The following Terms and Conditions of Sale are established byZamil Steel Industries, Saudi Arabia, hereinafter referred to in thisdocument as Zamil Steel, to govern the sale of Pre-EngineeredBuildings that are processed through Zamil Steel Industries, SaudiArabia.

1. PLACING ORDERS

Orders are normally placed after Zamil Steel submits a writtenproposal (also known as quotation or offer) to its customer.Quotations may be revised until all technical and commercialmatters are agreed upon by both the customer and ZamilSteel.

Once all matters are agreed upon and are included in afinal revised Zamil Steel proposal, the clients authorizedrepresentative and Zamil Steels authorized representative mustsign a standard contract. A blank form of this contract isattached to all Zamil Steel proposals.

2. ACCEPTANCE OF ORDERS

Only signed and dated contracts are accepted at Zamil Steel.Accepted orders are entered in a sales register maintainedby the Order Management Department.

The Order Management Department will put orders that areincomplete on hold until corrective action is taken. Customersare informed of "On Hold" status through the Zamil Steelsresponsible Area Offices.

3. STANDARD PAYMENT TERMS

3.1 Letter of Credit

Payment of the full contract price shall be by an irrevocableletter of credit (L/C) confirmed by the negotiating bank inSaudi Arabia. The validity period for the L/C is to beestablished at the time of signing the contract. The minimumvalidity period of the L/C shall be 90 days for shipment and111 days for negotiation. For example, if the latest date forshipment is the 1st of January then the L/C expiry date shouldbe the 22nd of January.

3.2 Correspondent Banks

Following is a list of Saudi correspondent banks, their addressesand Zamil Steel account numbers. L/C openers are free tochoose any of these banks.

National Commercial BankP.O. Box 5558Dammam 31432, Saudi Arabia.Phone (9663) 834 0088, Fax (9663) 834 1124Telex 801116 NWAFAD SJSwift No. NCBKSA 333Account No. 05610001040107

Saudi Hollandi BankP.O. Box 170Dhahran Airport 31932, Saudi ArabiaPhone (9663) 894 8001, Fax (9663) 864 5644Telex 871085 BSHC SJAccount No. 013-139-029-119

AlBank AlSaudi AlFransiP.O. Box 2792

Dammam 31411, Saudi ArabiaPhone (9663) 825 1588, Fax (9663) 898 5508Telex 801164 SAFDAM SJAccount No. 21173800103(Saudi Riyals)

21173800297 (US Dollars)Saudi British BankP.O. Box 1618Dammam 31411, Saudi ArabiaPhone (9663) 833 1553, Fax (9663) 832 1916Telex 801314 SABB SJAccount No. 044-054443-001 (Saudi Riyals)

044-054443-080 (US Dollars)Saudi American BankP.O. Box 842Al-Khobar 31952, Saudi ArabiaPhone (9663) 865 8271, Fax (9663) 865 8277Telex 870411 SAMBA SJAccount No. 106202278

Arab National BankP.O. Box 18Dammam 31411, Saudi ArabiaPhone (9663) 832 3440, Fax (9663) 834 7309Telex 801032Account No. 0116000204900

Al Rajhi Banking & Investment CorporationAl-Khobar Main Br. No. 139P.O. Box 1362Al-Khobar 31952, Saudi ArabiaPhone (9663) 864 3525, Fax (9663) 864 3525 x 225Telex 871100 SJAccount No. 55/6

Riyadh BankP.O Box 274Dammam 31411, Saudi ArabiaPhone (9663) 833 5733, Fax (9663) 832 1056Telex 801127 RYDX SJ

The Saudi Investment BankP.O. Box 1581Al-Khobar 31952, Saudi ArabiaPhone (9663) 894 4777, Fax (9663) 895 2268

United Saudi BankP.O. Box 43Al-Khobar 31952, Saudi ArabiaPhone (9663) 833 0515, Fax (9663) 832 9528

Saudi banks, other than those mentioned above, can be used,provided they add their confirmation. Nevertheless, all L/Csopened by banks outside Saudi Arabia must be confirmedby a Saudi bank.

3.3 Supply C&F Job Site, Overland Shipment(Saudi Arabian Destinations)

The L/C value should be payable according to, and againstpresentation of, the documents specified hereinafter:

Down payment of 25% of the L/C value is to be paid uponthe receipt of the L/C and against presentation of thebeneficiarys (Zamil Steel Industries) sight draft & commercialinvoice to the negotiating bank.

