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RSNF Confidential Supply Contract

ATTACHMENT (1) - AMENDMENT OF THE SPECIAL

CONDITIONS

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RSNF Confidential Supply Contract

AMENDMENTS ATTACHMENTS

SPECIAL PROVISIONS

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RSNF Confidential Supply Contract

AMENDING ARTICLE (1) (SUBJECT OF CONTRACT) FROM SPECIAL

PROVISIONS TO BECOME:

1.1 The Contractor shall undertake pursuant to this Contract to secure the following
items:
1.1.1 Twelve (12) fast patrol boats shall be built in France at Contractor shipyard
as per Document 1 of Appendix M (Scope of Work) and Document 2 of
Appendix M (technical specifications).
1.1.2 ILS as per Document 1 of Appendix M (scope of work) and Document 4 of
Appendix M (Maintenance policy), including:
1.1.2.1 Spare parts.
1.1.2.2 Technical publications and documentations, certificates, drawings
and data.
1.1.2.3 Maintenance services.
1.1.3 Crew and base maintenance technical training services as per Document 1 of
Appendix M (scope of work) and Document 3 of Appendix M (Training
plan).

The Contractor shall, in accordance with this Contract, supply the requested items to the port
of Jeddah in the Kingdom of Saudi Arabia in accordance to DAP Incoterms 2010, which is
considered as the port of delivery for the requested items, as specified in Document 1 of
Appendix M, , which is an integral part of this Contract. The spare parts have to be delivered
DAP Incoterms 2010 at NSC Jeddah.

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RSNF Confidential Supply Contract

AMENDING PARAGRAPHS N°. (2.1.2.3, 2.1.3 & 2.2.6) OF ARTICLE (2) (TOTAL

AMOUNT) FROM SPECIAL PROVISIONS TO BECOME:

2.1.2.3 Maintenance services for the amount of Four million, eight hundred and sixty-one
thousand, five hundred Euro (4,861,500.00 €) including 15% VAT taxes for an amount of six
hundred thirty-four thousand, one hundred and eight Euro and seventy cents (634,108.70€).

2.1.3 Crew and base maintainer technical training services for the amount of One million, one
hundred and ninety-two thousand, one hundred Euro (1,192,100.00 €) including 15% VAT
taxes for an amount of one hundred and thirty-seven thousand, two hundred and thirty Euro
and fourty-three cents (137,230.43€).

2.2.6 The total value of fees or taxes originating in Saudi Arabia amounts to seven hundred
and seventy-one thousand, three hundred and thirty-nine Euro and thirteen cent (771,339.13€)
the total amount of the contract covers the total value of TAX (Which is the fees or taxes
originating in Saudi Arabia).

THE OTHER SUB-ARTICLES FROM ARTICLE (2) (TOTAL AMOUNT) FROM

SPECIAL PROVISIONS REMAIN WITH NO CHANGE.

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RSNF Confidential Supply Contract

AMENDING PARAGRAPHS NO. (3.1, 3.2.1, 3.3.4, 3.3.5.2, 3.4, 3.6, 3.6.1, 3.6.2 & 3.7)

OF ARTICLE (3) PAYMENT CONDITIONS AND PERFORMANCE BANK

GUARANTEES FROM SPECIAL PROVISIONS TO BECOME:

3.1 The Contractor shall provide the Government, prior to the signature of this Contract, with
a five per cent (5%) performance bank guarantee (the “Performance Guarantee”) of the Total
Amount stated in paragraph (2.1) of the Special Provisions of this Contract and in the form
specified in Appendix K.

This guarantee is valid until after the delivery of the last shipment of the segmented materials
and the completion of the required services with a period not less than (4) months for the
government, to be compliant with the amendment.

3.2.1 Irrevocable LC, valid for the same duration as the Contract, which is forecasted to be
seventy-five (75) months.

3.3.4 Payments for Item 2.1 Provision of spare parts for five years for preventive
maintenance and 3 years for corrective maintenance: Payments shall be according to the
ratios and amounts itemized in the following table:

Cumulative Payment
Cost of item Quantit
cost of item in Ratio Description of Item Condition
in Euros y
Euros No.
86 400,00 € 86 400,00 €
5% - Advance payment 21000
30% Start of construction
604 800,00 € 518 400,00 € - 21001
and production
- Shipment of spare
610 655,44 € 5 855,44 €
part batch 1 21101

- Shipment of spare
1 097 144,23 € 486 488,79 €
part batch 2 21102

- Shipment of spare
1 189 212,47 € 92 068,23 € 55% part batch 3 21103

- Shipment of spare
1 251 589,51 € 62 377,05 €
part batch 4 21104

Shipment of spare
1 283 472,96 € 31 883,45 € - part batch 5 21105

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RSNF Confidential Supply Contract

