Loading...
EXHIBIT A Term Sheet EXHIBIT A TERM SHEET EXCLUSIVE NON - ALCOHOLIC BEVERAGE AGREEMENT CITY OF MIAMI BEACH AND COCA -COLA REFRESHMENTS USA, INC. and COCA -COLA NORTH AMERICA, A DIVISION OF THE COCA -COLA COMPANY 1. DEFINITIONS: Bottler: Coca -Cola Refreshments USA, Inc. d /b /a Florida Coca -Cola Bottling Company and Coca -Cola North America, a division of The Coca -Cola Company City: City of Miami Beach Agreement: Exclusive Non - Alcoholic Beverage Agreement Facilities: Includes the following Miami Beach propert , including any land, building, structures and /or other facilities thereon: Miami Beach Golf Club; the Normandy Shores Golf Club; The Fillmore Miami Beach at the Jackie Gleason Theater (upon the expiration of the current management greement); the Miami Beach Convention Center; all currently existing City of Mia i Beach owned parks and recreational facilities; all currently existing City of Mia i Beach owned public parking garages which are either directly operated by the City, through its Parking System, or by a third party who, pursuant o a management or concession agreement with the City, is contractually authorized to operate and manage such garage on behalf of the City; all currently existing public beachfront concessions which are either directly operated by the City �r by a third party who, pursuant to a concession or management agreement with the City, is contractually authorized to operate and manage such concession on behalf of the City; and any additional future FacilitieslocationG or expansion of existing or future Facilitieslocation� including g but not limited to, the concession gr facilitiesaee s at 21 and 46 street and at South Pointe Park and the Miami Beach Convention Center facility expansion..) likcwi;e under the control of the Account - - . - - _ • - - - _ _ - _ . _ - - - -- _ - - .. . except as may be otherwise be excluded in the Agreement. Beverage: all non - alcoholic beverages of any kind including but not limited to coffee products; tea products; concentrated energy drinks, including those in small servings; protein- enhanced dairy beverages; frozen drinks (e.g. ICEE) and smoothies made from concentrate; and the pre -mix and /o post -mix syrups used to prepare fountain Beverages. "Beverage" or "Beverages" shall not include dairy products except as noted above (e.g. milk, yogurt, ice cre m), water drawn from the public water supply, or unbranded juice squeezed fresh at the Facilities. Products: Beverage products purchased directly from pottier or sold through vending machines owned and stocked exclusively by Botti r 2. AGREEMENT TERM: The Term shall begin August 21, 2011 and will continue until July 31, 2021 (the "Term "). When used in this Term Sheet, the term "Agreement Year" means each consecutive twelve -month period during the Term, beginning with the first day of the Term. 3. EFFECTIVE DATE: August 1, 2011 4. EXPIRATION DATE: July 31, 2021 as to all Facilities except as to December 31, 2021, Public Beachfront Concessions, December 31, 2021 (no additional sponsorship fee) 5. SPONSORSHIP FEE: $3,725,000 for the Term of the Agreement. • First installment of $800,000 minus $29,615.30 for the funds paid, but not earned, in 2011 to the Miami Beach Convention 3enter for a total of $770,384.70 will be paid within thirty (30) days of execytion of the Agreement. The portion pertaining to the signing bonus ($400,000) will be deemed earned over the Term; the •ortion •ertainin• to the s•onsorshi• fee for the initial ear Classified - Confidential r 1 ($270,384.70) shall be deemed earned during the first Agreement Year. • $325,000 due each Agreement Year thereafter during the Term of the Agreement, due upon the anniversary date of the Agreement and will be deemed earned over the Agreement YearTea.(Subject to purchase of a minimum of 22,500 cases of bottles /cans per year_) 6. COMMISSIONS: Commissions to be paid quarterly in arrears by Bottler to City based upon cash collected less taxes and as per the Commission Rate Structure according to Bottler's sales records. (Exhibit 1) 7. COMMUNITY: Bottler will provide City with a total of $17,500 in cash sash for the purchase of SUPPORT/ equipment or other products - - - e. - - - - - - - - •• - • - -- -e -- e - _ _ • ; COMPLIMENTARY (mutually agreed upon) promotional activitics to support the community. PRODUCT -BANK: Bottler shall provide City, upon City's request with up to 450 standard physical cases of complimentary Product (12 ounce CSD cans and /or DASANI 12 ounce bottles) per Agreement year for a Product bank to be used y the City. If City does not request complimentary Product by the end of eac year, any remaining complimentary Product shall be retained by Bottler with o further obligation to Account. Bottler will provide complimentary Product donatio report upon Account's j request. 