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ENGAGEMENT LETTER

To. Mr. Larry Lancaster

President of Apple Blossom Cologne Company

You have asked us to audit the balance sheet date and income statement for changes in equity and cash
flow statements for the year then ended. this letter confirms our acceptance and our understanding of
this agreement we will carry out with the aim of expressing our opinion on the financial statements.

We will conduct an audit based on Auditing standards established by Internasional Financial Reporting
Standard. These standards require us to plan and carry out audits in order to obtain adequate
confidence that the financial statements are free from material misstatements. an audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements.
The audit will also include an assessment of the accounting principles used and significant estimates
made by management, as well as an evaluation of the overall financial statement presentation in
accordance with the IFRS provisions issued by the Indonesian accountant association. our opinion on
these financial statements is dependent on the results of the application of the audit procedures that we
will carry out. Therefore, we do not provide guarantees that we can provide an unqualified opinion on
the financial statements mentioned above.

As part of the audit process we will conduct requests for information from management regarding
management statements presented in the financial statements. We will also ask for a client management
written statement that explains that the presentation of financial statements is the responsibility of
management and other written affirmations to confirm several statements made by management to us
during our audit process. Management's response to our statement of request and the acquisition of a
written statement from management is required by the Auditing standard as part of the audit evidence
that we will rely on as a basis for providing an opinion on the financial statements. because of the
importance of the management's statement the company agreed to release and compensate to Apple
Blossom Cologne Company and its staff for all claims, obligations and costs to be incurred as a result of
the remedy for management's misstatement relating to the audit services we provide in accordance with
this engagement.

Our audit carries the inherent risk that if there are material errors and irregularities including fraud or
forgery it might not be detected. But if we find any of these things in the audit, we will convey the
information to you.

In addition to our audit report on the financial statements, we will submit a separate letter about the
significant weaknesses in internal control that we found in our audit.

We remind you that the responsibility for preparing financial statements including adequate disclosures
is the responsibility of the Company's Management. This responsibility also includes the administration
of accounting records and adequate internal control of the selection and application of accounting
policies and safeguarding the security of company assets as part of the audit process. We will request
written confirmation from you about the representations that you made for us in the framework of the
audits we conducted.

We expect full cooperation from your staff and we are sure that they will provide the records,
documentation, and other information that you need in the framework of our audit. Based on
discussions about the company's operations and our audit planning we estimate $ 15.000 plus direct out
of Pocket expense and value added tax. We calculate this fee based on the time required by the staff that
we are assigned to carry out this audit and the hourly rates of staff that we assign vary according to the
level of responsibility assumed and the experience and expertise required. we will bill this amount
according to the progress of our work. This audit engagement letter will be effective for years to come
unless it is terminated, modified, or replaced.

please sign and return a copy of the attached audit engagement letter showing your agreement on the
audit arrangements for the above financial statements.

Thank you for the opportunity you gave us to provide audit services for you.

December 29, 2003

Mr. Larry Lancaster Anderson Olds Waterslied

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