OXO WorldWide Compensation Plan Revised Oct 2015

1

Compensation Plan

Income Declaration and Disclaimer: OXOworldwide does not guarantee the income of any person or entity participating in its marketing program, The examples shown herein are hypothetical in nature and are included for demonstrative purposes only and are not meant to imply or represent any form of guarantee. Incomes earned will be in direct proportion to the time and effort put forth by the person(s) and/or entity(ies) participating in the OXOworldwide program.

2

Table of Contents Compensation Plan ................................................................................................................................................................... 1 Commission Plan Definitions ................................................................................................................................................ 3 Bonuses ....................................................................................................................................................................................... 10 Retail Bonus ......................................................................................................................................................................... 10 Preferred Customer Commission (PCC) .................................................................................................................. 10 Fast Start Bonus .................................................................................................................................................................. 11 Team Commissions ........................................................................................................................................................... 11 Team Matching FLEX Bonus (TMB) ........................................................................................................................... 13

Rank Descriptions and Qualifications ............................................................................................................................ 16 Basic Qualification: ............................................................................................................................................................ 16 Active .................................................................................................................................................................................. 16 Commission Qualified ................................................................................................................................................. 16

Rank Qualifications: .......................................................................................................................................................... 16 Bronze ................................................................................................................................................................................ 16 Silver ................................................................................................................................................................................... 16 Gold ..................................................................................................................................................................................... 16 Platinum ............................................................................................................................................................................ 16 Diamond ............................................................................................................................................................................ 17 Double-‐‑Diamond ........................................................................................................................................................... 17 Black Diamond ............................................................................................................................................................... 18 White Diamond .............................................................................................................................................................. 18 Blue Diamond ................................................................................................................................................................. 18 Imperial Diamond ......................................................................................................................................................... 18 Ambassador Diamond ................................................................................................................................................. 19

Rank Packages and Auto-‐‑Qualify Ranks .................................................................................................................. 19

3

Commission Plan Definitions Active

To be considered active, a distributor/member must purchase a minimum of 80 PQV within 31 days of the end of the commission period.

Autoship

The auto shipment program allows distributors the opportunity to purchase OXO World Wide (OXOww) products with a large discount off of the regular distributor wholesale price. The autoship order will automatically be sent to the distributor each month regardless of any other purchases they may have made during the month. The program assists those interested in ensuring they meet qualification requirements for certain bonuses and commissions as defined by the OXOww compensation plan.

Auto-‐Qualify Rank

Auto-‐Qualify Rank is a rank that is purchased at the time of enrollment, or upgraded within a pre-‐defined timeframe. Auto-‐qualify ranks are only valid for a defined number of days. While they are active, the distributor will auto-‐qualify for any commissions at that rank (unless their current rank is higher). They will also see the auto-‐qualify rank in any locations in the back office that show “Current Rank” or “Pin Rank” (unless their current rank is higher). Once the auto-‐qualify rank expires, the distributor will revert back to their current rank, and their current pin rank. See the section “Rank Package” for more information. Team FLEX Matches are always paid at current rank NOT auto-‐qualify rank.

Balanced

Balance is placement setting that will place new enrollees in the shortest (in term of numbers) leg regardless of sponsorship.

4

Binary Tree

For purposes of “Team Commissions”, each OXOww distributor has a maximum of two front line partners in the placement tree. The resulting marketing organization under each of these front line partners is referred to as the Binary Tree.

Binary Cap

“Team Commissions” have a maximum number of leg cycles based upon your ranking. Any commissionable volume in excess will be carried over to the next bonus period:

Maximum Cycles Rank Max Lessor Leg Cycles / Cap Amount

Bronze 25 / $750 Silver 50 / $1,500 Gold 100 / $3,000 Platinum 333 / $10,000* Diamond 500 / $15,000* Double Diamond 600 / $18,000* Black Diamond 800 / $24,000* White Diamond 1000 / $30,000* Blue Diamond 1400 / $42,000* Imperial Diamond 1500 / $45,000* Ambassador Diamond 1667 / $50,000* * If cycle pool exceeds 50% of company CV, cycle caps may be lowered in order to fund and pay the team FLEX match bonuses. No BV will be lost and will be carried over to the next bonus period.

