Document:

Exhibit 10.3

 

EMPLOYEE MATTERS AGREEMENT

 

By and Between

 

HONEYWELL INTERNATIONAL INC.

 

and

 

ADVANSIX INC.

 

Dated as of     , 2016

    	 

    	

    

TABLE OF CONTENTS

 

	 	 	Page
	 	 	 
	ARTICLE I
	 	 	 
	DEFINITIONS
	 	 	 
	SECTION 1.01.	Definitions	1
	 	 	 
	ARTICLE II
	 	 	 
	GENERAL PRINCIPLES
	 	 	 
	SECTION 2.01.	AdvanSix Employees	5
	SECTION 2.02.	Collectively Bargained Employees	5
	SECTION 2.03.	Collective Bargaining Agreements	5
	SECTION 2.04.	Liabilities	5
	SECTION 2.05.	Benefit Plans	6
	SECTION 2.06.	Payroll Services	6
	SECTION 2.07.	No Change in Control	6
	 	 	 
	ARTICLE III
	 	 	 
	NON-EQUITY INCENTIVES
	 	 	 
	SECTION 3.01.	AdvanSix Employee Incentives	6
	 	 	 
	ARTICLE IV
	 	 	 
	SERVICE CREDIT
	 	 	 
	SECTION 4.01.	Honeywell Benefit Plans	7
	SECTION 4.02.	AdvanSix Benefit Plans	7
	 	 	 
	ARTICLE V
	 	 	 
	SEVERANCE
	 	 	 
	SECTION 5.01.	Post-Distribution Severance	7
	 	 	 
	ARTICLE VI
	 	 	 
	CERTAIN WELFARE BENEFIT PLAN MATTERS; WORKERS’ COMPENSATION CLAIMS
	 	 	 
	SECTION 6.01.	AdvanSix Welfare Plans	8
	SECTION 6.02.	Allocation of Welfare Benefit Claims	8

    	i

    	

    

	SECTION 6.03.	Workers’ Compensation Claims	8
	SECTION 6.04.	COBRA	9
	SECTION 6.05.	Health Savings Account	9
	SECTION 6.06.	Flexible Spending Account	9
	 	 	 
	ARTICLE VII
	 	 	 
	LONG-TERM DISABILITY
	 	 	 
	SECTION 7.01.	Benefits	10
	SECTION 7.02.	Return to Work	10
	 	 	 
	ARTICLE VIII
	 	 	 
	DEFINED BENEFIT PENSION PLAN
	 	 	 
	SECTION 8.01.	Honeywell Defined Benefit Pension Plan	10
	 	 	 
	ARTICLE IX
	 	 	 
	DEFINED CONTRIBUTION PLAN
	 	 	 
	SECTION 9.01.	AdvanSix 401(k) Plan	11
	SECTION 9.02.	401(k) Rollover	11
	SECTION 9.03.	Employer 401(k) Plan Contributions	11
	SECTION 9.04.	Stock Considerations	12
	SECTION 9.05.	Limitation of Liability	12
	 	 	 
	ARTICLE X
	 	 	 
	NONQUALIFIED DEFERRED COMPENSATION
	 	 	 
	SECTION 10.01.	Honeywell Nonqualified Deferred Compensation Plans	12
	 	 	 
	ARTICLE XI
	 	 	 
	VACATION
	 	 	 
	SECTION 11.01.	Vacation	13
	 	 	 
	ARTICLE XII
	 	 	 
	LONG-Term Incentive COMPENSATION AWARDS
	 	 	 
	SECTION 12.01.	AdvanSix Long-Term Incentive Plan	13
	SECTION 12.02.	Equity Award Adjustments	13
	SECTION 12.03.	Treatment of Incentive Awards Upon Distribution	13
	SECTION 12.04.	Incentive Award Reimbursement	14

    	ii

    	

    

	SECTION 12.05.	Cooperation	14
	SECTION 12.06.	Treatment of Reimbursements	14
	 	 	 
	ARTICLE XIII
	 	 	 
	COOPERATION; ACCESS TO INFORMATION; LITIGATION; CONFIDENTIALITY
	 	 	 
	SECTION 13.01.	Cooperation	15
	SECTION 13.02.	Access to Information; Litigation; Confidentiality	15
	 	 	 
	ARTICLE XIV
	 	 	 
	TERMINATION
	 	 	 
	SECTION 14.01.	Termination	15
	SECTION 14.02.	Effect of Termination	16
	 	 	 
	ARTICLE XV
	 	 	 
	MISCELLANEOUS
	 	 	 
	SECTION 15.01.	Incorporation of Indemnification Provisions of Separation Agreement	16
	SECTION 15.02.	Benefit Plan Indemnification	16
	SECTION 15.03.	Further Assurances	16
	SECTION 15.04.	Administration	16
	SECTION 15.05.	Third-Party Beneficiaries	16
	SECTION 15.06.	Employment Tax Reporting Responsibility	16
	SECTION 15.07.	Data Privacy	17
	SECTION 15.08.	Section 409A	17
	SECTION 15.09.	Confidentiality	17
	SECTION 15.10.	Additional Provisions	18

    	iii

    	

    

EMPLOYEE MATTERS AGREEMENT (this
“Agreement”), dated as of     , 2016, by and between HONEYWELL INTERNATIONAL INC., a Delaware corporation
(“Honeywell”), and ADVANSIX, INC., a Delaware corporation (“AdvanSix”, and together with
Honeywell, the “Parties”).

 

R E C I T A L S

 

WHEREAS the Parties have entered into the
Separation and Distribution Agreement (the “Separation Agreement”) dated as of     , 2016, pursuant to
which Honeywell intends to effect the Distribution; and

 

WHEREAS the Parties wish to set forth their
agreements as to certain matters regarding employment, compensation and employee benefits.

 

NOW, THEREFORE, in consideration of the mutual
agreements, provisions and covenants contained in this Agreement, the Parties, intending to be legally bound, hereby agree as follows:

 

ARTICLE
I

 

DEFINITIONS

 

SECTION 1.01.          Definitions.
For purposes of this Agreement, the following terms shall have the following meanings. All capitalized terms used but not defined
herein shall have the meanings assigned to them in the Separation Agreement unless otherwise indicated.

 

“AdvanSix 401(k) Plan”
has the meaning set forth in Section 9.01.

 

“AdvanSix Benefit Plan”
shall mean any Benefit Plan sponsored, maintained or, unless such Benefit Plan is sponsored or maintained by a member of the Honeywell
Group, contributed to by any member of the AdvanSix Group or to which any member of the AdvanSix Group is a party.

 

“AdvanSix Employee” shall
mean, as of any applicable date, (a) each individual who is an employee of the AdvanSix Group as of immediately prior to the Distribution,
including any individual who is not actively at work due to a leave of absence (including vacation, holiday, illness, injury, short-term
disability but excluding, until such time as provided in Section 7.01, any AdvanSix LTD Employee) from which such employee
is permitted to return to active employment in accordance with the AdvanSix Group’s personnel policies, as in effect from
time to time, or applicable Law and (b) each individual who becomes an active employee of the AdvanSix Group following the Distribution,
but, in each case, excluding any Former AdvanSix Employee.

 

“AdvanSix Incentive Payments”
has the meaning set forth in Section 3.01

    	 

    		2

    

“AdvanSix Long-Term Incentive Plan”
has the meaning set forth in Section 12.01.

 

“AdvanSix LTD Employee”
shall mean any employee of the AdvanSix Group who, as of immediately prior to the Distribution, is receiving long-term disability
benefits under the Honeywell LTD Plan.

 

“AdvanSix Pre-Distribution HR Liabilities”
has the meaning set forth in Section 2.04.

 

“AdvanSix Welfare Plans”
has the meaning set forth in Section 6.01.

 

“AdvanSix Workers’ Compensation
Plan” has the meaning set forth in Section 6.03.

 

“Benefit Plan” shall mean
any plan, program, policy, agreement, arrangement or understanding that is an employment, consulting, deferred compensation, executive
compensation, incentive bonus or other bonus, employee pension, profit sharing, savings, retirement, supplemental retirement, stock
option, stock purchase, stock appreciation right, restricted stock, restricted stock unit, deferred stock unit, other equity-based
compensation, severance pay, retention, change in control, salary continuation, life, death benefit, health, hospitalization, workers’
compensation, sick leave, vacation pay, disability or accident insurance or other employee compensation or benefit plan, program,
agreement or arrangement, including any “employee benefit plan” (as defined in Section 3(3) of ERISA) (whether
or not subject to ERISA) sponsored or maintained by such entity or to which such entity is a party.

 

“COBRA” shall mean the
U.S. Consolidated Omnibus Budget Reconciliation Act of 1985, as amended from time to time, and any applicable similar state or
local laws.

 

“Code” shall mean the U.S.
Internal Revenue Code of 1986, as amended.

 

“Collective Bargaining Agreements”
has the meaning set forth in Section 2.02.

 

“Employment Taxes” shall
mean all fees, Taxes, social insurance payments or similar contributions to a fund of a Governmental Authority with respect to
wages or other compensation of an employee or other service provider.

 

“ERISA” shall mean the
U.S. Employee Retirement Income Security Act of 1974, as amended from time to time.

 

“Exchange” means the New
York Stock Exchange.

 

“Former AdvanSix Employee”
shall mean, as of any applicable date, each individual who (a) as of immediately prior to such individual’s termination
of

    	 

    		3

    

employment was an AdvanSix Employee and (b) as
of such applicable date, is not employed by any member of the AdvanSix Group.

 

“GPUs” shall mean any growth
plan units awarded using a 2014 or 2016 Growth Plan Agreement under the Honeywell 2011 Stock Incentive Plan.

 

“Honeywell 401(k) Plan”
has the meaning set forth in Section 9.01.

 

“Honeywell Benefit Plan”
shall mean any Benefit Plan sponsored, maintained or, unless such Benefit Plan is sponsored or maintained by a member of the AdvanSix
Group, contributed to by any member of the Honeywell Group or to which any member of the Honeywell Group is a party.

 

“Honeywell Equity Plans”
shall mean the 2016 Stock Incentive Plan, the 2016 Stock Plan for Non-Employee Directors, the 2011 Stock Incentive Plan, the 2006
Stock Incentive Plan, the 2003 Stock Incentive Plan, the 2006 Stock Plan for Non-Employee Directors, the Stock Plan for Non-Employee
Directors, each as amended from time to time, and any other stock option, stock incentive compensation plan or arrangement, including
equity award agreements, that is a Honeywell Benefit Plan, as in effect as of the time relevant to the applicable provision of
this Agreement.

 

“Honeywell Flexible Spending Account”
shall mean any flexible spending arrangement under any cafeteria plan qualifying under Section 125 of the Code that is a Honeywell
Benefit Plan.

 

“Honeywell Health Savings Account”
shall mean any health savings account under a health savings account plan that is a Honeywell Benefit Plan.

 

“Honeywell LTD Plan” shall
mean any long-term disability plan that is a Honeywell Benefit Plan.

 

“Honeywell Nonqualified Deferred
Compensation Plans” shall mean the Salary and Incentive Award Deferral Plan for Selected Employees, the Deferred Compensation
Plan for Non-Employee Directors, the Supplemental Non-Qualified Savings Plan for Highly Compensated Employees, the Supplemental
Pension Plan, the Supplemental Executive Retirement Plan for Executives in Career Band 6 and Above, the Supplemental Defined Benefit
Retirement Plan, the Nonqualified Supplemental Retirement Plan, each as amended from time to time, and any other nonqualified deferred
compensation plan or arrangement (including individual arrangements) that is a Honeywell Benefit Plan, as in effect as of the time
relevant to the applicable provision of this Agreement.

 

“Honeywell Pension Plan”
has the meaning set forth in Section 8.01.

 

“Honeywell Welfare Plan”
shall mean each Welfare Plan that is a Honeywell Benefit Plan.

    	 

    		4

    

“Honeywell Workers’ Compensation
Plan” shall mean any workers’ compensation plan that is a Honeywell Benefit Plan.

 

“Reimbursement Award” means
the unvested portion of any award granted under any Honeywell Equity Plan that (i) was unvested as of immediately prior to the
Distribution Date, (ii) was held by an AdvanSix Employee (or AdvanSix LTD Employee who becomes an AdvanSix Employee prior to the
applicable Reimbursement Event) as of the Distribution Date and (iii) becomes vested after the Distribution Date in accordance
with Section 12.03.

 

“Reimbursement Event” means,
after the Distribution Date, (i) the vesting of any Reimbursement Award that is a restricted stock award or similar award of tangible
property, (ii) the settlement of any Reimbursement Award that is a restricted stock unit or similar full-value share-based incentive
award (excluding any restricted stock award) or cash-based incentive award (including any GPUs) or (iii) the exercise of any Reimbursement
Award that is a stock option or stock appreciation right.

 

“Subsidiary” of any Person
shall mean any corporation or other organization whether incorporated or unincorporated of which at least a majority of the securities
or interests having by the terms thereof ordinary voting power to elect at least a majority of the board of directors or others
performing similar functions with respect to such corporation or other organization is directly or indirectly owned or controlled
by such Person or by any one or more of its Subsidiaries, or by such Person and one or more of its Subsidiaries; provided,
however, that, solely for purposes of this Agreement, AdvanSix and its Subsidiaries shall not be considered Subsidiaries
of Honeywell (or members of the Honeywell Group) prior to, on or after the Distribution.

 

“Tax Return” shall have
the meaning set forth in the TMA.

 

“Taxes” shall have the
meaning set forth in the TMA.

 

“Taxing Authority” shall
have the meaning set forth in the TMA.

 

“TMA” shall mean the Tax
Matters Agreement dated as of the date of this Agreement by and between Honeywell and AdvanSix.

 

“TSA” shall mean the Transition
Services Agreement dated as of the date of this Agreement by and between Honeywell and AdvanSix.

 

“Vesting Date” has the
meaning set forth in Section 12.03.

 

“Welfare Plan” shall mean
each Benefit Plan that provides life insurance, health care, dental care, accidental death and dismemberment insurance, disability,
severance, vacation or other group welfare or fringe benefits.

 

“Welfare Plan Date” has
the meaning set forth in Section 6.01.

    	 

    		5

    

“Workers’ Compensation Event”
shall mean the event, injury, illness or condition giving rise to a workers compensation claim with respect to an AdvanSix Employee
or Former AdvanSix Employee.

 

“Workers’ Compensation Plan
Date” has the meaning set forth in Section 6.03.

 

ARTICLE
II

 

GENERAL
PRINCIPLES

 

SECTION 2.01.          AdvanSix
Employees. All AdvanSix Employees as of immediately prior to the Distribution shall continue to be employees of the AdvanSix
Group immediately following the Distribution. The Parties hereto agree that none of the transactions contemplated by the Separation
Agreement or any of the Ancillary Agreements, including this Agreement, shall result in any AdvanSix Employee, AdvanSix LTD Employee
or Former AdvanSix Employee being deemed to have incurred a termination of employment or being eligible to receive severance benefits,
solely as a result of the Distribution.

 

SECTION 2.02.          Collectively
Bargained Employees. All provisions contained in this Agreement providing for the treatment of compensation and benefits in
connection with the Distribution shall apply equally to any employee who is covered by any collective bargaining, works council
or other labor union contract or labor arrangement (collectively, “Collective Bargaining Agreements”), except
to the extent that any such agreement specifically provides for the compensation or benefits contemplated by such provision and,
in each such case, such agreement shall apply rather than the terms of this Agreement.

 

SECTION 2.03.          Collective
Bargaining Agreements. As of the Distribution, AdvanSix shall, and shall cause the members of the AdvanSix Group as appropriate
to, adopt and assume any Collective Bargaining Agreement covering any of the AdvanSix Employees immediately prior to the Distribution,
subject to any agreed upon changes required by the transition of such Collective Bargaining Agreement to AdvanSix or applicable
Law, and recognize the works councils, labor unions and other employee representatives that are party to such Collective Bargaining
Agreements; provided that, any compensation or benefits that were, prior to the Distribution, provided to AdvanSix Employees
under the Collective Bargaining Agreements through the Honeywell Benefit Plans shall, to the extent such compensation and benefits
are still required to be provided under the Collective Bargaining Agreements on and after the Distribution, be provided as mutually
agreed with such works councils, labor unions and other employee representatives through the AdvanSix Benefit Plans as set forth
in this Agreement.

 

SECTION 2.04.          Liabilities.
Except as otherwise provided in this Agreement, (a) the members of the Honeywell Group shall be responsible for all actual
or potential employment and employee compensation and benefits-related Liabilities

    	 

    		6

    

incurred prior to the Distribution that relate
to AdvanSix Employees and Former AdvanSix Employees (and each of their respective dependents and beneficiaries), excluding any
such Liabilities that AdvanSix retains or assumes pursuant to applicable Law in connection with the Distribution (collectively,
with all other such Liabilities that the AdvanSix Group retains or assumes in connection with this Agreement, the “AdvanSix
Pre-Distribution HR Liabilities”) and (b) the members of the AdvanSix Group shall be responsible for (i) all actual
or potential employment and employee compensation and benefits-related Liabilities incurred on or after the Distribution that relate
to AdvanSix Employees and Former AdvanSix Employees (and each of their respective dependents and beneficiaries) and (ii) the AdvanSix
Pre-Distribution HR Liabilities. AdvanSix shall pay or provide all AdvanSix Pre-Distribution HR Liabilities in the ordinary course
and at a time or times consistent with the past practice of the Honeywell Group.

