| 1.1 | As      used in this Agreement, the following terms shall have the meanings as      specified below: |
|-----|------------------------------------------------------------------------------------------------------|

|   | “Mitsui”      means Mitsui & Co. Ltd or itsaffiliates. |
|--------|------------------------------------------------------------------------|

|   | “Mitsui      EUROPE” means Mitsui & Co. EuropePLC. |
|--------|--------------------------------------------------------------------|

----

| 3.1 | The      Firm Price of the Commodity under this Agreement during each Contract Year      shall be confirmed by TIMET and Toho in writing (hereinafter called the      “Annual Confirmation”), which shall be made annually within thirty (30)      days after the Parties have agreed the Firm Price of Commodity for the      next Contract Year.  The form of the Annual Confirmation is      attached hereto as Appendix C.  In the event of TIMET’s election      under Article 4.3, the Annual Confirmation also will set forth the      Commodity Mix (as defined below). |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.2 | The      Annual Confirmation shall stipulate the monthly delivery schedule of      Commodity in the applicable ContractYear. |
|-----|------------------------------------------------------------------------------------------------------------------------------|

| 3.3 | Each      Annual Confirmation shall be deemed to incorporate the terms and      conditions set forth in this Agreement and the Consignment      Agreement.  If there is any conflict or difference in      interpretation between this Agreement and any Annual Confirmation, the      terms and conditions of this Agreement shall supersede those of said      Annual Confirmation, and any such conflicting or different terms or      conditions shall be deemed rejected by the other Party, unless such      conflicting or different terms or conditions are incorporated into the      relevant Annual Confirmation by writing or typing conspicuously on the      Annual Confirmation and identifying the specific changes to this Agreement      as an amendment and signed by the duly authorized representatives of TIMET      and Toho. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ARTICLE 4.      QUANTITY |   |
|--------------------------|--------|

| 4.1 | For      Contract Year 2010, the Firm Annual Quantity shall be * metric tons (“MT”)      of Commodity, and for Contract Year 2011, the Firm Annual Quantity shall      be * MT of Commodity. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.2 | For      Contract Years 2012 to 2024, the Firm Annual Quantity shall be * MT of      Commodity. |
|-----|-------------------------------------------------------------------------------------------------|

| 4.3 | Upon      eighteen (18) months advance written notice to Toho commencing with the      supply of the Commodity for Contract Year 2014 and continuing for the      remaining term of the Agreement, TIMET may elect to convert up to * MT per      year of Structural Grade Commodity to Standard Disc Quality Commodity;      provided that TIMET provides the reasonable and necessary assistance to      Toho to qualify the Standard Disc Quality Commodity for rotor grade      approval.  Toho agrees to cooperate fully with TIMET to qualify      the Standard Disc Quality Commodity for rotor grade      approval.  In addition, upon eighteen (18) months advance      written notice to Toho commencing with the supply of Commodity for      Contract Year 2014 and continuing for the remaining term of the Agreement,      TIMET may elect to convert in excess of * MT per year of Structural Grade      Commodity to Standard Disc Quality Commodity.  In this event the      Parties will meet to discuss and agree upon the excess volume of titanium      sponge that can be so converted.  In addition, upon eighteen      (18) months advance written notice to Toho, TIMET may elect to convert      Structural Grade Commodity to Standard Disc Quality Commodity for supply      in a Contract Year prior to Contract Year 2014, and in this event the      Parties will meet to discuss and agree upon the volume of titanium sponge      that can be so converted. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.4 | In      the event of TIMET’s election to convert Commodity as set forth in Article      4.3, TIMET will provide notice to Toho on or prior to June 30th      of the year that precedes the Contract Year in which the Commodity shall      be supplied (e.g. June 30th      2015 for Contract Year 2016) setting forth the quantity of Structural      Grade Commodity and Standard Disc Quality Commodity (up to a maximum of *      MT of Standard Disc Quality Commodity or such higher amount to which the      Parties agree) to be supplied in the upcoming Contract Year (hereinafter      the “Commodity Mix”). |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ARTICLE 5.      PRICE |   |
|-----------------------|--------|

| 5.1 | On      or prior to June 30th      of the year that precedes each Contract Year, Toho will provide to TIMET      the price for the Commodity for the upcoming Contract Year.  (In      the event that there is a Cost Adjustment (as defined below) or a Currency      Adjustment (as defined below) applicable to the upcoming Contract Year,      Toho will provide to TIMET the price for the Commodity by July 31st      of the year that precedes such upcoming Contract year.) The Parties will      engage in negotiation within the applicable price ranges detailed in      Article 5.3, and will take into consideration the market situation of      titanium sponge in their final agreement on the price of Commodity to be      reached by September 30th      of the year that precedes such Contract Year (the “Firm      Price”).  If no agreement is reached by September 30th,      the terms of Article 6 shall apply. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.2 | The      Firm Price shall be set out in each Annual Confirmation issued pursuant to      Article 3.1. All prices are stipulated in U.S. Dollars per kilogram, DDU      (notwithstanding any provisions of the Consignment Agreement, as defined      in INCOTERMS 2000) Consignment Place basis, and the Firm Price shall be      held final and binding on both Parties for the applicable Contract      Year. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.3 | The      permissible price ranges for the minimum and maximum Firm Price shall be      as set forth in the table below, as adjusted pursuant to Articles 5.4 and      5.5 below. The price range below, adjusted as applicable, for the      Commodity shall be applicable for each Contract Year during the term of      this Agreement. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|         Specification              | Minimum      Price | Maximum      Price |
|----------------------------------------------------------------------------|--------------------|--------------------|
|         Structural      Grade      | *                  | *                  |
|         Standard Disc      Quality | *                  | *                  |