Balance of the L/C to be paid against presentation of:

Sight draft.

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Commercial invoice. Packing list. Trucking consignment note issued by the TRUCKING

COMPANY confirming the receipt of material for furtherdelivery to the job site.

Other Terms:

a) Partial shipment must be allowed.b) Negotiating / Advising banks charges are to the

beneficiarys account while the Opening / Issuing bankscharges are to the openers account.

3.4 Supply C&F Job Site, Overland Shipment(Other Middle East destinations)

The L/C value should be payable according to and againstpresentation of the documents specified hereinafter:

Down payment of 25% of the L/C value is to be paid uponthe receipt of the L/C and against presentation of thebeneficiarys (Zamil Steel Industries) sight draft & commercialinvoice to the negotiating bank.

Balance of the L/C to be paid against presentation of:

Sight draft drawn on confirming bank. Commercial invoice. Packing list. Trucking consignment note issued by the TRUCKING

COMPANY confirming the receipt of material for furtherdelivery to the job site.

Certificate of origin (in Arabic) issued by the Ministry ofCommerce (Saudi Arabia).

Other Terms:

a) Partial shipment must be allowed.b) Negotiating / Advising banks charges are to the

beneficiarys account while the Opening / Issuing bankscharges are to the openers account.

c) Negotiating bank must add its confirmation.d) The original documents (the most common of which are

the commercial invoice, packing list, trucking consignmentnote and certificate of origin) are to be hand carried bythe truck driver for border customs clearance. Duplicatecopies of the same shall be acceptable for negotiation.

3.5 Supply Ex-Works Factory in Dammam

The L/C value should be payable according to and againstpresentation of the documents specified hereinafter:

Down payment of 25% of the L/C value is to be paid uponthe receipt of the L/C and against presentation of thebeneficiarys (Zamil Steel Industries) sight draft & commercialinvoice to the negotiating bank.

Balance of the L/C to be paid against presentation of:

Sight draft drawn on negotiating bank. Commercial invoice. Packing list. Material dispatch note issued by the beneficiary and

countersigned by the truck driver confirming receipt ofmaterials. OR,

Telex sent by beneficiary to openers through thenegotiating bank, 7 to 10 days prior to shipment date,informing the bank that the material is ready for shipment

and requesting the bank to make arrangements forcustomer pickup.

In the event that trucks are not made available on thedue shipping date, beneficiary is allowed to submitcopies of invoice, certificate of origin (if applicable), andpacking list to the negotiating bank for negotiation, addinga letter stating that:

"Openers have not provided trucks to collect the material.Material will remain in the beneficiarys custody for furtherhanding over to L/C openers".

Other Terms:

a) Partial shipment must be allowed.b Negotiating / Advising banks charges are to the

beneficiarys account while the Opening / Issuing bankscharges are to the openers account.

c) Negotiating bank must add its confirmation.d) Original documents (the most common of which are the

commercial invoice, packing list, and material dispatchnote) are to be hand carried by the truck driver andduplicate copies of the same shall be acceptable fornegotiation.

3.6 Supply C&F Destination Port, Sea Shipment(All Destinations)

The L/C value should be payable according to and againstpresentation of the documents specified hereinafter:

Down payment of 25% of the L/C value is to be paid uponthe receipt of the L/C and against presentation of thebeneficiarys (Zamil Steel Industries) sight draft & commercialinvoice to the negotiating bank.

Balance of the L/C to be paid against presentation of:

Sight draft drawn on negotiating bank. Commercial invoice. Packing list. Bill of lading. Certificate of origin, in either English or Arabic, issued by

the Ministry of Commerce (Saudi Arabia).

Other Terms:

a) Partial shipment must be allowed.b) Transshipment must be allowed.c) Negotiating / Advising banks charges are to the

beneficiarys account while the Opening / Issuing bankscharges are to the openers account.

d) Negotiating bank must add its confirmation.

3.7 Supply FOB Dammam Port, Sea Shipment(All Destinations)

The L/C value should be payable according to and againstpresentation of the documents specified hereinafter:

Down payment of 25% of the L/C value is to be paid uponthe receipt of the L/C and against presentation of thebeneficiarys (Zamil Steel Industries) sight draft & commercialinvoice to the negotiating bank.