 

SECTION 2.05.          Benefit
Plans. Except as otherwise specifically provided in this Agreement or as may otherwise be provided in accordance with the TSA,
as of the Distribution, each AdvanSix Employee (and each of their respective dependents and beneficiaries) shall cease active participation
in, and each member of the AdvanSix Group shall cease to be a participating employer in, all Honeywell Benefit Plans, and, as of
such time, AdvanSix shall, or shall cause its Subsidiaries to, have in effect such corresponding AdvanSix Benefit Plans as are
necessary to comply with its obligations pursuant to this Agreement. As of immediately following the Distribution, except as otherwise
specifically provided in this Agreement, (a) Honeywell shall, or shall cause one or more members of the Honeywell Group to,
retain, pay, perform, fulfill and discharge all Liabilities arising out of or relating to all Honeywell Benefit Plans, and (b) AdvanSix
shall, or shall cause one of the members of the AdvanSix Group to, retain, pay, perform, fulfill and discharge all Liabilities
arising out of or relating to all AdvanSix Benefit Plans.

 

SECTION 2.06.          Payroll
Services. Except as may otherwise be provided in accordance with the TSA, prior to, on and after the Distribution, the members
of the AdvanSix Group shall be solely responsible for providing payroll services to the AdvanSix Employees and Former AdvanSix
Employees.

 

SECTION 2.07.          No
Change in Control. The Parties hereto agree that none of the transactions contemplated by the Separation Agreement or any of
the Ancillary Agreements, including this Agreement, constitutes a “change in control,” “change of control”
or similar term, as applicable, within the meaning of any Honeywell Benefit Plan or AdvanSix Benefit Plan, including the AdvanSix
Long-Term Incentive Plan.

 

ARTICLE
III

 

NON-EQUITY
INCENTIVES

 

SECTION 3.01.          AdvanSix
Employee Incentives. Unless otherwise provided for in an individual agreement with an AdvanSix Employee to which Honeywell
is a party, on and after the Distribution, AdvanSix shall assume and be solely

    	 

    		7

    

responsible for Liabilities with respect to
any annual bonus or other cash-based incentive or retention awards (other than GPUs, which shall be treated in accordance with
Article XII) under any Benefit Plan to any AdvanSix Employee, AdvanSix LTD Employee or Former AdvanSix Employee, including,
for the avoidance of doubt, any such awards with respect to the year in which the Distribution occurs (the “AdvanSix Incentive
Payments”). AdvanSix shall be responsible for determining the amounts of all AdvanSix Incentive Payments that have not
been determined prior to the Distribution, including the extent to which established performance criteria (as interpreted by AdvanSix,
in its sole discretion) have been met, and shall pay all AdvanSix Incentive Payments no later than the times provided for under
the applicable Benefit Plan. For the avoidance of doubt, any determinations made prior to the Distribution regarding the amounts
of any AdvanSix Incentive Payments shall be subject to Honeywell’s prior written approval.

 

ARTICLE
IV

 

SERVICE
CREDIT

 

SECTION 4.01.          Honeywell
Benefit Plans. Except as may otherwise be provided in accordance with the TSA and except as otherwise provided in Section
12.03, service of AdvanSix Employees and Former AdvanSix Employees, on and after the Distribution, with any member of the AdvanSix
Group or any other employer, as applicable, other than any member of the Honeywell Group, shall not be taken into account for any
purpose under any Honeywell Benefit Plan.

 

SECTION 4.02.          AdvanSix
Benefit Plans. Unless prohibited by applicable Law, AdvanSix shall, and shall cause its Subsidiaries to, credit service accrued
by each AdvanSix Employee with, or otherwise recognized for purposes of any Benefit Plan by, any member of the Honeywell Group
or the AdvanSix Group on or prior to the Distribution for purposes of (a) eligibility and vesting under each AdvanSix Benefit
Plan under which service is relevant in determining eligibility or vesting, (b) determining the amount of severance payments
and benefits (if any) payable under each AdvanSix Benefit Plan that provides severance payments or benefits and (c) determining
the number of vacation days to which each such employee shall be entitled following the Distribution, in the case of clauses (a),
(b) and (c), (i) to the same extent recognized by the relevant members of the Honeywell Group or AdvanSix Group or the corresponding
Honeywell Benefit Plan or AdvanSix Benefit Plan immediately prior to the later of the Distribution Date and the date such employee
ceases participating in the applicable Honeywell Benefit Plan in accordance with the TSA and (ii) except to the extent such
credit would result in a duplication of benefits for the same period of service.

 

ARTICLE
V

 

SEVERANCE

 

SECTION 5.01.          Post-Distribution
Severance. The AdvanSix Group shall be solely responsible for all Liabilities, including all severance or other separation
payments and benefits, relating to the termination or alleged termination of any AdvanSix

    	 

    		8

    

Employee’s or Former AdvanSix Employee’s
employment that occurs on or after the Distribution. For the avoidance of doubt, such Liabilities shall include any employer-paid
portion of any Employment Taxes.

 

ARTICLE
VI

 

CERTAIN
WELFARE BENEFIT PLAN MATTERS; WORKERS’ COMPENSATION CLAIMS

 

SECTION 6.01.          AdvanSix
Welfare Plans. Without limiting the generality of Section 2.05, effective as of the Distribution or such later
date as agreed to between Honeywell and AdvanSix in accordance with the TSA (such applicable date, the “Welfare Plan Date”),
AdvanSix shall establish Welfare Plans (collectively, the “AdvanSix Welfare Plans”) to provide welfare benefits
to the AdvanSix Employees (and their dependents and beneficiaries) and as of the applicable Welfare Plan Date, each AdvanSix Employee
(and his or her dependants and beneficiaries) shall cease active participation in the corresponding Honeywell Welfare Plan. For
the avoidance of doubt, for purposes of this Article VI, the term “AdvanSix Employees” shall be deemed
to include any Former AdvanSix Employee who was receiving welfare benefits in connection with his or her termination of employment
from a member of the Honeywell Group or the AdvanSix Group as of the applicable Welfare Plan Date.

 

SECTION 6.02.          Allocation
of Welfare Benefit Claims. (a) The members of the Honeywell Group shall retain all Liabilities in accordance with the
applicable Honeywell Welfare Plan for all reimbursement claims (such as medical and dental claims) and for all non-reimbursement
claims (such as life insurance claims), in each case, incurred by AdvanSix Employees and Former AdvanSix Employees (and each of
their respective dependents and beneficiaries) under such plans prior to the applicable Welfare Plan Date and (b) the members
of the AdvanSix Group shall retain all Liabilities in accordance with the AdvanSix Welfare Plans for all reimbursement claims (such
as medical and dental claims) and for all non-reimbursement claims (such as life insurance claims), in each case, incurred by AdvanSix
Employees and Former AdvanSix Employees (and each of their respective dependents and beneficiaries) on or after the Applicable
Welfare Plan Date; provided that, AdvanSix shall reimburse Honeywell in accordance with the TSA for Liabilities incurred
under clause (a) between the Distribution Date and the applicable Welfare Plan Date. For purposes of this Section 6.02,
a benefit claim shall be deemed to be incurred as follows: (i) health, dental, vision, employee assistance program and prescription
drug benefits (including in respect of any hospital confinement), upon provision of such services, materials or supplies; and (ii) life,
accidental death and dismemberment and business travel accident insurance benefits, upon the death, cessation of employment or
other event giving rise to such benefits.

 

SECTION 6.03.          Workers’
Compensation Claims. In the case of any workers’ compensation claim of any AdvanSix Employee or Former AdvanSix Employee
in respect of his or her employment with the Honeywell Group or the AdvanSix Group, such claim shall be covered (a) under
the applicable Honeywell Workers’ Compensation

    	 

    		9

    

Plan if the Workers’ Compensation Event
occurred prior to the Distribution, (b) under a workers’ compensation plan of the AdvanSix Group (each, an “AdvanSix
Workers’ Compensation Plan”) if the Workers’ Compensation Event occurs on or after the Distribution and the
related claim is submitted after the date AdvanSix has established a workers’ compensation plan (the “Workers’
Compensation Plan Date”) and (c) under the applicable Honeywell Workers’ Compensation Plan if the Workers’
Compensation Event occurs on or after the Distribution and the related claim is submitted prior to the Workers Compensation Plan
Date; provided that, AdvanSix shall reimburse Honeywell in accordance with the TSA for Liabilities incurred under clause
(c) between the Distribution Date and the applicable Welfare Plan Date. If the Workers’ Compensation Event occurs over a
period both preceding and following the Distribution, the claim shall be jointly covered under the Honeywell Workers’ Compensation
Plan and the AdvanSix Workers’ Compensation Plan and shall be equitably apportioned between them based upon the relative
periods of time that the Workers’ Compensation Event transpired preceding and following the Distribution; provided
that, if a claim in respect of such Workers’ Compensation Event is submitted prior to the Workers’ Compensation Plan
Date, then such claim shall be covered under the Honeywell Workers’ Compensation Plan and AdvanSix shall appropriately reimburse
Honeywell in accordance with the TSA.

 

SECTION 6.04.          COBRA.
In the event that an AdvanSix Employee or Former AdvanSix Employee (a) was receiving, or was eligible to receive, continuation
health coverage pursuant to COBRA on or prior to the applicable Welfare Plan Date, Honeywell and the Honeywell Welfare Plans shall
be responsible for all Liabilities to such employee (or his or her eligible dependents) in respect of COBRA; or (b) becomes
eligible to receive continuation health coverage pursuant to COBRA following the applicable Welfare Plan Date, AdvanSix and the
AdvanSix Welfare Plans shall be responsible for all Liabilities to such employee (or his or her eligible dependents) in respect
of COBRA; provided that, AdvanSix shall reimburse Honeywell in accordance with the TSA for Liabilities incurred under clause
(a) between the Distribution Date and the applicable Welfare Plan Date. AdvanSix shall indemnify, defend and hold harmless the
members of the Honeywell Group from and against any and all Liabilities relating to, arising out of or resulting from COBRA provided
by AdvanSix, or the failure of AdvanSix to meet its COBRA obligations, to AdvanSix Employees, Former AdvanSix Employees and their
respective eligible dependents.

 

SECTION 6.05.          Health
Savings Account. Without limiting the generality of Sections 2.04, 2.05 and 13.01 and subject to Section 15.09,
Honeywell and AdvanSix shall use commercially reasonable efforts to cooperate in administering any Honeywell Health Savings Account
in connection with the Distribution in accordance with the terms of the applicable Honeywell Benefit Plan, including by exchanging
any necessary participant records and engaging recordkeepers, administrators, providers, insurers and other third parties.

 

SECTION 6.06.          Flexible
Spending Account. Without limiting the generality of Sections 2.04, 2.05 and 13.01 and subject to Section 15.09,
Honeywell and AdvanSix shall use commercially reasonable efforts to cooperate in administering any Honeywell Flexible Spending
Account in connection with the Distribution in accordance

    	 

    		10

    

with the terms of the applicable Honeywell
Benefit Plan, including by exchanging any necessary participant records and engaging recordkeepers, administrators, providers,
insurers and other third parties.

 

ARTICLE
VII

 

LONG-TERM
DISABILITY

 

SECTION 7.01.          Benefits.
Except as otherwise specifically provided in this Agreement and subject to Section 7.02, on and after the Distribution,
the AdvanSix LTD Employees shall be deemed to be employees of the Honeywell Group for purposes of this Agreement, including participation
in the Honeywell LTD Plans.

 

SECTION 7.02.          Return
to Work. To the extent required by applicable AdvanSix policies, as in effect from time to time, and applicable Law, AdvanSix
shall, or shall cause its Subsidiaries to, employ any AdvanSix LTD Employee at such time, if any, as such AdvanSix LTD Employee
is ready to return to active employment, and from and after such time, such employee shall no longer be deemed an employee of the
Honeywell Group and shall be deemed an AdvanSix Employee for purposes of this Agreement; provided that, if such AdvanSix
LTD Employee presents himself or herself for active employment and is not employed by a member of the AdvanSix Group due to applicable
AdvanSix policies, and if such AdvanSix LTD Employee’s employment is terminated by a member of the Honeywell Group within
a reasonable time thereafter, AdvanSix shall indemnify the Honeywell Group for all Liabilities incurred in connection with such
termination.

 

ARTICLE
VIII

 

DEFINED
BENEFIT PENSION PLAN

 

SECTION 8.01.          Honeywell
Defined Benefit Pension Plan. Notwithstanding Section 2.05 or any other provision of this Agreement to the contrary,
following the Distribution, the Honeywell Group shall retain sponsorship of the Honeywell International Inc. Retirement Earnings
Plan (the “Honeywell Pension Plan”) and all assets and Liabilities arising out of or relating to the Honeywell
Pension Plan, including those relating to AdvanSix Employees, AdvanSix LTD Employees and Former AdvanSix Employees. Following the
date of this Agreement, Honeywell and AdvanSix shall use commercially reasonable efforts to cooperate in administering the Honeywell
Pension Plan in connection with providing benefits to AdvanSix Employees and Former AdvanSix Employees in accordance with the terms
of the Honeywell Pension Plan, including by exchanging any necessary participant records and engaging recordkeepers, administrators,
providers, insurers and other third parties.

    	 

    		11

    

ARTICLE IX

 

DEFINED CONTRIBUTION PLAN

 

SECTION 9.01.          AdvanSix
401(k) Plan. Effective as of the Distribution, AdvanSix shall establish a defined contribution plan that includes a qualified
cash or deferred arrangement within the meaning of Section 401(k) of the Code (the “AdvanSix 401(k) Plan”)
providing benefits to the AdvanSix Employees participating in any qualified cash or deferred arrangement within the meaning of
Section 401(k) of the Code sponsored by any member of the Honeywell Group (collectively, the “Honeywell 401(k) Plans”)
as of the Distribution.

 

SECTION 9.02.          401(k)
Rollover. As of the Distribution, the Honeywell Group shall permit each AdvanSix Employee to elect, and the AdvanSix Group
shall cause the AdvanSix 401(k) Plan to accept, in accordance with applicable Law and the terms of the Honeywell 401(k) Plans and
the AdvanSix 401(k) Plan, a rollover of the account balances (including earnings through the date of transfer and promissory notes
evidencing all outstanding loans) of such AdvanSix Employee under the Honeywell 401(k) Plans, if such rollover is elected in accordance
with applicable Law and the terms of the Honeywell 401(k) Plan and by such employee. Upon completion of a transfer of the account
balances of any AdvanSix Employee, as described in this Section 9.02, AdvanSix and the AdvanSix 401(k) Plan shall be
responsible for all Liabilities of the Honeywell Group under the Honeywell 401(k) Plan with respect to any AdvanSix Employee or
Former AdvanSix Employee whose account balance was transferred to the AdvanSix 401(k) Plan (and his or her respective beneficiaries),
and the Honeywell Group and the Honeywell 401(k) Plan shall have no Liabilities to provide such participants (or any of their beneficiaries)
with benefits under the Honeywell 401(k) Plan. In the event that the elections by AdvanSix Employees pursuant to this Section 9.02
in connection with the Distribution result in a mass rollover, Honeywell and AdvanSix shall use commercially reasonable efforts
to cooperate to effect such mass rollover, including by exchanging any necessary participant records and engaging recordkeepers,
administrators, providers, insurers and other third parties.

 

SECTION 9.03.          Employer
401(k) Plan Contributions. The Honeywell Group shall remain responsible for making all employer contributions under the Honeywell
401(k) Plan with respect to any AdvanSix Employees or Former AdvanSix Employees relating to periods prior to the Distribution;
provided that, prior to the rollover of any AdvanSix Employee’s or Former AdvanSix Employee’s account pursuant
to Section 9.02, the Honeywell Group shall make all employer contributions with respect to such AdvanSix Employee or
Former AdvanSix Employee required under the Honeywell 401(k) Plan for periods of time prior to the Distribution. Any such contributions
that are unvested as of the Distribution shall be treated in accordance with the terms of the Honeywell 401(k) Plan. On and after
the Distribution, the AdvanSix Group shall be responsible for all employer contributions under the AdvanSix 401(k) Plan with respect
to any AdvanSix Employees or Former AdvanSix Employees.

    	 

    		12

    

SECTION 9.04.          Stock
Considerations. Following the Distribution, AdvanSix Employees and Former AdvanSix Employees shall not be permitted to acquire
shares of Honeywell Common Stock in any stock fund under the AdvanSix 401(k) Plan.

 

SECTION 9.05.          Limitation
of Liability. For the avoidance of doubt, Honeywell shall have no responsibility for any failure of AdvanSix to properly administer
the AdvanSix 401(k) Plan in accordance with its terms and applicable Law, including any failure to properly administer the accounts
of AdvanSix Employees, Former AdvanSix Employees and their respective beneficiaries, including accounts rolled over in accordance
with Section 9.02, in such AdvanSix 401(k) Plan.

 

ARTICLE
X

 

NONQUALIFIED
DEFERRED COMPENSATION

 

SECTION 10.01.          Honeywell
Nonqualified Deferred Compensation Plans. The Honeywell Group shall retain all assets and all Liabilities arising out of or
relating to the Honeywell Nonqualified Deferred Compensation Plans related to any AdvanSix Employee or Former AdvanSix Employee
(and their respective beneficiaries) in connection with his or her service prior to the Distribution, including the obligation
to make all payments or distributions in respect of such Liabilities in accordance with the terms of the applicable Honeywell Nonqualified
Deferred Compensation Plan. The Parties hereto agree that none of the transactions contemplated by the Separation Agreement or
any of the Ancillary Agreements, including this Agreement, will trigger a payment or distribution of compensation under the Honeywell
Nonqualified Deferred Compensation Plans to any AdvanSix Employee or Former AdvanSix Employee (and their respective beneficiaries)
and, consequently, that the payment or distribution of any compensation to which any AdvanSix Employee or Former AdvanSix Employee
(and their respective beneficiaries) is entitled under the Honeywell Nonqualified Deferred Compensation Plans will occur upon the
time or times provided for under the applicable Honeywell Nonqualified Deferred Compensation Plans and such AdvanSix Employee’s
or Former AdvanSix Employee’s deferral elections. Following the payment or distribution of such amounts to the AdvanSix Employees,
Former AdvanSix Employees or their respective beneficiaries, the members of the Honeywell Group shall have no actual or potential
Liabilities relating to, arising out of or resulting from the participation of the AdvanSix Employees and Former AdvanSix Employees
in the Honeywell Nonqualified Deferred Compensation Plans. Following the date of this Agreement, Honeywell and AdvanSix shall use
commercially reasonable efforts to cooperate in administering the Honeywell Nonqualified Deferred Compensation Plans for purposes
of satisfying any obligations relating to the participation of any AdvanSix Employee or Former AdvanSix Employee, including by
exchanging any necessary participant records and engaging recordkeepers, administrators, providers, insurers and other third parties.

