AML Group Limited
29th Floor, Nanyang Plaza, 57 Hung To Road,
Kwun Tong, Kowloon, Hong Kong
Tel : (852) 2858-0388
Fax : (852) 2858-5450, 2858-5493, 2858-5472
E-mail : austins@glove-world.com
Website : http://www.glove-world.com
ISO9001:2000
V.10.02.08
Dear Madam/Sir,
Hello!
I would like to welcome you to the possible beginning of a prosperous
relationship with AML Group Limited. We are strictly an OEM & ODM glove
manufacturer so any business dealt with us is factory direct. With over 20
production facilities located throughout Asia, you can be assured that working
with us on your glove program will prove to be highly rewarding.
Not only will you be able to reap all the benefits of working directly with a
manufacturer but in addition, you will receive the best service this industry has to
offer. AML Group has been in the glove manufacturing business for close to four
decades and over the years, we have developed many key methods to increase
our efficiency and level of services to our customers.
There are few, if any, manufacturers who offer such a complete glove program
such as ours. It has and will always be our goal to provide our best
manufacturing services to our customers. Some of the important support and
services we can provide include: research & development, design & analysis,
and marketing support consultancy. Our aim is to develop more of a partnership
with our customers, rather than just a vendor-purchaser relationship. With AML
Group, you can be assured of receiving top-quality service and OEM/ODM/SMU
products.
The following outline is an overview of the direction we are heading in. We would
greatly appreciate it if you would take a little time to review the AML GROUP
Glove Program booklet and contact us for further inquiries, thank you.
Yours faithfully,
Susan Cheng
AML Group
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AML GROUP’S GLOVE
PROGRAM
CONTENTS
1.)
Introduction
2.)
How to get started?
3.)
Choosing Styles & Designs
4.)
Choosing Fabrics and Materials
5.)
Sampling and Prototypes
6.)
Quotations & Purchase Orders
7.)
Shipping Arrangements
8.)
Program Summary
9.)
Ethics and Mission Statement
10.) End Notes and Customer Policy
11.) Reference List
12.) Contact Persons
13.) Vendor Compliance & Better Business Practices
14.) Memberships & Affiliations
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1. Introduction
AML Group has been in the glove manufacturing industry for over four decades.
Our exquisite workmanship and quality, coupled with worldwide material
resources makes us considered to be one of the very best in the glove industry.
In fact, with over twenty production facilities including our own tanneries and
textile processing operations throughout China and Sri Lanka, we have been
supplying top quality gloves throughout the world. Our headquarters is
conveniently located in Hong Kong, the hub of Asia and the ultimate gateway to
China. The wide range of gloves we manufacture span from all kinds of
industrial-work gloves, technical and safety gloves, to all types of dress-fashion,
casual, and sports gloves, as well as hats, gaiters, handbags, scarves, and other
fashion accessories.
It has come to my attention that there are still many reputable companies
currently unaware of the profitability of working directly with a factory. Not only
will working with AML Group minimize your costs and increase revenues, there
will undoubtedly be better control and a substantially better flow of information
from us to you, as our valued customer. In addition, problems that do arise can
be addressed directly and more efficiently in this manner.
AML Group carries out its business in a most professional manner. Hence, the
quality of service and production should not be questions to worry about when
working with us. From a strictly business point of view, a closer and more
economically synchronized relationship between a buyer and vendor is mutually
beneficial. Another success factor lies in the appropriate utilization of the Asian
manufacturing sector. Asia has proven to be a new force within the
manufacturing industry on a global scale, and its ability to provide high quality,
lowered cost production makes it a highly attractive source for all companies.
With such a well-rounded assortment of production facilities located at different
strategic points throughout Asia, you can have confidence in the flexibility of our
manufacturing services. There will always be a stable level of manufacturing
capacity to meet any unforeseeable changes that may occur on the political
arena.
Working with AML Group enables customers to enjoy both the benefits of greater
competitiveness, while working with a strong and modernized management.
Simply put, we can provide all the same services you would receive from a
trading firm, agent, or buying office and much, much more; without any added
costs.
AML Group constantly strives at improving its level of service and to extending
an unyielding level of quality products to its customers. We are currently the only
Asian glove manufacturer with China factories that have been certified by W.L.
Gore & Associates to produce Gore-tex seam sealed hand wear. We are also
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proud to be recognized as owning one of the first dress-sports glove factories in
Asia to be certified as being an ISO9001:2000 facility.
Our latest addition is a brand new sports and dress gloves factory situated in
Panyu, China, which had its Grand opening on April. 15, 2003. This new factory
will be the ultimate performance manufacturing and deployment grounds for
some of our newer and more innovative forms of modern management,
automation, quality control, and efficiency.
We have also started a knitting operation in Qing Yuan, China as well, for the
production of all types of knitted gloves including knitted terry cloth products.
