Reply to Paper and Pen Ltd.

Dear Mr Page

Thank you for your letter on 16 October concerning the industrial dispute that your company engaged in. We have heard of this before and understand the problem. However, owing to your delay, we have had problems with our customers which affected our relationship between them and deteriorated our reputation.

Regarding the contract problem, we have until now had a good working relationship with your company, but we would like to point out that we cannot afford a similar situation happened again.

We will renew our contract with you in a condition that your company offer 5% discount for us. However, we will probably terminate our contract and your company will be required to compensate our total loss if the situation occurs again.

We look forward to hearing from you soon.

Yours sincerely

M. Fos