| 5.4 |   | (a) | Beginning      with Contract Year 2015 and ending with Contract Year 2019, Toho will have      a one-time option to elect an upward adjustment in the minimum and maximum      values of the price ranges set forth in Article 5.3 (the “Cost      Adjustment”) if Toho’s aggregate costs for certain defined raw materials      and production costs (i.e. titanium feedstock, energy and labor) increase      by * or more from the defined base levels set forth in Article      5.4(b).  If elected, the Cost Adjustment will be calculated      according to the formula described in Article 5.4(b).  Toho must      send to TIMET written notice of Toho’s election to make the Cost      Adjustment by July 15 of the Contract Year preceding the Contract Year to      which the Cost Adjustment wouldapply. |
|-----|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The      formula to compute the Cost Adjustment to be applied to the minimum and      maximum values for the price ranges set forth in Article 5.3 will be as      follows: |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (c) | In      addition, in Contract Year 2019, a mandatory calculation will be made, and      the minimum and maximum values of the price range for Contract Years 2020      through 2024 will be increased or decreased to reflect changes in the      aggregate costs for the defined raw materials and production costs (i.e.,      titanium feedstock, energy and labor) from the BM-F, BM-E and      BM-L. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | If      the aggregate costs reflected in (i) the RI-F during the RI-F Measurement      Period and (ii) the RI-E and RI-L for the 12 months ending March 31, 2019      do not exceed the aggregate costs of the BM-F, BM-E and BM-L by * or more,      the price range for Contract Years 2020 through 2024 shall be the original      price range of * to * (adjusted for currencies if    applicable). |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | If      the aggregate costs reflected in (i) the RI-F during the RI-F Measurement      Period and (ii) the RI-E and RI-L for the 12 months ending March 31, 2019      exceed the aggregate costs of the BM-F, BM-E and BM-L by * or more, the      minimum and maximum values of the price range for Contract Years 2020      through 2024 will be adjusted using the formula set forth in Article      5.4(b).  For purposes of clarity, in no event will the minimum      and maximum values of the price range be decreased below the original      price range of * to *. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | With      respect to the Benchmark and Reference Indices for feedstock (i.e., the      BM-F and the RI-F), TIMET shall be permitted upon advance written notice      to audit Toho’s books and records to verify the actual and estimated      purchase costs incurred to purchase all rutile feedstock for all periods      relevant to the Cost Adjustmentcalculation. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (e) | The      Parties shall complete the calculation of the Cost Adjustment to the price      range by July 31 preceding the Contract Year to which the Cost Adjustment      would apply. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.5 |   | (a) | Beginning      in Contract Year 2015 and for every year thereafter for the remaining term      of the Agreement, the minimum and maximum values of the price range will      be adjusted as described below (hereinafter referred to as the “Currency      Adjustment”) in the event that the exchange rate of Japanese Yen per one      (1) United States Dollar, measured by the simple average of the daily      midpoint exchange rates as published by the Bank of Tokyo Mitsubishi (the      “Average Rate”) for the 12 month period from July 1 to June 30 of the      previous year (the “Measurement Period”) increases or decreases by more      than * Yen from the target exchange rate of * Yen per USD (the “Target      Rate”.)  In any Contract Year in which a Cost Adjustment is      made, such Cost Adjustment will be made prior to any Currency      Adjustment.  If for any reason the Bank of Mitsubishi Tokyo      ceases to publish the simple average of the daily midpoint exchange rates      of the Japanese Yen, the Parties shall mutually agree to a substitute bank      for such information. |
|-----|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | If      the Average Rate during the Measurement Period does not decrease below *      Yen per USD or does not increase above * Yen per USD, there will be no      Currency Adjustment to the price range for the corresponding Contract Year      (the range from * Yen per USD to * Yen per USD is hereinafter referred to      as the “Dead Zone”). |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | If      the Average Rate during the Measurement Period falls outside of the Dead      Zone, the price range will be adjusted according to the following      formula: |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | The      Parties shall complete the calculation of the Currency Adjustment to the      price range by July 31 preceding the Contract Year to which the Currency      Adjustment would apply. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.1 | In      the event that TIMET and Toho fail to agree on the Firm Price of the      Commodity for any Contract Year pursuant to the provisions set forth in      Article 5 on or before September 30th of the preceding Contract Year (the      “Price Disagreement”), the terms and conditions of this Article 6 shall      apply. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.2 | In      case that the following Contract Year is an odd  year: |
|-----|----------------------------------------------------------------|

|   | (a) | Within      10 Business Days after September 30th,      Toho shall make an offer to TIMET in writing (hereinafter called “Toho’s      Final Offer”), which will consist of the lowest prices (within the      applicable price range) at which Toho is willing to sell the Firm Annual      Quantity of the Commodity for such Contract  Year. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Within      10 Business Days after the receipt of Toho’s Final Offer, TIMET shall      respond to Toho in writing asfollows: |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | by      accepting Toho’s Final Offer; or |
|--------|-----|------------------------------------------------|

|   | (ii) | by      making its final offer price to Toho (hereinafter called “TIMET’s Final      Counteroffer”), which will consist of the highest prices (within the      applicable price range) at which TIMET is willing to purchase the Firm      Annual Quantity of the Commodity for such Contract  Year. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Unless      the price of Commodity is mutually agreed by both Parties within 10      Business Days after Toho’s receipt of TIMET’s Final Counteroffer, the      price of Commodity stipulated in TIMET’s Final Counteroffer shall be      deemed to be accepted by Toho and to be the Firm  Price. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 6.3 | In      case that the following Contract Year is an even  year: |
|-----|-----------------------------------------------------------------|

|   | (a) | Within      10 Business Days after September 30th,      TIMET shall make an offer to Toho in writing (hereinafter called “TIMET’s      Final Offer”), which will consist of the highest prices (within the      applicable price range) at which TIMET is willing to purchase the Firm      Annual Quantity of the Commodity for such Contract  Year. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Within      10 Business Days after the receipt of TIMET’s Final Offer, Toho shall      respond to TIMET in writing asfollows: |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | by      accepting TIMET’s Final Offer; or |
|--------|-----|-------------------------------------------------|

