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Privacy Policy
May 1st, 2005

Nautical Enterprises, Inc (NEI) respects our customers and their privacy. We respect the trust our customers and visitors have in us. Therefore, this online privacy statement tells you about the information NEI collects through the features and services available on our Web site, neiyachts.com, hsyacht.com and southwesternyachts.com (the "Site(s)"), how we use that information and how you can opt out of certain uses of information we may collect. By using our services and accessing our Site, you are consenting to the information collection and use practices described in this statement, as modified from time to time by us. If we decide to change our privacy statement, we will post a new statement on our Site and change the date at the top of the statement. Therefore, we encourage you to check the date of our privacy statement whenever you visit this Site for any updates or changes. Please see our Terms of Use for a more detailed legal explanation of our general online policies.

If you have any questions about our privacy statement or our use of your information you can e-mail us at info@neiyachts.com.

Information About You
We collect several types of information on our Site. We collect "Personal Information", which generally speaking is information that can be used to identify you individually, such as your name, age and address. We also collect "Non-personal Information", which is information about you that does not itself identify you individually. Examples of Non-personal Information include age range and gender. We also collect "Aggregate Information", which is information about use of our site, such as pages visited on our Site. The information we collect depends on what services and features you use on our Site. The following is a more detailed explanation of these types of information as well as when and how we collect and use it.

Registration and Transactional Data
When you register on our Site, we may collect various kinds of Personal Information including your name, e-mail address, home address, and home phone number. We also collect and store access information related to your account including visitor name and user password. If you conduct transactions from our Site, we may collect information such as product orders, shipping address(es), and credit card information.

Registration with NEI
When you register with us on the Site, you are required to submit an e-mail address (which is your user id for the Site) and password. Additional information may be included in your registration profile such as name, address and phone number. At registration, you are given the opportunity to specify your privacy preferences. As described below, you may change these preferences at any time.

Surveys
From time-to-time we may invite you to participate in surveys on our Site/e-mail newsletter. These surveys may request demographic information (such as age range, gender, areas of interest, and familiarity with NEI, Web site, products and services) and customer feedback. Participation in these requests is completely voluntary and with each request you will have the choice of whether or not to disclose information. Such survey information will be used to improve the overall experience on HSyacht.com.

Contact Us Correspondence
We may collect information that identifies you personally when you submit comments, questions or suggestions to our Service department using the Contact Us form or by email.

Tell-A-Friend
If a visitor elects to use our referral service for informing a friend about our site, we ask them for the friend's name and email address. NEI will automatically send the friend a one-time email inviting them to visit the site. This information is for the sole purpose of sending this one-time email [and tracking the success of our referral program]. The friend may contact NEI at info@neiyachts.com to request the removal of this information from our database.

Interactive Community Features
Our Site may have chat rooms, discussion boards, online forums and other interactive technologies that allow individual comments and messages to be tied to a visitor's name or e-mail address. Any information you post in such forums is public information and NEI can not control what uses third parties may make of personal information you share in such forums.

Resumes
If you are interested in applying for a job with NEI, we may collect your resume. Resumes you submit for job applications will not be used for marketing purposes.

Use of Your Personal and Non-Personal Information
Except as disclosed in this statement, we do not sell or disclose information that identifies our visitors personally or makes it possible for other parties to contact them directly without our visitors' consent. We may use, sell, disclose, or otherwise dispose of Personal Information we collect in the following circumstances:

Internal Analysis and Promotions
We may use information about you for our own internal statistical, design, operational purposes such as to estimate our audience size; measure aggregate traffic patterns; and understand demographic, customer interest, purchasing and other trends among our visitors and customers. We may also use your Personal Information for the marketing and/or promotion of our products or services. We may outsource all of these tasks to third parties on a confidential basis. If you do not want to receive promotional materials from us or third parties, click here to change your preferences.

Co-Branded Service Offerings
We may share this information with certain businesses with whom NEI has formed a strategic alliance. You may be able to identify these businesses because NEI has authorized them to display co-branded Web pages or links to NEI. These strategic partners are requested to clearly state their own privacy policies on their own Web sites or promotional materials. If you do not want to have your personal information shared with these businesses you may click here.

Transaction Processing
We may use your Personal Information to create a convenient shopping process that includes an online "shopping cart" that allows you to track selected products and proceed through purchase. Also we may share transactional information with entities as is necessary to process credit card payments or other purchasing or delivery systems.

Third-Party Offers
We may arrange to have marketing and promotional information of other companies sent to you that we think might be of interest to you. If you do not want to receive these materials, you may click here.

Legal Requirement
We may disclose personal information:
(a) to conform with the law, respond to claims or comply with legal process served on NEI (e.g., a lawful subpoena, warrant or court order);
(b) to enforce or apply our policies or agreements (including to initiate, render, bill, and collect for amounts owed to us);
(c) to protect and defend our or our user's rights or property, the Site, our employees, visitors or the public, including fraudulent, abusive, or unlawful use of, our Site; or
(d) if we reasonably believe that an emergency involving immediate danger of death or serious physical injury to any person requires disclosure of communications or justifies disclosure of records without delay.

Company Sale
Information collected through our Site is considered a trade secret of NEI. As the owner of such information, we may disclose or sell such information as an asset of the company in conjunction with the sale to a third party of our company or a portion of our assets.

