CLOSE PARTY TRANSACTIONS POLICY

This policy is designed to accommodate the unique needs of Washington based production companies that have full time employees and that own significant production and / or post-production resources.

• Company must submit with their completion package proof of payment for production expenses from an unaffiliated 3rd party (i.e., the client) in the form of a cancelled check or wire transfer.

• Company may claim a "Producers Fee" up to 10% of the approved eligible Washington state spend as certified by the WFW review up to a maximum amount of $5M of approved expenses.

• The level of funding assistance for full-time salaried employees will be determined by the rate that the production bills for that employee's services. These full-time, salaried employees must receive health and retirement benefits as specified in WFW's Guidelines and Criteria. As a year round company employee, they may be covered by the employer's benefit program.

• Resources owned by the company and used during production must be billed at fair market value. The production must submit an invoice or indicate on the Washington State Spend ledger the rate at which the resources are billed.