CLIENT NAME

PROJECT NAME

CONTRACT No.

CONTRACTOR’S SAFETY PERFORMANCE BONUS SCHEME

1. DEPOSIT

1.1 The Contractor shall lodge with BLENDCOR, in the form of a bank guarantee, a Deposit of 5% of the total
Contract value up to a maximum value of R20 000 (twenty thousand rand) to the Scheme.

1.2 The guarantee shall be lodged with BLENDCOR within 14 days from the Commencement Date.

1.3 The guarantee shall terminate upon issue of a Certificate of Completion in respect of the whole of the Permanent
Works.

2. PENALTY

2.1 If employees of the Contractor or his subcontractors experience any LWI, MTC or FAC incidents, a penalty
shall be imposed for every occurrence of such incidents as determined below.

a) Lost Workday Injury (LWI)

An amount equal to 100% of the Deposit shall be deducted from the Scheme.
In addition the Contractor will not be entitled to receive any bonus.
b) Medical Treatment Case (MTC)
An amount equal to 10% of the Deposit shall be deducted from the Scheme.
c) First Aid Cases (FAC)
An amount equal to 5% of the Deposit shall be deducted from the Scheme.

2.2 If after deduction of penalties from the Scheme, the Scheme is in deficit, the Contractor shall lodge a further
Deposit within 14 days of notification to do so.

3. BONUS

3.1 If on Completion of the Works, employees of the Contractor and his Subcontractors have not experienced any:

a) lost workday injuries

b) medical treatment cases
c) first aid cases

BLENDCOR will pay the Contractor a bonus equivalent to 50% of the value of the Deposit.

3.2 Where penalties have been imposed under subclause 2.1(b) and 2.1(c), the bonus payable will be 50% of the
remaining value in the Scheme at the time of issue of the Certificate of Completion.

4. RETURN OF BANK GUARANTEE

Provided that employees of the Contractor or his Subcontractors experienced no lost workday injuries, the bank
guarantee shall be returned within 14 days after the issue of the Certificate of Completion.