Dear Sirs, Thanks ____(1)___your letter. We are disappointed to ___ (2) ____that our price is too ____ (3) ____for you to accept. You mention that Japanese goods are being offered to you at a price approximately 10% ___ (4) ____ than that quoted by us. We accept what you say, but we are of the ____ (5) ____that the quality of the other makes does not measure up to that of our ____ (6) ____. Although we are keen to do ____ (7) ____ with you, we regret that we cannot accept your counter ____ (8) ____ or even ____ (9) ____you half way. The best we can do is to ____(10)____ our previous quotation by 2%.We trust that this will meet with your approval. Yours truly,