|   | (ii) | by      making its final offer price to TIMET (hereinafter called “Toho’s Final      Counteroffer”), which will consist of the lowest prices (within the      applicable price range) at which Toho is willing to sell the Firm Annual      Quantity of the Commodity for such Contract  Year. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Unless      the price of Commodity is mutually agreed by both Parties within 10      Business Days after TIMET’s receipt of Toho’s Final Counteroffer, the      price of Commodity stipulated in Toho’s Final Counteroffer shall be deemed      to be accepted by TIMET and to be the Firm  Price. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.1 | On      or before January 31st      following each Contract Year, Toho will calculate the amount of Commodity      actually sold by Toho to TIMET hereunder for the immediately preceding      Contract Year and shall advise TIMET in writing of the result of such      calculation (hereinafter called the “Calculation Notice”).  If      TIMET objects to such calculation, it shall advise Toho in writing of its      objection within twenty-one (21) days after receipt of the Calculation      Notice.  The date on which the Parties agree in writing as to      such calculation shall be referred to as the “Calculation      Date.” |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.2 | If,      for any reason other than Force Majeure (as defined in Article 15) or      Toho’s failure to deliver the Commodity, TIMET fails to take the full      amount of the Firm Annual Quantity, TIMET shall pay Toho USD * per      kilogram (hereinafter referred to as the “Take or Pay Payment”) for the      difference between the Firm Annual Quantity and the quantity of Commodity      actually purchased by TIMET during the relevant Contract      Year.  TIMET will pay to Toho the amount of the foregoing      liquidated damages within thirty (30) days after the Calculation      Date.  Beginning in Contract Year 2020 and for the remaining      term of this Agreement, the “Take or Pay Payment” shall be reduced to USD      * per kilogram. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.3 | The      liquidated damages in the amount of the Take or Pay Payment stipulated in      Article 7.2 shall settle all the damages arising from TIMET’s failure to      take delivery of the full amount of the Firm Annual    Quantity. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ARTICLE 10.      SHIPMENT |   |
|---------------------------|--------|

| 10.1 | The      shipment of Commodity hereunder shall be made in accordance with the      delivery schedule in the Annual Confirmation. Toho agrees to deliver the      Commodity within fifteen (15) days before or after the delivery schedule      in the Annual Confirmation.  If any scheduled shipment (other      than due to Force Majeure) is delayed by more than sixty (60) days from      the scheduled delivery date, and the Commodity held in Consignment is not      sufficient to cover for such late delivery, TIMET may, at its sole      election, provide written notice to Toho of TIMET’s election to (i) cancel      the shipment and purchase an equivalent volume of Commodity from an      alternate supplier, without liability to TIMET in which case Toho shall      pay to TIMET within thirty (30) days after receipt of TIMET’s notice of      election liquidated damages in the amount of the Take or Pay Payment      applicable to such Contract Year per kilogram of Commodity of which      shipment is cancelled as full settlement of all the damages arising from      the delayed delivery; or (ii) take delivery of the delayed Commodity      within forty-five (45) days of receipt of TIMET’s notice of election, and      Toho agrees to supply the Commodity to TIMET on a first priority basis,      with time of the essence in performance, until all TIMET’s orders have      been brought current with the original delivery schedule.  The      purchase from alternate suppliers shall be deemed a purchase under this      Agreement for the purpose of determining TIMET’s annual purchase amount      under Article 7. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 10.2 | TIMET      shall use commercially reasonable efforts to schedule the shipments of      Commodity to be evenly spread by calendar quarter (and also evenly spread      in each calendar month) during each Contract Year.  The Parties      understand, however, that actual quantities of Commodity to be purchased      and taken delivery of by TIMET may vary upward or downward from      quarter-to-quarter and month-to-month, depending on TIMET’s production      requirements and availability of Commodity and on the production of      Commodity at the Toho Facility.  For the avoidance of doubt, the      actual quantity of Commodity to be delivered in each Contract Year shall      in no way affect the obligation of TIMET or Toho with regard to delivery      of the entire Firm Annual Quantity throughout the relevant Contract      Year. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ARTICLE 11      WARRANTY |   |
|--------------------------|--------|

| 11.1 | Toho      warrants to TIMET that Toho holds and will pass marketable title to the      goods sold under the ConsignmentAgreement. |
|------|-----------------------------------------------------------------------------------------------------------------------------------|

| 11.2 | Toho      warrants to TIMET that Commodity shall strictly conform to the applicable      Specification. |
|------|---------------------------------------------------------------------------------------------------------|

| 11.3 | In      the event that Commodity sold by Toho to TIMET hereunder does not conform      to the warranty set forth in Article 11.2 above, then Toho shall, at its      sole cost and expense, remove or otherwise dispose of such non-conforming      Commodity and replace it promptly with an equivalent quantity of Commodity      which conforms to such warranty.  Toho’s obligation to remove or      dispose of and replace non-conforming Commodity with conforming Commodity      shall not be applicable in the event TIMET fails to give notice of such      non-conformity as provided for in Article12. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 11.4 | Except      for such warranties, no warranties whatsoever, express or implied, with      respect to any quantities of Commodity delivered to TIMET hereunder are      made by Toho and Toho expressly disclaims any warranty of merchantability,      express, implied or statutory, with respect to such quantities of      Commodity, and further disclaims any warranty of fitness for any      purpose. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ARTICLE 12      INSPECTION |   |
|----------------------------|--------|

