Document VjEb0r1qJwaZGB4kZmmdYnGo8

ED CHUBB Liability Insurance Declarations Named Insured and Mailing Address UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. 10810 OLD KATY ROAD SUTTE 100 HOUSTON, TX 77043 Producer No. 0093563 Producer MARSH USA AGENCY, INC 1000 LOUISIANA #4000 HOUSTON, TX 77002-5008 Chubb Group of Insurance Companies 15 Mountain View Road Warren, NJ 07059 Policy Number 3534-59-69 Effective Date JUNE 1,2000 Issued by the stock insurance company indicated below, herein called the company. GREAT NORTHERN INSURANCE COMPANY Incorporated under the laws of MINNESOTA Policy Period From: JUNE 1,2000 To: JUNE 1,2001 12:01 A.M. standard time at the Named Insured's mailing address shown above. Liability Coverage GENERAL LIABILITY GENERAL AGGREGATE LIMIT PRODUCTS/COMPLETED OPERATIONS AGGREGATE LIMIT EACH OCCURRENCE LIMIT ADVERTISING INJURY AND PERSONAL INJURY LIMIT MEDICAL EXPENSE LIMIT EMPLOYEE BENEFITS ERRORS OR OMISSIONS AGGREGATE LIMIT EACH CLAIM LIMIT DEDUCTIBLE - EACH CLAIM RETROACTIVE DATE Liability Insurance Form 80-02-0010 (Ed 4-94) Issue Date: JUNE 16, 2000 Declarations Limit Of Insurance $ 2,000,000 ........ $ 2,000,000 $ 1,000,000 $ 1,000,000 $ 10,000 $ 1,000,000 $ 1,000,000 UTEX 000894 $ 1,000 JUNE 1, 1998 last page Page 1 Liability Insurance General Liability Section Who Is Insured Table Of Contents Coverage Limits Of Insurance Investigation, Defense And Payment Of Damages Supplementary Payments Coverage Territory Bodily Injury/Property Damage Exclusions Advertising Injury/Personal Injury Exclusions :c:^v:&&W:W::::Av:::*:::v::*:*::& Medical Expense Exclusions Policy Exclusions ;&*Stf*W^^ Liability Conditions r=::8:SS::2>tt&S^>:^ Definitions Page No. 3 6 6 8 8 >8 9 t 12 W 13 S 14 ft 15 19 't I A * r% M 'K#Tv N'// ; 'tf v'O ii T ft A C *T 'vs. is**. .a v? '""JE ft A -t t I A a i t i T Y Form 80-02-2000 (Ed. 4-94) Contract UTEX 000895 Pays 1 of25 k: CHUBB General Liability Contract Who Is Insured Sole Proprietorship Words and phrases that appear in bold print have special meanings and are defined in the Definitions section of this contract. Throughout this contract the words "you" and "your" refer to the Named Insured shown in the Declarations of this policy, and any other person or organization qualifying as a Named Insured under this contract. The words "we," "us" and "our" refer to the company providing this insurance. In addition to the Named Insured, other persons or organizations qualify as insureds. Those persons or organizations and the conditions under which they qualify are identified in the Who Is Insured section of this contract. ZA If you are an individual, you and your spouse are insureds, but only with respect to the conduct of a business of which you are the sole owner. Partnership Or Joint Venture If you are a partnership or joint venture, you are an insured. Your members, your partners, and their spouses are also insureds, but only with respect to the conduct of your business. Other Organizations If you are an organization other than a partnership, joint venture or limited liability company, you are an insured. Your executive officers and directors are insureds, but only with respect to their duties as your officers or directors. Your stockholders are also insureds but only with respect to their liability as stockholders. Employees Liability Insurance Form 80-02-2000 (Ed 4-94) Your employees, other than your executive officers, are insureds, but only for acts within the scope of their employment by you or while performing duties related to the conduct of your business. No employee is an insured for: A. bodily injury or personal injury: 1. to you, your partners or members (if you are a partnership, joint venture or limited liability company), or to a co-employee while in the course of his or her employment or while performing duties related to the conduct of your business; 2. to the spouse, child, parent, brother or sister of that co-employee as a consequence of paragraph A.l. above; or 3. for which there is any obligation to share damages with or repay someone else who must pay damages because of an injury described in A.l. or A.2. above; Paragraphs A.l., A.2., and A.3. do not apply to officers or supervisors. B. property damage to property owned or occupied by or rented or loaned to that employee, any of your other employees, or any of your partners or members (if you are a partnership, joint venture or limited liability company). UTEX 000897 Contract Page 3 of 25 k: CHUBB General Liability Who Is Insured Vendors (continued) repacking, unless unpacked solely for the purpose of inspection, demonstration, testing or the substitution of parts under instruction from the manufacturer and then repacked in the original container; demonstration, installation, servicing or repair operations, except such operations perfonned at the vendor's premises in connection with the sale of your products; your products which after distribution or sale by you have been labeled or relabeled or used as a container, part or ingredient of any other thing or substance, by or for the vendor; any failure to make such inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business, in connection with the distribution or sale of your products; any of your products or completed operations contained within the products-completed operations hazard which have been excluded from this insurance; or any occurrence which takes place after the contract with the vendor expires or the end of the policy period, whichever comes first. This insurance does not apply to any person or organization, as insured, from whom you have acquired your products or any ingredient, pan or container, entering into, accompanying or containing your products. Lessors Of Premises Any lessor of leased premises is an insured, but only with respect to liability arising out of the ownership, maintenance or use of that part of the premises leased to you and only if you are contractually obligated to provide such coverage as