Supply Agreement

The agreement between TACHC and Henry Schein is in effect from December 1, 2003, through December 31, 2007. Henry Schein is the primary dental supply distributor.

Henry Schein is offering the TACHC members the discount schedule established for Community Health Centers across the nation. Orders will carry the following discounts (off the appropriate Sullivan-Schein Dental catalog price that is in effect at the time of ordering):

Volume group discounts are being offered to TACHC members as listed below. Discounts will appear on member invoices within 10 days of the end of the month that the new level is obtained. Discounts are not retroactive. Combined volume is the volume from the member’s purchases on the 3 categories listed above:

Dental large equipment and equipment service will be handled through the Sullivan-Schein Dental Company, if desired by TACHC members. Sullivan-Schein national equipment coordinators or the office closest to the TACHC member will work with you on equipment issues.

Large and small equipment service (ProRepair) will be discounted 10% off the local billing rates.

Henry Schein encourages TACHC members to use www.henryschein.com to place orders. A Henry Schein representative will explain the advantages of using the website to place orders quickly and with controls, if desired.

Sales coverage of the TACHC members will be provided though a combination of inside sales and regional sales management. Shipments for TACHC members will be given Henry Schein priority service. Orders that are processed by 3:00 PM local time will be shipped that day. Orders are shipped via UPS regular ground, at a maximum of two (2) days for delivery, at no charge for shipping. If a member needs an expedited shipment, the office will be charged for express delivery. Hazardous materials charges will apply where applicable.

Terms of sale are net 30 days. There is a 1.5% per month service charge assessed to all invoices that are not paid within terms. Henry Schein has the right to “hold orders” should a TACHC member be delinquent in payments or have outstanding debt that is higher than financially prudent.

Members of TACHC and Henry Schein will be sharing information that should be considered confidential information. This information includes, but is not limited to, the terms in this agreement, lists of customers, types of materials or processes, business plans, trade secrets, financial information, forecasts and interpretations of proprietary and confidential nature. Price lists and discount schedules are for use by TACHC and Henry Schein employees and are not to be shared with other dental providers, dealers or manufacturers.