8. ADVERTISING & Bottler has the exclusive right to advertise Products (1) at he Facilities and (ii) in SPONSORSHIP: connection with the Facilities. A - --. .e -- . -e— - _ - . - - . .. - -e . - - - -- - - - - - •- -- - - - - - = - -- :sue_ - - defined.1 No permanent or temporary advertising, signage or trademark visibility for Competitive Products are permitted anywhere at the Facilities, except as permitted pursuant to the Agreement. Advertising rights are further delineated in Exhibit 2. Bottler has the exclusive right to advertise the Products as the "Official" or "Exclusive" soft drink, sports drink, dairy-based protein drink, water, tea, energy drink, and /or juice or juice drink, etc. of the Facilities, of the City of Miami Beach and of South Beach. Bottler will be the exclusive advertiser of Products associated with the Facilities. 9. PRODUCT RIGHTS: Bottler has the exclusive right to sell or distribute Products at the Facilities. No Competitive Products may be sold, dispensed, sampled or served anywhere at the Facilities, or on the City's public rights -of -ways, except as may otherwise be provided for in this Agreement. 10. EXCEPTIONS: Except for those Facilities specifically enumerated in Section 1. "Facilities" shall NOT include any City of Miami Beach property (including any City -owned land, buildings, structures, and /or other facilities thereon) which—as of the Effective Date —is used, occupied, controlled, and /or managed arid operated by a third party (or parties) pursuant to any of the following agreements between the City and such third party(ies): (i) lease agreement; (ii) concession agreement; (iii) operation and management agreement; (iv) develophient agreement; (v) easement agreement; (vi) license and /or use agreement; (vii) revocable permit; and /or (viii) any other written instrument between the City and such third party(ies) which establishes a contractual right on behalf f such third party(ies) for the use and /or occupancy of City property. This shall include, but not be limited to, any City property occupied by a tenant thro agh a lease or rental agreement (including, without limitation, leases or rental agreements for office, retail, and /or commercial uses(s) in City -owned buildings); any City property managed and operated, and /or otherwise used, by a third party(ies) pursuant to a management agreement or concession agreement; private upland owner beachfront concessions which are issued a permit by th City (and which are neither operated directly by the City, nor by a third p 1 rty on behalf of and pursuant to a contract with the City); "public- private" projects developed and Classified - Confidential • constructed pursuant to a Development Agreement (pursuant to the requirements of the Florida Local Government Development Agreement Act under Chapter 163, Florida Statutes); any hotel or retail development rel- ed to the expansion of the Miami Beach Convention Center that is not ma aged as part of the Convention Center operations (e.g. adjacent commer•ial retail, hotel, etc.). sorve the Convention Center visitors or exhibitors. City agrees that it will not knowingly permit any Competitive Products to be sold, distributed, served, sampled, marketed, advertised or promoted at the Facilities, or in association with Account, except: • Third party exhibitor set ups at Facilities or during City- Permitted Special Events in accordance with the City's Special Event Permit Guidelines, as same may be amended from time to time.; ' - •• _ - _ - _ - - ---e to e- defined } • Charitable events at Facilities or at City- Permitted Special Events where Competitive Product is donated to the charitable event, • _Availability at City- Permitted Special Events only within Special Event Permit Area as such term is defined in the City's Special Evert Permit Guidelines, as same may be amended from time to time. • Up to four (4) sponsorship events at the Miami Beach Golf Club and up to four (4) sponsorship events at the Normandy Shores Gold Club each Agreement year; • up to three (3) sponsorship events at the Miami Be ch Convention Center each Agreement year; • a mutually agreed upon number of sponsorship event at the Fillmore Miami Beach at the Jackie Gleason Theater (upon expiration of the existing management agreement); and • up to four (4) City- issued Special Event Permits for a major sponsorship event each Agreement year (public event). "Sponsorship