Terminology

Active – A qualification within Hiilux that is determined by the amount of Points that a Member has earned in a given Week. The qualification level for Active status is initially set at 250 Points, but this qualification level may be changed by Hiilux at any time, in its sole discretion. Once a Member is Active, all Points and Group Points are Banked into that Member’s account. The qualification for Active status starts over at the beginning of each Week.

Advertiser – A company that pays either Hiilux or its Affiliates to market to Hiilux’s Members.

Affiliate or Affiliates – Owners of websites that enter into a contract with and pay Hiilux a percentage of the revenues earned as a result of Hiilux’s Members’ efforts/activities on the websites.

Affiliate Members - People who have linked direct to an Affiliate through a link provided by a Member in an email and are using the Affiliate sites being so linked, but who are not accessing those sites through the Hiilux system and are not yet Members of Hiilux.

Back Office – A Member’s virtual office which tracks a Member’s status, commissions, and bonuses. Through the Back Office, the status, commissions, and bonuses of each person in the Member’s Groups can also be accessed. The Back Office is accessed through Hiilux.com.

Bank, Banked or Banking – The accumulation of unused Points. Exceptions to Points being Banked are: (1) A maximum of 50,000,000 Points may be Banked in either of a Member’s Groups and any Points in excess of 50,000,000 in either Group at the end of the Week will be dropped from the system; (2) Maximum earnings per Week is $100,000 and once reached in any given Cycle, all Banked Points in excess of those needed to achieve the $100,000 in earnings will be dropped from the system; (3) If a Member fails to submit a completed IRS Form W-9 if that Member is a U.S. citizen, or a completed IRS Form W-8 if a Member is not a U.S. citizen, within 90 days of when payment is earned, all Banked Points are dropped from the system.

Binary – Referring to the structure where a Member may only have two Groups under him/her in the system.

CPM – Cost per one thousand impressions. This is an industry term referring to the basis upon which an Advertiser pays for ads.

Cycle – A Cycle is when both Groups of a Member have achieved 50,000 Group Points. Each 50,000 Group Points achieved during any given Week in both Groups earns $25 for the Week and the Member may request payment if the Member is Active and Qualified that Week. Direct Member – The first Member (the lead Member) in each Member’s Groups as determined by the Member or the Member’s Sponsor.

Direct Sponsor - The person immediately preceding the Direct Member in the Group. The Direct Sponsor receives all Points that the Direct Member personally earns during any Week that the Direct Member falls short of qualifying as "Active".

Group – The chain of registered Members beginning with a Member’s Direct Member to the most recently enrolled Member, enrolled by anyone within the Member’s Group.

Group Leader - See PIN Levels, below.

Group Points – Group Points are the total number of Points earned by Members of a Member’s Groups. Group Points consist of the Points that are Banked and used to calculate a Member’s payment for the Week.

Groups – Both Groups that the Member has been the Direct Sponsor of, sometimes referred to as left Group and right Group.

Inactive – Every Member begins a new Week with an Inactive status. An Inactive Member has limited or no activity in a given Week. All Potential Points of a Member who is Inactive at the close of the Week are forfeited, and any Points credited to or earned that Week by the Inactive Member are credited to that Inactive Member’s Direct Sponsor. The Member remains in an Inactive status until the Member earns enough Points during a Week to qualify as Active.

Member – An individual or entity that registers, as provided above, to participate in the Hiilux Program.

Members – All individuals or entities under a Member who are registered with Hiilux and are part of one of the two Groups of that Member.

Member Survey – An informational questionnaire regarding interests, preferences, likes, dislikes, etc. of a Member. A Member must complete the Member Survey in order to participate in the Hiilux Compensation Plan. Personally Sponsored Members – Any number of Members who a Member personally sponsors into his Groups. A Member (for purposes of this specific definition, the “first Member”) will be deemed to have personally sponsored another Member if that other Member (1) clicks “Sign Up Now” through the first Member’s replicated site; (2) clicks the first Member’s replicated hyperlink and clicks “Sign Up Now”; (3) receives an invite from the first Member through the “30-Second Refer-a-Friend” system and accepts; or (4) enters the first Member’s username as their Sponsor when signing up.

