NORFED Liberty Dollar Newsletter - January 2005

LIBERTY DOLLAR NEWS: January 2005 Vol. 7 No. 1 CALL TO ACTION: Welcome to 2005, the “Year of the Merchant”! And welcome all new readers, Associates, Merchants and RCOs! Please note the DEADLINE for the NEW Liberty Dollar Counter Mat in the first article. We have a limited number in our first test run. Don’t be left out, order right now. Then take a few Liberty Dollars, the Counter Mat, and the revised Merchant Script to your favorite Merchant. Let me know if your results are as amazing as ours! Read this whole Newsletter. Share the Liberty Dollar with your fellow Americans and get ready for another incredible year. TABLE OF CONTENTS:

HOT… HOT…HOT…Merchant Counter Mat
Revised: Merchant Script
Liberty Dollar University 5 is Happening!
CANADA is Open!
Is a RCO Right for You?
Advantages for You & the Merchant
Update: Free Market Investment Conference
New DVD of FMNN Interview
Incident of the Month
Question of the Month
Liberty Associate of the Month
Quote of the Month
HOT… HOT…HOT…Merchant Counter Mat SPECIAL INTRODUCTORY OFFER: Merchant Counter Mats only $10 until midnight on February 2.
Act fast! During the past month we have been locked into a very fast-paced development of the all new Liberty Dollar Merchant Counter Mat. Invented by Karl Reile, the RCO in Buffalo, New York, it has a short history and a long future. When Karl first tested his Merchant Counter Mat it increased acceptance of the Liberty Dollar 800%! That’s right, EIGHT TIMES! Simply put, there are not many ways a business can grow at an explosive 8X! Sure, Bill Gates did that very early on, but it would be impossible for him to even double now. The Liberty Dollar is in the same place. And you can ride along. NO! Don’t ride! Get in the driver’s seat… if you want to make some money. Just like Bill and his garage gang. If you were hanging out with them 25 years ago, you probably did pretty well. The Liberty Dollar may well offer the same potential. Anyway, as word spread about Karl’s Merchant Counter Mat, Ron Goodger, the RCO in Michigan couldn’t wait, so made his own. And although it was still small like Karl’s, Ron test-marketed it with his worst performing Liberty Merchant, the one who rarely did anything, and that Merchant “sold out” of Liberty Dollars the next day! Then, when I couldn’t get some for my RCO (note RCO article below) in Evansville, I was drawn into the fray. I immediately refined the message, started working on the cost, and made it larger. Now it

measures 11.5 X 15 inches! Initially, Karl’s Counter Mats were $65 each! And although a wonderful tool for the Liberty Dollar, they were just way too expensive for mass distribution. First, our garage gang substituted a high-resolution image of the currency in place of the actual $1, $5, and $10 Silver Certificates and cut $15 from our cost. Then, Karl’s brother Paul replaced the $130 per sheet Plexiglas with $30 per sheet PVC. We are now using $15 per sheet Styrene, and cutting more costs. Then we replaced the two $10 Silver Libertys with “Silver Thins” of only 0.010-inch thick silver! This saved about $14 and they look great! Each side of the Silver Liberty is specially minted with a special set of male/female dies just for the Counter Mat. The Silver Thins aren’t available separately. You can only get these special Silver Thin Libertys with the Counter Mat. Although there’s more development in the works, it now appears that it will be months before we can drive the price below $10 per Counter Mat. So we have scheduled our maiden first test run of the Merchant Counter Mats in two weeks. Right now we can put them in your hands for only $10 USD/ALD each plus S&H. And to denote this special first Limited Edition run, each Counter Mat will be numbered. The exact number we make will be limited to the total number ordered before Midnight on Wednesday, February 2, 2005. Sell them, loan them, or give one to your favorite merchant. But anticipate demand and multiply by TWO because it will be a month or more before we do another production run. So if you think you want one, get two. If you want 5, get 10. If you want 20, get 50! The bottom line is that the Counter Mat sits on your counter and makes you money! Want to see a Merchant Counter Mat? Go to www.LibertyDollar.org/CounterMat.asp . And remember, this offer closes at Midnight on Wednesday, February 2, 2005. All orders must be postmarked or ordered online by Midnight to get one (or more) of the first Limited Edition Merchant Counter Mats, which will actually be numbered because they are that special! Wait! There is more. We have upgraded the Merchant Display that holds the brochure with a matching Display Card with an image of Silver Liberty and dated 2005! You can get a 2005 Card for only $1.00 for each Counter Mat that you order. Extra Display Cards are still only $1.50 each. They look great and will definitely add to your success! PS: If there are any late-breaking developments as we rush towards our Test Run, in product or price, we will bring those to you also. In addition to having the best money, we want you to have the best collateral materials for maximum success. Good Luck! 2. Revised: Merchant Script In addition to the massive development that the Merchant Counter Mat will bring to the Liberty Dollar, the revised Merchant Script provides a One-Two Knockout Punch for exploding the Liberty Dollar in your area. Still not sure that a RCO is right for you? You don’t have to be a RCO to participate, but I would encourage you to read the RCO article below, and then contemplate your possibilities. If you ever wished you had hung out with Bill and his garage gang, you should be hangin’ with the Liberty Dollar right now! Please note this Merchant Script is REVISED. It is much better and more successful than the previous script. So please use this one: MERCHANT SCRIPT: ========================= [As this is a business call, appropriate dress is recommended.] The conversation usually starts with the merchant saying, “How can I help you?” RCO/Associate: “I want to tell you about a small merchant association in this area that can help you