5

Bonus Period

The bonus period is the start and end date for time period that includes all the orders that make up the commissions will be paid to the distributor. The following summarizes the bonus periods for each bonus or commission:

Bonus Periods Bonus Period

Retail Daily Fast Start Daily Team Commissions Daily Team Matching Bonus Weekly Daily Pay is defined as; when the paid funds clear our account (usually with 24-48 banking hours – Mon-Sat), we will release that day’s commission to the distributor’s eWallet. This release process is run everyday by 9:00am PST (or GST – 7 hours). Example: if a distributor sells a package on Monday @ 8:00am PST, the soonest any funds generated by that transaction will be available through their eWallet is, Tuesday @ 9:00am PST and the latest, Weds @ 9:00am PST. International Transactions (outside of the United States) may take longer. Outside the USA & Canada, for new distributors, there is a 7-day hold period, where commissions can accumulate in eWallet and eWallet can be used for auto shipments and back office transactions, but new distributors cannot payout to their commissions account. Weekly Pay is defined as; Monday to Sunday, paid into eWallet by end of day Monday, after the end of the period (Sunday). Business Volume (BV)

The Business Volume is the volume from a distributor’s orders (see “Personal Qualification Volume”) or the volume in a distributor’s organization (see “Group Volume”). BV is based on the “Qualification Volume” of an order, rather than the “Commissionable Volume”

Carry Over Volume

Any volume that is not converted into binary cycles can become carry over volume in the next pay cycle. This could be any volume beyond the amount used for cycles, or all volume if no cycles were generated in a pay period, either because the distributor did not qualify to generate cycles, or they did not have enough volume to generate any cycles.

6

However, to be able to keep carry over volume, the distributor must have 80 PQV within 45 days of the end of the commission period.

Carry over volume will cap at 4,000,000.

Commissionable Volume (CV)

Each product purchase is assigned a commissionable volume (CV). CV is the basis for determining and calculating bonuses and commissions. The OXOww compensation plan pays 65% of all commissionable volume for all orders placed in the commission period.

Commission Qualified Commission Qualified is defined as an “Active” distributor (80 PQV) that has at least 2 “Active”, personally sponsored distributors, one placed in the left leg and one placed in the right leg of the binary tree.

Cycle A cycle is 150 CV on both the left and right legs of the binary tree.

Example: 1050 CV Right Leg and 1,500 CV Left Leg = 7 Cycles times $30 or $210.

Distributor

A distributor is a person who chooses to be in full partnership with the OXOww distributor agreement, purchased a starter kit, and meets all other required criteria enabling him or her to participate fully in the OXOww compensation plan.

Enrollment Leg

An enrollment leg is a portion of a distributor’s organization. An enrollment leg begins with a distributor’s personally sponsored distributor and everyone stemming from that person. This is tracked by sponsorship or who brought in whom. If a distributor has 5 personally sponsored distributors, they have 5 enrollment legs.

7

Enrollment Order/Kit

An order of product made at the time of enrollment as a distributor at the predetermined inventory pricing level. Plus, a replicated marketing site and a cloud-‐based, complete back office management system.

Genealogy

Genealogy is the overall structure of the company’s distributors and preferred customers and how they are placed in the binary genealogy and sponsorship tree. Commissions are paid out according the OXOww genealogy.

Greater Leg

The Greater Leg is that leg of the Binary Genealogy with the greater Commissionable Volume (CV).

Group Volume (GV or Group BV)

Group volume is the total qualification volume (QV) in a period that stems from a distributor’s sponsor tree. The distributors personal qualification volume (PQV) is included in the calculation of his or her Group Volume.

Lesser Leg

The Lesser Leg is that side of your binary tree with the lesser commissionable volume. Placement setting of “Lesser Leg” will place new enrollees in this leg.

Level

A level is a personally sponsored distributor in your enrollment legs. Level 1 (or front line) are all your personally sponsored distributors. Level 2 are the distributors your Level 1’s personally sponsored and so on…

8

Pin Rank

A Pin Rank is the highest lifetime rank achieved. Even though the “Paid Rank” may change from one pay period to the next, base on qualifications achieved, pin rank never goes down. If a distributor has purchased an auto-‐qualify rank, while that auto-‐qualify rank is active, the auto-‐qualify rank will display as their current pin rank, as long as their current pin rank is not higher.