Event" includes an event sponsored by a manufacturer, distributor, or marketer of Competitive Products under a master sponsorship agreement with the owner or operator of the sponsorship event; an event conducted on a national or regional multi- market basis; and /or an event where a competitor is the presenting, title or other primary sponsor of the event. The number limitation or City- Issued Special Event Permits is subject to a review after three years. • Public bus shelter advertising managed by a third party under contract with the City and advertising permitted pursuant to the current agreement for the public bike concession. Whenever possible, City will make reasonable good faith efforts to encourage third party users of the golf clubs and Convention Center, and Special Event organizers, to use or consider using Bottler's Products for their non - alcoholic beverage needs. 11. MARKETING Bottler agrees to provide Account with annual in -kind marketing support fund with PROGAM: an approximate retail value of Two Hundred Thousand Five Hundred Dollars ($200,500) as further delineated in Exhibit 3. 12. RECYCLING Bottler shall be designated the official "Recycling Partner" of Account. In PARTNER: consideration of this designation, Bottler shall provide, at their cost, the j services /products delineated in Exhibit 4, with an approximatc minimum total value of $15,000. and up to - $25,000 over the entire Term - 13. VENDING City agrees that Bottler shall place a minimum of sixty -five (65) Product vending PROGRAM /OTHER machines in mutually agreed upon locations at the Faciliti s, and Bottler will loan EQUIPMENT to City at no cost, Beverage dispensing equipment as reas nably required and as mutually agreed upon to dispense Products at the Facilities, nd in accordance with Classified - Confidential r Exhibit 5. 14. CITY SUPPORT: In consideration of the partnership, City grants to Bottler: Twenty -six (26) rounds of golf each Agreement Year (max of eight during peak season; no more than twelve at Miami Beach Golf Course; benefit does not roll over); a minimum of four (4) free tickets to at least six (6) ticketed events at Facilities each Agreement Year, subject to availability (e.g. Art Basel Miami Beach, Auto Show, South Beach Comedy Festival at the Fillmore, etc.). Additional tickets will be provided as available. Benefit does not roll over. 15. PRICING: Bottle /Can Pricing: City is entitled to purchase bottle /can Products from Bottler in accordance with the price schedule set forth in Exhibit 6; prices shall remain in effect until July 31, 2012. Thereafter, such prices will by subject to an annual increase of no more than four percent (4 %) over the previous Agreement Year's price. Fountain Products or Georgia Coffee Pricing: Bottler will ell fountain Products to City at the National Account prices, as announced by th Bottler in January of each year. Georgia Coffee pricing shall be provide quarterly based on commodity markets. Purchasing: All Product shall be purchased directly from Bottler, except for those Products that Bottler identifies can be purchased from an authorized Coca -Cola distributor. 16. TERMINATION: If City breaches any of its material obligations set forth in this Agreement, and fails to cure such breach within thirty (30) days following writtOn notice of same from Bottler, then, Bottler may terminate this Agreement, and Oity shall (1) return any Equipment, and (ii) pay to Bottler the unearned portion of any pre -paid Sponsorship Fees or- -ether fees or funding for the Agreement Year iri which the termination occurs (pro -rated through the date of termination). If Bottler breaches any of its material obligations set forth ,in this Agreement, and fails to cure such breach within thirty (30) days following written notice of same from City, then, City may terminate this Agreement, and Bo shall (i) remove any Equipment, and (ii) pay to City the earned portion of any portion of any pre -paid Sponsorship Fees or other fees or payments due for the A reement year in which the termination occurs (pro -rated through the date of ter ination) that has been rned by Account. City shall not be in default in the event of any claim filed in relation to City's restriction on Competitive Product sampling; provided, however, that Bottler shall have the following remedies 1) ability to renegotiate financial terms, as appropriate, within a specified time (e.g. 90 days); or, 2) failing to negotiate terms acceptable to both parties within specified time, Bottler may terminate the Agreement, and City shall (i) return any Equipment, and (ii) pay to Bottler the unearned portion of any pre -paid Sponsorship Fees for the Agreement Year in which the termination occurs (pro -rated through the date of termination). Ccurc provisions maywill include the ability to rcducerencgotiate financial tcrms, as appropriate, within a mutuaNy agreed upon specified time (e.g. 90 day-s). Nothing in this section shall operate to restrict either party's other remedies in the event of a material breach by the other. 