Shipment of spare
1 337 775,91 € 54 302,95 € - part batch 6 21106

Shipment of spare
1 369 624,87 € 31 848,95 € - part batch 7 21107

Shipment of spare
1 406 790,19 € 37 165,32 € - part batch 8 21108

Shipment of spare
1 441 828,90 € 35 038,71 € - part batch 9 21109

Shipment of spare
1 555 200,00 € 113 371,10 € - part batch 10 21110

Delivery of spare
1 556 264,63 € 1 064,63 € - parts batch 1 21111
Delivery of spare
1 644 717,13 € 88 452,51 € - parts batch 2 21112
Delivery of spare
1 661 456,81 € 16 739,68 € - parts batch 3 21113
Delivery of spare
1 672 798,09 € 11 341,28 € - parts batch 4 21114
Delivery of spare
1 678 595,08 € 5 796,99 € - parts batch 5 21115
10%
Delivery of spare
1 688 468,35 € 9 873,26 € - parts batch 6 21116
Delivery of spare
1 694 259,07 € 5 790,72 € - parts batch 7 21117
Delivery of spare
1 701 016,40 € 6 757,33 € - parts batch 8 21118
Delivery of spare
1 707 387,07 € 6 370,67 € - parts batch 9 21119
Delivery of spare
1 728 000,00 € 20 612,93 € - parts batch 10 21120

Note : delivery dates are detailed in appendix C of this contract

3.3.5.2 A copy of the documentation acceptance certificate signed in accordance


with Appendix F6.

3.4 Payments for Item 3 Crew and base maintainer technical training for the fast patrol
boats crews: Payments shall be according to the ratios and itemized amounts in the following
table:

Cumulative Cost of 15% Ratio Quantit Description of Payment


cost of item in item in VAT y Item Condition

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RSNF Confidential Supply Contract

Euros
Euros incl. 15% No.
VAT
170 100 170 100 22 186.96 100% 1 Base maintainer
technicians 3100
training
310 100 140 000 0 100% 1 Instructor training 3300
383 600 73 500 9 586.96 100% 1 Training session
no. 1 - crew
3500
technical training
for vessel 1
457 100 73 500 9 586.96 100% 1 Training session
no. 2 - crew
3510
technical training
for vessels 2
530 600 73 500 9 586.96 100% 1 Training session
no. 3 - crew
3520
technical training
for vessels 3
604 100 73 500 9 586.96 100% 1 Training session
no. 4 - crew
3530
technical training
for vessels 4
677 600 73 500 9 586.96 100% 1 Training session
no. 5 - crew
3540
technical training
for vessels 5
751 100 73 500 9 586.96 100% 1 Training session
no. 6 - crew
3550
technical training
for vessels 6
824 600 73 500 9 586.96 100% 1 Training session
no. 7 - crew
3560
technical training
for vessels 7
898 100 73 500 9 586.96 100% 1 Training session
no. 8 - crew
3570
technical training
for vessels 8
971 600 73 500 9 586.96 100% 1 Training session
no. 9 - crew
3580
technical training
for vessels 9
1 045 100 73 500 9 586.96 100% 1 Training session
no. 10 - crew
3590
technical training
for vessels 10
1 118 600 73 500 9 586.96 100% 1 Training session 3600
no. 11 - crew

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RSNF Confidential Supply Contract

technical training
for vessels 11
1 192 100 73 500 9 586.96 100% 1 Training session
no. 12 - crew
3610
technical training
for vessels 12

3.6 Payments Item 2-4 Maintenance Services: Payments shall be according to the ratios and
itemized amounts in the following table:

Cost of item 15% Payment


Cumulative cost in Euros VAT Contractor Description of Condition
of item in Euros (Incl. 15% team Item No.
VAT) For boat n

Maintenance Activity
10 128 10 128 1 321.04 1 2401-n
month 1 - per boat

Maintenance Activity
20 256 10 128 1 321.04 1 2402-n
month 2 - per boat

Maintenance Activity
30 384 10 128 1 321.04 1 2403-n
month 3 - per boat
1 Maintenance Activity
40 512 10 128 1 321.04 2404-n
month 4 - per boat
1
Maintenance Activity
50 640 10 128 1 321.04 2405-n
month 5 - per boat
1 Maintenance Activity
60 768 10 128 1 321.04 2406-n
month 6 - per boat
1 Maintenance Activity
70 896 10 128 1 321.04 2407-n
month 7 - per boat
1 Maintenance Activity
81 024 10 128 1 321.04 2408-n
month 8 - per boat
1 Maintenance Activity
91 152 10 128 1 321.04 2409-n
month 9 - per boat
1 Maintenance Activity
101 280 10 128 1 321.04 2410-n
month 10 - per boat
1 Maintenance Activity
111 408 10 128 1 321.04 2411-n
month 11 - per boat
1 Maintenance Activity
121 536 10 128 1 321.04 2412-n
month 12 - per boat
1 Maintenance Activity
131 664 10 128 1 321.04 2413-n
month 13 - per boat
1 Maintenance Activity
141 792 10 128 1 321.04 2414-n
month 14 - per boat
1 Maintenance Activity
151 920 10 128 1 321.04 2415-n
month 15 - per boat

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RSNF Confidential Supply Contract

