POEA Rules and Regulations Governing the Recruitment and Employment of Seafarers: SUMMARY OF PROVISIONS RELEVANT TO THE COMPANY

Rule II Issuance of License: Section 1. Requirements for Licensing. Every applicant for license to operate a manning agency shall submit a written application together with the following requirements (NOTE: A Shipping Company may not directly deploy seafarers without registration to the POEA as a Manning Agency): C.3. Crew order/s of not less than fifty (50) seafarers from its new market C.4 Certification from Pre-Employment Services Office of POEA on the existence of new market.

Section 2. Payment of Filing Fee = P10,000.00 Section 4. Payment of Fees and Posting of Bonds. License fee= P50,000.00 Escrow Agreement in the amount of P 1M- answer for all legal claims from violations of grant and use of licence and contracts of employment Surety bond= P100,000.00

Section 6. Validity of License 4 years Section 15. Renewal of License Renewed Escrow Agreement in the amount of P 1M- anwer for all legal claims from violations of grant and use of licence and contracts of employment Renewed Surety bond= P100,000.00

RULE III ENLISTMENT OF PHILIPPINE OVERSEAS SHIPPING ENTERPRISES AND ENROLMENT OF PHILIPPINE FLAGSHIPS Section 1. Enlistment of Philippine Overseas Shipping Enterprises and Enrollment of Philippine Flagships. Philippine overseas shipping enterprises may enlist their companies and enroll their ships trading overseas upon submission of the following documents: a. Certificate of Accreditation by the Maritime Industry Authority (MARINA); b. Certified true copy of certificate of vessel registry issued by MARINA; and c. Post a surety bond in the amount of P200,000.00 from a reputable bonding company duly accredited by the Insurance Commission the validity of which should be co-terminus with the validity of special registration; Section 2. Action Upon the Application. The Administration shall issue certificate of enlistment to the Philippine shipping company within twenty-four (24) hours from receipt of application provided all the requirements are met by the applicant. Section 3. Validity Period of Enlistment. Enlistment shall be co-terminus with its MARINA accreditation.

Section 4. Requisites for Renewal. The applicant shall submit an application for renewal of enlistment, which shall be acted upon by the Administration within four (4) hours from receipt of application upon submission of the following: a. Copy of Certificate of Accreditation by MARINA; and b. Renewed surety bond in the amount of Two Hundred Thousand Pesos (P200,000.00)