Page 36 - Gulf Coast Division - Training Manual 5 -18

PAGE NUMBER
Ben E. Keith Company POLICIES/PROCEDURES DOCUMENT NUMBER
4 of 8
501
DATE ISSUED
SECTION: 5.0 CREDIT 11/1/2005
SUBJECT: CREDIT POLICY ORIGINATING DEPARTMENT
CORPORATE

4.0 Credit Cutoffs (At the Credit Manager’s discretion any account may be placed on COD prior
to the cutoff dates listed below)

4.1 An OTO account must be placed on COD if any invoice becomes older than 7 days.

4.2 A NET 7 account must be placed on COD if any invoice becomes older than
14 days.

4.3 A NET 14 account must be placed on COD if any invoice becomes older than
21 days.

4.4 A NET 21 account must be placed on COD if any invoice becomes older than
28 days.

4.5 A NET 30 account must be placed on COD if any invoice becomes older than
50 days.

4.6 A Net 45 account must be placed on COD if any invoice becomes older than 55
days.

4.6 A NET 60 account must be placed on COD if any invoice becomes older than
70 days.

th
4.7 An EOM account must be placed on COD if any invoice becomes older than the 20
st
day of the following month. Ex. – on April 21 an EOM account must be placed on
COD if there are any March invoices open and unpaid.

4.8 A GOV account must be placed on COD if invoices for a month are not paid by the
last day of the following month. Ex. – a GOV account would be put on COD on
st
August 1 if any invoices for June had not been paid by July 31st.

5.0 Commission Reductions

5.1 At the end of each month, the Branch Credit Manager will print an end of the month
ageing report which will be used to determine any commission reductions.

5.2 The Branch Credit Manager will compute which accounts the DSR had that were
beyond their credit terms. The criteria will be as follows:
a. CASH or COD accounts with any balance older than 6 days.

b. OTO accounts with any balance 8 days or older.

c. NET 7 accounts with any balance 15 days or older.

d. NET 14 accounts with any balance 21 days or older.

e. NET 21 accounts with any balance 28 days or older.

f. NET 30 accounts with any balance 51 days or older.

REVISION DATE OF LATEST REVISION SUPERSEDES ISSUE DATED
07/01/2015 07/01/2015 07/01/2014
APPLIES TO
Entire Company Food Division Only Beer Division Only Other (see text)