Nylex rfi international freight draft

Nylex Limited – Commercial in Confidence Do Not Disclose

Nylex Limited

REQUEST FOR INFORMATION(RFI)

International Freight

Date:

Statement of Confidentiality

The Company expects the Potential Supplier to respect the confidentiality of The Company and The Company’s customer information. It is expected that the Potential Supplier shall treat this Information Document and the request for response as confidential. Accordingly, the Potential Supplier shall not copy, distribute, or otherwise disclose the information contained in this document to any party other than employees with a need to know in order to provide The Company with the information requested in this document. Exception will be made where the information is available in the public domain through no breach of confidence by the Potential Supplier or where it is available from some source other than The Company without a breach of confidence with the Potential Supplier. If the Potential Supplier does not agree with the above provisions, the Potential Supplier must return this document and all related materials upon receipt to The Company.

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TABLE OF CONTENTS

1 OVERVIEW AND INTRODUCTION 41.1 THE COMPANY 41.2 THE COMPANY’S PROPOSAL OBJECTIVES 41.3 SUPPLIER OPPORTUNITY 41.4 RFI SCOPE AND VOLUME OF POTENTIAL BUSINESS 41.5 CONTACT INFORMATION 5

2 INSTRUCTIONS 62.1 RESPONSE FORMAT 62.2 SUPPLIER SELECTION CRITERIA 62.3 SELECTION PROCESS 62.4 CONTRACT 72.5 QUESTIONS 7

3 GENERAL TERMS AND CONDITIONS 83.1 CONFIDENTIALITY83.2 CONFLICT OF INTEREST 83.3 COMPLIANCE 83.4 PROVISION 83.5 ACCURACY OF PROPOSAL 83.6 SUPPLIER TO ACQUAINT THEMSELVES WITH CONDITIONS 83.7 PROPERTY AND COPYRIGHT OF PROPOSAL INFORMATION 83.8 LIABILITY IN RESPECT OF PREPARATION OF THE PROPOSAL 93.9 LIABILITY FOR PROPOSAL INFORMATION 93.10 LATE SUBMISSIONS AND ALTERATIONS 93.11 WITHDRAWAL OF PROPOSALS 93.12 ACCEPTANCE OF PROPOSALS 93.13 SUBMISSION OF PROPOSALS 9

4 SERVICE REQUIREMENTS – GENERAL 114.1 HANDLING AND STORAGE OF PRODUCT 114.2 INDUSTRIAL RELATIONS 114.3 INSURANCE 114.4 OCCUPATINAL HEALTH AND SAFETY 114.5 UNITS OF PRICING 11

5 SERVICE REQUIREMENTS – CUSTOMS BROKERAGE AND FREIGHT FORWARDING 12

5.1 GENERAL REQUIREMENTS 125.1.1 CUSTOMS BROKERAGE CERTIFICATION 125.1.2 REPORTING AND COMMUNICATION 125.1.3 INVOICING, PAYMENT, CONSOLIDATION AND DOCUMENTATION 125.1.4 SERVICE AVAILABILITY 135.1.5 GENERAL REQUIREMENTS 135.1.6 INFORMATION TECHNOLOGY 135.2 IMPORT REQUIREMENTS 135.2.1 IMPORT ACTIVITIES 135.2.2 IMPORT REPORTING AND COMMUNICATION 135.2.3 IMPORT FACILITIES 145.3 EXPORT REQUIREMENTS 145.3.1 EXPORT ACTIVITIES 145.3.2 EXPORT REPORTING AND COMMUNICATION 14

6 SERVICE REQUIREMENTS – CONTAINER PACKING 156.1.1 CONTAINER STUFFING ACTIVITIES AND INSTRUCTIONS 156.1.2 CONTAINER STUFFING REPORTING AND COMMUNICATION 156.1.3 CONTAINER DE-STUFFING ACTIVITIES 156.2 ENVIRONMENTAL PROCESSES 156.3 HUMAN RIGHTS AND ETHICAL TRADING 15

7 ORGANISATIONAL DETAILS 167.1 CONTACT INFORMATION 16

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Nylex Limited – Commercial in Confidence Do Not Disclose 7.2 SENIOR ACCOUNT MANAGEMENT TEAM 167.2.1 PERSONNEL STRUCTURE 16

7.3 POINT OF PRESENCE 177.4 BROKERAGE REPRESENTATION 187.5 CUSTOMER SERVICE REPORT 18

8 FINANCIAL STABILITY 198.1 FINANCIAL STATEMENTS 198.2 INSURANCE 198.3 FINANCIAL INSTITUTE REPORT 19

9 RELATIONSHIPS 199.1 RELATIONSHIPS WITH SHIPPING LINES 199.2 SHIPPING LINE AND OTHER 3RD PARTY RELATIONSHIPS 199.2.1 IMPORT / EXPORT VALUE CHAIN INTERACTION 199.2.2 RATE NEGOTIATIONS 199.3 VALUE ADDED SERVICES 20