1 Maintenance Activity
162 048 10 128 1 321.04 2416-n
month 16 - per boat
1 Maintenance Activity
172 176 10 128 1 321.04 2417-n
month 17 - per boat
1 Maintenance Activity
182 304 10 128 1 321.04 2418-n
month 18 - per boat
1 Maintenance Activity
192 432 10 128 1 321.04 2419-n
month 19 - per boat
1 Maintenance Activity
202 560 10 128 1 321.04 2420-n
month 20 - per boat
1 Maintenance Activity
212 688 10 128 1 321.04 2421-n
month 21 - per boat
1 Maintenance Activity
222 816 10 128 1 321.04 2422-n
month 22 - per boat
1 Maintenance Activity
232 944 10 128 1 321.04 2423-n
month 23 - per boat
1
Maintenance Activity
243 072 10 128 1 321.04 2424-n
month 24 - per boat
1
Maintenance Activity
253 200 10 128 1 321.04 2425-n
month 25 - per boat
1 Maintenance Activity
263 328 10 128 1 321.04 2426-n
month 26 - per boat
1 Maintenance Activity
273 456 10 128 1 321.04 2427-n
month 27 - per boat
1 Maintenance Activity
283 584 10 128 1 321.04 2428-n
month 28 - per boat
1 Maintenance Activity
293 712 10 128 1 321.04 2429-n
month 29 - per boat
1 Maintenance Activity
303 840 10 128 1 321.04 2430-n
month 30 - per boat
1 Maintenance Activity
313 968 10 128 1 321.04 2431-n
month 31 - per boat
1 Maintenance Activity
324 096 10 128 1 321.04 2432-n
month 32 - per boat
1 Maintenance Activity
334 224 10 128 1 321.04 2433-n
month 33 - per boat
1 Maintenance Activity
344 352 10 128 1 321.04 2434-n
month 34 - per boat
1 Maintenance Activity
354 480 10 128 1 321.04 2435-n
month 35 - per boat
1 Maintenance Activity
364 608 10 128 1 321.04 2436-n
month 36 - per boat
1 Maintenance Activity
374 736 10 128 1 321.04 2437-n
month 37 - per boat
1 Maintenance Activity
384 864 10 128 1 321.04 2438-n
month 38 - per boat
1 Maintenance Activity
394 992 10 128 1 321.04 2439-n
month 39 - per boat

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RSNF Confidential Supply Contract

1 Maintenance Activity
405 125 10 133 1 321.70 2440-n
month 40 - per boat
Note : delivery dates are detailed in appendix C of this contract.

3.6.1 The Contractor shall be paid from the LC ten thousand one hundred and twenty-eight
Euro (10 128 Euro) per boat for months 1 to 39, on a monthly basis on the basis of readiness
performance of (85%) as described in the scope of work. when the Contractor submits the
following documents:
3.6.1.1 At least one original and one copy of the commercial invoices.
3.6.1.2 An original copy of the completion certificate formally signed by the
Contractor's representative and the Government's representative according to
Appendix I 3.
3.6.2 The Contractor shall be paid from the LC ten thousand one hundred and thirty-three
Euro (10 133 Euro) per boat in their 40 th month of maintenance, when the Contractor submits
the following documents:
3.6.2.1 At least one original and one copy of the commercial invoices.
3.6.2.2 An original copy of the completion certificate formally signed by the
Contractor's representative and the Government's representative according to
Appendix I 3.

3.7 The contractor shall pay the specified value added tax (VAT) of 15% in accordance with
the added tax system issued by Royal Decree No. (M/113) of the total value of the contract
specified in Article (2-1) of the special conditions for all items executed within the Kingdom
of Saudi Arabia described below and as described in Appendix A of this contract:
3.7.1 Training Services
3.7.2 Maintenance Services

THE OTHER SUB-ARTICLES FROM ARTICLE (3) (PAYMENT CONDITIONS


AND PERFORMANCE BANK GUARANTEES) FROM SPECIAL PROVISIONS
REMAIN WITH NO CHANGE.

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RSNF Confidential Supply Contract

AMENDING PARAGRAPH (4.1) OF ARTICLE (4) OF THE SPECIAL PROVISIONS

(CONTRACT PERIOD AND DELIVERY TERMS) TO BECOME:

4.1 The Contract period shall be seventy-one (71) months starting on the date the LC is
issued (T0).

THE OTHER SUB ARTICLES FROM ARTICLE (4) OF THE SPECIAL


PROVISIONS (CONTRACT PERIOD AND DELIVERY TERMS) REMAIN WITH
NO CHANGE.

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RSNF Confidential Supply Contract

AMENDING PARAGRAPH (5.1) OF ARTICLE (5) OF SPECIAL PROVISIONS

(TECHNICAL MANUFACTURING SPECIFICATIONS) TO BECOME:

5.1 All items of this Contract must be newly manufactured (2019 or afterward for the boats,
and 2020 or afterward for the spare parts) and must not have been used. The Contractor shall
indicate the name and place of the factory, and production must take place according to the
specifications set forth in Part 4, which is an integral part of this Contract. The spare parts
must have a remaining shelf life of 85% upon arrival, however, the Contractor has the right to
deliver items with reasonably less than 85% and will give a justification for these items with
government approval.

