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Terms &
Conditions

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NEW SOURCE CORPORATION |
PURCHASE ORDERS TERMS AND
CONDITIONS |
SECTION 16 APRIL 28, 2008 REV
B |
1.0
GENERAL REQUIREMENTS
The following terms & conditions apply
to the purchase of products and/or services per New Source
Corporation purchase orders. Please note that some requirements are
specified on the purchase order while other information is contained
within this document.
Suppliers shall package all material using
environmentally friendly materials.
2.0
APPROVALS
Suppliers shall be approved and comply with
prime contractor specifications, when noted on purchase orders.
Disbarred or disapproved suppliers to any OEMs must notify New
Source Corporation prior to supplying any
product/service.
3.0
QUALIFICATION OF PERSONNEL
The Supplier shall ensure that all personnel
performing work affecting, product quality shall be competent on the
basis of appropriate education, training, skills and experience.
Records shall be maintained to provide evidence of employee
qualifications.
4.0 QUALITY
MANAGEMENT SYSTEM
Suppliers shall have a quality management
system, including an inspection system, compliant with their
industry standard specification.
The requirements herein shall be
incorporated into the procedures of he supplier to the extent
required for the product and services rendered.
5.0 TECHNICAL
DATA I SPECIFICATIONS / DRAWINGS
When specifications, drawings, process
requirements, inspection instructions and other relevant technical
data are required, New Source Corporation will specify such
information on the Purchase Order. The supplier shall be
responsible for complying with New Source Corporation requirements,
customer and / or prime contractor specifications and drawings, as
well as all applicable regulatory requirements. Suppliers shall
comply with all specifications stated on each purchase order and
shall maintain a specification register of all
specifications.
6.0 TEST,
INSPECTION AND IDENTIFICATION
When requirements for design, test,
examination, inspection and related instructions for acceptance are
required, New Source Corporation will specify such in Formation on
the Purchase Order. The supplier shall ensure that Serial
numbers, heat numbers, and other part identifications are maintained
through all production process steps.
7.0 TEST
SPECIMENS & CERTIFICATES OF CONFORMANCE
When requirements for test specimens for
design approval, inspection investigation or auditing are required,
New Source Corporation will specify such information on the Purchase
Order. Suppliers shall provide written Certificates of
Conformance for all products / services provided to New Source
Corporation. In the case of raw material mills, Suppliers shall
properly identify material to clearly indicate the alloy and
applicable specifications.
8.0
NOTIFICATION OF NON-CONFORMANCES Suppliers shall immediately notify New
Source Corporation in the event a nonconformance (i.e. discrepancy)
is discovered. Suppliers shall perform this notification if the
non-conformance is discovered during processing or after the product
/ service has been delivered to New Source Corporation. Suppliers
shall clearly identify nonconforming material and shall segregate
the nonconforming material from acceptable product. In the event of
nonconforming material supplier will institute corrective and
preventative action and document. New Source Corporation
reserves the right to charge, to the Supplier, the cost of material
and labor required to rework or replace non-conforming
/discrepant material. New Source
Corporation reserves the right to charge, to the Supplier, he cost
of material due to weight discrepancies that result from the
difference in weight measurements of the supplier and that of New
Source Corporation.
9.0
RIGHT OF ACCESS The Supplier shall allow right of entry,
including access to applicable records, for inspection, audit or
other quality evaluation purposes, to New Source Corporation,
customers of New Source Corporation, prime contractors and / or
airlines as well as all regulatory institutions, such as, but
not limited to the FAA, the US Military or Government agencies.
10.0 FLOW DOWN OF
REQUIREMENTS TO SUB-TIER SUPPLIERS Flow down
requirements are not limited in any way. In the event of a customer
requirement overlaps an existing specification or procedure, the
customer’s provision on requirement shall take precedence. Customer
must be notified should this occur, Flow down clause also includes
customers’ right to entry of any facility. All provisions on
special customer orders in turn shall be placed on whatever vendor
or vendors used .in manufacture or special processes. Provisions
shall include all quality requirements passed onto New Source
Corporation.
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