    	 

    		13

    

ARTICLE XI

 

VACATION

 

SECTION 11.01.          Vacation.
Upon the Distribution, the AdvanSix Group shall assume and be solely responsible for all Liabilities for vacation accruals and
benefits with respect to each AdvanSix Employee; provided, however, that (a) for purposes of determining the
number of vacation days to which such employee shall be entitled following the Distribution, AdvanSix and its Subsidiaries shall
assume and honor all vacation days accrued or earned but not yet taken by such employee, if any, as of the Distribution, and (b) to
the extent such employee is entitled under any applicable Law or any policy of his or her respective employer that is a member
of the Honeywell Group, as the case may be, to be paid for any vacation days accrued or earned but not yet taken by such employee
as of the Distribution, AdvanSix shall assume and be solely responsible for the Liability to pay for such vacation days.

 

ARTICLE
XII

 

LONG-Term
Incentive COMPENSATION AWARDS

 

SECTION 12.01.          AdvanSix
Long-Term Incentive Plan. Prior to the Distribution, Honeywell shall cause AdvanSix to adopt a long-term incentive plan or
program, to be effective immediately prior to the Distribution (the “AdvanSix Long-Term Incentive Plan”) and
Honeywell shall approve the AdvanSix Long-Term Incentive Plan as the sole stockholder of AdvanSix.

 

SECTION 12.02.          Equity
Award Adjustments. Each outstanding equity award granted under the Honeywell Equity Plans held by any individual as of the
Distribution shall be adjusted in accordance with the resolutions adopted by the Management Development and Compensation Committee
of Honeywell in connection with the Distribution. Equity awards that are covered by this Section 12.02 shall not be
exercisable and/or settled during a period beginning on a date prior to the Distribution Date determined by Honeywell in its sole
discretion, and continuing until the adjustments made pursuant to such resolutions are completed, as determined by Honeywell in
its sole discretion.

 

SECTION
12.03.          Treatment of Incentive Awards Upon
Distribution. Notwithstanding anything in this Agreement, the Honeywell Equity Plans or an award agreement to the
contrary, any awards under the Honeywell Equity Plans held by AdvanSix Employees (including GPUs) shall remain outstanding
through the following applicable date (each, a “Vesting Date”): (a) in the case of stock options, through
March 2017; (b) in the case of restricted stock units, through the end of July 2017; and (c) in the case of GPUs, to the end
of March 2017. Such awards shall otherwise remain subject to the terms of the applicable Honeywell Equity Plan and the
applicable award agreement; provided, however, that service with the AdvanSix Group through such vesting date
shall count as service with the Honeywell Group for purposes of vesting under such awards. Any award, or portion of any
award, that does not become vested on or prior to the applicable Vesting Date shall be forfeited.

    	 

    		14

    

SECTION
12.04.          Incentive Award Reimbursement. Following the
Distribution, Honeywell may, from time to time, deliver to AdvanSix a summary (a “Reimbursement Invoice”)
of all Reimbursement Events that have occurred on or after the date of the previous Reimbursement Invoice or, in the case of
the first Reimbursement Invoice delivered to AdvanSix, the Distribution Date. Such Reimbursement Invoice shall also include
an amount equal to the aggregate value of all expenses incurred on or after the Distribution by the Honeywell Group, as
determined by Honeywell in its reasonable discretion and consistent with past practice, with respect to the Reimbursement Awards
identified in such Reimbursement Invoice, and within ten (10) days following the delivery of such Reimbursement Invoice,
AdvanSix shall make a cash payment to Honeywell equal to such aggregate value. 

 

SECTION 12.05.          Cooperation.
For so long as any equity award in respect of Honeywell Common Stock is outstanding and held by an AdvanSix Employee or Former
AdvanSix Employee, the Honeywell Group and the AdvanSix Group shall reasonably cooperate in the exchange of information and take
any action necessary to administer such equity awards following the Distribution, including the following: (i) AdvanSix shall notify
Honeywell in writing within five (5) days of any change in employment status (including but not limited to termination of employment),
(ii) the Parties shall exchange any information necessary to satisfy their obligations under Section 12.04, (iii) the Parties
shall take any steps necessary to ensure that the employee-paid portion of any Taxes (including any Employment Taxes) required
to be withheld upon the exercise or vesting of any such equity award is withheld by or paid over to, as applicable, the applicable
Party responsible for remitting such amount to the appropriate Taxing Authority as promptly as reasonably practicable, (iv) AdvanSix
will provide payroll information to Honeywell in respect of AdvanSix Employees and Former AdvanSix Employees, including year-to-date
amounts withheld for Federal Insurance Contribution Act Taxes, Medicare Taxes and supplemental compensation, (v) other than with
respect to the Reimbursement Awards, any U.S. Federal, state and local income Tax deduction arising as a result of the exercise,
vesting or settlement of any equity award held by an AdvanSix Employees or Former AdvanSix Employee adjusted pursuant to Section 12.02
will be claimed by a member of the Honeywell Group; provided, however, that if a deduction claimed by a member of
the Honeywell Group pursuant to this Section 12.05 is disallowed by a Taxing Authority for any reason, a member of the AdvanSix
Group shall amend its Tax Return to claim such deduction and pay to Honeywell an amount equal to the tax benefit actually realized
by the AdvanSix Group resulting from such deduction; provided further that Honeywell, upon the request of AdvanSix, shall
repay any amount paid to Honeywell under the immediately preceding proviso (plus any interest imposed by the relevant Taxing Authority)
in the event AdvanSix is required to surrender such tax benefit and (vi) the Parties will cooperate following the Distribution,
so that the value of any tax benefit actually realized by any member of the Honeywell Group in connection with the vesting, settlement
or exercise of any Reimbursement Award will be transferred to AdvanSix following the Distribution.

 

SECTION 12.06.          Treatment
of Reimbursements. Any cash payment made by AdvanSix to Honeywell in respect
of any award settled in or exercised for Honeywell Common Stock pursuant to this Article XII shall be treated by Honeywell
and

    	 

    		15

    

AdvanSix for all Tax purposes as purchase
price or partial purchase price for the shares of Honeywell Common Stock equal to the value of any such cash payment, and not as
a distribution from AdvanSix to Honeywell immediately prior to the Distribution or as consideration for
any property contributed to AdvanSix in connection with the transactions contemplated by the Separation Agreement. Any cash
payment made by Honeywell to AdvanSix pursuant to this Article XII shall be treated for all Tax purposes as a contribution
from Honeywell to AdvanSix immediately prior to the Distribution.

 

ARTICLE
XIII

 

COOPERATION;
ACCESS TO INFORMATION; LITIGATION; CONFIDENTIALITY

 

SECTION 13.01.          Cooperation.
Following the date of this Agreement, the Parties shall, and shall cause their respective Subsidiaries to, use commercially reasonable
efforts to cooperate with respect to any employee compensation or benefits matters that either Party reasonably determines require
the cooperation of the other Party in order to accomplish the objectives of this Agreement. Without limiting the generality of
the preceding sentence, (a) Honeywell, AdvanSix and their respective Subsidiaries shall cooperate in connection with any audits
of any Benefit Plan with respect to which such Party may have Information, (b) Honeywell, AdvanSix and their respective Subsidiaries
shall cooperate in connection with any audits of their respective payroll services (whether by a Governmental Authority in the
U.S. or otherwise) in connection with the services provided by one Party to the other Party and (c) Honeywell, AdvanSix and
their respective Subsidiaries shall cooperate in good faith in connection with the notification and consultation with labor unions
and other employee representatives of employees of the Honeywell Group and the AdvanSix Group. With respect to each Benefit Plan,
the obligations of the Honeywell Group and the AdvanSix Group to cooperate pursuant to this Section 13.01 or any other
provision of this Agreement shall remain in effect until the later of (i) the date all audits of such Benefit Plan with respect
to which a Party may have Information have been completed, (ii) the date the applicable statute of limitations with respect to
such audits has expired and (ii) the date the Honeywell Group discharges all obligations to AdvanSix Employees, Former AdvanSix
Employees and their respective beneficiaries under such Benefit Plan.

 

SECTION 13.02.          Access
to Information; Litigation; Confidentiality. Except as would be inconsistent with Section 13.01 or any other provision
of this Agreement relating to cooperation, Article VII of the Separation Agreement is hereby incorporated into this Agreement
mutatis mutandi.

 

ARTICLE
XIV

 

TERMINATION

 

SECTION 14.01.          Termination.
This Agreement may be terminated by Honeywell at any time, in its sole discretion, prior to the Distribution; provided,
however, that this Agreement shall automatically terminate upon the termination of the Separation Agreement in accordance
with its terms.

    	 

    		16

    

SECTION 14.02.          Effect
of Termination. In the event of any termination of this Agreement prior to the Distribution, none of the Parties (or any of
its directors or officers) shall have any Liability or further obligation to any other Party under this Agreement.

 

ARTICLE
XV

 

MISCELLANEOUS

 

SECTION 15.01.          Incorporation
of Indemnification Provisions of Separation Agreement. In addition to the specific indemnification provisions in this Agreement,
Article VI of the Separation Agreement is hereby incorporated into this Agreement mutatis mutandi.

 

SECTION 15.02.          Benefit
Plan Indemnification. If the Parties determine that AdvanSix is unable to establish any AdvanSix Benefit Plan as of the Distribution
Date that it is required under this Agreement to establish by the Distribution Date, then, to the extent provided on Schedule 15.02,
AdvanSix shall indemnify, defend and hold harmless each of the Honeywell Indemnitees from and against any and all Liabilities of
the Honeywell Indemnitees relating to, arising out of or resulting from participation by any AdvanSix Employee or Former AdvanSix
Employee on or after the Distribution Date in any such Honeywell Benefit Plan set forth on Schedule 15.02 due to the failure to
timely establish such AdvanSix Benefit Plan or Plans, subject to any other terms and conditions set forth on such Schedule.

 

SECTION 15.03.          Further
Assurances. Article X of the Separation Agreement is hereby incorporated into this Agreement mutatis mutandi.

 

SECTION 15.04.          Administration.
AdvanSix hereby acknowledges that Honeywell has provided or will provide administration services for certain AdvanSix Benefit Plans
and AdvanSix agrees to assume responsibility for the administration and administration costs of such plans and each other AdvanSix
Benefit Plan. The Parties shall cooperate in good faith to complete such transfer of responsibility on commercially reasonable
terms and conditions effective no later than the Distribution or the applicable Welfare Plan Date or Workers’ Compensation
Plan Date.

 

SECTION 15.05.          Third-Party
Beneficiaries. Except as otherwise may be provided in the Separation Agreement with respect to the rights of any Honeywell
Indemnitee or AdvanSix Indemnitee, (a) the provisions of this Agreement are solely for the benefit of the Parties hereto and
are not intended to confer upon any Person except the Parties hereto any rights or remedies hereunder and (b) there are no
third-party beneficiaries of this Agreement and this Agreement shall not provide any third person with any remedy, claim, liability,
reimbursement, cause of action or other right in excess of those existing without reference to this Agreement.

 

SECTION 15.06.          Employment
Tax Reporting Responsibility. To the extent applicable, the Parties hereby agree to follow the alternate procedure for U.S.

    	 

    		17

    

Employment Tax withholding as provided in
Section 5 of Rev. Proc. 2004-53, I.R.B. 2004-35. Accordingly, except as otherwise provided in Sections 12.04 or 12.05,
the members of the Honeywell Group shall not have any Employment Tax reporting responsibilities, and the members of the AdvanSix
Group shall have full Employment Tax reporting responsibilities, for AdvanSix Employees on and after the Distribution.

 

SECTION 15.07.          Data
Privacy. The Parties agree that any applicable data privacy laws and any other obligations of the AdvanSix Group and the Honeywell
Group to maintain the confidentiality of any Information relating to employees in accordance with applicable Law shall govern the
disclosure of Information relating to employees among the Parties under this Agreement. Honeywell and AdvanSix shall ensure that
they each have in place appropriate technical and organizational security measures to protect the personal data of the AdvanSix
Employees and Former AdvanSix Employees. Additionally, each Party shall sign any documentation as may be required to comply with
applicable data privacy Laws.

 

SECTION 15.08.          Section 409A.
Honeywell and AdvanSix shall cooperate in good faith and use reasonable best efforts to ensure that the transactions contemplated
by the Separation Agreement and the Ancillary Agreements, including this Agreement, will not result in adverse tax consequences
under Section 409A of the Code to any AdvanSix Employee or Former AdvanSix Employee (or any of their respective beneficiaries),
in respect of their respective benefits under any Benefit Plan.

 

SECTION 15.09.          Confidentiality.
(a) Each of Honeywell and AdvanSix, on behalf of itself and each Person in its respective Group, shall, and shall cause its respective
directors, officers, employees, agents, accountants, counsel and other advisors and representatives to, hold, in strict confidence
and not release or disclose, with at least the same degree of care, but no less than a reasonable degree of care, that it applies
to its own confidential and proprietary Information pursuant to policies in effect as of the Distribution, all Information concerning
the other Group or its business that is either in its possession (including Information in its possession prior to the Distribution)
or furnished by the other Group or its respective directors, officers, employees, agents, accountants, counsel and other advisors
and representatives at any time pursuant to this Agreement and shall not use any such Information other than for such purposes
as shall be expressly permitted hereunder, except, in each case, to the extent that such Information is (i) in the public
domain through no fault of any member of the Honeywell Group or the AdvanSix Group, as applicable, or any of its respective directors,
officers, employees, agents, accountants, counsel and other advisors and representatives, (ii) later lawfully acquired from
other sources by any of Honeywell, AdvanSix or its respective Group, employees, directors or agents, accountants, counsel and other
advisors and representatives, as applicable, which sources are not themselves bound by a confidentiality obligation to the knowledge
of any of Honeywell, AdvanSix or Persons in its respective Group, as applicable, regarding such Information (iii) independently
generated without reference to any proprietary or confidential Information of the Honeywell Group or the AdvanSix Group, as applicable,
or (iv) required to be disclosed by applicable Law; provided, however, that the Person required to disclose
such Information gives the applicable Person prompt, and to the extent reasonably practicable,

    	 

    		18

    

prior notice of such disclosure and an opportunity
to contest such disclosure and shall use commercially reasonable efforts to cooperate, at the expense of the requesting Person,
in seeking any reasonable protective arrangements requested by such Person. In the event that such appropriate protective order
or other remedy is not obtained, the Person that is required to disclose such Information shall furnish, or cause to be furnished,
only that portion of such Information that is legally required to be disclosed and shall take commercially reasonable steps to
ensure that confidential treatment is accorded such Information. Notwithstanding the foregoing, each of Honeywell and AdvanSix
may release or disclose, or permit to be released or disclosed, any such Information concerning the other Group (A) to their
respective directors, officers, employees, agents, accountants, counsel and other advisors and representatives who need to know
such Information (who shall be advised of the obligations hereunder with respect to such Information) and (B) to any nationally
recognized statistical rating agency as it reasonably deems necessary, solely for the purpose of obtaining a rating of securities
upon normal terms and conditions; provided, however, that the Party whose Information is being disclosed or released
to such rating agency is promptly notified thereof.

 

(b)          Without
limiting the foregoing, when any Information concerning the other Group or its business is no longer needed for the purposes contemplated
by this Agreement, each of Honeywell and AdvanSix shall, promptly after request of the other Party, either return all Information
in a tangible form (including all copies thereof and all notes, extracts or summaries based thereon) or certify to the other Party,
as applicable, that it has destroyed such Information (and used commercially reasonable efforts to destroy all such Information
electronically preserved or recorded within any computerized data storage device or component (including any hard-drive or database)).

 

SECTION 15.10.          Additional
Provisions. Sections 12.01 to 12.14 of the Separation Agreement are hereby incorporated into this Agreement mutatis mutandi.

 

[SIGNATURE PAGE TO FOLLOW]

    	 

    		 

    

IN WITNESS WHEREOF, the parties have caused
this Agreement to be executed by their duly authorized representatives.

 

	 	HONEYWELL INTERNATIONAL INC.,
	 	 	 
	 	by	 
	 	 	 
	 	 	Name:
	 	 	Title:

 

	 	ADVANSIX INC.,
	 	 	 
	 	by	 
	 	 	 
	 	 	Name:
	 	 	Title:Exhibit 10.4

 

Confidential Treatment Requested by AdvanSix Inc.

 

AMENDED AND RESTATED

CAPROLACTAM AND POLYMER SUPPLY AGREEMENT

 

This Amended and Restated
Caprolactam and Polymer Supply Agreement (this “Agreement”) is made as of April 1, 2013, by and between Honeywell
Resins & Chemicals LLC, a Delaware limited liability company f/k/a Honeywell Nylon, LLC (“Seller”), and Shaw Industries
Group, Inc., a Georgia corporation (“Buyer”).

