Afton Supply Services North America

AFTON CHEMICAL’S SUPPLY SERVICE OFFER Introduction

At Afton Chemical we believe that supply chain efficiency and continuous service improvements are tangible and provide valuable benefits to our customers. In updating this Supply Services document it is our intention to continually improve the quality of service to all our customers. This document defines our standard service offer included in our sales price and available from all of our shipping facilities, as well as a range of additional services which enables you to tailor supply arrangements to meet your specific needs.

This clear focus on our standard offer will give you a more consistent level of service that you can rely on and, through simplifying our planning and scheduling, will allow us to adapt the level of that service to you.

By offering additional services we aim to give you the opportunity for a more flexible and personalised service, while communicating the impact on cost and operations that some of these solutions may have.

The values upon which Afton Chemical is founded form our Passion for Solutions® philosophy. We take pride in continually expanding the services and support we can provide to support our customers, improve operational efficiency and lower overall costs.

If you have any suggestions to further improve the quality of our service, please do not hesitate to highlight them to your Afton Chemical Sales Representative.

Safety and Quality

Responsible Care

It is the policy of Afton Chemical to comply with all laws and regulations concerning environmental protection, health, safety (including process safety), security, and stewardship (EHS3), which affect our operations. We are also committed to the principles of preventing pollution, conserving energy, minimizing waste, using sustainable resources, and minimizing our impact on the environment.

In addition, as a member of the American Chemistry Council, we are committed to fulfilling the Responsible Care® requirements, including the Guiding Principles, designed to improve the performance of our industry in the area of EHS3.

Afton Chemical will promote a spirit of openness with interested parties, including partners in our supply chain, so that hazards and risks associated with our products, processes and operations are available to them. We will address concerns of interested parties promptly and seriously.

No Waiver Policy

Afton Chemical operates a no waiver policy on supply of all products. Afton Chemical will not ship products that do not meet mutually agreed upon specifications, analysed by mutually agreed upon test methods. A certificate of analysis containing the actual analysis for each lot or batch is provided with every Afton Chemical shipment.

Return Policy

Customers may request a product return by contacting their Afton Sales Representative or their Customer Relationship Specialist. All product returns must be approved by Afton prior to returning any material. Afton’s return policy is as follows:

•No Bulk product that has been unloaded can be returned. Only product in the original transport equipment is accepted.

•Rail cars and tank trucks must be unopened with seals intact.

•Drums must be original drums, unopened, and in good condition. No partial drums are allowed.

•Product must be within shelf life period.

•Customer Specific (exclusive formulations) product returns will be evaluated on a case-by-case basis.

•Customers will be responsible for return freight and 20% restocking fee for all returned products

Business Continuity

Afton Chemical’s Business Continuity Planning (BCP) is a process based around a realistic support structure and focused on managing and mitigating the impact of supply disruptions. We strive to embed BCP in Afton Chemical’s Culture and have active BCP programs in all functional areas from product development through delivery.

If you have specific questions around resilience or business continuity, please contact your Afton Chemical Sales Representative.

Order Management

Order Placement

Orders can be placed with Afton’s Customer Relationship Team located in Richmond, VA by email, phone or fax during normal business hours, Monday – Friday, 8:30 am – 5:00 pm, Eastern Standard Time. Orders will be entered within 24 business hours of receipt.

Order Acknowledgement / Confirmation

Acknowledgement of orders will be provided up to 48 hours of purchase order receipt. Customers who do not receive an order acknowledgement should contact their Customer Relationship Specialist.

Once an order is placed into Afton’s system, an Order Confirmation will follow confirming when the order will be shipping or made available for pick-up, if transportation is not being managed by Afton.

Both documents will be sent via email unless otherwise noted by the customer

Order Changes

Changes made to orders within 5 business days prior to the scheduled ship date must be approved by Afton’s Logistics Management team and will be subject to a change order fee based on the impact to Afton’s shipping facility.

Order Invoicing

Typically invoices are issued within 24 hours after a product ships from Afton’s facility. Most invoices are created automatically and sent electronically unless otherwise requested by the customer.

Payment Terms

Standard terms are Net 30 Days from the date of the invoice (ship date pricing). Pricing and price changes are based on effective date of shipment, unless otherwise agreed. Any questions related to pricing should be directed to Afton’s sales team.

Contact Us

Customer Service – Information (855) 385-1922

In case of a chemical emergency, please call Chemtrec – toll free - 800-424-9300

Please do not hesitate to raise any specific requirements you may have with your Afton Chemical Sales or Customer Relationship Representatives.

