Common use of Material Furnished by CONTRACTOR Clause in Contracts

Material Furnished by CONTRACTOR. Material required for operations shall be purchased directly whenever practicable, except that CONTRACTOR may furnish such material from CONTRACTOR's or CONTRACTOR's Affiliated Companies stocks outside the A.R.E. under the following conditions: 1. New Material (Condition "A") New Material transferred from CONTRACTOR's or CONTRACTOR's Affiliated Companies warehouse or other properties shall be priced at cost, provided that the cost of material supplied is not higher than international prices for material of similar quality supplied on similar terms, prevailing at the time such material was supplied. 2. Used Material (Conditions "B" and "C") a) Material which is in sound and serviceable condition and is suitable for reuse without reconditioning shall be classed as Condition "B" and priced at seventy - five percent (75%) of the price of new material. b) Material which cannot be classified as Condition "B" but which is serviceable for original function but substantially not suitable for reconditioning, shall be classed as Condition "C" and priced at fifty percent (50%) of the price of new material. c) Material which cannot be classified as Condition "B" or Condition "C" shall be priced at a value commensurate with its use. d) Tanks, buildings and other equipment involving erection costs shall be charged at applicable percentage of knocked - down new price.

Material Furnished by CONTRACTOR. Material required for operations shall be purchased directly whenever practicable, except that CONTRACTOR may furnish such material from CONTRACTOR's or CONTRACTOR's Affiliated Companies stocks outside the A.R.E. the A. R.E. under the following conditions: 1. New Material (Condition "A") : New Material transferred from CONTRACTOR's or CONTRACTOR's Affiliated Companies warehouse or other properties shall be priced at cost, provided that the cost of material supplied is not higher than international prices for material of similar quality supplied on similar terms, prevailing at the time such material was supplied. 2. Used Material (Conditions "B" and "C")) : a) Material which is in sound and serviceable condition and is suitable for reuse without reconditioning shall be classed as Condition "B" and priced at seventy - seventy-five percent (75%) of the price of new material. b) Material which cannot be classified as Condition "B" but which is serviceable for original function but substantially not suitable for reconditioning, shall be classed as Condition "C" and priced at fifty percent (50%) of the price of new material. c) Material which cannot be classified as Condition "B" or Condition "C" shall be priced at a value commensurate with its use. d) Tanks, buildings and other equipment involving erection costs shall be charged at applicable percentage of knocked - down new price.

Material Furnished by CONTRACTOR. Material required for operations shall be purchased directly whenever practicable, except that CONTRACTOR may furnish such material from CONTRACTOR's or CONTRACTOR's Affiliated Companies stocks outside the A.R.E. the A. R.E. under the following conditions: 1. New Material (Condition "A") New Material transferred from CONTRACTOR's or CONTRACTOR's Affiliated Companies warehouse or other properties shall be priced at cost, provided that the cost of material supplied is not higher than international prices for material of similar quality supplied on similar terms, prevailing at the time such material was supplied. 2. Used Material (Conditions "B" and "C") a) Material which is in sound and serviceable condition and is suitable for reuse without reconditioning shall be classed as Condition "B" and priced at seventy - seventy-five percent (75%) of the price of new material. b) Material which cannot be classified as Condition "B" but which is serviceable for original function but substantially not suitable for reconditioning, shall be classed as Condition "C" and priced at fifty percent (50%) of the price of new material. c) Material which cannot be classified as Condition "B" or Condition "C" shall be priced at a value commensurate with its use. d) Tanks, buildings and other equipment involving erection costs shall be charged at applicable percentage of knocked - down new price.