Saneco Corporation - General Sales Conditions

Unless there is a written provision to the contrary, all sales by Saneco Corporation Ltd. and its Subsidiaries (referred below as "the Company") shall abide to the following General Conditions:

1.

Offers

Offers made by the Company shall be understood as without obligation, others than those specified in the offer itself and subject unsold. Should there be any discrepancies in relation to dimensions, weights, performances and so on, between the offer and our catalogues and/or prospectus, the ones in the offer should prevail. The data in our catalogues and/or prospectus is only given on an approximate and indicative basis and without obligation in the case of non conformity, their specification being in no way a part of the offer.

2.

Orders and Sales Contracts

Orders accepted by our representatives, and likewise agreements concluded by them, shall only be valid after written ratification by the Company. Representatives shall not be authorized to amend the Company's General Conditions, to accept payments and/or to make receipts. Except in case of assigned mandate, specific to each case, they shall not be entitled to incur liability on the part of the company.

Orders shall be final, unless there is a refusal or reserve formulated within three days of receipt of the order form. This shall cancel all prior correspondence.

Any order shall involve acceptance without reservation of the Company's General Sale Conditions, which may not be altered by Customer's own General Purchase Conditions and/or indications appearing on the order forms submitted.

Instructions for dispatch and marking of packaging, and products must be given to the Company with the order.

3.

Prices

All prices quoted are in US Dollars and on FOB basis, unless other terms are specifically requested by the Customer. The prices shall be those appearing in the respective offer and are valid for the period indicated in the offer. The Company reserves the right to amend prices stipulated in offers to take in account factors, such as: changes in cost of the materials and the exchange rate valid at the time of order being accepted, custom duties, taxes and so on. This clause should be valid until total payment of invoices.

4.

Sales Contracts

The Company requires the Customers to sign a Sales Contract, where the General Sale Conditions may be altered if necessary.

The Sales Contract takes effect after the initial payment is received.

If specifically agreed, an Order can substitute Sales Contract. In such cases, the Order will take effect after the initial payment is received.

The Company accepts Hard Copies confirmations, only. Confirmations by Fax are acceptable only if explicitly stipulated in the Sales Contract.

5.

Delivery & Force Majeure

The delivery deadlines stipulated in the order form, order confirmation and/or Sales Contract shall be indicative and approximate. Cases of absolute necessity, such as strike, lock-out, war, mobilization or requisition, fire, flood or other natural catastrophe, suffered either by the Company or by its suppliers, shall release the Company from its obligations. Cases of absolute necessity shall moreover give the Company the option to consider the contract terminated purely and simply, without compensation or to defer it for a period equal to that of the interruption to work. In such case, the Company shall give notice by registered letter.

From being loaded on the transport vessel, all the risks related to the products shall be borne exclusively by the Customer and in no case the Company can be held accountable.

6.

Transport

The Company shall in no case guarantee the means of transport, which the Company shall only find by way of favor to the Customer.

All the costs of transport, loading, packaging, insurance and customs shall be borne by the Customer, unless there is a written stipulation to the contrary.

7.

Transfer of ownership

The sale shall only be executed and ownership of the products sold (and all accessories) transferred to the Customer at the time of total payment of the price in principal, with any possible interest or costs. The Customer shall therefore be forbidden to sell the products, lease them, pledge them or dispose them in any way whatsoever, or to make any change to them likely to reduce their value, before the total payment is completed.

For any product delivered by way of lease, trial, deposit or loan, it shall entirely remain the property of the Company.

In the event of the transformation of the products or their being mixed with any other objects, the Customer shall grant to the Company, as a guarantee of its debt, the right of ownership in the entire volume or the new object, which results form the operation.

8.

Quality / Quantity Discrepancy Claims

If the quality and/or quantity/weight of the products are found not to be in conformity with the contract, claim should be filed in writing by the Customer, with an attached inspection certificate - issued by a local authorized inspection organization. Any discrepancy in quality and/or quantity/weight should be claimed within 15 days after the arrival of the products at the port of destination.

The Company reserves the right to refuse any return of products, which has not been made within 15 days after the arrival of the products at the port of destination, unless there is a written stipulation to the contrary. In no case may the said complaint give the Customer any right to retain all or part of payment.

The liability of the Company shall be limited to replacement under the same conditions of all the products recognized as defective with the exclusion of any compensation or, if it is impossible to replace, cancellation of the corresponding invoice.

In case the Company requires return of the faulty products, the Customer should arrange the return within 10 days, where the Company should fully reimburse the Customer for the returned products' transportation cost.

If the order is canceled the Company should reimburse the Customer with the full amount of payments received to date plus 10% penalty of the total order amount.

9.

Payments

Unless there is a stipulation on the contrary, payments should be received at the Company's registered bank account, upon receipt of and as per the pro-forma invoices provided.

Any delay or default in payment within the time limits agreed shall entitle the Company, as of right to its benefit and without any prior notice of default, to charge arrears interest per day 0.2%.

In the event of non-payment, the seller shall moreover be entitled:

- To demand the immediate payment of the remaining balance due, increased by arrears interest

- To take back the material sold from wherever it may be found. The contract shall be terminated for the remainder without other formality. Amounts already paid shall remain with the Company by way of damages

- To postpone the shipping date, if required payments are not received according to the terms of the Sales Contract, in which case the Company will not be liable for any such delay

The Company reserves the right, either at the time of sending its invoices or later, to bill the Customer for all sums due to it. Such bills must be accepted on presentation, in default of which any sum due or not yet outstanding, even for another contract or another order, shall immediately become payable as of right in advance.

10.

Guarantee

Products and accessories shall be subject solely to the conditions of guarantee of their respective manufacturers and will be reflected in the Company's respective guarantees.

11.

Arbitration

All disputes arising out of or in connection with the present contract shall be finally settled under the Rules of Arbitration of the International Chamber of Commerce by one or more arbitrators appointed in accordance with the said Rules.