AG&P Proposal

Professional Service Proposal for:
SUBMITTED TO
MR. DAVID W. SLOAT
ICHTHYS Material Manager
AG&P Material Manager
Supply Chain
ATLANTIC, GULF & PACIFIC COMPANY (AG&P)
05.30.16
TABLE OF CONTENTS
PROJECT DEFINITIONS
SERVICE PROPOSAL
PROFESSIONAL FEES
SCOPE OF SERVICES
WORK SCHEDULE / TIMEFRAME
SAFETY POLICY & EMERGENCY RESPONSE

PROCEDURE
CONFIDENTIALITY
16
CONFORME
17
Unit 315 Fennel Building, Cedar Crest Condominium, Acacia Estates, Taguig City Philippines
www.waterhouseauction.com.ph
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
PROJECT DEFINITIONS
The Project is the asset for disposal of Atlantic, Gulf & Pacific
Company (AG&P) located in Bauan, Batangas, Philippines.
The project client, referred to herein as the Owner, is Atlantic, Gulf
& Pacific Company (AG&P), and with current office at 21 st Floor,
Tower 2, Insular Life Corporate Center, Insular Life Drive, Filinvest
Corporate City, Alabang, 1781 Muntinlupa City, Philippines.
The firm rendering this proposal, referred to herein as the Auctioneer
is, WATERHOUSE AUCTION MANAGEMENT SERVICES, INC.
(WAMS, Inc.). A corporation duly organize and existing under the
laws of the Philippines and with current office address at Unit 315
Fennel Building, Cedar Crest Condominium, Acacia Estates, Taguig
City, 1635 Philippines.
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
May 30, 2016
ATLANTIC, GULF & PACIFIC COMPANY (AG&P)

21st Floor, Tower 2, Insular Life Corporate Center,
Insular Life Drive, Filinvest Corporate City, Alabang,
1781 Muntinlupa City
Attention: MR. DAVID W. SLOAT

Material Manager
Supply Chain
Dear Mr. Sloat,

It gives us pleasure to hereby submit our formal proposal to assist on your
disposal of various assets no longer needed by your company.
After reviewing our notes and assessments, we suggest that the best way to
achieve maximum return and efficient removal of your Heavy Equipment and
various assets is to sell them through our competitive variable methodology:
Sealed Bidding
Private Treaty Sale and/or Negotiated Sale
Our estimated recoverable value of the entire assets for disposal would range
from Php 46 Million to 60 Million and the frame work schedule for this
project is approximately from 60 to 75 calendar days.
The above initial opinion value was based on the available data references
and market analysis of the surplus with similar use and kind.
The advantages are: 1) Zero Logistics cost; 2) Hassle free disposal; 3) Proper
preparation of assets; and 4) Better promotion and marketing strategy to
reach targeted clientele.
Should you need further clarification regarding our proposal, we are more
than willing to meet you at your most convenient time.
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
I trust that the above meets your requirements and looking forward to your
reply in acceptance of this proposal.
Yours Sincerely,
Ferdinand P. Garcia
President & Chief Executive Officer
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
PROFESSIONAL FEES:
Commission Rates: Based on the Gross Sale
10% - P9.9 Million and below
9% - P10 Million to 19.9M
8 % - P20 Million to 29.9M
5%
- P50 Million and above
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
SCOPE OF SERVICES
1) Organize the assets and the area in a way that will give buyers better
access to all the items and a clear understanding of their quality.
2) Complete documentation (tagging & cataloguing) of the assets and
presenting this to interested parties.
3) Promotional aspect of the project will be simultaneous with the preparation.
This may well be supplemented by newspaper advertisement, electronic mail,
fax, text messages and leafleting campaign.
4) Our trained Safe Work Practice (SWP) staff shall handle the project in the
entire duration to ensure the safety and security of the assets and customer
service for prospective bidders.
5) All accounting aspects of the project, which include the acceptance of
deposits from bidders and receipt of payments prior to the dispatch of any
items sold. A full accounting shall be provided in both hard and soft copies in
details with Tag/Lot Number, Winning Bid and VAT (If applicable).
6) WAMS shall remit payment within 10 banking days less the agreed service
commission after the full collection of payments. Provide required staff for the
duration of the collection period.
7) Follow through with all clients resulting from the auction until your company
is satisfied with the assets sold and revenue raised.
8) All necessary equipment, materials and supplies for this project shall be
provided by WAMS, Inc.
9) WAMS, Inc. will manage, assist and supervise the buyers in the hauling of
all their winning items. AG&P shall provide assistance on the lifting activity.
10) The site shall be cleared on the date specified.
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
TIMEFRAME
Our time frame to conduct the sale/disposal of the asset is approximately 60
to 75 calendar days upon approval of the proposal.
Day 1 up to viewing day
PROMOTION AND MARKETING
Leading newspaper advertisement.
Invitation through: e-mail, telemarketing, SMS, fax and registered mail.
Day 2 to 7 (1 week)
SITE PREPARATION
Inventory, tagging, photo taking and cataloguing of all assets.
Encoding and cataloguing of all items.
Final checking of catalogue.
Day 8 to 22 (2 weeks)
VIEWING DAY
Inspection will start at 9:00 am to 4:00pm.
Catalogue distribution to interested bidders.
Provide sufficient staff to accommodate all interested bidder.
Securing auction area.
Day 23 28 (1 week)
AUCTION DAY
Receiving of bids (For Sealed Bidding process)
Opening, tabulation and recording of bids.
Submission of bids to Client for approval.
AWARDING OF BIDS
Winning bidders will be notified with thru the Notice of Award.
COLLECTION AND PULL OUT (3 to 4 weeks)
Payment must be settled prior to hauling.
Assist in the collection of sold lot/s.
Supervise bidders on the dismantling of fixed assets, if applicable.
SALES REMITTANCE (1 to 2 weeks)
The Auctioneer will remit the payment as per Service Agreement.
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
WATERHOUSE AUCTION MANAGEMENT SERVICES, INC.