17. MAINTENANCE & !. _ - • , _ _ - __ _ • ___ • , __ __ _ - -- _ __ - SERVICE: -_. _ - -- •• - -- --••-- - - -- - _ -.- - -- ' -- Facilities. Account represents and warrants that electrical service at the Facilities Classified - Confidential electrical services. Bottler agrees to provide reasonable s rvice and maintenance for the equipment during the Term. City shall allow Bottll r to enter its premises for the purpose of inspection or performance of such maintenance and repair, or necessary replacement or return of the equipment. Bottler will maintain all - '_ •- - - - -- - - - -- - - - -" - - - Bottler and City will establish a mutually agreed upon refund bank and customer service program, as delineated in Exhibit 7. 18. REPORTS /AUDITING: Bottler will provide an annual business review report within 90 days following each Agreement year during the Term; Commission reports will be provided monthly. City has the right to audit/inspect account statements with reasonable prior notice to Bottler and during normal business hours. If City requests an audit, Cit as rees to .a for such audit. Classified - Confidential Exhibit 1 COMMISSIONS Product Vend Price Commission fate 20 oz. carbonated /NESTEA®$1.25 30% 20 oz. Minute Maid® $1.25 30% 20 oz. DASANI® $1.25 30% 300 ml DASANI® $0.75 30% 20 oz. POWERADE® $1.50 30% 20 oz. vitaminwater® $1.75 15% 16 oz. Energy Beverages $2.00 30% 16.5 oz. FUZE $2.00 15% 15.2 oz. Minute Maid® Juices to Go $1.50 15% In Agreement Years Four and Seven, the Vend Prices will increase by twenty -five cents for each Product listed above. For example, in Agreement Year Four, 300m1. DASANI will increase to $1.00 Vend Price and then in Agreement Year Seven, 300m1. DASANI will increase an additional twenty -five cents to $1.25. The Commis- sion Rates will not change during the Term of this Agreement. There are two vend rates (one for workplace and one for public locations) that will be outlined in the final formal agreement between the parties, but note that commission rates will remain the same. Commissions are paid based upon cash collected after deducting taxes, deposits, redycling fees, other han- dling fees, communication charges and credit and debit card fees, if any. Commissions shall not be payable on any sales from vending machines not filled or serviced exclusively by Bottler. Bottler may adjust the vend prices and /or commission rates as necessary to reflect changes in its costs, including cost of goods, upon prior written notice and approval by City. Commissions will be paid each month following the month in which they are earned, with an accounting of all sales and monies in a form reasonably satisfactory to the City, and shall become immediate property of City. 3 Classified - Confidential ' . . Exhibit 2 ADVERTISING RIGHTS (Except as otherwise noted, the following rights may not be transferred or assigned by Bottler) 1. Recognition of Bottler as the "Official Non - Alcoholic Beverage Sponsor" of City. Official status will include Official Status Recognition for City across all non - alcoholic beverage categories i.e. "Coca -Cola Official Soft Drink of Miami Beach" and Official Status Recognition for South Beach across all non alcoholic beverage categories (i.e. "POWERADE Official Sports Drink for South Beach ") 2. Official Sponsor Status (for Products) of all City - produced citywide Special Events, whether now existing or as may exist in the future (i.e. including, without limitation, and for example purposes only July 4 and Sleepless Nights); Bottler to have highest sponsorship level and benefits availably other than presenting or title sponsorship. 3. Recognition of Bottler as the "Official Recycling Partner" for the City of Miami Beach & South Beach 4. Joint Bottler /City Logo placement on City and City - related websites (e.g. Miami Beach Convention Center, Miami Beach Golf Club, Normandy Shores Golf Club, Miami Beach Culture web site (MBCulture.com); and any other City websites, whether now existing or as may exist in the future, to such extent as permitted by any federal or state regulations on .gov domains. Cite will use best efforts to include joint Bottler /City Logo on all printed convention and tourism materials, as appropriate and available. 