is afforded by this contract. No lessor is an insured with respect to: any occurrence which takes place after you cease to be a tenant in the premises or the end of the policy period, whichever comes first; structural alterations, new construction, or demolition operations performed by or on behalf of the lessor; or bodily injury, property damage, advertising injury, or personal injury arising out of the sole negligence of the lessor. .. . _ .. Lessors Of Leased Equipment Any lessor of equipment leased to you is an insured, but only with respect to bodily injury or property damage arising out of the maintenance, operation or use by you of the equipment and only if you are contractually obligated to provide such coverage as is afforded by this contract. No lessor is an inaired with respect to: any occurrence which takes place after any equipment lease expires or the end of the policy period, whichever comes first; or bodily injury or property damage ansing out of the sole negligence of the lessor. Subsidiaries Or Newly Acquired Or Formed Organizations Liability Insurance Form 80-02-2000 (Ed 4-94) If there is no other similar insurance available, the following will qualify to be a named insured: Any financially controlled subsidiary of yours; or UTEX 000899 Contract Page 5 of 25 K General Liability Limits Of Insurance (continued) persons or organizations making claims or bringing suits. The Limits Of Insurance apply separately to each consecutive annual period and to any remaining period of less than 12 months, starting with the beginning of the policy period shown in the Declarations, unless the policy period is extended after issuance for an additional period of less than 12 months. In that case, the additional period will be deemed part of the last preceding period for purposes of determining the Limits Of Insurance. General Aggregate Limit Subject to the Each Occurrence Limit and the Advertising Injury And Personal Injury Limit, the General Aggregate Limit is the most we will pay for the sum of: damages under bodily injury and property damage coverage, except damages because of bodily injury and property damage included in the products-completed operations hazard; damages under advertising injury and personal injury coverage; and medical expenses under Medical Expense coverage. Products-Completed ~ Subject to the Each Occurrence Limit, the Products-Completed Operations Aggregate Limit is the Operations Aggregate Limit most we will pay for damages under bodily injury and property damage coverage included in the products-completed operations hazard. Advertising Injury And Personal Injury Limit The Advertising Injury And Personal Injury Limit is the most we will pay under advertising injury and personal injury coverage for the sum of all damages involving the same oral or written publication of material, or the same act, regardless of the frequency or repetition thereof, the number or kind of media used, and the number of claimants. Any amount paid for damages arising out of an offense will reduce the amount of the applicable Aggregate Limit available for payment of damages arising out of any other offense. If the applicable Aggregate Limit has been reduced by payment of damages to an amount that is less than the Advertising Injury And Personal Injury Limit stated in the Declarations, the remaining Aggregate Limit is the most that will be available for payment of damages arising out of any other offense. Each Occurrence Limit The Each Occurrence Limit is the most we will pay for the sum of: damages under bodily injury and property damage coverage; and medical expenses under Medical Expense coverage because of all bodily injury and property damage arising out of any one occurrence. Any amount paid for damages arising out of an occurrence will reduce the amount of the applicable Aggregate Limit available for payment of damages arising out of any other occurrence. If the applicable Aggregate Limit has been reduced by payment of damages to an amount that is less than the Each Occurrence Limit stated in the Declarations, the remaining Aggregate Limit is the most that will be available for payment of damages arising out of any other occurrence. Liability Insurance Form 80-02-2000 (Ed 4-94) Contract UTEX 000901 Page 7 of 25 i: CHUBB General Liability Bodily Injury/Property None of the following exclusions, except Contractual Liability and Expected or Intended Injury, Damage Exclusions apply to damage to premises rented to you. Aircraft, Auto Or Watercraft This insurance does not apply to bodily injury or property damage arising out of the ownership, maintenance, use, operation, loading or unloading, or entrustment to others of any: aircraft; auto; or watercraft which any insured owns, operates, rents or borrows. This exclusion does not apply to: A. watercraft on land at your premises; B. watercraft that you do not own that is: 1. less than 55 feet long; and 2. not being used to carry persons or property for a charge; C. parking an auto on, or on the ways next to, premises you own or rent, provided the auto is not owned by or rented or loaned to you or the insured; D: liability assumed under any insured contract for the ownership, maintenance, or use of aircraft, or watercraft; E. bodily injury or property damage arising out of the operation of any of the equipment listed in paragraph F.2. or F.3. of the definition of mobile equipment; or F. aircraft you do not own, provided: 1. the pilot in command holds a currently effective certificate, issued by the duly constituted authority of the United States of America or Canada, designating him or her a commercial or airline transport pilot; 2. it is rented with a trained, paid crew; and 3. it is not being used to carry persons or property for a charge. Contractual Liability This insurance does not apply to bodily injury or property damage for which the insured is obligated to pay damages by reason of the assumption of liability in a contract or agreement. This exclusion