Billing/Payment Policy for Subcontractors and Material Suppliers

TO: SUBCONTRACTORS AND MATERIAL SUPPLIERS

SUBCONTRACTORS

1) INVOICE: Invoices must be received by the 25th of each month (in house) by 9am. Work for the entire month should be included in the billing. Please use the attached "Payment Application" form or similar format. Invoices/payment application must include a reference to Devcon's Job Number. Project Manager or Project Secretary will be happy to provide you with the correct job number.

2) CHANGE ORDERS: Changes need prior written approval from the Project Manager in the form of a written Devcon Change Order. The progress bill should include amounts for approved (written) Change Orders only with reference to the Change Order numbers.

3) PAYMENT SCHEDULE: Invoices received by the (25th) of each month with reference to Devcon's Job Number will be paid on/or about the (25th) of the following month, assuming the Owner has funded (i.e.: invoices received [in house] by May 25th will be paid on or about June 25th, provided the Owner has funded).

MATERIAL SUPPLIERS

1) INVOICES: Invoices must be received by the last working day of each month in order to be processed by the twenty-fifth (25th) day of the following month.

2) JOB/P.O. NUMBER: Job numbers are required to be noted on invoices. Purchase Order numbers should also be listed when a Purchase Order is being used.

We strictly enforce the cut off of the (25th) of the month on all subcontractor invoices, and the first of the month on all material invoices. We are required to do this to meet our billing and payment schedule.