CTR067404_Contract_Amendment__5.pdf

Contract Amendment Arizona Department of Administration State Procurement Office 100 N. 15th

Avenue Phoenix, AZ 85007

Contract: CTR067404 Contract Amendment: #5

Effective Date: November 20, 2025

Statewide Furniture, Products, and Related Products

Hertz Furniture

In accordance with the Uniform Terms and Conditions, Section 5.1 Amendments, it is mutually agreed that the subject Contract is amended as follows:

1. The Pricing Document has been revised and replaced with “CTR067404 Price Sheet – Per A5", reflecting various increases in manufacturer list prices and added manufacturers.

RECITALS

On August 30, 2023, the State awarded the subject Contract to Hertz Furniture with an effective date of September 1, 2023, with the an initial one year Contract term with the option to renew in increments of one (1) or more months, provided that the maximum aggregate term of the Contract including extensions, do not exceed the maximum aggregate term of five (5) years.

Thereafter, Amendment One (1), executed on September 1, 2024, extended the contract period for one year, effective through August 31, 2025.

Amendment Two (2), executed on March 21, 2025, updated the pricing list to reflect product price increases and added manufacturers to the Contract.

Amendment Three (3), executed on July 3, 2025, extended the contract period for one year, effective through August 31, 2026.

Amendment Four (4), executed on July 22, 2025, revised the pricing document to reflect two new manufacturers.

ALL OTHER REQUIREMENTS, SPECIFICATIONS, TERMS AND CONDITIONS REMAIN UNCHANGED

This amendment shall be fully executed upon the electronic approval in the State e-Procurement system by an authorized representative of the Contractor and applied to the contract in the State e-Procurement system by the Procurement Officer or delegate.

Available online at app.az.gov

Katie Hobbs Arizona Governor

Elizabeth Alvarado-Thorson ADOA Director

David Steuber State Procurement Administrator

11/20/2025

Hertz Furniture Attn: Sarah Tauber, Bids Specialist 300 Tice Blvd. Suite 291 Woodcliff Lake, NJ 07677

Subject: CTR067404 Hertz Furniture Price Increase Request Determination

Dear Ms. Tauber, In accordance with Section 4.4 Price Increase, the State has reviewed Hertz Furniture’s price increase request. Upon review, it was determined that most increases will be granted, while others will not.

As agreed during our conversations, the State of Arizona will not approve surcharge fees for the tariffs mentioned in the manufacturer's letters due to a lack of supporting data. The approved price increases will be applied to the list price on the effective date indicated on the contract amendment and are detailed in the chart below. This decision is based on the following points:

● Any requested increases that fall within the scope of typical yearly adjustments have been approved.

● Surcharges citing tariffs as the reason have been rejected due to insufficient justification and supporting documentation.

Thank you for your time and patience. We appreciate your continued partnership with the State of

Arizona. If you have any questions, please contact me at selena.leon@azdoa.gov.

Kindly, Selena Leon, CPPB Statewide Purchasing Manager State Procurement Office Arizona Department of Administration

State Procurement Office | 1400 W Washington St, Ste 3100 Phoenix, AZ 85007 | 602-542-5511 | spo.az.gov mailto:selena.leon@azdoa.gov http://spo.az.gov

Katie Hobbs Arizona Governor

Elizabeth Alvarado-Thorson ADOA Director

David Steuber State Procurement Administrator

Approved Price Increases to Price List

State Procurement Office | 1400 W Washington St, Ste 3100 Phoenix, AZ 85007 | 602-542-5511 | spo.az.gov

Manufacturer Percentage Increase Approved

Academia Furniture Industries 3%

Raynor Group 8%

Fire King 4.5%

Haskell Education 4-5%

KFi Studios 7%

Lesro 3%

Marco 3%

MyTCoat 7%

National Public Seating 0-6%

Palmer Hamilton 0-6%

Screenflex 9%

HON 3%

Kid Stuff Play Systems 8%

Neutral Posture 10%

Steven Industries 4.2%

Eurotech 1.20%

Added Manufacturers: Smith System, Hallowell, Penco http://spo.az.gov

November 19, 2025

State of Arizona 1400 W Washington St., Suite 3100 Phoenix, AZ 85007

RE: Manufacturer Letter of Authorization Hertz Furniture for Contract CTR067404

To Whom It May Concern:

Hertz Furniture is an authorized dealer in good standing for Smith System Manufacturing and, thereby authorized to market, sell, distribute, and supply our entire product line nationally for the above referenced solicitation/contract. This includes providing installation, service, warranty service work, and/or maintenance service work for said product. This letter will be good through August 31, 2026.