Balance of the L/C to be paid against presentation of:

Sight draft drawn on negotiating bank. Commercial invoice.

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Department.

4.3 When approval is required, two (2) sets of drawings areprovided free of charge to the customer of which one setmust be signed by the customer and returned to Zamil Steelsresponsible Area Office "Approved As Is" or "Approved AsNoted". Additional sets are available for a fee of SR 300 (US$80) per set.

4.4 The information presented in the approval drawings ispreliminary in nature and is not to be used for the purposeof setting anchor bolts, design of foundations and otherconstruction activities.

4.5 The approval of these drawings shall be accepted by ZamilSteel only in the form of the customers (or his authorizedrepresentatives) signature within the "Approval" stamp placedby Zamil Steel on its approval drawings. Approval by anyother means shall not be accepted by Zamil Steel.

4.6 Signed approval drawings shall be final and binding.

4.7 Jobs that have been "Out For Approval" for more than 60days will be subject to the pricing schedule that is in effectat the time the approval drawings are returned to Zamil SteelOrder Management Department. Zamil Steel reserves the rightto cancel orders that have been "Out For Approval" for morethan 90 days (the customer shall be responsible for ordinarycancellation and engineering costs).

4.8 Comments on returned approval drawings, which change thepreviously agreed upon scope of work, must be in RED INKand covered by a change order that is duly signed andaccepted by the customer.

4.9 Approval drawings for standard buildings are normallysubmitted within 2 weeks. More complex buildings requirelonger submittal time for approval drawings.

4.10 Approval drawings should be returned to Zamil Steels AreaOffice / Head Office within 2 weeks after receipt by thecustomer. Delay in returning approval drawings may affectthe overall project cycle including delivery of the steel to thejob site (or port of entry).

5. DESIGN CALCULATIONS (Optional)

5.1 For jobs requiring approval, the structural design calculationsmay be included with the approval drawings, if requested.

5.2 Two (2) sets of structural design calculations are providedfree of charge. Additional sets are available for a fee of SR150 (US$ 40) per set.

5.3 Standard structural design calculations include:

a) Material specifications & design assumptions.b) Design of the primary & secondary structural framing.c) Wind bracing design.d) Column reactions.

5.4 Additional engineering fees may be levied for designcalculations, which require more analysis than what is includedin the standard calculations.

6. DESIGN CERTIFICATES

A design certificate attesting to the structural design integrityof a Zamil Steel building, signed and stamped by a U.S. (United

Packing list. Bill of lading showing "freight collect". Certificate of origin, in either English or Arabic, issued by

the Ministry of Commerce (Saudi Arabia). Trade terms to read as FOB any Saudi Port.

Other Terms:

a) Partial shipment must be allowed.b) Negotiating / Advising banks charges are to the

beneficiarys account while the Opening / Issuing bankscharges are to the openers account.

c) Negotiating bank must add its confirmation.d Openers to arrange with the shipping lines to issue Bill of

Lading showing "freight collect".

3.8 Supply & Erection Contracts(Saudi Arabian Contracts only)

Minimum validity of L/C shall be 180 days.

The L/C value should be for the total amount of the supplyand erection prices.

Payment for Supply:

The supply C&F job site value should be payable as follows:

Down payment of 25% of the supply C&F job site value is tobe paid upon the receipt of the L/C and against presentationof the beneficiarys (Zamil Steel Industries) sight draft &commercial invoice to the negotiating bank.

Balance of supply price C&F job site to be paid againstpresentation of documents specified hereinafter:

Sight draft drawn on negotiating bank. Commercial invoice. Packing list. Truck consignment note issued by the TRUCKING

COMPANY confirming receipt of material for furtherdelivery to job site.

Other Terms:

a) Partial shipment must be allowed.b) Transshipment must be allowed.c) Negotiating / Advising banks charges are to the

beneficiarys account while the Opening / Issuing bankscharges are to the openers account.

d) Negotiating bank must add its confirmation.

Payment for Erection

Erection value to be paid against time drafts (dates to bedetermined according to the erection period) all of whichare payable with respect to the shipment date.

4. APPROVAL OF ZAMIL STEELDRAWINGS

4.1 When requested by the customer or considered necessaryby Zamil Steel, approval drawings shall be prepared to ensurethat the Zamil Steel interpretation of all the customersrequirements is accurate.