Special Services After-Hours Support

Customers can reach Afton’s Customer Relationship team for after-hours support at the following numbers: 7 days per week, until 10:00 pm, Eastern Standard Time: 804-513-7106 or 877-247-1150

Automated Services

Web-based Customer Order Processing and Invoicing Service

Afton can support customers looking to implement a system wide web-based order and invoicing network. Several invoice networks are marketed and in use today and Afton currently support multiple network services for customers. Each customer request needs to be evaluated on a case-by-case basis for Afton to fully understand the support requirement and assess Afton’s resource needs, including Information Technology support.

Fee: A minimum monthly fee will be charged for this service. Fees vary based on Afton support requirement.

For further information or to discuss this type of service, please contact your Afton Chemical Customer Relationship Representative.

Commitment To Quality

Concerns and non-conformances raised by our customers should be addressed immediately to your Sales or Customer Relationship Specialist. The concerns are managed electronically within Afton’s system, ReSOLVTM, to allow rapid communication between sites and offices. A champion is assigned to each case to review for Root-Cause and Corrective Action. Afton’s goal is to acknowledge a customer’s concern within 24 hours and to provide a root cause analysis as soon as possible within a 30 day window.

Lead-Times and Standard Minimum Order Quantities

Afton Chemical offers competitive lead-times for its stock items and made-to-order/assemble-to-order items. These minimum lead-times reflect the time necessary to process and prepare a customer order in a safe and cost-effective manner. Lead times are expressed in business days from order receipt to order dispatch. Transit time should be added to these typical lead-times in line with the chosen mode of transport.

**Made to Order MOQs are dependent on the batch size Consult your

The lead-times are minimum values for guidance. Actual lead-times can fluctuate to allow optimized production scheduling and they may be extended temporarily during periods of peak demand.

In support of unexpected or urgent product requirements, Afton Chemical may be able to offer rapid response lead-times. Please contact your Afton Chemical Customer Relationship Representative to address your specific requirements.

Rapid Response Fees will be added to orders placed under the stated lead time.

Changing or cancelling a confirmed order will require prior agreement by Afton Chemical, and may lead to additional service charges.

Please contact your Afton Chemical Customer Relationship Representative to address your specific requirement.

Packaging

Afton Chemical only uses new high quality packaging and refrains from using reconditioned or used packaging materials.

Pricing for packaged material will carry a differential above bulk MT prices reflecting the additional material, handling and labor cost.

For specific price details related to packaged products or special packaging requirements, please contact your local Afton Chemical Sales Representative.

Standard Drum

• 55 U.S. GALLON, (208L) plus 4% surplus capacity

• 216.5L steel tight head drum 1.0/0.9/1.0 mm with 2 “W” rolling hoops

Unlined-carbon steel

• Min. UN 1A1/Y1.5/100, typical tare from 16kg

• 2” and 3/4” Tri-sure type closures

• Height overall 880 mm +⁄ - 3mm, Diameter over seam 585 mm +⁄ - 3mm

Non-standard gauge drums, epoxy / phenolic lined drums, custom colored drums or customized labeling, or any combination thereof can be supplied at a premium cost.

Please contact your Afton Chemical Sales Representative for further information.

Standard IBC

• 275 gallon High Density Polyethylene (HDPE)

• UN31HA1

• Unlined and surrounded by a galvanized tubular steel cage, with a galvanized steel 4-way entry

• 6 in fill opening and 2 in discharge opening

Not all products are suitable for supply in IBCs and not all regional warehouses carry inventories in IBCs. Non-standard IBCs can be supplied at a premium cost. Pallet type, higher capacity containers and connecting valves can be supplied to suit your operations. Certain products containing high levels of solvent require 6-Ply IBCs which come with a premium cost diff erential. Return of empty packaging is not permitted.

Please contact your Afton Chemical Sales Representative for further information.

Pallets

Pallets can be supplied on request with drum orders at an additional cost. Pallet size and rate will depend on the mode of transport. Drums will be secured appropriately using polyethylene wrapping, horizontal and/or vertical strapping as required.

Special pallets or customized wrapping/strapping is available at a premium cost upon request.

Please contact your Afton Chemical Sales Representative for your specific requirement.

Labels

Afton will apply a standard set of labels on all package types for identification and in order to meet all regulatory requirements for the chosen mode of transport.