Please feel free to contact me should you have any questions.

Sincerely, Lorrie Gibbs Contract Manager lorries@smithsystem.com 972-398-4067 mailto:lorries@smithsystem.com

From: The HON Company <thehoncompany@hnibrands.com>

Sent: Thursday, August 14, 2025 3:05 PM

To: Mutty Leiser <mleiser@hertzfurniture.com>

Subject: Re: EXTERNAL Important Pricing Update from The HON Company hon.com

Important Pricing Update

NOTICE - August 14, 2025

This message reiterates the pricing update communicated yesterday, August 13, 2025, with a revised effective date of August 23, 2025 at 12AM CDT.

Dear Valued Trade Partners, We sincerely appreciate your on-going partnership with The HON Company.

As stated in our May 16 price increase letter, we mentioned a potential need to re-instate surcharges should the tariff environment change. Since June 1, 2025 the United States has implemented tariff increases across multiple countries and sectors, ranging from 10% to

50%. These actions have an immediate effect on our costs.

Tariff Surcharge - Effective August 23, 2025 at 12 AM CDT

• A 3% net surcharge will be implemented on all orders placed after this date and time.

• The surcharge impacts the entire HON furniture offering, including previously quoted products.

• Orders must be received prior to 12 AM CDT on August 23 and ship with the best available date to avoid the surcharge.

Standard list price, discount, specification tools, and terms will remain unchanged. The surcharge will appear at the invoice level as a flat 3% in addition to the invoice total. The flat surcharge allows dealers and customers to easily calculate the impact to their orders.

mailto:thehoncompany@hnibrands.com mailto:mleiser@hertzfurniture.com https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D959dd1ec8ddee025cb8d20cad6ef8fac4b572db0d6224bd4e564b235f4ac24494c0095bc2cf37ddadfa27283ed0056732c7de9e9f3953cc8&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=L_mcKPmk7klVDk8_YlpHTlZPCuJJmpbqPbNrudNNMxo&e=

We remain committed to open and timely communication to ensure you are fully informed and prepared during this period of dynamic and changing cost pressure. We will continue to pursue efforts to mitigate the effect of these tariffs on our customers through a combination of cost avoidance, supplier concessions, and productivity initiatives.

Thank you again for your trust and continued partnership. Should you have any questions, your HON representative is always here to help.