 

WHEREAS, pursuant to
the Facilities Purchase Agreement dated August 31, 2005, by and between Honeywell International Inc., Honeywell Intellectual Properties
Inc. and Seller (collectively the “Honeywell Group”), and Buyer, the Honeywell Group has sold to Buyer certain assets
constituting its Columbia, Clemson and Anderson facilities (the “Columbia Facility”, the “Clemson Facility”,
and the “Anderson Facility” respectively) (the Columbia Facility, the Clemson Facility and the Anderson Facility shall
be referred to herein collectively as the “Facilities”);

 

WHEREAS, contemporaneously
with the consummation of the transactions contemplated by the aforementioned Facilities Purchase Agreement, Buyer and Seller executed
and delivered that certain Caprolactam and Polymer Supply Agreement dated as of October 29, 2005 (as amended, the “Prior
Agreement”); and

 

WHEREAS, Buyer and
Seller desire to amend and restate the Prior Agreement, and in connection therewith, Buyer desires for a period of time to obtain
supplies of caprolactam and polymer for its facilities, including, without limitation, a supply of caprolactam for the Columbia
and Clemson Facilities and other polymer producing facilities, and a supply of polymer for various fiber producing locations owned
by or affiliated with Buyer; and

 

WHEREAS, Buyer desires
to supply to Seller and Seller desires to purchase from Buyer washwater produced in the Columbia and Clemson Facilities for a
period of time.

 

NOW, THEREFORE, in
consideration of the mutual promises contained herein, the parties agree as follows:

 

DEFINITIONS

 

For the purposes of
this Agreement, when capitalized, the following terms, whether singular or plural, have the meanings specified in this section:

 

“Affiliate”
indicates a relationship to a specified person, firm, corporation, partnership, limited liability company, association or entity,
and means any person, firm, corporation, partnership, limited liability company, association or entity that, directly or indirectly
or through one or more intermediaries, controls, is controlled by or is under common control with such person, firm, corporation,
partnership, limited liability company, association or entity.

 

“Agreement”,
as defined in the recitals hereof, shall include all Exhibits and Schedules hereto, as the same may be amended by the parties
from time to time.

    	1

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

“Anderson Facility”
is defined in the recitals hereof.

 

“Annual Planning
Forecast” is defined in Article 3.1(b).

 

“Buyer”
is defined in the recitals hereof.

 

“Caprolactam
Adder Amount” is defined in Article 2.1.

 

“Caprolactam
Index Amount” is defined in Schedule 2.1(I).

 

“Clemson Facility”
is defined in the recitals hereof.

 

“Columbia Facility”
is defined in the recitals hereof.

 

“Confidential
Information” is defined in Article 7.1.

 

“Effective Date”
means the date first set forth hereinabove.

 

“[ * * * ] Caprolactam”
means caprolactam meeting the specifications set out on Exhibit A attached hereto.

 

“Facilities”
is defined in the recitals hereof.

 

“Fiscal Month”,
“Fiscal Quarter”, and “Fiscal Year” depends on the month or quarter in question, as follows: a fiscal
year-end is the Saturday closest to December 31 each year. Fiscal quarters are comprised of 13 weeks each, whereby there are 5
weeks for the first fiscal month, 4 weeks for the second fiscal month, and 4 weeks for the third fiscal month. Further, once every
7 years, the fourth quarter has 5 weeks in its last month. For the purpose of this Agreement, the first Fiscal Month and first
Fiscal Quarter of Fiscal Year 2013 commenced on December 30, 2012.

 

“Forecast”
is defined in Article 3.1(a) hereof.

 

“Governmental
Body” means any federal, state, local, municipal, foreign, or other government; or governmental or quasi-governmental authority
of any nature (including any governmental agency, branch, department, official, or entity and any court or other tribunal).

 

[ * * * ]

 

“Initial Term”
is defined in Article 6.1 hereof.

 

“Limited Performance
Warranty” is defined in Article 5.1(a)(ii) hereof.

 

“[ * * * ] Polymer”
means polymer meeting the specifications set out in Exhibit B attached hereto.

 

[ * * * ]

    	2

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

[ * * * ]

 

“Maximum Volume”
is defined in Article 1.2 hereof.

 

“Minimum Volume”
is defined in Article 1.2 hereof.

 

“Person”
means any individual, corporation (including any non-profit corporation), general or limited partnership, limited liability company,
joint venture, estate, trust, association, organization, labor union, or other entity or Governmental Body.

 

“Polymer”
means [ * * * ] Polymer.

 

“Polymer Adder”
is defined in Article 2.2 hereof.

 

“Polymer Index
Amount” is defined in Schedule 2.1(II) hereto.

 

“Prior Agreement”
is defined in the recitals hereof.

 

“Product”
is defined in Article 1.5 hereof.

 

“Product Warranty”
is defined in Article 5.1 hereof.

 

“Renewal Term”
is defined in Article 6.1 hereof.

 

“Seller”
is defined in the recitals hereof.

 

“Specifications”
is defined in Article 5.1(a)(i) hereof.

 

“Term”
is defined in Article 6.1 hereof.

 

“Washwater”
means all washwater produced in the production of polymer in the manufacturing processes at the Columbia Facility and the Clemson
Facility during the Term.

 

ARTICLE
I - SALE AND PURCHASE

 

1.1.      Amendment
and Restatement. This Agreement supersedes and replaces in its entirety the Prior Agreement, as amended, as in effect immediately
prior hereto.

 

1.2.      Purchase
and Sale of Product. During the term of this Agreement, except as provided in Articles 1.3 and 1.4 below, Seller hereby agrees
to sell to Buyer, and Buyer hereby agrees to purchase from Seller, each Fiscal Year, for use and consumption by Buyer and its
Affiliates, a minimum of [ * * * ] ([ * * * ]) pounds of Product (the “Minimum Volume”), and a maximum of [ * * *
] ([ * * * ]) pounds of Product (the “Maximum Volume”), including:

 

		(a)	a
                                                                                                                                                                                   minimum
                                                                                                                                                                                   of
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   and
                                                                                                                                                                                   a
                                                                                                                                                                                   maximum
                                                                                                                                                                                   of
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   pounds
                                                                                                                                                                                   per
                                                                                                                                                                                   Fiscal
                                                                                                                                                                                   Year
                                                                                                                                                                                   (or
                                                                                                                                                                                   a
                                                                                                                                                                                   pro
                                                                                                                                                                                   rata
                                                                                                                                                                                   amount
                                                                                                                                                                                   thereof
                                                                                                                                                                                   in
                                                                                                                                                                                   any
                                                                                                                                                                                   partial
                                                                                                                                                                                   Fiscal
                                                                                                                                                                                   Year
                                                                                                                                                                                   during
                                                                                                                                                                                   the
                                                                                                                                                                                   Term)
                                                                                                                                                                                   of
                                                                                                                                                                                   Polymer
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ].

    	3

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

		(b)	a
                                                                                                                                                                                   maximum
                                                                                                                                                                                   of
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   pounds
                                                                                                                                                                                   per
                                                                                                                                                                                   Fiscal
                                                                                                                                                                                   Year
                                                                                                                                                                                   of
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   Caprolactam.

 

		(c)	[
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]

 

		(d)	At
                                                                                                                                                                                   the
                                                                                                                                                                                   sole
                                                                                                                                                                                   option
                                                                                                                                                                                   of
                                                                                                                                                                                   Buyer,
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   may
                                                                                                                                                                                   provide
                                                                                                                                                                                   caprolactam
                                                                                                                                                                                   Product
                                                                                                                                                                                   to
                                                                                                                                                                                   a
                                                                                                                                                                                   third
                                                                                                                                                                                   party
                                                                                                                                                                                   designated
                                                                                                                                                                                   by
                                                                                                                                                                                   Buyer,
                                                                                                                                                                                   for
                                                                                                                                                                                   further
                                                                                                                                                                                   processing
                                                                                                                                                                                   into
                                                                                                                                                                                   polymer
                                                                                                                                                                                   or
                                                                                                                                                                                   fiber;
                                                                                                                                                                                   it
                                                                                                                                                                                   being
                                                                                                                                                                                   acknowledged
                                                                                                                                                                                   that
                                                                                                                                                                                   any
                                                                                                                                                                                   such
                                                                                                                                                                                   caprolactam
                                                                                                                                                                                   may
                                                                                                                                                                                   not
                                                                                                                                                                                   be
                                                                                                                                                                                   sold
                                                                                                                                                                                   to
                                                                                                                                                                                   such
                                                                                                                                                                                   third
                                                                                                                                                                                   party.

 

Nothing in this Agreement is intended
to imply any geographical limitation, and Buyer shall not be restricted to use of any Product at any particular Facility, but
may use any Product in any of its facilities, whether presently owned, or expanded, purchased or constructed after the Effective
Date.

 

1.3.      2013 Volume
Adjustment. Notwithstanding Article 1.2 of this Agreement, between July 1, 2013, through December 31, 2013 (i) the annual
Minimum Volume shall be [ * * * ] ([ * * * ]) pounds of Product, and (ii) the annual Maximum Volume shall be [ * * * ] ([ * *
* ]) pounds of Product. Under Article 1.2(a) of the Agreement, the minimum annual volume for Polymer shall be [ * * * ] pounds
([ * * * ]) and the maximum annual volume for Polymer shall be [ * * * ] pounds ([ * * * ]) from July 1, 2013 through December
31, 2013.

 

1.4.      Further Volume
Adjustments. Notwithstanding any of the foregoing contained in this Agreement, overall volume ranges of Product to be purchased
by the Buyer during the periods described in the Agreement may be amended, with respect to any [ * * * ] ([ * * * ])-month period,
to reflect an increase or decrease in the annualized rate in an amount not to exceed [ * * * ] ([ * * * ]) pounds, with [ * *
* ] ([ * * * ]) days prior written notice by the Buyer to Seller; provided, however, that under no circumstance shall the Buyer
be entitled to purchase Product at an annualized rate of more than [ * * * ] ([ * * * ]) pounds. In the event of any such amendment,
notwithstanding the provisions of the Agreement, such range of annualized rate of Product to be purchased by the Buyer established
by such an amendment shall remain in effect until such time, if any, that the Buyer shall again exercise its rights under and
subject to this Article 1.4 to further increase or decrease in the minimum and/or maximum annualized rate of Product to be purchased
by the Buyer then-in-effect in an amount not to exceed [ * * * ] ([ * * * ]) pounds.

 

1.5.      Product Definition.
[ * * * ] Caprolactam, [ * * * ] and [ * * * ] Polymer shall be referred to herein collectively as “Product”. The
parties agree that, at Seller’s sole discretion, Seller may, upon giving written notice to Buyer, [ * * * ].

 

1.6.      Planned Outages.
The parties recognize that each will from time to time have a planned manufacturing outage at one or more of its facilities and
those outages will affect the supply or purchase volumes in such months. The parties agree to inform each other of such planned
outages as far in advance as possible by means of the communications referenced in Article III. Buyer shall use all reasonable
efforts to store Product in

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Confidential Treatment Requested by AdvanSix Inc.

 

inventory at its facilities
and to manage its downstream inventory during such outages. Seller shall use all reasonable efforts to increase its rate of supply
immediately before and after such outages. In the event of a planned outage, unplanned outage or shortage of supply of a raw or
intermediate material produced by Seller and not covered by the Caprolactam Index Amount, during the period of the outage Seller
may offer Buyer the choice of purchasing Product at a negotiated price or to forego the volume of Product impacted by the outage
or shortage. Intermediate material can be, but is not limited to, ammonia, sulfuric acid or oleum. If Buyer decides to forego
the volume of Product impacted by the shortage, the volume of Product foregone shall be applied against the volume purchase requirements
in Article 1.2 of this Agreement. The period of the negotiated price is only for the period of the outage suffered by Seller.

 

1.7.      No Resale.
All Product supplied hereunder shall be solely for internal consumption by Buyer and its Affiliates to make fiber, and Buyer shall
not resell any Product acquired from Seller to any Person other than Affiliates of Buyer during the Term. Buyer is expressly permitted
to make, use and/or sell special polymers or resins if Buyer is using: (i) Buyer’s know-how (other than know-how licensed
from Seller) and (ii) caprolactam obtained from a source other than Seller.

 

1.8.      Washwater
Supply. During the Term, Buyer shall supply to Seller and Seller shall purchase from Buyer the Washwater. Such Washwater shall
contain on average for each Fiscal Year during the Term at least [ * * * ] percent ([ * * * ]%) monomer equivalent caprolactam.

 

ARTICLE
II - PRICING

 

2.1.      Caprolactam
Pricing. The price for each pound of [ * * * ] Caprolactam shall be the sum of (x) [ * * * ] ([ * * * ]) plus (y) the Caprolactam
Index Amount (as defined in Schedule 2.1(I)), which, may be a positive or a negative amount, plus (z) the Caprolactam Adder Amount.
The Caprolactam Adder Amount shall be: (i) for the period of [ * * * ], through [ * * * ], [ * * * ] ([ * * * ]) per pound of
Product, (ii) for the period of [ * * * ], through [ * * * ], [ * * * ] ([ * * * ]) per pound of Product, and (iii) for the period
of [ * * * ], through the last day of the Term, [ * * * ] ([ * * * ]) per pound of Product.

 

2.2.      Polymer Pricing.
The price for each pound of [ * * * ] Polymer shall be [ * * * ] ([ * * * ]) (the “Polymer Adder”) above the [ * *
* ] Caprolactam price (calculated pursuant to Article 2.1 above) for such Fiscal Month, plus the Polymer Index Amount (as defined
in Schedule 2.1(II)), which, may be a positive or a negative amount.

 

2.3.      Pricing Above
Maximum Volume. The pricing of any volumes purchased by the Buyer in excess of the Maximum Volume in a Fiscal Year will be
separately negotiated by Buyer and Seller at the time of purchase. In any Fiscal Year, Seller is not obligated to sell any quantity
of Product in excess of the Maximum Volume.

 

2.4.      Washwater
Pricing. The price for each pound of Washwater shall be equal to (A) the percentage of caprolactam contained in such pound
multiplied by the price per pound of [ * * * ] Caprolactam (calculated pursuant to Article 2.1 above) in effect from

    	5

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

time to time under
this Agreement, minus (B) [ * * * ] ([ * * * ]). The percentage of caprolactam contained in a pound of Washwater shall
be calculated by Seller at its Hopewell facility, and shall include only monomer equivalent caprolactam, with no credit being
given for any oligomers present in the Washwater. If in any Fiscal Year the average percentage of caprolactam in all Washwater
supplied that year is not at least [ * * * ] percent ([ * * * ]%), then Seller may invoice Buyer for an increased pro-rata share
of its caprolactam recovery costs commensurate with the actual percentage of caprolactam contained in Washwater during the year.

 

2.5.      Payment Terms.
Seller shall issue monthly consolidated invoices for Product actually delivered to Buyer, with a credit for Washwater based on
the pricing above (which invoice will show the percentage of caprolactam recovered from the Washwater), within three (3) days
after the end of each Fiscal Month during the Term. Seller shall also issue regular statements setting forth the percentage of
recycled caprolactam contained in the caprolactam [ * * * ] purchased by Buyer hereunder. All such invoices will be submitted
to the attention of Buyer’s Corporate Accounts Payable Department. Subject to review and confirmation by Buyer (including,
without limitation, Buyer’s reconciliation of Washwater shipped with the amount of Washwater shown on Seller’s invoice),
such review and confirmation to be completed and any disagreements therewith raised in writing within seven (7) business days
after receipt of Seller’s invoice, each invoice issued pursuant to this Agreement shall be payable by wire transfer on or
before the [ * * * ] ([ * * * ]) [ * * * ] following the end of the month covered by such invoice.

 

2.6.      Taxes, Duties,
Etc. Seller’s pricing for the Product, and Buyer’s pricing for the Washwater, [ * * * ]. Buyer is responsible
for [ * * * ]. Seller is responsible for [ * * * ]. If Seller is required to impose, levy, collect, withhold or assess any such
taxes, duties or charges on any transaction involving the sale of the Product under this Agreement, then in addition to the purchase price, Seller will [ * * * ]. If Buyer is required to impose, levy,
collect, withhold or assess any such taxes, duties or charges on any transaction involving the sale of Washwater under the terms of this Agreement, then in addition to the purchase price, Buyer will [ * * * ].
The last three sentences of this Article 2.6 will survive expiration or any termination of this Agreement.

 

2.7.      Payments.
Payment hereunder shall be made in lawful money of the United States. Buyer shall pay each invoice as and when due without right
of set-off, except with respect to Washwater, as set forth on the invoice, and except with respect to a dispute specifically involving
the invoice.

 

ARTICLE
III - PLANNING PROCESS; FORECASTS

 

3.1.      Forecasts
and Communications.

 

		(a)	On
                                                                                                                                                                                   or
                                                                                                                                                                                   before
                                                                                                                                                                                   the
                                                                                                                                                                                   fifteenth
                                                                                                                                                                                   (15th)
                                                                                                                                                                                   day
                                                                                                                                                                                   of
                                                                                                                                                                                   each
                                                                                                                                                                                   calendar
                                                                                                                                                                                   month,
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   provide
                                                                                                                                                                                   to
                                                                                                                                                                                   Seller
                                                                                                                                                                                   a
                                                                                                                                                                                   written
                                                                                                                                                                                   forecast
                                                                                                                                                                                   (the
                                                                                                                                                                                   “Forecast”)
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   types
                                                                                                                                                                                   and
                                                                                                                                                                                   quantities
                                                                                                                                                                                   of
                                                                                                                                                                                   Product
                                                                                                                                                                                   that
                                                                                                                                                                                   it
                                                                                                                                                                                   wishes
                                                                                                                                                                                   to
                                                                                                                                                                                   purchase
                                                                                                                                                                                   during
                                                                                                                                                                                   each
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   next
                                                                                                                                                                                   six
                                                                                                                                                                                   Fiscal
                                                                                                                                                                                   Months.
                                                                                                                                                                                   The
                                                                                                                                                                                   parties
                                                                                                                                                                                   shall
                                                                                                                                                                                   then
                                                                                                                                                                                   hold
                                                                                                                                                                                   a
                                                                                                                                                                                   meeting
                                                                                                                                                                                   or
                                                                                                                                                                                   teleconference
                                                                                                                                                                                   within
                                                                                                                                                                                   two
                                                                                                                                                                                   (2)
                                                                                                                                                                                   business
                                                                                                                                                                                   days
                                                                                                                                                                                   of
                                                                                                                                                                                   receipt
                                                                                                                                                                                   by
                                                                                                                                                                                   Seller
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   Forecast
                                                                                                                                                                                   to
                                                                                                                                                                                   resolve
                                                                                                                                                                                   issues
                                                                                                                                                                                   and
                                                                                                                                                                                   finalize
                                                                                                                                                                                   the
                                                                                                                                                                                   Forecast.
                                                                                                                                                                                   The
                                                                                                                                                                                   first
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   months
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   Forecast
                                                                                                                                                                                   shall
                                                                                                                                                                                   be
                                                                                                                                                                                   binding
                                                                                                                                                                                   on
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   as
                                                                                                                                                                                   long
                                                                                                                                                                                   as
                                                                                                                                                                                   such
                                                                                                                                                                                   Forecasts

    	6

    	

    
Confidential Treatment Requested by AdvanSix Inc.