5. Waiver of any Special Event Permit and /or Permit Application Fees for Bottler's use of certain Account Facilities for up to two (2) mutually agreed upon events per Agreement Year, based on availability. For purposes of the Special Event Permit and /or Permit Application Fee waiver, these Facilities shall include public beachfront areas and Parks and Recreation facilities where Special Events are permitted. All other fees and costs of production, including but not limited to, taxes, security, sanitation, etc., shall be the responsibility of Bottler. Right may not be transferred or assigned. 6. Waiver of any rental or use fees for Bottler's use of certain City Facilities for up to (two) 2 mutually agreed upon events per Agreement Year, based on availability. For purposes of the r ntal or use fee waiver, these Facilities shall include the use of meeting room space or ballroom spa at the Miami Beach Convention Center. All other fees and costs of production, including but not Ii ited to taxes, security, audio /visual, decoration, etc., shall be the responsibility of the Bottler. Right m y not be transferred or assigned. 7. Unlimited, royalty -free Product sampling at City produced and /or sponsored events; Royalty -free Product sampling permits per Agreement Year, as follows: 30 permits for Agreement Years 1 to 5; 36 permits for remainder of Term. Right may not be transferred or assigned. 8. Mutual agreement on the development and use of a joint logo between Bottler and Account. 9. Right to use mutually agreed upon joint logo on any point -of -sale, marketing materials, and /or signage that may be mutually agreed upon. 10. Royalty -free advertisement in City's magazine (i.e. MB Magazine); minimum c+f a quarter page each issue; larger ad size as may be available. Right may be transferred or assigned. 11. Royalty -free prominent advertisement in any Special Promotional Event programs or collaterals produced for City - produced citywide Special Promotional Events (i.e. including, without limitation, July 4 and Sleepless Nights). City shall use best efforts to provide a full page ad. 12. The right to brand City's public beach concession area(s) with approved Bottler and City joint branding graphics (e.g. concession stands, storage shed, umbrellas, etc.), subject to proposed branding meeting all necessary administrative and regulatory approvals. Implementation of any approved branding shall be at the Bottler's expense. All trademark usage must be pre- approved prior to usage. The erection of any other signage other than vending machine display shall be subject to approval by the City. 13. One Royalty -free joint City /Bottler message PSA advertising panel at the 5 and Alton bus shelter; pro- duction /installation costs paid by Bottler. Minimum of full use of one PSA ad panel for the entire term of the Agreement. 14. Minimum of one (1) Royalty -free advertising panel on a space availability (remnant) basis; produc- tion /installation costs paid by Bottler. Right may be transferred or assigned. Classified - Confidential ' . • .. J 15. Minimum of one (1) one -month Royalty -free electronic joint City /Bottler message PSA run on Atlantic Broadband and Welcome Channel; Additional months based on ongoing availability; 16. Minimum of one (1) unlimited run on MBTV of City /Bottler message PSA; 17. Royalty -free POF ticket ad based on space availability; production costs paid by Bottler. Right may be transferred or assigned. The parties agree to perform additional marketing activities the parties mutually agree upon to drive traffic to the Facilities and to increase Product sales. 2 Classified - ConfidenhaIC1 ...c a aae „.. l Exhibit 3 MARKETING PROGRAM Bottler shall provide City for approval with the proposed annual marketing plan for promotion of the partnership no later than ninety (90) days prior to the beginning of each Agreement Year, except for the first Agreement Year when the marketing plan shall be provided to the City within ninety (90) days a er execution of Agree- ment. The annual value of the marketing plan shall be no less than $200,500, as dete fined in good faith by Bottler and based on generally accepted marketing values. Some examples of activati n may include the fol- lowing; however, actual marketing programs will depend on availability of these progra s. • Inclusion of the City in the My Coke Rewards program, or other customer reward p ogram offered by Bott- ler, through an annual promotional program (e.g. sweepstakes); estimated value $100,000, or equivalent value. Activation based on availability • Truck -back promotions program - value: $24,000 /year based on availability • Box Topper program or other similar high - visibility promotional program; value: $25,000 /year • Neck Ringer program: a Neck Ringer program shall be available with a minimum distribution of neck rin- gers • Touring Program: Bottler will bring the Open Happiness Tour, or such other promotional touring program offered by Bottler, to the City based on availability. • Bottler to develop and implement at least five (5) strategic marketing partnerships with the Account and the Bottler's other sponsorship partners during the Term of the Agreement. Such strat gic marketing partner- ships may include, but are not limited to, cross promotion, product, tickets, etc., wit other brands or prod- ucts currently under a sponsorship or other promotional /marketing agreement with t e Bottler. i. • Lebron James Event/celebrity event; value: $45,000 based on availability, or equival nt value City acknowledges the intent of the Bottler to develop a joint marketing logo incorporating the Bottler's mark and the City's mark. Bottler shall obtain approval from the City, in writing, of the joint logo for use in promotion of the Agreement, including, but not limited to, its use in all commercial, marketing, media advertisements, web sites and promotional products. A party's Bottler's use of the Account other party's marks in promotions, on products an signage, shall be first approved by the other party Account in writing, and all uses of a party's the CityAc Dust's marks shall be acknowledged as thate party's Account's intellectual property and include appropriate trademark notices. The parties agree to perform those additional marketing activities the parties mutually agre upon to drive traffic to the Facilities and to increase Product sales. This may include, but is not limited to, either party providing pro- motional assets at their disposal, such as tickets to events in City facilities, for joint marketing activities. 6 Classified - Confidential a Exhibit 4 RECYCLING PARTNERSHIP Bottler shall be designated the official "Recycling Partner" of City. Bottler shall provide, at their cost, the following services /products (value of $15,000 - $25,000): • Assess, consult and offer a Recycling Program Plan for bottle /can recycling initiative • Propose messaging strategy for the City's bottle /can recycling initiatives (within 90 ays after execution of Agreement) • Provide Temporary recycling bins for special events (minimum of 30) to Account at ottler's cost; • Provide Recycling bins for placement in Facilities or agreed upon public areas (mini um of 15) to Account at Bottler's cost; design subject to review and approval of City; • Place reverse vending machines (crushers) in vending banks in the Facilities; mini um of five (5) crushers placed during the first five Agreement Years of the Term, at Bottler's cost. • Use of Recycling Educational Vehicle (REV,) or other Education Recycling materi I, at City events; sche- duled at least one time every 18 months during the Term. II 7 Classified - ConfdenlialCtassificd — confkie a' Exhibit 5 VENDING PROGRAM Bottler shall place, at their cost, all vending machines in agreed upon locations pursuant to the following: 1) Bottler shall rovide to City within 90 days after execution of Agreement the proposed equipment lan for p Y Y 9 p p p the Agreement Term; to include the machine allocation plan by type (e.g. interactive vending machines, glass front etc.) and location; equipment replacement schedule; and vend front replacement and schedule for existing vending machines that need the vend front replaced. All equipment shall be UL energy star rated. 2) Bottler shall install vending machines within 180 days after the proposed equipment plan has been ap- proved by all parties. Both parties agree that the installation of vending machines shall be completed with- in 180 days after the proposed equipment plan has been approved by all parties. Agreement execution. The already approved beach thematic vend fronts will be used unless other mutually agreed upon vend fronts have been selected and approved, and if beach thematic vend fronts are available. The vend fronts shall include advertising panels for use by the City. - - - - - -e _ s • - , provided that the vending ma- chines are equipped with advertising panel(s). Bottler shall pay all costs for the production and installation of the City vend front advertising panels panels. A minimum of two (2) and a maximum of four (4) Account vend panel ads mayshall be produced /installed each Agreement Year. 3) Bottler shall provide within 90 days after execution of Agreement the proposed credit card reader installa- tion plan and schedule. All credit card reader installation shall be completed within Agreement Year One . 