Effective Date: June 15th, 2022

1. Method of Calculating Payouts to Creators

1.1 Payouts made to each Creator for selling services (subscription services) (“Payouts”) are calculated as the sum of the Creator’s amount of contribution per user of a class subject to the monthly settlement of account, obtained using the following formula:

Provided, however, play of class videos that are provided free of charge, in whole or in part, shall not be included when calculating the Percentage of Enrollment Time (%).

1.2 The Service Plan Rate is as provided below:

1.3 The Subscription Service Fee of a user that did not play any portion of the class after subscribing to the subscription service will not be included in the RSP.

1.4 Payouts for classes that are sold individually shall be calculated in accordance with a separate contract.

1.5 Rewards from the Company’s affiliate program may be paid in addition to the Payout. Fees for the usage of works (fees for use of music, etc.) payable to the copyright owner (including companies entrusted with the management of copyrights) may be deducted from the Payouts according to class type and service plan.

2. Date of Notification of Account Settlement Details

The Company will notify the first Payout details within 2 months from the initial class launch date (i.e., the date that 1 or more class video clip or chapter which is defined as the minimum unit comprising of a class has opened, except for previews) and notify any subsequent Payout details on the 1st day of every month thereafter. The Creator must provide written consent within 7 calendar days from the date of receipt of the Payout details. The Company will also provide a separate notice to individual Creators that the Creator’s failure to deliver timely consent will be deemed that the Creator consented to the Payout details. Accordingly, a Creator’s consent to the Payout details will be assumed if the Creator fails to deliver its consent in time.

3. Account Information and Payment Date

The Company will initiate remittance of the applicable Payouts by wire transfer to the Creator’s bank account registered in the Creator Center within 25 calendar days following an applicable Payout detail notification date. The Company may request the Creator to issue documents such as tax invoices for accounting purposes or compliance with the relevant laws, in which case, the Company may withhold payments until the Creator issues the requested document.

4. Miscellaneous

4.1 Payouts to Creators residing outside of Korea may be made by the Company’s local subsidiary, and the remittance fees and transaction fees shall be borne by the Company. Inbound wire transfer fees for bank accounts outside of Korea, and taxes in accordance with relevant local laws shall be borne by the Creator.

4.2 If the Creator's bank account is issued by a bank located outside of Korea, the Payout amount will be paid only when the accumulated Payout amount exceeds USD $50 (JPY ¥5,000) due to the wire transfer fees.