does not apply to liability for damages: that the insured would have in the absence of the contract or agreement; or assumed in an oral or written contract or agreement that is an insured contract, provided the bodily injury or property damage occurs subsequent to the execution of the contract or agreement. When a claim for such bodily injury or property damage is made, we will defend that claim provided the insured has assumed the obligation to defend such claim in the insured contract. Such defense payments will not reduce the Limits of Insurance. Liability Insurance Form 80-02-2000 (Ed 4-94) Contract UTEX 000903 Page 9 of 25 General Liability Bodily Injury/Property Damage Exclusions Employer's Liability (continued) to any obligation to share damages with or repay someone else who must pay damages because of the injury. This exclusion does not apply to liability assumed by the insured under an insured contract. Expected Or Intended Injury This insurance does not apply to bodily injury or property damage which results from an act that: is intended by the insured; or can be expected from the standpoint of a reasonable person to cause bodily injury or property damage, even if the injury or damage is of a different degree or type than actually intended or expected. This exclusion does not apply to bodily injury resulting from the use of reasonable force to protect persons or property. Liquor Liability This insurance does not apply to bodily injury or property damage for which any insured may be held liable by reason of: causing or contributing to the intoxication of any person; the furnishing of alcoholic beverages to a person under the legal drinking age or under the influence of alcohol; or any statute, ordinance or regulation relating to the sale, gift, distribution or use of alcoholic beverages. This exclusion applies only if you are in the business of manufacturing, distributing, selling, serving or furnishing alcoholic beverages. Product Recall This insurance does not apply to bodily injury or property damage claimed for any loss, cost, or expense incurred by you or others for the loss of use, withdrawal, recall, inspection, repair, replacement, adjustment, removal or disposal of: your product; your work; or impaired property if such product, work, or property is withdrawn or recalled from the market or from use by any person or organization because of a known or suspected defect, deficiency, inadequacy, or dangerous condition in it. Liability Insurance Form 80-02-2000 (Ed 4-94) Contract UTEX 000905 Page 11 of 25 General Liability Advertising Injury/ Personal Injury Exclusions (continued) Failure To Conform To Advertising This insurance does not apply to advertising injury arising out of the failure of goods, products or services to conform with advertised quality or performance. Intentional Falsehoods This insurance does not apply to advertising injury or personal injury arising out of oral or written publication of material if done by or at the direction of the insured with knowledge of its falsity. Prior Acts This insurance does not apply to advertising injury or personal injury arising out of oral or written publication of material whose first publication took place before the beginning of the policy period. Willful Violations This insurance does not apply to advertising injury or personal injury arising out of the willful violation of a penal statute or ordinance committed by or with the knowledge or consent of the insured. Wrong Description Medical Expense Exclusions Athletic Activities This insurance does not apply to advertising injury arising out of the wrong description of the price of goods, products or services. This insurance does not apply to medical expense for bodily injury to any person taking part in athletics. Injury To An Insured This insurance does not apply to medical expense for bodily Injury to any insured. Products-Completed Operations This insurance does not apply to medical expense for bodily injury included within the productscompleted operations hazard. Workers' Compensation And Similar Laws This insurance does not apply to medical expense for bodily injury to a person, whether or not an employee of any insured, if benefits for the bodily injury are payable or must be provided under a workers' compensation or disability benefits law or a similar law. Liability Insurance Form 80-02-2000 (Ed 4-94) Contract UTEX 000907 Page 13 of 25 c CHUBB General Liability Policy Exclusions (continued) Pollution Liability Conditions Arbitration A. This insurance does not apply to bodily injury, property damage, advertising injury, or personal injury arising out of the actual, alleged, or threatened discharge, dispersal, seepage, migration, release, or escape of pollutants: 1. at or from any premises, site or location which is or was at any time owned or occupied by, or rented or loaned to, any insured; 2. at or from any premises, site or location which is or was at any time used by or for any insured or others for the handling, storage, disposal, processing or treatment of waste; 3. which are or were at any time transported, handled, stored, treated, disposed of, or processed as waste by or for any insured or any person or organization for whom you may be legally responsible; or 4. at or from any premises, site or location on which any insured or any contractors or subcontractors working directly or indirectly on any insured's behalf are performing operations: a. if the pollutants are brought on or to the premises, site or location in connection with such operations by such insured, contractor or subcontractor; or b. if the operations are to test for, monitor, clean up, remove, contain, treat, detoxify, or neutralize, or in any way respond to, or assess the effects of pollutants. Subparagraphs A.l. and A.4.a. do not apply to bodily injury, property damage, advertising injury, or personal injury arising out of heat, smoke or fumes from a hostile fire. B. This insurance does not apply