Credit services to improve your bottom line

n Would an accurate picture of the credit history of a retailer you have concerns about be of value to you?

n Does your credit manager have all the tools at their disposal to make informed credit decisions?

n Do you have the staff needed to monitor the bankruptcies and restructurings that involve your company?

n Are you being ALERTED immediately when important developments arise such as NSF cheques or collection activity?

If you can answer yes to all these questions, you may not need any help managing credit and collections… But if you can’t, you need to understand how National Apparel Bureau can work for you.

Apparel companies routinely make credit decisions worth hundreds of thousands of dollars based on reports that are months out of date and offer virtually no guidance in terms of credit worthiness.

We offer you a distinct alternative: credit reports, bankruptcy notifica-tions and other resources providing up-to-date information on which you can act immediately.

You wouldn’t expect to generate sales without a salesman. You wouldn’t im-port merchandise without a customs broker, and you shouldn’t be granting credit without a membership in NAB. We are the professional alternative for credit information in the North Ameri-can apparel industry.

Services that make a difference to your Bottom Line

Instead of basing your credit deci-sions on a salesman’s recommenda-tion or on an outdated generic credit report - you can now make an in-formed decision using the actual pay-ment history of potential accounts.

National Apparel Bureau gives you se-curity. We provide rock solid informa-tion that allows you to take control of the part of your business where there has traditionally been little reliable information on which to base your decisions. The information you will receive as a NAB member can assist in supporting your business’s financial needs by allowing you to approach in-vestors, credit insurers and your bank with the most credible information.

National Apparel Bureau is a partner of the Canadian Apparel Federation (CAF), and together we are working to address the financial needs of the ap-parel industry. For further information on CAF please visit www.apparel.ca. We are also pleased to partner with Export Development Canada (EDC) and work closely with other financial service providers and many financial institutions.

The information we provide can make it easier for you to secure credit insur-ance which in turn can help you to se-cure better terms from your bank. This allows a better understanding of your risks, which ultimately lets you man-age your business better by focusing on sales and management priorities you set for yourself.

National Apparel Bureau is not a traditional credit bureau, collecting information from scraps of paper sent in by members or from interviews con-ducted with the debtors themselves. The information obtained by NAB comes directly from the accounts re-ceivable ledgers of participating firms. Nor does National Apparel Bureau collect information on multiple indus-tries - we focus specifically on the apparel trade.

National Apparel Bureau – Services geared to meet your needs

NAB is an industry specific credit bureau created to meet the needs of suppliers to the North American ap-parel market. NAB provides the most current credit information available on Canadian fashion retailers.

Our entire business has been de-signed to serve the needs of the ap-parel industry, assisting our members in dealing with the day to day issues inherent to selling clothing retailers.

NAB provides four core services:

•CreditReports–availableon-linetoregistered users

•Atime-sensitiveinformationexchange for Credit Inquiries, NSF Reporting and Collection Activity Alerts

•Bankruptcymonitoringandrepresentation

•Collectionservicesthroughitspartner - ACA

What is the cost of peace-of-mind?

Credit Reports

Current accounts receivable informa-tion as provided by our members is in-corporated into our database. In many instances, we work with our members’ software providers to create simple mechanisms to assist in the upload of these numbers on a monthly basis. All supplier specific information is confi-dential and the Credit Reports them-selves simply indicate the number of suppliers reporting on the particular retailer and the total combined ageing.

NAB Credit Reports focus on the key elements of a retailer’s potential credit worthiness, and are concise and detailed, providing clear emphasis on the information most pertinent to the retailer’s credit history. NAB Credit Re-ports include:

•Paymenttrendsuptoandincludingthe most recent month-end

•NSFinformation•Collectionactivity•Corporateinformation•Availablebankinformation•Additionalrelevantinformation

Our information comes primarily from the Monthly Aged Receivables pro-vided by our members and is encoded to remain absolutely confidential. NSF, collection Activity and general up-dated information are also reported by members through an online exchange with additional non-member specific information obtained from other avail-able resources.

Credit Inquiries and Alerts

NAB provides a framework through which members can request credit information from fellow members on new or previously dormant accounts and report NSF or collection activity. These reports are then transmitted to all members as an email ALERT.

No other credit bureau in Canada provides this type of exchange.

