of this Handbook and Tariff.

The penalty percentage will be applied over the invoice total, and added as part of the accounts receivable account. 7.2 Access to Records All Vessels Owners and Vessel Agents, and any other user of the Port of Mayagüez facilities, shall be required to permit the Port Administrator access to Vessel Manifest of Cargo, passengers, and any other document related to the port's operation for the purpose of audit for ascertaining the correctness of the reports filed to the Port Administrator. Mayagüez Port Commission Handbook and Tariff No. 01 Page 62 Rules and Regulations 7.3 Terms and Conditions of the Invoices and Payments The Port Administrator Billing Office shall prepare and submit an invoice to the Vessel Owner or Vessel Agent as applicable, twenty four (24) Working Hours after receiving the Vessel Manifest for passengers, vehicles and Cargo (including Bill of Lading) or the next working day whichever occurs first. Invoices individually detail each tariff charged and the period applicable for such invoice. Payment to the Port Administrator shall be in cash, money order, cashier check, check (upon prior credit approval) or wire transfer. If differences are found between the manifest and the supporting documents, during the pre-audit procedure the supporting documents shall prevail over the Vessel Manifest. The Port Administrator would notify any discrepancies found in the Vessel Manifest and could request his acknowledgment and/or the amendment of such Vessel Manifest. The Port Administrator would bill, at any time, any charge applicable to any port's operation for Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 63 which an invoice was previously issued and paid, but such invoice was wrongly stated, because missing items, incorrect measures or weight or incorrect tariff application. No dispositions are granted under this Handbook and Tariff as discounts. Therefore, no discount is applicable to invoice for Vessels' operations, nor for service charges (such as water or electricity), charges, reimbursable expenses, and Demurrage. However, the Port Administrator is empowered to establish rules, standards, and procedures as considered convenient and adequate to attain the highest efficiency and promptness for the fees collection. Notwithstanding, the Port Administrator may, upon verification and prior approval from the Mayagüez Port Commission, grant incentives to repeat business, upon the evaluation of a proven trackrecord of an excellent business relationship, based on effective payments of invoices, or prepayment of the services, frequency and scheduling for the Vessel operation among others. Mayagüez Port Commission Handbook and Tariff No. 01 Page 64 Rules and Regulations 7.3.1 Payment of Invoices Any invoice is due and payable after twenty four (24) hours after issuance date, unless the invoice has been issued on Friday, in which case it should be payable on Monday. Holidays (as defined in Section 1.29) will extend the due date for an additional twenty four (24) hours. An advance payment will not constitute a final payment. Differences between the advance payment and Port of Mayagüez invoice must be paid within twenty four (24) Working Hours after invoice date. Vessel Owner or Vessel Agent shall be responsible to obtain or receive the invoice as soon as be issued and for its prompt payment. Discount policy is not incorporated as part of the rules and conditions approved in this Handbook and Tariff. Any previous credit privileges granted during the adoption period of the M-1-6 Tariff as an alternative Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 65 ruling document are revoked at the effective date of the Handbook and Tariff No. 1. 7.3.2 Delinquent Accounts An account becomes delinquent immediately is due; therefore a penalty of 9% annual interest will be assessed on the outstanding balance calculated on a daily basis from the day in which the invoice become due, for as long as the account remains delinquent. Delinquent accounts may result in the restriction of the use of the Port of Mayagüez facilities until the balance is paid in full. In addition, delinquency history may result in future prepaid operations. 7.3.3 Disputed Amounts Invoices once issued are payable in full, although the Vessel Owner or Vessel Agent has the right to dispute any amount billed. Disputed amounts are subject to the procedures detailed in Section 7.4. Payments applicable to invoices subject to Mayagüez Port Commission Handbook and Tariff No. 01 Page 66 Rules and Regulations dispute have to be by the invoice full account. Disputed amounts which have been deducted by the Vessel Agent or Vessel Owner without following the procedure provided in this Handbook and Tariff will be treated as an advance payment, subject to delinquency penalties, if the disputed amount does not prevail. 