to any loss, cost or expense arising out of any 1. request, demand or order that any insured or others test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or in any way respond to, or assess the effects of pollutants; or 2. claim or suit by or on behalf of a governmental authority for damages because of testing for, monitoring, cleaning up, removing, containing, treating, detoxifying, or neutralizing or in any way responding to, or assessing the effects of pollutants. This exclusion does not apply to damage to premises rented to you caused by fire, explosion, smoke or leakage from fire protective equipment. We are entitled to exercise all of the insured's rights in the choice of arbitrators and the conduct of any arbitration proceeding, except when the proceeding is between us and the insured. Bankruptcy Bankruptcy or insolvency of the insured or the insured's estate will not relieve us of any obligation to which this insurance applies. Liability Insurance Form 80-02-2000 (Ed 4-94) Contract UTEX 000909 Page 15 of 25 k: CHUBB General Liability Liability Conditions (continued) Legal Action Against Us No person or organization has a right under this insurance: to join us as a party or otherwise bring us intoa suit asking for damages from an insured; or to sue us on this insurance unless all of its terms have been fully complied with. A person or organization may sue us to recover on an agreed settlement or on a final judgment against an insured obtained after: an actual trial in a civil proceeding; an arbitration proceeding; or an alternative resolution proceeding, but we will not be liable for damages that are not payable under the terms of this insurance or that are in excess of the applicable Limits of Insurance. Other Insurance Liability Insurance Form 80-02-2000 (Ed 4-94) If other valid and collectible insurance is available to the insured for a loss we cover under bodily injury, property damage, advertising injury or personal injury coverage of this insurance, our obligations are limited as follows: Primary Insurance This insurance is primary except when the Excess Insurance provision described below applies. If this insurance is primary, our obligations are not affected unless any of the other insurance is also primary. Then we will share with all that other insurance by the method described in the Method of Sharing provision described below. Excess Insurance This insurance is excess over any of the other insurance, whether primary, excess, contingent or on any other basis: A. that is Fire, Extended Coverage, Builders' Risk, Installation Risk or similar coverage for your work; B. that is Fire insurance for premises rented to you; C. if the loss arises out of the maintenance or use of aircraft, autos or watercraft to the extent not subject to the Aircraft, Auto Or Watercraft exclusion; or D. that is valid and collectible bodily injury, property damage, advertising injury, or personal injury insurance: 1. provided you by anyone working under contract for you; or 2. provided by another party's policy to which you have been added as an additional insured. When this insurance is excess, we will have no duty under bodily injury, property damage, advertising injury or personal injury coverages to defend any insured against a suit that any other insurer has a duty to defend. If no other insurer defends, we will undertake to do so, but we will be entitled to the insured's rights against all those other insurers. UTEX 000911 Contract Page 17 of 25 k: CHUBB General Liability Definitions Advertising WHEN USED WITH RESPECT TO INSURANCE UNDER THIS CONTRACT: Advertising means any advertisement, publicity article, broadcast or telecast. Advertising Injury Advertising injury means injury, otber than bodily injury or personal injury, arising solely out of one or more of the following offenses committed in the course of advertising of your goods, products or services: oral or written publication of advertising material that slanders or libels a person or organization; oral or written publication of advertising material that violates a person's right of privacy; or infringement of copyrighted advertising materials or infringement of trademarked or service marked titles or slogans. Agreed Settlement Agreed settlement means a settlement and release of liability signed by us, the insured and the claimant or the claimant's legal representative. Auto Auto means a land motor vehicle, trailer or semi-trailer designed for travel on public roads, including any attached machinery or equipment. But auto does not include mobile equipment. Bodily Injury Bodily injury means physical: injury, sickness, or disease sustained by a person and, if arising out of the foregoing, mental anguish, mental injury, shock, humiliation or death at any time. Employee Employee includes a leased worker but does not include a temporary worker. Executive Officer Executive officer means a person holding any of the officer positions created by your charter, constitution or by-laws. Hazardous Properties Hazardous properties includes radioactive, toxic or explosive properties. Hostile Fire Hostile fire means one which becomes uncontrollable or breaks out from where it was intended to be. Impaired Property Liability Insurance Form 80-02-2000 (Ed 4-94) Impaired property means tangible property, other than your product or your work, that cannot be used or is less useful because: it incorporates your product or your work that is known or thought to be defective, deficient, inadequate, or dangerous; or Contract UTEX 000913 Page 19 of 25 k: CHUBB Definitions (continued) Medical Expense Mobile Equipment General Liability WHEN USED WITH RESPECT TO INSURANCE UNDER THIS CONTRACT: Medical expenses means reasonable expenses for: first aid administered at the time of an accident; necessary medical, surgical, x-ray, and dental services, including prosthetic devices; and necessary ambulance, hospital, professional nursing and funeral services. Mobile equipment means