Together with the vast amounts of quota that we hold in Sri Lanka, we are
confident that these new additions will prove to be extremely competitive in the
glove industry. This new operation will open up many doors for us, including
areas such as cut resistant gloves, heat resistant gloves, and other technical
occupational safety gloves which are due to materialize this year.
AML Group also operated its own leather tanneries producing over 8 million
square feet of leather each month. Our proprietary finishes and treatments for
leather include: water resistant, water-repellant, machine washable, machine
dryable, distressed, cracked, metallic, antique, oiled, water-proof, stain resistant,
oil resistant, etc.
Our patented GloveMate disposable liner product is gaining wider and wider
acceptance in many countries, which it is being sold on an exclusive basis. And
our R&D department is constantly seeking to create newer and more innovative
items for the glove industry.
Our annual global exports amount to 7.5+ million dozen pairs of gloves so
production capacity is definitely not something to worry about when working with
us. We also offer the flexibility of having your products made in China or in Sri
Lanka.
As you can see, we are very serious about what we do and more importantly,
what we can do on behalf of our customers. Our glove program is designed to
offer you a complete packaged deal incorporating everything from designing,
counter sampling, costing, final production, QC inspection, to drop shipping. Our
support teams are made up of different divisions, each specializing in a particular
glove field. They are experts in what they do, and most importantly, they care
about you, the customer.
We value your support and business and look forward to servicing your
manufacturing needs. If you have further inquiries or would like to receive
additional information or, if you would like to see our workmanship and/or to
assess our quotations, please do not hesitate to contact us. We look forward to
hearing from you soon, thank you.
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2. How to Get Started?
The initial step in preparing for a successful glove program is to decide which
market sector you would like to target for introducing your glove line into.
1.) Which kind of consumer product categories is available for my product?
2.) What type of consumer do I want to attract to buy my gloves?
3.) What type of market or market niche will offer the greatest potential?
4.) What sorts of marketing tools are available at my disposal?
5.) What type of sales network do I currently have?
The next step would be to decide on how many types of gloves you want to
initially introduce into the market you have chosen.
1.)
2.)
3.)
4.)
Do I want to cover a wide range of glove styles or just to focus on a few?
What kinds of costs would be involved in an extensive vs. a simple range?
What image do I want to portray in this new market?
How many designs would be suitable as an introduction into this new market?
Basically, you have to consider what business and marketing strategies you want
to follow and to synchronize them with your company image, mission statement,
and corporate strategy for launching your new glove(s).
3. Choosing Styles & Designs
In order to help yourself identify what sorts of styles of gloves you would like to
have in your intended glove line, there are in fact two quick and simple
approaches you can opt to take:
1.) Find existing gloves and/or mitts and to work off of them by modifying them
until they become uniquely different, or until they become the way you want
them to be. This is fastest and most efficient method to create an initial glove
line.
2.) Start from scratch working only with initial ideas to develop totally new
designs currently unavailable on the market, based on trends and consumer
(end-user) input. This method is undoubtedly more time consuming and
requires more resources. However, if you should choose this route, AML
Group will be more than willing to offer our support in this endeavor.
3.) If you require professional design work, AML Group can offer you our design
services for a nominal charge included into our FOB quotation. All designs
created on your behalf by our company may be entirely purchased from us
enabling you to own such designs. Purchase prices for such designs will
vary.
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4. Choosing Fabrics & Materials
The most important part of any glove or mitten lies in the kinds of materials that
comprise the product. First, we must realize that the basic material components
of a glove are dependent upon the ultimate use of the glove. A critical success
factor lies in the appropriate choice of materials to be used in the construction of
a glove. This is because the proper materials must be matched to the end-use of
the glove in order for the glove to work properly.
Some factors that must be considered include: texture, hand feel, abrasion
resistance, wash ability, breath ability, tear resistance, durability, comfort, ease of
sewing, and of course style.
AML Group is familiar with many material suppliers in Asia, as well as in Europe
and the United States. Some of the material suppliers we work with include:
DuPont, 3M, W.L. Gore & Associates, Toray, Primaloft, Malden Mills, Burlington,
Allied Signal, Porvair, Kurraray, Ohgi, Starensier, Travis Textiles, Pittards,
Harrison Technologies, Velcro, Hitex, Due Emme, Polymark, Majocchi, Kolon,
Somitex, Duraflex, Tomen, etc.
We process most of our leathers at our own tanneries, as well as carry out water
and stain resistant treatments to the leather such as Scotch guard or Teflon
treatments. We are also able to produce waxed leather as well as custom dyeing
(which involves minimum quantities). We are also adept at carrying out special
applications such as the installation of waterproof or waterproof-breathable
inserts, and hot air seam taping of technical mittens.
