Common use of NATURE OF SERVICE CREDITS Clause in Contracts

NATURE OF SERVICE CREDITS. The Supplier confirms that it has modelled the Service Credits and has taken them into account in setting the level of the Call Off Contract Charges. Both Parties agree that the Service Credits are a reasonable method of price adjustment to reflect poor performance. ANNEX 1 TO PART A: SERVICE LEVELS AND SERVICE CREDITS TABLE Service Levels Service Credit for each Service Period Service Level Performance Criterion Key Indicator Service Level Performance Measure Service Level Threshold [Accurate and timely billing of Customer Accuracy /Timelines at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Access to Customer support Availability at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Complaints Handling Availability/Timelines At least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure provision of specific Goods and/or Services Quality at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure Timely provision of the Goods and/or Services [** hours a day, ** days a week.] Goods and/or Services Availability at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure] The Service Credits shall be calculated on the basis of the following formula: [Example: Formula: x% (Service Level Performance Measure) - x% (actual Service Level performance) = x% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer Worked example: 98% (e.g. Service Level Performance Measure requirement for Service Level Performance Criterion of accurate and timely billing to Customer) - 75% (e.g. actual performance achieved against this Service Level Performance Criterion in a Service Period) = 23% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer]

NATURE OF SERVICE CREDITS. The Supplier confirms that it has modelled the Service Credits and has taken them into account in setting the level of the Call Off Contract Charges. Both Parties agree that the Service Credits are a reasonable method of price adjustment to reflect poor performance. ANNEX 1 TO PART A: SERVICE LEVELS AND SERVICE CREDITS TABLE Service Levels Service Credit for each Service Period Service Level Performance Criterion Key Indicator Service Level Performance Measure Service Level Threshold [Accurate and timely billing of Customer Accuracy /Timelines at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Access to Customer support Availability at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Complaints Handling Availability/Timelines At least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure provision of specific Goods and/or Services Quality at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure Timely provision of the Goods and/or Services [** hours a day, ** days a week.] Goods and/or Services Availability at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure] The Service Credits shall be calculated on the basis of the following formula: [Example: Formula: x% (Service Level Performance Measure) - x% (actual Service Level performance) = x% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer Worked example: 98% (e.g. Service Level Performance Measure requirement for Service Level Performance Criterion of accurate and timely billing to Customer) - 75% (e.g. actual performance achieved against this Service Level Performance Criterion in a Service Period) = 23% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer]] ANNEX 1 TO PART B: PERFORMANCE MONITORING PRINCIPAL POINTS Part B to this Contract Schedule 6 provides the methodology for monitoring the provision of the Goods and/or Services: to ensure that the Supplier is complying with the Service Levels; and for identifying any failures to achieve Service Levels in the performance of the Supplier and/or provision of the Goods and/or Services ("Performance Monitoring System"). Within twenty (20) Working Days of the Contract Commencement Date the Supplier shall provide the Customer with details of how the process in respect of the monitoring and reporting of Service Levels will operate between the Parties and the Parties will endeavour to agree such process as soon as reasonably possible.

NATURE OF SERVICE CREDITS. The Supplier confirms that it has modelled the Service Credits and has taken them into account in setting the level of the Call Off Contract Charges. Both Parties agree that the Service Credits are a reasonable method of price adjustment to reflect poor performance. 12/08/2013 ANNEX 1 TO PART A: SERVICE LEVELS AND SERVICE CREDITS TABLE Service Levels Service Credit for each Service Period Service Level Performance Criterion Key Indicator Service Level Performance Measure Service Level Threshold [Accurate and timely billing of Customer Accuracy /Timelines at least 98% at all times [ [98] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Access to Customer support [08:00 to 18:00, Monday to Friday days a week.] Availability at least 98% at all times [ [98] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Complaints Handling Availability/Timelines At least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure provision of specific Goods and/or Services Quality at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure Timely provision of the Goods and/or Services [** hours a day08:00 to 18:00, ** Monday to Friday days a week.] Goods and/or Services Availability at least 98% at all times [ [98%] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure] [Guidance Note: Insert the appropriate Service Levels and Service Credits above.] The Service Credits shall be calculated on the basis of the following formula: [Example: Formula: x% (Service Level Performance Measure) - x% (actual Service Level performance) = x% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer Worked example: 98% (e.g. Service Level Performance Measure requirement for Service Level Performance Criterion of accurate and timely billing to Customer) - 75% (e.g. actual performance achieved against this Service Level Performance Criterion in a Service Period) = 23% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer] ANNEX 2 TO PART A: CRITICAL SERVICE LEVEL FAILURE [In relation to [ ] a Critical Service Level Failure shall include a delay in producing [ ] ordered by the Customer in excess of twenty four (24) hours more than once in any [three (3) Month] period or more than three (3) times in any rolling twelve (12) Month period.] [In relation to [ ] a Critical Service Level Failure shall include a loss of [ ] during core hours (08:00 – 18:00 Mon – Fri excluding bank holidays) to the [ ] for more than twenty four (24) hours accumulated in any [three (3) Month] period, or forty eight (48) hours in any rolling twelve (12) Month period.] [other ]

