Common use of Performance Guarantee Clause in Contracts

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty 8.1 Within Sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, aboveEffective date, the supplier Licensee shall deliver to the Purchaser, within Director General Performance Security to guarantee the first fourteen days performance of their work obligation as follows: a) XX% of the “Extension Period”, an extension of amount stipulated in Article 4.2 (a) as the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract minimum expenditure in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, Initial Exploration Period in the form of an unconditional standby letter and irrevocable Bank Guarantee; b) XX% of credit the amount stipulated in Article 4.2 (a) as the terms minimum expenditure in the Initial Exploration Period in the form of which are set out a Parent Company Guarantee. 8.2 Within Sixty (60) days from the day the Licensee elects to enter into any extension period in Annexure “E1” attached accordance with Article 3 of this Licence, the Licensee shall deliver to the OrderDirector General, subject to Article 4.2 (d), a performance security in the amount of the minimum expenditure specified in Article 4.2 (b) for the first extension period and Article 4.2 (c) for the second extension period to guarantee the performance of their work obligation for that period in the manner stipulated in Article 8.1 above; 8.3 All performance security delivered under this Licence, shall be given in the form stipulated in Annex 3 of this Licence. The unconditional and irrevocable Bank Guarantee specified in Article 8.1(a) above shall be issued by a first class reputable international bank in good standing and shall be denominated in United States Dollars either (a) by a foreign bank through a correspondent bank located in Sierra Leone, or a qualified insurance company approved by (b) with the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) agreement of the "Option Value". The performance Director General directly by a foreign bank acceptable to the Director General; 8.4 Licensee shall provide a legal opinion from its legal advisors in a form acceptable to the State, to the effect that the aforesaid guarantees have been duly signed and delivered on behalf of the guarantors with due authority and is legally valid and enforceable and binding upon them; 8.5 All letters of guarantee issued under this Licence shall remain valid 60 days for six (6) months after the expiration end of the "Option Period" or 60 daysrelevant period for which it has been issued; 8.6 In the circumstances of a default, after (i.e.) failure to undertake the expiration minimum work obligation by the end of the warranty period for which the performance security is deposited, the Director General shall duly notify the Licensee of the default within a period of forty-five (45) days. In the event that the default is not remedied by the Licensee with the said period, The Director General shall immediately make a demand on the latter. Said guarantee guarantee, and the minimum expenditure for the period shall be amended from time to time to reflect the adjusted option price, due paid to the issuance of change orders;Director General by the Guarantor.

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders; A) WARRANTY - Supplier's warranty shall extend for a period of 12 months, beginning at the time of delivery.

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee guarantees for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;.

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” A”/"A3"/ (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier Supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplierSupplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;.

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” A (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where In the event that the Purchaser has decided to exercise an option exercises any of the options in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rateparagraph 2, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option)above, the Supplier hereby undertakes to shall provide to the Purchaser, at Supplier's expense, immediately upon within 14 days of receipt of Purchaser’s notice of Purchaser's exercise of the option, a an additional performance guarantee for the due performance of the optionguarantee, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser’s satisfaction, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "“Option Value". The performance guarantee shall remain valid 60 ”, effective until sixty (60) days after the expiration of the "warranty period for the Goods and/or Services, supplied during the Option Period. WARRANTY Supplier's warranty, in accordance with the terms and conditions, set forth in Annexure "A" or 60 days, after the expiration of the warranty period, the latter. Said guarantee (General Conditions) shall be amended for the Warranty period extending for a period of up to 18 months from time to time to reflect the adjusted option price, due to the issuance end of change orders;every draw order .

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” (General Conditions) shall be in an amount equal to ten five percent (105%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier Supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above.reserved 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;.

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” (General A”(General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” A (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;

Performance Guarantee. 6.1. The performance guarantee5.1 Where the value of the Order/Contract is in excess of NIS2,000,000 (excluding options and/or flexibilities and/or VAT) or the equivalent of the foreign currency in NIS (in accordance with the applicable exchange rate, delivered as set forth by the supplier Bank of Israel, on the first working day prior to the date of submission of the price proposals to the tender/inquiry) and without in any way derogating from Supplier's duty to perform its obligations under the purchase Order/Contract, the Supplier shall, at its expense, within 30 (thirty) days from the issuance of an Order, provide the Purchaser pursuant with a guarantee for the due performance of the Contract/Order, in the form of an unconditional standby letter of credit ( in the form, attached to the tender/inquiry documents), to be given by the entities stated in Annexure “A” (General Conditions) shall be Y, in an amount equal to ten percent (10%) of the “Basic Contract Value” 5% (excluding options and/or flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for annual value of the Goods and/or Services, supplied during the “Basic Frame Contract Period”Contract/Order Price. 6.2. 5.2 In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier Supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. 5.3 Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value price exceeds US$ 500,000 or NIS1,700,000 NIS2,000,0000 (excluding flexibilities and/or VAT) or its the equivalent of the foreign currency in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the Tender Committee's decision to exercise the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (in the terms of which are set out in Annexure “E1” form, attached to the Ordertender/ inquiry Documents), to be given by a first class bank or a qualified insurance company approved by the Purchaserentities stated in Annexure Y , in an amount equal to 105% (excluding option and/or flexibilities and/or VAT) of the "Option Value". Price. 5.4 The performance guarantee shall remain in effect until sixty (60) days after the warranty period or in the event there is no warranty period, the guarantee shall remain valid up to 60 days after the expiration last date of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. delivery. 5.5 Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;.