7.3.4 Prepaid Operations If a Vessel Owner or Vessel Agent has a history of frequent and/or several delinquent accounts, the Port Administrator may require a prepaid operation. All services will be prepaid until user has filed a credit application and the Port Administrator has approved such application. 7.4 Time Limit for Filing Claims All claims against the Port of Mayagüez related to charges and tariff billed shall be filed in written by the Vessel Owner or Vessel Agent within a term of thirty (30) Calendar Days from the invoice date subject to claim. The written Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 67 notice will clearly indicate the charges and amount in dispute, as well as the reason for such claim, and has to enclose any necessary documentation or related evidence. If the dispute is resolved positively for the Vessel Owner or Vessel Agent, the Port of Mayagüez will reimburse the amount in dispute plus the applicable share of interest, based on the prevailing annual interest computed on daily basis. 8.0 DOCKAGE Any Vessel berthing at or making fast to the Port of Mayagüez Wharf, Pier or bulkhead structure, or mooring to another Vessel so berthed, shall pay Dockage at the rates established herein, unless exceptions in Section 8.2 apply. 8.1 Conditions 8.1.1 Measurement Application for Dockage Rates Dockage rates shall apply per gross register ton (GRT) of the Vessel (including Tugboats) as appear in the ship license or in the Mayagüez Port Commission Handbook and Tariff No. 01 Page 68 Rules and Regulations International or Domestic certificate and the highest will be used to assess the rate. 8.1.1.1 Exception. Fixed Dockage amounts, instead of Dockage rates per gross register ton (GRT), shall apply to Triple Deck Ro-Ro Barge, International Car Carriers, Large and Ultra Large Container Ships. For Tugboats apply Section 8.1.1, unless apply Section 8.2.1. 8.1.2 Term Applicability for Dockage Rates 8.1.2.1 The period of time for which Dockage shall be assessed against a Vessel shall commence when such Vessel is made fast to a Wharf, Pier, or bulkhead structure, or to another Vessel so berthed, and shall continue until such Vessel is completely free from and has vacated such berth. 8.1.2.2 Dockage shall be assessed for each period of twenty four (24) hours or Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 69 fraction thereof during which a Vessel is at berth. 8.1.3 Other Application Any type of berthing not covered by specific tariffs, as detailed on Sections 16.1.1 through 16.1.7, will be assessed a fee of the Dockage NOS Rate (Section 16.1.8), per gross registered ton per day or fraction thereof. 8.1.4 Vessel Shifting Berths When a Vessel shifts berth by request of the Port of Mayagüez, Dockage will be assessed starting at the time the ship is made fast to the first Wharf, Pier or bulkhead until the time it leaves the last Pier. If a ship shifts berth for its benefit or that of his/her Vessel Agent, Dockage will be assessed separately at each Wharf, Pier or bulkhead. 8.1.5 Vessels on repair 8.1.5.1 Vessels regularly serving Puerto Rico while on repairs or scheduled Mayagüez Port Commission Handbook and Tariff No. 01 Page 70 Rules and Regulations maintenance when berthed at the Port of Mayagüez facility shall be assessed half Dockage (50%) after proper arrangements for use of berth are made with the Port Administrator. Vessels not regularly serving Puerto Rico will similarly be assessed 60% of the regular Dockage. 8.1.5.2 When arrangements for a berth for maintenance or repairs are made, the Vessels so authorized will be subject to shift berth as required by the Port of Mayagüez if the berth is so needed. 8.2 Exceptions for Docking Application No Dockage will be assessed against: 8.2.1 Tugboat A Vessel while actively engaged on service during docking or undocking maneuvers as a Tugboat when made fast to another self-propelled Vessel which is being charged Dockage. This exception will not apply if the Tugboat stays fast to the Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 71 other Vessel beyond the time of rendering services. 8.2.2 Combat or Training Vessels Combat or training Vessels, including Vessels auxiliary thereof, of the United States of America, or of any other nation, or any Vessels of the Commonwealth of Puerto Rico, when in the opinion of the Port of Mayagüez conditions warrant the temporary suspension of regular Dockage charges. 