any of the following types of land vehicles, including any attached machinery or equipment: A. bulldozers, farm machinery, forklifts and other vehicles designed for use principally off public roads; B. vehicles maintained for use solely on or next to premises you own or rent; C. vehicles that travel on crawler treads; D. vehicles, whether self-propelled or not, maintained primarily to provide mobility to permanently mounted: 1. power cranes, shovels, loaders, diggers or drills; or 2. road construction or resurfacing equipment such as graders, scrapers or rollers; E. vehicles not described in A., B., C. or D. above that are not self-propelled and are maintained primarily to provide mobility to permanently attached equipment of the following types: 1. air compressors, pumps and generators, including spraying, welding, building cleaning, geophysical exploration, lighting and well servicing equipment; or 2. cherry pickers and similar devices used to raise or lower workers; and F. vehicles not described in A., B., C. or D. above maintained primarily for purposes other than the transportation of persons or cargo. However, self-propelled vehicles with the following types of permanently attached equipment are not mobile equipment but will be considered autos: 1. equipment designed primarily for: a. snow removal; b. road maintenance, but not construction or resurfacing; c. street cleaning; 2. cherry pickers and similar devices mounted on automobile or truck chassis and used to raise or lower workers; and 3. air compressors, pumps and generators, including spraying, welding, building cleaning, geophysical exploration, lighting and well servicing equipment. Liability Insurance Form 80-02-2000 (Ed. 4-94) Contract UTEX 000915 Page 21 of 25 k: CHUBB General Liability Definitions (continued) Personal Injury WHEN USED WITH RESPECT TO INSURANCE UNDER THIS CONTRACT: Personal injury means injury, other than bodily injury, arising out of one or more of the following offenses committed in the course of your business, other than your advertising: A. false arrest, detention or imprisonment; B. malicious prosecution; C. the wrongful eviction from, wrongful entry into, or invasion of the right of private occupancy of a room, dwelling or premises that a person or persons occupy, by or on behalf of its owner, landlord or lessor; D. oral or written publication of material that slanders or libels a person or organization; E. oral or written publication of material that violates a person's right of privacy; or F. discrimination (unless insurance thereof is prohibited by law) based on race, color, religion, sex, age or national origin; except when alleged, charged or suffered by any: 1. applicant for employment; 2. present or former employee; or 3. prospective employee. Pollutants Pollutants means any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals and waste. Waste includes materials to be disposed of, recycled, reconditioned or reclaimed. Products-Completed Operations Hazard Liability Insurance Form 80-02-2000 (Ed. 4-94) 1. Products-completed operations hazard includes all bodily injury and property damage occurring away from premises you own or rent and arising out of your product or your work except: products that are still in your physical possession; or work that has not yet been completed or abandoned. 2. Your work will be deemed completed at the earliest of the following times: when all of the work called for in your contract has been completed. when all of the work to be done at the site has been completed if your contract calls for work at more than one site; when that part of the work done at a job site has been put to its intended use by any person or organization other than another contractor or subcontractor working on the same project. Work that may need service, maintenance, correction, repair or replacement, but which is otherwise complete, will be treated as completed. 3. This hazard does not include bodily injury or property damage arising out of: the transportation of property, unless the injury or damage arises out of a condition in or on a vehicle created by the loading or unloading of it; UTEX 000917 Contract Page 23 of 25 CHUBB Definitions Your Product (continued) Your Work General Liability WHEN USED WITH RESPECT TO INSURANCE UNDER THIS CONTRACT: Your product includes: warranties or representations made at any time with respect to the fitness, quality, durability, performance or use of your product; and. the providing of or failure to provide warnings or instructions Your product does not include vending machines or other property rented to or located for the use of others but not sold. Your work means: work or operations performed by you or on your behalf; and materials, parts or equipment furnished in connection with such work or operations. Your work includes: warranties or representations made at any time with respect to the fitness, quality, durability, performance or use of your work; and the providing of or failure to provide warnings or instructions. Liability Insurance Form 80-02-2000 (Ed 4-94) Contract UTEX 000919 Page 25 of 25  *afcnt Liability insurance Section Endorsements Form 80-02-2899 (Ed 4-94) Endorsements UTEX 000920 Liability Insurance Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1, 2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 This Endorsement applies to the following forms: GENERAL LIABILITY Policy Exclusions Under Policy Exclusions, the following exclusion is added: Millennium Date Change This insurance does not apply to bodily injury, property damage, advertising injury , or personal injury arising out of: A. the actual or potential inability of any: hardware, software, operating system, network, microprocessor; other computer, data processing or communications system equipment or component; or other system, equipment or component that communicates with any of the foregoing, to accept, retrieve, recognize, understand, in erpret, identify, distinguish, process, communicate