV used for the calculation on each of the two legs. The amount of the Team Bonus paid out is determined by the rank achieved in the previous period, which defines a weekly payment cap (paid-as-rank).

Carrying over of PV All PV remaining, after counting the PV used for the Team Bonus calculation, will be carried over to the following week. The PV carried over will be taken into account for as long as you retain your active status.

TEAM BONUS: Qualification criteria

‣ Membership Being registered and having paid the annual membership fee. ‣ Personal Points Volume Being active with 45PV or 90 PV each week ‣ Sponsorship Having a personally sponsored active distributor to the right and left ‣ Payment limit (paid-as-rank) The rank taken into account for the weekly Team Bonus limit is the rank attained in the previous period.

Cumulation rules: extra PV

‣ PV from your customer orders All PV from customer and Privilege Customer orders will be added to your pay leg for the current week. ‣ PV from your personal orders All PV from your personal orders, during the period in which you are active, are added to your pay leg for the current week. ‣ Excess PV from 90 PV orders Any excess PV from qualifying orders over 90 PV are added to your current week's pay leg. ‣ Cumulation rules Extra PV are added to the pay leg at the end of each week. This addition may, in some cases, transform the pay leg into a security leg.

Example of Team Bonus calculation Pierre

Pierre has 800 PV on his left leg and 1240 PV on his right leg. The pay leg is therefore the left leg. The Team Bonus calculation is as follows: 12% x 800 PV = €96. His Team Bonus is therefore €96. The system will calculate 800 PV on the left and on the right. The PV carried over for the following week will be: Left: 800 PV-800 PV = 0 PV Right: 1240 PV-800 PV= 440 PV

Left leg

Right leg

800 PV

1,240 PV

Pay leg

Security leg

Team Bonus payment cap (paid-as-rank)

Rank

Payment of the Team Bonus is capped at a maximum amount according to the rank achieved during the previous period (see table opposite).

CONSULTANT

300 €

BRONZE

500 €

SILVER

800 €

If the amount of the Bonus Team calculation is higher than the weekly cap corresponding to your rank, the difference is lost.

GOLD

1 000 €

SAPPHIRE

2 500 €

RUBY

4 000 €

EMERALD

6 000 €

DIAMOND

15 000 €

DOUBLE DIAMOND

15 000 €

TRIPLE DIAMOND

15 000 €

CROWN AMBASSADOR

15 000 €

Example of calculation of the Team Bonus cap Pierre was Silver in the previous period. He counts 8,000 PV on his pay leg and 12,000 PV on his security leg. His Team Bonus is therefore : 12% x 8,000 PV = 960€.

Weekly cap

The system counts the 8,000 PV in each leg. The weekly cap linked to his Silver rank is €800, so his Team Bonus commission will be €800. The difference of €160 (960-800) is therefore lost.

Ranking Bonus A Fixed Bonus for Each Period

LEADERSHIP COMMISSIONS

The building and development of your network, as well as your personal success and that of your teams, is rewarded with a dynamic Ranking Bonus. Earn a Ranking Bonus in each period! This rewards you and your team members for staying qualified and encourages you to reach higher ranks. From Bronze onwards, at the end of each qualification period, you will receive a Ranking Bonus that is long-lasting and progressive according to your objectives.

Rank

Bonus

BRONZE

50 €

SILVER

125 €

GOLD

250 €

SAPPHIRE

450 €

RUBY

600 €

EMERALD

1 000 €

DIAMOND

1 500 €

DOUBLE DIAMOND

2 000 €

TRIPLE DIAMOND

3 000 €

CROWN AMBASSADOR

5 000 €

450 €

600 €

1,000€

1,500€

CROWN AMBASSADOR

250 €

TRIPLE DIAMOND

125 €

DOUBLE DIAMOND

50 €

EMERALD

Period 7: you are once again Gold, you will receive the bonus of 250€.

RUBY

•

SAPPHIRE

Period 6: you are Sapphire, you will receive the bonus of 450€.

GOLD

•

SILVER

Period 5: you are Gold, you will receive the bonus of 250€.

BRONZE

•

DIAMOND

Example of Ranking Bonus

2,000€

3,000€

5,000€

Xelliss Ranks Basic criteria: To be eligible for the Xelliss ranks, the distributor must be registered, have paid the administrative fees and be active. Rank

Active status

GPV right and left

Recruits

DISTRIBUTOR

45 PV

CONSULTANT

45 PV

•

At least 1 active distributor in each leg.

BRONZE

45 PV

400 PV

•

At least 1 active distributor in each leg.

SILVER

90 PV

1 250 PV

•

At least 1 active distributor in each leg.

GOLD

90 PV

2 500 PV

2 BRONZE direct

•

2 active BRONZE, personally sponsored. At least 1 active distributor in each leg.

