PAVESTONE PROJECTS -DFG GROUP - COMPANY PROFILE

C/Pontevedra, 4, 4º 36201 Vigo (SPAIN)

UK REPRESENTATIVE: Carlos Zanarotti +44 (0) 7960 07 07 97 carlos.zanarotti@pavestone.es

www.dfg.es

1. COMMERCIAL INFORMATION. 2. CORPORATE GROUP INTRODUCTION. 3. THE COMPANIES. 4. QUARRIES. 5. LOGISTIC CENTRE. 6. PROCESSING (PAVESTONE).

7. SANDSTONE. 8. ORGANIZATION CHART. 9. QUALITY ASSURANCE POLICY. 10. LABOUR RISK PREVENTION POLICY. 11. ENVIRONMENTAL POLICY. 12. PROJECTS. 13. REFERENCES.

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Commercial Information

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COMMERCIAL INFORMATION Company Name

GRUPO DFG (DAVID FERNANDEZ GRANDE)

Address of Registered Office

C/Pontevedra, 4, 4º 36201 Vigo Spain

Address of Office for Correspondence

C/Pontevedra, 4, 4º 36201 Vigo Spain

Telephone Number

0034986432822

Fax Number

0034986434279

E-mail

dfg@grupodfg.com

Web

www.grupodfg.com

Name of CEO

Mr. David Fernández Sanromán

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Corporate Group Introduction

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GRUPO DFG is a corporate group established in 1970 developing its activity in the main areas of the granite business, such as research, extraction, distribution, processing and installation.

At present, the activity developed by GRUPO DFG is shared in 3 divisions: - Managing of granite quarries: GRUPO DFG began its business activity 40 years ago by extracting and commercialising granite blocks. As a result of a continuous work, actually GRUPO DFG has six quarries in Spain, three in Portugal, three in Venezuela and recently one in Angola.

As a complement to this activity and in order to be able to assure the response time to our clients, it was at the beginning of 90’s that GRUPO DFG builds a private quay of 45.000 m2 close to Vigo (Spain) and perfectly linked by highway and a private railway deviation that allows the group logistic coordination.

- Granite products processing: It was in the mid-eighties that GRUPO DFG created two factories for transforming the granite coming from its quarries into products to fit any application in public works and building. Recently, in the year 2006, a new factory equipped with the most modern machines existing in the market was inaugurated in Portugal with the target of replacing one of the factories created in the 80’s.

- Sandstone: At the beginning of the 90’s a crushing plant for granite sandstone elaboration is installed at one of the quarries that GRUPO DFG holds in Madrid (Spain). This activity is enlarged in 2003 by means of the installation of a new processing plant at the quarry in Trujillo (Spain).

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The Companies

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GRUPO DFG has its Head Office in Vigo (Spain).

At present, GRUPO DFG is made up of the following companies: QUARRYING: DAVID FERNANDEZ GRANDE, S.L. It deals with the granite blocks exportation as well as the logistic operations of the group. At the same time, it manages the quarries of Porriño and Meis in Pontevedra (Spain) and holds the exclusive marketing of the material produced in the quarry of Portimao (Portugal).

DAVID FERNÁNDEZ GRANDE MADRID, S.L. It deals with the managing of the quarries situated in Bustarviejo and La Cabrera in Madrid (Spain) DAVID FERNÁNDEZ GRANDE EXTREMADURA, S.L. It deals with the managing of the quarry situated in Trujillo (Spain).

GRISSALIA, S.L. It deals with the managing of the quarry located in Leiro in Orense (Spain).

GRANITOS SAO MARTINHO, LDA. It deals with the managing of the quarries situated in Monçao and Valença (Portugal).

DFG AFRICA, LDA. It deals with the managing of the quarry located in Angola.

EXPLOGRANITOS, S.A. It deals with the managing of the quarries in Venezuela.

DFG INVESTROC, S.L. It carries out prospecting programmes to search out new granite deposits.

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GRANITE PRODUCTS PROCESSING: PAVESTONE, S.L. It deals with the marketing and laying of granite pieces. This company is located in Vigo (Spain). Recently It has signed an agreement with an important engineering office with the aim of carrying out an integral management of projects PAVESTONE MADRID, S.L. It manages the factory located in La Cabrera (Madrid-Spain).