Since the cost of a glove is directly related to the kinds of materials used to make
it, it becomes very important in choosing between the price and the performance
of materials. This is where locally sourced domestic/generic materials become
essential in keeping costs down. In fact, with today’s growth in material
producers throughout Asia, there is an abundance of good quality materials at
reasonable prices. Of course, we must also consider the brand image of
materials as well. But the more name branded materials we choose to use, the
higher the overall cost of the glove.
Again, the kind or brand of fabric and materials you choose will ultimately depend
on the marketing strategy you choose to follow. You may elect to supply your
own specified fabrics to us, in order to have the gloves coordinate with an
outerwear or accessories line you may have. The options are endless and we
are open to all of them.
One important factor to remember however, when choosing materials, is that
every material supplier imposes a minimum order requirement. This minimum
order condition is usually based on a specific number of yards or meters per
color/dye lot. The average minimum order requirement for fabrics is about 500-
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1000 yards per color depending on the fabric mill/supplier’s MOQ policies. Some
suppliers also offer to produce below minimums but will need to include an
additional surcharge. The amount of the surcharge varies depending on the
individual supplier or mill.
In order to choose the most appropriate materials for your glove line, you must
answer the following questions in light of your business strategy:
1.)
2.)
3.)
4.)
5.)
What sort of fabric price point am I looking at?
What are the characteristics of this fabric?
What are the minimum order requirements for this fabric?
What are the delivery lead-times for materials?
What sort of market value/acceptance does this fabric have?
5. Sampling & Prototypes
The sampling process begins once the initial design for a glove has been set.
The development work required before an initial design for a glove is ready, can
be done in one of two ways. First, you the customer may have in-house
designers to work on your glove. Or second, you may ask us to develop your
gloves for you based on a general framework of specifications that you provide to
us.
The next step involves placing a sample order to us, which will enable us to go
ahead and produce a prototype sample (counter sample) for you. These
preliminary sample orders are called prototype sample orders. Since we must
assume that the prototype samples have never been produced before, they will
take slightly more time to finish than second or third round samples. Hence, the
turnaround time for prototype samples is approximately two weeks.
If changes and/or revisions need to be made to the prototype samples, then you
must place a second sample order to us, and then if required, a third sample
order etc., until the glove finally comes out right. We are usually able to calculate
the FOB sales price of the glove during the prototype sampling stage, but it
would be more accurate to make the calculations after the second sampling
stage unless, of course, none is required.
One trap that many people fall into when it comes to modifying gloves, and
placing second sample orders, is that they become too enraptured by the entire
sampling process and forget about the practical aspects of a design when it
comes to the actual bulk production of the gloves. More often than not, one loses
sight of whether a particular design can even be sewn! From a manufacturing
point of view, if a design cannot be sewn, then it defeats its intended purpose.
Another trap many fall into has to do with the sizing of a glove. It is a true fact
that no two people have exactly the same size and shape of hand, so if one were
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to judge the fit of a glove based only on one’s own hands, that judgement would
be totally subjective. Even our left and right hands will differ in size depending on
which one we tend to use more of.
Throughout the many years of glove manufacturing, we have developed an
average grading scale that caters to the majority of hand shapes and sizes. It is
strongly suggested that this be adhered to because the modification of individual
finger lengths, thumb widths, etc. can go too far and become too messy.
Once the design of a particular glove has been set, a customer will often require
salesman and/or trade show samples in order to sell the gloves. Salesman /
show samples are charged at the 1.5 times FOB sales prices, and not at the flat
rate sampling charge. Salesman/show samples will also be treated as Whiteseal samples and are used for confirmation of construction, design, etc.
It is extremely helpful to us as a manufacturer if we are given projections as to
the quantity of salesman/show samples a customer expects to need for a
particular season. Time line schedules outlining when show samples must be
delivered as well as the required quantity will also facilitate us in making the
transition from prototype sampling stage to white-seal sampling stage.
All of our sampling is done by hand up to the Green-seal or, (pre-production)
sampling stage and, is definitely a craft that requires years of practice and
dedication. Therefore, we must limit the number of samples we can produce
during the initial sampling stages to less than 20 pairs per style. Furthermore, it
would be close to impossible to produce bulk (salesman) samples in this method
because of the time involved. Hence, all sample orders of 20 pairs or more per
style will mean that cutting dies will have to be made and these costs charged to
the customer. These costs are refundable (able to be deducted) if an order is
placed for this particular style within the season.
Once the Green seal samples have been approved, we will commence with the
production of the cutting dies, based on the Green Seal samples themselves.
6. Quotations & Purchase Orders
1.) Seller’s price quotations will remain valid for no longer than a period of 6
months only from date of presentation to the Buyer.
2.) New Prices will be re-quoted to Buyer upon expiration of the abovementioned 6 months initial quotation validity period.