SAPPHIRE

90 PV

5 000 PV

2 SILVER direct

•

90 PV

10 000 PV

2 GOLD direct or upranking

•

RUBY

2 RUBY direct or upranking

•

4 RUBY direct or upranking

•

6 RUBY direct or upranking

•

EMERALD

DIAMOND

DOUBLE DIAMOND

TRIPLE DIAMOND

CROWN AMBASSADOR

90 PV

25 000 PV

50 000 PV

100 000 PV

200 000 PV

1 000 000 PV

2 DIAMOND 4 RUBY direct or upranking 6 DIAMOND 6 RUBY direct or upranking

Sponsorship criteria: personally sponsored distributors

•

• •

2 active SILVER, personally sponsored. At least 1 active distributor in each leg.

2 active GOLD, personally sponsored or upranking. At least 1 active distributor in each leg. 2 active RUBY, personally sponsored or upranking. At least 1 active distributor in each leg. 4 active RUBY, personally sponsored or upranking. At least 1 active distributeur in each leg. 6 active RUBY, personally sponsored or upranking. At least 1 active distributor in each leg.

2 active DIAMOND + 4 active RUBY, personally sponsored or up-ranking. At least 1 active distributor in each leg.

6 active DIAMOND + 6 active RUBY, personally sponsored or up-ranking. At least 1 active distributor in each leg. 21

Matching Bonus Leadership Bonus

LEADERSHIP COMMISSIONS

From the Ruby rank upwards, you receive additional commissions and notably the Matching Bonus. The Matching Bonus is proportional to the Team Bonus paid to the distributors you have personally sponsored, up to seven generations of “sponsorships” depending on the qualification you achieve. As you progress through the ranks, you move up to a higher generation level and earn an additional percentage of commission for the Matching Bonus payment.

MATCHING BONUS: Qualification criteria

‣ Membership Being registered and having paid the annual membership fee. ‣ Personal Points Volume Being active with 90 PV each week ‣ Rank You must be at least qualified as RUBY

It is calculated at the end of each qualification period based on the Team Bonus paid to your distributors and those they have sponsored.

Table of Matching Bonus in accordance to rank Rank

RUBY

25 %

20 %

15 %

EMERALD

25 %

20 %

15 %

10 %

DIAMOND

30 %

25 %

20 %

15 %

10 %

DOUBLE DIAMOND

35 %

30 %

25 %

15 %

10 %

5 %

TRIPLE DIAMOND

35 %

30 %

25 %

20 %

15 %

10 %

CROWN AMBASSADOR

40 %

35 %

30 %

25 %

20 %

15 %

10 %

Example of Matching Bonus calculation Pierre is qualified as Emerald. He is eligible for the Matching Bonus over 4 generations: 25% of the Team Bonus from his direct recruits

20% of the Team Bonus from the distributors of his 2nd generation

15% of the Team Bonus from the distributors of his 3rd generation

10% of theTeam Bonus from the distributors of his 4th generation

You Your linear tree 1st generation Direct recruits

2nd generation The distributors from your direct recruits. 3rd generation The distributors sponsored by the distributors of the 2nd generation.

4th generation The distributors sponsored by the distributors of the 3rd generation.

Example of the Matching Bonus calculation over 4 generations of the Emerald rank

ÂŠ Xelliss | COMPENSATION PLAN EN

Car Bonus Leadership Bonus

LEADERSHIP COMMISSIONS

A real advantage of the Compensation Plan, the Car Bonus enables those who wish to do so to benefit each month from a bonus in order to finance their vehicle (leasing, credit, etc.).

You develop your network To enter the car program, you must be qualified Ruby or higher during 3 consecutive qualification periods. When the distributor enters the car program, they are only paid for each qualifying period. The bonus amount is paid at the end of each qualification period. Example : You have qualified as Ruby during 3 consecutive periods (period 7, 8 and 9 for example), and are therefore joining the car program.

CAR BONUS: Qualification criteria

‣ Membership Being registered and having paid the annual membership fee. ‣ Personal Points Volume Being active with 90 PV each qualification period. ‣ Rank You must be at least qualified as RUBY ‣ Proof of purchase Provide a proof of purchase for your vehicle. ‣ Xelliss sticker Put a Xelliss sticker on your vehicle. ‣ Commission option For those who do not wish to participate in the car programme, you have the option of receiving 50% of this bonus in the form of commissions.

For the following qualification periods : •

Period 10 - you qualify as Ruby, you receive the Ruby qualification bonus of €600.

•

Period 11 - you do not qualify as Ruby or higher, you do not receive the bonus.

•

Period 12 - you qualify as Ruby, you will receive the bonus.

•

Period 13 - you qualify as Emerald and receive the Emerald Rank Bonus of €800.

