INTE0112-002 (06088D)

With respect to purchases from time to time of packaging material from PPC Flexible Packaging, (hereinafter called “Seller”), by our customers, their affiliates and subsidiaries, (hereinafter called “Buyer”), Seller warrants the merchant ability of such packaging material. The warranty of merchant ability includes without limitation, Seller’s guaranty as of the shipment date that the packaging material comprising each shipment made on Buyer’s order, when used for the purpose specified in the packaging material’s purchase order: (a) is not adulterated or misbranded within the meaning of the Federal Food, Drug and Cosmetic Act; (b) is not an article which may not, under the provisions of Paragraph 404, 505, or 512 of the Act, be introduced into interstate commerce; (c) compiles with the Federal Food, Drug and Cosmetic Act and all applicable food additive regulations; (d) meets the requirements of California Safe Drinking Water and Toxic Enforcement Act in that the article either contains no chemicals on the California Governor’s List of Chemicals Known to Cause Cancer or Reproductive Toxicity or if so, the level of each chemical in question poses no significant risk as described in California’s Health Safety Code, Section 25249.10 and implementing regulations; and (e) does not, nor does any of its components, contain any heavy metals (such as, for example, lead, cadmium, mercury, or hexavalent chromium) in concentrations or quantities which either individually or cumulatively exceed the lowest level permitted under any Federal or State law in order for the material, lawfully sold, offered for sale, or offered for promotional purposes, in any applicable jurisdiction by any manufacturer or distributor thereof (such lowest permissible level being one hundred parts per million by weight, as of January 1994). 2. The warranty also includes without limitation, Seller’s representation as of the shipment date that the packaging material comprising each shipment made on Buyer’s order is, when used for the purpose specified in the packaging material’s purchase order, not subject to an applicable product safety rule promulgated in accordance with the Federal Consumer Product Safety Act. This warranty expires when, after shipment or delivery by Seller, the packaging material becomes adulterated or misbranded within the meaning of the Federal Food, Drug and Cosmetic Act or becomes an article which may not, under the provisions of Paragraph 404, 505 and 512 of the Act, be introduced into interstate commerce or does not comply with the Federal Food, Drug and Cosmetic Act and all applicable food additive regulations. 3. No statement or representation contained in this General and Continuing Guaranty will be construed to apply to the correctness, sufficiency or compliance with any law or regulation of any matter printed on or otherwise applied, at Buyer’s request or direction, to the packaging material that is the subject hereof. Specifically, but in no way affecting the generality of the foregoing, Seller does not warrant or represent that the packaging material, as used by the Buyer, will comply with the Federal Fair Packaging and Labeling Act. 4. Reference is made to Seller’s written acceptance of Buyer’s orders for Buyer’s remedy for breach of warranty with respect to packaging material included in such order. 5. The guarantee is valid and shall remain in force until terminated by either party.

Packaging – Food Contact