PAVESTONE UNIPESSOAL, LDA. It manages the factory located in Monçao (Portugal).

SANDSTONE ELABORATION: ÁRIDOS NAVAZALES DFG, S.L. It manages the crushing plant located in Bustarviejo (Madrid-Spain). ÁRIDOS LA CUMBRE DFG, S.L. It manages the crushing plant located in Trujillo (Cáceres-Spain).

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Quarries

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PORRIÑO

PRODUCTS

LOCATION: Pontevedra (SPAIN) •

Rosa Porriño

YEARLY OUTPUT: 45.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loaders

CATERPILLAR 988F

2

Hydraulic Excavators

CATERPILLAR 345

1

Drilling Equipment

FERRI

2

Compressors

BETICO LK-4

3

Diamond Cutting Machines

GRANIROC

4

Drill Carriage

MONTABERT HYDROFORE 9103-T

1

STAFF: 28 employees Engineer Production Manager

1

Maintenance

3

Administrative Asst

2

1

Machine Operator

6

Quarry Operators

15

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MEIS

PRODUCTS

LOCATION: Pontevedra (SPAIN)

•

Gris Perla

YEARLY OUTPUT: 5.500 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loaders

CATERPILLAR 988F

1

Drilling Equipment

FERRI

1

Compressors

ATLAS COPCO GA160

1

Diamond Cutting Machines

GRANIROC

1

STAFF: 6 employees Engineer Production Manager

Maintenance 1

Machine Operators

Administrative Asst 1

Quarry Operators

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4

LEIRO

PRODUCTS LOCATION: Orense (SPAIN)

•

Grissal

YEARLY OUTPUT: 4.500 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loaders

CATERPILLAR 988F

1

Drilling Equipment

FERRI

1

Compressors

ATLAS COPCO GA160

1

Diamond Cutting Machines

GRANIROC

1

STAFF: 7 employees Engineer Production Manager

Maintenance 1

Machine Operators

Administrative Asst 3

Quarry Operators

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3

PORTIMAO

PRODUCTS LOCATION: Faro (PORTUGAL)

•

Monchique

YEARLY OUTPUT: 3.500 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loaders

KOMATSU WA-600

1

Hidraulic Excavators

LIEBHERR R-954

1

Hidraulic Excavators

FIAT HITACHI FH330

1

Off-Highway Trucks

VOLVO A-40

1

Compressors

ATLAS COPCO GA160

2

Diamond Cutting Machines

GRANIROC

3

STAFF: 12 employees Engineers Production Manager

1

Maintenance

1

Machine Operators

Administrative Asst 4

Quarry Operators

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6

MONÇAO

PRODUCTS

LOCATION: Monçao (Portugal)

•

Amarillo y Blanco San Martinho

YEARLY OUTPUT: 5.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loader

CATERPILLAR 988F

1

Wheel Loader

MASSEY FERGUSON 860

1

Off-Highway Trucks

VOLVO A40

1

Compressors

BETICO LK-4

1

Diamond Cutting Machines

GRANIROC

3

Cutting-off Line

TECHNO SPLIT

1

STAFF: 16 empolyees Engineer Production Manager

1

Maintenance

1

Administrative Asst

2

Machine Operators

2

Quarry Operators

10

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VALENÇA

PRODUCTS

LOCATION: Valença (PORTUGAL)

•

Crema Terra

YEARLY OUTPUT: 15.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loaders

CATERPILLAR 988F

1

Hydraulic Excavators

FIAT KOBELCO EX455

1

Off-Highway Trucks

VOLVO A40

1

Compressors

BETICO LK-4

3

Diamond Cutting Machines

GRANIROC

2

Drill Carrier

TAMROCK RANGER 500

1

STAFF: 10 employees Engineers Production Manager

Maintenance 1

Machine Operators

Administrative Asst 3

Quarry Operators

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6

BUSTARVIEJO

PRODUCTS LOCATION: Madrid (SPAIN)

Blanco Berrocal

Blanco Perla

YEARLY OUTPUT: Blanco Berrocal: 4.500 m3 Blanco Perla: 17.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loader