Rank

Bonus

RUBY

600 €

EMERALD

800 €

DIAMOND and above

1 000 €

You develop your customer base To trigger this Car Bonus, you must reach 6,500 CPV, during 3 consecutive qualification periods. Once the Car Bonus has been activated, the monthly bonus is paid for each qualification period in which you have reached at least 6,500 CPV (a progressive bonus according to the number of CPV reached). Payment of the bonus is suspended in the months in which this condition is not met.

Number of PV

Bonus

6,500 PV

600 €

8,000 PV

800 €

10,000 PV

1 000 €

Leadership Trip Dream Destinations

LEADERSHIP COMMISSIONS

Each year, distributors from the Emerald Rank upwards earn points towards being invited to the annual Leadership Trip. Points are proportional to the rank achieved at the end of each qualification period. The objective of these trips is to bring together the best Xelliss leaders for stays rich in sharing, awareness and reflection.

Rank

Point/speriod

EMERALD

1 point

DIAMOND

2 points

DOUBLE DIAMOND

3 points

TRIPLE DIAMOND

4 points

CROWN AMBASSADOR

5 points

These meetings, in exotic destinations, combine social interaction and strategy.

Diamond Bonus Percentage of Global PV

LEADERSHIP COMMISSIONS

The Diamond Bonus is a leadership bonus to reward the building of your network, beginning with the Emerald Rank. By reaching this rank, you become part of the Diamond Pool, into which is paid 1% of the total volume of PV generated internationally by the company per qualification period. The rank reached at the end of each qualification period allows you to earn a certain number of points, which accumulate throughout the year. As you change rank, you earn an additional recurring point.

Rank

Points/period

EMERALD

1 point

DIAMOND

2 points

DOUBLE DIAMOND

3 points

TRIPLE DIAMOND

4 points

CROWN AMBASSADOR

5 points

DIAMOND POOL

1% PV

At the end of the year, the system calculates the number of points generated for each Emerald Rank distributor and, at the same time, determines the total amount of PV generated by the company over the year. Subsequently, the company announces the point value and the bonus amount is calculated as follows : annual number of points x point value = bonus amount. The bonus amount is paid annually during the Leadership Trip.

ÂŠ Xelliss | COMPENSATION PLAN EN

Glossary

ACTIVE (ACTIVE STATUS) Active status is the basic criteria for eligibility, in whole or in part, for the commissioning terms of the Compensation Plan (Customer Margin, Forty Bonus, Team Bonus, Ranking Bonus, Matching Bonus, etc.). The distributor must place a qualifying order so as to be active. This order then triggers active status for 4 weeks (including the current week and the following 3 weeks). RETAIL CUSTOMER A retail customer is defined as an individual who buys the product at the retail price. QUALIFYING ORDER Any order greater than or equal to 45 PPV is considered a qualifying order and triggers the active status of a distributor. Example : • Period 2 consists of weeks 5, 6, 7 and 8. • If you place a qualifying order in week 5, you trigger your active status for the current week (week 5) and the following 3 weeks (weeks 6, 7 and 8). • Please note that all other one-off orders greater than or equal to 45 PPV, including your ADP, or orders from your customers, during weeks 6, 7 and 8, do not shift your active period. The associated PPV are automatically added to your current week's pay leg. COMMISSIONS To be eligible for the weekly or leadership commissions, you must be active during the week in which the various commissions are calculated.

LEADERSHIP COMMISSIONS The Matching Bonus, Ranking Bonus, Car Bonus, Diamond Bonus and Leadership Trip are calculated at the end of each qualifying period. You must be active in the last week of the period to be eligible for the Leadership Commissions. DISTRIBUTOR The distributor is a person or commercial entity engaged in the general distribution of Xelliss products or services. The conditions for exercising this activity are detailed in the General Terms and Conditions of Distribution. TEAM This is a group of partners that you have personally sponsored. You have the possibility to create 2 teams. SPONSOR This is the person who registered you as a new Xelliss distributor. QUALIFICATION PERIOD A qualification period is the period during which you must be "active" in order to be eligible, depending on your rank, for the various commission payments. The duration of each qualification period is 4 weeks. There are therefore 13 qualification periods in a year. PV: POINTS VOLUME Is the international reference value attributed to each commissionable Xelliss product and is indicated on the distributor price in the online management space.

WEEKLY COMMISSIONS The Team Bonus, Forty Bonus and Customer Margin are calculated each week.

EPV: EXTRA POINTS VOLUME Extra PV are PV that are not used for your active status. For a given week, if you are active, the system counts the excess of your personal orders and the PV of customer orders (classic and Privilege). Extra PV are added to the current week's pay leg. In certain cases, this addition can switch the pay leg to the security leg. GPV: GROUP POINTS VOLUME The Group PV represents the total amount of PV generated each period in each of your 2 legs. PPV: PERSONAL POINTS VOLUME Points volume of personal product purchases. In the same way as other purchases, they qualify a distributor to receive commissions.