| ARTICLE 13. TERM AND      TERMINATION |   |
|---------------------------------------|--------|

| 13.1 | This      Agreement shall come into effect on the 14th      day of November 2007 and remain effective until 31st      December 2024 (the “Terminationdate”). |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13.2 | This      Agreement shall terminate upon the occurrence of any of the      following: |
|------|---------------------------------------------------------------------------------------|

|   | (a) | the      Termination Date; |
|--------|-----|----------------------------|

|   | (b) | exercise      of the right to terminate this Agreement set forth in Article 13.3 or 13.4      below. |
|--------|-----|------------------------------------------------------------------------------------------------------|

| 13.3 | If      either Party commits a material breach of this Agreement, the Annual      Confirmation or the Consignment Agreement, the non-breaching Party may      give a written notice demanding the breaching Party to remedy such breach,      if such breach is capable of being remedied.  If the breaching      Party fails to remedy the same within ninety (90) days (or fails to      commence efforts to remedy the same within thirty (30) days) after receipt      of such notice or such breach is not capable of being remedied, the      non-breaching Party has a right to terminate this Agreement immediately by      written notice to the breachingParty. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13.4 | Either      Party has a right to terminate this Agreement immediately if bankruptcy,      insolvency, reorganization proceedings, or any other proceedings analogous      in nature or effect, are instituted by or against the other Party, or the      other Party is dissolved or liquidated, whether voluntarily or      involuntarily, or if a receiver or trustee is appointed for all or a      substantial part of the assets of the other Party or if the other Party      makes an assignment for the benefit of creditors  generally. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13.5 | The      termination of this Agreement shall not affect the rights of the Parties      that have accrued hereunder prior to such  termination. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------|

| 13.6 | Notwithstanding      Clause 5 of the Consignment Agreement, both Parties agree not to terminate      the Consignment Agreement unless this Agreement is    terminated. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13.7 | An      obligation to pay under Article 7 or Article 10.1 if accrued prior to the      date of termination of this Agreement, shall survive the termination of      this Agreement. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ARTICLE 14.      HARDSHIP |   |
|---------------------------|--------|

| ARTICLE 15. FORCE      MAJEURE |   |
|--------------------------------|--------|

| 15.1 | Neither      Party shall be liable for a failure to perform or delay in performing all      or any part of this Agreement, the Consignment Agreement, or of any Annual      Confirmation when such failure or delay is due to any cause or      circumstance beyond the reasonable control of such Party including,      without limitation, acts of God, fire, flood, storms, earthquake, typhoon,      tidal wave, plague or other epidemics, laws, governmental orders,      regulations, sanctions or restrictions, war (whether declared or not),      armed conflict, or the serious threat of the same, hostilities,      mobilization, blockade, embargo, detention, revolution, riot, looting,      lockout, strike or other labor dispute or unavailability of transportation      (each an event of “Force Majeure”). |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15.2 | If      any of the events of Force Majeure occurs and the failure or delay caused      thereby cannot be cured within ninety (90) days, any part of the Annual      Confirmation affected thereby shall be deemed not to form a part of such      Annual Confirmation and the Parties shall be discharged from any relevant      obligations thereunder accordingly. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15.3 | The      Party affected by an event of Force Majeure shall promptly notify the      other Party, in writing, as to its commencement and      termination.  The Party so affected shall take commercially      reasonable steps to resume performance hereunder with the least possible      delay. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15.4 | In      the event of any Force Majeure occurring, both Parties shall use their      commercially reasonable endeavours to find out possible lawful means to      minimize the loss and damage resulting from such circumstances and may      also seek alternative means to give effect to the objects of this      Agreement. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ARTICLE 16.      ARBITRATION |   |
|------------------------------|--------|

| 16.1 | If      there shall be any dispute under this Agreement (excluding that related to      the Price Disagreement set forth in Article 6), the regular      representatives of the Parties shall use their best efforts to resolve the      matter on an amicable basis and in a manner fair to the Parties. If one      Party notifies another Party that a dispute has arisen and the Parties are      unable to resolve such dispute within a period of thirty (30) days from      such notice, then the matter shall be referred to arbitration under      Article 16.2 |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 16.2 | If      a dispute is not resolved in the manner and within the period described in      Article 16.1, the dispute shall be referred by either Party for final      settlement by arbitration in accordance with the Rules of Arbitration of      the International Chamber of Commerce. One arbitrator appointed in      accordance with said Rules shall decide the matters in      dispute. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 16.3 | The      place of arbitration shall be New York City, New York, USA. The costs of      arbitration, including reasonable attorneys’ fees, shall be awarded as the      arbitrator shall equitably determine. The award shall set forth the legal      and factual bases therefor. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 16.4 | The      award of the arbitrator shall be final and binding and not subject to any      appeal.  Judgment on the award may be entered in any court      having jurisdiction thereof or having jurisdiction over the unsuccessful      Party or its assets. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 16.5 | When      adjudicating a dispute or proceeding among the Parties, the arbitrator      shall be instructed to first apply the contractual provisions hereof and      the mutual intent of the Parties as set forth in this Agreement and any      Annual Confirmations that are part of such dispute or      proceeding. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 16.6 | If      a dispute, controversy or claim other than an issue of material breach is      submitted to arbitration pursuant to this Article 16, the Parties, during      the period of such arbitral proceedings and pending the making of an      arbitral award, shall continue to perform their respective obligations      under this Agreement insofar as the circumstances reasonably shall allow      without prejudice to a final adjustment in accordance with the arbitral      award made in respect of that dispute, controversy or    claim. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ARTICLE 17. GOVERNING      LAW |   |
|--------------------------------|--------|