10 SUPPLIER RELATIONSHIP-WHARF CARTAGE & CONTAINER PACKAGING 20

10.1 PROVISION OF WHARF CARTAGE 2010.2 PROVISION OF CONTAINER PACKAGING 20

11 CERTIFICATION AND LICENSES 21

12 INFORMATION TECHNOLOGY 2212.1 TRACK AND TRACE TOOL 2212.1.1 KEY FEATURES OF TOOL 2212.1.2 REAL TIME INFORMATION TRANSFER 2212.1.3 TRACK AND TRACE ALERTS 2212.2 SERVICE AVAILABILITY, LICENSING AND UTILISATION 2212.2.1 EDI PLATFORMS 2212.2.2 SYSTEM INTERFACING WITH AGENCIES 2212.2.3 SOFTWARE ON-LICENSING 22

13 CARGO MANAGEMENT RE-ENGINEERING 2313.1 BUSINESS PREPARATION 2313.2 CURRENT CUSTOMERS 2313.3 NEW CLIENT BASE 23

14 PRICING / COMMERCIAL / TRADING 2414.1 Management of Shipping Line Rates 2414.2 PRICING TEMPLATE 2414.3 LANE PRICING 2414.3.1 LCL PRICING 2414.3.2 LCL CONSOLIDATED LOADS 2514.3.3 FCL PRICING 2614.3.4 PRICING STRUCTURE 2714.3.5 PRICING COST REDUCTIONS 2714.3.6 EXCHANGE RATE STRATEGY 2714.3.7 PRICE FLUCTUATION STRATEGIES 2714.3.8 FUEL COST MANAGEMENT 2714.4 PAYMENT TERMS 2714.5 LENGTH OF CONTRACT 28

APPENDIX 1 – RFI QUESTION FORM 29APPENDIX 2 – AUTHORITY AND SIGNATURE FORM 30APPENDIX 3 – ACTIVITY / VOLUME DOCUMENT separate cover attachment

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1. OVERVIEW AND INTRODUCTION

1.1 Nylex LimitedLevel 1, 88 Albert RoadSouth MelbourneVictoria 3205AustraliaMelbourne Vic 3004

Will be referred to in the text of this document as “The Company “

1.2 The Company’s Proposal Objectives

In issuing this Request for Proposal, The Company’s primary objectives are to:

• Collect information on your business to determine the Suppliers most capable of meeting The Company’s needs both today and in the future

• Identify opportunities to significantly reduce the total cost of Freight Forwarding services.

As a recipient of this RFI, your organization has been selected as a potential service provider in the field of International Freight Forwarding.

1.3 Supplier Opportunity

The Company has set out to change the way in which we approach the International Freight industry, taking ownership of process management and Shipping Line rate negotiations. Additionally The Company will require a Freight Forwarder with true regional capabilities who can service the broad range of complex needs of the business. The aim is to achieve a mutual benefit for The Company and its suppliers through planning, volume certainty and transparency. We believe this Request for Information & quotations (RFI) presents an exciting and unique opportunity for our future suppliers for several reasons:

• Opportunity for successful suppliers to increase business with The Company.• Potential for development of a long-term relationship with The Company.

The responses to this RFI will determine the supplier’s suitability for a more strategic relationship with The Company.

1.4 RFI Scope and Volume of Potential Business

The Scope of this RFI specifically relates to the provision of Freight Forwarding services internationally. The Company aims to identify a regionally capable Freight Forwarder who can service all relevant aspects of the Supply Chain without compromise. The Company has recognised the fundamental need to use a service provider who is proactive, technologically advanced and who can provide regional visibility and global scope.

This RFI relates specifically to the services of Sea Cargo Forwarding, including 3PL management, needs based warehousing, cartage and customs clearance. The Company may award a two-year agreement subject to annual review, based upon the responses to this RFI, and subject to other considerations. The responses to this RFI will provide the foundations for any agreements that may be entered into by the suppliers and The Company. Hence, the responses provided will represent an irrevocable offer by the supplier to contract with The Company. It is expected that the participating suppliers will provide highly competitive pricing in

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Nylex Limited – Commercial in Confidence Do Not Disclose their responses and demonstrate the skills necessary to provide Freight Forwarding services of The Company.

1.5 Contact Information

To ensure fair, consistent responses, all communications regarding the process for this RFI must be made via e-mail to the Project Manager:

Tom Evanse-mail: [email protected]

Contact with other personnel within The Company regarding this process is strongly discouraged.

Any attempt to contact other personnel or to obtain information regarding this process outside of the channels provided to each supplier could result in your company’s elimination from the RFI process.

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mailto:[email protected]

Nylex Limited – Commercial in Confidence Do Not Disclose 2 INSTRUCTIONS

2.1 Response Format

The RFI responses should be provided in electronic form on compact disk should comprise of:1) Request For Informationl response in Word form2) Pricing response in Excel spreadsheet

Each question in the body of the RFI requires a written response. Answers are to be inserted immediately after each question. Please add space to the electronic version of the RFI as required responding in full to the questions asked. Additionally it is important to note that suppliers should not remove the preamble from the document, or modify the Title Page of the Request for Information document.