Sincerely, Eric Schroeder

VP Finance

The HON Company

Lead Times |

Discontinuations

This email was sent by: The HON Company

The HON Company 200 Oak St Muscatine, IA, 52761, United States https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D959dd1ec8ddee0255ae45e7890c44ca56d36738dabaf8024cf7c550e4da2e5f2f86cbddf1b44198133343de743e430ea033d196c530ce629&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=gRZf3zdMBe8SukGJtJWhuP9n_NWDtX--uqV5yIjE8kc&e= https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D959dd1ec8ddee025a4b1892994ae64108fd944c70c4899f85aeaed64e6cd7d0b1f976a871ce9f6c721d3ed3b28f914ec57f7aed519e9245d&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=TShlwkNZ_wu1ipqseI1fiY4gyL3gXRonZrvKXA2kGrA&e= https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D959dd1ec8ddee0252b7a61e93889864e3c571d21e9afe176d953d1f9454d9051c2be3175c80be7db3f703f6b62c5e20edb1753706dbdd7aa&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=GrT6e_A_H6Vz3V09l2QpFKIhu9dnLkWusMpfVrZ4vG0&e= https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D53d5aa15980fe35af56eb29f22462914531dda5891fc4f874a34d369756a6b0a20d02205550b67b790e0a41d0306e6f0d83084d3963d3368&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=qm6kP_Dt9p2kGKuJA7hUKZLiQBv_-pnWdKCX20Tc_Bc&e= https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D53d5aa15980fe35aa5738b41b00d14f8050128fc53f7c26d5306ff6c4e44754fcc3a00065204c8e1e0d007aef36bcac4ed25d0a67e3041d8&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=lOd-K1nkQfAaJdWUOv5RCNt3wStMGANUpZRItdmCzjQ&e= https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D53d5aa15980fe35a3ebc7c42d0bc347975abd25bced8e2576230492bcb0fe0343517a810242a93aea56c796383038f21ab5da6ac12d275e3&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=e2NKd5_oGnHvmKIAP_6ZLaCq8KXZUQ5BH85fkYlAlJg&e= https://urldefense.proofpoint.com/v2/url?u=https-3A__click.hnibrands.com_-3Fqs-3D53d5aa15980fe35ae1faf3dd9ed85bd164937ffe497456dfc04a52c1c6a6a9c62e22715af5a0e918e84d5de61b6127e25ebeb6378b3da18e&d=DwMDaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=9-Kj6nKDT6C5g4tgXUby7IWrSNN-tVwuhiJU85gleNONZHrjAILuQ93veJC9ZiUO&s=3ZCfzzQs1KQwUO1PDdo6tAdmipKny0nlROE5fj-BT8c&e=

June 25, 2025

To whom It may concern, Due to recent current events, we have had to update pricing for our customers by 3% across our product range. This change is driven by ongoing cost pressures stemming from tariffs that affect several essential components. While most of our materials are domestically sourced, the broader ripple effects of international tariffs have contributed to higher costs even for

American-made components. We are dedicated to minimizing these increases through ongoing supplier negotiations, strategic sourcing, and the exploration of alternative material options, ensuring that only unavoidable costs are passed along.

The most significant impacts on our customer pricing have been driven by substantial cost increases in key materials—steel prices have risen by 25–45%, while plastic and most desktop surfaces have experienced a 25% increase.

We greatly value our partnership and recognize that any increase can have an impact. We are confident that our products will continue to deliver strong value and satisfaction as always.

Should you have any questions or require additional details, please do not hesitate to contact us.

Ezzy Katz

VP Business Development

Academia Furniture Industries

973-472-0100

Ezzy@AcademiaFurniture.com

From: Eurotech Seating <info@eurotechseating.com>

Sent: Sunday, June 15, 2025 7:31 PM

To: Sarah Tauber <saraht@hertzfurniture.com>

Subject: EXTERNAL New Pricing Effective Today mailto:info@eurotechseating.com mailto:saraht@hertzfurniture.com Saraht Text Box

Saraht Text Box

101 Security Parkway New Albany, IN 47150

Phone: 800-457-2424 www.fireking.com

Subject: Price List Update – Effective June 1, 2025

Dear Valued Partner, Please find attached our updated Price List, effective June 1, 2025. This update reflects a modest average price increase of 4.5% across all products, except for our SureSeal line.

This adjustment is necessary due to continued tariff-related cost pressures on several key components, including U.S.-made steel, drawer slides, handles, electronic locks, and corrugated packaging. Although we source the majority of our materials domestically, the broader market impact of global tariffs has driven elevated costs even for American-made goods.

We remain committed to minimizing these increases through ongoing negotiation, strategic purchasing, and exploration of alternative materials, ensuring that only unavoidable costs are passed along. While we recognize that any increase can have an impact, we are confident that our products will continue to deliver strong value to you and your customers.

We greatly value our partnership and look forward to continuing to work together. FireKing

International remains dedicated to leading the industry in fire-safe storage solutions — delivering high-quality, profitable products that provide your customers with peace of mind that their most important home or business assets are protected.

Thank you for your continued support.

Matt Donohue | VP of Sales

FireKing International, LLC

101 Security Parkway

New Albany, Indiana 47150

Below is a breakout of the added costs in percentages of biggest drivers:

Packaging-10%, Locks-20%, Steel-35%, Slides-35% Powder coat materials: 8%

May 1. 2025

To Whom It May Concern:

On May 1, 2025 Haskell Education will implement a 4-5% price increase across our entire product lines.