| ARTICLE 18. ENTIRE      AGREEMENT |   |
|-----------------------------------|--------|

| ARTICLE 19.      AMENDMENTS |   |
|-----------------------------|--------|

| ARTICLE 20      CONFIDENTIALITY |   |
|---------------------------------|--------|

| 20.1 |   | (a) | Neither      Party shall disclose to any other person any information relating to or      referring to the matters in this Agreement that such party (the “Receiving      Party”) has received from the other party  except: |
|------|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | to      the extent such information was in the lawful possession of the Receiving      Party without confidentiality restrictions prior to its receipt thereof      from the disclosing Party; |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | to      the extent such information is or becomes public knowledge without the      fault of the Receiving Party; |
|--------|------|-------------------------------------------------------------------------------------------------------------------|

|   | (iii) | where      disclosure is required by law or is made in compliance with the order of      any court of competent jurisdiction or by the rules or regulations of any      stock exchange on which any securities of the Parties or any of their      affiliates are registered, or any regulatory or statutory      body; |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iv) | in      the case of Toho, to Mitsui, Toho’s or Mitsui’s subsidiaries      or  affiliates, or employees, consultants, advisors, lawyers,      accountants or bankers of any of the foregoing, provided that such      recipients of information are made aware of the confidentiality of such      information; |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (v) | in      the case of TIMET, to its subsidiaries, its affiliates or its or its      subsidiaries or affiliates’ employees, consultants, advisors, lawyers,      accountants or bankers, provided that such recipients of information are      made aware of the confidentiality of such  information |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (vi) | where      it is independently developed by it or any of its affiliates without usage      of any information that is confidential under this    Agreement; |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (vii) | is      or becomes available to the Receiving Party on an unrestricted basis from      a source having a right to make such disclosure;  or |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | (viii) | is      made available on an unrestricted basis by a third  party. |
|--------|--------|--------------------------------------------------------------------|

|   | (b) | The      Parties will attempt to limit the exchange of information relating to or      referring to the matters dealt with in this Agreement to only such      information reasonably necessary for the purposes of this      Agreement. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |
|--------|--------|

| ARTICLE 21.      ASSIGNMENT |   |
|-----------------------------|--------|

| 21.1 | This      Agreement shall be binding upon and inure to the benefit of the Parties      and their respective successors and permitted  assigns. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------|

| 21.2 | Neither      Party shall assign, transfer or otherwise dispose of its rights or      obligations under this Agreement and the Annual Confirmation, in whole or      in part, without the prior written permission of the other Party which      will not be unreasonably withheld. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ARTICLE 22. NO      WAIVER |   |
|----------------------------|--------|

| 22.1 | No      failure to exercise or delay in exercising any right or remedy under this      Agreement, the Consignment Agreement, or under any Annual Confirmation by      any Party shall operate as a waiver thereof or of any other right or      remedy which such Party may have hereunder or thereunder, nor shall any      single or partial exercise of such right or remedy preclude any further      exercise thereof or of any other right or remedy which such Party may have      hereunder or thereunder. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 22.2 | The      rights and remedies provided herein are cumulative and not exclusive of      any rights and remedies provided by law, in equity or      otherwise. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ARTICLE 23.      SEVERABILITY |   |
|-------------------------------|--------|

| ARTICLE 24.      NOTICES |   |
|--------------------------|--------|

| 24.1 | All      notices, requests or other communications required or permitted to be      given hereunder shall be in writing in the English language and shall be      sent by registered mail, postage prepaid, or e-mail or facsimile (with      confirmation by registered mail, postage prepaid) to the Party at its      address set forth below or to such other address as may from time to time      be notified by any Party to the other in accordance with this Article      24.1: |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 24.2 | All      notices shall be deemed to have been given when duly transmitted by e-mail      or facsimile or seven (7) days after such notice has been deposited in the      mail and sent by registered mail as the case may  be. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | [Signature      page follows.] |
|--------|--------------------------------|

----

 

----

|                    |   RAW      MATERIAL SPECIFICATION        | RMS:  REV: | 71.4  2 |
|--------------------|----------------------------------------------------|----------------------|-------------------|
|               |                                               |                 |              |
|               | PREMIUM      GRADE SPONGECLASS      A RAW MATERIAL | DATE:                | Jun      98       |
|               |                                               | PAGE:                | 1 of      5  |
| HENDERSON,      NV |                                               |                 |              |

|   | 1 | SCOPE |
|--------|---|-------|

|   | 1.1 | This      specification covers titanium sponge, Class A Raw Material for conversion      to semi-fabricated parts. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------|

|   | 1.2 | Titanium      sponge to this specification shall be made by the Kroll process of      Magnesium reduction of Titanium Tetrachloride followed by vacuum      distillation. Material that is not manufactured using the Integral      Reduction/Distillation method will be designated as so on test      certificates. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.3 | Titanium      sponge supplied to this specification will be made according to a method      of manufacture approved by TIMET.  No change will be made in the      approved method of manufacture without prior consultation with      TIMET. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.4 | The      method of manufacture will clearly detail the provision to deal with fire      affected lots at all stages of processing and will be agreed by      TIMET. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 2 | ACKNOWLEDGEMENT |
|--------|---|-----------------|

|   | 3 | APPLICABLE      DOCUMENTS |
|--------|---|---------------------------|

|   | 3.1 | TIMET      RMS 1000 (latest revision) |
|--------|-----|---------------------------------------|

|   | 3.2 | PWA      1201 (latest revision) |
|--------|-----|---------------------------------|

|   | 3.3 | GE      P1TF95 (latest revision) |
|--------|-----|----------------------------------|

|   | 3.4 | GE      P1TF28 (latest revision) |
|--------|-----|----------------------------------|

|   | 3.5 | GE      P1TF73 (latest revision) |
|--------|-----|----------------------------------|

|   | 3.6 | ASTM      B299 (latest revision) |
|--------|-----|----------------------------------|

|   | 3.7 | ASTM      E120 (latest revision) |
|--------|-----|----------------------------------|

|   | 3.8 | ASTM      E10 (latest revision) |
|--------|-----|---------------------------------|