Meetings

In tandem with the immediacy of the online exchange, regular, industry specific Credit Meetings are held. We are also investigating opening these meetings up to the full breadth of our membership, regardless of location with the use of video conferencing and moderated online discussion groups. NAB‘s objective is to provide its members with a fully integrated network through which credit informa-tion is shared.

Bankruptcy Monitoring andRepresentation

NAB actively follows and involves itself in insolvency files affecting its members. The nature of our involve-ment depends on each situation but ourmandateisclear-Protectthein-terests of our members and maximize the recovery. Regular bulletins and updates on new ongoing or potential bankruptcy proceedings are sent to members as the information becomes available.

Collection Services

Associated Collection Agencies (ACA) is NAB’s sister company, specializing in commercial collections and asset recovery. NAB members that are also members of the Canadian Apparel Federation receive additional dis-counts on ACA’s collection services.

What we offer

Current Month Previous Month Last 12 months

average

5555

43

PAYMENT TREND

PeriodNb

MembersTotal O/S Current

Balance1-30 days 31-60 days 61-90 days 90+ days Average

High Credit

31-10-2007 1$6,004.30

0%0%

0%0%

100%$0.00

31-08-2007 1$6,004.30

0%0%

0%0%

100%$0.00

31-07-2007 1$6,004.30

0%0%

0%0%

100%$0.00

30-06-2007 2 $12,008.600%

0%0%

0%100%

$0.00

31-05-2007 2 $12,008.600%

0%0%

0%100%

$0.00

30-04-2007 2 $13,871.540%

0%7%

0%93%

$0.00

31-03-2007 2 $13,871.54-2%

7%0%

0%95%

$0.00

28-02-2007 4 $20,503.112%

0%-17%

2%112%

$0.00

31-01-2007 2 $13,846.190%

-25%0%

80%45%

$0.00

31-12-2006 3 $17,476.450%

1%51%

18%30%

$0.00

30-11-2006 2 $17,316.450%

78%6%

22%-7%

$0.00

31-10-2006 1$4,449.60

0%21%

79%0%

0%$0.00

30-09-2006 1$9,322.13

10%90%

0%0%

0%$0.00

31-08-2006 3 $20,281.5342%

56%8%

0%-6%

$0.00

31-07-2006 1$2,697.87

141%-41%

0%0%

0%$0.00

31-05-2006 1$33.63

0%0%

100%0%

0%$0.00

29-05-2006 5$8,641.45

0%100%

0%0%

0%$0.00

30-04-2006 1$453.31

0%100%

0%0%

0%$0.00

31-03-2006 1$1,234.51

100%0%

0%0%

0%$0.00

28-02-2006 1$2,223.44

106%0%

0%0%

-6%$0.00

11-04-2005 1$1,587.40

85%0%

15%0%

0%$0.00

28-02-2005 1$2,367.40

90%10%

0%0%

0%$0.00

31-01-2005 1$1,097.85

45%17%

44%-2%

-3%$0.00

31-10-2004 1$1,142.34

0%55%

19%26%

0%$0.00

Page: 2Confidentiality Clause:

This credit report is for your own internal use ONLY and for the sole purpose of enabling your company to assess the credit worthiness of the subject retailer.

Its contents may not be divulged to any party outside your company without the express permission of CAC

All reports are compiled based primarily on information supplied to CAC by its members and other external sources.

In consequence, CAC cannot guarantee or take responsibility for the exactitude of the information provided.