CATERPILLAR 988F

2

Hydraulic Excavators

CATERPILLAR 345

1

Telehandler

CATERPILLAR TH103

1

Off-Highway Trucks

KOMATSU HD465

2

Off-Highway Truck

TEREX TR60

1

Diamond Cutting Machines

GRANIROC

6

Drill carrier

TAMROCK RANGER 500

1

Drilling Equipment

FERRI

1

Compressors

BETICO LK4

4

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STAFF: 23 employees Engineer Production Manager

1

Maintenance

4

Administrative Asst

1

2

Machine Operators

7

Quarry Operators

8

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EL BERRUECO

PRODUCTS

LOCATION: Madrid (SPAIN)

•

Blanco Castilla

YEARLY OUTPUT: 14.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loader

CATERPILLAR 988F

1

Off-Highway Trucks

CATERPILLAR 773

1

Diamond Cutting Machines

GRANIROC

3

Drilling Equipment

FERRI

1

Compressors

BETICO LK-4

4

STAFF: 11 employees Engineers Production Manager

1

Maintenance

1

Machine Operators

2

Administrative Asst

1

Quarry Operators

6

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TRUJILLO

PRODUCTS

LOCATION: Cáceres (SPAIN) •

Azul Platino

YEARLY OUTPUT: 9.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loaders

CATERPILLAR 988F

2

Off-Highway Trucks

VOLVO A40

3

Hydraulic Excavator

FIAT HITACHI FH455

1

Hydraulic Excavator

LIEBHERR R-954-C

1

Diamond Cutting Machines

GRANIROC

5

Compressors

BETICO LK-4

4

Drill Carrier

ATLAS COPCO ROC D7-11

1

STAFF: 19 employees Engineer Production Manager

1

Maintenance

1

Administrative Asst

1

1

Machine Operators

7

Quarry Operators

8

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CIUDAD PIAR I

PRODUCTS

LOCATION: Estado Bolívar (VENEZUELA) •

Salmón Tropical

YEARLY OUTPUT: 5.500 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loader

KOMATSU WA-600

1

Off-Highway Trucks

CATERPILLAR 773

1

Hydraulic Excavators

KOMATSU PC-450-6K

1

Diamond Cutting Machines

GRANIROC

5

Drill Carrier

TAMROCK RANGER 500

1

Drilling Equipment

TRIMMEL 2000

1

Compressors

ATLAS COPCO XAMS 505

3

Generator

VEM

1

STAFF: 13 employees Engineer Production Manager

1

Maintenance

1

Administrative Asst

1

1

Machine Operators

3

Quarry Operators

6

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CIUDAD PIAR II

PRODUCTS

LOCATION: Estado Bolívar (VENEZUELA)

•

Rojo Multicolor

YEARLY OUTPUT: 6.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loaders

CATERPILLAR 988F

1

Hydraulic Excavator

FIAT HITACHI FH-300

1

Off-Highway Truck

CATERPILLAR 773

1

Compressors

ATLAS COPCO XAMS 505

1

Diamond Cutting Machines

GRANIROC

5

Generator

CATERPILLAR 900F

1

STAFF: 10 employees Engineer Production Manager

Maintenance 1

Machine Operators

Administrative Asst 3

Quarry Operators

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6

CIUDAD PIAR III

PRODUCTS LOCATION: Estado Bolívar (VENEZUELA)

•

Rojo Altamira

YEARLY OUTPUT: 2.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loader

CATERPILLAR 988F

1

Off-Highway Truck

CATERPILLAR 773

1

Diamond Cutting Machines

GRANIROC

3

Compressors

ATLAS COPCO XAS405

1

Generator

MARINE PERKINS

1

STAFF: 8 employees Engineer Production Manager

Maintenance 1

Machine Operator

Administrative Asst 2

Quarry Operator

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5

HUILA

LOCATION: Huila (ANGOLA) PRODUCTS •

Baobab Brown

YEARLY OUTPUT: 5.000 m3 MACHINERY TYPE

MODEL

UNITS

Wheel Loader

CATERPILLAR 988F

1

Wheel Loader

KOMATSU WA-600

1

Hydraulic Excavator

KOMATSU PC450

1

Diamond Cutting Machines

GRANIROC

5

Drilling Equipment

FERRI

1

Compressors

BETICO

2

Generator

PERKINS

1

Trucks

VOLVO FH12

3

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STAFF: 20 employees Drivers Production Manager

