1. No advertisement will be broadcast on any of the Phoenix channels unless and until the relevant advertising fee has been received by Phoenix.

2. There is a surcharge of 20% on the rate of the advertisement which is scheduled to be broadcast as the first or the last advertisement on any time slot.  There is a surcharge of 15% on the rate of the advertisement which is scheduled to be broadcast as the second or the second last advertisement on any time slot. There is a surcharge of 10% on the rate of the advertisement which is scheduled to be broadcast as the third or the third last advertisement on any time slot.

3. The actual rate and surcharge as well as the relevant discount of the title, associate or presenting sponsorship package for any major event, special program or major program of Phoenix Chinese Channel shall be specified in the advertising proposal specifically issued by Phoenix at the relevant time.

4. The broadcast date and time of any Phoenix program shall adhere to the latest schedule issued by Phoenix.  In the event that the actual broadcast time of any advertisement together with its corresponding program are being moved forward or postponed within 60 minutes of their scheduled broadcast time due to any special occasion or the breaking of any major or special news, this is considered to be normal and Phoenix shall not be liable for any compensation.  In the event Phoenix omits to broadcast or broadcasts incorrectly any advertisement, Phoenix shall offer to broadcast the affected advertisement for the same number of times as it has broadcast incorrectly or twice the number of times it has omitted to broadcast  (as the case may be) during the term of the advertising contract and thereafter Phoenix shall not be liable for any other compensation. 

5. Advertising materials shall be delivered to the address designated by Phoenix not less than seven working days before the scheduled broadcast date of such advertisement.  Phoenix shall have no liability for any error or omission in the broadcast of any advertisement resulting from the failure, delay or any other mistake in the delivery of advertising materials by the advertiser or advertising agency.

6. Advertiser or advertising  agency  shall provide the photocopy of the following documentation to Phoenix upon the execution of the advertising contract:

Business registration certificate, trademark registration certificate, tax registration certificate, identity card of the legal representative of the corporation, and any other relevant proof of the corporation.

For any advertisement associated with drugs, medical appliances, food or cosmetics, advertiser or advertising  agency  shall ensure that it has gone through all necessary procedures in accordance with the relevant laws and regulations governing the telecast of advertisement in Hong Kong and such other places where the advertisement will be broadcast. Phoenix will provide the relevant guidance during the process of the necessary procedures.

7. In respect of an advertising contract with the first scheduled broadcast date of the advertisement of over 30 days from the date of its execution, a deposit   equivalent to 10% of the total advertising fee shall be payable to Phoenix within 7 days upon the execution of the contract.  An initial payment of not less than 25% of the total advertising fee shall be made 15 days prior to the first scheduled broadcast date of the advertisement and the balance shall be paid in accordance with the date and the amount as stated in the advertising contract. The advertising contract shall be automatically terminated forthwith upon default on payment of any of the above amount on the relevant due date.

8. In respect of an advertising contract with the first scheduled broadcast date of the advertisement of more than 7 days but within 30 days from the date of its execution, a deposit  equivalent to 10% of the total advertising fee shall be payable to Phoenix upon the execution of the advertising contract.  An initial payment of not less than 25% of the total advertising fee shall be made 7 days prior to the first scheduled broadcast date and the balance shall be paid in accordance with the date and amount as stated in the advertising contract. The advertising contract shall be automatically terminated forthwith upon default on payment of any of the above amount on the relevant due date.

9. In respect of an advertising contract with the first scheduled broadcast date of the advertisement within 7 days from the date of its execution, a  deposit   equivalent to 10% of the total advertising fee and an initial payment of not less than 25% of the total advertising fee shall be made upon the execution of the advertising contract, and the balance shall be paid in accordance with the date and amount as stated in the advertising contract. The advertising contract shall be automatically terminated forthwith upon default on payment of any of the above amount on the relevant due date.

10. For advertising contract with an advertising period within 31 days (including 31 days), full payment of the advertising fee shall be made on the date of execution of the advertising contract.

11. Advertising contract signed and returned by fax shall be legally binding. The effective date of the advertising contract shall be the date of execution of the contract.    

12.  The advertising contract shall be automatically terminated forthwith upon default on payment on the due date stipulated therein.

13. There is a 8% surcharge on the rate for wine related advertisement to be broadcast on all time slots of Phoenix Chinese Channel.

14. There is a 12% surcharge on the rate for any advertisement associated with special consumer commodities and its related corporate image to be broadcast on all time slots of Phoenix Chinese Channel.

15. A refund of 50% of the advertising fee paid will be made if the request to cancel a booking is received not less than seven days prior to the first date of the scheduled broadcast of the advertisement.  No refund will be made if the request to cancel booking is received less than seven days prior to the scheduled date of broadcast of the advertisement or after the advertisement has commenced its broadcast.

16. In no event shall Phoenix be liable for any claims in connection with any infringement of any of the rights of third party or any disputes arising from the broadcast of all or any part of the advertising materials provided by the advertiser or advertising agency.

17. The terms of these guidelines shall be interpreted by Phoenix and the decision of which shall be final.

 Phoenix Satellite Television Company Limited   20^th August 2005