Paid Rank

The term “Paid Rank” is used in connection with commissions, bonuses and qualifications in the compensation plan. The current “paid as” rank is the rank for which you are paid under the compensation plan for a particular bonus period. Conversely, a Pin Rank is a distributor’s highest rank achieved whether or not such rank is maintained for compensation plan purposes. If the distributor has purchased an auto-‐qualify rank, while that rank is active, the auto-‐qualify rank will be used for all commissions, unless their current paid rank is higher.

Once a distributor achieves a ranking, they will be paid at and stay at that ranking as long as they stay active. If they become in-‐active for any reason, when they become active again they will revert to their actual ranking.

Personal Enrollee A Personal Enrollee is a new distributor that is personally enrolled as a new distributor. A Personal Enrollee is always on the first level of the sponsorship tree. They can be placed anywhere in the Binary Genealogy.

Personal Volume (PV)

Personal Volume (PV) is the total commissionable volume from personal orders that a distributor purchases and preferred customer orders.

Personal Qualification Volume (PQV or BV)

Personal Qualification Volume is exactly the same as “Personal Volume” except it is based on the volume type called “Qualification Volume” that is

9

assigned to each product in the orders. All qualifications for the different ranks or commission bonuses are based on PQV rather than PV.

Preferred Customer (PC)

A Preferred Customer is a customer who has been recruited by a distributor or other preferred customer. A Preferred Customer is:

1. Someone who is purchasing product from the company for personal use, but has not engaged as a distributor. Preferred Customers purchase OXOww products with a discount off of the regular Retail price.

2. Preferred Customers must agree to a monthly autoship order.

There is no enrollment fee, set up fee, or starter pack purchase needed to become a Preferred Customer. A PC can choose to become a distributor at any time. If a PC chooses to become a distributor, he or she must purchase a Starter Kit and by default will be a Personal Enrollee of the Sponsor who enrolled him or her as a PC.

Qualification Period

The Qualification Period is that time period in which the distributor needs to meet the qualifications in order to earn commissions or bonuses for a respective commission or bonus period.

Retail Customer

Retail customers do not participate in the compensation plan and cannot enroll other customers or distributors. Retail customers do not enroll, do not have a back office, and cannot enroll in auto shipments.

10

Bonuses Retail Bonus Distributors can purchase OXOww products at the wholesale price and sell them to their customers at the suggested retail price. They earn the difference between the retail price and the wholesale price. Retail orders can also be placed through their replicate website. Any orders placed in that way will be associated directly with the distributors account, and they will earn a commission based on the difference between the retail price and the wholesale price of the products purchased. Preferred Customer Commission (PCC) Preferred customer commission (PCC) are paid to the sponsor of preferred customers on every purchase they make, along with preferred customer auto shipment orders. Each OXOww product has a specified amount that is paid to the sponsor, initially all PC orders pay a $10.00 Fast start and have a BV of 30.

Example: Bob enrolls Andy as an OXOww Preferred Customer. Andy orders 2 packs @ $49.99 each. SZBob earn $20.00 Fast Start and 60BV for his purchase. Andy is also automatically signed up for an auto shipment of $49.99, which Bob earn $10.00 plus 30BV every month.

The preferred customers can hold a spot in the binary genealogy. The sponsor is encouraged to help their preferred customers become distributors. Preferred customers can also register other preferred customers, which are also added to the binary genealogy.

11

Fast Start Bonus The Fast Start Bonus is a very powerful part of the compensation plan. This one-‐time bonus is paid on the first sale placed by every new distributor to their sponsor. For each of your personally sponsored distributors you will receive $50.00 Fast-‐Start commission bonus. This bonus is paid daily and is available to every active distributor, regardless of ranking.

Team Commissions The Team Commission bonus is paid weekly and is calculated from the distributor’s binary genealogy, also known as the placement tree. This tree has two legs: a left leg and a right leg. Team Commissions will be generated through the building of sales volume on the left and right legs of the placement tree. To be eligible for Team Commissions they must be active. They must also have one (1) active personally sponsored distributor placed in their left leg and one (1) active personally sponsored distributor placed in their right leg of the binary tree. And finally, they must have a minimum of 150 CV combined of new volume and carryover volume in each leg of the placement tree. Each time they have 150CV on both the left and right this equates to one (1) cycle. Each cycle is worth up to $30 or 20%:

Cycle Percentages Rank Cycles Percentage / Cycle Amount

Bronze 10% / $15 Silver 15% / $22.50 Gold 20% / $30 Platinum 20% / $30 Diamond 20% / $30 Double Diamond 20% / $30 Black Diamond 20% / $30 White Diamond 20% / $30 Blue Diamond 20% / $30 Imperial Diamond 20% / $30 Ambassador Diamond 20% / $30

12

The Team Commissions are paid WEEKLY in increments of 150CV and are subject to the $50,000 weekly maximum payout in Team Commissions:

Maximum Cycles Rank Max Lessor Leg Cycles / Cap Amount

Bronze 25 / $750 Silver 50 / $1,500 Gold 100 / $3,000 Platinum 333 / $10,000* Diamond 500 / $15,000* Double Diamond 600 / $18,000* Black Diamond 800 / $24,000* White Diamond 1000 / $30,000* Blue Diamond 1400 / $42,000* Imperial Diamond 1500 / $45,000* Ambassador Diamond 1667 / $50,000* * If cycle pool exceeds 50% of company CV, cycle caps may be lowered in order to fund and pay the team FLEX match bonuses. No BV will be lost and will be carried over to the next bonus period.

Any commissionable volume that was not paid a Team Commission Bonus in the current bonus period will be carried over to the next bonus period.

Example:

John is qualified as Gold to receive Team Commissions. He has 3000CV in his left team and 5200CV in his right team. His Team Commission Bonus would equate to $600. Calculation is as follows:

150CV = 1 cycle = $30 3000CV divided by 150CV = 20 Cycles 20 cycles multiplied by $30 per cycle = $600 Team Commission Bonus

John’s Carryover volume on his right leg would equate to 2200CV. Calculation is as follows:

5200CV -‐ 3000CV = 2200CV

Any volume used to complete a full cycle will not carry over, but will be considered “used” and removed from that distributor. Any unused volume from both sides will carry over to the next cycle and/or period.

13

Example 2:

John does not meet the minimum required PV to remain active within 30 days of the end date of the commission period he will not receive a binary cycle bonus, but his volume from both sides will carry over to the next period. However, once John becomes inactive, his volume will NOT accumulate until he becomes active.

Example 3:

John does not meet the minimum required PV to remain active within 45 days of the end date of the commission period all volume on his “Lesser Leg” will flush (no carry-‐over).

Team Matching FLEX Bonus (TMB) In order to receive the Team Matching Bonus, a distributor must be Commission Qualified and meet the following qualification criteria:

1. Distributor must have 80 PQV

2. Distributor must have a current paid rank of Platinum or above and have at least four active, personally sponsored in their left leg and four active personally sponsored in their right leg.

The Team Matching Bonus is paid as a FLEX percentage on the Team Commissions earned by a distributor’s direct sponsored line of distributor(s) based on a total amount of sixty-‐three percent (63%) of total company CV.

The floating percentage is based on CV after the Company pays all Team Commissions and any other bonuses offered by the Company at its discretion.

14

The number of levels available to an OXOww distributor is determined by Rank. The following summarizes the Team Matching Bonus availability by Rank:

Example 1:

1st weekly commission period, the Team Matching FLEX Bonus is determined to be 10%. Julie’s qualified current rank for the commission period is at a Diamond rank. At a Diamond rank, Julie is qualified for five (5) levels in the TMB. Julie has personally enrolled Charles in one of her legs. Charles has enrolled Jackson, James, and James has enrolled Sara in one of his legs. All of the people in this leg are Bronze rank during the commission period.:

Team Commissions Distributor Amount Charles – LEVEL 1 $300 Jackson – LEVEL 2 $100 James – LEVEL 2 $100 Sara – LEVEL 3 $50

Rank Levels Distributor Not Available Bronze Not Available Silver Not Available Gold Not Available Platinum 4 Diamond 5 Double Diamond 6 Black Diamond 7 White Diamond 7 Blue Diamond 7 Imperial Diamond 7 Ambassador Diamond 7

15

Julie’s weekly Team Commission Bonus would be $55 broken down as follows:

Team Matching Bonus Distributor Calculation Amount

Charles = 300 X 10% $30 Jackson = 100 X 10% $10 James = 100 X 10% $10 Sara = 50 X 10% $5

Example TMB Illustration

Personally Sponsored Second Level Fourth Level Sixth Level First Level Third Level Fifth Level Seventh Level

Executive Ranks Bronze Silver Gold Platinum Diamond Dbl-‐Diamond Black Diamond

& Above Levels paid N/A N/A N/A 4 5 6 7

This illustration is designed to help you better understand the levels of the Team Match Bonus.