3

Maintenance

1

Administrative Asst

2

1

Machine Operators

3

Quarry Operators

10

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Logistic Centre

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QUAY OF RANDE

LOCATION: Vigo-Pontevedra (SPAIN)

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STAFF: 17 employees •

Site Manager: 1

•

Administrative Assistants: 1

•

Machine Operators:4

•

Operators: 4

•

Drivers: 7

MACHINERY TYPE

MODEL

UNITS

Wheel Loader

LUNA TH 28

1

Wheel Loader

INT 560B

1

Gantry Cranes

GH 52 TN

2

Harbour Cranes

ATLANTA

2

Trucks

MAN TG 480

2

Trucks

VOLVO FH-12

4

Trucks

MERCEDES 1848 LS

1

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Processing (PAVESTONE)

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FACTORY OF PAVESTONE IN MADRID (SPAIN)

LOCATION: Madrid (SPAIN)

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STAFF: 22 employees •

Production Manager: 1

•

Administrative Assistants:1

•

Operators: 18

•

Maintenance: 2

MACHINERY TIPO

MODELO

CANTIDAD

Multi-diamond Cutting

FALCON 600

1

FALCON 300

1

FALCON 202

1

Diamond Cutting Machine

MICHELETTI

1

Disk Cutting Machine

NODOSAFER 3000

1

Flaming Line

EUROPRECIS

1

Cutting-off Line

G&B IMPIANTI

1

Disk Cutting Machine

NODOSAFER 1216

1

Disk Cutting Machine

NODOSAFER 1720

1

Disk Cutting Machine

NODOSAFER 1617

1

Disk Cutting Machine

NODOSAFER 625

1

Overhead Crane

GH 25 TN

2

Overhead Crane

GH 5 TN

3

Fork Lift Truck

CLARK CDP30

1

Fork Lift Truck

TOYOTA FD25

1

Wheel Loader

CATERPILLAR 914-G

1

Machine Multi-diamond Cutting Machine Multi-diamond Cutting Machine

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FACTORY OF PAVESTONE IN MONÇAO (PORTUGAL)

LOCATION: Monçao (PORTUGAL)

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STAFF: 31 employees •

Engineers: 1

•

Production Manager: 1

•

Administrative Assistants:2

•

Operators: 25

•

Maintenance: 2

MACHINERY: TYP

MODEL

UNITS

Multi-diamond Cutting

FALCON 920

2

FALCON 202

1

Diamond Cutting Machine

FALCON 103

1

Numerical Control Cutting

THIBAUT TC05

1

Disk Cutting Machine

DIGAFER 1350

1

Disk Cutting Machine

DIGAFER 600

1

Disk Cutting Machine

NODOSAFER 625

1

Disk Cutting Machine

TAP BRETON 7C

1

Polishing Machine

THIBAUT T501

1

Flaming Line

NODOSAFER

1

Shotblasting Line

ALJU 175-65

1

Shotblasting Machine

ALJU 175

1

Cutting-off Line

TECHNO SPLIT

1

Fork Lift Truck

CLARK CMP50

1

Fork Lift Truck

TOYOTA M52

1

Bevelling Machine

NODOSAFER

1

Gantry Crane

GH 40TN

1

Overhead Crane

GH 32 TN

1

Overhead Crane

GH 10 TN

1

Overhead Crane

GH 5 TN

2

Machine Multi-diamond Cutting Machine

Machine

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Sandstone

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CRUSHING PLANT IN MADRID (SPAIN)

LOCATION: Madrid (SPAIN)

YEARLY OUTPUT: 500.000 Tons.