3.) Any change’s to Buyer’s purchase order such as: style, quantity, size,
color, and country breakdowns must be notified to Seller for Seller’s
acceptance within 7 working days from date of PO issuance, otherwise a
flat fee of US$100 will be charged for each change that is made to the
said PO.
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7. Shipping Arrangements
Shipping arrangements are often a neglected part of business because it is often
left to the responsibility of forwarders. However, it is vital that the proper
documents are prepared correctly in order for goods to clear customs without
hassle.
1.) It is very important that you inform AML Group ahead of time, as to where the
goods are to be shipped.
2.) Importing from certain countries requires specific documents for customs
clearance so it is imperative that you check with your customs office to see
which ones are needed. If you are having us drop ship to countries other
than the U.S.; perhaps directly to your distributors, then you must find out this
information from them as well.
3.) The address, phone and fax number as well as the name of the ship to
contact person together with your forwarder’s information is also necessary.
If you do not have a specified forwarder, we can help you arrange to have the
goods shipped via our own forwarder.
4.) There are actually many costs involved with acquiring shipping documents
from the respective government agencies which are as follows:
Shipping Documentation Costs 2008
Description
GSP FORM A (CHINA)
C.O. Declaration (CHINA)
C.O. Declaration (HONG
KONG)
HK COUNTERSIGNED
GSP FORM A
HK$
$450.00
$450.00
$250.00
US$
$62.00
$62.00
$35.00
$250.00
$35.00
Some Notes on Drop Shipments:
Applications for FORM A’s & CO’s are now processed via computer online so
there is no express same-day service available like before:
FORM A: 4 working days (The number of packages & item quantities must be the
same as that on our B/L OR AWB
C.O.: 4 working days (The number of packages & item quantities can be more
than 5 % as that on our B/L or AWB
There is a 2 days express application for Form A at an additional cost of
HK$1200/set
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In order to prevent any unwanted delays with your shipping documents, please
ensure to submit all details to our Shipping Dept. 4 weeks prior to the expected
ship date of your goods.
Please note that AML Group will be unable to incur the following “shipping
documentation” costs on behalf of our customers under the following conditions:
1.) If the total invoiced amount for goods being shipped to any specified port of
destination (per country) amounts to less than US$5,000.00 per invoice or,
2.) If the total quantity of gloves on any one invoice being shipped to any
specified port of destination (per country) amounts to less than 3000 pairs.
This is strictly due to the expensive nature of certain documents required by your
country’s customs agency (as listed above) and, some of which, are required for
the importation of gloves into specific countries.
AML Group will automatically charge a flat fee of US$250 specifically for the
preparation of normal shipping documents pertaining to shipments that fall under
the following circumstances:
1.) If the invoiced amount for goods being shipped to any specified port of
entry (individual destination) amounts to less than a total of US$5,000.00
per invoice or,
2.) If the total quantity of gloves on any one invoice being shipped to any
specified port of destination (per country) amounts to less than 3000 pairs.
Remarks concerning GSP Form A’s:
Please be aware that every country sets specific quantity limits each year
pertaining to the allocation of preferential duty rates on the importation of goods
from specific countries. These preferential duty rates are country specific and
obtainable only if the goods being imported have a Form A issued from the
respective country in which the goods were produced.
The preferential duty rate depends upon the agreement set forth between
different countries and applies generally to the importation of goods from 3 rd
world (disadvantaged) countries. However, these policies are subject to the
scrutiny and possible change by the respective country to which the goods are
being imported into.
Furthermore, each country sets their own limits on the number of goods that can
be imported on this preferential basis. If this limit has been reached for a
particular country, then the Form A ceases to entail the bearer any lowered duty
rates. Usually, the limit of goods being imported under Form A terms becomes
depleted by early autumn when most goods have been, or are being shipped.
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In order for us not to incur unnecessary documentation costs, we kindly ask that
for all shipments from August onwards, that customers check with their
respective customs agencies to ascertain whether the preferential duty rate limit
for that particular year has been depleted yet.
If it is in fact true, that no additional reductions on the duty rate are obtainable by
the presentation of a Form A, we will ask that our customers please do not
request for the issuance of this document. Unless circumstances indicate that it
is absolutely necessary to have a Form A for customs clearance, as per the
guidelines shown on the previous chart.
Manufacturer’s ID (ONLY FOR SHIPMENTS GOING TO U.S.A.)
The United States Customs & Borderland Protection department has instigated a
new mandate as part of their fight against terrorism. All goods being imported
into the U.S. will now require an MID number (Manufacturer’s Identification
Number) as well as the name and address of the actual factory in which the
goods have been made, on certain shipping documents. AML Group has
registered all of its factories under this new requirement, and will include the
correct MID and factory address on all shipping documents appropriately.
However, please be sure to check with your appointed forwarder or customs
broker/agent to identify which documents will require the MID and factory
address.