SAFETY POLICY AND EMERGENCY RESPONSE
PROCEDURES
1 POLICY STATEMENT
IF IN DOUBT, DONT! DO IT SAFELY OR NOT AT ALL.
We will always comply and continually improve our safety policy and
procedure to safeguard management responsibility along with our quality
services, customer satisfaction and financial stability. It is essential to
our business success. We focus on the welfare of our employee,
clientele, customers and suppliers. Moreover, we will support the safety
and environmental interests within our community.
We believe that all incidents, accidents, injuries and occupational illness
are preventable thru proper planning, prevention and continual
improvement in all aspects of safety.
2 CONCURRENCE
Safety is everybodys responsibility. Our primary concern will be the
health and safety of our employees, customers, clients, visitors and
neighbors.
3 GENERAL POLICIES AND PROCEDURES
3.1 Management will provide an environment in which employees can
work safely through:
Policy and procedure implementation thru effective and

continued training.
Safety practice even at home.
Proper housekeeping of the workplace.
Responsibility of every employee for his or her own

safety, in which safe behavior is a condition of employment.
3.2 Our measurement:
Safety quality is measured by constantly improving performance.
Method to achieve improvement will include documented
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
management and employee audits, effective incident investigations

and significant recognition efforts.
3.3 WAMS, Inc. standard operations have adopted the following
fundamental regulations. They are the essential values that administer
workplace safety. WAMS, Inc. expects all of its employees to follow
them at all times:
All warning signs and safety instructions shall be

followed.
Tampering with or bypassing safety controls will not

be tolerated.
Specified Personal Protective Equipment (PPE) rules

must be followed at all times.
Equipment tagged as defective or damaged shall not

be used.
The following are prohibited:
Possession of illegal drugs or substances on

company premises.
Reporting to work or being on company

premises under the influence of drugs and alcohol.
Possession of firearms, weapons or explosives

on company premises.
Fighting and careless disruptive behavior

(horseplay).
Smoking, except on designated areas.