Personal Sponsor – This is the person who signed up a Member into his/her Group thereby becoming that person’s Personal Sponsor and/or Direct Sponsor. Although a person may have only two Groups, a Personal Sponsor may influence multiple persons to become Hiilux Members in each of his/her Groups. A Member’s Personal Sponsor could also be that Member’s Direct Sponsor, but usually will not be.

PIN Levels – See PIN Levels, below.

Point or Points – These are numerical units used to calculate and determine payments under the Hiilux Compensation Plan. A Point is earned by performing, through the Hiilux system, the actions required by the Affiliates on their sites, which allows Hiilux to track, in the Back Office, whether or not the Member has completed the action(s) required by the Affiliate for payment to Hiilux. Points include: (1) All Points that a Member personally generates through participation in the Hiilux Program; (2) All Points that are credited to that Member because of his/her Affiliate Members’ use of or participation in the Affiliates’ sites; and (3) All Points that get credited to the Member when the Member’s Direct Members fall short that Week of qualifying as Active. The Active Member’s Points qualify that Member for Banking and payment eligibility. All qualifying Points are converted into Group Points at the end of each Week for payment purposes.

Potential Points – The Group Points that a Member stands to earn and Bank if the Member becomes Active.

Prospects - People that a Member has sent an email invitation to and/or who the Member has placed in his/her Group, but who has not yet accepted the invitation and registered as a Member of Hiilux.

Qualified – When a Member has at least one Personally Sponsored Member in each of the two Groups who is considered Active during the Week. Being Qualified entitles the Member to receive payment from all Group Points.

30-Second Refer-a-Friend System – A system developed by Hiilux in which a Member can electronically invite friends, family, contacts, and associates, including through social or business network sites, with a possible interest in participating in the Hiilux Program. An invitation is electronically generated and communicated to the invitees. If the invitees accept and register, they are placed in one of the referring Member’s Groups and that Member becomes their Personal Sponsor. The Member who sent out the electronic invitation can log into his/her account and change how and where they want people placed based upon their desired strategy of growth.

Social Leader – See PIN Levels, below.

Social Recruiter – See PIN Levels, below.

Sponsor – See Direct Sponsor and Personal Sponsor definitions above. See also Personally Sponsored Members and Direct Members definitions above. A Sponsor has the responsibility to train the Members they Sponsor and to assist them to be successful in the Hiilux Program and the Hiilux Compensation Plan.

Sponsorship – The chain of Direct Members and Direct Sponsors all the way to the first Member, all part of a team of Members with an interest in one another’s success in the Hiilux Program and the Hiilux Compensation Plan.

Viral Director - See PIN Levels, below.

Web Council – A Member’s Direct Sponsor, Personal Sponsor and Social Recruiter.

Web Executive - See PIN Levels, below.

Web Guru - See PIN Levels, below.

Web Master - See PIN Levels, below.

Week – The time period in which we calculate a Member’s qualifications and bonuses. A new Week begins and the previous Week ends at 12:00 a.m. Sunday morning, Mountain Time.

PIN Levels:

Member – You are registered as a Hiilux Member but you have not yet qualified as a Social Recruiter.

Social Recruiter – You are an Active Member and you have Personally Sponsored one Member into each of your two Groups who have also qualified as Active in the same Week.

Social Leader - You have 5 Social Recruiters in your Groups with at least one in each of your two Groups.

Group Leader - You have 12 Social Recruiters in your Groups with at least one in each of your two Groups.

Viral Director – You have 3 Group Leaders in your Groups with at least one in each of your two Groups.

Web Guru – You have 3 Viral Directors in your Groups with at least one in each of your two Groups.

Web Executive – You have 3 Web Gurus in your Groups with at least one in each of your two Groups.

Web Master – You earn $100,000 in any given week.

Ultimate – You earn this prestigious title, which is added to any of the above PIN levels, when the PIN level requirements have been met and doubled within any given four consecutive Week period.

Achievements:

500 + Club – you have personally invited 500 people through our Refer-A-Friend system and 10% of invitees have signed up.

1,000 + Club - you have personally invited 1000 people through our Refer-A-Friend system and 10% of invitees have signed up.

2,500 + Club – you have personally invited 2500 people through our Refer-A-Friend system and 10% of invitees have signed up.

10,000 + Club – you have personally invited 10,000 people through our Refer-A-Friend system and 10% of invitees have signed up.