or otherwise use: any date subsequent to December 31, 1999; or information or code which contains dates subsequent to December 31,1999; or B. the rendering of, or failure to render, any service or advice in connection with paragraph A. above. Liability Insurance Form 80-02-2426 (Ed 4-98) Millennium Date Change Total Exclusion Endorsement UTEX 000921 continued Page 1 k: Liability Insurance Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1, 2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 This Endorsement applies to the following forms: GENERAL LIABILITY .................................................................................................................................... ......................................... ........x::::;-;:::::; Vi<?M#mii8S?;WZmXiiSSIt The following changes are made as respects exposures in the state of Texas. Bodily Injury/Property Damage Exclusions Under Bodily Injury/Property Damage Exclusions, the exclusion for Aircraft, Auto Or Watercraft is deleted and replaced by the following: Aircraft, Auto Or Watercraft This insurance does not apply to bodily injury or property damage arising out of the ownership, maintenance, use, operation, loading or unloading, or entrustment to others of any: aircraft; auto; or watercraft which any insured owns, operates, rents or borrows. This exclusion does not apply to: A. watercraft on land at your premises; B. watercraft that you do not own that is: 1. less than 55 feet long; and 2. not being used to carry persons or property for a charge; C. parking an auto on, or on the ways next to, premises you own or rent, provided the auto is not owned by or rented or loaned to you or the insured. Liability Insurance Form 80-02-2764 (Ed 4-94) Texas Mandatory Endorsement UTEX 000923 continued Page 1 k: CHUBB Liability Insurance Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1,2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16.2000 This Endorsement applies to the following forms: GENERAL LIABILITY The following changes are made as respects exposures in the state of Texas. Under Bodily Injury/Property Damage Exclusions, the following exclusion is added: Bodily Injury/Property Damage Exclusions Nuclear Energy A. This insurance does not apply to bodily injury or nuclear property damage: 1. with respect to which an insured under the' policy is also an insured under a nuclear energy liability policy issued by Nuclear Energy Liability Insurance Association, Mutual Atomic Energy Liability Underwriters, Nuclear Insurance Association of Canada or any of their successors, or would be an insured under any such policy but for its termination upon exhaustion of its limit of liability; or 2. resulting from the hazardous properties of nuclear material and with respect to which (a) any person or organizations is required to maintain financial protection pursuant to the Atomic Energy Act of 1954, or any law amendatory thereof, or (b) the insured is, or had this policy not been issued would be, entitled to indemnity from the United States of America, or any agency thereof, under any agreement entered into by the United States of America, or any agency thereof, with any person or organization. B. Under any Medical Expense coverage, this insurance does not apply to expenses incurred with respect to bodily injury resulting from the hazardous properties of nuclear material and arising out of the operation of a nuclear facility by any person or organization. Liability Insurance Form 80-02-2786 (Ed 7-96) Texas Mandatory Endorsement UTEX 000925 continued Page 1 Policy Exclusions Nuclear Energy Liability Insurance Endorsement Effective Date Policy Number JUNE 1, 2000 3534-59-69 When this insurance is excess, we will have no duty under bodily injury, property damage, advertising injury or personal injury coverages to defend any insured against a suit that any other insurer has a duty to defend. If no other insurer defends, we will undertake to do so, but we will be entitled to the insured's rights against all those other insurers. When this insurance is excess over other insurance, we will pay only our share of the amount of the loss, if any, that exceeds the sum of: the total amount that all such other insurance would pay or the loss in the absence of this insurance; and the total of all deductible and self-insured amounts under all that other insurance. We will share the remaining loss, if any, with any other insurance that is not described in this Excess Insurance provision and was not purchased specifically to apply in excess of the Limits Of Insurance shown in the Declarations of this insurance. Method of Sharing If all of the other insurance permits contribution by equal shares, we will follow this method also. Under this method each insurer contributes equal amounts until it has paid its applicable limit of insurance or none of the loss remains, whichever comes first. If any of the other insurance does not permit contribution by equal shares, we will contribute by limits. Under this method, each insurer's share is based on the ratio of its applicable limit of insurance to the total applicable limits of insurance of all insurers. Under Policy Exclusions, the Nuclear Energy exclusion is deleted. All other terms and conditions remain unchanged. Liability Insurance Form 80-02-2786 (Ed 7-96) Texas Mandatory Endorsement last page Page 3 to CHUBB Liability Insurance Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1, 2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 This Endorsement applies to the following forms: GENERAL LIABILITY Limits of insurance Under Limits Of Insurance, the following provision is added: Non Accumulation Of Limits Of Insurance This policy is one of several policies issued by us or other member insurers of the Chubb Group of Insurance Companies to you, and/or your subsidiary companies, to conform with various state jurisdictional requirements. It is agreed that any claim or suit which could be covered under