8.2.3 Regattas Vessels participating in regattas or maritime activities duly recognized by the Port of Mayagüez require previous written approval by the Port of Mayagüez. 8.3 Penalties Any Vessel that stays at the Port beyond the requested time frame without submitting a schedule change on a timely manner nor receiving the approval from the Port Administrator for a Docking Permit or a request for dockage time Mayagüez Port Commission Handbook and Tariff No. 01 Page 72 Rules and Regulations extension will be charged by the Port Administrator with a penalty of $5,000 per each hour or fraction of hour overdue. Vessels with an overdue schedule which provoke other Vessels' business interruption will also be responsible for the compensation of any costs incurred, loss or damages claimed to the Port Administrator and/or the Mayagüez Port Commission by any vessel because its departure or entrance is delayed by the overdue schedule vessel. 8.3.1 Vessel's Operations Notification of Lateness The Vessel Owner or Vessel Agent must closely observe its operations time frame to comply with the departure schedule and must initiate a temporarily closing of operations at the Pier not later than one (1) hour before the expiration of its Docking Permit in order to avoid the application of penalties set forth in Section 8.3. Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 73 8.3.2 Operations Waiver The Port Administrator shall waive to the Vessel the time incurred (plus an hour) to make possible the entrance or departure of another Vessel to and from the Port's Wharfs. Therefore, the Docking Permit departure time shall be extended for such additional time to avoid additional docking charges, as per Section 8.1.2, whenever the Vessel delay departure time occurred after the end of twenty four 24 hours docking period. 8.3.3 Exceptions 8.3.3.1 Penalties under Section 8.3 are exempted in case of Force Majeaure, as defined in Section 1.23. 9.0 WHARFAGE As established in this Handbook and Tariff, Wharfage rates shall apply either per weight or measurement of the Cargo subject to Wharfage charges so as to conform to the method used by the ocean carrier for its Mayagüez Port Commission Handbook and Tariff No. 01 Page 74 Rules and Regulations computation of freight charges (i.e. as freighted). The method used by the carrier can at no time be in conflict with this tariff or be used to diminish the revenues of the Port. 9.1 Conditions The Vessel Owner, Vessel Agent, master or other person in charge of a Vessel or Cargo must furnish to the Port of Mayagüez Billing Officer, complete copies of the Vessel Manifest and/or Bill of Ladings or waybills, freight bills showing names or consignees or consignors and the weight and measurements of all freight or other such information data or documents as may be necessary to develop statistical records and insure the proper assessment of charges. 9.1.1 Weight measurements 9.1.1.1 When freight charges are computed by the ocean carrier and shown on the manifest or shipping documents on the basis of weight or measurement, Wharfage shall be assessed as so computed and manifested. Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 75 9.1.1.2 When the basis of the freight charge is not shown on a manifest or shipping documents or when the basis of the freight charge is a unit other than weight or measurement (i.e. per package, etc.), Wharfage shall be assessed on the basis of weight or measurement, whichever will yield the greatest revenue. 9.1.1.3 In the case that no information is provided as to Cargo weight or measurement and it is difficult to determine the basis to assess the Wharfage charge, a factor of 25 lbs. per cubic ft., will be used by the Port of Mayagüez for such determination. In this case the Wharfage will be assessed on the result yielding the highest revenue. 9.1.1.4 Whenever the Vessel carrier of passenger transports baggage either as part of the passenger ticket cost and/or based on a baggage tariff applicable to pieces either by measures and/or by weight, the Mayagüez Port Commission Handbook and Tariff No. 01 Page 76 Rules and Regulations Port Administrator shall assess a fixed charge per PBC type unit reported in the Vessel Manifest as per Section 16.2.9, even if the PBC is partially or fully loaded. 9.1.1.4.1 The Vessel Owner or Vessel Agent shall report all inbound and outbound PBC, as part of the Vessel Manifest, including such PBC used for non-charged baggage. 