This increase aligns with the forecasted inflation rate across the United States.

We are aware of the sensitivity of any price increase, no matter how modest and will continue to invest every effort to reduce costs wherever possible despite the price increases of both raw materials and transportations costs. We have noticed that steel prices have risen anywhere from 4% to 8%, corrugated 7% - 8% and transportation at a striking 24%.

Should you have any questions, please feel free to reach out to me.

Thank you in advance for your support!

Sincerely, Cristel Hutchinson VP Sales Haskell Education chutchinson@haskelleducation.com 360-529-7074 mailto:chutchinson@haskelleducation.com

1533 Bank Street . Louisville, KY 40203 . (800) 457-5073 . kfistudios.com

Additional Information:

ALL parts from our suppliers are being tariffed. It was 25% affecting all in January with some additional Ad Valorem charges as well. Then end winter early spring the 25% value of steel derivative took effect ON TOP of the 25%. Then the 20% fentanyl tariff was imposed ON TOP of this.

Then an ADDITIONAL 10% reciprocal tariff on Chi na goods was imposed ON TOP OF ALL THESE. Our imports are being tariffed at 55% as of today.

It has fluctuated from 25% at year start to over 100% and now is hovering at 55%, so you can see why the askl for 3% is negligible in comparison to what manufacturers are absorbing.

Our HTS Codes used and affected are:

Specific dates and tariffs can always be found online as news has been covering this closely.

8302.42.3065 9403.99.4080 9401.90.4080 9401.91.9090 9401.99.3580 9401.99.9081

3909.50.5000 8544.42.9090 3920.10.0000 3923.90.0080 4819.20.0040 5603.94.3000 7318.15.8069 7318.15.8085 9403.90.5080 9403.60.8089

April 21, 2025

Dear Valued Marco Customer, We’re reaching out to inform you of a necessary pricing adjustment in response to the recent changes in tariff regulations.

Effective April 28, all new quotes received by Marco will include a flat 3% surcharge. This surcharge helps offset increased costs directly tied to the new tariffs.

To support current planning efforts, any existing quotes or orders received by Friday, May 16 will not be subject to this surcharge.

Should you have any questions or need further clarification, please don’t hesitate to contact your Marco Sales Executive.

We sincerely appreciate your understanding and continued partnership. Thank you for choosing Marco—we value your trust and your business.

Warm regards, The Marco Team American-Made. Educator-Focused. Built to Last.

Marco Group Inc.

5400 Doniphan Drive Neosho, MO 64850 417-455-9663 / 877-789-0403

5400 Doniphan Drive, Neosho, MO 64850 | (888) 627-2601 | madebymarco.net

6/5/2025

MyTCoat Statement Regarding the Umbrella Price Increases

MyTCoat’s May 21 2025 Price List includes an increase in pricing for umbrella items only. These umbrellas are sourced from a third-party manufacturer to complement our outdoor furniture line and are not produced in-house. As such, the cost increase reflects supplier pricing changes outside of our direct control.

We understand the State’s concern with approving mid-contract price changes, but we respectfully ask for consideration in this case. These umbrellas are optional accessories that enhance the usability of outdoor tables and are often requested by end users seeking a complete, coordinated outdoor solution.

Allowing the updated umbrella pricing under the contract would give agencies the convenience of purchasing both the outdoor tables and compatible umbrellas from a single vendor. Additionally, given current market conditions, it’s likely that similar umbrella products are priced comparably— or even higher—elsewhere.

We appreciate your review and consideration of this request.

143 S. Jackson Street • Elkhorn, WI 53121-1911 Toll Free: 800-788-1028 • Local: 262-723-8200 • Fax: 262-723-5180 www.palmerhamilton.com

April 1st, 2025

To: Palmer Hamilton Sales Partners

Subject: Palmer Hamilton Price Increase Announcement

Dear Palmer Hamilton Sales Partner, As you recall, we communicated on March 18th a price increase for our Getzen Metal Outdoor product line and indicated that we were reviewing potential price actions that we may need to execute based on what the market is experiencing in both commodity prices as well as labor cost increases.