Suppliers may include any additional information and material they wish; however, such material (i.e., alternative products or services and/or features) shall be identified as such and contained in a separate attachment to the Proposal. Any such attachment shall identify the applicable RFI or subsection to which it is applicable and shall be incorporated into and be made a part of the Proposal.

2.2 Supplier Selection Criteria

The Company will utilise your response to this RFI and any subsequent discussions to select a supply arrangement that best serves its current needs. Exhibiting a high degree of competitiveness in all aspects of supply will be essential to secure business on conclusion of this review.

In addition to competitive pricing, The Company may evaluate:

• Supplier’s ability to manage and deliver services in a timely, reliable and responsive manner, including on a regular and ad-hoc basis to all The Company’s businesses

• Commitment to the highest quality standards of services, and ability to meet The Company’s business requirements,

• Supplier’s position with respect to industry’s best practice,• Provision of product and service innovation,• Supplier’s scope and geographic service ability,• Suppliers’ demonstrated ability to reduce costs year-on-year by employing both:

o Continuous improvement program focused on efficiency gainso Value Optimization plan for the term of the agreement

• Ability to provide comprehensive Track and Trace Tools,• Regional support networks and partnership agreements,• Government and industry recognition and relevant registrations,• Competent registered Customs brokerage services,• Modes of billing.

2.3 Selection Process

All parties responding to this RFI will be given equal consideration in the selection process. Suppliers will be evaluated on their ability to provide products and service to meet The Company’s needs and their commitment to forming a direct relationship with The Company.

Progression will be based on the response to this RFI. The Company does not intend to enter multiple rounds of negotiation following response to this RFI. We encourage you to position your initial response as the most competitive available; however The Company reserves the right to conduct further negotiations with respondents of the RFI if it is required.

Market competitiveness is of paramount importance in this RFI.

It is expected that the outcome of this RFI will be communicated to all respondents.

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Nylex Limited – Commercial in Confidence Do Not Disclose 2.4 ContractThe Company will require the successful supplier to execute a formal Agreement for the Supply of Freight Services. This Agreement will be provided to short listed participants prior to the final selection. Compliance with The Company’s agreement will be a key selection criterion for awarding the business.

2.5 Questions

All questions regarding this RFI must be directed to Tom Evans as per the detail specified in this RFI. If you require any clarification of RFI details, send the questions via email in the form attached in Appendix 1. Answers to significant questions will be distributed to all confirmed RFI recipients.

RFI Schedule

Date TaskTBA RFI released to potential suppliersTBA Suppliers email any questions to Tom Evans by 12:00p.m. EST as set out

in Appendix 1.TBA The Company to respond to all questions by 5:00pm EST. Answers to

significant questions will be communicated to all confirmed respondents.TBA One electronic copy of the completed proposal is to be delivered direct to

Tom Evans as set out in 3.13 Submission of Proposal by 17:00pm EST.

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Nylex Limited – Commercial in Confidence Do Not Disclose 3 GENERAL TERMS AND CONDITIONS

3.1 Confidentiality

All material submitted to you by The Company must be treated as confidential and not used for any other purpose than the response to this RFI.

All Proposal documents, specifications and other written information supplied by The Company to the Supplier shall be treated by the Supplier as confidential and shall not be disclosed to any third party otherwise than in the course of the preparation of a Proposal pursuant hereto except with the prior written approval of The Company.

The Company will also regard information that you submit as confidential in nature.

3.2 Conflict of Interest

Should this Proposal, or the supply of the Service, constitute a Conflict of Interest or risk of Conflict of Interest, please declare to The Company prior to commencing the Proposal.

3.3 Compliance

The Supplier should lodge a Conforming Proposal in accordance with the instructions contained in this RFI and must include all information requested. The issuance of this RFI does not bind The Company to accept any Proposal, in whole or in part, whether or not it includes the lowest bid, nor does it bind The Company to provide any explanation or reason for its decision to accept or reject any proposal. The Company may chose to award outside of this process.

3.4 Provision

It should be understood that your response to this RFI constitutes an offer to do business on the terms stated in your response and that should your bid be successful, The Company may incorporate all or any part of your response to this RFI as our agreement.

In taking receipt of this RFI, you understand that the information contained in the RFI is confidential and proprietary information of The Company and is not to be disclosed by you to any third party or used by you for any purpose other than in good faith consideration of the RFI without the expressed written consent of The Company.

3.5 Accuracy of Proposal

The Supplier warrants that the information supplied by him or her, and inserted in the Proposal Documents is in all respects correct and accurate.

3.6 Supplier to acquaint themselves with Conditions

A Supplier shall be deemed to have acquainted themselves with all conditions affecting the Proposal. If they have any doubt as to the meaning or intention of the documents issued by The Company for the purposes of tendering, they must apply to Tom Evans for clarification.