Any employee who violates the rule will be subject to disciplinary
action, up to and including termination or dismissal.
4 COMMUNICATIONS AND INFORMATION
4.1 Health and Safety Manuals
The Environmental Health and Safety Manual contain detailed
procedures for each areas covered.
Every employee is
encouraged to examine these procedures to learn more about
health and safety in the workplace. Your Supervisor will provide
you the detailed procedures upon request.
4.2 Clients, Costumers and Visitors
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
10
All clients, costumers and visitors are only authorized to be in

specific areas and are not allowed to enter unauthorized areas.
They must follow all applicable company health, safety and security
rules, policies and procedures.
4.3 Reporting workplace injuries, accidents and incidents

WAMS, Inc. is committed to the safety of the employees and the
community. We expect all employees to report any injuries,
accidents and environmental incidents immediately to their
Superior, regardless how small or minor. When an incident is
reported early, proper medical attention can be given right away, an
unsafe condition can be corrected immediately and the scenario
can be prevented from happening again.
A Near Miss is an incident where no one is injured, but was a
good probability of injury. Anytime a Near Miss occurs it must be
reported to your Superior.
If you are ill or have injured yourself at home, and you feel it may
affect your ability to work, contact your Superior immediately. If a
prescribed treatment or medication you are receiving impacts your
ability to carry out the duties of your job, you must inform your
Superior or the Admin Officer on or before 9:00 oclock in the
morning.
5 EMERGENCY RESPONSE PROCEDURES
5.1 Evacuation
What to do in an office evacuation:
1)
WAMS, Inc. employees should be alert at all
times.
2)
Any WAMS, Inc. employee should call the Fire
Department and police authorities for assistance giving the
following information:
Office location: Unit 315 Fennel Building,
Condominium, Acacia Estates, Taguig City
Cedar
Crest
3) WAMS, Inc. employees should evacuate their respective

workplace by going through a safe location or open area.
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
11
4) Employees will evacuate the premises in the nearest exit. The

designated employee to shut down the equipment and/or the power
supply, HES Chief will be the last to leave the premises.
5) Once in the designated evacuation area, each WAMS, Inc.
employee will verify that all personnels are accounted for. If
someone is missing, inform right away the HES Chief (who in turn
will inform the Fire Department Personnel, if present) for immediate
search.
6) The HES Chief will inform all personnel when it is safe to return
to their respective workplace.
5.2 Fires
What to do in fire emergency:
1)
If you suspect a fire or smell smoke, immediately
inform the HES Chief for the fire alarm activation.
2)
HES Chief should call the Fire Department and
police authorities for assistance giving the following information:
Location: Unit 315 Fennel Building, Cedar Crest Condominium,
Acacia Estates, Taguig City
3)
Employees will be alerted that their respective
workplace should be evacuated by going through a safe location or
open area announcing the emergency.
4)
Employees will evacuate the office in the nearest
exit. The designated employee to shut down the equipment and/or
the power supply, HES Chief will be the last to leave the premises.
5)
Once in the designated evacuation area, Each
WAMS, Inc. employee will verify that all personnels are accounted
for. If someone is missing, inform right away the HES Chief, who in
turn will inform the Fire Department Personnel, for immediate
search.
6)
The HES Chief will inform all personnel when it is
safe to return to their respective workplace.
7)
If building is not available; The Disaster Recovery
Team Leader will start Disaster Recovery Procedure.
5.3 Earthquakes
What to do in case of earthquakes
1)
In the event that an earthquake occurs, try
to remain calm.
2)
If inside the building, stay inside. Do not
rush outside. Dive under a sturdy table or desk and hold on.
3)
Stay away from windows.
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
12
4)
If inside the warehouse, move away from
the areas where objects could fall on you.
5)
If outside the building, move away from the
front faade, power lines and lampposts. When possible, move to
the vacant open space.
6)
Immediately after the earthquake, the HES
Chief will assemble all employees to assess the office situation.
7)
Employees with knowledge in giving first
aids will attend to any minor injuries.
8)
The HES Chief will check the whole
premises, equipment and structural damage.
9) The HES Chief will advise all personnel when it is safe to return
to the work area after all the necessary inspection for damage has
been made.
10) If the building is not available, the Disaster Recovery Team
Leader will start Disaster Recovery Procedure.
5.4 Medical Emergencies
What to do in case of medical emergency:
1) Call the HES Chiefs attention immediately. Inform who the
person is, as well as the type of injury, illness or symptoms. Pay
attention to his instruction until he arrives.
2) Do not move the injured or ill person(s), and wait for the First Aid
Person to arrive.
3) HES Chief will assess the situation and administer the
necessary first aid treatment.
4) If the victim or ill person is conscious and there is no risk in
moving him, the HES Chief will accompany him to the nearest
hospital.
5) The Admin. Officer or Supervisor will coordinate with the
Accounting Department for the corresponding procedures on
hospital admittance if needed, or likewise conduct the investigation
on how the accident happened.
6 WAREHOUSE AND OFFICE SAFETY
6.1 Personal Protective Equipment
WAMS, Inc. has mandatory rules for the use of Personal Protective
Equipment (PPE) for any work related activity.
WAMS, Inc. expects all employees to wear safety glasses, side
shield and long pants at all times
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
13
During dismantling and pull out, the basic principle is, employees
must wear the Personal Protective Equipment required for the
activity being performed. Each employee also has special PPE for
use in certain jobs.
If you see any person who is not wearing appropriate gadgets and
clothing to use, either explain the requirements directly or contact
your superior to do so.
6.2 Dismantling, Welding, Cutting and Burning