STAFF: 11 employees •

Production Manager: 1

•

Administrative Assistants:2

•

Site Operators:6

•

Machine Operators:1

•

Maintenance: 1

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MACHINERY: TYPE

MODEL

UNITS

Wheel Loader

VOLVO L180

1

Primary Crusher

ALLIS CHALMERS 42/65

1

Secondary Crusher

OMNICONE 1352-S

1

SANDVIK HYDROCONE

1

Tertiary Crusher

H3800

Sand Crusher

SANDVIK XS-100

1

Screens

SANDVIK

8

Conveyors

SANDVIK

18

Overhead Crane

GH 25 TN

1

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CRUSHING PLANT IN TRUJILLO (SPAIN)

LOCATION: Cáceres (SPAIN)

YEARLY OUTPUT: 500.000 Tons.

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STAFF: 9 employees •

Production Manager: 1

•

Administrative Assistant:1

•

Site Operators:5

•

Machine Operators:1

•

Maintenance: 1

MACHINERY: TYPE

MODEL

UNITS

Wheel Loader

VOLVO L180

1

SANDVIK JAWMASTER

1

Primary Crusher

1200

Secondary Crusher

SANDVIK S3800

1

Tertiary Crusher

TRIMMAN IST-4

1

Screens

SANDVIK

6

Conveyors

SANDVIK

16

Overhead Crane

GH 25 TN

1

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Organization Chart

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CHAIRMAN

MANAGING DIRECTOR

CONTROLLER

TECHNICAL MANAGER

FINANCIAL MANAGER

QUARRIES DIVISION MANAGER

PROCESSING DIVISION MANAGER

SANDSTONE DIVISION MANAGER

DESIGN DEPARTMENT

PURCHASING DEPARTMENT

COMMERCIAL MANAGER

COMMERCIAL MANAGER

COMMERCIAL MANAGER

QUALITY A. DEPARTMENT

ADMINISTRATION DEPARTMENT

PRODUCTION MANAGER

PRODUCTION MANAGER

PRODUCTION MANAGER

LABOUR RISK PREVENTION DEPARTMENT

DATA PROCESSING DEPARTMENT

ENGINEERING DEPARTMENT

HUMAN RESOURCES DEPARTMENT

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Quality Assurance Policy

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Our quality assurance policy is based on fulfilling the needs of our clients by meeting their requirements and trying to exceed their expectations. To do it so, we pay special attention to the suitable selection of materials (GRUPO DFG is continuously searching new deposits) and continuous improvement in the elaboration of our products.

It is our obligation and engagement to assure the Quality of all the products we ship to our Clients and in order to give them total satisfaction we have engaged ourselves •

To develop the human resources at every aspect so as to reach the greatest competition and motivation level.

•

To promote and boost the Quality Improvement proposals.

•

To serve our Clients within the set terms, with the suitable professionalism and required Quality.

•

To keep our production means in the best performance conditions.

•

To go on working for a Continuous Improvement.

STAFF RESPONSIBILITY: The utmost responsibility for the correct and efficient performance of our Quality system falls on the General Management; the latter counts on the support of the Technical Manager who acts as delegate and consultant engineer of the Management as far as Quality is concerned and is responsible for the management of the implemented system.

The people responsible for and in charge of the company managements are who must identify the needs of the company resources in their corresponding operation areas and they are obliged to communicate them to the General Management so as to be provided with the appropriate resources.

In our companies we have set up a system for the definition of annual Targets related to the Quality and consequently to improve it, the implementation of this system corresponds to the General Management of the company counting on the cooperation of the Technical Manager.

SCOPE: The Quality Assurance and Management System concerns all those internal and external performances, organization structure, processes, procedures and necessary

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resources for the suitable development of our activities by keeping and assuring the Quality concerning the tasks and jobs carried out.

The Quality Manager, who is in charge of a department made up of two other engineers, is the responsible for watching the correct application of the System.

COMMERCIAL MANAGEMENT: The basic performance principles for the companies making part of the GRUPO DFG with regard to the contractual relationships with their Clients are: •

The whole requirements and demands of our Clients are clearly defined and documented in a suitable manner.

•

The company accepts the orders of the Clients under the prior certainty that it is in good condition to meet the requirements stated on the same.

The inquiries and orders are forwarded to the Commercial Manager in charge of the relevant Division and he is the responsible for drawing up the corresponding estimates and solving the received order demands.