3.7 Property and Copyright of Proposal Information

All Proposal documents remain the property of The Company at all times. All rights of intellectual property including copyright in the Proposal documents, including any written information supplied to Suppliers by The Company or any person on behalf of The Company shall be and at all times remain the property of The Company and shall not be used by Suppliers for purposes other than the preparation of a Proposal pursuant hereto except with the prior written approval of The Company.

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Nylex Limited – Commercial in Confidence Do Not Disclose 3.8 Liability in Respect of Preparation and Submission of the Proposal

The Company shall not be liable in any respect whatsoever for any costs, damage, charges or expenses whatsoever or howsoever arising incurred by the Supplier in relation to the preparation or submission of the Proposal.

3.9 Liability for Proposal Information

The Company shall not be liable in any respect whatsoever whether in tort or in Contract or howsoever in respect of any information supplied by The Company by way of the Proposal documents or any way pursuant thereto and all representations by The Company whether oral or in writing are hereby expressly negated and excluded.

3.10 Late Submission and Alterations

The Company may, in its absolute discretion, consider or refuse to consider any late quotation and negotiate or execute a contract with a Supplier that lodged a late quotation.

Should the Supplier find any discrepancy, error or omission in the Documents, the Supplier shall immediately notify The Company in writing via e-mail of the nature of the discrepancy, error or omission.

3.11 Withdrawal of Quotations

Before Closing Date: A Supplier may withdraw his or her quotations before the Closing Date.

After Closing Date: Proposals shall remain valid for acceptance within ninety (90) days from the date of closing of Proposals, and a Supplier shall not withdraw his or her quotation prior to the expiration of the Validity Period. At the request of The Company a Supplier may agree to his or her quotation remaining valid for a further period.

3.12 Acceptance of Proposals

Company Not Bound to Accept: The Company shall not be bound to accept the lowest or any Proposal.

Acceptance of Sections: The Company may accept a Proposal for less than the whole of the work described in the Proposal Documents.

3.13 Submission of Proposals

Responses to the RFI should be sent/delivered as follows:

Tom EvansNylex Limited

Address 3 Healey Road Dandenong Vic

Facsimile Number: +61 3 9581 0614Telephone Number: +61 3 9581 0214

Responses are to be submitted by TBA

Suppliers must return one electronic copy on Compact Disk and one bound hard copy.

All electronic responses must be submitted within the format of the Microsoft Word and Excel documents provided for the completion of this RFI.

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Nylex Limited – Commercial in Confidence Do Not Disclose No request for extension of time will be considered within 72 hours of closing of the RFI – The Company has no obligation to extend the closure time / date, however if an extension is granted, the extension shall be granted to all submittees.

All offers shall remain valid for a period of 90 days from the date of closing of the Request for Proposal, or any extended time that may be agreed to by the Respondent.

4 SERVICE REQUIREMENTS- GENERAL

Ideally, The Company will require the services of a IFF who can manage the scope of business as a whole – however, as noted in “3.12” The Company may accept a proposal for less than the whole of the work described in the RFI. Additionally the IFF will need to support the business in Project Management as well as with providing a more accurate KPI structure that encompasses the whole region.

4.1 Handling and Storage of Product

The service provider is expected to handle and store The Company’s product in a secure, safe and appropriate manner so as to ensure no loss or damage arises to the product.

4.2 Industrial Relations

The Service Provider will ensure that there is no interruption of services to The Company’s customers. In the event of a disruption, the Service Provider should make alternative arrangements at no cost to The Company so that service is maintained. The Company retains the right to take action as required to ensure a continuation of those services

4.3 Insurance

The Service Provider must have insurance for public liability, and damage or losses to The Company, to the value of AU$ 20,000,000.00 for any one incident

4.4 Occupational Health and Safety

The Service Provider will be required to comply with The Company’s occupational health and safety procedures. The procedures are outlined in detail in the booklet Site Conditions for Contractors – Including Information and Code of Behavior for Contractors and Tradespersons.” A copy of this document is available upon request.

The Company shall retain a copy of the above document, signed by the Service Provider

4.5 Units of Pricing to be used throughout the RFI

Please Note – for the purpose of this tender prices quoted must be in the following units:

Pricing related to Sea or Air Freight (and other directly associated pricing such as CAF / BAF etc) is to be in USD.

Pricing related to Local Costs (such as land freight, documentation fees etc) are to be in the relevant local currency i.e. AUD for dock to site freight in Australia.

This is to ensure consistency across all submissions – The Company will make payment in local currency, however will reserve the right to enter into an agreement for payment in other currencies.

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Nylex Limited – Commercial in Confidence Do Not Disclose 5 SERVICE REQUIREMENTS- CUSTOMS BROKERAGE AND FREIGHT FORWARDING

5.1 General Requirements

5.1.1 Customs Brokerage Certification

The Service Provider, or the 3rd Party employed by the Service Provider must provide comprehensive customs brokerage. The service provider must be a certified customs broker and/or freight forwarder in their respective countries of operation. It is required that a minimum of five years of certification exists in each country of operation.