Hot work (welding, cutting and grinding) areas must be properly
marked and shielded. Stay clear of all areas in which hot work is
occurring. Watch out for sparks and do not look at the arc or flame
directly. For dismantling works, make sure that no ignition or spark
in highly flammable areas, avoid oil spilling by spreading sawdust
in areas affected and to standby fire extinguisher within the work
area. Report any concern about hot work safety to your Superior
immediately.
6.3 Materials Handling and Safe Lifting
WAMS, Inc. has a number of jobs that require manual lifting.
Consult your Superior to find out the specific procedures for your
department. WAMS, Inc. expects all employees to use safe lifting
techniques when manually palletizing, moving objects, or picking
up items in the site. Avoid twisting and stretching when working.
Instead reposition your feet. Do not bend over when lifting.
Instead lift with your legs, and not your arms or back. When
required to move an item weighing more than 300 pounds (136
Kilograms) or larger, use mechanical equipment or get an
associate to assist you. All strains and sprains, no matter how
slight, must be alerted to your Superior immediately.
If your workplace can be improved to better accommodate your
height, reach, or lifting ability better, consult your Superior.
Oftentimes, torque wrenches and lift stations can be readjusted to
fit you. Make sure that you have an unobstructed area in which to
work, and that there are no tripping hazards when youre carrying
an item.
Specific work areas may have special operating
procedures to prevent injury. Know them well and follow them
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
14
when working in those areas. Your Superior can assist you in

learning and implementing these special procedures.
Never operate a machine unless you are trained and are familiar
with the operations. Know how to operate the emergency stop
mechanism. Never operate an unsafe machine or a machine with
any defective or missing safety guards. Do not put a hand or arm
inside a piece of moving machinery.
6.4 Housekeeping
WAMS, Inc. expects all employees to maintain a safe and
organized workplace.
6.5 Building Security

If you see an unauthorized person in your work area, either
address the person directly or ask your Superior to do so.
7 HEALTH AND MEDICAL
7.1 Blood Bourne Pathogens
If you cut yourself, or get someone elses blood or bodily fluids on
you, contact your Superior immediately for medical attention and
observation. Do not take any chances with a possible infection,
even if you know the other person well.
7.2 Drug or Alcohol Testing Program
Where legally allowed, WAMS, Inc. reserves the right to require
employees to take a urine and/or blood test for the presence of
drugs, controlled substances and alcohol whenever an employee
may have contributed to an accident on Company property or on
Company time.
In addition, whenever Management has
reasonable suspicions that an employees performance or on-thejob behavior may have been affected in any way by alcohol, drugs
or controlled substances, where legally allowed WAMS, Inc. may
require the employee to submit a urine and/or blood sample for
alcohol and drug testing. Your Superior can assist you with any
question that you have about the drugs/alcohol testing program.
8 MOTOR VEHICLES
8.1 Forklift Truck Safety
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
15
WAMS, Inc. expects all employees to be observant and aware of

