Document 2NRodM0woV0v1vp3NvNv2LpzR

To understand what you have avail able and how it affects your local ad vertising expense, here is an example using a store which contributes $1,000 to the national program. 100% Co-op f! Total Total Funds ike most NAPA AUTO Available LPARTS stores, you have a lot to advertise but not enough money to do as Local Advertising Expenditures During Year Total much as you'd like. You Reimbursement have product specials to Net Expense draw customers into your storef,oirnLsotcaalll ers who want to advertise theAirduvseertisoinf g $1,000 $500 1,430 1,000 2,430 1,000 500 1500 430 500 930 NAPA parts and new customers who need to know where you are located. It's rarely a lack of ideas which keep you from advertising. Rather, it's a lack of money. Effective advertising is not inexpen sive. And if you are in a competitive market or need to establish your store To apply to your store, simply begin with your contribution and perform the same calculations. If you are participat ing in a group advertising program, you need to deduct the funds set aside for the group. You may also have funds available from certain manufacturers. These in the minds of consumers, you are go funds are in addition to the NAPA Co ing to need to spend more money in advertising and promotion. Fortunately, there are ways to avoid having a vast increase in expenses show up on your P & L statement. How? By op Programs and your D.C. Sales Man ager can tell you what is available and how to receive reimbursement. Coming up in 1988 will be more man ufacturer co-op programs integrated making sure you know of the co-op ad vertising funds which are available to you. These funds are available from NAPA and NAPA Manufacturers be cause they know the importance of lo cally promoting your business. with the NAPA Co-op Programs. This will enable you to submit all of your advertising claims on one form, and receive back one check. Details on available funds will be provided to you shortly. Claiming Funds What's Available All NAPA co-op claims are handled As a participant in the 1987 NAPA through the NAPA Co-op Center at National Advertising Program you have Fahlgren & Swink. Be sure you are us two co-op programs to draw upon. ing the 1987 claim form when submit The 100% Co-op Fund has an amount ting your claim -- it lists the program equal to the .4% national advertising guidelines, explains the 100% and Su contribution set aside for your store. Re per Co-op Programs and provides in imbursement can be received for a wide structions on the back-up material re variety of advertising, which is listed on quired (for a 1987 claim form, contact the claim form (available from your your D.C.). D.C.). You will receive back 70% of your If you submit advertising which qual qualifying expenses up to the total ifies for either the 100% Co-op or Super funds you have available for the year. Co-op Programs, guidelines call for the The Super Co-op Fund is new this funds to be taken from the Super Co year and gives you additional money. op first. Super Co-op is used first, be This fund is limited to advertising cause the Super Co-op Program is the which features price/product specials more restrictive -- only price/product designed to bring customers into your ads in circulars, newspapers, radio and store or your dealer's location. Under television advertising. Therefore, it's the Super Co-op Fund you have one-half used first to insure that you receive it of your national contribution available quickly. In addition, it helps you avoid and reimbursement is based on 50% of any problems later in the year with qualifying advertising. other advertising claims being rejected 4 oo because you have already used your 100% Co-op funds. However, if you wish to use the 100% Co-op Funds first, simply check the box on the form below the Total Spent line. Hurry! Like tax returns and insurance claims, filling out paperwork for co-op claims is something you would rather put off. But it makes sense to submit your claims as soon as possible. With the additional money available for 1987, you have a chance to advertise more. The sooner your claim is submitted, the quicker you will know if you have additional monies remaining in your account. One more reason to do it early -- ex perience has proven that there are more problems with claims submitted late in the year. Usually those stores which wait to send in their claims are more likely to be missing important back-up material which requires the claim to be returned. This further delays your re imbursement. NAPA Headquarters and the NAPA Co-op Center are constantly working to make these programs flexible and easy to use. If you have questions, please call your D.C. Sales Manager or the NAPA Co-op Center at 1-800-438-8124 (in West Virginia 1-800-642-1919). Manufacturer Co-op Programs In 1987, NAPA Filters is paying for 100% of the filters portion of a price/product ad -- up to the amount of funds designated for each store. The balance of the ad is eligi ble for reimbursement under the Super Co-op and 100% Co-op Pro grams. The best way to understand how this program works is to look at it this way: in a typical newspaper ad which features four products, you run a NAPA Filter. Assuming it cost $100 for an ad in this news paper, NAPA Filters would pay $25 towards the cost since filters repre sent lk of the total price/product space. The remaining $75 would be applied to the Super Co-op Pro gram and $37.50 would be reim bursed. In total, the store would receive $62.50 back for this ad -- if it has the funds available in the co-op programs.