Supplier Compliance and Freight Routing Guide March 1, 2013 Dear Supplier: America II Electronics is committed to providing its customers the highest possible customer service. This is only achievable with cooperation throughout the supply chain and efficiencies in operations. Therefore we have provided this Supplier Compliance and Freight Routing Guide which has been designed to provide you with a quick and easy reference for our shipping requirements. Please be advised that Compliance and Routing Instructions are deemed part of the terms and conditions of purchase. These requirements are structured to provide supply chain efficiencies that support our needs and those of our customers. Thank you in advance for following these requirements. Should you have any questions related to these requirements, please contact Chris Sextro at 727-573- 0900 ext. 1176 or csextro@americaii.com. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 1
Table of Contents General Instructions..Pg 2 Supplier Requirements.Pg 3 Ship to Location.....Pg 4 Contact Information...Pg 4 International Shipments more than 150 lbs. (68 kg).....pg 5 International Shipments less than 150 lbs. (68 kg)...pg 5 Domestic Shipments more than 150 lbs...... Pg 6 Domestic Shipments less than 150 lbs... Pg 7 Pallet, Packaging, Marking, and Labeling Requirements....Pg 7 Required Documentation..Pg 8 Returns.....Pg 10 C-TPAT.....Pg 11 Trade Compliance....Pg 12 General Instructions This guide contains detailed instructions for routing, scheduling, documentation and packaging of merchandise for shipment to America II Electronics. These instructions apply to all purchase orders issued by America II Electronics and are incorporated by reference into the terms and conditions of all America II Electronics purchase orders. Noncompliance with the America II Electronics Supplier Compliance and Freight Routing Guide may result in a chargeback of all excess expenses incurred. Each supplier is responsible for forwarding this guide to their logistics department and/or any other individuals responsible for the delivery of products to America II Electronics. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 2
Supplier Requirements All purchase orders issued by America II will serve as the binding agreement of sale. Upon acceptance of the purchase order by the supplier, it is the supplier s responsibility and obligation to honor all the terms and conditions, which includes compliance with this supplier compliance and freight routing guide. These terms and conditions are duly noted on all outbound purchase orders. All terms and conditions of sale will remain in force unless otherwise rescinded in writing by America II Electronics. This statement of understanding will serve as the operating preface for all purchase order transactions and will be binding to all parties to the agreement of sale. America II purchase order numbers must appear on all packing lists, bill of ladings and export documents (commercial invoice, packing list, airway bill, ocean bill, etc). For DHL, UPS, or Fedex shipments, the America II purchase order number must be reference at the time of booking and show on airway bill label. All back orders must be approved by the purchase order s originator at America II prior to shipping. Back orders must be clearly identified on all packing lists. On large orders where pallets are required, every effort should be made to minimize the numbers of skids, minimize mixed skids and prevent damages. Purchase orders should be loaded on the same pallet whenever possible and all pallets must have a packing list identifying products that is on each pallet. Suppliers are expected to ship on time to ensure proper timely delivery of products to America II. Orders should be scheduled to allow sufficient time for transit to America II Electronics by the need date issued on the purchase order. Any delays in shipping must be reported to America II as soon as possible once the delay is recognized by the supplier. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 3
Ship to Location Warehouse: America II Electronics 11701 28 th St. North St. Petersburg, FL 33716 PH. 727-573-0900 Contact: Receiving Department/Tracy Cain Receiving Hours: 8 am 6 pm FCFS Excess Shipments Deliver to: Component Service and Logistics Door 2 2260 118 th Ave. N St. Petersburg, FL 33716 Contact Information Warehouse: Rich Sapone 727-573-0900 ext. 1238 Tracy Cain 727-573-0900 ext. 1136 Chris Gear 727-573-0900 ext. 1337 Inventory Business Group Bob Gruber 727-573-0900 ext. 1948 Compliance: John Sarapas Exports 727-573-0900 ext. 1431 Chris Sextro Compliance Director 727-573-0900 ext. 1176 Main Number: 1-800-767-2637 Fax: 727-572-9696 Copyright 2013 America II Electronics, Inc. All rights reserved. Page 4
International Shipments more than 150 lbs. (68 kg) For shipments more than 150 lbs. or 68 kg, America II has selected Seko as our forwarder. When an order is ready to ship that meets the above 150 lbs. (68 kg) weight requirements, the supplier should contact Seko. Contact details: Seko Logistics 6625 N. Anderson Rd Tampa, FL 33634 800-328-7356 Contact is Beth Houston. Email: tpaintl@sekologistics.com At the time of bookings, please provide Seko with customer name (America II Electronics), America II purchase order number, pieces, dimensions and weight of the shipment. Seko will then contact America II to get routing instructions. Once Seko has America II approval to proceed with shipment, they will contact you to arrange pick up. Supplier is expected to provide export documents. All documents must include the America II purchase order number. International Shipments less than 150 lbs. (68 kg) For shipments less than 150 lbs. or 68 kg, America II has selected DHL as its carrier. Suppliers are expected to contact DHL for all shipments that meet the above requirements. Shipments should be billed to America II Electronics DHL account number: 964223613. All duties and taxes should be billed to America II as well. Should DHL not service your area or cannot pick up, please contact America II for alternate shipping instructions. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 5