two or more of these policies will be covered under only the policy with the highest limit of insurance available or, if the limits are the same, under only one of the policies. Regardless of the number of claims or suits, the number of policies, or the number of additional insureds which could be involved, the combined total annual aggregate limits of liability under all such policies to which this endorsement is attached will not exceed the aggregates stated below for any one policy year: $2,000,000 $2,000,000 General Aggregate Limit -- - Products-Completed Operations Aggregate Limit All other terms and conditions remain unchanged. Authorized Representative Liability Insurance Form 80-02-2324 (Ed 4-94) Non Accumulation Of Limits Of Insurance Endorsement UTEX 000928 last page Page 1 k: CHUBB Liability Insurance Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1, 2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 This Endorsement applies to the following forms: GENERAL LIABILITY Bodily Injury/Property Damage Exclusions Under Bodily Injury/Property Damage Exclusions, the following exclusion is added: Aircraft Products This insurance does not apply to bodily injury or property damage included within the productscompleted operations hazard arising out of aircraft, missiles or spacecraft and any article or spare part used in connection therewith, including: air navigation systems or guidance systems; ground handling tools and equipment; training aids, instructions, manuals, blueprints, engineering or other data or advice; or services or labor relating to the foregoing. All other terms and conditions remain unchanged. Liability Insurance Form 80-02-2336 (Ed 4-94) Exclusion - Aircraft Products Endorsement last page Page 1 c Liability Insurance Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1,2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16,2000 This Endorsement appliesjo the following forms: GENERAL LIABILITY Bodily Injury/Property Damage Exclusions Employer's Liability Under Bodily Injury/Property Damage Exclusions, the exclusion titled Employers Liability is deleted. Bodily Injury/Property Damage/Personal Injury Exclusions A section titled Bodily Injury/Property Damage/Personal Injury Exclusions is added to the contract and the following exclusion is added: Employer's Liability Liability Insurance Form 80-02-2345 (Ed 4-94) This insurance does not apply to any bodily injury, property damage or personal injury to: A. an employee of the insured arising out of and in the course of: 1. employment by the insured; or 2. performing duties related to the conduct of the insured's business; B. an employee or former employee of any insured, whether or not arising out of or in the course of employment by any insured, or an applicant for employment with any insured, if the bodily injury, property damage or personal injury arises out of any: 1. Refusal to employ; UTEX 000930 Exclusion - Employers Liability Endorsement continued Page 1 k: CHUBB Liability Insurance Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1. 2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16,2000 This Endorsement applies jo the following forms: COMMON POLICY CONDITIONS GENERAL LIABILITY Blanket Waiver of Subrogation The condition entitled "TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US" does not apply to any person or organization wherean "Insured" is required by written contract, signed prior to an occurrence to waive our rights of subrogation against that person or organization. All other terms and conditions remain unchanged. Liability Insurance Form 80-02-2373 (Ed 4-94) BLANKET WAIVER OF SUBROGA TION Endorsement last page Page 1 Common Policy Conditions Section c .0 M M O 'p 0 'L 1 111? Y Form 80-02-9099 (Ed 4-94) Common Conditions >4, 'e 0 n P 1 ? i 0 H S UTEX 000933 k: CHUBB Policy Conditions Schedule of Forms Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1,2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16,2000 The following is a schedule of forms issued as of the date shown above: Form Number 80-02-9090 80-02-9310 80-02-9310 80-02-9310 80-02-9310 80-02-9728 Edition Date 4-94 4-94 4-94 4-94 4-94 4-94 Form Name COMMON POLICY CONDITIONS AMENDED CANCELLATION PROVISIONS UNINTENTIONAL ERRORS & OMISSIONS BROAD FORM NAMED INSURED KNOWLEDGE OF AN OCCURRENCE TEXAS MANDATORY - COMMON SECT.- CANCEL. TERMS Effective Date 06/01/00 06/01/00 06/01/00 06/01/00 06/01/00 06/01/00 Date Issued 06/16/00 06/16/00 06/16/00 06/16/00 06/16/00 06/16/00 Form 80-02-9999 (ED 6-95) Schedule ot Forms UTEX 000934 last page Page 1 E Common Policy Conditions Contract Conditions Audit Of Books And Records The following Conditions are included under each part of the policy, unless stated otherwise. We may audit your books and records as they relate to this insurance at any time during the term of this policy and up to three years afterwards. Cancellation The first named insured may cancel this policy or any of its individual coverages at any time by sending us a written request or by returning the policy and stating when thereafter cancellation is to take effect. We may cancel this policy or any of its individual coverages at any time by sending to the first named insured a notice 60 days (20 days in the event of non-payment of premium) in advance of the cancellation date. Our notice of cancellation will be mailed to the first named insured's last known address, and will indicate the date on which coverage is terminated. If notice of cancellation is mailed, proof of mailing will be sufficient proof of notice. The earned premium will be computed on a pro rata basis. Any unearned premium will be returned as soon as practicable. Changes This policy can only be changed by a written endorsement that becomes part of this policy. The endorsement must be signed by one of our authorized representatives. Compliance By Insureds We have no duty to provide coverage under this policy unless you and any other involved insured have fully