compete with the large corporations surrounding you. It doesn’t cost anything to get involved, and if you follow the simple program, it will actually pull customers away from the big corporations and bring them into your store. Plus it will generate more profit for your business” Merchants are usually immediately interested, especially since it doesn’t cost them anything. Continue with, “Remember when you and I were in high school, we could take a dollar down to the gas station and buy four gallons of gas with it?” If they remember 25-cent gas, they say, “Yeah, but we’ll never see those days again.” Then say, “Well, guess what? That old, real Silver Dollar is now worth $10 and if you could use it at the gas station it would still buy four gallons of gas.” Then pull out a US Silver Dollar and show it to the Merchant. “Silver still has its value. It is the green paper that is now worth a lot less. That’s why it takes more of it to buy gas. As a matter of fact, if you think about it, you will realize that gas, groceries and most everything else has NOT gotten more expensive. It only seems that way because the value of the paper is worth less and less and so it takes more and more of the green paper money to buy the same goods. Most people look at the situation completely backwards. They think prices go up, but in reality it is the value of the green paper that is actually going down. Think about it.” Pause. Let the Merchant think about what you just said. This usually brings about the first glimmerings of understanding from the average person who knows his money doesn’t buy what it once did but doesn’t really understand why… The script is too long for the newsletter, but perfect length for a conversation! Please visit http://www.libertydollar.org/html/How_To_Approach.asp for the balance of this important Merchant Script. 3. Liberty Dollar University 5 is Happening! I am pleased to announce that Mr. Ron Goodger, our trailblazing RCO in Southwest Michigan, will be instructing Liberty Dollar University 5 (LDU5). Ron has not only developed a successful role model that he will share at LDU5, he will facilitate the type of leading-edge brainstorming sessions that LDU is also known for. Many of the developments that we enjoy and use today grew out of those sessions. But the main focus remains to teach (by example) how to make your RCO a profitable business. It is also available for any Liberty Associate who really wants to do more and find out what’s really involved before becoming a RCO. If you’re interested in the RCO Business Plan, then you are strongly urged to come to LDU5 and get your questions answered! Hey, this one is only $200 — a bargain price to check out a business opportunity. We feel so confident that you’ll love LDU5, and leave having more ideas and more need to exchange more Liberty Dollars (hint, hint) that we’re willing to give it to you at cost! Please call Michelle to sign up today. LDU5 is scheduled from Wednesday evening, March 16 through Friday, March 18 with a field trip to local merchants on Saturday, March 19, weather permitting. It is booked at the Days Inn Motel in South Bend, Indiana. Reservation and payment for LDU5 are required before March 9 through the Liberty Dollar office. Please call 888.421.6181 today to register. This one promises to be the best LDU yet! All travel expenses are the responsibly of the each attendee. At press time, rooms are $60 per night, but we trying to get a volume discount. Please call the Days Inn directly at 574.233.3131 for room reservations. Plus, if you live in the northern Midwest, LDU is well situated, as the Days Inn is right across from the airport you might be flying into. Chicago airport is about an hour away. LDU5 will convene after 6:00 PM on Wednesday, March 16th with a Meet/Greet at the restaurant next to the hotel and will include some opening remarks and the syllabus. It is the perfect time to meet Ron and myself, the other attendees, and get a feel for a dynamic learning experience. Class runs from 9:00

