SALES & MARKETING PLAN 2019

SALES & MARKETING PLAN 2019

Cathy Picardi- Active World Team

Pete Lombardo- Active World Team

Herbalife Nutrition Sales & Marketing Plan As Herbalife Independent Distributors document customer sales, the Herbalife Sales & Marketing Plan offers the opportunity to earn income, vacations and other rewards! TAB TEAM (Top Achievers Business Team) This level and up Global Expansion Team (GET) World Team Supervisor Qualified Producer Distributor Senior Consultant Millionaire Team President’s Team Chairman’s Club† Founder’s Circle† Millionaire Team 7,500* Success Builder Active Supervisor* Active World Team* GET 2,500* *Active Supervisor, Active World Team, GET 2,500 and Millionaire Team 7,500 are recognition levels, not earnings levels in the Sales & Marketing Plan. See your Sponsor for more information. †For complete qualification details, refer to your IBO Career Books.

International Business Pack (IBP) Become a Distributor and Receive a 25% discount and potential Retail Profits from selling the products.* Have the opportunity to sponsor other Distributors into the Herbalife Nutrition business.† *All sales must be documented to Herbalife. †ALL Distributors must complete the initial Required Distributor Training to be able to earn and sponsor.

KEYS TO GROWING YOUR BUSINESS Build a strong customer and Preferred Member base DISTRIBUTOR ACTION PLAN (DAP) 5 to 7 new clients plus 2 new Distributors each month Get, Keep and Develop: Loyal Customers and Preferred Members Distributors that work the DAP Build a strong base of Distributors who are ready to: Build a strong customer and Preferred Member base Build a strong Distributor base

Documented Volume Documented Volume comes from ALL sales made to customers and Preferred Members that is submitted via valid receipts to Herbalife. Documented Volume is used toward your qualification to: Earn Commissions, Royalty Overrides and bonuses (earning %) Achieve higher discounts Advance in the Sales & Marketing Plan Achieve promotions

7 Areas of Income 1%–5% Royalty Overrides 7%–25% Wholesale Profit Monthly Royalty Overrides Example 2%–7% Production Bonus YOU Up to 5% Supervisor Level 1 Mary Up to 5% Up to 5% Up to 50% Retail Profit Potential Income Sources* Promotions Supervisor Level 2 John Supervisor Level 3 Lisa Vacation Promotions Annual Mark Hughes Bonus Earnings payouts are based on Earn Base values

Congratulations Distributors! Who is our newest Distributor?

Senior Consultant – 35% Qualification: Achieve 500 Documented Volume Points (DVP) in 1 to 2 months (Up to 500 VP may be from your downline’s Documented Volume) Eligible Benefits: Buy products at a 35% discount off the Earn Base Receive a discount “rebate” on all purchases the month you qualify Earn Retail Profits on sales to customers Earn Wholesale Profits on orders placed by your downline at a lower discount All orders must be purchased directly through Herbalife.

Congratulations Senior Consultants

Qualified Producer – 42% Qualification: Achieve 1,000 DVP Documented Volume in 1 to 2 months OR 2,500 DVP Documented Volume within 6 months (Up to 1,500 VP may be from your downline’s Documented Volume) Eligible Benefits: Receive a 42% discount on orders Eligible to receive a discount “rebate” on all purchases made the month you qualify Earn Retail Profits on sales to customers Earn Wholesale Profits on orders placed by your downline at a lower discount All orders must be purchased directly through Herbalife.

Congratulations Qualified Producers

Supervisor – 50% Qualifications: Achieve 2,000 DVP Documented Volume in 1 to 2 months OR Achieve 4,000 DVP Documented Volume within 3 to 12 months* (Up to 2,000 VP may be from your downline’s Documented Volume) All orders must be purchased directly through Herbalife. *Refer to your IBO Career Book for more details.

Congratulations Supervisors

Supervisors Earn Royalties & Bonuses from: 1. Supervisors in your first 3 active levels, including roll-ups 2. Platinum (50%) Charter Preferred Members Royalty Points for rewards and earnings qualifications are calculated based upon the Documented Volume portion of organization volume each month How you earn is explained in detail in the “Qualify to Earn” and “What You Earn On” presentation trainings on MyHerbalife.com

Eligible Benefits of Supervisor and Above 1%–5% Royalty Overrides 7%–25% Wholesale Profit Monthly Royalty Overrides Example 2%–7% Production Bonus YOU Up to 5% Supervisor Level 1 Mary Up to 5% Up to 5% Up to 50% Retail Profit Potential Income Sources* Promotions Supervisor Level 2 John Supervisor Level 3 Lisa Vacation Promotions Annual Mark Hughes Bonus Earnings payouts are based on Earn Base values

Active Supervisor Qualification: Achieve 2,500 VP Documented Volume (DV) in each of 3 consecutive months Qualifiers Receive:* Active Supervisor pin Certificate of Achievement PLUS Stone-Pin Qualification 3, 5, 7 or 10 Fully Qualified Supervisors in your first line also achieve 2,500 DVP in the same 3 consecutive months Stone-Pin Qualifiers Receive: Corresponding 3-, 5-, 7- or 10-stone pin Certificate of Achievement Note: Active Supervisor is a recognition level, not an earnings level in the Sales & Marketing Plan. See your Sponsor for more information. *A Supervisor will only be recognized the first time they complete the qualifications.

