I am writing you this letter on the behalf of Company A, Saint-Petersburg, Russia in order to express our concern about the current status of business-relations between our company and Company B in Russia.
One of the primary conditions of our mutual agreement with Company B, Russia, touched the terms of obtaining distributor status. Initially it was agreed that Company A would become official distributor after selling Company B products for a total of 1,000,000 euros. Since then Company A has been successfully operating on the domestic market, distributing Company Bproducts on the territory of Russian Federation and demonstrating a steady growth of sales and rapid market expansion. Since the year 2007 we have sold dispensers, pumps and automatic tank gauging systems for the total of more than 5,000,000 euro, however, the situation with distributorship status remains unsolved and we are still not provided with any guarantees regarding this matter.
Another issue we are concerned about is the policy of Russian subsidiary of Company B in relation to market sharing. We regularly meet unfair competition due to the lack of standards of interaction between market players. Last month we held a meeting with representatives of Company B in Russia, as a result of which it was decided that Russian market would be divided into sales regions and Company A would get an exclusive right to sell Company B products in North-West region. However, there was no official confirmation of the decision and it has not come into force.
Company A has earned a reputation of a trustworthy company. We have never abused our partners’ confidence and we are convinced that we deserve to receive a distributor status in order for both sides to get all the benefits of partnership collaboration. Company B representative in Russia does not render assistance in resolving this matter.
Therefore we would like to direct your attention to the work of Company B Moscow office. We look forward to a mutually beneficial relationship and hope that business-relations will be developing on equal terms for everyone.
I have every faith therefore that you will do what you can to rectify this situation
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