THE OTHER SUB-ARTICLES FROM ARTICLE (5) OF SPECIAL PROVISIONS


(TECHNICAL MANUFACTURING SPECIFICATIONS) REMAIN WITH NO
CHANGE.

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RSNF Confidential Supply Contract

AMENDING PARAGRAPHS N°. (6.2 & 6.3) FROM ARTICLE (6) OF SPECIAL

PROVISIONS (TECHNICAL WARRANTIES) TO BECOME:

6.2 The Contractor shall give a separate written pledge warranting that the vessels, equipment
and materials, or any part thereof, as well as their manufacturing, are free from any defects. It
shall also warrant that the items can properly and regularly operate for a period of two (2)
years from the date of DAP for the equipment, and ten (10) years for the hull and deck. The
warranty shall cover the replacement or repair of the defective items and the supply of the
necessary spare parts for the repair with no additional costs to the Government. This shall not
include the items that are damaged because of accidents, misuse, lack of maintenance, wear
and tear, negligence or inadequate storage. The warranty is detailed in Appendix E of this
Contract

6.3 The Contractor warrants to the Government that it shall supply the spare parts for the
equipment and provide technical and logistic support for ten (10) years from the date the last
vessel is received. If the spare parts are not available, the Contractor shall provide a substitute
with similar quality after the written approval of the Government.

THE OTHER SUB-ARTICLES FROM ARTICLE (6) OF SPECIAL PROVISIONS


(TECHNICAL WARRANTIES) REMAIN WITH NO CHANGE.

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RSNF Confidential Supply Contract

ATTACHMENT (2) TO THE AMENDMENTS OF THE


GENERAL CONDITIONS

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RSNF Confidential Supply Contract

Third Part

AMENDING PARAGRAPHS N°. (35.1 & 35.2) FROM ARTICLE (35) OF THE

GENERAL PROVISIONS (DELAY PENALTIES) TO BECOME:

35.1 If the Contractor is late in supplying all the items (excluding services), or any part
thereof, agreed to in accordance with the terms and conditions of this Contract, the
Government may impose upon the Contractor, after a one week grace period and subject to a
formal notice sent by the Government, a delay liquidated damages of zero point five percent
(0.5%) of the value of the delayed milestone for each week of delay, provided that the
penalties shall not exceed six percent (6%) of the value of the milestone.

35.2 If the Contractor is late and/or negligent in providing all the services, or any part thereof,
agreed to in accordance with the terms and conditions of this Contract, the Government may
apply upon the Contractor after a one week grace period and subject to a formal notice sent
by the Government, a delay liquidated damages zero point five percent (0.5%) of the value of
the services milestone that are the subject of the delay and/or negligence for each week of
delay/negligence, provided that the penalties shall not exceed ten percent (10%) of the value
of the services milestone. The formula of calculation of delay and/or negligence is in
Document 4 of Appendix M (Maintenance Policy)

THE OTHER SUB-ARTICLES FROM ARTICLE (35) ) OF THE GENERAL


PROVISIONS (DELAY PENALTIES) REMAIN WITH NO CHANGE.

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RSNF Confidential Supply Contract

AMENDING ARTICLE (37) OF THE GENERAL PROVISIONS (FINAL


SETTLEMENT OF THE CONTRACT) TO BECOME:

If the Contractor fulfils all its contractual obligations and settles its financial liabilities, if any,
and if the Government establishes that it has performed all the required provisions under this
Contract, and that there are no claims in favour of the beneficiary party with respect to the
insurance company, or any other party, and if it has received all its financial dues,
acknowledging that it, along with its branches, subcontractors or creditors have no claims
from the Government or against the Government, then the Contractor shall receive a
certificate for the final settlement of the Contract, in accordance with the form shown in
Appendix L of this Contract, a copy of which is provided to the General Administration of
Purchasing Operations at the Ministry of Defence, at which point this Contract will become
finally settled.

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RSNF Confidential Supply Contract

AMENDING ARTICLE (38) OF THE GENERAL PROVISIONS (FORCE


MAJEURE) TO BECOME:

First: Force majeure is the general event that is out of the control of the parties to the contract
and cannot be foreseen and impossible to prevent, as it is impossible to implement the
obligations of the contracting party during their performance, and is not attributable to the
cause, error or negligence of one of the parties or any other person, and includes - but not
limited to - fire floods, accidents, war, military operations, and economic embargo, this does
not include what is under the control of the contractor, its suppliers, or its subcontractors.

Second: The failure of one of the parties to perform its obligations is not considered a breach
of this contract if this failure is caused by force majeure, provided that the two parties have
taken all reasonable precautions, due diligence, and necessary measures, for the purpose of
implementing the terms and conditions of this contract, and the affected party has informed
the other party as soon as possible from the date of his knowledge of the occurrence of such
an event.

Third: it’s not considered force majeure the delay in implementation due to the negligence of
either party to the contract or the sub-contractor, or lack of resources or materials from the
contractor, or inefficiency in work, unless the shortage in these materials or resources is
caused by force majeure.