CanadianApparel Credit

Credit Report: 20-12-2007

No information reported

Period NbMembers

Total O/S CurrentBalance

1-30 days 31-60 days 61-90 days 90+ days AverageHigh Credit

30-09-2004 1 $1,686.34 5% 118% 17% -40% 0% $0.00

30-09-2003 1 $168.52 100% 0% 0% 0% 0% $3,459.34

31-07-2003 1 $144.28 0% 201% 22% -124% 0% $3,459.34

31-05-2003 1 $1,087.13 24% 76% 0% 0% 0% $3,459.34

31-10-2002 1 $977.72 10% 11% 88% -9% 0% $3,459.34

30-09-2002 1 $1,675.33 6% 99% -5% 0% 0% $3,459.34

31-08-2002 1 $2,608.18 103% -3% 0% 0% 0% $3,459.34

31-07-2002 1 $2,405.18 100% 0% 0% 0% 0% $3,459.34

30-06-2002 1 $1,044.90 0% 36% 34% 21% 10% $3,459.34

31-05-2002 1 $1,044.90 36% 34% 20% 11% -1% $3,459.34

30-04-2002 1 $2,904.90 95% 6% 0% 0% 0% $3,459.34

31-03-2002 1 $3,459.34 100% 0% 0% 0% 0% $3,459.34

30-11-2001 1 $542.13 -113% 0% 137% 64% 12% $1,874.32

31-10-2001 1 $1,154.32 0% 64% 30% 7% -2% $1,874.32

30-09-2001 1 $1,874.32 116% -20% 5% -1% 0% $1,874.32

CREDIT MEETING HISTORY

CREDIT INQUIRY HISTORY

Date NbMembers

Total O/S CurrentBalance

1-30days

31-60days

61-90days

90+days

Average HighCredit

CreditCodes

30-11-2006 1 $0.00 0% 0% 0% 0% 0% $1,500.00 DA=1

Last purchase was September 29, 2005

010024

30-11-2006 5 $17,556.00 0% 77% 6% -7% 23% $5,818.00 DA=1HO=1PP=1 PR=3PS=1RC=1

Selon certaines informations, le client ne répond plus à ses messages et ne retournent plus

ses appels.

010025

NEVER HAD A PROBLEM WITH THIS CUSTOMER SINCE THIS SEASON (FALL 2006).

SHE SENT ME PDC'S 45 DAYS PRIOR TO SHIPPING AS I HAD REQUESTED. WHEN IT

CAME TO DEPOSITING THE 1ST CK. IT CAME BACK NSF. I THEN CALLED AND

SAID WELL WHAT ARE THE SIGNATURES ON THE CHEQUES. I TOLD HER

.SHE DIDN'T UNDERSTAND WHY SIGNATURE WAS

ON ALL THE CHEQUES. SHE SAID HE'S NO LONGER PART OF THE BUSINESS. SHE

SAID NOT TO DEPOSIT ANY MORE CHEQUES. WILL RE-ISSUE A WHOLE NEW

SERIES OF CHEQUES WITH AND SIGNATURE. SHE DID, AND

THE 1ST CK. I DEPOSITED AGAIN, CAME BACK NSF. I THEN KEPT GETTING THE RUN

AROUND FROM AND DECIDED TO PLACE HER IN COLLECTION WITH IN

THE AMOUNT OF $6064.30. APPARENTLY, IS TRYING TO BUY THE BUSINESS

OFF OF !

010010

Last purchase September 29,2005

010024

Page: 3

Confidentiality Clause:

This credit report is for your own internal use ONLY and for the sole purpose of enabling your company to assess the credit worthiness of the subject retailer.

Its contents may not be divulged to any party outside your company without the express permission of CAC

All reports are compiled based primarily on information supplied to CAC by its members and other external sources.

In consequence, CAC cannot guarantee or take responsibility for the exactitude of the information provided.

CanadianApparel Credit

Credit Report: 20-12-2007

No information available

DateNbMembers Total O/S CurrentBalance 1-30

days 31-60days 61-90days 90+days Average HighCredit CreditCodes

29-11-20061

$2,400.000% 0% 0% 100% 0%

$4,000.00 PP=1RC=1

nsf $340 Nov 02nsf $340 Nov 17

010015

RETURNED CHEQUES HISTORYReportDate Reason Amount Replaced?

Comment

ReportedBy

03-05-2007 NSF$503.85 no

010020

03-05-2007 NSF$503.85 no

010020

30-11-2006 SP$460.00 no 2 cheques totalling $460.00 stopped but might be NSF 010034

10-11-2006 NSF$827.90 no Customer informed that the cheque was bounced by the

bank due to signature discrepancies...but we received our

bank advice that NSf non-sufficient funds. 010027

COLLECTIONS HISTORYCollectionDate InvoiceDate AmountClaimed Amount Paid AmountWaived Status SettlementDate Agency ReportedBy

25-05-2007 N/A$4,235.83

$0.00$0.00

ACA010003

11-05-2007 N/A$4,235.83

$0.00$0.00

ACA010003

25-05-2007 N/A$663.19

$0.00$0.00

ACA010003

11-05-2007 N/A$663.19

$0.00$0.00

ACA010003

28-11-2006 N/A$9,196.99

$0.00$0.00

echo010021

We have received three Nsf'sclient has been contacted numerous times , we have received no call back.