5.1.2 Reporting and Communication

The following Volume and Spend reports are to be provided (as a minimum) in Week Two of every quarter, as specified below:

• Period reporting will be in addition to the access to a competent interactive Track and Trace Tool.• At the end of each four-week period, a report is to be provided summarizing that period’s

international freight volumes and spend by lane. The report should provide a rolling three month trend, highlighting any anomalies and areas of improvement made,

• At the end of each year, a report is to be provided summarizing that year’s international freight volumes and spend by lane.

The following Service Performance reports are to be provided in Week Two of every quarter, as specified below:

• Average transit time by lane• Demurrage charges• Non-conformance and corrective action• On-time delivery• Other measure as agreed with The Company during the agreement term• All service performance exception since the last report is to be summarized.

Other Reports and Communications:• As requested, the Service Provider should provide information on import requirements and

regulations in other countries (e.g. Duty Rates, Clearance and Delivery Charges, etc).• Regular industry updates should be provided to keep Company ‘X’ abreast of industry changes,• Tailored email updates to all key users regarding industry changes and business trends.

5.1.3 Invoicing, Payment Consolidation and Documentation

Consolidate all charges incurred for a given shipment onto a single itemized invoice including:• Wharf cartage• Container stuffing / de-stuffing• Sea Freight• CAF & BAF• Port Charges• Customs charges• Quarantine charges• Import Duty• Demurrage – if applicable• Customs Brokerage / Freight Forwarding service fee• Any other charges that have been agreed by The Company.

Each item must be clearly defined on the invoice and evidentiary proof must be provided of the exact cost, and exchange rate where necessary. Sundry charges for communication, etc, will not be accepted. All such costs should be factored into the Customs Brokerage / Freight Forwarding service fee

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5.1.4 Service Availability

At a minimum, 8 hours per day, 5 days per week service with after hours support is required at all major sites.

5.1.5 General Requirements

• Provide accessories for exports, i.e.. Shipping Line Carter’s Notes, Container Seals, local carrier’s Freight Notes

• Endorse the wharf cartage supplier’s Freight Notes for payment to the Service Provider, and deliver pads of these endorsed notes to The Company.

• Act in all circumstances on behalf of The Company to maintain product integrity, our customer service and cost competitiveness

• It is the Service Provider’s responsibility to ensure that all relevant government legislation is adhered to in regards to the transportation, storage and handling of The Company’s product

5.1.6 Information Technology- Track and Trace Tool

The Company requires a single interfacing Track and Trace platform across all business locations that will enable the effective flow of information. Additionally the following features will be considered at a minimum:

• Measurement of shipment progress,• Provision of an analytical tool to assist in the overall management of the account.• Measurement is to be provided in real time.

5.2 Import Requirements5.2.1 Import Activities

• Manage the transportation of goods from overseas supplier when required.• Manage Ocean freight to Destination.• Complete Customs Clearance and Shipping Line clearance.• Ability to undertake LCL Consolidation to minimize freight costs• Manage the Customs Service’s requirements to meet the production schedule of The Company.• Coordinate and monitor the timely delivery of goods to store, including documentation,• Compile Export Entry/Certified Invoice/Bill of Lading, lodging Export Entry with Customs

Service and obtaining clearance. Lodge Bill of Lading with Shipping Line and obtaining Original Bills of Lading/Waybill back from Shipping Lines.

• Monitor deliveries to prevent demurrage costs being incurred by The Company, The Company’s expectation would be that the first 30 days (as a minimum) would be demurrage free.

• Monitor returning of empty containers to prevent detention charges being incurred. Liaise with Shipping lines to allow extensions of time when required

• Pre-advise The Company of impending deliveries and relevant dates for storage,• Lodging Pro-forma and Value Claims veering any damage or pillage where required• Return shipping documentation and invoicing which will cover relevant charges on each shipment

to the specified office of The Company.• Must be able to handle LCL cargo.• Manage the cartage of consignments from wharf to the relevant distribution centre of The

Company ensuring that all licensing, insurance and legislative requirements are strictly adhered to.

5.2.2 Import Reporting and Communications

• Provide weekly Order Status Report covering any damage or pillage where required• Provide weekly Order Status Report covering all current shipments

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5.2.3 Import Facilities

• Provide access to satisfactory bond store facilities as required,• Provide access to container warehousing as needed, this service will include container de-stuffing,

and redistribution to The Company’s stores.

5.3 Export Requirements

5.3.1 Export Activities

• Coordinating shipments to meet with production/distribution dates, and liaise with Lines regarding equipment and availability.

