Step By Step Preliminary procedures for purchasing cement:

1. Buyer / Mandate issues ICPO WITH BANKING
2. Seller sends Soft Offer
3. Buyer signs Soft Offer (on each page), fill in all Banking information and returns to Seller within period set on Soft Offer
4. Seller issues Full Corporate Offer (FCO)
5. Buyer signs FCO (on each page) and returns to Seller (with Bank Endorsement signed and sealed by Bank officials )
6. Seller issues Draft Contract with allocation numbers
7. Buyer signs Draft Contract (on each page) and returns to Seller
8. Final Contract Issued

Cement Payment Terms:

Payment of the Agreement quantity of {QUANTITY}/mt (+/-5%) of the total quantity of {QUANTITY}/mt (+-5%) shall be effected by a Monthly Revolving Transferable Letter of Credit to Seller’s bank from Buyer’s bank for the monthly contract value and these payment terms will be guaranteed through a Irrevocable Prime Bank Stand-by Letter of Credit for the value of US$ {AMOUNT} (+/-5%). The Irrevocable Prime Bank Stand-by Letter of Credit and the Monthly Revolving Transferable Letter of Credit should be issued at the beginning of the contract period.

Cement Contract Procedures

1. Within 3-international banking days from receipt of the Sales Agreement by the Buyer, the Buyer signs, seals and stamps the Sales Agreement, and return it to Seller for his signature, sealing and stamping.
2. Within 3-international banking days from receipt of the Agreement from Buyer, duly signed, sealed and stamped by the Buyer, the Seller will sign, seal and stamp the Agreement and issue to the Buyer the AFFIDAVIT as per this Agreement.
3. Within 3-international banking days of signing and exchanging the Sales Agreement and from receipt of the AFFIDAVIT from Seller to Buyer, the Buyer’s Bank will issue in favour of the Seller the Irrevocable, Prime Bank, Stand-by, Letter of Credit as per Article 13A of this Agreement and to the value of US$ 00,000,000 ( United States Dollars) and the Operative, Transferable, Revolving, Letter of Credit.
4. The Irrevocable, Prime Bank, Stand-by, Letter of Credit and the Operative, Irrevocable, Transferable, Revolving, Letter of Credit is issued, confirmed and guaranteed by a Top World Prime Bank acceptable to Seller, in accordance with the Agreement.
5. Within 7-international banking days of signing and exchanging this Agreement and from receipt of the Irrevocable, Prime Bank, Stand-by, Letter of Credit and the Operative, Irrevocable, Transferable, Revolving, Letter of Credit in accordance with this Agreement, Seller’s Bank will issue to Buyer’s Bank the Proof of Product by SWIFT MT 799.
6. Within 10-international banking days of the receipt, verification and authentication of Buyer’s Irrevocable, Prime Bank, Stand-by, Letter of Credit and the Operative, Irrevocable, Transferable, Revolving, Letter of Credit at Seller’s Bank, the Seller will issue a 2% Performance Bond for the value of the Irrevocable, Prime Bank Stand-By Letter of Credit and the Operative, Irrevocable, Transferable, Revolving Letter of Credit.
7. The initial shipment of 12,500/mt or 25,000/mt or 50,000/mt product loads within 30-45 days from the date of receipt, verification and authentication of Buyer’s Irrevocable, Prime Bank, Stand-by, Letter of Credit for total funds of US$ 00,000,000 (United States Dollars) and the Operative, Irrevocable, Transferable, Revolving, Letter of Credit at Seller’s bank, and continues until the Agreement quantity is shipped and delivered.
8. Payment will be released to the Seller upon negotiation of shipping documents at the Seller’s bank. Partial shipments are allowed.
9. Within 21-days of Buyer and Seller signing the Agreement, the Buyer will advise the Seller in writing the particulars of the discharge ports relevant to this Agreement.

Special Terms

1. The Buyer is aware and commits to provide the Bank Endorsement either issued or confirmed by a Top Prime Bank as per text attached in Article 14B along with the signed and sealed FCO.
2. It is not part of the procedures to request any kind of samples or factory visits since all relevant documents will be provided with each shipment.
3. The Buyer is aware that the Seller does not provide any past performance documents since this is confidential between the parties involved and has no value for his capacity to deliver the contracted quantity in the future.
4. The contract signed by both parties electronically is legally binding acc to ICC rules. Hardcopies are not part of the procedures. If the Buyer requests Hardcopies then he has to print the hardcopies sign and seal each page and send the copies per Courier to the Seller for his signature. The seller will then return the 2-3 Hardcopies to the Buyer by courier.
5. It is understood that only the contract in English language as issued by the Seller is valid.
6. Disclaimer: Islands Enterprises Inc does not in any way misrepresent themselves as the direct Seller of the allocations, we offer a risk adverse environment to both the Buyer and Seller and facilitate the successful closure of the deals. Full responsibility will at all times remain the prerogative of the Buyer and Seller.
7. This FCO has to be signed on each page by the Buyer.
8. The Bank Endorsement and the Financial Instruments have to be confirmed by the Confirming Bank in case the Buyer is not a Top 100 Bank.