Custom-made labels can be applied at a surcharge. Please contact your Afton Chemical Sales Representative for further information.

Transportation and Shipping

Afton Chemical has selected a qualified group of reliable and quality driven partners to ensure your product is delivered under the right conditions, at the right time and to the right place. The area of expertise of these logistics partners spans a whole range of delivery modes from rail, bulk trucks, ISO containers to package trucks. These logistics partners are regularly audited by Afton Chemical.

Domestic Freight Shipping Terms

Freight Collect

Customer selects and pays the carrier. Customer provides name of carrier and carrier contact person and phone number at the time order is placed. Afton’s Shipping Group arranges pick up with customer’s carrier.

Freight Collect - Customer Pickup

Customer selects and pays the carrier. Customer arranges pick up with own carrier.

Freight Prepaid

Afton selects and pays the carrier. Afton’s Shipping Group arranges pick up with Afton’s carrier. Afton includes freight cost in product pricing to customer.

Freight Prepaid & Add

Afton selects and pays the carrier. Afton’s Shipping Group arranges pick up with Afton’s carrier. Afton adds freight charge as a line item in invoice to customer.

Shipping Locations & Hours of Service

Afton’s typical hours of operation are: Bulk Shipments

Any exceptions to the above hours of service are included in the order confirmation. If the shipping plant has specified a specific loading date and time for the order, it will be documented on the order confirmation.

Rail Transport Service

Rail Equipment

Afton maintains a leased fleet of general purpose, exterior coiled and insulated tank cars. Standard tank car capacity is 23,500 gallons.

Rail Contracts

Afton has rail contract agreements with all Class I Railroads with the exception of the Canadian Pacific.

Railcar Usage Fee

Afton supplies tank cars for customer shipments as a service and charges a railcar usage fee to recover costs associated with the railcar and railcar shipment.

For Prepaid freight terms, the railcar usage fee is added to the rail freight cost and presented as a part of the total price of the product.

For Collect freight terms, the railcar usage fee may be added as a line item in the invoice to customer.

Railcar Detention Policy

Afton charges Railcar Detention to customers for holding Afton supplied railcars longer than expected (7 days). Railcar Detention begins at constructive placement and ends when the railcar is empty released.

Bulk Carrier Transport Service Preferred Carriers

Afton’s standard equipment offering for bulk truck deliveries is a DOT407/MC307 specification tank trailer. Afton has access to dedicated equipment, such as multiple compartment tank trailers and trailers with ground level venting. Any customer specific specialized equipment requirements must be reviewed for feasibility and costs.

Customer Pick-up and Customer Requested Carriers

Customers may arrange for their own carrier either with their own trucks or a common carrier for collect shipments. The customer must provide a US DOT specification trailer or equivalent that is in test and suitable for loading. All drivers are required to have identification and to be in compliance with Afton site requirements. Afton reserves the right to refuse entry of any driver or carrier under Afton’s Safety and Security policies. Afton will accept no responsibility for costs associated with a carrier or driver rejection or non-admittance by an Afton site.

Carrier Equipment Cleanliness

Afton Chemical requires haulers to present a clean, dry, Department of Transportation (DOT) specification road cargo tank trailer at the shipping location with a cleaning certificate regardless of the nature of the cargo. Exceptions can be approved with prior written agreement. All trailers must have all washout caps properly secured prior to entering in any Afton facility.

Detention Policy & Fees

Afton allows two hours free time for discharge at the customer which is consistent with industry standards and practice, on all bulk shipments.

Customers will be invoiced for detention on orders where sales terms are Prepaid or Prepaid and Add. In addition, any carrier fees, such as product heating requirements or other variable costs will be validated with carrier invoice and/or transport documentation upon request. The customer will be invoiced for these additional charges separately by Afton.

Product Loading & Unloading

Afton Chemical uses a set of basic criteria to ensure smooth and effective loading operations.

• All bulk orders are allocated a specific loading date and time slot. Loading date and time for Customer PickUp loads will be communicated on the Order Confirmation

• Written authorization is required before Afton Chemical will load over a heel present in a customer carrier trailer.

• Because of a number of variables (e.g. – carrier, weather, in-transit delays, distance), Afton Chemical is not able to guarantee a delivered product temperature as part of a standard delivery. Any costs associated with heating product to a requested unloading temperature will be at the expense of the customer. Any invoices received from Afton’s carriers for Prepaid and Prepaid and Add shipments will be invoiced separately to the customer.