9.1.1.4.2 The Port Administrator shall apply a credit of 20% over the total PBC tariff invoice. This credit provides the method to compensate the Vessel Owner or Vessel Agent for Section 9.2.3. 9.1.2 Transshipment 9.1.2.1 Containers, General Cargo and/or flat-bed trailers to be held on the Container company's holding area originally manifested for transshipment Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 77 to other destinations without form or content, including both loaded and empty Containers, shall be assessed Wharfage only on the inbound movement. Those that exceed a period of fifteen (15) Operating Days will be charged outbound Wharfage at the normal rate. 9.1.2.2 Cargo loaded on or discharged from a Vessel while berthed at a Port of Mayagüez facility, to or from a Barge, Scow, or Lighter, or another Vessel alongside shall be assessed Wharfage at one half (50%) of the rate. 9.1.2.3 Cargo transferred from one Vessel to another at the Port of Mayagüez facility without change in form or content, including both loaded and empty Containers, shall be assessed Wharfage only on the inbound movement. Mayagüez Port Commission Handbook and Tariff No. 01 Page 78 Rules and Regulations 9.2 Exceptions 9.2.1 Vessels' Supplies Vessels' supplies, repair materials and supplies provided they are intended for the Vessel's own use, consumption or repairs not including fuel. 9.2.2 Cargo Equipment Cargo handling and stevedores' tools, pallets, equipment, and appliances which are taken on a Wharf, Pier or bulkhead structures for the purpose of loading or discharging a Vessel then berthed at the facility. If such tools, equipment and appliances are left or remain at the Pier after conclusion of operations they will be subject to Demurrage starting at midnight of the day of the conclusion of the operations. 9.2.3 Passenger's Baggage This exception is applicable only when the baggage are carried on the same Vessel as part of the passenger transportation cost, Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 79 and the Vessel carrier collects no revenue for its transportation. Any excess of baggage or weight over permitted amount of baggage as part of the ticket cost for which the Vessel carrier collects revenue for its transportation is subject to Section 9.1.1.4 and tariff on Section 16.2.9. Goods with commercial value will not be considering baggage under this tariff. The Vessel Owner or Vessel Agent shall identify such commercial goods by using Bill of Lading and the Port Administrator shall assess the tariff applicable to the type of merchandise, goods or supplies. 9.2.4 Petroleum Petroleum and petroleum products in bulk, which are pumped back from Vessel to a tank at the same facility, as originally loaded, if they have paid one Wharfage charge when loaded from the tank to the Vessel in the first place. Mayagüez Port Commission Handbook and Tariff No. 01 Page 80 Rules and Regulations 9.2.5 Ballast in Bulk Ballast in bulk, which is not manifested as Cargo, has no commercial value, and is handled directly between the Vessel and a Barge or tank. 9.2.6 Dunnage and Ship Lining Dunnage and ship lining used in the stowage or bracing of Cargo, which is discharged from and reloaded to the same Vessel within 30 (thirty) days. 9.2.7 Scrap Dunnage Scrap Dunnage or scrap ship lining discharge from a Vessel provided it has no commercial value, has been used on the Vessel for Dunnage or bracing of Cargo, and is not to be reused for these purposes. 9.2.8 Cargo Movement Such Cargo which a Vessel discharges and reloads prior to departure in order to load or discharge other Cargo. Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 81 9.2.9 Special Cargo Activities Merchandise or Cargo, including liquid products, which are received in Puerto Rico or are sent from Puerto Rico to other countries for assistance purposes to natural disaster cases or of any other nature, which is recognized by the Port Administrator, will be exempted of paying Wharfage when the Port of Administrator recognizes this in writing. 9.3 Right to Refuse the Handling of Cargo The Port Administrator reserves the right to deny the handling of any commodity through its facilities, which is deemed unreasonable (commodities which may constitute a hazard or create situations affecting the operation or damaging or dirtying the facilities in an abnormal manner or creating pollution). Mayagüez Port Commission Handbook and Tariff No. 01 Page 82 Rules and Regulations 10.0 PASSENGER SERVICE FEE OR WHARFAGE FEE FOR CRUISE SHIP VESSELS 10.1 Conditions 10.1.1Number of Passengers Vessels carrying more than 12 revenue passengers or Cruise Ships which berth at the Port of Mayagüez Wharf, Pier, or bulkhead structure shall pay a fixed fee per passenger based on the total number of revenue passengers or tourists who initiate or terminate a voyage on the Vessel and whose names appear in the passengers or tourist list upon arrival of the Vessel. Wharfage shall be assessed for each period of twenty four (24) hours or fraction thereof during which a Vessel is at berth. 