Domestic Shipments more than 150 lbs. For shipments more than 150 lbs. originating in the United States, America II has selected Ceva Logistics as our Primary carrier and Seko as our secondary carrier for LTL shipments. Suppliers are asked to contact Ceva Logistics or Seko to arrange pick up. Ceva Logistics and Seko contact information is as follows: Primary Carrier: Ceva Logistics 8130 Anderson Rd Suite 300 Tampa, FL 33634 PH. 813-886-7399 FX. 813-249-2611 Contact: Lane Grace Email: lane.grace@cevalogistics.com Secondary Carrier: Seko Logistics 6625 N. Anderson Rd Tampa, FL 33634 800-328-7356 Contact is Lisa Schueller. Email: lisa.schueller@sekologistics.com At the time of bookings, please provide Ceva or Seko with customer name (America II Electronics), America II purchase order number, pieces, dimensions and weight of the shipment. Ceva or Seko will then contact America II to get routing instructions. Once Ceva or Seko has America II approval to proceed with shipment, they will contact you to arrange pick up. Supplier is expected to provide a bill of lading. All documents must include the America II purchase order number. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 6
Domestic Shipments less than 150 lbs. For shipments originating in the United States that are less than 150 lbs., America II has selected UPS as its carrier. Suppliers are asked to contact UPS for all shipments under 150 lbs and to ship via ground unless other services options have been requested by America II. Should a faster service be requested, the supplier should get this request in writing from a representative from America II. All shipments should be billed to America II using our UPS account number: 398599 with billing zip code of 33716. Should you have any issues with UPS or you are in an area where UPS does not have service you are to contact America II for alternate routing instructions. Pallet, Packaging, Marking, and Labeling Requirements Every article must be marked in English and contain a packing list that includes America II PO number, item number, item description and quantity shipped. International shipments should include country of origin and HTS code if known. A commercial invoice must also be included with all international shipments. Zero dollar invoices are not acceptable. For shipments more than 150 lbs., items must be shipped on 48x40 inch 4-way pallets. Pallets must be in good condition with all runners and slats in place. For international shipments more than 150 lbs., pallets must be heat treated and have all ISPM 15 stamps required for international transport. Should the shipment contain pallets not heat treated and stamped, any and all additional costs to clear these pallets through customs will be billed back to the supplier. Product should not overhang the pallet and must be secured with shrink wrap. A packing list should be listed on each pallet for quick and easy reference. All boxes should be in good condition and sealed properly. Items susceptible to damage should contain extra packaging such as bubble wrap, air bags, or foam to prevent possible damages. All boxes should be clearly marked with the America II purchase order number. A copy of the packing list should also be inside the box. A copy of the packing list attached to the outside of the box as well is acceptable. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 7
Required Documentation International Shipments: Suppliers must follow international documentation requirements for shipment to America II Electronics. The supplier must be able to produce and support any documentation requirements to meet any and all import regulations and America II requirements. Failure to meet these requirements can lead to customs delays, inspections, and in some cases seizures by Customs and Boarder Protection. Specific requirements may vary based on shipping origin, shipping destination and/or transportation lane. A proper set of export documentation will include the following: Commercial Invoice Packing list Certificate of Origin (if available) For every transaction between the supplier and America II in which America II is the importer of record, the supplier is responsible for ensuring that commercial invoices are true and accurate. This includes quantities, valuation, descriptions and HTS codes (if provided). The supplier is responsible for generating a commercial invoice that clearly shows the actual price America II paid for the items. Zero dollar values on an invoice will not be accepted. Where items are provided free of charge, the commercial invoice must reflect fair market value for the products and Value for Customs Purposes Only noted on the commercial invoice. All commercial invoices must be in U.S. funds unless a written exception is authorized by America II. All invoices must be itemized. No commercial invoices stating One lot or similar wording will be accepted. Should there be a documentation issue or documents are lost, the supplier must be able to reproduce shipping documents on demand for a minimum of 60 days after shipment departure. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 8
