Selection of vendors

(1) Vendor evaluation items

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(2) Method of evaluation

1. 1) Evaluation of the existing vendors : above 4 items
2. 2) Evaluation of new vendors : evaluation of the system (exclude the point for successful bidding for Kumho’s projects, and convert the remaining points to 100 points)

(3) Selection criteria

1. 1) Select companies with high scores according to TO for each work type and item.
2. 2) Kumho Construction may designate additional vendors according to the needs, regardless of their evaluation scores.

Cancellation of designation as vendor

1. Cancellation criteria

1. 1) If the vendor violates the contractual terms and other special management terms with Kumho Construction.
2. 2) If the vendor is insolvent or bankrupt, or is deemed difficult to conduct business due to provisional attachment, disposition, etc. on key business property.
3. 3) If the vendor decides to transfer its business or is merged into other company without prior approval.
4. 4) If the vendor delays deliverycontinuously, causing considerable damage to Kumho Construction.
5. 5) If the vendor continuously does not attend the site presentations and tenders.
6. 6) If the vendor receives administrative dispositions, such as suspension of business.
7. 7) If the vendor violates the relevant laws, such as the Fair Transactions in Subcontracting Act and the Framework Act on the Construction Industry.
8. 8) If both parties of the contract agree that it is difficult to fulfill the contract due to other reasons.

2. Cancellation procedure

1. 1) Pre-notification and official notice to vendors
   1. ① 15-day response period must be indicated.
   2. ② After reviewing the response, Kumho Construction may decide whether to continue transaction or not.
   3. ③ If no response is made, the transaction will be stopped.