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Velon Refrigerators s. A.

323 Via Da Costa,

Sao Paolo, Brazil

Tel: (40) 77211

Website: http://www.cosmo.br

May 13

Ms. Karen Woodward, Executive Manager Higham Industries

150 Towns Road

Chicago, IL 60601

U.S.A.

Dear Ms. Woodward,

Thank you for your letter dated May 7 about a possible alliance between our two companies. We are quite excited at the proposal of teaming up on a project. We would like to discuss it with you further and welcome you to visit our office in Sao Paolo to discuss the matter in detail. Any time after May 30 will be fine with us.

One thing that needs to be addressed before we move forward is the price of the products you will provide. One of the priorities of our business has been marketing quality refrigerators at reasonable prices. If we can reach an acceptable price range, we would like to go ahead and sign a contract with you immediately. Please send us your ideas regarding this issue so that we can examine them prior to the meeting.

Sincerely yours,

Alejandro Zaralejos

Vice President 

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