Domestic Shipments: Domestic shipment documentation must include a bill of lading and packing list. The packing list must be itemized. No one lot or similar line item descriptions will be accepted. Bill of ladings must show America II purchase order number(s), piece count, dimensions of pallets or boxes, and weight. LTL shipments must include a bill of lading that states the above and NMFC classification of the freight. Returns Return to Vendor (RTV): When situations arise that require goods to be returned to the vendor (overages, substitutions, damages, etc.), the supplier must provide in writing an authorization to return or destroy and instructions for shipping should the items be returned. All shortages, damages, etc. must be reported to the supplier as soon as inspections are complete. Notifications must be done in writing. Returns from Customers: Should a customer have to return an item or items purchased from America II, they are to receive a return materials authorization (RMA) number from customer service. This RMA number must be on the outside of the box that is being returned to America II. Circumstances vary as to who is responsible for shipping costs for returns. Customer service will work with customers on a return by return basis to determine shipping responsibility and details. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 9
C-TPAT The Customs-Trade Partnership Against Terrorism (C-TPAT) program is a government and industry partnership to strengthen international supply chain security for international shipments coming into the United States. As a member of the C-TPAT program, America II must ensure that C-TPAT supply chain security criteria is met for all import shipments from the point of origin to the America II facility. This responsibility requires America II to ensure that all supply chain business partners meet C-TPAT security criteria in the packaging, handling and transport of America II shipments. All business partners are expected to fully comply with C-TPAT security criteria in handling America II shipments. At a minimum, seller/supplier shall ensure that adequate security controls and procedures are in place at facilities under its ownership or control that produce or ship materials to America II so as to provide sufficient security of America II cargo per C-TPAT security criteria. Seller/supplier shall have documented procedures for security of America II shipments during packaging, storage and transport and ensure that any subcontracted business partners involved in packaging, handling or transporting America II cargo comply with C-TPAT security guidelines. Seller/supplier will, on request, complete an America II provided supply chain security self-assessment questionnaire. Seller/supplier will, on request, provide America II with a detailed mapping of current and/or planned routings from their facility to the America II location or for that porting of the routing for which the seller/supplier is responsible. Seller/supplier and its subcontractors may be subject to periodic site visits from America II during normal operation hours to confirm compliance with security guidelines. Seller/supplier will maintain procedures for employees to report security incidents and/or suspicious behavior and immediately notify America II of any actual or suspected breach of security involving America II cargo. This may include cargo theft, tampering, or smuggling. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 10
Trade Compliance America II Electronics is committed to following all U.S. import and export regulations. The following section outlines America II Electronics expectations regarding supplier trade compliance. Right to Export Assurance: The supplier assures that neither the U.S. Department of Commerce, any other U.S. Government agency, and other national governments have not denied or suspended the export privileges of the supplier and agree that they will give immediate notice to America II in the event that the export privileges of the supplier are so denied or suspended. Transaction and Third Party Screening: The supplier shall be fully responsible for the screening of its transactions and subcontractors, component suppliers, vendors and all other third parties who may assist the supplier in fulfilling its responsibilities under this routing guide. The supplier will exercise commercially reasonable care and due diligence to ensure such third parties are not knowingly: Identified as, or engaged in, prohibited nuclear, missile, chemical or biological weapons of mass destruction end users or end uses Associated with circumstances or engaged in activities such as to suggest a Red Flag risk of illegal diversion Requiring the supplier to accept prohibited boycott terms or conditions Located in a restricted or embargoed country Denied person list Entity list Unverified list Specially designated nationals and blocked parties list List of debarred parties: United Nations Security Council Embargoed Persons and Entities Designated foreign terrorist organization Parties engaged in prohibited proliferation activities Copyright 2013 America II Electronics, Inc. All rights reserved. Page 11
Country of Origin: The supplier is responsible for determining the appropriate country of origin. Supplier must cooperate fully with America II in supplying data to facilitate America II origin reporting requirements including, but not limited to, all requested origin analysis, certificates of origin, manufacturer s affidavits, data transmissions and special reporting. Copyright 2013 America II Electronics, Inc. All rights reserved. Page 12