 

otherwise comply with
the terms of this Agreement; provided, however, the binding Forecast with respect to the [ * * * ] month may vary
by as much as [ * * * ] percent ([ * * * ]%) of the total caprolactam Forecasted and [ * * * ] percent ([ * * * ]%) of the total
Polymer Forecasted. The [ * * * ] months of the Forecast shall be for planning purposes only and shall not constitute a firm purchase
order for such quantities of Product. In addition, the parties shall regularly communicate their planned outages to each other
as far in advance as practicable prior to such outages, and shall include in such communications the timing and expected duration
of such outages.

 

		(b)	In
                                                                                                                                                                                   addition
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   monthly
                                                                                                                                                                                   Forecasts
                                                                                                                                                                                   described
                                                                                                                                                                                   in
                                                                                                                                                                                   Article
                                                                                                                                                                                   3.1(a),
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   provide
                                                                                                                                                                                   to
                                                                                                                                                                                   Seller,
                                                                                                                                                                                   no
                                                                                                                                                                                   later
                                                                                                                                                                                   than
                                                                                                                                                                                   September
                                                                                                                                                                                   of
                                                                                                                                                                                   each
                                                                                                                                                                                   year,
                                                                                                                                                                                   a
                                                                                                                                                                                   nonbinding
                                                                                                                                                                                   forecast
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   quantities
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   that
                                                                                                                                                                                   it
                                                                                                                                                                                   wishes
                                                                                                                                                                                   to
                                                                                                                                                                                   purchase
                                                                                                                                                                                   during
                                                                                                                                                                                   each
                                                                                                                                                                                   month
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   following
                                                                                                                                                                                   Fiscal
                                                                                                                                                                                   Year
                                                                                                                                                                                   (the
                                                                                                                                                                                   “Annual
                                                                                                                                                                                   Planning
                                                                                                                                                                                   Forecast”).
                                                                                                                                                                                   No
                                                                                                                                                                                   later
                                                                                                                                                                                   than
                                                                                                                                                                                   September
                                                                                                                                                                                   of
                                                                                                                                                                                   each
                                                                                                                                                                                   year,
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   agree
                                                                                                                                                                                   to
                                                                                                                                                                                   meet
                                                                                                                                                                                   to
                                                                                                                                                                                   discuss
                                                                                                                                                                                   and
                                                                                                                                                                                   negotiate
                                                                                                                                                                                   in
                                                                                                                                                                                   good
                                                                                                                                                                                   faith
                                                                                                                                                                                   regarding
                                                                                                                                                                                   the
                                                                                                                                                                                   allocation
                                                                                                                                                                                   and
                                                                                                                                                                                   timing
                                                                                                                                                                                   of
                                                                                                                                                                                   Product
                                                                                                                                                                                   as
                                                                                                                                                                                   set
                                                                                                                                                                                   forth
                                                                                                                                                                                   in
                                                                                                                                                                                   the
                                                                                                                                                                                   Annual
                                                                                                                                                                                   Planning
                                                                                                                                                                                   Forecast,
                                                                                                                                                                                   with
                                                                                                                                                                                   the
                                                                                                                                                                                   mutual
                                                                                                                                                                                   goal
                                                                                                                                                                                   that
                                                                                                                                                                                   the
                                                                                                                                                                                   monthly
                                                                                                                                                                                   Forecasts
                                                                                                                                                                                   described
                                                                                                                                                                                   in
                                                                                                                                                                                   Article
                                                                                                                                                                                   3.1(a)
                                                                                                                                                                                   will
                                                                                                                                                                                   be
                                                                                                                                                                                   based
                                                                                                                                                                                   on
                                                                                                                                                                                   volumes
                                                                                                                                                                                   of
                                                                                                                                                                                   Product
                                                                                                                                                                                   and
                                                                                                                                                                                   production
                                                                                                                                                                                   schedules
                                                                                                                                                                                   that
                                                                                                                                                                                   are
                                                                                                                                                                                   commercially
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   for
                                                                                                                                                                                   supply
                                                                                                                                                                                   by
                                                                                                                                                                                   Seller
                                                                                                                                                                                   to
                                                                                                                                                                                   Buyer.
                                                                                                                                                                                   For
                                                                                                                                                                                   avoidance
                                                                                                                                                                                   of
                                                                                                                                                                                   doubt,
                                                                                                                                                                                   when
                                                                                                                                                                                   determining
                                                                                                                                                                                   what
                                                                                                                                                                                   is
                                                                                                                                                                                   “commercially
                                                                                                                                                                                   reasonable”
                                                                                                                                                                                   for
                                                                                                                                                                                   purposes
                                                                                                                                                                                   of
                                                                                                                                                                                   this
                                                                                                                                                                                   Article
                                                                                                                                                                                   3.1(b),
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   shall
                                                                                                                                                                                   specifically
                                                                                                                                                                                   consider
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   remelt
                                                                                                                                                                                   capabilities,
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   and
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   inventory
                                                                                                                                                                                   storage
                                                                                                                                                                                   capabilities,
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   and
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   planned
                                                                                                                                                                                   outages,
                                                                                                                                                                                   and
                                                                                                                                                                                   the
                                                                                                                                                                                   seasonality
                                                                                                                                                                                   of
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   Hopewell
                                                                                                                                                                                   facility’s
                                                                                                                                                                                   ability
                                                                                                                                                                                   to
                                                                                                                                                                                   supply
                                                                                                                                                                                   polymer.

 

3.2.      Purchase
Orders; Acceptance.

 

		(a)	Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   issue
                                                                                                                                                                                   purchase
                                                                                                                                                                                   orders
                                                                                                                                                                                   for
                                                                                                                                                                                   Product,
                                                                                                                                                                                   and
                                                                                                                                                                                   each
                                                                                                                                                                                   such
                                                                                                                                                                                   purchase
                                                                                                                                                                                   order
                                                                                                                                                                                   shall
                                                                                                                                                                                   constitute
                                                                                                                                                                                   a
                                                                                                                                                                                   firm
                                                                                                                                                                                   commitment
                                                                                                                                                                                   of
                                                                                                                                                                                   Buyer.
                                                                                                                                                                                   A
                                                                                                                                                                                   purchase
                                                                                                                                                                                   order
                                                                                                                                                                                   shall
                                                                                                                                                                                   include
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   ordered,
                                                                                                                                                                                   the
                                                                                                                                                                                   quantity,
                                                                                                                                                                                   the
                                                                                                                                                                                   requested
                                                                                                                                                                                   delivery
                                                                                                                                                                                   date,
                                                                                                                                                                                   the
                                                                                                                                                                                   delivery
                                                                                                                                                                                   or
                                                                                                                                                                                   ship-to
                                                                                                                                                                                   location
                                                                                                                                                                                   and
                                                                                                                                                                                   payment
                                                                                                                                                                                   terms.
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   accept
                                                                                                                                                                                   such
                                                                                                                                                                                   purchase
                                                                                                                                                                                   order
                                                                                                                                                                                   within
                                                                                                                                                                                   two
                                                                                                                                                                                   (2)
                                                                                                                                                                                   business
                                                                                                                                                                                   days,
                                                                                                                                                                                   as
                                                                                                                                                                                   long
                                                                                                                                                                                   as
                                                                                                                                                                                   it
                                                                                                                                                                                   includes
                                                                                                                                                                                   a
                                                                                                                                                                                   lead
                                                                                                                                                                                   time
                                                                                                                                                                                   of
                                                                                                                                                                                   fourteen
                                                                                                                                                                                   (14)
                                                                                                                                                                                   days
                                                                                                                                                                                   and
                                                                                                                                                                                   otherwise
                                                                                                                                                                                   complies
                                                                                                                                                                                   with
                                                                                                                                                                                   the
                                                                                                                                                                                   terms
                                                                                                                                                                                   of
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement.

 

		(b)	The
                                                                                                                                                                                   issuance
                                                                                                                                                                                   or
                                                                                                                                                                                   failure
                                                                                                                                                                                   to
                                                                                                                                                                                   issue
                                                                                                                                                                                   purchase
                                                                                                                                                                                   orders
                                                                                                                                                                                   shall
                                                                                                                                                                                   in
                                                                                                                                                                                   no
                                                                                                                                                                                   way
                                                                                                                                                                                   alter
                                                                                                                                                                                   any
                                                                                                                                                                                   obligation
                                                                                                                                                                                   or
                                                                                                                                                                                   right
                                                                                                                                                                                   of
                                                                                                                                                                                   either
                                                                                                                                                                                   party
                                                                                                                                                                                   hereunder,
                                                                                                                                                                                   including
                                                                                                                                                                                   any
                                                                                                                                                                                   obligation
                                                                                                                                                                                   or
                                                                                                                                                                                   right
                                                                                                                                                                                   contained
                                                                                                                                                                                   in
                                                                                                                                                                                   Article
                                                                                                                                                                                   I
                                                                                                                                                                                   or
                                                                                                                                                                                   II.

 

ARTICLE
IV - DELIVERIES

 

4.1.      Deliveries.
All deliveries of [ * * * ] Caprolactam shall be [ * * * ] (Incoterms 2010) Seller’s Hopewell facility (as modified by Article
4.2 below). All deliveries of [ * * * ] Polymer shall be [ * * * ] (Incoterms 2010) Seller’s Chesterfield facility (as

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Confidential Treatment Requested by AdvanSix Inc.

 

modified by Article
4.2 below). All deliveries of Washwater shall be [ * * * ] (Incoterms 2010) the Columbia and Clemson Facilities (as modified by
Article 4.2 below).

 

4.2.      Freight.

 

		(a)	For
                                                                                                                                                                                   all
                                                                                                                                                                                   deliveries
                                                                                                                                                                                   of
                                                                                                                                                                                   Product
                                                                                                                                                                                   hereunder,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   load
                                                                                                                                                                                   the
                                                                                                                                                                                   goods,
                                                                                                                                                                                   and
                                                                                                                                                                                   (i)
                                                                                                                                                                                   with
                                                                                                                                                                                   respect
                                                                                                                                                                                   to
                                                                                                                                                                                   polymer,
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   select
                                                                                                                                                                                   the
                                                                                                                                                                                   carrier
                                                                                                                                                                                   and
                                                                                                                                                                                   pay
                                                                                                                                                                                   the
                                                                                                                                                                                   freight
                                                                                                                                                                                   on
                                                                                                                                                                                   all
                                                                                                                                                                                   deliveries
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   Product,
                                                                                                                                                                                   and
                                                                                                                                                                                   (ii)
                                                                                                                                                                                   with
                                                                                                                                                                                   respect
                                                                                                                                                                                   to
                                                                                                                                                                                   caprolactam,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   select
                                                                                                                                                                                   the
                                                                                                                                                                                   carrier,
                                                                                                                                                                                   prepay
                                                                                                                                                                                   the
                                                                                                                                                                                   freight
                                                                                                                                                                                   and
                                                                                                                                                                                   add
                                                                                                                                                                                   the
                                                                                                                                                                                   cost
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   freight
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   invoice
                                                                                                                                                                                   (including
                                                                                                                                                                                   the
                                                                                                                                                                                   costs
                                                                                                                                                                                   of
                                                                                                                                                                                   leasing
                                                                                                                                                                                   and
                                                                                                                                                                                   maintaining
                                                                                                                                                                                   railcars).
                                                                                                                                                                                   If
                                                                                                                                                                                   Seller
                                                                                                                                                                                   provides
                                                                                                                                                                                   its
                                                                                                                                                                                   own
                                                                                                                                                                                   rail
                                                                                                                                                                                   car
                                                                                                                                                                                   service,
                                                                                                                                                                                   then
                                                                                                                                                                                   such
                                                                                                                                                                                   service
                                                                                                                                                                                   shall
                                                                                                                                                                                   be
                                                                                                                                                                                   provided
                                                                                                                                                                                   at
                                                                                                                                                                                   a
                                                                                                                                                                                   price
                                                                                                                                                                                   not
                                                                                                                                                                                   to
                                                                                                                                                                                   exceed
                                                                                                                                                                                   the
                                                                                                                                                                                   current
                                                                                                                                                                                   rail
                                                                                                                                                                                   rates
                                                                                                                                                                                   for
                                                                                                                                                                                   the
                                                                                                                                                                                   applicable
                                                                                                                                                                                   commodity.
                                                                                                                                                                                   Notwithstanding
                                                                                                                                                                                   the
                                                                                                                                                                                   provisions
                                                                                                                                                                                   contained
                                                                                                                                                                                   in
                                                                                                                                                                                   Article
                                                                                                                                                                                   3.2(b),
                                                                                                                                                                                   Seller
                                                                                                                                                                                   will
                                                                                                                                                                                   indicate
                                                                                                                                                                                   plainly
                                                                                                                                                                                   the
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   purchase
                                                                                                                                                                                   order
                                                                                                                                                                                   number
                                                                                                                                                                                   on
                                                                                                                                                                                   all
                                                                                                                                                                                   bills
                                                                                                                                                                                   of
                                                                                                                                                                                   lading,
                                                                                                                                                                                   invoices
                                                                                                                                                                                   and
                                                                                                                                                                                   freight
                                                                                                                                                                                   bills.
                                                                                                                                                                                   Each
                                                                                                                                                                                   shipment
                                                                                                                                                                                   must
                                                                                                                                                                                   contain
                                                                                                                                                                                   a
                                                                                                                                                                                   record
                                                                                                                                                                                   showing
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   name,
                                                                                                                                                                                   contents
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   shipment
                                                                                                                                                                                   and
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   purchase
                                                                                                                                                                                   order
                                                                                                                                                                                   number.
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   will
                                                                                                                                                                                   arrange
                                                                                                                                                                                   for
                                                                                                                                                                                   between
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   and
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   to
                                                                                                                                                                                   sit
                                                                                                                                                                                   at
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   Chesterfield
                                                                                                                                                                                   facility
                                                                                                                                                                                   to
                                                                                                                                                                                   enable
                                                                                                                                                                                   continuous
                                                                                                                                                                                   loading
                                                                                                                                                                                   of
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   Polymer
                                                                                                                                                                                   at
                                                                                                                                                                                   such
                                                                                                                                                                                   facility
                                                                                                                                                                                   for
                                                                                                                                                                                   the
                                                                                                                                                                                   polymers.

 

		(b)	Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   load
                                                                                                                                                                                   the
                                                                                                                                                                                   goods,
                                                                                                                                                                                   and
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   select
                                                                                                                                                                                   the
                                                                                                                                                                                   carrier
                                                                                                                                                                                   and
                                                                                                                                                                                   pay
                                                                                                                                                                                   the
                                                                                                                                                                                   freight
                                                                                                                                                                                   on,
                                                                                                                                                                                   all
                                                                                                                                                                                   deliveries
                                                                                                                                                                                   of
                                                                                                                                                                                   Washwater.

 

4.3.      Title.
Title to and risk of loss in Product and Washwater shall in all cases transfer upon delivery pursuant to Article 4.1.

 

4.4.      Lot Size.
All deliveries of Product pursuant to this Agreement shall be by means of rail cars or trucks. All deliveries of Washwater pursuant
to this Agreement shall be by means of trucks. If Buyer desires that some Product be packaged in boxes and Seller agrees, Buyer
shall bear all direct costs of such packaging.

 

4.5.      Weights and
Measurements. Seller’s weights and measurements taken at the shipping facility shall govern unless proven to be in error.
Variations of [ * * * ] percent ([ * * * ]%) or less from the weight or quantity of any shipment shall be disregarded. Buyer shall
be solely responsible for removing all Product from railcars and trucks, as applicable. Seller shall be solely responsible for
removing all Washwater from railcars and trucks, as applicable, and in no event shall Seller be entitled to heel credits from
Buyer.

 

4.6.      Demurrage.
Buyer agrees to pay all demurrage or detention charges that are incurred for railcars or trucks that sit at any of Buyer’s
facilities (including holding areas dedicated to but immediately outside such facilities) except for those arising solely as a
result of Seller’s investigation of a claim pursuant to Article 5.6 hereof. For railcars coming from the Hopewell facility
at a reasonably regular schedule, demurrage charges will be charged at actual documented cost for each day after the third day
that a railcar sits at any of Buyer’s facilities (including holding areas dedicated to but immediately

    	8

    	

    
Confidential Treatment Requested by AdvanSix Inc.

 

outside such facilities).
For trucks arranged by Seller, demurrage charges of actual documented costs will be charged for each quarter of an hour in excess
of two hours that a truck sits at any of Buyer’s facilities (including holding areas dedicated to but immediately outside
such facilities).

