The Company will deduct all bonus(es) paid, calculated upon a specific percentage of wholesale product prices (tax excluded), directly from the amount of the return products.

The Company will also reclaim the bonuses of upline distributors in the same line with the resigning distributor. The retrace will include the bonuses received by the distributors up to all applicable levels directly above the resigning distributor. If the product return causes any changes to other bonuses or benefits, including, but not limited to, leadership bonus, profit-sharing bonus and other incentives, the Company will reclaim the over-paid bonuses and benefits and will deduct the amount from the affected distributor(s) on the following month.

In case the product returns affects the level or other privileges or incentives earned by a distributor, the level and benefits will also be canceled.

Any amendments of the details and procedures, with respect to product returns, will be published from time to time.