• Arrange delivery of empty containers to relevant site for loading as required for ocean freight, and arrange delivery of the full containers to port/Rail

• Advise Shipping Line full list of Container Numbers under each booking reference 24 hours prior to ship arrival for loading

• Complete additional Export certification as required (e.g. Ministry of Agriculture and Forestry Phytosanitary Certificates, Certificates of Origin, Legalisation of documentation with overseas Embassies, etc)

• Courier/fax full set of export documents to Consignee, and deliver full set (with tax invoice for total cost of job) to relevant office of The Company within 7 days of shipment

• Provide P.O.D.’s when required• Must be able to handle LCL cargo

5.3.2 Export Reporting and Communications

• Provide services to interface with the consignee and their agents to monitor shipments• Provide regular updates on the latest cut-off time and date for receival at load Port.

5.4 Service & Product Delivery

5.4.1 Level of integration with The Company’s business.

1. Please comment on scope, resources, processes and systems

2. Will you provide dedicated resources and a single point of contact?

* Dedicated resources? YES/NO* Single point of Contact YES/NO* If Yes, please describe below

3. How will you ensure your resources are easily accessible to the Company’s business?

4. Please describe the level of integration you have achieved with other customers and if you were to win new business with the Company, what specific steps would you implement to transition and achieve integration.

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6 SERVICE REQUIREMENTS – CONTAINER PACKINGContainer packing (stuffing and de-stuffing) is required in instances where the activity is not performed by the relevant distribution centre of The Company.

6.1.1 Container Stuffing Activities and Instructions

• Ensure container is clean and dry• Stock to be packed to ensure maximum utilization of floor space• All free space to be filled to prevent carton movement during shipping. The use of dunnage is at

the discretion and cost of the container packer. Dunnage that results in the need for a quarantine inspection at the destination port should not be used

• Cartons to be stacked upright only. No cartons to be stacked on their side unless prior written approval is obtained from The Company.

• Cartons are not to be man-handled or abused • Cartons are to be block stacked in product groups and date code lots and not mixed. The product

groups should be orientated across the width of the container so that all of a particular product may be unloaded at one time. This assists container unpacking of products onto pallets

• Product with damage is to be re-packed or put aside. Notify the Customer Service Department of any stock not able to be shipped within 24 hours of packing the container

• Weight calculations to be based on the rights specified in the forwarding instructions• Container weight should not exceed the relevant shipping lines or road transport limits

6.1.2 Container Stuffing Reporting and Communications

• All issues with the packing of containers (e.g. packing quality issues, variance from any of the below points etc.) to be communicated to the Customer Services Department prior to closing the container doors.

• Notify the Customer Services Department of any stock not able to be shipped within 24 hours of packing the container, for example, due to breakage

• Three digital photos must be taken during the packing of the container (start, middle and end) and must be made available to The Company when requested.

6.1.3 Container De-stuffing Activities

• Unpack container onto the relevant local pallets as used by The Company in the region.• Product to be stacked as per the agreed configuration for the product• Product is not to be mishandled or abused

6.2 Environmental Processes

The Company is committed to responsible environmental management in the total conduct of its operations. You must at all times meet the requirements of The Company’s environmental systems.

Suppliers shall comply with all local and national environmental laws, permits and regulations. Where no local laws exist, the suppliers shall use a best practice model as a guideline when using available levels of technology and resources.

Suppliers shall review all materials supplied to The Company to ensure that they have no negative impact on the environment. Where products do constitute a negative impact, suppliers shall have documented procedures to manage the impact. These procedures shall be available to The Company on request or in the event of an audit.

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Nylex Limited – Commercial in Confidence Do Not Disclose 6.3 Human Rights and Ethical Trading

The Company is committed to ethical business practices, honesty, fair dealing and full compliance with all laws affecting its businesses. We require suppliers to adhere to legal standards as a minimum, and industry best practice.

QUESTIONNAIRE

7 ORGANISATION DETAILS

7.1 Contact InformationPlease provide details of the Primary and secondary contact who will service as a single point of reference for communication related to this RFI process

Dimension Primary Contact Secondary ContactName TitleCompanyAddress 1Address 2CityCountryEmailPhoneFax

7.2 Senior Account Management TeamDescribe the team your company will put in place to address Nylex Limited ongoing needs. Specifically, who will manage activities with The Company at national and local levels? What are the roles and responsibilities for each team member?

Location Name Position Years at Company

Contact Details Years in Industry

SomertonSeafordMentoneDandenongAucklandSydneyPerthBrisbaneTownsville

7.2.1 Personnel StructurePlease provide a company structure. Detail in this structure your process for addressing The Company needs and concerns. Please include ownership and agreements at each major site, specifying Government and Industry affiliation. – Use of Organisation Charts is suggested.

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7.3 Point of Presence (POP)Please provide details of the Business name and contact details of each site. It is critical to identify the relationship with each site with the following identifiers:

• Branch• Exclusive Agent• Agent• Representative

City Country POP Contact DetailsYear first entered

city

Branch/ Agent. Please indicate if Agent is

Exclusive or a Representative.