 

ARTICLE
V - REPRESENTATIONS; WARRANTIES; LIMITATION OF LIABILITY

 

5.1.      Representations
and Warranties regarding Product. Seller represents and warrants to Buyer as follows (the “Product Warranty”):

 

		(a)	Product.
                                                                                                                                                                                   With
                                                                                                                                                                                   respect
                                                                                                                                                                                   to
                                                                                                                                                                                   each
                                                                                                                                                                                   sale
                                                                                                                                                                                   of
                                                                                                                                                                                   Product,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   warrants
                                                                                                                                                                                   as
                                                                                                                                                                                   follows:

 

		(i)	The
                                                                                                                                                                                   Product
                                                                                                                                                                                   shall
                                                                                                                                                                                   conform
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   applicable
                                                                                                                                                                                   specifications
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   (the
                                                                                                                                                                                   “Specifications”),
                                                                                                                                                                                   as
                                                                                                                                                                                   modified
                                                                                                                                                                                   from
                                                                                                                                                                                   time
                                                                                                                                                                                   to
                                                                                                                                                                                   time
                                                                                                                                                                                   as
                                                                                                                                                                                   provided
                                                                                                                                                                                   in
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement.
                                                                                                                                                                                   Except
                                                                                                                                                                                   as
                                                                                                                                                                                   otherwise
                                                                                                                                                                                   provided
                                                                                                                                                                                   in
                                                                                                                                                                                   this
                                                                                                                                                                                   Article
                                                                                                                                                                                   V,
                                                                                                                                                                                   and
                                                                                                                                                                                   except
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   extent
                                                                                                                                                                                   that
                                                                                                                                                                                   any
                                                                                                                                                                                   third-party
                                                                                                                                                                                   claims
                                                                                                                                                                                   regarding
                                                                                                                                                                                   injury
                                                                                                                                                                                   to
                                                                                                                                                                                   person
                                                                                                                                                                                   or
                                                                                                                                                                                   property
                                                                                                                                                                                   may
                                                                                                                                                                                   relate
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   Specifications,
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   sole
                                                                                                                                                                                   remedy
                                                                                                                                                                                   for
                                                                                                                                                                                   breach
                                                                                                                                                                                   of
                                                                                                                                                                                   this
                                                                                                                                                                                   warranty
                                                                                                                                                                                   shall
                                                                                                                                                                                   be
                                                                                                                                                                                   replacement
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   nonconforming
                                                                                                                                                                                   Product.

 

		(ii)	The
                                                                                                                                                                                    gels
                                                                                                                                                                                    and
                                                                                                                                                                                    insolubles
                                                                                                                                                                                    that
                                                                                                                                                                                    are
                                                                                                                                                                                    constituent
                                                                                                                                                                                    elements
                                                                                                                                                                                    of
                                                                                                                                                                                    the
                                                                                                                                                                                    polymer
                                                                                                                                                                                    Product,
                                                                                                                                                                                    and
                                                                                                                                                                                    any
                                                                                                                                                                                    organic
                                                                                                                                                                                    contaminants
                                                                                                                                                                                    and
                                                                                                                                                                                    insolubles
                                                                                                                                                                                    in
                                                                                                                                                                                    the
                                                                                                                                                                                    caprolactam
                                                                                                                                                                                    Product
                                                                                                                                                                                    that
                                                                                                                                                                                    are
                                                                                                                                                                                    outside
                                                                                                                                                                                    the
                                                                                                                                                                                    applicable
                                                                                                                                                                                    Specifications,
                                                                                                                                                                                    will
                                                                                                                                                                                    not
                                                                                                                                                                                    cause
                                                                                                                                                                                    a
                                                                                                                                                                                    statistically
                                                                                                                                                                                    significant
                                                                                                                                                                                    loss
                                                                                                                                                                                    of
                                                                                                                                                                                    efficiency
                                                                                                                                                                                    or
                                                                                                                                                                                    yield
                                                                                                                                                                                    in
                                                                                                                                                                                    Buyer’s
                                                                                                                                                                                    polymer
                                                                                                                                                                                    or
                                                                                                                                                                                    spinning
                                                                                                                                                                                    processes
                                                                                                                                                                                    (the
                                                                                                                                                                                    “Limited
                                                                                                                                                                                    Performance
                                                                                                                                                                                    Warranty”).
                                                                                                                                                                                    If
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    determines
                                                                                                                                                                                    that
                                                                                                                                                                                    there
                                                                                                                                                                                    has
                                                                                                                                                                                    been
                                                                                                                                                                                    a
                                                                                                                                                                                    statistically
                                                                                                                                                                                    significant
                                                                                                                                                                                    loss
                                                                                                                                                                                    of
                                                                                                                                                                                    efficiency
                                                                                                                                                                                    or
                                                                                                                                                                                    yield
                                                                                                                                                                                    in
                                                                                                                                                                                    its
                                                                                                                                                                                    polymerization
                                                                                                                                                                                    or
                                                                                                                                                                                    spinning
                                                                                                                                                                                    processes
                                                                                                                                                                                    using
                                                                                                                                                                                    the
                                                                                                                                                                                    Product,
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    shall
                                                                                                                                                                                    (A)
                                                                                                                                                                                    notify
                                                                                                                                                                                    Seller
                                                                                                                                                                                    within
                                                                                                                                                                                    forty-eight
                                                                                                                                                                                    (48)
                                                                                                                                                                                    hours
                                                                                                                                                                                    of
                                                                                                                                                                                    the
                                                                                                                                                                                    relevant
                                                                                                                                                                                    reduction
                                                                                                                                                                                    in
                                                                                                                                                                                    efficiency
                                                                                                                                                                                    or
                                                                                                                                                                                    yield
                                                                                                                                                                                    and
                                                                                                                                                                                    (B)
                                                                                                                                                                                    shall
                                                                                                                                                                                    permit
                                                                                                                                                                                    Seller
                                                                                                                                                                                    full
                                                                                                                                                                                    and
                                                                                                                                                                                    immediate
                                                                                                                                                                                    access
                                                                                                                                                                                    to
                                                                                                                                                                                    inspect
                                                                                                                                                                                    the
                                                                                                                                                                                    Product
                                                                                                                                                                                    and
                                                                                                                                                                                    the
                                                                                                                                                                                    spinning
                                                                                                                                                                                    operation
                                                                                                                                                                                    or
                                                                                                                                                                                    polymerization
                                                                                                                                                                                    operation,
                                                                                                                                                                                    as
                                                                                                                                                                                    applicable,
                                                                                                                                                                                    in
                                                                                                                                                                                    order
                                                                                                                                                                                    to
                                                                                                                                                                                    determine
                                                                                                                                                                                    the
                                                                                                                                                                                    root
                                                                                                                                                                                    cause
                                                                                                                                                                                    of
                                                                                                                                                                                    the
                                                                                                                                                                                    problem.
                                                                                                                                                                                    In
                                                                                                                                                                                    the
                                                                                                                                                                                    event
                                                                                                                                                                                    that
                                                                                                                                                                                    the
                                                                                                                                                                                    loss
                                                                                                                                                                                    of
                                                                                                                                                                                    efficiency
                                                                                                                                                                                    or
                                                                                                                                                                                    yield
                                                                                                                                                                                    is
                                                                                                                                                                                    determined
                                                                                                                                                                                    to
                                                                                                                                                                                    have
                                                                                                                                                                                    been
                                                                                                                                                                                    caused
                                                                                                                                                                                    by
                                                                                                                                                                                    a
                                                                                                                                                                                    breach
                                                                                                                                                                                    of
                                                                                                                                                                                    the
                                                                                                                                                                                    Limited
                                                                                                                                                                                    Performance
                                                                                                                                                                                    Warranty,
                                                                                                                                                                                    Seller’s
                                                                                                                                                                                    liability
                                                                                                                                                                                    will
                                                                                                                                                                                    be
                                                                                                                                                                                    limited
                                                                                                                                                                                    to
                                                                                                                                                                                    the
                                                                                                                                                                                    purchase
                                                                                                                                                                                    price
                                                                                                                                                                                    of
                                                                                                                                                                                    replacement
                                                                                                                                                                                    material
                                                                                                                                                                                    plus
                                                                                                                                                                                    [
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    ]
                                                                                                                                                                                    ([
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    ])
                                                                                                                                                                                    of
                                                                                                                                                                                    the
                                                                                                                                                                                    actual
                                                                                                                                                                                    cost
                                                                                                                                                                                    of
                                                                                                                                                                                    the
                                                                                                                                                                                    lost
                                                                                                                                                                                    spinning
                                                                                                                                                                                    line
                                                                                                                                                                                    efficiency
                                                                                                                                                                                    or
                                                                                                                                                                                    yield
                                                                                                                                                                                    or
                                                                                                                                                                                    the
                                                                                                                                                                                    lost
                                                                                                                                                                                    polymerization
                                                                                                                                                                                    line
                                                                                                                                                                                    efficiency
                                                                                                                                                                                    or
                                                                                                                                                                                    yield,
                                                                                                                                                                                    as
                                                                                                                                                                                    applicable.

 

		(b)	Seller
                                                                                                                                                                                   warrants
                                                                                                                                                                                   that
                                                                                                                                                                                   Product
                                                                                                                                                                                   delivered
                                                                                                                                                                                   hereunder
                                                                                                                                                                                   does
                                                                                                                                                                                   not
                                                                                                                                                                                   infringe
                                                                                                                                                                                   the
                                                                                                                                                                                   claims
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   US
                                                                                                                                                                                   patent
                                                                                                                                                                                   extant
                                                                                                                                                                                   as
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   date
                                                                                                                                                                                   of
                                                                                                                                                                                   delivery
                                                                                                                                                                                   covering
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   itself
                                                                                                                                                                                   but
                                                                                                                                                                                   does
                                                                                                                                                                                   not
                                                                                                                                                                                   warrant
                                                                                                                                                                                   against
                                                                                                                                                                                   infringement
                                                                                                                                                                                   by
                                                                                                                                                                                   reason
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   use
                                                                                                                                                                                   thereof
                                                                                                                                                                                   in
                                                                                                                                                                                   combination
                                                                                                                                                                                   with
                                                                                                                                                                                   other
                                                                                                                                                                                   materials
                                                                                                                                                                                   or
                                                                                                                                                                                   in
                                                                                                                                                                                   the
                                                                                                                                                                                   operation
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   process
                                                                                                                                                                                   or
                                                                                                                                                                                   otherwise.
                                                                                                                                                                                   With
                                                                                                                                                                                   respect
                                                                                                                                                                                   to
                                                                                                                                                                                   any
                                                                                                                                                                                   third
                                                                                                                                                                                   party
                                                                                                                                                                                   claim
                                                                                                                                                                                   for
                                                                                                                                                                                   infringement
                                                                                                                                                                                   covered
                                                                                                                                                                                   by
                                                                                                                                                                                   the
                                                                                                                                                                                   patent
                                                                                                                                                                                   infringement
                                                                                                                                                                                   warranty
                                                                                                                                                                                   in
                                                                                                                                                                                   this
                                                                                                                                                                                   Article,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   agrees
                                                                                                                                                                                   to
                                                                                                                                                                                   defend
                                                                                                                                                                                   Buyer,
                                                                                                                                                                                   at
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   cost
                                                                                                                                                                                   and
                                                                                                                                                                                   expense,
                                                                                                                                                                                   and
                                                                                                                                                                                   to

    	9

    	

    
Confidential Treatment Requested by AdvanSix Inc.

 

indemnify Buyer in connection
with any settlement with respect to such claim or any final judgment awarded by a court of competent jurisdiction from which no
appeal can be or has been taken, provided that: (1) Buyer gives Seller prompt written notice of any such claim; (2) Buyer tenders
the defense of the claim to Seller and gives Seller sole and full control of the defense (including the appointment and supervision
of legal counsel), settlement, appeal or other disposition of the claim; (3) Buyer provides reasonable assistance and cooperation
to Seller in the investigation, defense and disposition of such claim; and (4) Buyer does not settle the claim without Seller’s
prior written consent, not to be unreasonably withheld. Notwithstanding anything in this Agreement to the contrary including Article
5.5, in no event shall Honeywell’s liability under this Article 5.1(b) exceed the purchase price of the Product giving rise
to such claim.

 

5.2.      General Representations
and Warranties.

 

		(a)	Buyer
                                                                                                                                                                                   represents
                                                                                                                                                                                   and
                                                                                                                                                                                   warrants
                                                                                                                                                                                   to
                                                                                                                                                                                   Seller
                                                                                                                                                                                   that
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   owns
                                                                                                                                                                                   all
                                                                                                                                                                                   right,
                                                                                                                                                                                   title
                                                                                                                                                                                   and
                                                                                                                                                                                   interest
                                                                                                                                                                                   in
                                                                                                                                                                                   and
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   Washwater,
                                                                                                                                                                                   and
                                                                                                                                                                                   the
                                                                                                                                                                                   Washwater
                                                                                                                                                                                   will,
                                                                                                                                                                                   upon
                                                                                                                                                                                   sale
                                                                                                                                                                                   to
                                                                                                                                                                                   Seller,
                                                                                                                                                                                   be
                                                                                                                                                                                   free
                                                                                                                                                                                   and
                                                                                                                                                                                   clear
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   liens
                                                                                                                                                                                   or
                                                                                                                                                                                   other
                                                                                                                                                                                   encumbrances.

 

		(b)	Seller
                                                                                                                                                                                   represents
                                                                                                                                                                                   and
                                                                                                                                                                                   warrants
                                                                                                                                                                                   to
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   as
                                                                                                                                                                                   follows:

 

		(i)	Title.
                                                                                                                                                                                   Seller
                                                                                                                                                                                   owns
                                                                                                                                                                                   all
                                                                                                                                                                                   right,
                                                                                                                                                                                   title
                                                                                                                                                                                   and
                                                                                                                                                                                   interest
                                                                                                                                                                                   in
                                                                                                                                                                                   and
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   Product,
                                                                                                                                                                                   and
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   will,
                                                                                                                                                                                   upon
                                                                                                                                                                                   sale
                                                                                                                                                                                   to
                                                                                                                                                                                   Buyer,
                                                                                                                                                                                   be
                                                                                                                                                                                   free
                                                                                                                                                                                   and
                                                                                                                                                                                   clear
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   liens
                                                                                                                                                                                   or
                                                                                                                                                                                   other
                                                                                                                                                                                   encumbrances.

 

		(ii)	Compliance
                                                                                                                                                                                    with
                                                                                                                                                                                    Law.
                                                                                                                                                                                    Seller
                                                                                                                                                                                    is,
                                                                                                                                                                                    and
                                                                                                                                                                                    at
                                                                                                                                                                                    all
                                                                                                                                                                                    times
                                                                                                                                                                                    during
                                                                                                                                                                                    the
                                                                                                                                                                                    term
                                                                                                                                                                                    of
                                                                                                                                                                                    this
                                                                                                                                                                                    Agreement
                                                                                                                                                                                    will
                                                                                                                                                                                    be,
                                                                                                                                                                                    in
                                                                                                                                                                                    substantial
                                                                                                                                                                                    compliance
                                                                                                                                                                                    with
                                                                                                                                                                                    all
                                                                                                                                                                                    applicable
                                                                                                                                                                                    federal,
                                                                                                                                                                                    state
                                                                                                                                                                                    and
                                                                                                                                                                                    local
                                                                                                                                                                                    laws,
                                                                                                                                                                                    rules
                                                                                                                                                                                    and
                                                                                                                                                                                    regulations,
                                                                                                                                                                                    including,
                                                                                                                                                                                    without
                                                                                                                                                                                    limitation,
                                                                                                                                                                                    environmental
                                                                                                                                                                                    laws,
                                                                                                                                                                                    equal
                                                                                                                                                                                    employment
                                                                                                                                                                                    opportunities
                                                                                                                                                                                    laws,
                                                                                                                                                                                    wage
                                                                                                                                                                                    and
                                                                                                                                                                                    hour
                                                                                                                                                                                    laws,
                                                                                                                                                                                    OSHA,
                                                                                                                                                                                    and
                                                                                                                                                                                    any
                                                                                                                                                                                    other
                                                                                                                                                                                    laws
                                                                                                                                                                                    or
                                                                                                                                                                                    regulations
                                                                                                                                                                                    pertaining
                                                                                                                                                                                    to
                                                                                                                                                                                    employment,
                                                                                                                                                                                    workplace
                                                                                                                                                                                    safety
                                                                                                                                                                                    or
                                                                                                                                                                                    the
                                                                                                                                                                                    environment.
                                                                                                                                                                                    Any
                                                                                                                                                                                    Product
                                                                                                                                                                                    provided
                                                                                                                                                                                    pursuant
                                                                                                                                                                                    to
                                                                                                                                                                                    this
                                                                                                                                                                                    Agreement,
                                                                                                                                                                                    and
                                                                                                                                                                                    the
                                                                                                                                                                                    manufacture
                                                                                                                                                                                    of
                                                                                                                                                                                    such
                                                                                                                                                                                    Product,
                                                                                                                                                                                    will
                                                                                                                                                                                    substantially
                                                                                                                                                                                    comply
                                                                                                                                                                                    with
                                                                                                                                                                                    all
                                                                                                                                                                                    such
                                                                                                                                                                                    laws,
                                                                                                                                                                                    rules
                                                                                                                                                                                    and
                                                                                                                                                                                    regulations
                                                                                                                                                                                    as
                                                                                                                                                                                    are
                                                                                                                                                                                    in
                                                                                                                                                                                    effect
                                                                                                                                                                                    at
                                                                                                                                                                                    the
                                                                                                                                                                                    time
                                                                                                                                                                                    that
                                                                                                                                                                                    such
                                                                                                                                                                                    Product
                                                                                                                                                                                    is
                                                                                                                                                                                    manufactured
                                                                                                                                                                                    by
                                                                                                                                                                                    Seller.