8. Program Summary
In order to best utilize our time and efforts in a constructive manner in creating a
strong glove program, the following factors should always be kept in mind :
1.) Choosing the most appropriate styles based on the available time you have
allocated for the program.
2.) Choosing the most appropriate materials based on cost, performance, and
availability while taking into consideration of minimums order requirements.
3.) Preparing projections and planning for order placement as early as possible.
4.) Initiating the sampling process as early as possible.
5.) Keeping on schedule with the planned progression of each stage of glove
development through to bulk production.
6.) Placing the salesman/tradeshow/photo sample orders in a timely fashion.
7.) Placing the in-line order as early as possible to secure a good delivery date
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9. AML Group Limited – Ethics and Mission
Statement
It has, and always will be the goal of AML Group Limited to provide the utmost
quality of service and products to our customers. We operate under a strict
adherence to business practices that lead to mutual trust and loyalty between
AML Group and our customers. Hence, we solemnly promise that no designs we
manufacture for a particular customer may be exactly reproduced for another
customer; even if that design is given to us by one of our existing customers or, if
it was created by AML Group’ design staff on behalf of a customer.
A few words from our Director…
Any styles that we manufacture for a customer of ours, becomes proprietary and
will not find its way into others’ hands through us. Although we deal with many
customers whose styles may invariably fall within the same classification or
Market segment, we ensure that each customer’s information, styles, and
quotations are kept in confidence. This is the ethical policy we keep and
maintain at all times.
Our corporate mission is to offer our glove manufacturing services in support of
all companies within the private label (manufacturers industry), licensed
products, wholesale, retail, corporate and government tenders. However, we are
also able to provide material sourcing services to our customers for other soft
and hard goods items including manufacturers of other products, producers of
raw materials, printed materials, and various other sources of material suppliers.
As everyone is well aware of, the consumer market is dynamic and it requires
time and devotion in order to understand such a market. Therefore, AML Group
conducts regular market research into areas such as consumer trends, consumer
spending, and maintains updated industry news pertaining to all aspects of the
glove related markets.
AML Group also aims to be the forerunner of the glove industry and constantly
seeks the newest developments in materials and fabrics. This is because it is
also part of our mission to be able to provide the best and most updated
information to our customers regarding all the latest technical advancements in
materials and fabrics on a worldwide basis.
We have often been asked why we do not move into manufacturing of other
products in addition to gloves, scarves, hats, handbags, gaiters & other related
accessories that we already produce, such as: apparel, outwear, shoes etc. and
the same reason is given time and time again. It is simply because “We want to
be focused on what we do in order to do it right”
Just remember…
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‘Gloves & Accessories’ is what AML
Group is all about!
Susan Cheng
Director
AML Group
10. End Notes & Customer Policy
Sample/Prototype Development Charges:
FOR GLOVES & MITTENS
All newly designed, initial style development prototypes, and counter samples will
be charged at a flat US$40.00 FOB Hong Kong per pair rate. All revised
samples (second, third, and consecutive samples) are charged at a flat
US$30.00 per pair FOB Hong Kong rate. All courier and shipping costs of
samples are for the account of the customer. We expect the customer to inform
us of which specific carrier and/or specific method/mode/type of shipment to use
for sending samples, otherwise by default, we will use a courier of our own
choice at our own non-negotiable rate.
Sales samples (bulk samples) are charged at 1.5 times the quoted FOB sales
price for each particular/individual glove or mitten style. This charge is levied in
order to amortize the additional costs involved in the manufacture of small preproduction runs, and also helps to cover extraneous costs and surcharges
instigated by our suppliers for less than minimum orders of materials and fabrics.
FOR HANDBAGS
All Prototype and Sales (bulk) samples of handbags will be charged a flat rate of
2 times FOB. All courier and shipping costs of samples are for the account of the
customer. We expect the customer to inform us with specifics information on
which carrier and/or method of shipment to use for sending samples, otherwise
by default, we will use a courier of our own choice and at a rate of our choice that
is non-negotiable.
Minimum Orders & Surcharges (NEGOTIABLE; WE TRY TO BE VERY
FLEXIBLE)
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FOR GLOVES & MITTENS
The minimum order quantity per each style and in each size is 500 pairs. Orders
for each style that fall between 400-499 pairs per size will be charged an
additional 10% of the FOB sales price. All orders that fall between 200-399 pairs
per style and per size will be charged an additional 20% of the FOB sales price.
All quantities that fall between 100-199 pairs per style and per size will be
charged a 30% surcharge. All quantities below 100 pairs per style and per size
will entail a 40% surcharge.
FOR HANDBAGS
The minimum order quantity for each style and color is 1000 units. Orders below
this quantity will be subject to additional surcharges negotiated at time of order
placement. Normal surcharges on orders between 999-700 units will be 30% on
top of quoted FOB prices, between 699-400 units will be 40% additional
surcharge and orders below 399 units will be subject to a 50% surcharge.