Collection letter sent to the client friday 24-11-2006

17-05-2007 N/A$6,004.30

$0.00$0.00

NCCA010010

WE NEVER HAD A PROBLEM TIL NOW. WE PLACED HER IN COLLECTION WITH

AND HAD TO RESULT TO SENDING A LAWYERS LETTER. STILL THAT DIDN'T WORK. IT

IS NOW 6 MO'S IN COLLECTION,WE ARE NOT PAID, NOT ONE CENT AND SOMEHOW,

SHE IS STILL IN OPERATION!

25-05-2007 N/A$1,291.06

$0.00$0.00

ACA010003

11-05-2007 N/A$1,291.06

$0.00$0.00

ACA010003

10-12-2001 N/A$213.00

$0.00$0.00

N/A010003

21-12-2000 N/A$1,149.92 $1,149.92

$0.00

N/A010003

ACCOUNT STATUS HISTORY

NOTES AND COMMENTS

Page: 4 Confidentiality Clause:This credit report is for your own internal use ONLY and for the sole purpose of enabling your company to assess the credit worthiness of the subject retailer.

Its contents may not be divulged to any party outside your company without the express permission of CAC

All reports are compiled based primarily on information supplied to CAC by its members and other external sources.

In consequence, CAC cannot guarantee or take responsibility for the exactitude of the information provided.

CanadianApparel Credit

Credit Report: 20-12-2007

NAB offers you:•Security-NABCreditReportsandservicesassistyouingrantingcreditwithconfidence.•Clarity-CreditReportsarestraightforwardwithkeyinformationneededtomakeappropriatecreditdecisions.•Timeliness-NationalApparelBureaureportscombinethemostup-to-dateinformationavailablefrommultiplesources•Value-MembershipinNABisreasonablypricedandofferstremendousvalue-addedservices.•Accessibility-youcancallCreditReportsatanytimeoftheday-onlinethroughourwebsitewww.nabq.com•CustomerService–NABcombinesleading-edgetechnologywithexperiencedcreditprofessionalstoprovidethehigh-

est level of customer service

Associated Collection Agencies Inc. (ACA)

ACA has been operating as a commercial collection agency for over 20 years. Its customers include many members of CAF, Export Development Canada (EDC) a variety of foreign governments and over 1000 Ca-nadian and US businesses. ACA collects commercial debt throughout Canada and the United States.

Services offered by ACA include

•CommercialDebtCollection

•LegalDebtCollection

•JudgmentEnforcement

• InsuranceMitigation

•BankruptcyFollowUp

•CorporateInvestigation

With respect to legal recoveries, ACA offers a full ser-vice Legal Department providing a variety of collection options should the debtors not respond to traditional collection methods.

CAF and NAB members also receive a discount on all services provided by ACA.

Learn more about ACA at www.acacollect.com or request an ACA information kit at info@acacollect.com.

Canadian Apparel Federation (CAF)

As the national association that representing hundreds of companies in this industry, the Canadian Apparel Federation (CAF) is the only forum in which distinct in-dustry sectors can come together working to enhance communication and build strength in the face of 21st-century global business challenges.

Among its range of crucial industry activities CAF provides key business and technical information, undertakes targeted government relations, delivers insightful interpretation of national and international issues, develops innovative, industry-wide tools and programs, promotes the industry in key markets and provides valuable discounts on industry goods and services

Membership in CAF is open to Canadian-based firms that design, manufacture or market apparel, and to industry suppliers. Qualified companies should contact CAF for information on membership proce-dures in provinces and territories across Canada. Call toll-free 1-800-661-1187, or contact us by email at: info@apparel.ca.

Our partner organizations

National Apparel Bureau345VictoriaAvenue#605Westmount, QuebecH3Z 2N2

Howard GlisermanT (514) 845-8135 x232F (514) 499-8468hgliserman@nabq.com

David SchachterT (514) 483-6195 x239 / 800-561-8921F (514) 483-3755 / 800-461-0496david@acacollect.com

Contact info