NEWTECNIC PROCEDURE FOR REMEDIAL ACTION

Remedial Action Procedures at Newtecnic

The Newtecnic Remedial Action Procedures have been developed by the company in collaboration with its clients­­. The procedures are adapted for use on specific projects and are periodically updated. The Remedial Action Procedures is reviewed at 12 months intervals. These Remedial Action Procedures are developed to address a Newtecnic Performance Issue, which is considered to be any deficiency, problem or other issue that has adversely affected Newtecnic's performance specific to any single project.

1. Finding that a Newtecnic Performance Issue Exists

Where the Client has decided to undertake a review to determine if a Newtecnic Performance Issue exists, whether as the result of a complaint or for other reasons, the Client will inform the Newtecnic liaison of its intention and invite the Newtecnic project team to comment within 10 working days, or such other time as may be agreed by the stakeholders, before finalising the Client’s review.

2. Request for and Development of Corrective Action Plan

a) Where the Client determines that a Newtecnic Performance Issue exists, the Client shall transmit a written Remedial Action Request Report to the Newtecnic project team through email or any other agreed delivery mechanism. The Remedial Action Request Report shall include a description of the Newtecnic Performance Issue, summary of a discussion including any relevant materials examined to reach this determination, and rationale for the Client’s initiation of the Remedial Action Procedures. The Remedial Action Request Report shall be delivered within 10 working days of its being finalised by the Client.

b) Upon receiving and acknowledging the Remedial Action Request Report, the Newtecnic project team shall within 10 working days initiate a meeting or conference call with the Client to discuss the Report, including:

i. Root cause analysis of the Newtecnic Performance Issue (or summary of research conducted so far towards this analysis)

ii. Potential Corrective Action(s) based on research to date

iii. Potential timeline for implementing the Corrective Action(s)

iv. Identification of whether the issue set out in the Remedial Action Request Report requires a longer time period within which to develop a Corrective Action Plan than otherwise contemplated in these procedures

v. Where the Client and Newtecnic have previously agreed to a mitigation plan for the same Newtecnic Performance Issue (or set of issues), it shall be duly considered in the development of the Corrective Action Plan.

 The Newtecnic project team shall notify the Newtecnic staff of the receipt of the Remedial Action Process Request Report and keep the Newtecnic staff advised of the status of this corrective action process throughout.

c) In drafting the Corrective Action Plan, Newtecnic may consult and collaborate with the Client, as necessary, to ensure the Plan appropriately reflects the issues, concerns, and expectations of the Client. The Client may be requested by Newtecnic to provide comment on a draft. If comment is requested, the time necessary for the Client to provide comment shall be reflected accordingly in the timeline for development and implementation of the Corrective Action Plan.

d) Within 10 working days of the meeting with the Client, the Newtecnic project team shall deliver a Newtecnic Corrective Action Plan to the Client that includes proposed corrective measures along with specific milestones for achieving the implementation of these corrective measures. The Newtecnic Corrective Action Plan should also include proposed frequency of Newtecnic updates to the Client regarding progress in meeting these milestones.

 e) The Client shall review and either approve or reject the Plan within 10 working days of receipt. The Newtecnic project team shall be available to provide any clarification needed by the Client during this step of the process. If the Client rejects the Plan, it shall inform the Newtecnic project team of its reasons and request that the Newtecnic project team revise the Plan within 10 working days.

 f) Once the Newtecnic Corrective Action Plan is approved by the Client, Newtecnic will move expeditiously to implement the approved Corrective Action Plan and provide regular reports to the Client on its progress in meeting the requirements of the plan.

3. First Escalation – to Newtecnic project director

a) Where the project team of Newtecnic fails to do one or more of the following:

i. call a meeting or conference call, as required under Section 2 above

ii. provide a Newtecnic Corrective Action Plan that is satisfactory to the Client as required under Section 2 above

iii. implement the corrective action agreed upon in the Newtecnic Corrective Action Plan within the timeframe agreed upon

iv. provide an update on its progress in meeting the milestones set out in the Corrective Action Plan within the timeframe for reporting agreed to in that plan

 The Client may escalate the matter to the Newtecnic project director with a written notice of escalation to the Newtecnic project director, and a copy to the Newtecnic Director. This notice to the Newtecnic project director shall set out the failure giving rise to the escalation.

 b) Upon receipt of the notice of escalation, the Newtecnic project director shall notify the other Newtecnic team members, and within 10 working days of receipt, convene a meeting with the Client to review the situation and identify potential paths to address the concerns with Newtecnic’s performance against or adherence to these Remedial Action Procedures. The Newtecnic project director shall also attend the meeting.

