To our Valued Customer,

For several years, Guertin Graphics and Apparel has worked hard to bring you very reasonable prices on quality apparel and accessories. As you know, we have avoided raising prices for as long as possible, but we can no longer prolong the inevitable.

There are three factors driving prices up:

• COTTON - Cotton is a scarce commodity today relative to demand and the price is up significantly, and likely to go even higher

• OIL - Polyester, which makes up 65% of our sportswear apparel, is derived from oil, and the cost of oil is driving up transportation and manufacturing costs.

• CURRENCY - The value of the dollar has fallen significantly relative to Chinese and other currency. This means the price of fabric is going up.

Please realize that if prices continue to rise as rapidly, you may expect to see further price increases from us and other manufacturers. While we are not happy about this announcement, we are confident you will continue to be pleased with our superior apparel and accessories even in light of these new prices.

We look forward to doing continued business together.

Sincerely,

The staff at Guertin Graphics and Apparel.