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EXHIBIT 10.8
01386-001
1997 Government Contract
AWARD/CONTRACT
1. This Contract is a Rated Order Under DPAS (15 CFR 350)
Rating: DOC9
Page 1 of 7 Pages
2. Contract (Proc. Inst. Ident.) No. SP0100-97-D-0326
3. Effective Date: 15 April 1997
4. Requisition/Purchase Request/Project No. Various
5. Issued By Code SPO100
Defense Personnel Support Center
ATTN: DPSC-FRFA-1
0000 X. 00xx Xxxxxx
Xxxxxxxxxxxx, XX 00000
6. Administered By (if other than Item 5) Code S1103A
DCMC Atlanta
000 Xxxxxx Xxxxxx
Xxxxxxxx, XX 00000-0000
7. Name and Address of Contractor (No., street, city, county, State and
Zip Code)
XxXxx Industries, Inc.
P. O. Box 000
Xxxxxxx 000 Xxxxx
Xx. Gilead, NC 27306
8. Delivery: FOB Origin _____
Other (See below: X Destination
9. Discount for Prompt Payment: N/A
10. Submit Invoices (4 copies unless otherwise specified) to the Address
Shown in Item 12
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Code 3A059 Facility Code
11. Ship to/Mark For Code
SEE SCHEDULE
12. Payment Will Be Made By Code SC102A/SC0100
DFAS-CO/Southeast Division and DFAS-CO-SEM
INDIVIDUAL DELIVERY ORDERS WILL REFLECT APPLICABLE PAYMENT
OFFICE
13. Authority for Using Other Than Full and Open Competition:
X 10 USC 2304(c)(3)
___
___ 41 USC 253(c)( )
14. Accounting and Appropriation Data
TG: 97X4930.5CTO 01 26.0 S33150
15A. Item No.
15B. Supplies/Services: For Information Relative to This Contract,
Contact Xxxx Xxxx Xxxxxxx, DPSC-FRFA-1,
000-000-0000 Facsimile: 000-000-0000
15C. Quantity See Page 2 for Information
15D. Unit
15E. Unit Price
15F. Amount
15G Total Amount of Contract
$14,748,049.04 Est. Base Term MA
* Includes PWR Dollars
16. Table of Contents
Part 1 - The Schedule
A. Solicitation/Contract Form
B. Supplies or Services and Prices/Cost
C. Description/Specs./Work Statement
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D. Packaging and Marking
E. Inspection and Acceptance
F. Deliveries or Performance
G. Contract Administration Data
H. Special Contract Requirements
Part II - Contract Clauses
I. Contract Clauses
Part III - List of Documents, Exhibits and Other Attach.
J. List of Attachments
Part IV - Representations and Instructions
K. Representations, Certifications and Other Statements of Offerors
L. Instrs., Conds., and Notices to Offerors
M. Evaluation Factors for Award
CONTRACTING OFFICER WILL COMPLETE ITEM 17 OR 18 AS APPLICABLE
17. ____ CONTRACTOR'S NEGOTIATED AGREEMENT (Contractor is required to sign
this document and return _____ copies to issuing office.) Contractor
agrees to furnish and deliver all items or perform all the services set
forth or stated herein. The rights and obligations of the parties to
this contract shall be subject to and governed by the following
documents; (a) this award/contract, (b) the solicitation, if any, and
(c) such provisions, representations, certifications, and
specifications, as are attached or incorporated by reference herein.
(Attachments are listed herein.)
18. X AWARD (Contractor is not required to sign this document.) Your
_____
offer on Solicitation Number SP0100-96-R-0001, Amendments 0001 through
0004 and letters dated 2/7, 3/19, and 3/31/97 and contractor's response
thereto including the additions or changes made by you which additions
or changes are set forth in full above, is hereby accepted as to the
items listed above and on any continuation sheets. This award
consummates the contract which consists of the following documents: (a)
the Government's solicitation and your offer, and (b) this
award/contract. No further contractual document is necessary.