10.1.2 Round Trip The Passenger Service Fee shall not apply to those passengers or tourists disembarking in Puerto Rico from the same voyage of the same Vessel on which they began their trip, Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 83 provided to they began their trip at a Port of Mayagüez facility and were included in the number of passengers used to determine the passenger fees paid by the Vessel at that time. 10.2 Port of Mayagüez Incentives for the Cruise Ship Industry Cruise ship owners and/or operators interested in making the Port of Mayagüez a regular Port of Call or a Home Port for their Vessels may apply for one or more of the following incentives. These incentives will be available to Vessel Owners or Vessels Operators through individual negotiation and written agreement process based on a minimum amount of Port Calls or a volume of passengers. In the event that Vessels Owners or Vessels Operators cannot accomplish the guarantee volume of passengers or Port Calls as individually agreed, the Port Administrator shall retroactively charge the tariffs applicable to dockage or passenger service fee. The Incentives for the Cruise Ship Industry granted by the Port Administrator to the Vessels Owners or Mayagüez Port Commission Handbook and Tariff No. 01 Page 84 Rules and Regulations Vessels Operators throughout written agreements cannot exceed the expiration of this Handbook and Tariff. 10.2.1Cruise Ship Maiden Voyage Incentive Cruise Ships using the Piers facilities of the Port of Mayagüez during its first call may be exempted from the payment of Passenger Service Fee in their Cruise Ship Maiden Voyage trips whenever a Cruise Line have initiated negotiations or have a written agreement with such Cruise Line for visiting the Port of Mayagüez based on an agreed minimum volume of passengers or Port Calls. These exemptions will be granted after previous and advance confirmed maiden voyages and are given through credits to the invoice issued by the Port of Mayaguez. These incentives will not be applicable to Cruise Ships that eventually change Vessel name, Vessel Agent, Vessel Owner or have used the Port of Mayagüez facilities at any time in the past. Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 85 10.2.2 Dockage Exemption Incentive Cruise Ships, using the Piers facilities of the Port of Mayagüez, belonging to Cruise Lines which have in place agreements guarantying a minimum volume of passengers or Port Calls may be exempted of dockage for the first twenty four (24) hours. 10.2.3 Incentive to Passenger Service Fee Cruise Ships, using the Piers facilities of the Port of Mayagüez, belonging to Cruise Lines which have in place agreements guarantying a minimum volume of passengers or Port Calls may have a reduced Passenger Services Fee as low as $8.81. 10.2.4 Preferential Docking Incentive Cruise Ships, using the Piers facilities of the Port of Mayagüez, belonging to Cruise Lines which have in place agreements guarantying a minimum volume of passengers or Port Calls may have the privilege of a Preferential Docking. Mayagüez Port Commission Handbook and Tariff No. 01 Page 86 Rules and Regulations 10.2.5 Other Incentives Cruise Ships may apply to any Commonwealth Agency or Local Government Incentive Programs, regardless of the Incentive granted by the Port Administrator subject to the conditions established for its approval by such entities. The Port Administrator or the Port Commission has neither control nor responsibility for the Incentives Programs provided by any Commonwealth Agency or Local Government Incentive Programs. 11.0 PORT SERVICE CHARGES Every Vessel entering, navigating or otherwise using any port of Puerto Rico or Adjacent Islands will be assessed a charge per each period of 24 hour or fraction for the purpose of contributing to the costs incurred by the Commonwealth to comply with the regulations for the navigation and maritime commerce under the Docks and Harbors Act of Puerto Rico, 23 L.P.R.A. Section 2201, et seq. Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 87 The Port Services Charges or Harbor Dues are assessed and imposed by the Captain of the PR Port Authority located at the Port of Mayagüez. The Harbor Dues are payable to the PR Port Authority, whether or not a Vessel uses the Port facilities. The Harbor Dues are not assessed to contribute in any way to the terminal facilities and services provided by the Port of Mayagüez. Vessel Owners or Vessel Agents shall not include the Port of Mayagüez services charges as part of the payment for Dockage, Wharfage and other services or charges assessed by the Port Administrator. For Harbor Dues tariff details, please refer to the Puerto Rico Port Authority. 12.0 FREE TIME AND DEMURRAGE 12.1 Conditions The payment of the Wharfage rates prescribed in this Handbook and Tariff will entitle inbound Cargo to the use of the Transit Area of the Port of Mayagüez Wharf, Wharf premise, Pier or bulkhead structure without additional charge during all or any part of the period during which Mayagüez Port Commission Handbook and Tariff No. 01 Page 88 Rules and Regulations the Vessel on which it has moved is discharging Cargo, and will entitle outbound Cargo to the use of this area during all or any part of the period during which the Vessel on which it is to move is loading Cargo. A free-time period of five (5) Port Operating Days is provided to those Vessels, which conditions do not match or comply with the exceptions appointed on Section 12.2. 12.2 Exceptions 12.2.1 Cargo Subject to Federal Agencies Clearance Import Cargo or vehicle which requires clearance from Customs and the Departments of Health or Agriculture, will have a freetime period of six (6) Port Operating Days. 12.2.2 Foreign Countries Cargo or Vehicles Export Cargo or vehicle to or from foreign countries, will have a free-time period of six (6) Port Operating Days. Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 89 12.2.3Cargo of Federal, Commonwealth and Local Government For purpose of education, health, public aid to attend emergency situation, when exceeding 1,000 tons will have a free-time period of seven (7) Port Operating Days. 12.2.4 Shipments of One Commodity or Consignee Imported as well as exported, in excess of 3,000 tons and up to 4,999 short tons, will have a free-time period of six (6) Port Operating Days and those in excess of 5,000 short tons of the same commodity or for the same shipper, will have a free-time period of seven (7) Port Operating Days. 12.2.5 Transshipment Loose Cargo and Vehicles The Vessel line shall be held responsible for presenting all documents evidencing that the shipment concerns transshipment Cargo so that it will have the right, which in this connection is established. Mayagüez Port Commission Handbook and Tariff No. 01 Page 90 Rules and Regulations 12.2.5.1 Loose Cargo (not in Containers) and vehicles, originally manifested for transshipment to other ports without change in form or contents paying only incoming Wharfage, will have a free-time period of ten (10) Operating Days. 12.2.5.2 Cargo or vehicle for transshipment remaining in the Pier in excess of ten (10) Port Operating Days will pay Demurrage according to the rate established in this Regulation and will pay in addition outgoing Wharfage, if re-embarked. If the Cargo or vehicles is not re-embarked, it will be subject to the provisions of Section 12.4.4. 12.2.5.3 Cargo or vehicle lifted from the Pier to a warehouse, which does not belong to the Port of Mayagüez during the period from the eleventh to the Mayagüez Port Commission Handbook and Tariff No. 01 Rules and Regulations Page 91 fifteenth days, it will not be considered as Cargo or vehicle in transshipment and will pay Demurrage as if it were inbound Cargo or vehicle over the regular free time of four (4) Port Operating Days. 12.2.6 Transshipment Cargo or Vehicle in Containers The Vessel line shall be held responsible for presenting all documents evidencing that the shipment concerns transshipment Cargo so that it will have the right, which in this connection is established. 12.2.6.1 Free time - Cargo or vehicle in Containers held in the Pier (transit) and/or the company's holding area originally manifested for transshipment to other destination without change in form or content, including both loaded and empty Containers shall have a free-time Mayagüez Port Commission Handbook and Tariff No. 01 Page 92 Rules and Regulations period of ten (10) Port Operating Days. 12.2.6.2 Demurrage and tariff after free-time - Cargo or vehicle remaining in the Pier (Transit Area) in excess of ten (10) Port Operating Days will pay Demurrage according to the tariff in effect and will pay in addition outgoing Wharfage for transshipment if re-embarked as indicated in