Aggregate Information
We collect Aggregate Information about you and your use of our Site whenever you visit us online. For instance, we may collect various forms of "click stream" information such as entry and exit points for our Site (i.e., referring URLs or domains), site traffic statistics, page views, impressions, and operating system and browser type. In addition, when users request pages on our Site, our servers automatically log their IP addresses. An IP address is a number that is automatically assigned to your computer whenever you are surfing the Web.

We also use third-party software that tracks traffic directed to HSyacht.com from affiliate Web sites and the purchases that result from this traffic. This information is aggregated and is not tied to an individual purchase.

This Aggregate Information generally will not personally identify you or be correlated to you individually for external purposes. We may collect, compile, store, publish, promote, report, sell, or otherwise disclose or use any and all Aggregate Information, provided that, such information does not personally identify you. When we share such information with other companies, it is not traceable to any particular user, and will not be used to contact you. If we do correlate any Aggregate Information to you, such information will be treated like any other Personal Information under this statement.

Cookies
We may make use of "cookies" on our Site. Cookies are small text files that are stored on a user's computer by a Web server based on the permissions set in a user's browser software. A cookie itself is not designed or intended to read any information from a user's computer (other than the contents of the cookie); rather, it is an identifier used by the Web site that originally placed it on your hard drive. The actual contents of the cookie information can be retrieved by the same server to identify the computer and subsequently to customize, monitor, or regulate the use of a site based on information stored on the host server. Therefore, cookies only identify the user's computer to the Web site which may correlate other information, including personally identifying information, with the cookie.

We may use cookies to allow us to automate access and data entry functions of our Site such as to correlate online ordering information for purchases you may make while at the Site (if any), tailor the Site to your preferences or interests, or customize promotions or marketing. In addition, cookies allow us to track use of the Site to determine those areas which are useful or popular and those that are not thereby enabling us to improve and update the Site effectively.

You may adjust your Web browsers to either alert you of the use of cookies or refuse to accept cookies entirely. For Internet Explorer or AOL users, you can click on the "Start" button and then select Control Panel, Internet Options and the Security tab. If you click on the "Custom" button, you will be able to see the cookie options. For Netscape users, in the browser, select File, Preferences and then Advanced to view the cookie options. Be aware that if you elect not to accept cookies, the Site may not function properly or permit access.

Use of Clear .gifs, Web Beacons and Web Bugs
We may use clear gifs (a.k.a. Web Beacons/Web Bugs) on our site or other sites and may permit third parties to place them on our site to monitor the effectiveness of advertising or for other legitimate purposes. Clear gifs are tiny graphics with a unique identifier, similar in function to cookies, and are used to track the online movements of Web users. The main difference between the two is that clear gifs are invisible on the page and are much smaller, about the size of the period at the end of this sentence. Web beacons are often invisible to the user because they are typically very small (only 1-by-1 pixel) and the same color as the background of the Web page, document or e-mail message. Clear gifs are represented as HTML IMG tags in the Web page; users can click on "view profiles" of the Web page to see whether the page is using a clear gif.

Web beacons collect the IP address of the computer that the Web beacon is sent to, the URL of the page the Web beacon comes from and the time it was viewed. Web beacons can also be linked to personal information. For example, advertising networks use Web beacons to add information to a personal profile of what sites a person is visiting and to determine what banner ads to display based on the profile. Another use of Web beacons is to provide an independent accounting of how many people have visited a particular Web site. Web beacons are also used to gather statistics about Web browser usage at different places on the Internet.

Links to Other Sites
Please be aware that we provide links to third-party Web sites as a service to our visitors, and that we are not responsible for the content or information collection practices of those pages. Please note that these Web sites' privacy policies may differ from those of NEI. We encourage you to review and understand their privacy practices before providing them with information.

Children
Our Site is a general audience site that is not designed nor intended to collect Personal Information from children under the age of 13. To respect the privacy of children and to comply with the Children's Online Privacy Protection Act, children under the age of 13 should not provide any Personal Information on this Site. We request that parents supervise their children while online. Some areas of our site contain information or content about products that are inappropriate for children. These areas request the visitor to attest to his or her age.

Security
We use commercially reasonable efforts to store and maintain Personal Information to protect it from loss, misuse, alternation or destruction by any unauthorized party:

We encrypt order information, including credit card numbers, using Secure Sockets Layer (SSL) technology to ensure that our customers' information is safe as it is sent over the Internet to our server.

The Site uses reasonable security procedures to maintain the confidentiality of information. However, because the Internet is a public and open facility, no security measures can guarantee complete confidentiality under all circumstances. To help preserve your confidentiality, you are responsible for maintaining the confidentiality of your user name and password. This privacy policy statement does not create any contractual or legal rights on your behalf.

Access
You may change or delete your preferences on this site and from email communications. You can access your communication preferences on this page at any time and elect to receive or stop receiving information from us or any third party as described by this statement.

Opting-Out of Promotional Materials
As noted above, we may use your e-mail address and other contact information provided to us through the Site or from email communications to send you promotional materials from us or third parties. If you do not want to receive such promotional information, you can change your privacy preference and remove yourself from our e-mail list at any time:

If you receive email communications from our Site, please use the unsubscribe link contained in the email.

If you have NOT completed the registration process or are unable to locate the link, please e-mail your request to be removed to info@neiyachts.com.

Notwithstanding any preference that you select, we may contact you from time to time to provide services that you have requested or for customer service matters, such as responding to service-related inquiries, updating our policies, or notifying you of changes to existing services.

Contact Information
If users have any questions or suggestions regarding our privacy policy, please contact us at:

619-291-2600
9AM to 5PM PST
(Monday through Friday)
www.neiyachts.com

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