complied with all of the terms and conditions of the policy. Conformance Any terms of this insurance which arc in conflict with the applicable statutes of the State in which this policy is issued are amended to conform to such statutes. First Named Insured The person or organization first named in the Declarations is primarily responsible for payment of all premiums. The first named insured will act on behalf of all other named insureds for the giving and receiving of notice of cancellation or nonrenewal and the receiving of any return premiums that become payable under this policy. Inspections And Surveys We may: make inspections and surveys at any time; give you reports on the conditions we find; and recommend changes. Common Policy Conditions Form 80-02-9090 (Ed 4-94) Contract UTEX 000935 Page 1 of 2 Common Policy Conditions Section Endorsements to to o H O L * c Y E: fi *> O 8 I fill IS llll H T Form 80-02-9399 (Ed 4-94) Endorsements UTEX 000937 E CHUBB Policy Conditions Endorsement Policy Period JUNE 1,2000 TO JUNE 1,2001 Effective Date JUNE 1, 2000 Policy Number 3534-59-69 Insured UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. Name of Company^ GREAT NORTHERN INSURANCE COMPANY Date Issued JUNE 16, 2000 This Endorsement applies to the following forms: COMMON POLICY CONDITIONS Conditions Cancellation ....................... . ....... .... .................... yox:::x::................................ ....... The following changes are made as respects exposures in the state of Texas. Under Conditions, the provisions titled Cancellation and When We Do Not Renew are deleted and replaced by the following: The first named insured may cancel this policy or any of its individual coverages at any time by sending us a written request or by returning the policy and stating when thereafter cancellation is to take effect. Cancellation By Us Of Policies In Effect For 60 Days Or Less If this policy has been in effect for 60 days or less and is not a renewal or continuation of a policy issued by us, we may cancel this policy or any of its individual coverages for any reason by mailing or delivering to the first named insured written notice of cant ellation, stating the reason for cancellation, at least: 20 days before-the effective date of cancellation if we cancel for nonpayment of premium; or 60 days before the effective date of cancellation if we cancel for any other reason. We may not cancel this policy solely because the named insured is an elected official. Cancellation By Us Of Policies In Effect For More Than 60 Days If this policy has been in effect for more than 60 days or is a renewal or continuation of a policy we issued, we may cancel this policy only for one or more of the following reasons: 1. failure to pay premiums when due; UTEX 000938 Policy Conditions Form 80-02-9728 (Ed 4-94) Texas Mandatory Endorsement continued Page 1 Policy Conditions Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued >44*-:v<v}^.r #Z> This Endorsement applies to the following forms: COMMON POLICY CONDITIONS JUNE 1,2000 TO JUNE 1,2001 JUNE 1, 2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 xt:Sr-SttAto Amended Cancellation Provisions We may cancel this policy by mailing or delivering to the first Named Insured written notice of cancellation at least: a. 20 days before the effective date of cancellation if we cancel for nonpayment of premium; or b. 90 days before the effective date of cancellation if we cancel for any other reason. All other terms and conditions remain unchanged. Authorized Representative Policy Conditions Form 8C 02-9310 (Ed 4-94) AMENDED CANCELLATION PROVISIONS Endorsement UTEX 000940 last page Page 1 k: Policy Conditions Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1, 2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY. INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 This Endorsement applies to the following forms: COMMON POLICY CONDITIONS Unintentional Errors and Omissions The company shall not deny coverage as a result of an unintentional failure by you to give notice as respects any occurrence, provided notice is given as soon as practicable after becoming aware that this policy may apply to such occurrence. All other terms and conditions remain unchanged. Authorized Representative Policy Conditions Form 80-02-9310 (Ed 4-94) UNINTENTIONAL ERRORS 0 OMISSIONS Endorsement UTEX 000941 last page Page 1 k: CHUBB Policy Conditions Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1, 2000 TO JUNE 1, 2001 JUNE 1,2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 This Endorsement applies to the following forms: COMMON POLICY CONDITIONS Broad Form Named Insured Any financially controlled subsidiary of yours; or any organization you newly acquire or form, other than a partnership, joint venture or a limited liability company, and over which you maintain ownership or majority interest, will be deemed to be a Named Insured if there is no other similar insurance available to that organization. This coverage is effective on the formation or acquisition date. All other terms and conditions remain unchanged. Authorized Representative Policy Conditions Form 80-02-9310 (Ed. 4-94) BROAD FORM NAMED INSURED Endorsement UTEX 000942 Iasi page Page 1 Policy Conditions Endorsement Policy Period Effective Date Policy Number Insured Name of Company Date Issued JUNE 1,2000 TO JUNE 1,2001 JUNE 1,2000 3534-59-69 UTEX INDUSTRIES, INC. APPLIED RUBBER TECHNOLOGY, INC. GREAT NORTHERN INSURANCE COMPANY JUNE 16, 2000 This Endorsement applies to the following forms: COMMON POLICY CONDITIONS Knowledge of an Occurrence Knowledge of an occurrence by your agent, servant or employee shall not constitute knowledge by you unless an executive officer, partner, procreator or risk manager employee has received such notice. All other terms and conditions remain unchanged. Authorized Representative Policy Conditions Form 80-02-9310 (Ed 4-94) KNOWLEDGE OF AN OCCURRENCE Endorsement UTEX 000943 last page Page 1