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” A (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;

Performance Guarantee. 6.1. 6.1 The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” "A"/"A3" (General Conditions) shall be in an amount equal to ten percent (10%) of the “"Basic Contract Value” (excluding flexibilities and/or VAT) " for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or ServicesGoods, supplied during the “"Basic Frame Contract Period”". 6.2. 6.2 In the event of an extension of the “"Basic Frame Contract Period” " in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “"Extension Period”, " an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. 6.3 After supply of the last draw order, at the supplier’s 's request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services Goods supplied under during the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 abovePeriod. 6.4. Where 6.4 In the event that the Purchaser has decided to exercise an option exercises any of the options in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rateparagraph 2, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option)above, the Supplier hereby undertakes to shall provide to the Purchaser, at Supplier's expense, immediately upon within 14 days of receipt of notice of Purchaser's notice of exercise of the option, a an additional performance guarantee for the due performance of the optionguarantee, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser's satisfaction, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 , effective until sixty (60) days after the expiration of the "warranty period for the Goods, supplied during the Option Period" or 60 days. TABLE OF FLEXABLE PURCHASES AMOUNTS AND PERIODS PERIOD UP TO INCREASE UP TO DECREASE UP TO Dear Sirs, after Re: Standby Letter of Credit No: Please advise the Israel Electric Corporation Ltd., P.O. Box 8810, Haifa, Israel (hereinafter "IEC") that at the request of and for the account of (hereinafter the "Contractor"), we, (hereinafter "Issuing Bank") hereby establish in favour of IEC, our irrevocable standby letter of credit No. up to the aggregate amount of (Currency) which represents 10% of the Contract Price of the Equipment and Services to be supplied under Contract No. entered into between IEC and Contractor dated ("the Contract"), the obligations of the Contractor extending thereunder until , being the expiration date of the warranty period, period of the latter. Said guarantee shall be amended from time last item of Equipment/Services plus sixty days. (a) This standby letter of credit is payable to time to reflect IEC's account at certifying that the adjusted option price, due to the issuance Advising Bank has received a declaration purportedly signed by an authorized officer of change orders;IEC certifying as follows:

Performance Guarantee. 6.1. The performance guarantee, delivered by the supplier to the Purchaser pursuant to Annexure “A” " (General Conditions) shall be in an amount equal to ten percent (10%) of the “Basic Contract Value” (excluding flexibilities and/or VAT) for one year, (being the Basic Contract Value divided by the number of years in the Basic Frame Contract Period) and shall remain in effect until sixty (60) days after the expiration of the warranty period for the Goods and/or Services, supplied during the “Basic Frame Contract Period”. 6.2. In the event of an extension of the “Basic Frame Contract Period” in accordance with paragraph 2, above, the supplier shall deliver to the Purchaser, within the first fourteen days of the “Extension Period”, an extension of the performance guarantee for an additional period equal to the Extension Period. 6.3. After supply of the last draw order, at the supplier’s request, the Purchaser shall relinquish the performance guarantee, held by it, in exchange for a new performance guarantee, to its satisfaction, in an amount equal to 5% of the value of the actual Goods/Products/Equipment and/or Services supplied under the Order/Contract in the last year, that shall remain in effect until the period mentioned in article 6.1 above. 6.4. Where Purchaser has decided to exercise an option in accordance with Paragraph 2 above and its value exceeds US$ 500,000 or NIS1,700,000 (excluding flexibilities and/or VAT) or its equivalent in NIS (in accordance with the applicable exchange rate, as set forth by the Bank of Israel, on the first working day prior to the date of issuance of the option), the Supplier hereby undertakes to provide to the Purchaser, at Supplier's expense, immediately upon receipt of notice of Purchaser's exercise of the option, a performance guarantee for the due performance of the option, in the form of an unconditional standby letter of credit (the terms of which are set out in Annexure “E1” attached to the Order), to be given by a first class bank or a qualified insurance company approved by the Purchaser, in an amount equal to 10% (excluding flexibilities and/or VAT) of the "Option Value". The performance guarantee shall remain valid 60 days after the expiration of the "Option Period" or 60 days, after the expiration of the warranty period, the latter. Said guarantee shall be amended from time to time to reflect the adjusted option price, due to the issuance of change orders;