19A Name and Title of Signer (Type or print)
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19B. Name of Contractor
By:
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(Signature of person authorized to sign)
19C. Date Signed
20A. Name of Contracting Officer Xxxxxx Xxxxxxx
20B. United States of America
By: /s/ XXXXXX XXXXXXX
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(Signature of Contracting Officer)
20C. Date Signed 4-15-97
BASE TERM
20%
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0001 BOOT, HOT WEATHER, BLACK
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QUANTITY TOTAL UNIT TOTAL $ VALUE
PRICE
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MINIMUM 45,381 $53.9548* $2,448,522.7788
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MAXIMUM 68,072 $53.9548* $3,672,811.1456
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* MFG U/P: $50.6585 + DISTR U/P: $3.2963 = TOTAL U/P
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0002 BOOT, DESERT, TAN
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QUANTITY TOTAL UNIT TOTAL $ VALUE
PRICE
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MINIMUM 11,973 $54.2416* $649,434.6768
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MAXIMUM 17,960 $54.2416* $974,179.136
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* MFG U/P: $50.9453 + DISTR U/P: $3.2963 = TOTAL U/P
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0003 BOOT, COMBAT, MILDEW & WATER RESISTANT
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QUANTITY TOTAL UNIT TOTAL $ VALUE
PRICE
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MINIMUM 83,290 $64.0805* $5,337,264.845
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MAXIMUM 124,935 $64.0805* $8,005,897.2675
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* MFG U/P: $60.7842 + DISTR U/P: $3.2963 = TOTAL U/P
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0004 PWR BOOT, DESERT TAN
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QUANTITY U/P TOTAL $ VALUE
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MECHANICSBURG 30,568 $51.0753 $1,561,269.7704
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XXXXX 9,174 $51.5153 $ 472,601.3622
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RICHMOND 1,200 $51.0753 $ 61,290.36
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TOTAL PWR QTY/$VAL: 40,942 $2,095,161.4926
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As indicated above, each offeror provided a Manufacturing Unit Price and a
Distribution Unit Price which equated to the Total Unit Price. This was
necessary due to the Vendor Enhanced Storage and Transportation concept being
utilized hereunder. Delivery Order 0001, when issued, will represent the Vendor
Enhanced Storage Quantity that is to be manufactured and placed in storage in
accordance with the solicitation terms. Delivery Order 0001 will be billed and
paid at the manufacturing unit price only. As the contract nears completion, a
delivery order(s) will be issued and the contractor will be instructed where to
ship this two month inventory. At that time, contractor will bill and be paid at
the distribution unit price. Each delivery order will cite the applicable unit
price at which the contractor will invoice.
The effective period of this contract is from the effective date of award
through 364 days thereafter.
In accordance with Clause 52.217-9P12, Option for Indefinite Delivery,
Indefinite Quantity Contract Term Extension, the Government may extend the term
of this contract for four additional one year periods. See Clause 52.217-9P12
for full text. The following minimum/maximum quantities apply during the option
terms:
MINIMUM MAXIMUM
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BOOT, HOT WEATHER, BLACK 185,314 340,358
BOOT, DESERT, TAN 59,866 89,798
BOOT, COMBAT 374,856 624,672
In accordance with Clause 52.216-9P23, Placement of Delivery Orders Against
Multiple Indefinite Delivery/Indefinite Quantity Contract, prior to invocation
of option, an evaluation will be performed to determine which contractors get
what percentage of the requirements (35/25/20/20%) during the option ordering
term. The option term prices are hereby
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incorporated by reference as contained in contractor's best and final offer
dated March 31, 1997.
As stated on the solicitation, while each of the three boots cited contains
established minimum/maximum quantity per item, the Government reserves the right
to change the minimum/maximum quantity per item demands dictate; however, in no
event will the change exceed the combined maximum quantity of 1,054,828 pr.
In accordance with Clause 52.219-9, Small Business and Small Disadvantaged
Business Subcontracting Plan dated 9 April 1997 is hereby incorporated by
reference and made a part of this contract.
Variation in Quantity: 0% Increase/0% Decrease.
The following table outlines the effective baseline leather cost and baseline
unit cost of leather applicable to the Economic Price Adjustment - Labor and
Materials, Clause 52.216-4:
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BOOT, HOT WEATHER, BLACK:
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BASELINE USAGE BASELINE UNIT
COMPONENT LEATHER COST FACTOR COST OF LEATHER
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UPPER, HEAVY $2.62 3.5 $9.17
WT
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INSOLE $3.90 .62 $2.418
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BOOT, DESERT TAN:
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BASELINE USAGE BASELINE UNIT
COMPONENT LEATHER COST FACTOR COST OF LEATHER
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UPPER, LIGHT $2.40 .62 $1.488
WT
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UPPER, HEAVY $2.48 2.8 $6.944
WT
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INSOLE $3.90 .62 $2.418
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BOOT, COMBAT:
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UPPER, HEAVY $3.10 4.9 $15.19
WT
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GUSSET $2.05 1.7 $3.485
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COLLAR $2.25 .35 $.7877
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INSOLE $3.90 .62 $2.418
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Adjustments under the EPA Clause of this contract will be made as specified
therein using the above amounts as the initial baseline.