|   | 4 | TECHNICAL      REQUIREMENTS |
|--------|---|-----------------------------|

|   | 4.1 | Composition |
|--------|-----|-------------|

----

|                                |   RAW      MATERIAL SPECIFICATION        | RMS:  REV: | 71.4  2 |
|--------------------------------|----------------------------------------------------|----------------------|-------------------|
|                           |                                               |                 |              |
|                           | PREMIUM      GRADE SPONGECLASS      A RAW MATERIAL | DATE:                | Jun      98       |
|                           |                                               | PAGE:                | 2 of      5  |
|        HENDERSON,      NV |                                               |                 |              |

|   | 4.2 | Chemical      Composition |
|--------|-----|---------------------------|

|   |                       | WT percent      max |
|--------|----------------------------|---------------------|
|   | Nickel                     | *                   |
|   | Chromium                   | *                   |
|   | Aluminum                   | *                   |
|   | Carbon                     | *                   |
|   | Chlorine                   | *                   |
|   | Hydrogen                   | *                   |
|   | Magnesium                  | *                   |
|   | Nitrogen                   | *                   |
|   | Silicon                    | *                   |
|   | Tin                        | *                   |
|   | Water                      | *                   |
|   | Other      elements total  | *                   |
|   | Other      elements target | *                   |
|   | Oxygen                     | *                   |
|   | Iron                       | *                   |

|   | 4.3 | Hardness |
|--------|-----|----------|

|   | 4.4 | Quality |
|--------|-----|---------|

|   | 4.4.1 | Sponge      particles from each lot or blend of lots will be visually inspected to      remove any particle of unusual colour or physical      appearance.  Nitrogen content of any such segregated particle      will be determined. |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 4.4.2 | No      sponge or lot will be used when nitrogen content of any particle analyzed      as per 4.4.1 exceeds* |
|--------|-------|--------------------------------------------------------------------------------------------------------------|

|   | 4.4.3 | No      sponge will be used which has been subjected to a fire or has been      produced in equipment that has experienced a fire until that equipment has      been cleaned, inspected for damage and has produced sponge not used for      product meeting this specification. |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 4.4.4 | Specific      procedures must be available detailing how any material covered under      Section 4.4.3 is dealt with. |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------|

|   | 4.4.5 | Specific      procedures must be available dealing with control of any dense metal tools      used in the processing/inspection areas, e.g. tungsten or tungsten      carbide. |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 4.4.6 | * |
|--------|-------|---|

|   | 4.4.7 | No      sponge batch with a nitrogen content of greater than * will be      used. |
|--------|-------|-----------------------------------------------------------------------------------|

|   | 4.4.8 | * |
|--------|-------|---|

|   | 4.4.9 | Every      effort must be made to keep 4.4.6 and 4.4.8 to a minimum and despatch all      of one (1) batch at the same time ifpossible. |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------|

----

|                    |   RAW      MATERIAL SPECIFICATION        | RMS:  REV: | 71.4  2 |
|--------------------|----------------------------------------------------|----------------------|-------------------|
|               |                                               |                 |              |
|               | PREMIUM      GRADE SPONGECLASS      A RAW MATERIAL | DATE:                | Jun      98       |
|               |                                               | PAGE:                | 3 of      5  |
| HENDERSON,      NV |                                               |                 |              |

|   | 4.5 | Screen      Analysis |
|--------|-----|----------------------|

|   | 4.6 | * |
|--------|-----|---|

|   | 4.7 | Sampling |
|--------|-----|----------|

|   |   | A      representative sample will be obtained by abstracting a representative      portion of the stream of material when a lot is being fed into drum during      packaging.  The size of the sample will be defined in the      approved process outline.  The minimum size of the sample sent      to the customer and removed from the representative portion will be 5kg      and this will be sent with the lot in drum 1.  A slice of the      manufacturer’s evaluation ingot/button is to be sent separately and ahead      of the lot of the Technical Officer – Raw  Materials. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 5 | IDENTIFICATION |
|--------|---|----------------|

|   | 5.1 | The      body of each drum (not the lid) will be legibly marked in with the words      “Titanium Sponge”, and also the lot number and the drum number, in      characters at least 40mm high. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 5.2 | All      old marking on the drums will be permanently obliterated with      paint. |
|--------|-----|------------------------------------------------------------------------------------|

|   | 5.3 | The      batch number will be repeated on the diametrically opposite side of the      drum and in the top third of thedrum. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------|

|   | 6 | PACKAGING |
|--------|---|-----------|

----

|                    |   RAW      MATERIAL SPECIFICATION        | RMS:  REV: | 71.4  2 |
|--------------------|----------------------------------------------------|----------------------|-------------------|
|               |                                               |                 |              |
|               | PREMIUM      GRADE SPONGECLASS      A RAW MATERIAL | DATE:                | Jun      98       |
|               |                                               | PAGE:                | 4 of      5  |
| HENDERSON,      NV |                                               |                 |              |

|   | 7 | SHIPPING |
|--------|---|----------|

|   | 7.1 | Within      each delivery the drums will be arranged in order of lot and drum      number. |
|--------|-----|--------------------------------------------------------------------------------------------|

|   | 7.2 | The      method of packaging and delivery will not be altered without the prior      agreement of TIMET. |
|--------|-----|----------------------------------------------------------------------------------------------------------|

|   | 7.3 | The      samples that are required by section 4 of this specification are to be      packed in No. 1 drum of the lot. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------|

|   | 8 | CERTIFICATION |
|--------|---|---------------|

|   | 8.1 | The      manufacturer will send to TIMET, FAO the Technical Officer – Raw      Materials, prior to, or at the time of despatch.  A test report      in duplicate stating the TIMET specification number and      giving: |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.1.1 | Analyses      required by section 4 ofspecification. |
|--------|-------|------------------------------------------------------|