However, please note that under certain circumstances, the minimum order
requirements may be negotiable or, other arrangements can be made with us
to resolve minimum order quantity (MOQ) issues in a mutually beneficial
way.
Minimum order requirements are imposed for the following reasons:
1.) economies of scale
2.) to try and meet the minimum order requirements of fabric suppliers
3.) to amortize the high cost of the cutting dies
Since the material and fabric suppliers’ minimums are beyond our control, we
have no direct influence over this issue. As far as cutting dies are concerned, it
costs AML about US$350 per set of cutting dies. One set of cutting dies can
make only one style of glove in one size. Hence, in order for our endeavors to be
economically viable, we must receive sizable enough orders to enable us to
amortize the cost of these cutting dies or, to impose surcharges.
However, there are also other solutions to this dilemma:
1.) the customer may elect to pay for the cutting dies up front
2.) cost of cutting dies may be spread out into the FOB sales price of the gloves
3.) cost of cutting dies are refundable once the total order quantities meet our
minimum quantity requirements within a 12 month period
Economies of scale:
In order for us to best utilize the economies of scale in production, we must
impose the following minimum quantity productions runs per order:
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

Minimum order quantity per single bulk order is 2500 pairs of gloves/mitts.
Minimum order quantity per single bulk order is 1000 units of handbags.
Cost of Cutting Dies:
The cost of the cutting dies may be waived if the quantity being placed meets or
exceeds 900 pairs per style and per size. If the order does not meet this
minimum requirement, then the customer can choose to bear the entire cost of
the cutting dies or, elect to pay the surcharges.
Material Supplier’s Minimums:
The minimum order requirements for fabrics will depend on each individual
supplier, and for each particular fabric. If AML Group must order a minimum
quantity of fabric on behalf of a customer, then the cost of the excess fabric must
be borne by the customer. All excess fabrics will be dealt with in the following
manner:
Supplier minimum on fabric
1000 yards per color
Order requirements
650 yards per color
Customer bears excess inventory
350 yards per color
AML Group will store the excess fabric in its warehouse on behalf of the
customer free of charge for the duration of 1 year from date of receipt. The
customer has every right to utilize the excess fabric by placing additional glove
orders in order to exhaust the inventory within that year. If excess fabric still
remains in AML Group’ warehouse after one year it will be disposed of
accordingly.
Lead-Times:
The average lead-time for an order between 50,000 – 80,000 pairs is 120 days in
general, provided that all materials necessary for the production of that
order is available and ready for shipment to us at time of order placement.
A lead-time of between 60-90 days is required after all materials have arrived at
our factory (actual manufacturing lead time).
However, during the peak season of May, June, July, and August, the lead times
may stretch up to 180 days. Also, all orders will be scheduled on a “first come
first served” basis, depending on the date an order is received and on which date
the L/C for that order is approved and opened.
Pricing:
In order to justly reflect changes in material costs, exchange rates, and other
market factors that may affect costs, all price quotations will only be valid for 6
months from date of presentation to the customer. If order(s) are not received
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within this 6 month period, then updated prices will be re-quoted to the customer
after the said period has ended and all previous price quotations will be treated
as being completely null and void.
Purchase Orders:
Any and/or all changes pertaining to: total quantities, size breakdowns, and color
breakdowns that need to be made to an official Purchase Order can only be done
so within the first 7 working days from date of issuance of the said purchase
order. No changes to the PO’s will be accepted after the above-mentioned time
frame due to the fact that most materials will have been ordered, and many other
production arrangements will have been carried out already.
If changes absolutely need to be made to the official purchase order concerning:
order quantities, size breakdowns, and/or color breakdowns after the 7 working
day period from date of purchase order issuance, a penalty charge of US$100
will automatically be levied against each and every individual change made to the
said official purchase order.
Remarks:
Please note that all minimum order requirements refer to the shipment of such
goods to only one port of discharge. All orders are subject to the approval of
AML Group and any acceptance or rejection of any order resides solely within
the discretionary powers of AML Group.
Terms of Payment
Payment for samples and all other amounts of not more than US$ 10,000 and
not less than US$500.00 should be wired (by telegraphic transfer, T/T) to the
following account:
Banker’s Name
Banker’s Address
Account Number
Company Name
Company Address
: The HongKong & Shanghai Banking Corp. Ltd.
: 1 Queen’s Road, Central, Hong Kong
: 808-409700-274
: AML Group Limited
: 29th Floor, Nanyang Plaza, 57 Hung To Road, Kwun
Tong, Kowloon, Hong Kong
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Payment for samples costing US$500 or less may be consolidated with other
payments owed to AML Group until the total amounts to US$500 or more at
which time, a T/T payment can be made to settle the amount.
