| Thank
you for your counteroffer of November 10 in which you request
a lower introductory price to help initiate sales of our new
32bit VLST processor.
We fully appreciate your reasoning and share your desire
to achieve maximum market penetration as quickly as possible.
This is why these state-of-the-art devices were offered
to you at such a low initial price. Therefore, given the
very substantial developmental and facilities costs involved,
a lower price is not feasible at this stage. Still, we are
confident these devices will find a ready market.
On the other hand, we do want to give you every assistance
during the critical start-up period. For this reason, we
are prepared to give you an advertising subsidy equal to
five percent of your gross for the first six months only.
This is the limit to which we can assist you. Bear in mind
that you will have to provide vouchers showing that these
amounts were actually used in promotional activities.
We trust you will take advantage of this exceptional offer
by placing firm orders with us soon.
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