• Afton Chemical understands that each customer may have unique pumping, handling, and storage requirements. We will recommend our preferred carriers that are best equipped to address your needs and provide solutions to meet your requirements.

• Any fees and charges associated with required unloading temperatures will be the customer’s responsibility.

Packaged Freight Transport Service Preferred

Carriers

Afton partners with a transportation provider who has a robust central TMS and extensive LTL and TL carrier network to support Afton’s packaged freight network. This allows for freight optimization opportunities and streamlined order processing for our Shipping Groups.

Customer Pick-Up and Customer Requested Carriers

Customers may arrange for their own carrier either with their own trucks or a common carrier for collect shipments. All drivers are required to have identification and to be in compliance with Afton site requirements. Afton reserves the right to refuse entry of any driver or carrier under Afton’s Safety and Security policies. Afton will not accept responsibility for costs associated with a carrier or driver rejection or non-admittance by an Afton site.

Hazmat Tote Shipments

Department of Transportation (DOT) requires drivers who transport portable tanks (IBCs or totes) having an individual rated capacity of more than 119 gallons and an aggregate rated capacity of 1,000 gallons to have tank vehicle endorsement for their CDL license.

Afton’s totes have a capacity of 265 gallons, thus shipments of four or more would exceed the 1,000 gallon threshold.

Customers who use freight collect must ensure selected carriers meet this DOT requirement.

Product Loading

Afton Chemical follows a set of basic criteria that ensure both smooth and effective loading operations and first-time-right manufacturing. Afton Chemical allocates specific loading days to each order, in case of bulk orders also specific time slots for loading. Customers collecting at our facilities will be advised of these time slots through our order confirmation process.

Standard Minimum Order Quantities (MOQ)

The minimum order for stock items may consist of more than one product. In the interest of optimizing load-out activities, we encourage our customers to combine collections from our warehouses. Please refer to the table within the Lead Times and Minimum Order Quantities, section 2, of this manual for details.

Bulk Shipment Variances

Bulk shipping variances can occur between shipping and receiving locations from a variety of reasons including: measurement methods, operator errors, temperature changes, weight versus volume conversions, etc. Shipment variations are a common industry item and in order to streamline the process for both the customer and Afton, Afton has adopted an industry standard variance process.

For variance up to +/- 0.5% for low viscosity products, and +/- 1% for high viscosity products (> 600 cSt @ 60°C):

Customer agrees to pay Afton the invoiced amount.

For variance greater than +/- 0.5% for low viscosity products, and +/- 1% for high viscosity products (> 600 cSt @ 60°C):

Customer agrees to advise Afton’s Customer Relationship Specialist of the discrepancy prior to unloading. If the product is unloaded prior to contracting Afton, the customer agrees to pay Afton the invoiced amount. Once contacted, Afton’s Customer Relationship Specialist will coordinate with the appropriate Shipping Group to verify the quantity on the Bill of Lading (BOL).

If no error is found then:

Afton will arrange for either an Afton Representative, if in close proximity, to go to the customer’s site to oversee gauging and to collectively agree upon the quantity

Or, if no Afton Representative is available, the customer will arrange for a third party to gauge the bulk container. The resulting gauged amount will be deemed as the correct amount by both Afton and the customer.

If the quantity gauged is within +/- 0.5% of the quantity on the BOL, then the customer is responsible for the third party’s fee.

If the quantity variance gauged by the third party is greater than +/- 0.5%, then Afton is responsible for the third party fee.

Supply Servic es

ASIA PACIFIC Afton Chemical Asia Pacific LLC 111 Somerset Road #09-05 Singapore 238164

T: 65 6732 0822

F: 65 67374123

EMEAI Afton Chemical Limited London Road, Bracknell Berkshire RG12 2UW

United Kingdom

T: 44 (0) 1344 304 141

F: 44 (0) 1344 420 666

LATIN AMERICA Afton Chemical Industria de Aditivos LTDA Avendia Rio de Janeiro 901 (Parte) CEP-20931-675

Brazil

T: 55 21 3295 4050

F: 55 21 3295 4098

NORTH AMERICA Afton Chemical Corporation 500 Spring Street Richmond, Virginia 23219 USA

T: 1 804 788 5000

F: 1 804 788 5184

©2023. Afton Chemical Corporation is a wholly owned subsidiary of NewMarket Corporation (NYSE:NEU). www.aftonchemical.com