The basic terms of payment upon placement of any in-line glove order is
Irrevocable L/C at sight opened at any recognized bank or adequate facility
acceptable to AML Group Limited. If you require a template for opening the L/C,
we can offer one to you that includes all the necessary terms required by our
accounting department. We also strongly suggest you submit a copy of your L/C
application to us for approval in order to minimize the number of discrepancies
that may occur. All commercial credit terms are also based only on L/C with
interest throughout the agreed upon credited time frame solely for the buyer’s
account.
All payments for sales samples must be settled by T/T and all main production
bulk orders must be settled by Irrevocable L/C at Sight unless otherwise
agreed upon beforehand.
AML Group Customer Policy
The following terms and conditions have been laid out for the benefit of both
parties involved, and is a formal agreement between AML Group Limited (vendor)
and all of our customers (buyer), and therefore will be regarded as fully
acknowledged and accepted by both parties entering into any transaction
between the aforementioned parties involved.
Terms & Conditions
1.) A standard allowance of +/- 5% difference from the total ordered quantity will be allowed for
all orders shipped, to account for any unforeseen cutting loss, fabric/material damages, or
over shipment of fabrics from customer specified material suppliers.
The short/over shipped quantity will depend entirely on the discrepancy between the quantity
of materials and/or fabrics we purchase according to a customer’s order(s) and the actual
quantities of such materials/fabrics that we receive from the designated material suppliers.
2.) All low season orders that have been confirmed by an official sales contract for glove
deliveries 90-180 days after order placement during the stated low season time frame
below will be given a minimum discount of 0.5% up to a maximum of 5% off of the
quoted FOB prices.
The effective period for low season orders are for any orders that are placed between
October through December and at the same time, allowing for delivery between
January 31 through March 31 of the following year. Please note that Low season
discounts are subject to the full discretion of AML Group Limited and may be revoked
at any time without prior notice.
3.) All salesman / trade show samples will be charged between 1.5 -3 times the quoted FOB
sales price depending on total quantity. This charge is imposed to cover any losses that may
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be incurred as a result of AML Group receiving no actual in-line/bulk orders from customers
after extensive sampling has been carried out.
4.) All claims, returns, and requests for refunds must be advised to AML Group via formal written
notification within no later than 1 week after receipt of the goods; based on the arrival date of
the goods to the designated port of entry as per the shipping advice issued by AML Group’
shipping department, appointed forwarder, or appointed shipper.
5.) Any claims reported to AML Group after the 1 week notification deadline will be considered
as being null and void and thus will not be eligible for any claim settlements unless otherwise
agreed upon. The maximum time allowed for any claims beyond the 1 week notification
period will be effective for no more than 3 months from date on which the goods have exited
our factory(s).
We will do our best to provide the necessary services to eradicate any problems that have
occurred. However, all substandard and damaged goods must be returned to AML Group at
the customer’s cost, for evaluation, analysis and assessment before any claims will be
subject to settlement.
All damages to products resulting from improper use, misuse, and abuse will not be covered
by this warranty return policy. This warranty does not cover damages to any of our
manufactured products resulting from normal wear and tear caused by regular use of the said
products.
Goods must be returned in ‘like new’ condition before this return policy becomes effective.
Furthermore, this policy does not extend to any warranties, guarantees, or promises
instigated by the customers themselves, to their own distributors, retailers, department
stores, wholesalers, buyers, consumers, etc.
We will either perform one of the following if goods are found to have failed as a direct result
of our manufacturing error. All problems resulting from raw materials and fabrics are not
covered by this policy and will not be entertained by AML under any circumstances.
a.) Exchange non-damaged goods with the returned goods within the limits of the
aforementioned ‘standard allowance’ clause.
b.) Perform repairs to the damaged goods.
c.) Offer monetary compensation or credit to the customer which is to take effect either
immediately or at a later date depending on AML Group’ discretion.
6.) Due to the uncontrollable and unforeseeable problems that may occur with regards to
fabric/materials availability/delivery, AML Group shall be given an additional grace period on
the delivery date of finished goods of not less than 15 working days against the confirmed
delivery date upon written notification to the customer explaining such extraordinary
circumstances.
7.) All outstanding invoices exceeding a period of 30 days from date of shipment will be levied at
an interest rate of 3% per annum, retro-rated according to the date of the supposed
settlement of the outstanding balance owed to AML Group .
8.) All cases involving late deliveries, which may require air-freight shipments to be made, shall
be treated on a case by case basis. The length of the delay to the shipment may or may not
be the result of a direct error committed by AML Group.
a.)AML Group will not be held liable nor responsible for paying any costs involving late
shipments resulting from: natural disasters, acts of God, political unrest, accidents,
catastrophes, etc.
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b.) The responsibility for all other requests requiring airfreight delivery will be for the account
of the customer (buyer).