4) City shall provide all electrical power necessary to operate the vending machines, and City shall pay up to $200 for the cost of any electrical modifications or connections necessary to accommodate any new vend- ing machine placement, upon mutual agreement of the proposed location for the pl cement of the vending machine_ 5) All vending machines remain the property of the Bottler. 6) Bottler shall provide a product list to the City to be included in the vending progra . Any changes to the Product list shall be provided to the Account prior to Product placement in a vending machine. Bottler shall work with the City's Parks and Recreation Department to identify the appropriate vending products for in- clusion in vending machines located in any City park. The City's Park and Recreation Department shall provide approval, in writing, of the products to be sold in the vending machines placed in City parks. 7) Bottler shall maintain stock vending machines reasonably well- stocked with Products. stocked with its products. 5 Classified - Confidential • ... - • . Exhibit 6 INITIAL PRICE SCHEDULE* Package Price per case 20 oz. CSD $17.85 12 oz. CSD $9.46 15.2 oz. MMJTG $23.36 12 oz. DASANI $8.88 1 liter CSD $16.29 20 oz. DASANI $10.82 20 oz. vitaminwater $27.00 8 oz. CSD $16.00 20 oz. NESTEA/Minute Maid Refreshment $17.85 20 oz. POWERADE $19.00 16 oz. Monster $34.00 2 liter CSD $12.35 16.9 Honest Tea $12.60 500 ml Gold Peak $13.99 Post -Mix Price per gallon 5 gallon BIB CSD and NCB $11.68 2.5 gallon BIB CSD and NCB $12.20 5 gallon BIB Unsweet NESTEA $11.28 2.5 gallon BIB Unsweet NESTEA $11.84 5 gallon BIB Premium NCB $12.17 2.5 gallon BIB Premium NCB $12.70 5 gallon BIB Frozen Dispensed $13.24 2.5 gallon BIB Frozen Dispensed $13.62 Cups 24 ounce $52.89 per 1,200 Lids 24 ounce $34.55 per 2,000 CO2 1 20 lb. cylinder $25.00 per cylinder (plus $75.00- deposit) *AII prices are per standard physical case and exclusive of taxes, deposits, handling fees, and recycling fees. Georgia 64 Oz Brew and package size: (Prices effective for the period: 4/1/2011 - 6/30/2011 ) Product Package Small Filters Large Filters (Frac) Dark Roast 100, 2.75 oz $112.63 $112.63 Light Roast 128, 2.25 oz $75.17 $118.86 Decaf 75, 2.00 oz $68.01 $68.01 Sustainable 75, 2.75 oz $ 108.39 $108.39 Organic 4 Classified - Confidential( C'ossified Confidenhai Exhibit 7 MAINTENANCE & SERVICE Bottler agrees that all equipment shall be new or in "like new" condition and that it shall e operate and manage g the equipment, services and facilities offered in a first -class manner. Bottler shall provide City with the Main- tenance Plan and Schedule for all Bottler equipment within 90 days of execution of Agreement, to include the Bottler's plan and schedule for servicing the City. Bottler shall provide throughout the term of this Agreement, at Bottler's expense, all repairs, replacements and technical services necessary to maintain and preserve the Bottler's equipment in a decent, safe, healthy and sanitary condition satisfactory to City and in compliance with applicable laws. Bottler warrants that it shall correct all mechanical problems with vending machines no later than four (4) busi- ness days after notice and no later than twenty -four (24) hours after notice for all other dispensing equipment. Acts of vandalism to Bottler's equipment will be reported to Bottler immediately and addressed within four (4) business days. If the vending machine is repairable, the vending machine will be repaired within four (4) busi- ness days. If the vending machine is not repairable, vending machine will be condemned and swapped within seven (7) business days. Bottler is the only party allowed to make repairs on Bottler owned equipment. All Vending machines shall display a "service hotline" sticker to expedite calls. A toll free ( "1- 800 ") number shall be provided and a 24 -four hour per day, seven days a week continuously operating telephone answering ser- vice shall be provided. A reimbursement fund in the amount adequate to handle all necessary refunds between service calls shall be made available to City at designated location(s) mutually agreed upon by City and Bottler. Each person re- questing a refund shall complete a form which shall be maintained by the City and provided to the Bottler as required. The reimbursement fund shall be checked by the Bottler no less than once a month and replenished as needed. Information on refunds shall be provided on each machine. 8 classified_ Confident,al ' ... • • .