|   | 8.1.2 | Hardness      of each lot required by section 4 of  specification. |
|--------|-------|--------------------------------------------------------------------|

|   | 8.1.3 | Particle      size analysis as per section 4 ofspecification. |
|--------|-------|---------------------------------------------------------------|

|   | 8.1.4 | Certificate      clearly stating that each lot conforms to the    specification. |
|--------|-------|----------------------------------------------------------------------------------|

|   | 8.1.5 | If      non-integrated process used, this must be  stated. |
|--------|-------|------------------------------------------------------------|

|   | 8.1.6 | Statement      that material meets Pratt & Whitney approval    requirements. |
|--------|-------|----------------------------------------------------------------------------------|

|   | 8.1.7 | Statement      that material meets General Electricapproval. |
|--------|-------|--------------------------------------------------------------|

|   | 8.2 | A      drum list in duplicate listing the number of each lot, the number of drums      in each lot, and the total net and gross weight of each lot must also be      sent.  These documents will be sent to arrive before or at the      time of delivery. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 9 | NON-CONFORMANCE |
|--------|---|-----------------|

|   | 10 | QUALITY      ASSURANCE |
|--------|----|------------------------|

|   | 11 | OTHER      CRITERIA |
|--------|----|---------------------|

|   | 11.1 | Requirement      precedence is Purchase Order, this RMS, RMS  1000. |
|--------|------|---------------------------------------------------------------------|

|   | 11.2 | Acceptance      of this RMS must be acknowledged and a signed copy of such acceptance      shall be returned to TIMET Purchasing Manager.  This acceptance      must indicate the date from which material to the new specification will      be despatched to TIMET. |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                    |   RAW      MATERIAL SPECIFICATION        | RMS:  REV: | 71.4  2 |
|--------------------|----------------------------------------------------|----------------------|-------------------|
|               |                                               |                 |              |
|               | PREMIUM      GRADE SPONGECLASS      A RAW MATERIAL | DATE:                | Jun      98       |
|               |                                               | PAGE:                | 5 of      5  |
| HENDERSON,      NV |                                               |                 |              |

| APPROVED: |   |
|-----------|--------|

|   | /s/ D.      Bretherton                          | 7/2/98  |
|--------|-------------------------------------------------|---------|
|   | Quality      Assurance Manager TIMET UK Limited |    |
|   |                                            |    |
|   | /s/ N.      Catling                             | 6/25/98 |
|   | Purchasing      Manager TIMET UK Limited        |    |
|   |                                            |    |
|   | /s/      E. Wies                                | 6/30/98 |
|   | Quality      Assurance Manager TIMET Savoie     |    |

----

|        |   RAW      MATERIAL SPECIFICATION   | RMS:  REV: | 72.4  0 |
|--------|-----------------------------------------------|----------------------|-------------------|
|   |                                          |                 |              |
|   | VDP      TITANIUM SPONGESTANDARD      QUALITY | DATE:                | 09      Nov 07    |
|   |                                          | PAGE:                | 1 of      5  |
|   |                                          |                 |              |

|   | 1 | SCOPE |
|--------|---|-------|

|   | 1.1 | This      specification covers the manufacture of titanium sponge for use in making      titanium products for standard quality (SQ)  applications. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.2 | Titanium      sponge produced to this RMS shall be made by the Kroll process of      Magnesium Reduction of Titanium Tetrachloride followed by the Vacuum      Distillation Process (VDP). |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.3 | Titanium      sponge applied to this specification shall be produced in accordance with      a method of manufacture (MOM) approved by TIMET.  No changes      shall be made to the approved method of manufacture without prior TIMET      approval as defined in TIMET RMS      1001. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 2 | ACKNOWLEDGEMENT |
|--------|---|-----------------|

|   | 3 | APPLICABLE      DOCUMENTS |
|--------|---|---------------------------|

|   | 3.1 | ASTM      E10, Standard Test      Method for Brinell Hardness of Metallic  Minerals. |
|--------|-----|--------------------------------------------------------------------------------------|

|   | 3.2 | ASTM      E2371, Standard Test      Methods for Chemical Analysis of Titanium and Ti      Alloys. |
|--------|-----|---------------------------------------------------------------------------------------------------|

|   | 3.3 | TIMET RMS 1001, Standard Aerospace and      Industrial Application Raw Material Quality System      Requirements. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------|

|   | 4 | TECHNICAL      REQUIREMENTS |
|--------|---|-----------------------------|

|   | 4.1 | Composition: |
|--------|-----|--------------|

----

|        |   RAW      MATERIAL SPECIFICATION   | RMS:  REV: | 72.4  0 |
|--------|-----------------------------------------------|----------------------|-------------------|
|   |                                          |                 |              |
|   | VDP      TITANIUM SPONGESTANDARD      QUALITY | DATE:                | 09      Nov 07    |
|   |                                          | PAGE:                | 2 of      5  |
|   |                                          |                 |              |

| Element                      | Chemical Composition (wt%    max) |
|------------------------------|-----------------------------------|
| Al                           | *                                 |
| C                            | *                                 |
| Cl                           | *                                 |
| Cr                           | *                                 |
| Fe                           | *                                 |
| Mg                           | *                                 |
| N                            | *                                 |
| Ni                           | *                                 |
| O                            | *                                 |
| Si                           | *                                 |
| Sn                           | *                                 |
| Other      elements, each    | *                                 |
| Other      elements, total   | *                                 |
| Titanium                     | remainder                         |
|                         |                              |
| Brinell      Hardness (BHN)* | *                                 |
|                         |                              |

|   | 4.2 | Sizing:      Particle size requirements shall be specified on the purchase      order: |
|--------|-----|----------------------------------------------------------------------------------------|

| *           | 90%      min | * |
|-------------|--------------|---|
| 5%      max | *            |
| *           | 90%      min | * |
| 5%      max | *            |
| *           | 90%      min | * |
| 5%      max | *            |

