M/s xxx Pojects Co.

P.O. Box xxx, Riyadh, K.S.A

Tel : xxx

Fax: xxx

Attention:       Mr. xxx

                        Chief Executive Officer

Cc:                  Eng. xxx

                        Sr. Project Engineer

                        Eng. xxx

                        Project Manager

Project:          xxx Project -KSA      

Subject            :  NOTICE TO CANCEL ALL MATERIAL PRODUCTION & DELIVERIES

Dear Mr. Mowafaq,

With reference to your letter Ref No.: xxx dated 6^th June xxx, we hereby express our disagreement on the list of rejected items received on 9^th of August xxx through our Project Manager on site due to the following reason;

1. All items listed as per the attachment except for item 8 in the Overwater Villas and items 3 & 4 in the Family units are shifted to the site in a good condition, manufactured and complying as specification & approved shop drawing.

• All manufactured items which are ready for shipment and still with us and the recently delivered items as per attached packing list will still be claim as per contract.

We refer to our submitted letter dated 5^th of June xxx as attached siting all the reasonable circumstances that we are in compliance of our contractual obligation, nevertheless, the extent of the additional work given to us for the Variation nos. 2 to 7 in which the extension of time for completion shall be considered.

We hope that the above statement including all information as attached will be given your preferential attention.

Best Regards,

For: Xxx(Name of the Sub-Contractor) Interiors L.L.C.

xxx

Commercial Manager