The orders made in a verbal manner by any Client are always set down in writing and being assured the order in question becomes totally defined regarding its nature, price, delivery time, amounts to be supplied, materials, dimensions, etc.

PURCHASING MANAGEMENT: We have defined and developed an exact system for the purchasing management and the tracking of our Suppliers so as to be sure that all the products and services purchased as well as the selected suppliers meet the Quality requirements such as they are set down by the company.

We select our Suppliers and rank them according to their ability for fulfilling the demanded requirements and, in general, upon evaluation of their capacity, products, material quality, price and service and taking into account the supply nature and the level of previous knowledge an incidences of each supplier.

The Quality Manager draws up and keeps updated a record of qualified Suppliers and carries out a constant tracking of our Suppliers, this tracking is executed according to the data collected from the reports of Nonconformities, evaluations and claims from our Clients attributable to the supplier.

The material and product purchasing operations are based on specifications and demands from our Clients. All the orders to Suppliers are made in writing where the

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product or service to be rendered is always shown in detail so as to assure the consistency between the ordered item and the received one.

IDENTIFICATION AND TRACEABILITY Our companies have developed a methodology defined for the identification of jobs, materials and processed products as well as a system to assure the traceability of the orders supplied to our Clients; that is, the capacity to rebuild its history, application or location.

This identification is carried out during the different production stages in such a manner that the location and correct identification of the products is assured.

In addition, it is also assured the traceability of their orders received from the Clients through the documents of the job to be executed and the quality records that are being drawn up from the same, this method allows to trace the products from the origin and during the whole process as well as the possible performances before claims or questions arising from our Clients.

PROCESS CONTROL: We have developed a system for planning, tracking and control or the elaborated product production that is implemented in our companies. This systems is applicable to all the range of products being elaborated by the company, from the drawing up of the “job orders” to the entry of the product in the shipment area.

The control on the production processes begins with the planning of the shipments to the Clients so as to allow us to work with sufficient time margin to meet the set delivery times in good conditions.

This planning continues with the exact schedules of the jobs that in an organized way are entered the manufacturing. When the production is in course, a constant follow-up of the same is carried out taking as a basis the different memoranda issued by the Site Manager that allows react according to the daily results. Another pillar that our process control rests on is the constant maintenance of our production equipments, damages or breakdowns attention and the execution of improvements carried out by our maintenance staff.

QUALITY CONTROL AND INSPECTION The Quality of materials and products elaborated by us is a constant priority and worry. From the taking over of materials used for the granite transformation, we

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proceed with the Quality controls and inspections aimed to detect possible faults at a first moment.

All the production stages carry out Quality controls of the materials and pieces flowing through the same. All the inspections carried out on the materials and pieces are defined in instructions available for each department; in addition, the most suitable inspection equipments for executing the mentioned controls are also available.

Not only do we make efforts to avoid these possible faults arriving to our Clients, but also from the first moment do we try to reduce their appearance so as to prevent them interfering, as less as possible, in the normal development of the production to improve, if possible, the product production and delivery cycles.

INSPECTION AND MEASURING EQUIPMENT CONTROL: For the execution of the quality controls and inspections of the materials and pieces elaborated by us, it is necessary the use of control equipments being in correct conditions of state and use; this condition is achieved thanks to our definition of the suitable system that allows us to assure that our control means are always in good conditions, gauged and checked and are suitable for accomplishing the controls we make.

These means are identified as there is a planning for their checking and gauging and each department is equipped with their own means.

The Quality Manager is the person responsible for surveying the fulfilment of this system and so he can assure a real accuracy of the measurements carried out.

CONTROL OF NONCONFORMITIES: We have defined and implemented a system for the treatment of those nonconformities that allows us to prevent their use in an involuntary manner and especially to avoid them arrive to our Clients under no circumstances.

Our methodology for the treatment of the mentioned disconformities include the identification, documentation, evaluation and treatment of these disconformities; the whole methodology is based on the execution of a frequent tracking of the disconformities with defined people responsible for as well as clear and specific attributions for each of the members belonging to our team.