PAYMENT TO BE MADE TO: THE FIDELITY BANK
P. O. BOX 68
MT. GILEAD, NC 27306
NAME AND LOCATION OF PLANTS:
XXXXX INDS INC INSPECT, MARK AND TRIM 50% TO 100%
HWY 109 NORTH LEATHER & FABRIC
MT GILEAD NC 27306 CUT LEATHER & FABRIC 50% TO 100%
CEMENT, MARK, SKIVE 50% TO 100%
& INSPECT CUT PARTS
PREFIT, FIT & STITCH 50% TO 100%
LEATHER & FABRIC
LAST, VULCANIZE & 100%
RUBBER MILLING
FOB POINT FOR GFP
(FOOTWEAR LASTS)
AMERICAN WEST INSPECT, MARK AND TRIM 0% TO 50%
TRADING LEATHER & FABRIC
100 HILLCREST ST CUT LEATHER & FABRIC 0% TO 50%
DRESDEN TN 38225 CEMENT, MARK SKIVE 0% TO 50%
& INSPECT CUT PARTS
PREFIT, FIT & STITCH 0% TO 50%
LEATHER & FABRIC
AMERICAN WEST INSPECT, MARK AND TRIM 0% TO 50%
TRADING LEATHER & FABRIC
601 E RAILROAD ST CUT LEATHER & FABRIC 0% TO 50%
WAVERLY TN 37185 CEMENT, MARK SKIVE 0% TO 50%
& INSPECT CUT PARTS
PREFIT, FIT & STITCH 0% TO 50%
LEATHER & FABRIC
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XXXXX INDS FINISHING 100%
XXX XXXXX APPAREL FINAL INSPECTION 100%
HWY 24/27 PACKING 100%
MT GILEAD NC 27306 SHIPPING 100%
INSPECTION AND SHIPPING POINT: XXXXX INDS INC, XXX XXXXX APPAREL
XXX 00/00
XX XXXXXX XX 00000
IN ACCORDANCE WITH CLAUSE 52.246-9P44, THE FOLLOWING HAVE BEEN
APPROVED AS QUALIFIED LABORATORIES:
LABORATORY COMPONENT COMPONENT SOURCE
VOLUNTEER LEATHER CO UPPER LEATHER VOLUNTEER LEATHER CO
2008 XXXXXXXX XX XXX XXX 000, XXX 000
XXXXX XX 00000 GUSSET LEATHER NASHVILLE TN 37202
ADMINISTRATION FOR ABOVE: DCMC BIRMINGHAM
BURGER XXXXXXXX CTR
0000 0XX XXX X, XX 000
XXXXXXXXXX AL 35302-3502
S.B. FOOT TANNING CO. UPPER LEATHER S.B. FOOT TANNING CO
BENCH STREET BENCH STREET
RED WING MN 55066 RED WING MN 55066
ADMINISTRATION FOR ABOVE: DCMC TWIN CITIES
3001 METRO DR
BLOOMINGTON MN 55425-1573
WELLCO/RO-SEARCH OUTSOLE RUBBER MC RAE INDS, INC
000 XXXXXXXX XXXXXX XXX 000, XXX 000 X.
XXXXXXXXXXX XX 00000 XX XXXXXX XX 00000
ADMINISTRATION FOR ABOVE: DCMC ATLANTA
MC XXX INDS INC END ITEM MC RAE INDS, INC
POB 000, XXX 000 X. XXX 000, XXX 000 X.
XX. GILEAD NC 27306 MT GILEAD NC 27306
ADMINISTRATION FOR ABOVE: DCMC ATLANTA
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ALL OTHER COMPONENTS SHALL REQUIRE SUPPLIER CERTIFICATION OF CONFORMANCE ONLY.
ANY CHANGES TO THE SUPPLIERS OF THE ABOVE COMPONENTS UNDER THIS CONTRACT MUST BE
APPROVED, IN WRITING, BY THE CONTRACTING OFFICER.
[X] 52.242-9P13 RESPONSIBILITY FOR ADMINISTRATION AND INSPECTION
(JAN 1992) DPSC
(a) CORRESPONDENCE: All pertinent correspondence relative to this
contract/order shall be directed to the administering office set forth on Page 1
of this contract/order. Contractor requests for deviations from, or waiver of,
specification requirements shall be submitted to the assigned Quality Assurance
Representative (QAR).