NATURE OF SERVICE CREDITS. The Supplier confirms that it has modelled the Service Credits and has taken them into account in setting the level of the Call Off Contract Charges. Both Parties agree that the Service Credits are a reasonable method of price adjustment to reflect poor performance. ANNEX 1 TO PART A: SERVICE LEVELS AND SERVICE CREDITS TABLE Service Levels Service Credit for each Service Period Service Level Performance Criterion Key Indicator Service Level Performance Measure Service Level Threshold [Accurate and timely billing of Customer Accuracy /Timelines at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Access to Customer support Availability at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Complaints Handling Availability/Timelines At least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure provision of specific Goods Products and/or Services Quality at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure Timely provision of the Goods Products and/or Services Services[** hours a day, ** days a week.] Goods Products and/or Services Availability ServicesAvailability at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure] The Service Credits shall be calculated on the basis of the following formula: [Example: Formula: x% (Service Level Performance Measure) - x% (actual Service Level performance) = x% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer Worked example: 98% (e.g. Service Level Performance Measure requirement for Service Level Performance Criterion of accurate and timely billing to Customer) - 75% (e.g. actual performance achieved against this Service Level Performance Criterion in a Service Period) = 23% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer]

NATURE OF SERVICE CREDITS. The Supplier confirms that it has modelled the Service Credits and has taken them into account in setting the level of the Call Off Contract Lease Agreement Charges. Both Parties agree that the Service Credits are a reasonable method of price adjustment to reflect poor performance. ANNEX 1 TO PART A: SERVICE LEVELS AND SERVICE CREDITS TABLE APPLICABLE FOR LOTS 1 AND 2 Service Levels Service Credit for each Service Period Service Level Performance Criterion Key Indicator Service Level Performance Measure Service Level Threshold Response Times Cost and inconvenience at least 98% at all times [] To be calculated as a percentage (%) reduction of the service revenue element of the previous quarter’s print output volume. Service Credits shall be applied to the total quarterly service revenue value, inclusive of mono and colour volume charges, where applicable. Response Times Timelines at least 98% at all times [ ] 3% where a five (5) hour average Response Time is exceeded and 5% where a six (6) hour average response time is exceeded [Accurate and timely billing of Customer Accuracy /Timelines at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Access to Customer support Availability at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Complaints Handling Availability/Timelines At least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure provision of specific Goods and/or Services Quality at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure Timely provision of the Goods and/or Services [** hours a day, ** days a week.] Goods and/or Services Availability at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure] The Service Credits shall be calculated on the basis of the following formula: [Example: Formula: x% (Service Level Performance Measure) - x% (actual Service Level performance) = x% of the Call Off Contract Lease Agreement Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer Worked example: 98% (e.g. Service Level Performance Measure requirement for Service Level Performance Criterion of accurate and timely billing to Customer) - 75% (e.g. actual performance achieved against this Service Level Performance Criterion in a Service Period) = 23% of the Call Off Contract Lease Agreement Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer]

NATURE OF SERVICE CREDITS. The Supplier confirms that it has modelled the Service Credits and has taken them into account in setting the level of the Call Off Contract Charges. Both Parties agree that the Service Credits are a reasonable method of price adjustment to reflect poor performance. ANNEX 1 TO PART A: SERVICE LEVELS AND SERVICE CREDITS TABLE Service Levels Service Credit for each Service Period Service Level Performance Criterion Key Indicator Service Level Performance Measure Service Level Threshold [Accurate and timely billing of Customer Accuracy /Timelines at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Access to Customer support Availability at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Complaints Handling Availability/Timelines At least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure provision of specific Goods and/or Services Quality at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure Timely provision of the Goods and/or Services [** hours a day, ** days a week.] Goods and/or Services Availability at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure] The Service Credits shall be calculated on the basis of the following formula: [Example: Formula: x% (Service Level Performance Measure) - x% (actual Service Level performance) = x% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer Worked example: 98% (e.g. Service Level Performance Measure requirement for Service Level Performance Criterion of accurate and timely billing to Customer) - 75% (e.g. actual performance achieved against this Service Level Performance Criterion in a Service Period) = 23% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer]

NATURE OF SERVICE CREDITS. The Supplier confirms that it has modelled the Service Credits and has taken them into account in setting the level of the Call Off Contract Charges. Both Parties agree that the Service Credits are a reasonable method of price adjustment to reflect poor performance. ANNEX 1 TO PART A: SERVICE LEVELS AND SERVICE CREDITS TABLE Service Levels Service Credit for each Service Period Service Level Performance Criterion Key Indicator Service Level Performance Measure Service Level Threshold [Accurate and timely billing of Customer Accuracy /Timelines at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Access to Customer support Availability at least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure Complaints Handling Availability/Timelines At least 98% at all times [ ] 0.5% Service Credit gained for each percentage under the specified Service Level Performance Measure provision Provision of specific Goods and/or Services Quality at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure Timely provision of the Goods and/or Services [** hours a day, ** days a week.] Goods and/or Services Availability at least 98% at all times [ ] 2% Service Credit gained for each percentage under the specified Service Level Performance Measure] The Service Credits shall be calculated on the basis of the following formula: [Example: Formula: x% (Service Level Performance Measure) - x% (actual Service Level performance) = x% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer Worked example: 98% (e.g. Service Level Performance Measure requirement for Service Level Performance Criterion of accurate and timely billing to Customer) - 75% (e.g. actual performance achieved against this Service Level Performance Criterion in a Service Period) = 23% of the Call Off Contract Charges payable to the Customer as Service Credits to be deducted from the next Valid Invoice payable by the Customer]