Fourth: The contractor shall do what is necessary by making every effort to reduce the
effects of force majeure on the implementation and submission of the works on the agreed
date. In the event of delay in carrying out the works due to force majeure, the contractor must
notify the government agency as soon as possible, the government has the right to terminate
the contract by agreement between it and the contractor if the implementation of the works
becomes impossible due to the continuation of force majeure for a period exceeding (60)
days.

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RSNF Confidential Supply Contract

AMENDMENT OF ARTICLE (39) OF THE GENERAL PROVISIONS


(TERMINATION OF CONTRACT) TO BECOME:

39.1 Termination of the contract by agreement


The contract is terminated by agreement between the government and the contractor in any of
the following cases:
39.1.1 If the government continues to stop all works for reasons unrelated to the contractor
for a period exceeding (180) one hundred and eighty days from the date of the letter of the
order to stop the works for reasons unrelated to the contractor, and after notifying the
contractor to the government to enable him to resume the work, and the lapse of a period of
(30) thirty days From the date it was notified of the notification without enabling him to
resume business or to take acceptable measures to enable him to work.
39.1.2 If the execution of the works becomes impossible for the continuation of force majeure
pursuant to the terms and conditions of the “Force Majeure” clause.

39.2 Contractor's obligations upon termination of the contract


In the event of termination of the contract, the contractor shall stop supplying items and
materials or carrying out any work unless instructions have been issued in this regard by the
representative of the authority to protect persons or property or to ensure the safety of the
executed works.

39.3 Accountability of the contractor in cases of contract termination


39.3.1 First: The government, after the notification of the termination of the contract becomes
effective, must do the following:
39.3.1.1 Accounting the contractor for the items and materials that were supplied and the
acceptable works that were implemented on the site and recovering the remaining balance
from the value of the advance payment, if any.
39.3.1.2 Pay the value of the items and materials that have been supplied, and pay the value
of the supplies on site that were approved by the government agency before the date of the
notification of termination of work, and the contractor is paid the value of items, materials
and supplies that he had previously purchased and imported for the contract and were not
brought to the site, provided That the contractor submits proof of its purchase for the purpose
of supplying items and materials or executing contract works and that he delivers them to the
government. All items, materials and supplies that have been supplied and paid for by the
government are considered their property.
39.3.1.3 Release the down payment guarantee and final guarantee, after making the necessary
adjustments.

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RSNF Confidential Supply Contract

39-3-2 Second:

39-3-2-1 If the government terminates the contract based on a recommendation from the Bids
Examination Committee or the competent procurement committee, it may take whatever
measures it deems appropriate to preserve its rights, such as seizing the contractor’s
entitlements until the final accounting is conducted, or suspending the decision to terminate
the contract And it shall continue to manage the contract work by itself or through another
contractor at the expense of the contractor, if it deems that there is an interest for the project
behind the continuation of implementation.

39-3-2-2 In the event that the contract is terminated for reasons of public interest, the
government is obligated to inform the contractor of this, and the termination is effective in
this case after the lapse of a period of (30) thirty days from the date of notification.

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RSNF Confidential Supply Contract

ADDING ARTICLE (40) OF THE GENERAL PROVISIONS (SETTLEMENT OF


TECHNICAL DISPUTE) AS FOLLOWS

First: In the event that a technical dispute erupts between the government and the contractor,
which may lead to the failure of the project or damage to the government, contractor or any
of the state facilities, the dispute shall be resolved amicably through meetings between the
two parties within a period of [15] fifteen days. And in the event that these meetings do not
lead to a resolution of the conflict, they are resolved through a council formed to resolve
disputes, from a team consisting of a representative of the government entity and a
representative of the contractor, and the Ministry of Finance appoints a person to chair the
council from the government sector or the private sector.

Second: Each party submits a report to the council stating its position on the dispute
supported by documents and correspondence related to the subject of the dispute. The
representative of the party also submits a report to the council on its previous assessments or
decisions related to the issue of the dispute in addition to the necessary documents. The
council has the right to inspect the works on the ground and enter the site, if necessary.

Third: The council may resort to an expert body to seek opinion and advice from one of the
parties it proposes, and the costs of the dispute will be borne equally by the parties, provided
that the dispute is decided upon by the council within (30) thirty days from the date of
receiving the report and related documents.

Fourth: The council issues its decision by majority, and clarifies the dissenting opinion, if
any and, in the event that one or both of them object to the decision, it is returned to the
Council, explaining the opinion in question, The Council shall decide on it within (15) fifteen
days, and the decision in the face of the two parties shall be enforceable After that, the
aggrieved person has the right to resort to the competent judicial authority.

Fifth: The consideration of any dispute between the two parties does not prevent the
contractor from continuing to implement its obligations.

Sixth: Dispute resolution through the council is limited to technical disputes between the
government and the contractor, without any other claims.
For the purposes of applying this clause, the term “technical dispute” in it means any
technical dispute that occurs during the execution of the contract regarding technical matters
such as technical conditions, conformity of works to technical specifications, quality of
materials used, or manufacturing assets.