AM to 5:00 PM on Thursday and Friday. We usually dine together and more often than not discussions continue through lunch, dinner, and after dinner. The entire focus is on giving you the info you need to be successful, and to answer any questions you have. Field Trip on Saturday depending on the weather. Hope to see you there! 4. CANADA is Open! I am thrilled to announce that the Liberty Dollar can be imported to Canada without any duty! That’s right – no tax on Liberty Dollars going into Canada! Thanks for some great work by Darrell Hails, our newest RCO in Canada! He applied the NAFTA agreement to his recent shipment without paying any tax. Canada is now open to experience the same valued-backed currency that is available in the United States. While Canada leads the foreign countries in the number of Liberty Associates and Merchants, it has always been difficult to secure a steady supply of physical Liberty Dollars into Canada. Obviously, no problem with the digital. But man, people sure like the look and feel of the Silver Liberty. And I can’t blame them, as I am pretty fond of them too. So now you can call the Liberty Dollar office toll free from any place in Canada and get your Liberty Dollar shipped right to you. If you are in the Toronto area, then please contact Darrell Hails via 905.309.6679, [email protected] and coordinate your efforts with him, as he is the RCO for all orders within a reasonable distance from Toronto. RCOs usually have Liberty Dollars on hand and provide better service and lower shipping costs. Congratulations, and thank you Darrell for your fine development. May you lead the way to return Canada to an honest monetary system! Good Luck! 5. Is a RCO Right for You? During the first five years of the Liberty Dollar, the emphasis was placed on the consumer side of the economic equation and that effort was met with many successes. In July of 2003, Regional Currency Office Business Plan was introduced and the emphasis was moved to the merchant side of the economic equation. In short, the Liberty Dollar was re-introduced as “the ultimate local business referral currency” (a trade dollar). While consumers could impact a merchant or two per day of shopping, the merchant could impact dozens of consumers per day as they shop at the merchant’s store. And with the regional support of a profit driven RCO in the area, the new ‘business plan’ began to build a sustainable economic model. Are you keenly interested in the Liberty Dollar? Do you have business experience? Are you interested in doing more than just using the Liberty Dollar? Do you really want to make a difference and make more money too? A RCO gets the greatest discount on the Liberty Dollar and is the exclusive distributor of the currency to all the Merchants and Associates within their specifically defined region. To learn more about the potential for the RCO Business Plan in your life or to start growing a profitable RCO business for your retirement, please visit: http://www.libertydollar.org/html/rcofaq.asp and read all the links. In addition to the main page, of particular interest should be the links to “My $2500 Plan” and the “Forecasting Model”. When a RCO sounds right for you, please call the Office at 888.421.6181 and talk to Michelle Jones, the RCO coordinator. Of course the best thing to do is come to LDU5 and get a hands on feel for being a RCO. 6. Advantages for You & the Merchant Value-backed currencies are just that: value. It’s clear that the concept of value is integral to man and his nation’s social and political systems as well as its financial system. For every loss of value in one system, there is a corresponding loss in the other systems. As our national money has lost value, so

have those ******** in Washington. On the other hand, the Liberty Dollar, as the ultimate local business referral currency, is specifically designed to bring value to the community, stay in the community, and continue to circulate in the community for the advantage of the people and businesses in the community. The advantages of a community based, value backed currency provides the value that every individual wants and needs. Please add your own advantages as you contemplate the real advantages of the Liberty Dollar for you and your community. Advantages by the numbers:

Economic stability
Prosperity for people
Freedom from inflation
Safer storage of value
Greater financial privacy
Trusted basis for saving
Pride of truly owing your own money
Better control of your finances
Enhances local self-reliance
Encourages ecological sustainability
Stimulate local economies and employment
Profitability for people, not banks
Independence from current banking system
Improved social and political systems
Prevents large-scale, systemic failure
Disciplined government growth and control
Creates a stronger community for family and business
Provides solutions to economic and social difficulties
Insulates local economies from national economic trends
Allows a community or a region to set its own standards
Protection against a manipulated monetary system
Protection from the next national monetary crisis
Greater protection of individual rights and liberties
Returns the monetary power to the people
Provides a financial deterrent to war The Liberty Dollar puts people at the head of the money line so both businesses and consumers can profit. The Liberty Dollar returns the ownership of the money to the people as a means of returning control of the government to the people.