forklift trucks at all times. When a forklift truck approaches you,
make sure that the driver knows that you are present. Obey
pedestrian signs and look both ways before crossing. Do not pass
in front or behind a forklift truck that is removing a load from
racking. There is no substitute for remaining alert and safetyconscious at all times.
Only trained and authorized employees may operate forklift trucks.
STATEMENT OF CONFIDENTIALITY AND NON-DISCLOSURE

This document contains proprietary and confidential information. All data to
ATLACTIC, GULF & PACIFIC COMPANY (AG&P) is provided in reliance
upon its consent not to use or disclose any information contained herein
except in the context of its business dealings with WAMS, Inc. The recipient
of this document agrees to inform present and future employees of
ATLACTIC, GULF & PACIFIC COMPANY (AG&P) who view or have access
to its content of its confidential nature.
The recipient agrees to instruct each employee that they must not disclose
any information concerning this document to others except to the extent that
such matter are generally known to, and available for use by, the public. The
recipient also agrees not to duplicate or distribute or permit others to duplicate
or distribute any material contained herein without WAMS, Incs. express
written consent.
WAMS, Inc. retains all titles, ownership and intellectual property rights to the
material and trademarks contained herein, including all supporting
documentation, files, marketing material and multimedia.
BY ACCEPTANCE OF THIS DOCUMENT, THE RECIPIENT AGREES TO BE

BOUND BY THE AFOREMENTIONED STATEMENT.
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
16
CONFORME
If the foregoing terms and conditions are acceptable, please indicate your
concurrence by signing and returning to us the duplicate of this Conforme
page. Your approval of this proposal will serve as our exclusive mandate to
perform the services outlined herein and execute into a formal service
agreement.
We thank you for giving us the opportunity to offer our services and we look
forward to working with you on this engagement.
Very truly yours,
WATERHOUSE AUCTION MANAGEMENT SERVICES, INC.
FERDINAND P. GARCIA
President & CEO
CONFORME
For and on behalf of:
ATLACTIC, GULF & PACIFIC COMPANY (AG&P)
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
17
Signature
____________________________
Name
____________________________
Date
____________________________
Telephone: +632 710 9075; +632 710 9076 / Fax: +632 952 9289
18

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Professional Service Proposal for:

WORK SCHEDULE / TIMEFRAME

SAFETY POLICY & EMERGENCY RESPONSE

May 30, 2016

ATLANTIC, GULF & PACIFIC COMPANY (AG&P)

Attention: MR. DAVID W. SLOAT

Dear Mr. Sloat,

- P50 Million and above

WATERHOUSE AUCTION MANAGEMENT SERVICES, INC.

Policy and procedure implementation thru effective and

Safety practice even at home.

Proper housekeeping of the workplace.

Responsibility of every employee for his or her own

management and employee audits, effective incident investigations

All warning signs and safety instructions shall be

Tampering with or bypassing safety controls will not

Specified Personal Protective Equipment (PPE) rules

Equipment tagged as defective or damaged shall not

The following are prohibited:

Possession of illegal drugs or substances on

Reporting to work or being on company

Possession of firearms, weapons or explosives

Fighting and careless disruptive behavior

Smoking, except on designated areas.

All clients, costumers and visitors are only authorized to be in

4.3 Reporting workplace injuries, accidents and incidents

3) WAMS, Inc. employees should evacuate their respective

4) Employees will evacuate the premises in the nearest exit. The

6.2 Dismantling, Welding, Cutting and Burning

when working in those areas. Your Superior can assist you in

6.5 Building Security

WAMS, Inc. expects all employees to be observant and aware of

STATEMENT OF CONFIDENTIALITY AND NON-DISCLOSURE

BY ACCEPTANCE OF THIS DOCUMENT, THE RECIPIENT AGREES TO BE

WATERHOUSE AUCTION MANAGEMENT SERVICES, INC.

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