Request for Quote

Source Supplier

Purchase Order

Sample Approval

Production

Understanding the sourcing process will make it easier to do the business with PSI and its suppliers. The sourcing process is simply summarized as the follows:

Request For Quote

The customer will send a Request For Quote(RFQ) to PSI when he or she needs a product. PSI helps to determine the customer's specific needs by clearly defining:

• Product specifications
• Quantity
• Date of delivery
• Target price
• Packaging
• Weight and volume
• Mode of transportation

Payment terms and options -- Letters of Credit ("L/C"), advance payment, fee-based or final sale commissions -- are discussed and agreed upon.

Purchase Order

Once the quote is accepted, the customer will issue PSI a purchase order with downpayment if necessary. The customer will be responsible for the cost of special tools or molds if they are needed to manufacture the product.

Sample Approval

The customer must approve the sample prior to production. Once the sample is finished, it is shipped to the customer for approval. The customer is responsible for the cost of the special tools, samples and shipment. If the shipped sample serves the customer's need, a "Sample Approval" document is signed and submitted to PSI.

Production

The production will then be arranged and scheduled. If the customer desires, PSI will hire at the customer's expense, an independent inspection company to inspect the container before it is shipped to assure that the quality of the product and the quantity shipped is in accordance with the order. PSI will attempt to solve any problem between the customer and the supplier that may appear at this time or any time during the sourcing and purchasing process.