 

		(iii)	Supply
                                                                                                                                                                                     of
                                                                                                                                                                                     Product.
                                                                                                                                                                                     Seller
                                                                                                                                                                                     is,
                                                                                                                                                                                     and
                                                                                                                                                                                     throughout
                                                                                                                                                                                     the
                                                                                                                                                                                     Term
                                                                                                                                                                                     will
                                                                                                                                                                                     be,
                                                                                                                                                                                     capable
                                                                                                                                                                                     of
                                                                                                                                                                                     providing
                                                                                                                                                                                     Buyer
                                                                                                                                                                                     with
                                                                                                                                                                                     sufficient
                                                                                                                                                                                     quantities
                                                                                                                                                                                     of
                                                                                                                                                                                     Product
                                                                                                                                                                                     pursuant
                                                                                                                                                                                     to
                                                                                                                                                                                     this
                                                                                                                                                                                     Agreement
                                                                                                                                                                                     to
                                                                                                                                                                                     enable
                                                                                                                                                                                     Buyer
                                                                                                                                                                                     to
                                                                                                                                                                                     satisfy
                                                                                                                                                                                     its
                                                                                                                                                                                     Minimum
                                                                                                                                                                                     Amount
                                                                                                                                                                                     purchase
                                                                                                                                                                                     obligations
                                                                                                                                                                                     pursuant
                                                                                                                                                                                     to
                                                                                                                                                                                     this
                                                                                                                                                                                     Agreement.

 

		(c)	Certificate
                                                                                                                                                                                   of
                                                                                                                                                                                   Analysis.
                                                                                                                                                                                   Seller
                                                                                                                                                                                   will
                                                                                                                                                                                   provide
                                                                                                                                                                                   a
                                                                                                                                                                                   Certificate
                                                                                                                                                                                   of
                                                                                                                                                                                   Analysis,
                                                                                                                                                                                   in
                                                                                                                                                                                   a
                                                                                                                                                                                   mutually
                                                                                                                                                                                   agreed
                                                                                                                                                                                   form,
                                                                                                                                                                                   setting
                                                                                                                                                                                   forth
                                                                                                                                                                                   a
                                                                                                                                                                                   compositional
                                                                                                                                                                                   analysis
                                                                                                                                                                                   for
                                                                                                                                                                                   a
                                                                                                                                                                                   sampling
                                                                                                                                                                                   of
                                                                                                                                                                                   deliveries
                                                                                                                                                                                   of
                                                                                                                                                                                   Product
                                                                                                                                                                                   hereunder
                                                                                                                                                                                   at
                                                                                                                                                                                   the
                                                                                                                                                                                   point
                                                                                                                                                                                   of
                                                                                                                                                                                   loading.

    	10

    	

    
Confidential Treatment Requested by AdvanSix Inc.

 

5.3.      Covenants
and Agreements. Seller covenants and agrees to and with the Buyer as follows:

 

		(a)	Insurance.
                                                                                                                                                                                   With
                                                                                                                                                                                   respect
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   furnished
                                                                                                                                                                                   under
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   will
                                                                                                                                                                                   at
                                                                                                                                                                                   all
                                                                                                                                                                                   times
                                                                                                                                                                                   during
                                                                                                                                                                                   the
                                                                                                                                                                                   Term,
                                                                                                                                                                                   maintain
                                                                                                                                                                                   and
                                                                                                                                                                                   keep
                                                                                                                                                                                   in
                                                                                                                                                                                   full
                                                                                                                                                                                   force
                                                                                                                                                                                   and
                                                                                                                                                                                   effect
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   and
                                                                                                                                                                                   customary
                                                                                                                                                                                   insurance
                                                                                                                                                                                   (including,
                                                                                                                                                                                   for
                                                                                                                                                                                   such
                                                                                                                                                                                   purposes,
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   self-insurance)
                                                                                                                                                                                   with
                                                                                                                                                                                   respect
                                                                                                                                                                                   to
                                                                                                                                                                                   its
                                                                                                                                                                                   workers,
                                                                                                                                                                                   equipment
                                                                                                                                                                                   and
                                                                                                                                                                                   activities
                                                                                                                                                                                   in
                                                                                                                                                                                   connection
                                                                                                                                                                                   with
                                                                                                                                                                                   the
                                                                                                                                                                                   manufacture,
                                                                                                                                                                                   production,
                                                                                                                                                                                   distribution
                                                                                                                                                                                   and
                                                                                                                                                                                   supply
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   Product.

 

		(b)	Testing
                                                                                                                                                                                   and
                                                                                                                                                                                   Quality
                                                                                                                                                                                   Control.
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   have
                                                                                                                                                                                   the
                                                                                                                                                                                   right
                                                                                                                                                                                   at
                                                                                                                                                                                   all
                                                                                                                                                                                   times
                                                                                                                                                                                   during
                                                                                                                                                                                   the
                                                                                                                                                                                   performance
                                                                                                                                                                                   of
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement
                                                                                                                                                                                   to
                                                                                                                                                                                   request
                                                                                                                                                                                   that
                                                                                                                                                                                   Seller
                                                                                                                                                                                   perform
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   tests
                                                                                                                                                                                   and
                                                                                                                                                                                   inspections
                                                                                                                                                                                   from
                                                                                                                                                                                   time
                                                                                                                                                                                   to
                                                                                                                                                                                   time
                                                                                                                                                                                   to
                                                                                                                                                                                   assure
                                                                                                                                                                                   that
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   conforms
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   Warranty
                                                                                                                                                                                   and
                                                                                                                                                                                   applicable
                                                                                                                                                                                   legal
                                                                                                                                                                                   requirements.
                                                                                                                                                                                   From
                                                                                                                                                                                   time
                                                                                                                                                                                   to
                                                                                                                                                                                   time,
                                                                                                                                                                                   upon
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   request,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   will
                                                                                                                                                                                   provide
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   with
                                                                                                                                                                                   such
                                                                                                                                                                                   data,
                                                                                                                                                                                   specifications,
                                                                                                                                                                                   test
                                                                                                                                                                                   results,
                                                                                                                                                                                   test
                                                                                                                                                                                   methodologies,
                                                                                                                                                                                   sampling
                                                                                                                                                                                   schedules,
                                                                                                                                                                                   and
                                                                                                                                                                                   other
                                                                                                                                                                                   documents
                                                                                                                                                                                   and
                                                                                                                                                                                   information
                                                                                                                                                                                   as
                                                                                                                                                                                   may
                                                                                                                                                                                   enable
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   to
                                                                                                                                                                                   assure
                                                                                                                                                                                   that
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   conforms
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   Warranty
                                                                                                                                                                                   and
                                                                                                                                                                                   applicable
                                                                                                                                                                                   legal
                                                                                                                                                                                   requirements.
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   make
                                                                                                                                                                                   the
                                                                                                                                                                                   results
                                                                                                                                                                                   of
                                                                                                                                                                                   all
                                                                                                                                                                                   such
                                                                                                                                                                                   tests
                                                                                                                                                                                   and
                                                                                                                                                                                   inspections
                                                                                                                                                                                   available
                                                                                                                                                                                   to
                                                                                                                                                                                   Seller
                                                                                                                                                                                   at
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   request.
                                                                                                                                                                                   Both
                                                                                                                                                                                   parties
                                                                                                                                                                                   acknowledge
                                                                                                                                                                                   that
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   ability
                                                                                                                                                                                   to
                                                                                                                                                                                   request
                                                                                                                                                                                   tests
                                                                                                                                                                                   for
                                                                                                                                                                                   certain
                                                                                                                                                                                   aspects
                                                                                                                                                                                   of
                                                                                                                                                                                   compliance
                                                                                                                                                                                   does
                                                                                                                                                                                   not
                                                                                                                                                                                   release
                                                                                                                                                                                   or
                                                                                                                                                                                   diminish
                                                                                                                                                                                   in
                                                                                                                                                                                   any
                                                                                                                                                                                   way
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   obligations
                                                                                                                                                                                   under
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   Warranty
                                                                                                                                                                                   or
                                                                                                                                                                                   applicable
                                                                                                                                                                                   legal
                                                                                                                                                                                   requirements.

 

		(c)	Seller
                                                                                                                                                                                   will
                                                                                                                                                                                   provide
                                                                                                                                                                                   a
                                                                                                                                                                                   technically-competent
                                                                                                                                                                                   coordinator
                                                                                                                                                                                   to
                                                                                                                                                                                   communicate
                                                                                                                                                                                   and
                                                                                                                                                                                   coordinate
                                                                                                                                                                                   issues
                                                                                                                                                                                   between
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   factories
                                                                                                                                                                                   and
                                                                                                                                                                                   Buyer.
                                                                                                                                                                                   Such
                                                                                                                                                                                   coordinator
                                                                                                                                                                                   will
                                                                                                                                                                                   help
                                                                                                                                                                                   resolve
                                                                                                                                                                                   technical
                                                                                                                                                                                   issues,
                                                                                                                                                                                   Product
                                                                                                                                                                                   questions,
                                                                                                                                                                                   and
                                                                                                                                                                                   other
                                                                                                                                                                                   similar
                                                                                                                                                                                   issues
                                                                                                                                                                                   relating
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   use
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   in
                                                                                                                                                                                   any
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   product
                                                                                                                                                                                   using
                                                                                                                                                                                   the
                                                                                                                                                                                   Product.
                                                                                                                                                                                   The
                                                                                                                                                                                   parties
                                                                                                                                                                                   agree
                                                                                                                                                                                   to
                                                                                                                                                                                   hold
                                                                                                                                                                                   monthly
                                                                                                                                                                                   meetings
                                                                                                                                                                                   with
                                                                                                                                                                                   each
                                                                                                                                                                                   other,
                                                                                                                                                                                   including
                                                                                                                                                                                   several
                                                                                                                                                                                   technically-relevant
                                                                                                                                                                                   people
                                                                                                                                                                                   from
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   Chesterfield
                                                                                                                                                                                   plant
                                                                                                                                                                                   and
                                                                                                                                                                                   from
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   Hopewell
                                                                                                                                                                                   plant.
                                                                                                                                                                                   The
                                                                                                                                                                                   location
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   meetings
                                                                                                                                                                                   will
                                                                                                                                                                                   alternate
                                                                                                                                                                                   between
                                                                                                                                                                                   a
                                                                                                                                                                                   Seller
                                                                                                                                                                                   site
                                                                                                                                                                                   and
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   site.
                                                                                                                                                                                   During
                                                                                                                                                                                   such
                                                                                                                                                                                   meetings,
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   shall
                                                                                                                                                                                   review
                                                                                                                                                                                   data
                                                                                                                                                                                   and
                                                                                                                                                                                   performance,
                                                                                                                                                                                   set
                                                                                                                                                                                   action
                                                                                                                                                                                   plans,
                                                                                                                                                                                   and
                                                                                                                                                                                   evaluate
                                                                                                                                                                                   improvement
                                                                                                                                                                                   opportunities
                                                                                                                                                                                   by
                                                                                                                                                                                   jointly
                                                                                                                                                                                   looking
                                                                                                                                                                                   at
                                                                                                                                                                                   Seller
                                                                                                                                                                                   and
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   processes.
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   run
                                                                                                                                                                                   sample
                                                                                                                                                                                   runs
                                                                                                                                                                                   related
                                                                                                                                                                                   to
                                                                                                                                                                                   such
                                                                                                                                                                                   improvement
                                                                                                                                                                                   opportunities
                                                                                                                                                                                   at
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   request;
                                                                                                                                                                                   provided,
                                                                                                                                                                                   however,
                                                                                                                                                                                   if
                                                                                                                                                                                   such
                                                                                                                                                                                   samples
                                                                                                                                                                                   are
                                                                                                                                                                                   in
                                                                                                                                                                                   quantities
                                                                                                                                                                                   larger
                                                                                                                                                                                   than
                                                                                                                                                                                   one
                                                                                                                                                                                   hundred
                                                                                                                                                                                   pounds
                                                                                                                                                                                   (100
                                                                                                                                                                                   lbs.)
                                                                                                                                                                                   per
                                                                                                                                                                                   sample,
                                                                                                                                                                                   then
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   shall
                                                                                                                                                                                   pay
                                                                                                                                                                                   for
                                                                                                                                                                                   such
                                                                                                                                                                                   samples.

 

		(d)	The
                                                                                                                                                                                   parties
                                                                                                                                                                                   will
                                                                                                                                                                                   record
                                                                                                                                                                                   any
                                                                                                                                                                                   modifications
                                                                                                                                                                                   agreed
                                                                                                                                                                                   to
                                                                                                                                                                                   with
                                                                                                                                                                                   respect
                                                                                                                                                                                   to
                                                                                                                                                                                   a
                                                                                                                                                                                   Product,
                                                                                                                                                                                   pursuant
                                                                                                                                                                                   to
                                                                                                                                                                                   an
                                                                                                                                                                                   improvement
                                                                                                                                                                                   process
                                                                                                                                                                                   referred
                                                                                                                                                                                   to
                                                                                                                                                                                   in
                                                                                                                                                                                   Article
                                                                                                                                                                                   5.3(c)
                                                                                                                                                                                   above
                                                                                                                                                                                   in
                                                                                                                                                                                   writing
                                                                                                                                                                                   and,
                                                                                                                                                                                   if
                                                                                                                                                                                   necessary,
                                                                                                                                                                                   will
                                                                                                                                                                                   amend
                                                                                                                                                                                   the
                                                                                                                                                                                   Specifications
                                                                                                                                                                                   set
                                                                                                                                                                                   forth
                                                                                                                                                                                   herein
                                                                                                                                                                                   and
                                                                                                                                                                                   in
                                                                                                                                                                                   the
                                                                                                                                                                                   Exhibits
                                                                                                                                                                                   to
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement
                                                                                                                                                                                   accordingly.
                                                                                                                                                                                   To
                                                                                                                                                                                   the
                                                                                                                                                                                   extent
                                                                                                                                                                                   that
                                                                                                                                                                                   such
                                                                                                                                                                                   modifications
                                                                                                                                                                                   result
                                                                                                                                                                                   in
                                                                                                                                                                                   any
                                                                                                                                                                                   cost
                                                                                                                                                                                   increases
                                                                                                                                                                                   or
                                                                                                                                                                                   decreases
                                                                                                                                                                                   to
                                                                                                                                                                                   Seller,
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   agree
                                                                                                                                                                                   to
                                                                                                                                                                                   negotiate
                                                                                                                                                                                   in
                                                                                                                                                                                   good
                                                                                                                                                                                   faith
                                                                                                                                                                                   to
                                                                                                                                                                                   determine
                                                                                                                                                                                   any
                                                                                                                                                                                   appropriate
                                                                                                                                                                                   price
                                                                                                                                                                                   adjustments
                                                                                                                                                                                   for
                                                                                                                                                                                   the
                                                                                                                                                                                   Product.

    	11

    	

    
Confidential Treatment Requested by AdvanSix Inc.

 

		(e)	Notice
                                                                                                                                                                                   of
                                                                                                                                                                                   Delay.
                                                                                                                                                                                   Unless
                                                                                                                                                                                   otherwise
                                                                                                                                                                                   agreed
                                                                                                                                                                                   by
                                                                                                                                                                                   the
                                                                                                                                                                                   parties,
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   for
                                                                                                                                                                                   deliveries
                                                                                                                                                                                   related
                                                                                                                                                                                   to
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement.
                                                                                                                                                                                   At
                                                                                                                                                                                   the
                                                                                                                                                                                   outset
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   delay
                                                                                                                                                                                   from
                                                                                                                                                                                   any
                                                                                                                                                                                   cause,
                                                                                                                                                                                   including
                                                                                                                                                                                   Force
                                                                                                                                                                                   Majeure,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   immediately
                                                                                                                                                                                   notify
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   in
                                                                                                                                                                                   writing
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   delay
                                                                                                                                                                                   or
                                                                                                                                                                                   anticipated
                                                                                                                                                                                   delay
                                                                                                                                                                                   and
                                                                                                                                                                                   shall
                                                                                                                                                                                   undertake
                                                                                                                                                                                   to
                                                                                                                                                                                   shorten
                                                                                                                                                                                   the
                                                                                                                                                                                   delay
                                                                                                                                                                                   by
                                                                                                                                                                                   all
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   means.

 

		(f)	Certificate
                                                                                                                                                                                   of
                                                                                                                                                                                   Origin.