Congratulations Active Supervisors

World Team Qualifications: Achieve 2,500 DVP* each month for 4 consecutive months as a Fully Qualified or Qualifying Supervisor OR Achieve 10,000 DVP* in 1 month after becoming a Fully Qualified or Qualifying Supervisor OR Achieve 500 Royalty Points* in 1 month *All VP and RO must be documented. Eligible Benefits All the benefits of a Supervisor Attend special planning and training sessions targeted to accelerate your progress to TAB Team

Congratulations World Team

Active World Team Qualifications: Achieve all 3 qualifications below in any 6 consecutive months: 2,500 DVP in each of 4 consecutive months AND Eligible Benefits Be able to attend higher level leadership trainings First-Time (non-TAB) Qualifiers Receive: An exclusive Herbalife Active World Team pin and Certificate of Achievement 5,000 DVP in 1 month A 500 Special Bonus (non-TAB) AND Requalifying* Active World Team Distributors Receive: 500 Royalty Points* in 1 month Yearly Active World Team pin (non-TAB or TAB) and Certificate of Achievement Note: Active World Team is a recognition level, not an earnings level in the Sales & Marketing Plan. See your Sponsor for more information. *All VP and RO must be documented.

Congratulations Active World Team

Global Expansion Team Qualification: Achieve 1,000 Royalty Points* each month for 3 consecutive months Eligible Benefits: Earn up to 2% monthly TAB Team Production Bonus on your downline organization’s volume by achieving 1,000 Royalty Points* and 3,500 VP* DV each month May qualify for company training event promotions Participate in special advanced trainings Participate on special conference calls *All VP and RO must be documented. GET 2,500: Achieve 2,500 Royalty Points* each month for 3 consecutive months Note: GET 2,500 is a recognition level, not an earnings level in the Sales & Marketing Plan. See your Sponsor for more information.

Congratulations Global Expansion Team

Millionaire Team Qualification: Achieve 4,000 Royalty Points* each month for 3 consecutive months Eligible Benefits: Earn up to 4% monthly TAB Team Production Bonus, after a 2- month waiting period, on your downline organization’s volume by achieving 4,000 Royalty Points* and 3,000 VP* DV each month Be eligible to qualify for company training event promotions Be eligible to participate in special advanced trainings Participate on special conference calls *All VP and RO must be documented. MILLIONAIRE TEAM 7,500: Achieve 7,500 Royalty Points each month for 3 consecutive months Note: Millionaire Team 7,500 is a recognition level, not an earnings level in the Sales & Marketing Plan. See your Sponsor for more information.

Congratulations Millionaire Team

President’s Team Qualification: Achieve 10,000 Royalty Points in 3 consecutive months. After a waiting period of 3 months, earn up to 6% Production Bonus. Eligible Benefits: Earn TAB Team Production Bonuses based on your qualification level Qualify for special President’s Team vacation and training event promotions Participate in special conference calls and advanced trainings 20K President’s Team: Achieve 20,000 Royalty Points in 3 consecutive months. After a waiting period of 3 months, earn up to 6.5% Production Bonus. 30K President’s Team: Achieve 30,000 Royalty Points in 3 consecutive months. After a waiting period of 3 months, earn up to 6.75% Production Bonus. 50K President’s Team: Achieve 50,000 Royalty Points in 3 consecutive months. After a waiting period of 3 months, earn up to 7% Production Bonus.

Congratulations President’s Team

Chairman’s Club Qualification: 5 Fully Qualified President’s Team Distributors in 5 or more separate lines of your downline organization Eligible Benefits: All the benefits of a President’s Team member. Qualify for special Chairman’s Club vacation and training event promotions. Participate in special conference calls and advanced trainings As a leader, assist with worldwide trainings.

Founder’s Circle Qualification: 10 Fully Qualified President’s Team Distributors in 10 or more separate lines of your downline organization Eligible Benefits: All the benefits of a Chairman’s Club member Be eligible to qualify for special Founder’s Circle vacation and training event promotions Participate in special conference calls and advanced trainings As a leader, assist with worldwide trainings

Mark Hughes Bonus Herbalife sets aside up to 1% of total worldwide company product Earn Base sales to be paid as a Mark Hughes Bonus Award to eligible President’s Team Distributors The award is distributed annually among eligible President’s Team Distributors in recognition of outstanding performance in advancing sales of Herbalife products The qualification period is 12 months, beginning in January and ending in December of the same year Note: Please refer to the Mark Hughes Bonus Award qualifications and rules document for full information.

Go for Your Goals DECIDE where YOU want to be DESIGN your plan to get there “It's not important where we are right now, it is where we can be in the future that is important ” WORK YOUR PLAN MARK HUGHES (1956–2000) Herbalife Founder and First Distributor