At regular intervals, the Quality Manager issues situation reports in order to analyse the

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

most frequent causes of disconformities aimed to evaluate them and taking the necessary measures for remedy, if necessary.

The treatment we apply for the management of disconformities is closely linked to the Quality controls and inspections carried out in the company and therefore we search for improvements in a constant manner that allow us to reduce the faults during the manufacturing and assure us, more and more, the Quality of the elaborated materials and products.

CORRECTIVE AND PREVENTIVE ACTIONS: We have established a management model to remove the real or potential causes of disconformities aimed to continuous improvement in the company as well as the involvement and participation of the whole staff.

The Quality Manager is the coordinator and the driving force behind the actions put forward and shall try to get the participation of the people in the implementation of measures aimed to the improvement of the processes, products and situations in the company.

The whole system is supported by documents collected in “Reports of Problems, Actions and Improvements”, where the situations are described as well as the actions for their solution, prevention or improvement, the acting terms and the people responsible for implementing them.

The monitoring of these reports is a direct competence of our Quality Manager and to carry it out, he counts on the firm support of the company Management.

In addition, we have developed a system to put into consideration and record the claims made to us by our Clients in order to provide them with the faster and most suitable solution as well as to draw up corrective actions aimed to removing their causes and avoid any repetition.

INTERNAL AUDITS OF THE QUALITY SYSTEM: The target of the internal audits carried out in our companies is to check for all the activities related to the Quality System and the corresponding results meet the provided arrangements as well as the Quality System itself is efficient.

The Management in agreement with the Audit Plan drawn up by the Quality Manager, approves the execution of the audits of every and all of the elements making part of the Quality System; these audits are always carried out by

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

personnel independent from that personnel being directly responsible for the activity to be audited.

At the end of the audit, the auditor issues a complete report showing the development and conclusions of the mentioned audit, these conclusions shall be previously commented with the person responsible for the audited department. The report is forwarded to the Management that along with the Quality Manager and the personnel responsible for the area in questions shall set out the suitable corrective actions.

PERSONNEL TRAINING: We have established an acting system to assure that the needs of the personnel training regarding the activities having an influence in the quality shall be totally defined and met.

The training and motivation of the whole staff in our companies is one of the keys for the good performance and the continuous improvement of our Quality System and therefore, we have appointed a Training Coordinator as responsible for these aspects.

This training is carried out by means of Training Plans where training actions and activities related to specific tasks for each working position are carried out and with the training, comprehension and suitable awareness aimed to the improvement of the quality in the whole company.

In general, the Training plans and the different training actions are developed when a faulty training for some particular task is detected, where changes in the organization or processes of the company take place, where the personnel appointed for a function do not have the previous and sufficient training to carry it out in a suitable manner or when the Management of the Company could decide it as an improvement tool for the same.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

EC MARKING (“EUROPEAN CONFORMITY”): The strict quality control applied to all the companies making part of GRUPO DFG allow us to certify our elaborated products and aggregates with EC MARKING. The EC MARKING is the symbol identifying the conformity with all the obligations concerning the manufacturers with regard to the product, in accordance with the European Community Directives establishing their application. It constitutes a responsibility statement that our products meet all the legal regulations and that they have been object of the appropriate procedures of the conformity assessment.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Labour Risk Prevention Policy

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

The GRUPO DFG considers that, in order to reduce occupational accidents and diseases, it is necessary a clearly defined and stated preventive policy. This makes the practice implementation and safety conditions easier and allows the intermediate managers the application of concrete measures and help the workers with the fulfilment of the safety instruction rules.

GRUPO DFG is aware of its duty to assure the safety and health of the workers under its responsibility and assumes it convinced that, in addition, this is the suitable way to improve the company productivity.

The prevention of labour risks shall be integrated in the whole of its activities and decisions in both technical processes and working organization as well as under the conditions that those could be rendered and the hierarchical line of the company including all the levels of the same. This involves that everyone having personnel at his charge shall be responsible for the safety of them and therefore he shall be aware and make fulfil all the prevention rules concerning the work they carry out. This policy shall be applicable according to the following principles of the preventive action: •

The first action regarding the preventive subject must always be the one of avoiding or controlling the risks and fight against them at their origin.