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RSNF Confidential Supply Contract

ATTACHMENT (3) AMENDMENTS TO ARTICLE (17) OF


SPECIAL CONDITIONS (CONTRACT APPENDICES)

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RSNF Confidential Supply Contract

AMENDMENT OF ARTICLE 17 OF SPECIAL CONDITIONS


(CONTRACT APPENDICES) TO BECOME :
The following appendices are an integral part of this Contract:
1. Appendix A-1: Unit price and Total Cost.
2. Appendix A-2: Detailed materials specification
3. Appendix B : Manufacturing specifications
4. Appendix C: Schedule of Delivery
5. Appendix D : Crating and packaging instructions
6. Appendix E : Equipment warranty
7. Appendix F1 : inspection and preliminary acceptance procedures
8. Appendix F2 : specimen of certificate of conformity
9. Appendix F3 :start of production certificate
10. Appendix F4 : End of construction of first vessel’s hull certificate
11. Appendix F5 : Start of procurement certificate
12. Appendix F6 : Documentation acceptance certificate
13. Appendix G : Specimen of shipment / partial shipment
14. Appendix H : specimen of end-user certificate
15. Appendix I-1 : Certificate of completion of crew technical training
16. Appendix I-2 : Certificate of completion of maintenance training
17. Appendix I3 : Certificate of completion of maintenance services
18. Appendix K : Copy of Performance Bank Guarantee
19. Appendix L : Specimen of certificate of contract liquidation
20. Appendix M : technical specifications

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RSNF Confidential Supply Contract

AMENDMENT OF APPENDIX (A-1) OF ARTICLE (17) (UNIT


PRICE AND TOTAL COST) TO BECOME:

Total Price in Associated 15%


Quan
N° article Description Unit Price Euro Incl. VAT
tity
VAT

Fast Patrol Boats type PL2200 6 548 000 78 576 000 0


1 12
equipped

Composite structure 248 400

Propulsion system 910 800

Incl. for 2 engines 390 000

Electrical System 347 760

Accommodations 172 500

Platform systems (Bilge, waters, fuel, 642 380


firefighting, safety)

Deck Fitting 292 560

Navigation Electronic 234 600

Military Radiocommunication 1 362 000


including :

HF TRC 3730 155 000


PR4G TRC 9310 56 400
6x TRC 9110 236 800
VUHF TRG 6036 215 400
IFF 164 400
Intercom system 302 000

Combat system (incl sensors and 2 187 000


weapons)

Transportation to KSA 150 000

Integrated Logistic Support 7 513 500 7 513 500 634 108.70


2 1
package

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RSNF Confidential Supply Contract

Provisioning of five years Spare parts 1 728 000 1 728 000 0


2-1 for scheduled maintenance and 3 1
years of corrective maintenance

Supply of Technical Publications, 924 000 924 000 0


2-2 Documentation, Certificates, 1
Drawings & Data

Per boat :
634 108.70
40 Months 1 to 39 :
2-4 Maintenance activities services per 10 128 4 861 500
boat Month 40 :
10 133

3 Training 1 192 100 137 230.43


1 192 100

Base Maintenance technicians 170 100 22 186.95


3-1 1
training 170 100

3-2 Maintenance Instructor Training 1 140 000 0


140 000

3-3 Crew Training 12 73 500 882 000 115 043.48

Total Amount in Euro 87 281 600 771 339.13

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RSNF Confidential Supply Contract

AMENDING APPENDIX (A2) OF ARTICLE (17)


DETAILED MATERIAL SPECIFICATIONS, TO
BECOME:

Technical
Specification Article Description Quantity Supply Service
References

Ship Technical
Specification -
1 type: PL 2200 Vessel 12

1-
Batch 1 : 1 1 X
1

1-
Batch 2 : 2, 3 1 X
2

1-
Batch 3 : 4, 5 1 X
3

1-
Batch 4 : 6, 7 1 X
4

1-
Batch 5 : 8, 9 1 X
5

1-
Batch 6 : 10, 11 1 X
6

1-
Batch 7 : 12 1 X
7

ILS technical
Specification
2 Logistic Support package -

2- Provisioning of five years spares parts 1 X


1 for scheduled maintenance and three

25
RSNF Confidential Supply Contract

years spare parts for corrective


maintenance.

Supply of Technical Publications,


2-
Documentation, Certificates, Drawings X
2
& Data

2- Boat builder’s Drawings and Data for


2- naval base 1 X
1

2- Makers Technical Manuals, Catalogues


2- and Drawings for Boat Systems & 1 X
2 Equipment for naval base

Ship set document (one set per vessel),


- one Makers Technical Manuals
2- - one Boat builder’s Drawings and Data
2- - Boat Class Specific Handbooks and 12 X
3 Manuals, comprising:
Boat’s General
Handbook;
weapon Systems
Handbook
2- Maintenance activities (40 months per
480 X
4 boat)

Training
Specification Crew and base maintainer technical
3
training

3- Base Maintenance technicians training


1 X
1

3- Instructor Training
1 X
2

3-
Crew training session (one per vessel) 12 X
3

26
RSNF Confidential Supply Contract

AMENDING APPENDIX (C) OF ARTICLE (17)


