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EXHIBIT 10.4
TRANSPORTATION CONTRACT
This Contract is made and entered into effective the 26th day of March,
1997, by and between Delta Steel, Inc., hereinafter called "Carrier", and, FWT,
Inc., hereinafter called "Shipper".
Carrier agrees to offer transportation services under this Contract as
provided in 49 U.S.C.S. 14101(b) of the U.S. Code, and Shipper agrees to use
Carrier's services subject to terms and conditions as follows:
1. TRANSPORTATION SERVICES: Shipper agrees to tender and Carrier agrees to
transport commodities in interstate, intrastate and/or international commerce
in such quantities as the parties may mutually agree and to/from such
destination/origination points with reasonable dispatch.
1. RATES: Rates shall be as set forth in a letter from the Carrier to the
Shipper (Exhibit A) and shall be effective on all shipments. Rates may be
changed thereafter by letter to the Shipper with fifteen (15) days notice.
Special rates may be used from time to time; such special rates shall be set
out in a letter or fax.
3. SHIPPING AND PICKUP TICKETS: A shipping or pickup ticket shall be issued
for each shipment with the commodity description or part number.
4. INSURANCE: Carrier shall carry and maintain transit insurance which names
Shipper as a loss payee and general liability insurance which names Shipper as
an additional insured. Prior to transporting any commodities, products or
materials on behalf of Shipper, Carrier shall furnish Shipper with a
certificate of transit insurance reflecting Shipper as a loss payee and general
liability insurance reflecting Shipper as an additional insured.
5. INDEMNITY, RISK OF LOSS: Carrier shall be responsible for all claims,
causes of action, losses and damages resulting from or in any manner relating
to the transporting by Carrier of commodities, products and materials. Carrier
shall bear the risk of loss to commodities, products and materials transported
by Carrier to the point of delivery specified by Shipper and shall pay and be
responsible for any losses and damages resulting from the delivery by Carrier
or unloading by Carrier of commodities, products and materials at such point of
delivery. Carrier unconditionally agrees to defend, indemnify and hold harmless
Shipper from any and all demands, claims, causes of action, liabilities,
losses, costs and expenses resulting from or in any manner arising out of any
actions or omissions for which Carrier has agreed to be responsible herein.
This provision shall survive the termination of the Contract.
6. ENTIRE CONTRACT: This Contract with any attachments or modifications
constitutes the entire agreement between the parties for transportation
services. No change or modification of the Contract shall be effective unless in
writing and signed by both parties, and no tariff, bill of lading or any other
document, other than rate letters, will have any legal effect with regard to
transportation services between the parties.
7. SUITS: Any suit between Carrier and Shipper arising out of the provisions
of this Contract shall be brought in Tarrant County, Texas and be governed by
Texas law. The prevailing party to any suit shall be entitled to reasonable
attorney's fees and its related costs.
8. TERM OF CONTRACT: This Contract shall be effective for twelve (12) months
beginning March 26, 1997 and will continue in effect thereafter until and
unless canceled by either party with thirty (30) days written notice to the
other at its address below.
IN WITNESS WHEREOF, the parties have executed this Contract in duplicate.
ADDRESSES:
FWT, Inc. Delta Steel, Inc.
Shipper Carrier
P.O. Box 8597 P.O. Box 2289
Fort Worth, Tx. 78124 Houston, Tx. 77252
By: By: R.A. EMBRY
____________________________ ________________________________
Title: Title: President
__________________________ _____________________________
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EXHIBIT A
[DELTA STEEL, INC. LETTERHEAD]
FWT Date: March 21, 1997
P O Box 8597
Fort Worth, TX 76124
Attention: Betty Moore, Tommy Moore, Fred Moore, and
Bill Sales
This letter is to clear up the freight issue per our conversation 3/20/97.
Delta is committed of serving FWT and our joint interests any way possible. We
have committed a couple to stretch trailers for our local deliveries as well as
trucks and drivers. Delta would also commit four trailers, two trucks and two
drivers for the night hauling to Houston for galvanizing. As I stated, I feel
the rates we had were fair and if you wanted to discuss them just let me know.
You now have let it be known and these are the changes that I discussed with
Bill Sales 3/20/97.
1. Truckload from FWT or to FWT locally = $75.00 per load
2. Truck to Houston from FWT = $400.00 per load
3. Truckload from Houston to FWT = $400.00 per load
4. If FWT can load our trucks to and
from Houston (loaded both ways) = $700.00 per load
These rates should beat any current rates and we can come out okay by using our
trucks and trailers 24 hours a day. The bills dated after 3/21/97 will all be
at our new rates, however, bills prior to that date will remain at the original
rates. Again, I want to say the original rates were fair considering the
equipment tide up, however, we will try these new rates and if we can come out
okay then we will continue.
Sincerely yours,
/s/ NICK WALKER
Nick Walker
Division Manager