4.2 If the building is tied up to an existing building, Zamil Steelwill not issue approval drawings until a report from a certifiedsurveyor is received at Zamil Steel Order Management

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States) registered professional engineer, may be furnished (atno cost) in lieu of the design calculations.

7. CHANGE ORDERS

7.1 Changes in the requirements, after a contract is signed andaccepted, requires the client to sign a change order letter,prepared by Zamil Steel, which describes the change(s) andthe impact the changes may have on price and/or delivery.No further action will be taken by Zamil Steel until a changeorder has been signed as accepted by the customer.

7.2 The price of fabricated components, made obsolete due to achange order that is initiated after the start of fabrication,will be charged to the customers account.

8. JOB ON HOLD

8.1 All costs incurred when a job is placed "On Hold" by thecustomer, after the start of manufacturing, will be to thecustomers account.

8.2 A job that is not released for production within 90 days fromthe date of its entry in the sales register, for whatever reason(including lack of technical clarification), will be put "On Hold".Zamil Steel reserves the right to re-price such a job accordingto the price rates that are valid at the time of release from its"On Hold" status.

9. MATERIAL DISPATCH

9.1 The material dispatch commitment is measured, in weeks, fromthe date of the latest receipt and acceptance, at Zamil Steeloffices of all the following job related documents:

Signed contract. Acceptable letter of credit / final accepted amended L/C. Final change order including any amendments to L/C price. Approval drawings signed as "Approved As Is" or "Approved

As Noted", where applicable.

9.2 Production and dispatch schedules shall be determined whenall of the following is fulfilled:

Receipt of the final "Approved As Is" or "Approved AsNoted" approval drawings at Zamil Steel offices, whereapplicable (see item 4).

Receipt and acceptance of the final change order, whereapplicable (see item 7).

Release to production by Zamil Steel Finance Department,i.e. financial clearance.

9.3 Zamil Steel Order Management Department regularly notifiesZamil Steel Area Offices of all production and dispatchschedules for jobs entered by their offices.

10. ERECTION DRAWINGS

10.1 The standard erection drawings package shall consist of one(1) set sent to the customer, via the Zamil Steel responsibleArea Office, and one (1) set dispatched with the materials.

10.2 When erection is by Zamil Steel the package shall consist ofone (1) set sent to the customer via the Zamil Steel responsibleArea Office and one (1) set provided to Zamil Steel erectionteam.

10.3 Additional sets of erection drawings may be supplied onrequest for SR 300 (US$ 80) per set.

10.4 If specifically requested, one set of "As Built" drawings willbe supplied to the customer (free of charge) after erection iscompleted. "As Built" drawings shall incorporate changes madeduring erection (if any) provided that such changes are notifiedin writing to Zamil Steel after completion of erection.

11. SPECIFICATION CHANGES & MATERIALSUBSTITUTION

When a standard inventory item is out of stock or when productdevelopment improvements necessitate it, Zamil Steel reservesthe right to substitute material equivalent to that originallyspecified.

12. DESIGN AND SUPPLY EXCLUSIONS

12.1 Zamil Steels supply includes only materials, which are clearlydescribed in its proposal under "Building Description" and"Standard Supplied Material" or covered by written, acceptedand signed change orders.

12.2 Zamil Steel does not supply, nor does it accept responsibilityfor the design or construction of column footings, groundslabs, tie beams, masonry walls and other concrete works.

12.3 Zamil Steel does not supply, nor does it accept responsibilityfor plumbing services, electrical services, air conditioningservices, or any other material or service not specified in thefinal accepted proposal, contract or change order.

13. PERMITS AND FEES

13.1 It is the customers responsibility to obtain and pay for allbuilding permits, licenses, public assessment, prorated utilities,utility connections, occupancy fees and any other feesrequired by any government authority in connection withthe work provided for in the contract.

13.2 The customer shall provide, at his expense, all plans andspecifications required to obtain the building permit, exceptthose plans to be furnished by Zamil Steel.

13.3 It is the customers responsibility to ensure that all the plansand specifications, including those produced by Zamil Steel,comply with the applicable requirements of all the governingbuilding authorities.

13.4 If erection is to be by Zamil Steel erection team, a copy ofthe building permit must be provided to Zamil Steel, by thecustomer, prior to the commencement of work. If erection workhas to be deferred due to building permit problems, the costof such stoppages, standing time or demobilization shall becharged to the customer.