Years of relationship

Adelaide Australia

Brisbane Australia

Melbourne Australia

Perth Australia

Sydney Australia

Ningbo China

Guangzhou China

Hong Kong China

Shanghai China

Zhongshan China

Shekou China

Shenzhen China

Yantian China

Chaiwan China

Huangpu China

Xiamen China

Tianjin China

Florence Italy

La Spezia Italy

Milan Italy

Los Angeles USA

Chicargo USA

Saettl;e USA

New York USA

Hamburg Germany

Frankfurt Germany

Hanover Germany

Rotterdam Netherlands

Amsterdam Netherlands

Auckland N. Zealand

Christchurch N.Zealand

Osaka Japan

Tokyo Japan

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Nylex Limited – Commercial in Confidence Do Not Disclose Taipei Taiwan

Bangkok Thailand

7.4 Customs Brokerage for each site indicating duration of licence of individual and business.

City CountryCustoms Brokerage Service

including individuals names and contact details

Exclusive relationship Y/N

Year License grantedYear relationship

began

Adelaide Australia

Brisbane Australia

Melbourne Australia

Perth Australia

Sydney Australia

Ningbo China

Guangzhou China

Hong Kong China

Shanghai China

Zhongshan China

Shekou China

Shenzhen China

Yantian China

Chaiwan China

Huangpu China

Xiamen China

Tianjin China

Florence Italy

La Spezia Italy

Milan Italy

Los Angeles USA

Chicago USA

Seattle USA

New York USA

Hamburg Germany

Frankfurt Germany

Hanover Germany

Rotterdam Netherlands

Amsterdam Netherlands

Auckland N. Zealand

Christchurch N.Zealand

Osaka Japan

Tokyo Japan

Taipei Taiwan

Bangkok Thailand

7.5 Customer Service Support.Describe the customer service support that will be available to The Company. Please detail services provided, availability and any charges that are not included in proposal pricing.

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8 FINANCIAL STABILITY

8.1 Financial StatementsProvide a current copy of your company financial statements. These statements should include both your financial performance for the past three years, and financial projection for the proceeding three years.

8.2 InsurancePlease provide your company’s certification of insurance coverage. (NB: The Company’s minimum requirement is AUS$ 20,000,000 coverage per individual incident for Public Liability)

8.3 Financial Institute ReportProvide a current copy of a Financial Institute Report (e.g. Dun and Bradstreet) for your company.

9 RELATIONSHIPS

9.1 Relationships with Shipping LinesPlease list your key contacts at major shipping lines that you have a major working relationship with and who would be used for deliveries into Melbourne and Auckland:

Shipping Line Preferential agreement Y/N

Type of relationship i.e. Contract

Melbourne Auckland Major Lanes TEU volume p.a

9.2 Shipping Line and Other 3rd Party Relationships

Please describe your working relationships with the shipping lines and how this translates to an improved ability to, for example, source containers, obtaining extended demurrage, provide late receives?

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Nylex Limited – Commercial in Confidence Do Not Disclose 9.2.1 Please describe how you interact with 3rd parties in the import / export value chain (e.g. container packers, wharf carters)

9.2.2 Detail your process for negotiating rates with shipping lines?

9.3 Value-added Services

Are there any other value added services that you think might be of interest to Nylex Limited

10 SUPPLIER RELATIONSHIP – WHARF CARTAGE & CONTAINER PACKAGING

10.1 Provision of Wharf CartagePlease provide details in which locations you are prepared to offer wharf cartage?

Location Service Offered Y/N

Equipment Type Sub-contracted Y/N Further Comments

10.2 Provision of Container Packaging

Please indicate as to which sites you will offer a container packaging service.

Location Service Offered Y/N Container type i.e. 20’ R, flat bed, etc

Sub-contracted Y/N Further Comments

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11 CERTIFICATION AND LICENSES

Please detail your Licences and Certifications in each of the following countries indicating in which locations they are held, and the year granted:

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12 INFORMATION TECHNOLOGY

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Australia:

New Zealand:

Japan:

China:

Indonesia:

Taiwan:

Singapore:

India:

Netherlands:

Malaysia:

Hong Kong:

USA:

Germany:

Italy:

Korea:

Great Britain:

Thailand:

Canada:

Brazil:

Vietnam:

Belgium:

Spain:

Nylex Limited – Commercial in Confidence Do Not Disclose 12.1 Track and Trace Tool

12.1.1 Key Features of ToolProvide adequate details as to the five key features of the ‘Track and Trace’ tool that your business utilises?

12.1.2 Real Time Information Transfer.What is the delay experienced in transferring data to your Track and Trace Data base, and how quickly is this information available to your clients?

12.1.3 Track and Trace Alerts.How are alerts and warnings transmitted to the clients, and at what point will this occur?

12.2 Software Availability, Licensing and Utilisation.

12.2.1 EDI PlatformsWhat EDI Platforms are utilised throughout the Region providing length of time system has been operational.

