2008 Roadtreks on New Style 2007 Sprinter Van

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1 October 26, 2007 VIA OR FAX (3 pages) TO: Sales Department All U.S. Roadtrek Dealers FROM: Paul Cassidy, Vice President of Sales RE: 2008 Roadtreks on New Style 2007 Sprinter Van We are happy to announce that our very successful RS-Adventurous and SS-Agile models have been improved and adapted to the completely redesigned Mercedes-built Sprinter van. Both the RS and SS feature styling upgrades, some options made standard and much added content: New Style Sprinter Van Improvements: 1. All new exterior and interior styling (see attached photo). 2. New 3.0 L V6 CRD (common rail diesel) turbo diesel engine (154 HP, 280 lb.-ft. [+37]). 3. Adaptive Electronic Stability Program (ESP) takes into account the vehicle's load. 4. Electronic climate control. 5. Tilt steering. 6. Automatic on/off headlights. 7. Tire pressure monitoring system. 8. Theft deterrent system. 9. Wider taller side sliding entry door. 10. RS: 22' 9" long (+13 ), 6' 8" wide (+4"), 75 standing height (+2 ), 170 wheelbase. 11. SS: 20' 0" long (without Continental kit), 6' 8" wide, 75 standing height, 144 wheelbase. Roadtrek Changes: 1. New Cinnamon real cherry cabinet doors (replaces natural maple). 2. Larger more comfortable second row captain seats (optional on RS, not available until December) ,000 BTU roof mounted air conditioner (with heat strip) is now standard. 4. Fiamma box awning is now mounted on the edge of the roof and standard. 5. Dual 6V auxiliary batteries are now standard. 6. Home theatre is now standard. 7. OEM AM/FM CD player has been replaced with a JVC audio system with AM/FM, satellite radio ready, CD player and ipod ready capability.

2 8. More interior storage cabinets. 9. On RS, storage trunk below the floor and behind the rear axle (accessible through the rear doors). 10. On RS, spare tire on the vehicle underside between the axles. No need for a Continental spare tire carrier which increases the overall length and blocks access to a rear door. 11. On SS, spare tire can be stored inside below the rear sofa to minimize exterior length. The Continental kit (CK) is now optional and can be ordered to maximize interior storage. 12. Power step at the side entry that extends/retracts with the sliding door (with override). 13. To maximize chassis supply, we will again be using both Dodge and Freightliner brand chassis. Neither is specified as part of the base price. We will give you the first available unless you specify your preferred brand by selecting D3 or F3. Neither chassis is equipped differently. 14. Aluminum wheels (option WA) must be selected. We have included updated Order Forms (price lists) and MSRP lists (for distribution to potential customers) effective October 1 st. Once you allow for options made standard, here are sample price changes: 2007 RS-Adventurous on 2006 Sprinter 2008 RS-Adventurous on 2007 Sprinter Base dealer cost $63,300 $72,700 Roof air conditioner (AC) $590 STD Box awning (AB) $590 STD Two auxiliary batteries (B2) $200 STD Home theatre (HT) $270 STD Total $64,950 $72,700 Increase $7,750 These prices reflect the Roadtrek changes described above, increased chassis prices for the all new Sprinter, and higher profit margins we have been forced to pay Sprinter dealers to improve our supply of these hard-toget vehicles. It s better for us and you to pay a bit more and have a better (and hopefully adequate) supply than pay less but not be able to satisfy the demand. However, these prices are still competitive and represent strong value for the products. The Sprinter, a relative new comer to North America, has proved very popular among RVers. It has captured more than half of the North American class B market and a growing share of class C s. Roadtrek was the first company to introduce a class B on the new Sprinter van (at FMCA Convention, August in Redmond, Oregon). (The new Sprinter van cab and chassis came out earlier than the vans and have already appeared as class C s.) Shipping of RS models to dealers will begin in late November; and SSs in February. (Models on 2008 chassis will not be available until spring.) With anticipated high demand for these new models it is both necessary and fair for us to put an allocation system in place for initial production. RS orders will be allocated as follows: 1. In round 1, the 1 st vehicle for dealers who retail delivered 40 or more units from Oct 1/06 to Sep 30/07 will be scheduled in order of retail sales performance for the same period. 2. In round 2, the 1 st vehicle for dealers who retail delivered 20 to 39 units and the 2 nd vehicle for dealers who retailed 40 or more units will be scheduled in the same order noted above.

3 3. In round 3, the 1 st vehicle for dealers who retail delivered units, the 2 nd vehicle for dealers who retailed 20 to 39 units, and the 3rd vehicle for dealers who retailed 40 units or more. 4. Next bonafide retail sold orders will be scheduled first-come, first-served. Orders must include a copy of the retail sales contract. We will automatically start the chassis and motorhome warranties in the customer s name 10 days after delivery to you. If your retail contract falls through, the order will be cancelled and the unit made available for other retail sold orders. 5. Once initial retail demand is satisfied, we will accept stock orders first-come, first-served. SSs will be allocated in a similar fashion nearer to their start of production. Due to anticipated heavy initial retail demand, it may be necessary to keep your first unit at the dealership to sell from. We strongly suggest that you consider the benefit of doing so as opposed to delivering it to the first buyer. Until your first unit arrives, keep the attached exterior photo and floorplans available for your salespeople to sell from. (Interior photos and better exterior photos will be available on our website in late November.) We will consider a further system of allocation should demand remain high for these products and if we feel that the distribution of product is not balanced in the market place. We are excited about our new product lineup with new styling and many upgrades. Please contact any of our sales staff for more information. cc: All Roadtrek Sales Staff

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