YOU

16

Rank Descriptions and Qualifications Basic Qualification: All rank qualifications are based on the activity from the previous 4 weeks.

Active • 80 PQV (Your personal Retail and Preferred Customer sales also count

toward your required 80 PQV)

Commission Qualified • Active • 2 Active (80 PQV) personally sponsored distributors, one on the left and

one on the right of the binary tree with a 80BV of monthly volume in each leg.

Rank Qualifications: Bronze

• Commission Qualified • 80 PQV • 10% Binary Cycle Bonus / $750 weekly cap

Silver • Commission Qualified • 80 PQV • 4 personally sponsored Active distributors, 2 on the left and 2 on the right. • 15% Binary Cycle Bonus / $1,500 weekly cap

Gold • Commission Qualified • 80 PQV • 6 personally sponsored distributors, 3 on the left and 3 on the right. • 20% Binary Cycle Bonus / $3,000 weekly cap

Platinum • Commission Qualified • 80 PQV • 8 personally sponsored distributors, 4 on the left and 4 on the right

17

• Minimum 20 Cycles o Minimum 20 cycles, each week, for 2 consecutive weeks to advance

to Platinum. • 4-‐LEVELS Team Matching FLEX Bonus – NO CAP! • 20% Binary Cycle Bonus / $10,000 weekly cap

Diamond • Commission Qualified • 80 PQV • 10 personally sponsored distributors, 5 on the left and 5 on the right • Minimum 50 Cycles

o Minimum 50 cycles, each week, for 2 consecutive weeks to advance to Diamond.

• 5-‐LEVELS Team Matching FLEX Bonus – NO CAP! • 20% Binary Cycle Bonus / $15,000 weekly cap

Double-‐Diamond • Commission Qualified • 80 PQV • 12 personally sponsored distributors, 6 on the left and 6 on the right • Minimum 75 Cycles

o Minimum 75 cycles, each week, for 2 consecutive weeks to advance to Dbl-‐Diamond.


18

Black Diamond • Commission Qualified • 80 PQV • 14 personally sponsored distributors, 7 on the left and 7 on the right • Minimum 100 Cycles

o Minimum 100 cycles, each week, for 2 consecutive weeks to advance to Black Diamond.


White Diamond • Commission Qualified • 80 PQV • 14 personally sponsored distributors, 7 on the left and 7 on the right • Minimum 150 Cycles

o Minimum 150 cycles, each week, for a 2-‐week period to advance to White Diamond.


Blue Diamond • Commission Qualified • 80 PQV • 14 personally sponsored distributors, 7 on the left and 7 on the right • Minimum 250 Cycles

o Minimum 250 cycles, each week, for 2 consecutive weeks to advance to Blue Diamond.


Imperial Diamond • Commission Qualified • 80 PQV • 14 personally sponsored distributors, 7 on the left and 7 on the right • Minimum 500 Cycles – over a 4-‐week period

o Minimum 500 cycles, each week, for 2 consecutive weeks to advance to Imperial Diamond.

• 7-‐LEVELS Team Matching FLEX Bonus – NO CAP!

19

• 20% Binary Cycle Bonus / $45,000 weekly cap

Ambassador Diamond • Commission Qualified • 80 PQV • 14 personally sponsored distributors, 7 on the left and 7 on the right • Black Diamond in each leg • Minimum 1000 Cycles – over a 4-‐week period

o Minimum 1000 cycles, each week, for 3 consecutive weeks to advance to Imperial Diamond.


Rank Packages and Auto-‐Qualify Ranks Enrollment and upgrade packages provide an opportunity to be auto-‐qualified at some of the ranks. If any of the packages are purchased, the auto-‐qualify rank will remain in effect for a pre-‐defined number of days, depending on the package purchased. Once the number of days has passed, the current active paid-‐as rank will go into effect. The auto-‐qualified ranks will show up as the current rank, but will never show up as the pin (or lifetime) rank. The sponsor of a person with an auto-‐qualified rank can never use that person when qualifying for the ranks of Gold or higher. While an auto-‐qualify rank of Gold or higher can be used to qualify for the Team Matching Bonus, auto-‐qualify ranks are not used for determining levels.