When new users purchase PrintPoint, they often ask, "Why is there a Maintenance & Support Fee and what does it cover?"

We explain that this annual fee includes:

• Free updates and upgrades.
• Free 800 telephone support for initial training and on-going questions. (US, Canada, Australia).
• Free 800 emergency pager service (US and Canada).
• Help with specific computer problems related to PrintPoint.
• Help with network issues related to PrintPoint.
• Bug reporting and correction.
• Access to PrintPoint Central on our web site.
• PrintPoint research & development - in both the printing technology and computer technology arenas.

Most people accept the need for these services and recognize that our fees fall within industry standards. They agree to the terms of the Pre-Purchase Agreement, which includes the acknowledgment of the Annual Maintenance Fee (free for first year).

However, after several years of running the software, some existing users have asked us:

• "Why do I have to pay for Maintenance & Support if I don't call in for support?"
• "Can’t I just pay for the upgrades when I need them? That’s what I do with Adobe, Microsoft or Apple?"

We believe these to be pertinent questions and would like to respond to them.

If a client doesn't have the need to call for support, he or she is fortunate to have a product that stands on its own. The hard work that goes on behind the scenes every day at PrintPoint is largely responsible for this and is a never ending task.

Imagine what it must be for the development staff here to keep up with the changes that have occurred at MicroSoft and Apple over the past 10 years: Windows 3.1, Windows 95a, Windows 95b, Windows 95c, Windows NT (Services Packs 1-6b), Windows 98, Windows 98 Second Edition, Windows ME (which we don’t support) Windows 2000 Professional and Windows 2000 Server with their supportive Service Packs, Windows XP, Windows 2003 Server, Mac OS 7.x, Mac OS 8.x, Mac OS 9.x, Mac OS X (Panther and Tiger).

And then the issue of Database Engine Compatibility. PrintPoint is built on the database engine from 4D, Inc. (http://www.4d.com) Every change they make to add new features and to remain compatible with industry standards pushes our R&D team to re-evaluate code we’ve written and techniques we use to give you the best products possible. We must test each new 4D version repeatedly until we feel it is stable enough to develop on and then in turn release a product based on it. This is an arduous task.

Still, if the user has paid for the software, why is it their responsibility to worry about these issues? After all, they have enough of these issues in their own daily business lives.

The answer is simple, new sales alone cannot support the continued development of PrintPoint and the related activities described above. Imagine your own business. If every decision you made to purchase equipment, software or technologies was based on new clients business, it is unlikely you could ever afford to purchase a new press, cutter, RIP, CTP device or proofing software. You depend on the "repeat" business of a fairly large majority of your loyal customers. In a very real sense, your customers are your partners and visa versa.

The same is true here at PrintPoint. You are our partners and visa versa.

Yes, it is true that companies like Intuit, Peachtree, MYOB, Adobe, Quark, Microsoft and Apple have moved to a separate Upgrade and Support structure. In many cases, the support fees at these companies now charge is disproportionately expensive relative to the original price of the product or the upgrade fees, and it no longer seems like such a good value.

PrintPoint does not feel that the sales/promotion/marketing dollars spent toward trying to convince customers to purchase support options or upgrades is a good way to spend our money or yours. We need as many of our users to be on the same version…to keep cost down and problems to a minimum. By including upgrades as part of our Maintenance and Support Fee we minimize the number of different version we have to support.

We use many applications from the above named companies and we pay for support from many of them. We also upgrade regularly. You, as printers, are "forced" to upgrade regularly, because sooner or later your customers begin to give you files created in the newer versions of these software packages.

We are a strong company in a "vertical" market printing and graphic arts management. All of our "real" competitors have annual fees for the same reason we have one. It is essential for the strength of our business and our direct or "indirect" support to you, our customer.

With your continued partnership, we continue to invest in the research and development required to keep up with the extremely fast paced industry. Our research and development is the largest expense we have. It is our responsibility to understand change in the industry, to innovate and to provide new and better solutions to our users.

Signed and Agreed To By: _________________________________________________

Date _______________________________