COMPRESSED RANK The compressed rank is the temporary rank reached, following dynamic compression achieved from the Ruby rank onwards, when calculating Matching Bonus commissions. QUALIFICATION OR PAY RANK The rank for which a distributor is qualified and remunerated for a given commission period. For the calculation of the rank, the system takes into account the current period's GPV and the GPV carried over from the previous period. PRA (PRODUCT RETURN AUTHORISATION) Procedure for requesting authorisation to return products following an error or termination of contract.

PAID-AS-RANK (Team Bonus payment cap) The paid-as-rank determines the Team Bonus payment cap. For the 4 weeks of a period, the system will use the rank achieved in the previous period to determine your Team Bonus payment rank. PAYBACK (PV) In the event of the return of an order of products, even partial, the associated bonuses will be cancelled (payback) and the PV withdrawn from the system. ADP: AUTOMATIC DELIVERY PLAN The ADP allows products to be shipped to a distributor on a monthly basis on the date chosen by the distributor, for a minimum order of 90 PV. QUALIFIED The distributor is said to be "qualified" when they are active and have an active distributor, with a minimum of 45 PV, personally sponsored in each team.

ÂŠ Xelliss | COMPENSATION PLAN EN

Compensation Plan Regulations PAYMENT OF COMMISSIONS Each month, the distributor receives a detailed statement of commissions in their back office. This same statement also serves as an invoice. On Mondays, the commissions are generally indicated as unofficial. Commissions are paid within 24-48 hours of the weekly commission statement. PAYMENT CAP The company redistributes up to a maximum of 60% of remuneration calculated on the PV. If commissions exceed the 60% threshold, the system will apply the payment cap and recalculate the corresponding commissions. FLUSHING AND RESETTING OF PV The current week's PV are not counted if the distributor is inactive during that week. PV carried forward and accumulated on both legs will be reset to zero if the distributor is inactive for 3 consecutive qualification periods. CHANGE OF LINEAGE Lineage changes are not allowed. Any change of lineage will be subject to immediate termination of the contract. If, for personal reasons, a distributor wishes to change lineage, they must terminate their current contract and wait 6 months before starting a new membership in another lineage.

CONTRACT TERMINATION • If, during 6 consecutive qualification periods (24 weeks), the distributor has not placed any orders for products, their account will be considered permanently inactive and will be terminated. • A distributor contract can also be terminated at their own or the company's request. Furthermore, the system will perform a final compression to delete the distributor's account. The recruits of the distributor, whose account has been terminated, will move up one level in the linear tree. As a reminder, the administrative fees for opening an account are non-refundable. DYNAMIC COMPRESSION FROM RUBY ONWARDS The dynamic compression of the linear tree consists of up-ranking all the active recruits of a non-active distributor at the end of each qualification period. The dynamic compression applies solely in the context of Matching Bonus commission calculations, only from the Ruby rank onwards, at the end of each qualification period. Example • •

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Your normal qualification is Ruby or above. Here you have Pierre, a recruit from the 1st generation, who is not active during a given period of qualification. The system then considers all of Pierre's direct recruits as 1st generation recruits during this period of qualification in order to calculate the commissions. The system equally extensively moves the levels of generation up: the 3rd generation becomes the 2nd generation, your 4th generation becomes your 3rd generation, etc. If Pierre becomes active once more with 90 PV, the system then restores the initial linear structure.

DYNAMIC COMPRESSION "UP-RANKING" FROM RUBY ONWARDS As soon as you have the GPV amount for the qualification of Ruby rank and above, the system will check at the end of each period to see if you have partners in each sponsorship leg who are eligible for your qualification. This means that you can benefit from partners lower down (level 2, 3, etc.) who will contribute to get you a higher rank.

Up-ranking rules: ‣

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If several distributors are available in the same leg, the system will up-rank the distributor with the minimum rank you need for your qualification, and the others will be available at the upline.

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In up-ranking, a distributor only qualifies once for their upline.

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You should have as many sponsorship legs as directs required for the rank criteria.

Example

A distributor is available for the up-ranking if they are not used by their sponsor for a qualification. Indeed, for the purpose of rank qualification, the sponsor never loses their relationship with their direct recruit. You can only benefit from one up-ranking distributor per sponsorship leg.

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Example: Diamond At least 4 legs in the linear structure

Example : Ruby up-ranking

1st level 2nd level

Silver

At the end of a period, your qualification is Sapphire and you have the required PV for the Ruby rank (10,000 PV left and right). On the other hand, you do not have 2 personally sponsored Golds (at the 1st level). On one leg of sponsorship, Pierre is Gold in 2nd generation and, on another leg of sponsorship, Marie is Gold in 3rd generation. In this case, these 2 available Golds qualify you as Ruby per up-ranking for this period.

1st generation

Bronze

Gold

3rd level

Gold