BANK GUARANTEE In favor of Name of Company Road Karachi Guarantee No.

:______________ Date of Issue:________________ Amount of LG:_______________ Pak Rs:_____________________ Expiry Date:_________________

At the request of ______________ (hereinafter called the purchaser), We, _______________(Bank), hereby issue our irrevocable confirm Letter of Guarantee No.___________ for a maximum amount of PKR__________________ (Pak Rupees _____________ Only) in consideration of the purchaser having entered into a contract dated ___________ (hereinafter called Contract) with ____________________, (hereinafter called the Company) for purchase of _____________ by the purchaser from the company against deferred payment of the total price, an amount of PKR______________ to be paid by the purchaser to the company for the implementation of the contract. 1. We, _______________(Bank), do hereby irrevocably bind ourselves and unconditionally agree and undertaken to pay forthwith to the company on first written demand by the company and without prior recourse to the purchaser such sum or sums not exceeding PKR _____________ (Pak Rs: _______________ Only) as may be demanded by the company. Such first written demand of the company shall only state that the purchaser have failed to pay the amount of the product to the company or have contravened any of the terms and conditions of the contract. It is understood that any such demand made herein under by the company shall be conclusive evidence of the purchasers failure to comply with or fulfill the requirements of the contract. We hereby agree that the company may claim all or any of the aforesaid amount in PKR ______________ (Pak Rs: ______________ Only) at any time after the date of commencement of supply of _____________ under this contract. That we hereby declare and confirm that in case of default by the purchaser with regard to the payments or any provision of the contract we shall on the first written demand of the company immediately become liable to pay the company. This Bank Guarantee shall automatically come into force on the date hereof and shall remain in force, operative and binding on us until all the sum due to the company by the purchaser or in case of default by the purchaser the same is paid by us. However, the period of validity of this guarantee is 12 months from the date of its issuance and the responsibility of the bank shall be extinguished / discharged after 30 days from the date of its expiry and by which date claims if any must be received by our bank. Thereafter no claim whatsoever will be entertained thereafter irrespective that any amount is payable or not unless the guarantee is 30 days before expiry earlier renew by us with the written consent of our customer that purchaser renewed the contract within the period of 30 days from the date of its expiry. We _________(Bank) shall at all times be bound on the first written demand of the company to pay the company forthwith the amount (or any portion thereof) hereby guaranteed in Pak Rupees _____________ (Pak Rs:__________________ Only) until we are expressly released and discharged in writing by the company from the liabilities obligations hereby guarantee. Our liability to the company hereunder shall be that of a principal debtor and the company at his option may treat the bank as primarily liable for the aforesaid amount / or any balances, which may at any time to be due and payable by us to the company in terms of this bank guarantee.

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Our obligations as set out herein shall be continuing obligations notwithstanding any change in the constitution of organization of the purchasers and notwithstanding any time given, indulgence or forbearance shown by the company not withstanding any amendments or alteration made in the obligations of the purchaser or in terms, conditions or covenants between the purchaser and the company without our assent or otherwise and not withstanding that any claim by the company against the purchaser is disputed or contested or referred for settlement to arbitration or litigation. We hereby declare and confirm that under our constitution and all applicable laws and regulations to have the necessary power and authority and all necessary authorization, approval and consent hereunder of Government and other regulatory authorities to enable us to enter, execute, deliver and perform the obligations undertaken by us under this Bank Guarantee and the signatory(ies) to this guarantee is / are our duly authorized officer/s and the obligations on part contained in this guarantee are valid and legally binding on any enforceable against us. Notwithstanding any thing contained herein above to the contrary, our total liability against this guarantee shall not, in any case exceed PKR ___________ (Pak Rs: _____________ Only). This guarantee shall remain in full force until ___________(date) and we shall be absolved / discharged from our liability by which date claims if any must be received by our bank. Thereafter we shall entertain no claim or any cost unless the Guarantee is 30 days before expiry earlier is renewed by us with the written consent of our customer, the purchaser. After expiry, this guarantee shall become null and void whether it is returned to us for cancellation or not. That our liability under this agreement shall not be affected by any dispute or difference between the purchaser and the company or any forbearance or indulgence granted by the company to the purchaser or any security held by the Company from the Purchaser relating to the above mentioned contract or any variation in the contract or any other matter or thing might otherwise affect our liability. We further Guarantee that no changes or additions to or other modifications of the terms and conditions of the aforesaid agreement shall in any way release us from our liability under this Guarantee and we hereby waive of any such change, addition or modification. This Guarantee may be renewed for a further period of 12 months / years by the mutual written consents of the parties. This Guarantee shall be governed and construed in accordance with the law of the Islamic Republic of Pakistan. FOR AND ON BEHALF OF (BANK)

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____________________ SIGNATURE (NAME) (DESIGNATION) 1. 2. Witness __________________________________ Witness __________________________________

____________________ SIGNATURE (NAME) (DESIGNATION)