1. CRYSTAL GROUP Part C Part C Finished Goods Receipt & Leftover (CMT)

2. CRYSTAL GROUP Delivery Order (PO) for FG  The Finished Good purchasing procedure is broken into steps: 1.A Production Notification (Contract PO) is created for the FG to own factory or subcontracting garment factory 2.Once the finished goods is received in Crystal HK, a Delivery Order (Purchase Order) is created for goods receipt Goods receipt of finished goods Production Notification Create Delivery Order (PO) Convert FG planned order to PR

3. CRYSTAL GROUP FG Goods receipt for PO – Program Layout

4. CRYSTAL GROUP FG Goods receipt for PO in Crystal HK  CMT Normal FG Goods receipt Reduced Order FG Goods receipt Leftover FG Goods receipt

5. CRYSTAL GROUP FG Goods receipt for PO – Own factory (CMT case) Crystal HK Factory Location Fabric Goods Issue to Sales Order SO for FG System will suggested materials consumption based on BOM calculation but Manual adjustment of materials consumption in order to calculate actual materials cost PO for FG FG Receipt ref to PO Own Factory  Unshipped quantity due to Order reduction/cancellation (Customer Request) Crystal HK Location Finished Goods Crystal HK Location Reduced order Goods Crystal HK Location Leftover Goods For the last batch of the finished goods to be received, staff should issue the remaining material in system to Sales Order

6. CRYSTAL GROUP FG Goods receipt for PO – Own factory (CMT case)  Both of Own Factory and Subcontracting Garment Factory  Reduced order goods Handling : Reduced order goods will be owned by Crystal HK Use original style master  Leftover goods Handling : Leftover goods will be purchased by a normal PO with CMT price from Crystal HK if Customer accept us to ship the leftover FG stock New style master with a mark down cost (depends on company policy) is created for leftover goods New style master = original style master + Saleable  Good Leftover goods = 5P0302001G  Saleable Leftover goods = 5P0302001S  Non-saleable Leftover goods = 5P0302001D