14. INSPECTION OF FABRICATEDMATERIALS

14.1 Zamil Steel, an ISO 9001 certified company, has a standardQuality Plan, which outlines the quality control proceduresthat are followed during the production and shipment of itsproducts. This plan describes the sampling techniques, typesof tests conducted, control procedures and reporting formatused in the production of all manufactured components.

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must be provided by the customer.

18.2 The customer is solely responsible for the condition of thejob site as far as the safety of the trucking company driverand Zamil Steel material is concerned.

18.3 The customer is responsible for accurately checking thematerials upon arrival and unloading. Any discrepancies mustbe noted on the material dispatch note.

18.4 A receiving representative of the customer cannot refuse toaccept an entire shipment because some portion of thatshipment is damaged or missing.

Damaged materials must be noted on the material dispatchnote and reported to the responsible Zamil Steel Area Officeimmediately.

19. ERECTION OF BUILDINGS(Supply Only Contracts)

19.1 The customer shall be fully responsible for the quality oferection of Zamil Steel buildings when the erection is notcarried out by Zamil Steel.

Zamil Steel assumes no liability for, and the customer shallhold Zamil Steel harmless on account of, any defects in theerection of buildings or such defects as loose connections,missing parts, roof leaks, damaged sheets, omission of sealer,scratched surfaces, poor alignment, inadequate drainage anddefects caused by others. The customer shall permit ZamilSteels personnel to inspect the erection work at any timeduring the erection process.

19.2 Although Zamil Steel appoints only competent contractors asCertified Builders, Zamil Steel is not responsible for the qualityof erection made by these builders. Zamil Steel CertifiedBuilders are independent contractors who are certified byZamil Steel due to their knowledge and experience in pre-engineered steel buildings erection and contracting practices.

20. ERECTION BY ZAMIL STEEL

20.1 Zamil Steel erection team shall undertake building erectiononly on a clear, levelled and unobstructed concrete slab, withsuitable access for trucks and erection equipment. A 6 mwide access shall be provided around each building forstorage, setting out and erection of the building. The groundof all working areas shall be suitably compacted, for the useof forklifts or cranes.

20.2 Prior to the arrival of Zamil Steel erection team on site, theanchor bolts are to be accurately set by others. Anchor bolts,set in place shall have appropriate nuts and washers installedon cleaned threads.

20.3 Zamil Steel erection team may check the position and levelof the anchor bolts prior to the pouring of the concretefoundations. This does not absolve the contractor from hisresponsibility for accuracy. Any rework required due tomisplacement of anchor bolts or faulty concrete shall be theresponsibility of the customer.

20.4 If erection is delayed due to the non-completion of civil works,or other causes, Zamil Steel shall not be responsible for thedeterioration of the primer paint, or the cleaning of themanufactured steel after delivery to site.

20.5 If, at the sole discretion of Zamil Steel erection team, erection

The approved procedures described in this Quality Plan aremaintained within Zamil Steel Quality Control Department.

14.2 Inspection of Zamil Steels products at Zamil Steel plant by acustomer, or by his authorized representative, (if required bya specific supply contract) may be arranged. Such inspectionwill be scheduled after receipt of a written request for suchinspection by the customer. Inspections will be arranged insuch a manner so as not to delay production and / or shipment.In the event that the customer or his representative fails toconduct inspections as scheduled, the goods shall beconsidered "Released By Concession".

15. MATERIAL DISPATCH ADVICE

15.1 Upon dispatch, Zamil Steel Shipping Department advises ZamilSteel responsible Area Office of the actual dispatch date.

15.2 The customer will be notified of the actual dispatch by ZamilSteel responsible Area Office immediately upon the dispatchof material from Zamil Steel factory.

16. PARTIAL SHIPMENTS

16.1 On large jobs, it is Zamil Steel standard practice to makepartial shipments.

16.2 When partial shipments are made, Zamil Steel shall endeavorto ship erectable steel to enable erection to proceed smoothly.

16.3 When partial shipments are requested and accepted by ZamilSteel, each shipment will be assigned a prorated value of thedispatched materials that is claimed according to the acceptedterms of payment covering the total job value.