(SCHEDULE OF DELIVERY) TO BECOME:

Article Description Month starting from T0

0 Design Phase

0-1 First design review T0-1

0-2 Second design review T0

0-3 Third design review 1

1-0 Start of production of hull 1 certificate 1

1-1 End of hull 1 construction certificate 3

1-2 Start of production of hull 2 certificate 4

1-3 End of Hull 2 construction certificate 6

1-4 Start of production of hull 3 certificate 6

1-5 End of Hull 3 construction certificate 8

1-6 Start of production of hull 4 certificate 14

1-7 Shipment of batch 1 vessel 1 15

1-8 Start of production of hull 5 certificate 15

1-9 End of Hull 4 construction certificate 15

1-10 Acceptance of Batch1 : vessel 1 after completion of 16


integration

1-11 Start of production of hull 6 certificate 16

1-12 End of Hull 5 construction certificate 16

1-13 End of Hull 6 construction certificate 17

27
RSNF Confidential Supply Contract

1-14 Start of production of hull 7 certificate 17

1-15 End of Hull 7 construction certificate 18

1-16 Start of production of hull 8 certificate 18

1-17 End of Hull 8 construction certificate 19

1-18 Start of production of hull 9 certificate 19

1-19 Shipment of Batch 2 : vessels 2, 3 20

1-20 End of Hull 9 construction certificate 20

1-21 Start of production of hull 10 certificate 20

1-22 Delivery of Batch2 : vessels 2, 3 after completion of 21


integration

1-23 End of Hull 10 construction certificate 21

1-24 Start of production of hull 11 certificate 21

1-25 Shipment of Batch 3 : vessels 4, 5 after completion of 22


integration

1-26 Start of production of hull 12 certificate 22

1-27 End of Hull 11 construction certificate 22

1-28 End of Hull 12 construction certificate 23

1-29 Acceptance of Batch 3 : vessels 4, 5 after completion of 24


integration

1-30 Shipment of Batch 4 : vessels 6, 7 24

1-31 Acceptance of Batch 4 : vessels 6, 7 after completion of 26


integration

1-32 Shipment of Batch 5 : vessels 8, 9 26

1-33 Acceptance of Batch5 : vessels 8, 9 after completion of 28

28
RSNF Confidential Supply Contract

integration

1-34 Shipment of Batch 6 : vessels 10, 11 28

1-35 Acceptance of Batch 6 : vessels 10, 11 after completion of 30


integration

1-36 Shipment of Batch 7 : vessel 12 30

1-37 Acceptance of Batch7 : vessel 12 after completion of 31


integration

2 Logistic assistance package

2-1 Supply of spare parts

2-1-1 Start of construction and production of spare parts 1

2-1-2 shipment of spares parts

2-1-2-1 Shipment of spares parts batch 1 15

2-1-2-2 Shipment of spares parts batch 2 21

2-1-2-3 Shipment of spares parts batch 3 27

2-1-2-4 Shipment of spares parts batch 4 33

2-1-2-5 Shipment of spares parts batch 5 39

2-1-2-6 Shipment of spares parts batch 6 45

2-1-2-7 Shipment of spares parts batch 7 51

2-1-2-8 Shipment of spares parts batch 8 57

2-1-2-9 Shipment of spares parts batch 9 63

2-1-2-10 Shipment of spares parts batch 10 69

2-1-3 Delivery of spare parts

2-1-3-1 Delivery of spare parts batch 1 16

29
RSNF Confidential Supply Contract

2-1-3-2 Delivery of spare parts batch 2 22

2-1-3-3 Delivery of spare parts batch 3 28

2-1-3-4 Delivery of spare parts batch 4 34

2-1-3-5 Delivery of spare parts batch 5 40

2-1-3-6 Delivery of spare parts batch 6 46

2-1-3-7 Delivery of spare parts batch 7 52

2-1-3-8 Delivery of spare parts batch 8 58

2-1-3-9 Delivery of spare parts batch 9 64

2-1-3-10 Delivery of spare parts batch 10 70

2-2 Supply of Technical Publications, Documentation,


Certificates, Drawings & Data

2-2-2 Boat builder’s Drawings and Data for naval base 12

2-2-3 Makers Technical Manuals, Catalogues and Drawings for 14


Boat Systems & Equipment for naval base
batch 1 : 16
2-2-4 Ship set document (one set per vessel),
Batch 2 : 21
- one Makers Technical Manuals
Batch 3 : 24
- one Boat builder’s Drawings and Data Batch 4 : 26
- Boat Class Specific Handbooks and Manuals, Batch 5 : 28
comprising: Batch 6 : 30
Boat’s General Handbook Batch 7 : 31
weapon Systems Handbook

2-4 Maintenance activities (40 months per boat)