 c) Within 10 working days of the meeting with the Client, the Newtecnic project director shall consider and affirm the Newtecnic Corrective Action Plan, including any necessary modifications. The Newtecnic Director shall also specify a proposed frequency that the Newtecnic project director and Client receive updates on Newtecnic’s progress in meeting the milestones in the Newtecnic Corrective Action Plan.

 d) The Client will review and either approve or reject the affirmed Newtecnic Corrective Action Plan within 10 working days of receipt. The Newtecnic project director and Newtecnic management shall be available to provide any clarification needed by the Client during this step of the process. If the Client rejects the affirmed Newtecnic Corrective Action Plan, it shall inform the Newtecnic Director of its reasons and request that the Newtecnic Director affirms a further revised Newtecnic Corrective Action Plan within 10 working days.

 e) Once the affirmed Newtecnic Corrective Action Plan is approved by the Client, the Newtecnic Director shall direct Newtecnic to work to implement the affirmed Newtecnic Corrective Action Plan and provide regular reports as specified in item c above.

4. Second Escalation – to Newtecnic Director

a) Where Newtecnic fails to correct the Newtecnic Performance Issue as evidenced by one or both of the following:

i. The Newtecnic Board’s failure to call a meeting to discuss the Remedial Action Request within the time frame required in Section 3 above

 ii. Newtecnic’s failure to perform against the outcomes and agreements as anticipated by Section 3 above then the Client may escalate the matter to the Managing Director. The Client shall send a notice to the Newtecnic Director of the decision to escalate, including the grounds for such escalation.

The Newtecnic Director shall acknowledge the receipt of the escalation request and shall initiate a meeting with the Client within 10 business to discuss the issue.

b) The Newtecnic Director shall draft a proposed Corrective Action Plan to address the Newtecnic Performance Issue. In preparing the draft, the Managing Director may consult and collaborate with both Newtecnic and the Client, as necessary, during the development of the Plan to ensure the Plan appropriately reflects the issues, concerns, and expectations of the Client. In addition, the Client may be requested by the Newtecnic Director to provide comment on a draft. If comment is requested, the time necessary for Client to provide comment shall be reflected in the timeline for development and implementation of the Corrective Action Plan.

c) Within 10 working days of the meeting with the Client, the Newtecnic Director will deliver a Corrective Action Plan to the Client. The Plan shall also include a proposed frequency of updates to the Client regarding progress in meeting these milestones. The Client will review and either approve or reject the Corrective Action Plan within 10 working days of receipt. Newtecnic shall be available to provide any clarification needed by the Client during this step of the process. If the Client rejects the Corrective Action Plan, it shall inform the Managing Director of its reasons and request that the Newtecnic Director revise the Corrective Action Plan within 10 working days.

d) Once the Corrective Action Plan is approved by the Client, the Newtecnic Director will move expeditiously to work with Newtecnic to implement the approved Corrective Action Plan and provide regular reports to the Client on its progress in meeting the requirements of the plan.

5. Third Escalation – to Newtecnic Managing Director

a) Where the Newtecnic Director fails to do one or more of the following:

i. call a meeting, as required in Section 4 above

ii. provide a Corrective Action Plan that is satisfactory to the Client within 10 days of the meeting or conference call with the Client, or within such other time as may be agreed to by the stakeholders

iii. implement the corrective action agreed upon in the Corrective Action Plan, within the timeframe agreed upon

iv. provide an update on its progress in meeting the milestones set out in the Corrective Action Plan within the timeframe for reporting agreed to in that plan the Client may escalate the matter to the Managing Director by sending a notice of escalation to the Managing Director. The written notice of escalation to the Managing Director shall set out the failure giving rise to the escalation.

b) Upon receipt of the notice of escalation, the Managing Director shall notify the other directors, and within 10 working days of receipt, convene a meeting with the Client to review the situation and identify potential paths to address the concerns with Newtecnic’s performance against or adherence to these Remedial Action Procedures. The Managing Director and Newtecnic directors shall also attend the meeting.

 c) Within 10 working days of the meeting with the Client, the Managing Director shall consider and affirm the Corrective Action Plan, including any necessary modifications. The directors shall also specify a proposed frequency that the directors and Client receive updates on Newtecnic’s progress in meeting the milestones in the Corrective Action Plan.

 d) The Client will review and either approve or reject the affirmed Corrective Action Plan within 10 working days of receipt. The Managing Director and directors shall be available to provide any clarification needed by the Client during this step of the process. If the Client rejects the Plan, it shall inform the directors of its reasons and request that the directors affirm a further revised Corrective Action Plan within 10 working days.

 e) Once the affirmed Corrective Action Plan is approved by the Client, the directors shall direct Newtecnic to work to implement the affirmed Corrective Action Plan and provide regular reports as specified in item c above.