(c) Preparation of forms. The purchase order shall be prepared as prescribed thereon, subject to the following additional instructions:

(1) Disregard the reverse side of the purchase order.

(2) For Contract No. insert the contract number applicable to the contract item and the contractor from whom the purchase will be made. This number will be found in the appropriate Federal Supply Schedule, in the list of contractors, in the first or left column, opposite the name of the contractor from whom the purchase will be made. The number will always have the prefix GS-OOS. The small "o" or "s" appearing directly in front of the number should be disregarded.

(3) The date of the contract is the date shown on the cover of the appropriate Federal Supply Schedule as the beginning of the period of the Schedule.

(4) In the space provided for the place where the supplies are to be furnished, insert the name of the post to which the supplies are to be shipped. This will often be a constituent supply post rather than the procuring central supply post. If the space provided is not adquate, in- ́ Iclude this information with the words "Ship to;" with the description of the supplies ordered.

(5) Depending on the terms of the contract, insert the following instructions concerning export packing with the description of the supplies ordered:

(i) Where no extra charge is made, insert the words, "To be export packed."

(ii) Where additional charge is made, and the method of computation is shown, insert the words, "To be export packed," fill in the packing cost in the amount column, and fill in the quantity and unit price columns if the computation method permits.

(iii) Where additional charge is made, and the method of computation is shown, insert the words, "To be export packed," and the following instruction-"Export packing charges may be added to invoice, such charges to be itemized to show cost of materials and cost of labor. It is required that the invoice include a statement to the effect that allowance for domestic packing, if any, has been made in the charge for export packing."

(iv) Where the contractor will not export pack, insert the words, "Notify: U.S. Despatch Agent, 45 Broadway, New York 6, New York, when goods are ready for delivery, domestic packed". The U.S. Despatch Agent will arrange for export packing.

(6) On all copies of the purchase order except the 2 copies sent to the contractor, insert the following information with the description of the supplies ordered:

(i) Insert the words "Estimated Ocean Freight $------," and fill in the blank space with the appropriate total based on the applicable freight factors currently in effect.

(ii) Where additional charge is made for export packing, but the method of computation is not shown in the contract, insert the words, "Estimated Export Packing Charges $_ --," and fill in the blank space with the estimated cost of export packing.

(iii) Insert the words, "Estimated Inland Freight $--- " and fill in the blank space with the amount estimated for inland freight, on the basis of the weight or volume of the supplies and the distance between the shipping point shown on the contract and the assumed port of export.

(7) The total amount of funds to be obligated will be the figure found by adding the total cost of the supplies ordered, the estimated or actual export packing charges, the estimated ocean freight costs, and the estimated inland freight costs, if any.

(d) Distribution. The purchase order shall be prepared with sufficient copies to permit the following execution and distribution:

(1) Post fiscal office, original (manually signed by ordering and fiscal officers) and 1 copy.

(2) Contractor, 2 copies (both manually signed by ordering officer).

(3) U.S. Despatch Agent, 2 copies (1 copy manually signed by ordering and fiscal officers).

(e) Attachments. The clauses set forth below shall be prepared, each as a separate document, and attached to the 2 copies of the purchase order sent to the Contractor. The documents containing the clauses shall be identified by the purchase order number and the rank and address of the ordering post.

(a) Submit an original and two copies of the invoice.

(b) The invoice shall be prepared to conform with the purchase order, showing number and date of order, date of delivery, description of each item, quantity, unit cost and total amount.

(c) The invoice should also bear an invoice number or identification to enable positive and immediate association with the related payment check which will be accompanied by one copy of the invoice.

(d) Show parcel post charges, if any, as a separate item on the invoice, indicating the gross weight and shipping point. (Prepaid freight or express charges must be supported by the original freight or express receipts.)

(e) Show terms or cash discounts on the invoice, even if the terms are net.

(f) Include in invoice: Proper post designation (Embassy, etc.) and address shown on the post's purchase order in space "This Document Prepared at * * *."

(g) Payment for materials and supplies cannot be made in advance.

2. If, by terms of the contract, inland transportation is not the responsibility of vendor and he is unwilling to add such charges to the invoice, he should request of the U.S. Despatch Agent a bill of lading to cover the shipment.

(2) Shipping instructions.

SHIPPING INSTRUCTIONS

Foreign Service Post

Purchase Order No.

EXPORT PACKING SPECIFICATIONS

Packing box shall be of solid construction in accordance with best commercial practices and sufficiently strong in direct ratio to the weight of the contents to withstand excessively rough handling while in transit overseas. It shall be constructed of lumber that is well seasoned, reasonably sound, free from bad cross-grain and from knots or knotholes that interfere with mailing or that occupy more than 1% of the width of the piece of lumber. Box shall be constructed with three-way corners and diagonal bracing. All nails shall be cement

Box shall be lined with waterproof paper and shall be bound with 3/4" steel straps firmly stapled in position to prevent slipping off the box. Articles must be secured and braced inside the shipping container to prevent shifting.

Packing cases weighing 1000 pounds and more must be equipped with skids. Each skid shall consist of two end sections of 2 x 6-inch lumber placed flat and a center section of 2 x 4-inch lumber placed flat and then arranged in line to provide 10-inch forklift spaces between center and end sections.

