Status of Free Issue Materials and installation of Free Issue Materials on site

Our Ref: xxx

Date:

To

xxx Contracting LLC

P. O. Box xxx

Dubai, U.A.E.

Attention            : Mr. xxx, Group Procurement Manager

Project                 : : xxx Tower, Dubai – U.A.E.

Subject                 : Status of Free Issue Materials and installation of Free Issue Materials on site

References:        a) xxx dated 19 October xxx

Dear Sir,

We are writing to inform you that we have completed the delivery of 189 pods for 9 levels on 15 December xxx without the following Free Issue Materials based on your previous instruction to deliver incomplete pods to site.

• Lights
• Shaver socket
• Exhaust grill
• Towel rails

Please find the details of the missing Free Issue Materials in each of the pods delivered (appendix 1) and the status of the Free Issue Materials delivered to M/s xxx (Contractor Name) till date (appendix 2).

Although we have been informed in your letter reference xxx dated 06 November xxx that the missing Free Issue Materials will be delivered to our factory at the earliest and while we were also informed during the high level management meeting that occurred on 08 November xxx between M/s xxx (Contractor Name) and ASCC that these missing Free Issue Materials will be delivered in couple of days (appendix 3), till date we haven’t received any.

We urge you to deliver all the remaining Free Issue Materials to M/s xxx (Contractor Name) to avoid any shortage in production that will cause delay to pods completion and impact the delivery schedule.

M/s xxx (Contractor Name) will continue to support the Main Contractor in his request to deliver pods missing undelivered Free Issue materials if they do not stop production, but it must be noted that:

1. Once pods are delivered to site, the installation of missing Free Issue Materials on site will be undertaken by the Main Contractor under his sole responsibility and any damage that may occur to any pod during such works is fully the liability of the Main Contractor.

• M/s xxx (Contractor Name) will not accept, nor will be held liable for any rejection of pods resulting from missing Free Issue Materials or the quality of these materials.

• Certification of pods shall not be withheld or deducted from our payment application on the basis that the pods are incomplete due to missing Free Issue Materials, and no deduction or penalty shall be imposed on M/s xxx (Contractor Name) due to rejections, NCR or SOR which result either from missing Free Issue Materials in Pods or works executed by the Main Contractor on site to install such materials.

We also reiterate that M/s xxx (Contractor Name) is an off-site construction company and the installation cost of these materials in factory is part of our working production line process. Accordingly, no cost saving will be provided by M/s xxx (Contractor Name) towards the de-scoping of installation of these materials.

Yours faithfully,

On behalf of xxx LLC                                                                      

xxx

project Manager