|   | 4.3 | Quality: |
|--------|-----|----------|

|   | 4.3.1 | * |
|--------|-------|---|

|   | 4.3.2 | Unless      otherwise agree upon, sponge shall be 100% visually inspected to an      established procedure to ensure the lot is clean, free from high density      inclusions, oxides, nitrides, slag particles, discolored particles,      non-metallic, and all other foreign materials  (impurities). |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|        |   RAW      MATERIAL SPECIFICATION   | RMS:  REV: | 72.4  0 |
|--------|-----------------------------------------------|----------------------|-------------------|
|   |                                          |                 |              |
|   | VDP      TITANIUM SPONGESTANDARD      QUALITY | DATE:                | 09      Nov 07    |
|   |                                          | PAGE:                | 3 of      5  |
|   |                                          |                 |              |

|   | 5 | IDENTIFICATION |
|--------|---|----------------|

|   | 6 | PACKAGING |
|--------|---|-----------|

|   | 6.1 | * |
|--------|-----|---|

|   | 6.2 | TIG      welding to fabricate drums isprohibited. |
|--------|-----|---------------------------------------------------|

|   | 6.3 | * |
|--------|-----|---|

|   | 7 | SHIPPING |
|--------|---|----------|

|   | 8 | CERTIFICATION |
|--------|---|---------------|

|   | 9 | NON-CONFORMANCE |
|--------|---|-----------------|

|   | 9.1 | Sponge      not conforming to this specification or RMS 1001 shall be subject to      rejection.  Sponge accepted by TIMET, which subsequently reveals      defective material not detected at the place of manufacture or in the lot      sample, shall be subject torejection. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 9.2 | Titanium      sponge arriving in damaged containers or contaminated by water, mud, rust,      etc., may be disqualified for this specification and subject to      rejection. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|        |   RAW      MATERIAL SPECIFICATION   | RMS:  REV: | 72.4  0 |
|--------|-----------------------------------------------|----------------------|-------------------|
|   |                                          |                 |              |
|   | VDP      TITANIUM SPONGESTANDARD      QUALITY | DATE:                | 09      Nov 07    |
|   |                                          | PAGE:                | 4 of      5  |
|   |                                          |                 |              |

|   | 9.3 | The      supplier may apply, in writing using the forms identified in RMS 1001, to      TIMET for an exemption to any requirement listed in this specification or      the purchase order.  The supplier must receive a written      authorization to ship non-conforming material prior to      shipping. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10 | QUALITY      ASSURANCE |
|--------|----|------------------------|

|   | 10.1 | The      supplier shall maintain a suitable quality program to ensure consistent      quality products are delivered toTIMET. |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------|

|   | 10.2 | The      supplier shall submit a Method of Manufacture (MOM) to TIMET that defines      all applicable process steps and controlling procedures and parameters      (including, but not limited to, supplier sources/methods/materials,      reaction vessel sizes, crushing, sampling, inspection, packaging, and      shipping). |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.2.1 | This      MOM constitutes a Fixed Practice Agreement (FPA) with    TIMET. |
|--------|--------|---------------------------------------------------------------------------|

|   | 10.2.2 | No      changes to this MOM are permitted without prior TIMET approval via a      Process Change Request (PCR). |
|--------|--------|-----------------------------------------------------------------------------------------------------------------|

|   | 10.3 | The      supplier shall ensure their quality program has incorporated appropriate      protective measures to provide sponge free of particles that can cause      high-density or low-density inclusions, oxides, nitrides, and/or other      foreign materials and contaminants. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.4 | Sponge      that has evidence of being air contaminated (e.g., discolored particles      subject to burn) shall be completely removed for application to this      specification.  Equipment (e.g., vessel, lid, etc.) that has      experienced a fire/air contamination event must be thoroughly cleaned and      subsequently inspected and accepted to established standards prior to      being returned to service for sponge applied to this      specification. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11 | OTHER    CRITERIA |
|--------|----|-------------------|

|   | 12 | REVISION      HISTORY: |
|--------|----|------------------------|

|   | Revision      0:           09 Nov      07 | Original      issue. |
|--------|---------------------------------------------------------------------------------------------|----------------------|

----

|        |   RAW      MATERIAL SPECIFICATION   | RMS:  REV: | 72.4  0 |
|--------|-----------------------------------------------|----------------------|-------------------|
|   |                                          |                 |              |
|   | VDP      TITANIUM SPONGESTANDARD      QUALITY | DATE:                | 09      Nov 07    |
|   |                                          | PAGE:                | 5 of      5  |
|   |                                          |                 |              |

|   | APPROVED: |
|--------|-----------|

| /s/      Michael Hausman                          | 8      Nov 07      |   | /s/      Paul Godown                | 8      Nov 2007 |
|---------------------------------------------------|--------------------|--------|-------------------------------------|-----------------|
| Quality      & Technology Manager, Morgantown | Date               |   | Purchasing      Manager, Morgantown | Date            |
|                                              |               |   |                                |            |
|                                              |               |   |                                |            |
| /s/      JR Berger                                | 08      Nov 07     |   | /s/      Margaret Bolding           | 08      Nov 07  |
| Quality      & Technology Manager, Henderson  | Date               |   | Purchasing      Manager, Henderson  | Date            |
|                                              |               |   |                                |            |
|                                              |               |   |                                |            |
| /s/      RK Bolingbroke                           | 9      Nov 07 |   | /s/      J Horodecky                | 9      Nov 07   |
| Quality      & Technology Director, UK        | Date               |   | Purchasing      Manager, Europe     | Date            |
|                                              |               |   |                                |            |
|                                              |               |   |                                |            |
| /s/      Y Millet                                 | 9      Nov 07      |   |                                |            |
| Quality      & Technology Manager, Savoie     | Date               |   |                                |            |

----