Advantages for Merchants are equally noteworthy:

PROFITABLE
EASY TO USE
TRAFFIC BUILDER
GROWS YOUR BUSINESS
ADDITIONAL INCOME
INCREASED ADVERTISING
BUILDS LOYALTY
CONTROLS ACCEPTANCE
FREE COLLATAL MATERIALS
VOLUNTARY
LOCAL CIRCULATION
REDEEMABILITY
REGISTRATION
LIMITED TAXES
MINIMUM RISK
PROTECTS THE EMPLOYEES
STRENGTHENS BUSINESS RELATIONS
USER FRIENDLY
HANDICAP FRIENDLY
SUPPORTS LOCAL COMMUNITY
LEGAL ALTERNATIVE
SEPARATES BANKING
PROTECTION FROM CRISIS
GREATER SECURITY
GOOD FOR THE COUNTRY Each of these points are detailed in the Merchant Liberty chapter of The Liberty Dollar SOLUTION to the Federal Reserve book.
Update: Free Market Investment Conference Last month we announced the Free Market Investment Conference in conjunction with Free Market News & Network (FMNN) in Pompano Beach, Florida. Towards that end, I organized a special lunch with Tony Wile, president of FMNN and Liberty Associate; David Morgan, the Silver Guru and another LA; Richard Daughty, the unmatched Mogumbo Guru; Ted Butler, well known writer and legendary researcher on silver and myself. We cut a few new videos and had a great time. But the outgrowth of the lunch was to create a digital Conference that could be provided to thousands of people, instead of a limited audience like the usual Conference. So I regret to inform you that the FMIC will not be held as planned. But stay tuned, it will be back, bigger and much better, and with even more

info that what would have been possible in a one-day conference. 8. New DVD of FMNN Interview Fortunately, Tony Wile has created an outstanding working Free Market News and Network that is complete with a top professional studio and production crew. And to make it even better it is just up the road from where I am wintering in Florida. So on a recent visit to FMNN, I did a half hour video interview by John St. George, which is now posted at www.FreeMarketNews.com. And if you don’t have high speed Internet connection then it is available for only $5 from the Liberty Dollar office. Currently, it is not on the shopping cart. So just call or email, and get the latest material on the Liberty Dollar. And you have not seen the complete Special: “Making Money” by the Learning Channel that featured the Liberty Dollar in addition to the US Treasury and the Federal Reserve, you can pick it up at the same time. 9. Incident of the Month Well, we must be getting more active, or maybe it is just a string of incidents. Regardless, please be on guard when confronted by any authority figure. Remain calm, know that you did not violate any law, and that most authorities are not well informed about monetary law. This month’s incident continues to be a replay of “it’s counterfeit”. But as we know from the Secret Service itself, “its NOT counterfeit”. So go forth, and know that you may run into such monetary ignorance (our real problem) and we can’t return our country to “just weights and measures” unless we take action. Good Luck! Hello, I'm Chris Hornbaker, a Liberty Associate - and have been since shortly after meeting Mr. von NotHaus at last year's Porcupine Fest. I recalled in the November 2004 Vol. 6 No. 1 issue of the LIBERTY DOLLAR NEWS saying to report incidents to NORFED, so here's mine. Note: Quotes are not exact, but the concepts are intact. On 01-12-05, a friend of mine, Lupo, went to a local restaurant (at a mall), placed an order, and attempted to pay with a Silver Liberty. The money was rejected due to it not being "legal tender." Since this took place in a mall, of which Lupo also works at, the owner of the burger joint came to Lupo's place-of-work asking if he had spent Silver Libertys at another business (a candy store), of which the burger joint owner also owns. (It was I who had spent one at the candy store.) The owner then informed Lupo that he was going to call the police on the grounds that Lupo was trying to spend "counterfeit" money. During Lupo's lunch break, he came to my place-of-work, informed me of what had transpired (ordered a sub, which he purchased with a Silver Liberty, of course), and I gave him a $10 FRN and a brochure in exchange for one of his Silver Libertys, for which to give the business owner -- in place of Silver Liberty that I had spent at the candy store. I, also, told Lupo that he should give the business owner my cell phone number and tell him where I work. Ditto for the police. Lupo returned to the mall, with the items, and handed the business owner them. The business owner refused to analyze the brochure saying, "Anyone can print one of these out." Lupo asked for the Silver Liberty back, to which the owner replied, "No, I'm keeping the coin to give to the police." He demanded the $10 FRN back in its place, to which the owner complied, also giving back the brochure. The owner informed Lupo that the police would arrive at the mall soon. The state police arrived and questioned Lupo, which went something like:

State Trooper: "Did you spend these anywhere else?" Lupo: "Yes, at Wendy's." State Trooper: "Did you get change back?" Lupo: "Yes." State Trooper: "Did you use it at Gardner's [candy store] or Bavarian [bakery] (both of which are owned by the same person)?" Lupo: "No." State Trooper: "Do you know who did?" Lupo: "Yes, Chris Hornbaker" Lupo gave the trooper my cell phone number, informed him of where I work, and that I'd be there for the whole day. The trooper proceeded to inform Lupo that he would contact the Secret Service and the FBI to see if it's counterfeit. The trooper added, before leaving, that if it is counterfeit, then Lupo and I would be charged with a felony. That's everything up-to now. As of yet, I have not been contacted by the trooper or any agent of the government. I expect to be contacted sometime before the week ends and, if you wish, inform you of what will have transpired. I hope I was informative enough for you. For Life, Liberty, and Property Christopher Hornbaker [Editor’s note: Chris was very informative and filed a good report with the, time, date, place, people involved, and a complete record of what happened. At press time, Chris has called the trooper who said no one had been in touch with him] 10. Question of the Month QUESTION: My wife has begun going door-to-door on the main streets of her hometown in northern New Hampshire attempting to sign up Liberty Merchants. In general the reception has been friendly and warm, with only a handful of flat-out "no way" reactions. Unfortunately all the rest of the merchants are still "thinking about it"; many shared a common concern: If we can't deposit it in the bank, how do we pay our bills? ANSWER: One of the best ways to open their eyes about the question of depositing money in the bank is simply to explain that when they give a Silver Liberty out in change to a customer they just kept a $10 FRN in their register! They can instantly see that they are exchanging a Silver Liberty for more FRNs and making an additional profit margin doing so. The next question commonly is: "What if I can't give them out in change?" The simple answer is: "You train your cash register employees to offer silver every time they make change and to make sure they tell the customer they can always come back anytime and spend them in your store." This should be an obvious customer referral improvement from anything they currently are using and it doesn't cost them anything to implement since you already have explained to them that if they can't give them out you are prepared to buy them back at face value. You don't have to tell them then that if this happens you will come in and re-evaluate their methods of giving the Silver Libertys out in change because they aren't doing it right if they have any left at the end of the week--but you will. Share the positive as well...I've seen guys in line behind me see that silver glint and before the cashier can put the Silver Liberty into the drawer the guy behind me was grabbing a candy bar and plopping a twenty on the counter just to get that Silver Liberty in change! You can then explain to them how you are prepared to track their growth and will make sure their

Silver Liberty inventory matches their growth needs. Tell them how you will be glad to deliver more rolls to them automatically on any day of the week they specify to keep their supply stocked up so they won't run out--just like any of their other vendors that deliver on a specific day of the week. Would they like to start with one roll or two? They have nothing to lose! There are already keeping some type of cash register profile and the Silver Liberty remains in the register at the end of each day as one new element of that profile and never was meant to go to the bank but rather was meant to keep more of their other sales receipts going to the bank and at the same time increase customer loyalty and word of mouth sales as others find out they can get silver in change at their store! WOW, what a great sales generator! Many thanks to Dan Rose, the first RCO in Mississippi, for addressing this question, which was posted on the Liberty Dollar group. If you are not on the Yahoo Group, you can sign up and get all your questions answered by the best people in the organization. Simply go to: http://www.libertydollar.org/ALDForum.asp and sign up. 11. Liberty Associate of the Month One of my most enjoyable parts of the Liberty Dollar is meeting the people who are attracted to it and its mission. I am constantly impressed with the quality of people who are willing to accept the challenges that the Liberty Dollar presents and still forges ahead like a “young Christian soldier”. Not that we are all “young” or “Christian”, or even a “soldier”, but I like to think that we are all together in one mission – to return our great country to “just weights and measures”. This month’s Liberty Associate is certainly all of those and a person of great quality in mind and spirit. He has exemplified the mind set and can do spirit that has brought much development to the Liberty Dollar. He became a RCO in a relatively unpopulated area and grown it into one of the best in the country. He has accepted the opportunity and a lot of work to be the instructor at Liberty Dollar University 5. It is for all these reasons, I am pleased to name Ron Goodger the Liberty Associate of the Month. Thank you Ron, for all that you have brought to the Liberty Dollar. I look forward to LDU5 and many years of your support. Congratulations! 12. Quote of the Month “A revolt of the judiciary is more dangerous to government than any other, even a military revolt. Now and then it uses military to suppress disorder, but it defends itself every day by means of the courts.” Tocqueville – ‘The Viking Book of Aphorisms' Closing Remarks: Volume 7, Number 1, says a lot. Thank you for supporting the Liberty Dollar. Regardless of your motive, your support is appreciated. Now in our seventh year, let us acknowledge our success and put our hope in the future for 2005. Many thanks to all the Liberty Associates, Merchants, and RCOs for your continued support. For it is only by banding together and adopting a free and independent currency, which provides its users with “just weights and measures” that we will be able to throw off the yoke of a manipulated monetary system and generate a peaceful and prosperous society. Thanks again for all your efforts to return America to value – one dollar at a time! Bernard von NotHaus Monetary Architect/Editor www.LibertyDollar.org