After finishing this we review we are announcing a general price increase across most of our product lines, effective May 1st, 2025. This price increase will vary across products lines, and in some cases, it may vary within products lines depending on the product model. Most product lines will have a 4% to 6% increase while a few others will experience no increase and others will have more than a 6% increase.

We were able to hold pricing for going on 18 months, but with increased volatility in the commodity markets as well as the skilled labor market, we needed to act now. As a reminder, we communicated the following in our March 18th letter:

This adjustment is driven primarily by the rising cost of steel, which has surged by more than 20% over the past month, with projections indicating the possibility of an additional 20% increase in the coming weeks and months. As steel is a key component of our products, this escalation has a significant impact on our costs. While we continue to focus on improving production efficiencies and exploring alternative suppliers, these market conditions necessitate an adjustment in our pricing.

Additionally, the ongoing shortage of skilled labor has created increased competition among employers, driving up wages and benefits across the region. To maintain the high level of quality and service you expect, we must remain competitive in the labor market to attract and retain top-tier talent.

We wanted to additionally inform you that certain products may incur an incremental surcharge due to already implemented tariffs along with anticipated tariff changes expected in early April. Any implemented surcharges would be independent of the general price adjustment and may be implemented with limited advance notice, depending on how trade regulations evolve. In the event of tariff changes all existing purchase orders, received before the implementation date of the tariff, will be honored with no surcharges applied. However, all existing quotes may be subject to change to include the tariff surcharge. Palmer Hamilton will continue to monitor the situation closely and will communicate updates as promptly as possible.

We appreciate your business, support, and understanding. If you have any questions or concerns, please do not hesitate to reach out to your customer service representative.

Kind Regards, John Gardner President and CEO Palmer Hamilton, LLC https://palmerhamilton.com/ https://palmerhamilton.com/

Subject: HON Price Increase – June 1, 2025

Tariffs Impacting HON: The updated price list, effective June 1, 2025, is in response to a combination of tariffs imposed on goods imported from China, Europe, and Mexico.

While our products are manufactured in the U.S., many components—such as task chair controls, casters, and metal, etc. —are sourced internationally and impacted by these tariffs.

Data Availability: Unfortunately, we do not currently have external-facing documentation outlining specific percentages of impacted goods or pricing data.

Price List Update: We have published an updated price list effective June 1st. This reflects an overall 4% increase, which will help mitigate the tariffs impacting us during this time of volatility in the global supply chain.

Proactive Monitoring: Our corporate team is actively monitoring international trade policy and economic conditions, ensuring we remain nimble and responsive in our approach to pricing and supply chain management.

From: laura@kidstuffplaysystems.com <laura@kidstuffplaysystems.com>

On Behalf Of rhagelberg@kidstuffplaysystems.com

Sent: Monday, June 30, 2025 4:08 PM

To: laura@kidstuffplaysystems.com

Subject: Surcharge

Good afternoon, It is with considerable regret that we are forced to add a “tariff” surcharge to our manufactured play equipment. This will apply to our manufactured product and items in the sale flyers. For proposals written after July 15, add 8% to your calculated cost. After

August 1, this will apply to proposals written prior to July 15 as well.

While most of our steel and plastic is produced in the US, tariffs have given US manufacturers a reason to increase their prices to us as well (because they can still be competitive). We don’t think that was how it was supposed to work but we have to face reality.

For resale items – park amenities, mostly – we will not be adding a surcharge, BUT if our resale suppliers raise their prices, we will have to raise ours. That will be on a case by case basis.

Unless costs come down (very unlikely) we will make the increase permanent at the end of the year. Let us know your questions.