9.) AML Group can and will exercise its right to disclaim any allegations made against it within
the legal ramifications of Hong Kong law.
10.) All requests, transfer or dissemination of information and correspondence must be made in
writing and, in the form of English to be effective and binding.
11.) All information exchanged between AML Group and its customers/clients is deemed to be
privileged and must be treated with the utmost confidence. Dissemination of such privileged
information to outside/third parties is strictly prohibited unless under the authority and/or full
consent of AML Group.
12.) AML reserves the right to change/modify any of the terms and policies of this agreement as it
sees fit, without prior notice or consent of its customers or outside parties.
11. Reference List
W.L. Gore & Associates (Far East) Ltd.,
12/F., Tower 2, Grand Century Place,
193 Prince Edward Road West, Mongkok, Kowloon,
Hong Kong
Contact person : Mr. Kelvin Chan
Tel : (852) 2622-9622
Fax: (852) 2622-9898
Toray Industries (H.K.) Ltd.,
3rd Floor, TAL Building,
49 Austin Road, Kowloon,
Hong Kong
Contact person : Mr. Hiro Kagao
Tel : (852) 2196-7000
Fax: (852) 2196-7138
3M Hong Kong Limited,
5th Floor, Victoria Centre
15 Watson Road, Hong Kong
Contact person : Ms. Mandy Wang
Tel : (852) 2806-6111
Fax: (852) 2807-1308
Pittards plc
Sherbourne Road, Yeovil,
Somerset, England BA21 5BA
Contact person : Mr. Geoffrey Higson
Tel : (441) 935-74321
Fax: (441) 935-27145
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12.) Key Contacts
The following is a simple directory to the key personnel involved with each
particular glove field/division. If you should have any questions, please do not
hesitate to contact any of the persons listed below:
Action / Extreme sports gloves division:
 Ms. Phoebe Wong: phoebe.wong@amlgroup.com.hk
 Ms. Monica Man: monica.man@amlgroup.com.hk
 Ms. Esther Fung: esther.fung@amlgroup.com.hk
Dress / sports / casual gloves division:
 Mrs. Susan Cheng: susan.cheng@amlgroup.com.hk
 Ms. Juliana Lam: juliana.lam@amlgroup.com.hk
 Ms. Daisy Ko: daisy.ko@amlgroup.com.hk
Work / safety / gardening / household gloves division:
 Ms. Ingrid Leung: ingrid.leung@amlgroup.com.hk
 Ms. Ceci Kwok: ceci.kwok@amlgroup.com.hk
Specialty gloves: police, military, hunting, firemen, etc.
 Mr. Michael Choy: michael.choy@amlgroup.com.hk
 Ms. Amy Wong: amy.wong@amlgroup.com.hk
Leather Hides & Custom Leather Production:
 Mr. Max Yip: max.yip@amlgroup.com.hk
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13.) Vendor Compliance & Better Business Practices
AML Group Limited prides itself with the fact that we became one of
the first ever Asian manufacturers to adopt a strict code of vendor
compliance standards aimed at improving the environment and
livelihood of our factory workers. Furthermore, we have achieved a
high level of manufacturing prowess in conjunction with technical
material suppliers enabling us to use a wide range of licensed
materials at our factories.
We have instigated many features at our manufacturing plants to help
promote safety, human & labor rights, as well as protection of the
environment. All of these measures not only justify our leader
position in the glove manufacturing industry, but also gives our
customers the extra confidence in knowing that their esteemed
brand(s) are being produced by a reputable supplier such as AML
Group Limited.
AML Group is also actively engaged in adhering to and, in
administering CT-PAT recommendations and procedures as outlined
by the US Customs & Borderland Protection Agency to help prevent
terrorist activities from affecting goods that we export to other
countries. Please note however, that the USCBP regulations covered
under the CT-PAT is currently only being enforced at production
facilities in Canada and Mexico. AML Group has nonetheless
adopted such safeguards for the betterment of our customers.
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14.) Memberships & Affiliations
AML Group Limited is a sustaining member of the Snow-sports
Industries America (SIA) association
AML Group Limited is a member of the Diving Equipment &
Marketing Association (DEMA)
A partial list of our accredited certifications and licenses include the
following:
 ISO9001:2000 Quality Assurance Certified Manufacturer
 W.L. Gore Licensed Manufacturer; Exclusive Gore-tex Certified
seam sealed hand wear manufacturer
 Primaloft Licensed Manufacturer
 Porelle Authorized Manufacturer
 Outlast Licensed Manufacturer
 WRAP (Worldwide Responsible Apparel Production) Certified
Manufacturer
 SHAPE Certified Manufacturer
 CSCC Audited Vendor Compliant Manufacturer
 PWC Audited Vendor Compliant Manufacturer
 SATRA Compliant Leather Tannery Technicians and Lab
 Outdry Technology Certified Manufacturer
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