2-4-1 Maintenance activity boat 1 Final Acceptance of boat # 1


2-4-2 Maintenance activity Boat 2 Final Acceptance of boat # 2

2-4-3 Maintenance activity Boat 3 Final Acceptance of boat # 3

2-4-4 Maintenance activity Boat 4 Final Acceptance of boat # 4

2-4-5 Maintenance activity Boat 5 Final Acceptance of boat # 5

2-4-6 Maintenance activity Boat 6 Final Acceptance of boat # 6

30
RSNF Confidential Supply Contract

2-4-7 Maintenance activity Boat 7 Final Acceptance of boat # 7

2-4-8 Maintenance activity Boat 8 Final Acceptance of boat # 8

2-4-9 Maintenance activity Boat 9 Final Acceptance of boat # 9

2-4-10 Maintenance activity Boat 10 Final Acceptance of boat # 10

2-4-11 Maintenance activity Boat 11 Final Acceptance of boat # 11

2-4-12 Maintenance activity Boat 12 Final Acceptance of boat # 12

3 Crew and base maintainer technical training

3-1 Base maintenance technicians training 26

3-2 Maintenance instructor training 27

3-3 Crew Training Session n° 1 Final Acceptance of boat #1

3-3-1 Crew Training Session n° 2 Final Acceptance of boat #2

3-3-2 Crew Training Session n° 3 Final Acceptance of boat #3

3-3-3 Crew Training Session n° 4 Final Acceptance of boat #4

3-3-4 Crew Training Session n° 5 Final Acceptance of boat #5

3-3-5 Crew Training Session n° 6 Final Acceptance of boat #6

3-3-6 Crew Training Session n° 7 Final Acceptance of boat #7

3-3-7 Crew Training Session n° 8 Final Acceptance of boat #8

3-3-8 Crew Training Session n° 9 Final Acceptance of boat #9

3-3-9 Crew Training Session n° 10 Final Acceptance of boat #10

3-3-10 Crew Training Session n° 11 Final Acceptance of boat #11

3-3-11 Crew Training Session n° 12 Final Acceptance of boat #12

31
RSNF Confidential Supply Contract

AMENDING APPENDIX (E) OF ARTICLE (17)


(EQUIPMENT WARRANTY) TO BECOME:

The CONTRACTOR shall assure the material quality, committing himself to


repairing or replacing, totally or partially, any faulty equipment during a period of
(24) months, counted from the date of batch, without any cost to the GOVERNMENT,
including the ones related to packing, freight and insurance of the replacement parts
between CONTRACTOR’s premises and Port of Entry.

The warranty shall apply to defects caused by raw materials, components,


workmanship, design and construction and defects caused by the work performed by
the CONTRACTOR during the warranty period.

The CONTRACTOR’s liability shall not extend to defects caused by tear and wear or
if the equipment has been involved in an accident or subjected to any kind of misuse
or detrimental exposure, in case of bad conditions of storage, to negligence or willful
on the part of the GOVERNMENT.

The warranty provided in this Appendix is in lieu of any or all other warranties
whether oral, written express, implied or statutory in particular, no implied or
statutory warranties of merchantability or fitness for particular purpose shall apply.

The supplied materials shall be subject to the design guarantee and the manufacture of
materials and conform to the specifications approved by the Maritime Organization of
France (BV). The warranty shall commence after the final delivery of each boat, for a
period of 24 months for the main equipment and for a period of (10) Years (120)
months for the body and surface.

Warranty is limited to replacement of damaged parts, transfer of ownership, or repair


at the supplier's site for damaged goods due to defects. If necessary and with the prior
approval from the Government, the supplier shall be entitled to replace the equipment
specified in the contract to meet the warranty obligations. The returned parts will be
delivered to the factory site and the repaired parts. All charges will be charged at
Contractor's expense, with prior approval from the supplier. Contractor shall bear the
costs of dismantling and reinstallation. Repair and replacement services according to
the warranty period.

The Contractor shall bear all expenses for the fees and shipping of the materials that
fall within the framework of the implementation of its obligations to this guarantee
from the Kingdom to the Contractor's factories and vice versa as well as any costs
arising from dismantling, installation, consolidation and repair and replacement
services at no cost to the Government.

The guarantee shall be valid after the final acceptance test in the Kingdom by the
Government and in the presence of a representative from the Contractor.

32
RSNF Confidential Supply Contract

AMENDING ANNEX (F) OF ARTICLE (17) BY


ADDING THE FORM BELOW
Appendix (F6)
Documentation Acceptance Certificate

BUYER: Ministry of Defense


Royal Saudi Forces
Corps
Riyadh
Kingdom of Saudi Arabia

END USER: Ministry of Defense


Royal Saudi Forces
Corps
Riyadh
Kingdom of Saudi Arabia

CONTRACT No.

LETTER OF CREDIT NO.

PAYMENT TERM No. /DELIVERY SCHEDULE ARTICLE No.


It is hereby certified that the documents related to the above payment term have been
delivered as per the specifications of this CONTRACT.

Delivery date:

REPRESENTATIVE OF
BENEFICIARY AGENCY

Name:…………………………

Signature :

Date:………………………….
Signed for SUPPLIER:
Contractor’s Representative :

Name:……………………..

Signature :

Date:……………………….
33

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