Lester：We're having some quality-control problems， Jim. We need to go to the source to work them out.
Jim：What problems are you having， exactly?
Lester：The complaint rate for our new product line is very high， almost seven percent.
Lester：Yes. We keep finding problems when testing the boards.
Jim：But your promotional materials claim the boards are the least expensive of their type on the market.
Lester：The least expensive， but still fully functional. And we think that your factory needs to take measures to improve quality control.
Jim：That will involve additional expenses for us， which we'll have to pass on to you as a rate hike.
Lester：I'm afraid that's unacceptable. Your contract says that you will deliver a product with a reject rate of less than five percent.
Jim：Well， I'll tell you what， Mike. I'll review the contract and talk with management. Then we'll get together and hash this out.