[ ] (b) PROPERTY ADMINISTRATION
(1) Where Government Furnished Material (GFM) is being provided under
the Clothing and Textile Bailment System (DPSC Clause 52.245-9P03), the
responsibility for Property Administration is assigned to the administering
office designated on Page 1 of this contract/order. The responsibility for
maintenance of the Government's official property records is retained by the
Defense Personnel Support Center (DPSC), ATTN: DPSC-FOOM.
(2) Where Government Loaned Property (GLP) is being provided (DPSC
Clause 52.245-9P02), the responsibility for property administration is retained
by the Defense Personnel Support Center, ATTN: DPSC-_______.
(3) Where Government Furnished Property (GFP), other than that cited in
paragraphs (1) and (2) above, is being provided, the responsibility for property
administration is assigned to the administering office designated on Page 1 of
this contract/order.
[ ] (c) INSPECTION: Inspection shall be accomplished by the administering office
at the contractor's place of performance unless otherwise indicated below:
INSPECTION OFFICE (If other than administering office):
AMERICAN WEST TRADING CO, DRESDEN TN DCMC BIRMINGHAM
AMERICAN WEST TRADING CO, WAVERLY TN DCMC BIRMINGHAM
INSPECTION POINT (If other than place of performance):
If a Government QAR has not been assigned by the time inspection service is
needed, notify the cognizant inspection office.
[ ] (d) INSPECTION INSTRUCTIONS: The supplies shall be inspected for compliance
with packaging, packing, marking and quantity requirements only. At the
discretion of the QAR, the contractor's test records (protocol) shall also be
reviewed to determine compliance with requirements.
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[X] (e) ADVANCE NOTIFICATION: Pursuant to FAR Clause 52.246-2, Inspection of
Supplies Fixed-Price, the Government hereby requests advance notification that
supplies are ready for Government inspection. The contractor shall
telephonically notify the Government QAR at the office indicated in para (c)
above seven working days prior to the date supplies are ready for inspection.
[ ] (f) SPECIAL INSTRUCTIONS ON CoCs: The term "Contract Administration Office"
as it is used in FAR Clause 52.246.15, Certificate of Conformance (CoC), shall
be interpreted as the Food and Drug Administration office cited in para (c)
above. This interpretation applies only to FAR Clause 52.246-15 and shall not
apply to any administrative function performed by the office designated on Page
1, of this contract/order.
[ ] 252.247-7024 NOTIFICATION OF TRANSPORTATION OF SUPPLIES BY SEA
(DEC 1991) DFARS
(a) The Contractor has indicated by the response to the solicitation
provision, Representation of Extent of Transportation of Supplies by Sea, that
it did not anticipate transporting by sea any supplies. If, however, after the
award of this contract, the Contractor learns that supplies, as defined in the
Transportation of Supplies by Sea clause of this contract, will be transported
by sea, the Contractor --
(1) Shall notify the Contracting Officer of that fact; and
(2) Xxxxxx agrees to comply with all the terms and conditions of
the Transportation of Supplies by Sea clause of this contract.
(b) The Contractor shall include this clause, including this paragraph (b),
revised as necessary to reflect the relationship of the contracting parties, in
all subcontracts hereunder.
[X] 52.242.9814 MANUFACTURING DIRECTIVE NUMBER (JAN 1992) DPSC
(a) Manufacturing Directive Number (MDN) MDL Identifies this award for
Government-Furnished Property (GFP) Transactions and shall be cited on all
requests for GFP. Appropriate cross-reference between this number and contract
numbers shall be maintained to identify GFP shipments.
(b) When the contractor receives or returns GFP, the MDN will appear in
Card Columns 54-56 (Distribution) of the shipping document (DD Form 1348-1, DOD
Single Line Item Release/Receipt Document) or be reflected on the Bill of Lading
Worksheet Document which accompanies shipments of shoe lasts.
[ ] 52.242-9P15 PAYMENT (JAN 1992) DPSC
For each items shipped, the contractor shall annotate the shipping
documents and invoices with the number of holders in the shipment and the total
net weight of the thread contained on the holders. Where manufacturing processes
beyond the contractor's control result in the total net weight of the thread
exceeding __________________ ounces (if more
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than one item, see * below) times the number of holders contained in the
shipment, the following formula for payment shall apply:
Total Net Weight X Unit Price Per Holder
*____________ Ounces per Unit
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