•

At any moment it shall be tried to fit the job to the person.

•

The evolution of the available technique shall be always taking into account.

•

The dangerous job shall be replaced by another one entailing little or none danger.

•

The individual protection shall always be the last resource and the technical and reasonably possible group protection shall always have priority.

•

The workers shall be duly advised and instructed about the rules and preventive measures in force for their work.

The training and information to the workers and their participation in the development of this policy are the basic elements to assure their success. Therefore, the workers shall be duly advised and instructed about the rules and preventive measures related to their work and take part in those matters concerning the safety and the health protection.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Environmental Policy

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

In GRUPO DFG we have the engagement of developing our activities with the maximum respect and protection of the environment.

At the moment of starting with the management of a deposit or the execution of any other management project we assess the environmental aspect that shall become another factor of the decision.

To do it, we adapt the following performances: •

Training and awareness of the own personnel and collaborators on environment matters.

•

Cooperation with the companies in charge of the solid waste and rubble collections for their subsequent treatment and recycling.

•

Establishment of procedures allowing assuring the fulfilment with environmental laws and regulations concerning the activities we carry out.

•

Suitable management of wastes and application of methods for reducing the polluting substance production.

•

Establishment of systems aimed to the pollution prevention as well as the choice of exploitation techniques respecting our environment to the utmost.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Projects

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Place La Defense Location: Paris (FRANCE) Description: Supply of ROJO ALTAMIRA tiles and paving stone 5.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Ciudad de las Ciencias Location: Valencia (SPAIN) Description: Supply of AZUL PLATINO paving stone 30.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Plaza de San Marcos Location: León (SPAIN) Description: Supply of AMARILLO SAN MARTINHO tiles 6.000 m2 and AZUL PLATINO tiles 500 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: “Abrir Vigo al Mar” Location: Vigo (SPAIN) Description: Supply of AZUL PLATINO tiles, paving stone and steps 25.000 m2.

Supply of different special pieces in ROJO MULTICOLOR.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Real Club Náutico Sanxenxo Location: Sanxenxo (SPAIN) Description: Supply of AMARILLO SAN MARTINHO tiles for the façade 3.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: O’Conell Street Location: Dublin (IRELAND) Description: Supply of AZUL PLATINO tiles 15.000 m2 and AZUL PLATINO paving stone 1.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Plaza de Oriente Location: Madrid (SPAIN) Description: Supply of BLANCO CASTILLA paving stone 3.000 m2.

Project: Plaza de Independencia Location: Vigo (SPAIN) Description: Supply of GRIS PERLA paving stone 10.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Rue de la Republique Location: Lyon (FRANCE) Description: Supply of BLANCO BERROCAL tiles 18.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project:

Subwaystations

(Candidplatz,

Gern,

Kieferngarten,

Mangfallplatz,

Moosfeld, Qurinplatz, Trudering, Westfriedhof, Wettersteinplatz, Neue Messe Riem) Location: Munich (GERMANY) Description: Supply of BLANCO BERROCAL tiles 26.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Tokyo New City Hall Location: Tokyo (JAPAN) Description: Supply of GRIS PERLA blocks 4.000 m3 for the elaboration of the façade 110.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: T3 Singapore Location: SINGAPORE Description: Supply of AMARILLO SAN MARTINHO blocks 1.300 m3 for the elaboration of internal flooring 48.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Daewoo Tower Location: Warsaw (POLAND) Description: Supply of ROSA PORRIÑO blocks 500 m3 for the elaboration of the façade 13.500 m2 and BLANCO BERROCAL 500 m3 for internal flooring 19.000 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

Project: Shanghai United Assets & equito Exchange Location: Shanghai (CHINA) Description: Supply of MONCHIQUE blocks 300 m3 for the façade and internal flooringe 10.500 m2.

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

References

carlos.zanarotti@pavestone.es Mob: +44 (0) 7960 070 797

GRUPO DFG 7st July 2009 Attn: Mr. Antonio Asensio Dear Sirs, Attending to your query we confirm that we have executed in last years projects with DFG's materials in the whole world and the supply in all of them has been completely satisfactory.

Best Regards,

INGEMAR GROUP