17. CUSTOMER PICK-UP SHIPMENTS

17.1 Zamil Steel does not accept Customer Pick-Up shipment forsea shipments.

17.2 Zamil Steel prefers to make all overland shipments by contractcarrier; the customer may pick-up the material provided thatthe procedures noted in section 17.3 to 17.5 are observed.

17.3 The customer must obtain an assigned loading date and timefrom Zamil Steel Order Management Department.

17.4 The customer must provide suitable trailers for loading byZamil Steel. Zamil Steel cannot load closed van trailers andtrailers with sidings.

17.5 The customers driver must check and sign a receipt for theZamil Steel materials.

17.6 Customers who are not familiar with Zamil Steels customerpick-up procedures should request this information from theresponsible Zamil Steel Area Office.

18. UNLOADING OF MATERIAL AT JOBSITE FOR OVERLAND SHIPMENTS(Supply Only Contracts)

18.1 Unloading of trucks at job site is the responsibility of thecustomer. The customer is expected to provide suitableequipment for unloading the material. If a site is inaccessibleor not ready to accept the material, another site for unloading

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takes place on footings and beams prior to pouring of theconcrete slab, Zamil Steel shall not be responsible for anycleaning of the steel columns or cladding after pouring ofthe concrete slab.

20.6 Zamil Steel shall not be responsible for the repair of damageto building components caused by others.

20.7 Any repairs necessary shall be undertaken only after thereceipt by Zamil Steel erection team of written acceptance ofthe charges, in the form of a change order, from the customer.

20.8 Any deviation from these standard erection conditions shallbe subject to price review.

20.9 Zamil Steel reserves the right to subcontract part or all of itserection contract to qualified contractors who will executethe job professionally and in accordance with Zamil Steelsstrict erection requirements.

21. SHORTAGE OF MATERIALS

21.1 On contracts where a material consignment is received onsite by anyone other than Zamil Steel erection team, thecustomers (or his representatives) dated signature constitutesa formal acknowledgment of the correct receipt of theconsignment for both quality and quantity.

21.2 It is the customers (or his representatives) responsibility tocheck the materials before signing and dating acceptanceon Zamil Steels material dispatch note.

21.3 Claims of shortages shall only be accepted by Zamil Steel ifreceived in writing within seven (7) days of the date of theacceptance signature.

21.4 If, after receipt of such claims, Zamil Steels bills of materialsand shipping lists are found to be correct, replacement materialshall be supplied only after receipt of the customers (or hisrepresentatives) written acceptance of the additional ex-workscosts and delivery costs for such replacement material.

21.5 Zamil Steel shall not accept any consequential claims orliabilities alleged to arise from losses or shortages.

22. FIELD MODIFICATIONS

22.1 Minor field modifications and adjustments, in any pre-engineered building, are to be anticipated. Minor field workdoes not constitute grounds for backcharges. This field workshould be provided for within the contingency element ofany construction estimate.

22.2 Only repairs due to major fabrication errors may be cause forfiling a claim. Such repairs shall only be undertaken afterconsultation and consent of Zamil Steel.

23. COMBINED SHIPMENTS

Zamil Steel is occasionally obliged to include a small quantityof material (back-order or urgent material request) consignedto a customer within a shipment destined to another customerin the same metropolitan area or territory. All customers benefitfrom this mutual cooperation.

24. STORAGE

24.1 Zamil Steel shall store, free of charge in their open yards, any

or all the materials, for a contract, for a period not exceeding10 days from the scheduled dispatch date.

24.2 Should a customer delay dispatch of goods for a periodexceeding 10 days after the originally scheduled dispatchdate, STORAGE CHARGES shall be levied by Zamil Steel, atthe rate of 0.1% of the ex-works selling price (of the unshippedmaterial) per day up to a maximum of 5%.

24.3 Zamil Steel shall not be held responsible for damage causedto the exposed steel after it has been stored longer than 10days. Such damage may include deterioration of the paintcoating.

25. WARRANTY

25.1 Zamil Steel warrants materials for one year from the date ofmaterial dispatch. This warranty extends only to materialsmanufactured by Zamil Steel in that such material shall notfail due to defective materials or workmanship, when utilizedin the intended manner.

25.2 Zamil Steel warrants that the structure shall support the loadsdescribed in Zamil Steels drawings and contract, if properlyerected, as part of a complete structural system designed byZamil Steel and comprising only of parts made by Zamil Steel,and the structure is used in the manner and the purpose forwhich it was designed.