12.2.2 System Interfacing with Customs and other Industry/Government Agencies.Provide detail as to how your business currently interfaces with Customs direct.

12.2.3 Software On-licensing.Does your business have the capacity to on licence EDI platforms and other software to their client base? If so at what cost?

13 CARGO MANAGEMENT REENGINEERING

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Nylex Limited – Commercial in Confidence Do Not Disclose 13.1 Business PreparationPlease provide detail as to the preparation undertaken to ensure a transfer through CMR. It is important to outline the major difficulties that were experienced in this transition, also highlighting the manner in which these issues were resolved.

13.2 Current CustomersDetail the fundamental steps that were undertaken to ensure that all clients were ready and educated about the transition? What errors did your business make that would not be repeated if the process were to be replicated?

13.3 New Client BaseWhat steps would be undertaken should your company be awarded this agreement to ensure that The Company was fully compliant with CMR and any other pending industry requirements?

14 PRICING

Management of Shipping Line Rates and other 3rd Party Charges

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• In the pricing templates below, Suppliers are to provide pricing that shall be the maximum rates charged for the ensuing twelve months as a minimum period, no increases shall be accepted by The Company during that period. Suppliers are also to provide a formalized mechanism to The Company by which pricing may be reduced in line with general market rates

• Movements in other 3rd Party charges must be communicated to, and agreed in advance by Nylex

14.2 Pricing Template

Suppliers are required to complete the pricing table for the services in which your business is submitting aproposal for. Indicate your most competitive offer for each item listed under the terms outlined in this RFI, in sections 14.3.1, 14.3.2, 14.3.3, and 14.3.4.

14.3 Lane PricingPlease provide pricing for the following lanes (sea freight component only) – in USD – refer to enclosed volume levels by port of origin / destination: -

14.3.1 LCL Pricing

Origin Destination Cost per m3 Cost per kg Ability to consolidate cargo

As perAttached list

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Nylex Limited – Commercial in Confidence Do Not Disclose 14.3.2 LCL Consolidated Loads

Origin Destination Cost per m3 Cost per kg Ability to consolidate cargo

As perAttached list

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Nylex Limited – Commercial in Confidence Do Not Disclose 14.3.3 FCL Pricing

Origin Destination Cost per 20’ Cost per 40’ Other

As perAttached list

14.3.4 Pricing Structure:

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Nylex Limited – Commercial in Confidence Do Not Disclose Please provide a complete (itemised) list of all further pricing components – in local currency – not included in the above templates, using the following (example) template: -

NB : Any item not included in the pricing templates that appears in any subsequent invoicing will not be honoured by The Company by way of payment at any future time.

Price Component Price per Unit / Shipment CommentsLocal Cartage- 20’ Side loaderLocal Cartage – 20’ rigidLocal Cartage – 40’ Side loaderLocal Cartage – 40’ semi trailerCAF / BAF Document Fees First doc $XX , second document freeSecurity Surcharge Where / When appliedETCETC

14.3.5 Pricing Cost Reductions:What initiatives have you put in place to reduce the cost of your provision of Freight Forwarding services and what impact did it have on your cost base?

14.3.6 Exchange Rate StrategyWhat is your strategy to minimise the risk of exposure to exchange rate fluctuations?

14.3.7 Price Fluctuation StrategiesWhat strategies have you put in place to minimise exposure to price fluctuations in the market?

14.3.8 Fuel Cost ManagementHow does your business manage the ever-changing fuel costs

14.4 Payment TermsThe Company’s Standard Payment terms are end of the calendar month that immediately follows the calendar month in which The Company receives a properly completed and accurate invoice from the Supplier. Please indicate any additional discount that would apply through more favourable payment terms.

Payment Terms % Discount14 days21 days32 days

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14.5 Length of ContractThe Company may consider longer term contracts if value can be demonstrated. Please indicate details of any price discounts offered if tenure is increased.

Contract Length % Discount12 months

2 years3 years

Appendix 1- RFI Questions Form

Please note this form can either be faxed or forwarded by email.Fax COVER PAGE

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Response to International Freight Tender- Part ADate

To:Tom EvansNylex Limited0417354863

From:Company Name: _______________________________Contact Name _______________________________Telephone: _______________________________Fax: _______________________________Email: _______________________________

Reference to Section of this RFI

Question Number: RFI reference # Question or clarification required

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Appendix 2 - Authority and Signature Form

Due by ……….Upon completion of the response, complete and include this form along with your proposal.

To: Tom Evans Nylex Limited

0417354863

From: Company Name:

Contact Name:

Telephone:

Fax:

Authority and Signature Form

The Supplier has full power and authority to enter into an agreement based upon the attached response and any proposal thereto; and the person signing this proposal on behalf of supplier has been properly authorised and empowered to enter into the proposal. The Supplier further acknowledges that it has read the attached document, understands it, and agrees to be bound by it.

Company Name

Print/Type Name

Signature

Title

____________________________________Date

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Nylex rfi international freight draft

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