When goods are ready for shipment, prepare four (4) copies of a packing list and notify the U.S. Despatch Agent, 45 Broadway, New York 6, N.Y., by sending him three (3) copies of the packing list indicating case number, itemized list of contents, net and gross weights in pounds and kilograms and outside dimension-including all cleats-of each shipping container.

The fourth copy shall be placed in the packing case number one, and this container shall be marked so that it is easily identified by the consignees. Upon receipt of the packing list the Despatch Agent will furnish export marks and instructions regarding shipment to port specified depending upon steamer services available at the time.

The export marks shall be stenciled on one side of each box reserved for that purpose and the appropriate case number stenciled in the lower left-hand corner, the purchase order number, net and gross weights in pounds and kilos shall be stenciled. (One kilogram equals 2.2046 pounds avoirdupois.) If the size of the box is too small to accommodate all stenciling on one side, the purchase order number and the weights may be stenciled on the side opposite that used for the export marks and case number.

The purchase order number must appear on all containers and papers relating to this order.

In support of the United States balance of payments program, it is the policy of the Department that posts shall purchase United States end products unless such a purchase comes within one of the exceptions authorized in § 6-6.503. § 6-6.502 § 6-6.502-1

Definitions.

United States end product. "United States end product" means an unmanufactured end product which has been mined or produced in the United States, or an end product manufactured in the United States if the cost of its components which are mined, produced or manufactured in the United States exceeds 50 percent of the cost of all its components.

§ 6-6.502-2 End products.

"End products" means articles, materials, and supplies which are acquired by the post for official use.

§ 6-6.502-3 Components.

"Components" means those articles, materials, and supplies which are directly incorporated in end products.

(a) The estimated cost of United States end products delivered to the post is more than 50 percent greater than the delivered cost to the post of comparable foreign made end products; or

(b) The aggregate amount involved in any one transaction does not exceed $1,000; or

(c) The products may be obtained from or through Government sources including non-appropriated fund activities of the U.S. Government; or

(d) The products consist of fuels, lubricants or repair or replacement parts for foreign made equipment; or

(e) The products are procured with foreign currencies, owing to or owned by the United States, in countries where United States holdings are in excess of current needs; or

(f) The products are required for the continued effective operation of the post and it is impractical, because of compelling emergency or some other reason in the best interests of the Government, to procure comparable United States end products and such determination is made in writing by the General Services Officer, the Administrative Officer or the Principal Officer of the post.

§ 6-6.504 Procurement for other posts.

When central or constituent supply posts are procuring for another post under § 6-5.5002, the requesting post is responsible for preparing and furnishing to the procuring post the delivered cost estimates required under § 6–6.502–5.

The clauses in this § 6-7.101 shall be used in lieu of the related clauses in § 1-7.101 in procurement by fixed price contracts outside the United States: Provided, however, That any clause in § 6-7.101 or § 1-7.101 need not be used if its use is prohibited by local laws or regulations, is contrary to local custom or practice or would be detrimental to the interests of the Government through Whenincreased costs or other reasons. ever a clause is not used, the contract file must contain a signed statement justifying such action.

(a) The term "Government" means the Government of the United States of America.

(b) The term "head of the agency" or "Secretary" as used herein means the Secretary, the Under Secretary, any Assistant Secretary, or any other head or assistant head of the Government department or agency; and the term "his duly authorized representative" means any person or persons or board (other than the Contracting Officer) authorized to act for the head of the agency or the Secretary.

(c) The term "Contracting Officer" means the person executing this contract on behalf of the Government, and any other officer or civilian employee who is a properly designated Contracting Officer; and the term includes, except as otherwise provided in this contract, the authorized representative of a Contracting Officer acting within the limits of his authority.

(d) Except as otherwise provided in this contract, the term "subcontracts" includes purchase orders under this contract. § 6-7.101-11

Default.

DEFAULT

(a) The Government may, subject to the provisions of paragraph (c) below, by written notice of default to the Contractor, terminate the whole or any part of this contract in any one of the following circumstances:

(i) If the Contractor fails to make delivery of the supplies or to perform the services within the time specified herein or any extension thereof; or

(ii) If the Contractor fails to perform any of the other provisions of this contract, or so fails to make progress as to endanger performance of this contract in accordance with its terms, and in either of these two circumstances does not cure such failure within a period of 10 days (or such longer period as the Contracting Officer may authorize in writing) after receipt of notice from the Contracting Officer specifying such failure.

(b) In the event the Government terminates this contract in whole or in part as provided in paragraph (a) of this clause, the Government may procure, upon such terms and in such manner as the Contracting Officer may deem appropriate, supplies or services similar to those so terminated, and the Contractor shall be liable to the Government for any excess costs for such similar supplies or services: Provided, That the Contractor shall continue the performance of this contract to the extent not terminated under the provisions of this clause.

(c) Except with respect to defaults of subcontractors, the Contractor shall not be liable for any excess costs if the failure to perform the contract arises out of causes beyond the control of both the Contractor and subcontractor, and without the fault or negligence of either of them, the Contractor shall