25.3 No warranties are expressed or implied other than thosedescribed in these Terms and Conditions of Sale.

25.4 In the event of breach of warranty, the limit of any claim shallbe the correction or replacement of defective materials andcorrection of defective workmanship.

Under no circumstances shall Zamil Steel be responsible forconsequential damages that are alleged to arise from anysuch claim of breach of warranty.

26. FORCE MAJEURE

Zamil Steel shall not be held accountable for delays in materialdispatch or del ivery (af ter dispatch) resul t ing f romcircumstances outside its control, such as strikes, acts of war,revolution, riot or civil disturbance, trade sanctions orrestrictions, occurrences of meteorological or geophysicalnature, etc. , to the extent that these affect transport,communications, manufacturing and/or erection by Zamil Steel,its suppliers and its subcontractors.

27. CANCELLATION OF ORDERS

27.1 In the event a signed contract is cancelled by a customer,the higher of the following cancellation charges will apply:

10% of the total contract amount.

All actual charges incurred by Zamil Steel (and itssubcontractors / suppliers) up to the time of receipt of thenotice of cancellation.

27.2 Cancellation charges are due immediately upon the receiptby Zamil Steel of the customers notice of cancellation.

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No changes in these terms and conditions shall be allowed unless agreed to, inwriting, by the Vice President of the Pre-Engineered Buildings Division at ZamilSteel Head Office in Dammam, Saudi Arabia.

1. PLACING ORDERS

2. ACCEPTANCE OF ORDERS

3. STANDARD PAYMENT TERMS

4. APPROVAL OF ZAMIL STEEL DRAWINGS

5. DESIGN CALCULATIONS (Optional)

6. DESIGN CERTIFICATION

7. CHANGE ORDERS

8. JOBS ON HOLD

9. MATERIAL DISPATCH

10. ERECTION DRAWINGS

11. SPECIFICATION CHANGES & MATERIAL

SUBSTITUTION

12. DESIGN AND SUPPLY EXCLUSIONS

13. PERMITS AND FEES

14. INSPECTION OF FABRICATED MATERIALS

15. MATERIAL DISPATCH ADVICE

16. PARTIAL SHIPMENTS

17. CUSTOMER PICK-UP SHIPMENTS

18. UNLOADING OF MATERIAL AT JOB SITE

FOR OVERLAND SHIPMENTS

(Supply Only Contracts)

19. ERECTION OF BUILDINGS

(Supply Only Contracts)

20. ERECTION BY ZAMIL STEEL

21. SHORTAGE OF MATERIALS

22. FIELD MODIFICATIONS

23. COMBINED SHIPMENTS

24. STORAGE

25. WARRANTY

26. FORCE MAJEURE

27. CANCELLATION OF ORDERS

INDEX

ABS Q

uality Evaluations

, Inc.

Qu

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Accredited bythe Dutch Councilfor Certification

ISO 9001Certificate Number: 32481

HEAD OFFICEPO Box 877 Dammam 31421

Saudi ArabiaPhone (966 3) 847 1840Fax (966 3) 847 1291Telex 801414 ZSBLDG SJE-Mail pebmarketing@zamilsteel.comWeb www.zamilsteel.com

AREA OFFICES

Saudi Arabia (Dammam, Riyadh, Jeddah),Kuwait (Kuwait City), Bahrain (Manama), Qatar(Doha), UAE (Dubai & Abu Dhabi), Oman(Muscat), Yemen (Sanaa),

Jordan (Amman), Syria (Damascus), Bangladesh(Dhaka), Pakistan (Lahore), Sri Lanka (Colombo),India (Chennai).

Turkey (Istanbul), Greece (Athens), Romania(Bucharest), Poland (Warsaw), Czech Republic(Prague), Spain (Madrid).

Egypt (Cairo, Alexandria, Port Said &Assuit), Sudan (Khartoum), Tanzania (Dar esSalaam), Ethiopia (Addis Ababa), South Africa(Johannesburg).

Vietnam (Ho Chi Minh City, Hanoi & Haiphong),Thailand (Bangkok), Malaysia (Kuala Lumpur),Myanmar (Yangon), Philippines (Manila),Cambodia (Phnom Penh), Japan (Tokyo).

China (Shanghai, Qingdao & Guang Zhou).

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