Best wishes, Dick

Richard N. Hagelberg

C. E. O.

http://www.kidstuffplaysystems.com/

5400 Miller Avenue

Gary, IN 46403

219-938-3331 (Office)

800-255-0153 (Toll Free)

219-938-3340 (Fax) rhagelberg@kidstuffplaysystems.com mailto:laura@kidstuffplaysystems.com mailto:laura@kidstuffplaysystems.com mailto:rhagelberg@kidstuffplaysystems.com mailto:laura@kidstuffplaysystems.com https://urldefense.proofpoint.com/v2/url?u=http-3A__www.kidstuffplaysystems.com_&d=DwMFAg&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=R9DNTZpAFqKgsuMif7bBobw114KEf-GVdsADwy7kibQ&m=7JFTuyf5MO7WDSZWDOX_g_iScSZlTK0a7l92ouqDhzVRVZIOewdWO4awqlowvzuF&s=pztLNEKfTwdL6dbPbLMRstPqGVOlsXdQu0MLPJr6Y88&e= mailto:rhagelberg@kidstuffplaysystems.com

From: Jennifer Gurode <jgurode@neutralposture.com>

Sent: Monday, June 9, 2025 5:44 PM

To: Sarah Tauber <saraht@hertzfurniture.com>

Subject: RE: EXTERNAL State of Arizona Required Info for Updating Price Lists

Good afternoon Sarah, I have attached a link to our new price list that goes into effect on 6/15. All our products went up 10% to account for higher prices that we are having to pay. If you have any further questions, please let me know.

NP_Seating_PB_2025_20250521-compressed.pdf

Respectfully, Jenn

Jennifer Gurode

Neutral Posture | Contracts Manager

P 979.778.0502 ext 1011

F 979.778.0408 https://urldefense.proofpoint.com/v2/url?u=https-3A__neutralposture.com_-5Fimgs_lit_price-2Dbooks_seating_NP-5FSeating-5FPB-5F2025-5F20250521-2Dcompressed.pdf&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=utkAZgW_AQDMD-NnQrhUlSaeSnzCWEaNt7cOU_57Hgs&m=7g_Ecd0EVDUR-hTnQmI49fGjko-fDEwtzKBtKU4cPo71yTqQyeDAc69dGrCbJrfd&s=GSuUoldulQNHwy0Ls9oyyD5GTVVvYR6Jphwi0_pfTes&e= https://urldefense.proofpoint.com/v2/url?u=http-3A__neutralposture.com&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=utkAZgW_AQDMD-NnQrhUlSaeSnzCWEaNt7cOU_57Hgs&m=7g_Ecd0EVDUR-hTnQmI49fGjko-fDEwtzKBtKU4cPo71yTqQyeDAc69dGrCbJrfd&s=Z5WNsI6D4--kIaC2snDbTgMLj3fVcWyQs8ofNHwNWKg&e=

From: egellman@raynorgroup.com <egellman@raynorgroup.com> Sent: Friday, November 14, 2025 2:49 PM To: kevin Shanahan <kevin@moldowassociates.com> Subject: FW: Pricing Transition - Effective November 1st

Dear Valued Partner, We would like to inform you of an upcoming change to our pricing structure that will take effect on November 1, 2025.

In an effort to simplify the ordering process and create a more transparent pricing model, we will be transitioning from the current tariff line item on our products to a new all-inclusive list price. Beginning November 1st, the tariff line charge will no longer appear on any orders or quotes. All costs will be reflected in the updated list price and MAP price for each chair.

This change is intended to make it easier for you to quote your customers, calculate margins more accurately, and streamline your order entry.

We also want to take this opportunity to remind you that we have recently introduced several new products and programs designed to support your business growth. If you have not yet been updated on these additions, we encourage you to contact your local sales representative for more information and full details.

We sincerely appreciate your continued partnership and support, and we look forward to finishing the year strong together.

If you have any questions regarding the new pricing structure or product updates, please do not hesitate to reach out.

Warm regards, Eric Gellman

Vice President Sales mailto:egellman@raynorgroup.com mailto:egellman@raynorgroup.com mailto:kevin@moldowassociates.com

Text2: April 21, 2025

Dear Valued Customer, Due to the recent increases in tariffs from our suppliers in Asia and Europe, we are seeing an impact on our material costs for products and components.

As a result, KFI Studios will implement a 7.0% surcharge on our entire product offering effective Monday, May 5 2025. Orders received on this date and after will automatically have the 7.0 surcharge applied.

We are closely monitoring this fluid situation and will adjust accordingly; we are hopeful these increases will be short lived and surcharges will be removed!

Plesae reach out to customer service or sales with any questions.

We appreciate your understanding and support.

KFI Management