 

		(i)	For
                                                                                                                                                                                   each
                                                                                                                                                                                   Product
                                                                                                                                                                                   that
                                                                                                                                                                                   qualifies
                                                                                                                                                                                   for
                                                                                                                                                                                   preferential
                                                                                                                                                                                   tariff
                                                                                                                                                                                   rates
                                                                                                                                                                                   based
                                                                                                                                                                                   on
                                                                                                                                                                                   originating
                                                                                                                                                                                   status
                                                                                                                                                                                   under
                                                                                                                                                                                   a
                                                                                                                                                                                   bilateral
                                                                                                                                                                                   or
                                                                                                                                                                                   multilateral
                                                                                                                                                                                   trade
                                                                                                                                                                                   treaty
                                                                                                                                                                                   (including,
                                                                                                                                                                                   without
                                                                                                                                                                                   limitation,
                                                                                                                                                                                   under
                                                                                                                                                                                   the
                                                                                                                                                                                   North
                                                                                                                                                                                   American
                                                                                                                                                                                   Free
                                                                                                                                                                                   Trade
                                                                                                                                                                                   Agreement
                                                                                                                                                                                   (“NAFTA”),
                                                                                                                                                                                   the
                                                                                                                                                                                   Central
                                                                                                                                                                                   American
                                                                                                                                                                                   Free
                                                                                                                                                                                   Trade
                                                                                                                                                                                   Agreement
                                                                                                                                                                                   (“CAFTA”)
                                                                                                                                                                                   or
                                                                                                                                                                                   any
                                                                                                                                                                                   other
                                                                                                                                                                                   bilateral
                                                                                                                                                                                   or
                                                                                                                                                                                   multilateral
                                                                                                                                                                                   trade
                                                                                                                                                                                   treaty
                                                                                                                                                                                   that
                                                                                                                                                                                   may
                                                                                                                                                                                   come
                                                                                                                                                                                   into
                                                                                                                                                                                   existence
                                                                                                                                                                                   during
                                                                                                                                                                                   the
                                                                                                                                                                                   Term
                                                                                                                                                                                   of
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement),
                                                                                                                                                                                   Seller
                                                                                                                                                                                   agrees,
                                                                                                                                                                                   at
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   request,
                                                                                                                                                                                   to
                                                                                                                                                                                   provide
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   with
                                                                                                                                                                                   a
                                                                                                                                                                                   Certificate
                                                                                                                                                                                   of
                                                                                                                                                                                   Origin
                                                                                                                                                                                   to
                                                                                                                                                                                   enable
                                                                                                                                                                                   such
                                                                                                                                                                                   Product
                                                                                                                                                                                   to
                                                                                                                                                                                   qualify
                                                                                                                                                                                   for
                                                                                                                                                                                   such
                                                                                                                                                                                   preferential
                                                                                                                                                                                   tariff
                                                                                                                                                                                   rate.
                                                                                                                                                                                   Upon
                                                                                                                                                                                   request
                                                                                                                                                                                   from
                                                                                                                                                                                   Buyer,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   also
                                                                                                                                                                                   provide
                                                                                                                                                                                   to
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   copies
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   vendors’
                                                                                                                                                                                   certificates
                                                                                                                                                                                   of
                                                                                                                                                                                   origin
                                                                                                                                                                                   upon
                                                                                                                                                                                   which
                                                                                                                                                                                   any
                                                                                                                                                                                   Certificate
                                                                                                                                                                                   of
                                                                                                                                                                                   Origin
                                                                                                                                                                                   provided
                                                                                                                                                                                   by
                                                                                                                                                                                   Seller
                                                                                                                                                                                   is
                                                                                                                                                                                   based.

 

		(ii)	Seller
                                                                                                                                                                                    shall
                                                                                                                                                                                    provide
                                                                                                                                                                                    the
                                                                                                                                                                                    Certificate
                                                                                                                                                                                    of
                                                                                                                                                                                    Origin
                                                                                                                                                                                    with
                                                                                                                                                                                    respect
                                                                                                                                                                                    to
                                                                                                                                                                                    a
                                                                                                                                                                                    Product
                                                                                                                                                                                    prior
                                                                                                                                                                                    to
                                                                                                                                                                                    first
                                                                                                                                                                                    shipment
                                                                                                                                                                                    of
                                                                                                                                                                                    such
                                                                                                                                                                                    Product
                                                                                                                                                                                    to
                                                                                                                                                                                    Buyer.
                                                                                                                                                                                    If
                                                                                                                                                                                    Seller
                                                                                                                                                                                    cannot
                                                                                                                                                                                    provide
                                                                                                                                                                                    a
                                                                                                                                                                                    Certificate
                                                                                                                                                                                    of
                                                                                                                                                                                    Origin
                                                                                                                                                                                    prior
                                                                                                                                                                                    to
                                                                                                                                                                                    the
                                                                                                                                                                                    first
                                                                                                                                                                                    shipment
                                                                                                                                                                                    due
                                                                                                                                                                                    to
                                                                                                                                                                                    a
                                                                                                                                                                                    vendor’s
                                                                                                                                                                                    failure
                                                                                                                                                                                    to
                                                                                                                                                                                    provide
                                                                                                                                                                                    a
                                                                                                                                                                                    Certificate
                                                                                                                                                                                    of
                                                                                                                                                                                    Origin,
                                                                                                                                                                                    Seller
                                                                                                                                                                                    shall
                                                                                                                                                                                    so
                                                                                                                                                                                    notify
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    (in
                                                                                                                                                                                    accordance
                                                                                                                                                                                    with
                                                                                                                                                                                    Article
                                                                                                                                                                                    9.1)
                                                                                                                                                                                    whereupon
                                                                                                                                                                                    Seller
                                                                                                                                                                                    shall
                                                                                                                                                                                    have
                                                                                                                                                                                    no
                                                                                                                                                                                    liability
                                                                                                                                                                                    to
                                                                                                                                                                                    Buyer,
                                                                                                                                                                                    but
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    shall
                                                                                                                                                                                    have
                                                                                                                                                                                    the
                                                                                                                                                                                    option
                                                                                                                                                                                    to
                                                                                                                                                                                    elect
                                                                                                                                                                                    to
                                                                                                                                                                                    have
                                                                                                                                                                                    the
                                                                                                                                                                                    shipment
                                                                                                                                                                                    shipped
                                                                                                                                                                                    without
                                                                                                                                                                                    a
                                                                                                                                                                                    Certificate
                                                                                                                                                                                    of
                                                                                                                                                                                    Origin
                                                                                                                                                                                    or
                                                                                                                                                                                    to
                                                                                                                                                                                    delay
                                                                                                                                                                                    (for
                                                                                                                                                                                    a
                                                                                                                                                                                    reasonable
                                                                                                                                                                                    time,
                                                                                                                                                                                    taking
                                                                                                                                                                                    into
                                                                                                                                                                                    account
                                                                                                                                                                                    Seller’s
                                                                                                                                                                                    inventory
                                                                                                                                                                                    storage
                                                                                                                                                                                    capability)
                                                                                                                                                                                    the
                                                                                                                                                                                    shipment
                                                                                                                                                                                    until
                                                                                                                                                                                    a
                                                                                                                                                                                    Certificate
                                                                                                                                                                                    of
                                                                                                                                                                                    Origin
                                                                                                                                                                                    can
                                                                                                                                                                                    be
                                                                                                                                                                                    obtained.
                                                                                                                                                                                    Notwithstanding
                                                                                                                                                                                    the
                                                                                                                                                                                    foregoing,
                                                                                                                                                                                    unless
                                                                                                                                                                                    Seller
                                                                                                                                                                                    receives
                                                                                                                                                                                    written
                                                                                                                                                                                    notice
                                                                                                                                                                                    from
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    to
                                                                                                                                                                                    the
                                                                                                                                                                                    contrary,
                                                                                                                                                                                    Seller
                                                                                                                                                                                    shall
                                                                                                                                                                                    use
                                                                                                                                                                                    all
                                                                                                                                                                                    commercially
                                                                                                                                                                                    reasonable
                                                                                                                                                                                    efforts
                                                                                                                                                                                    to
                                                                                                                                                                                    provide
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    with
                                                                                                                                                                                    a
                                                                                                                                                                                    qualifying
                                                                                                                                                                                    Certificate
                                                                                                                                                                                    of
                                                                                                                                                                                    Origin
                                                                                                                                                                                    as
                                                                                                                                                                                    soon
                                                                                                                                                                                    as
                                                                                                                                                                                    possible.

 

		(iii)	Seller
                                                                                                                                                                                     may
                                                                                                                                                                                     revoke
                                                                                                                                                                                     a
                                                                                                                                                                                     Certificate
                                                                                                                                                                                     of
                                                                                                                                                                                     Origin
                                                                                                                                                                                     in
                                                                                                                                                                                     the
                                                                                                                                                                                     event
                                                                                                                                                                                     that
                                                                                                                                                                                     a
                                                                                                                                                                                     Product
                                                                                                                                                                                     covered
                                                                                                                                                                                     by
                                                                                                                                                                                     a
                                                                                                                                                                                     Certificate
                                                                                                                                                                                     of
                                                                                                                                                                                     Origin
                                                                                                                                                                                     issued
                                                                                                                                                                                     by
                                                                                                                                                                                     Seller
                                                                                                                                                                                     will
                                                                                                                                                                                     no
                                                                                                                                                                                     longer
                                                                                                                                                                                     qualify
                                                                                                                                                                                     for
                                                                                                                                                                                     originating
                                                                                                                                                                                     status
                                                                                                                                                                                     under
                                                                                                                                                                                     the
                                                                                                                                                                                     applicable
                                                                                                                                                                                     rules
                                                                                                                                                                                     of
                                                                                                                                                                                     origin.
                                                                                                                                                                                     Any
                                                                                                                                                                                     such
                                                                                                                                                                                     revocation
                                                                                                                                                                                     shall
                                                                                                                                                                                     be
                                                                                                                                                                                     made
                                                                                                                                                                                     in
                                                                                                                                                                                     writing
                                                                                                                                                                                     to
                                                                                                                                                                                     Buyer
                                                                                                                                                                                     (in
                                                                                                                                                                                     accordance
                                                                                                                                                                                     with
                                                                                                                                                                                     Article
                                                                                                                                                                                     9.1)
                                                                                                                                                                                     at
                                                                                                                                                                                     least
                                                                                                                                                                                     sixty
                                                                                                                                                                                     (60)
                                                                                                                                                                                     days
                                                                                                                                                                                     prior
                                                                                                                                                                                     to
                                                                                                                                                                                     the
                                                                                                                                                                                     first
                                                                                                                                                                                     shipment
                                                                                                                                                                                     of
                                                                                                                                                                                     such
                                                                                                                                                                                     non-qualifying
                                                                                                                                                                                     Product
                                                                                                                                                                                     to
                                                                                                                                                                                     Buyer.
                                                                                                                                                                                     Notwithstanding
                                                                                                                                                                                     the
                                                                                                                                                                                     foregoing,
                                                                                                                                                                                     unless
                                                                                                                                                                                     Seller
                                                                                                                                                                                     receives
                                                                                                                                                                                     written
                                                                                                                                                                                     notice
                                                                                                                                                                                     from
                                                                                                                                                                                     Buyer
                                                                                                                                                                                     to
                                                                                                                                                                                     the
                                                                                                                                                                                     contrary,
                                                                                                                                                                                     Seller
                                                                                                                                                                                     shall
                                                                                                                                                                                     use
                                                                                                                                                                                     all
                                                                                                                                                                                     commercially
                                                                                                                                                                                     reasonable
                                                                                                                                                                                     efforts
                                                                                                                                                                                     to
                                                                                                                                                                                     provide
                                                                                                                                                                                     Buyer
                                                                                                                                                                                     with
                                                                                                                                                                                     a
                                                                                                                                                                                     qualifying
                                                                                                                                                                                     Certificate
                                                                                                                                                                                     of
                                                                                                                                                                                     Origin
                                                                                                                                                                                     as
                                                                                                                                                                                     soon
                                                                                                                                                                                     as
                                                                                                                                                                                     possible.

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Confidential Treatment Requested by AdvanSix Inc.

 

		(iv)	Seller
                                                                                                                                                                                    agrees
                                                                                                                                                                                    to
                                                                                                                                                                                    [
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    ]
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    with
                                                                                                                                                                                    respect
                                                                                                                                                                                    to
                                                                                                                                                                                    all
                                                                                                                                                                                    expenditures
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    incurs
                                                                                                                                                                                    (including,
                                                                                                                                                                                    but
                                                                                                                                                                                    not
                                                                                                                                                                                    limited
                                                                                                                                                                                    to,
                                                                                                                                                                                    applicable
                                                                                                                                                                                    foreign
                                                                                                                                                                                    jurisdiction
                                                                                                                                                                                    customs
                                                                                                                                                                                    duties,
                                                                                                                                                                                    customs
                                                                                                                                                                                    penalties,
                                                                                                                                                                                    taxes,
                                                                                                                                                                                    interest,
                                                                                                                                                                                    and
                                                                                                                                                                                    reasonable
                                                                                                                                                                                    legal
                                                                                                                                                                                    and
                                                                                                                                                                                    other
                                                                                                                                                                                    professional
                                                                                                                                                                                    fees,
                                                                                                                                                                                    including
                                                                                                                                                                                    reimbursement
                                                                                                                                                                                    of
                                                                                                                                                                                    same
                                                                                                                                                                                    by
                                                                                                                                                                                    Buyer
                                                                                                                                                                                    to
                                                                                                                                                                                    its
                                                                                                                                                                                    customers)
                                                                                                                                                                                    arising
                                                                                                                                                                                    solely
                                                                                                                                                                                    and
                                                                                                                                                                                    directly
                                                                                                                                                                                    as
                                                                                                                                                                                    a
                                                                                                                                                                                    result
                                                                                                                                                                                    of
                                                                                                                                                                                    [
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    ];
                                                                                                                                                                                    provided,
                                                                                                                                                                                    however,
                                                                                                                                                                                    Seller’s
                                                                                                                                                                                    obligation
                                                                                                                                                                                    [
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    ]
                                                                                                                                                                                    under
                                                                                                                                                                                    this
                                                                                                                                                                                    Article
                                                                                                                                                                                    5.3(f)
                                                                                                                                                                                    shall
                                                                                                                                                                                    not
                                                                                                                                                                                    apply
                                                                                                                                                                                    to
                                                                                                                                                                                    [
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    *
                                                                                                                                                                                    ].

 

5.4.      No Other
Warranties.      EXCEPT FOR THE PRODUCT WARRANTY EXPRESSLY PROVIDED ABOVE IN ARTICLE 5.1, WITH RESPECT TO EACH SALE OF PRODUCT,
SELLER MAKES NO OTHER REPRESENTATION, GUARANTEE OR WARRANTY, EXPRESS OR IMPLIED, OF ANY KIND OR NATURE REGARDING THE PRODUCT AND,
IN PARTICULAR AND WITHOUT LIMITATION, SELLER EXPRESSLY DISCLAIMS ANY REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, OF MERCHANTABILITY
OR FITNESS FOR A PARTICULAR USE OR PURPOSE, WHETHER USED SINGLY OR IN COMBINATION WITH OTHER SUBSTANCES OR IN ANY PROCESS OR OTHERWISE.
WITH RESPECT TO EACH SALE OF THE WASHWATER PROVIDED BY BUYER TO SELLER, BUYER MAKES NO REPRESENTATION, GUARANTEE OR WARRANTY,
EXPRESS OR IMPLIED, OF ANY KIND OR NATURE REGARDING THE WASHWATER AND, IN PARTICULAR AND WITHOUT LIMITATION, BUYER EXPRESSLY DISCLAIMS
ANY REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR USE OR PURPOSE, WHETHER USED
SINGLY OR IN COMBINATION WITH OTHER SUBSTANCES OR IN ANY PROCESS OR OTHERWISE.

 

5.5.      EXCEPT AS OTHERWISE
PROVIDED IN THIS AGREEMENT, [ * * * ], IN NO CIRCUMSTANCE SHALL SELLER OR BUYER BE LIABLE UNDER THIS AGREEMENT FOR DAMAGES FOR
ANY LOSS OF USE, INTERRUPTION OF BUSINESS OR LOST PROFITS, OR ANY OTHER SPECIAL, EXEMPLARY, INCIDENTAL, INDIRECT, PUNITIVE, CONSEQUENTIAL
OR OTHER DAMAGES OF ANY KIND.

 

5.6.      Claims before
Use of Product. Buyer agrees to call Seller’s Technical Service Representative immediately upon discovering any claim
it may have related to any shipment (such as a claim on account of weight, quality, loss of or damage to Product), and to give
Seller written notice quantifying the claim, if it be for non-delivery or shipment loss, within [ * * * ] ([ * * * ]) [ * * *
] of the date of delivery of the Product (or due date of delivery in the event of a non-delivery) or [ * * * ] ([ * * * ]) [ *
* * ] if the claim be for weight, or [ * * * ] ([ * * * ]) [ * * * ] if the claim be for quality that is reasonably discoverable
within such [ * * * ] period. Such notice shall include therein the specific order and shipment or invoice number as well as the
specific nature and basis of the claim. Except as otherwise provided in this Agreement, failure of Buyer to give written notice
of a claim for non-delivery or shipment loss within [ * * * ] ([ * * * ]) [ * * * ], or a claim for weight within [ * * * ] ([
* * * ]) [ * * * ], or a claim for quality

    	13

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

that is reasonably
discoverable within [ * * * ] ([ * * * ]) [ * * * ]; shall constitute a waiver by Buyer of all such claims in respect to that
shipment; provided, however, any other claims under the Product Warranty, including, without limitation, the Limited
Performance Warranty, shall not be waived by the expiration of such [ * * * ] period. No claim for shortage can be asserted unless
it is greater than [ * * * ] percent ([ * * * ]%) of the gross weight of the applicable shipment. Claims for bulk shipments must
be supported by certified scale tickets and Seller shall have the opportunity to have an independent weighing by a certified independent
agency, in which event the results of such independent weighing, if it occurs, shall govern. Buyer shall retain any Product for
which it has submitted a claim and shall make the Product available for inspection by a representative of Seller. Within five
(5) days of receipt of written notice from Buyer, Seller shall complete an investigation of the claim and recommend to Buyer a
resolution of the claim.

 

		(a)	Upon
                                                                                                                                                                                   agreement
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   on
                                                                                                                                                                                   a
                                                                                                                                                                                   resolution
                                                                                                                                                                                   of
                                                                                                                                                                                   a
                                                                                                                                                                                   claim
                                                                                                                                                                                   for
                                                                                                                                                                                   weight
                                                                                                                                                                                   or
                                                                                                                                                                                   loss,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   shall
                                                                                                                                                                                   issue
                                                                                                                                                                                   a
                                                                                                                                                                                   credit
                                                                                                                                                                                   memo
                                                                                                                                                                                   (if
                                                                                                                                                                                   applicable)
                                                                                                                                                                                   in
                                                                                                                                                                                   the
                                                                                                                                                                                   appropriate
                                                                                                                                                                                   amount
                                                                                                                                                                                   against
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   account.

 

		(b)	In
                                                                                                                                                                                   instances
                                                                                                                                                                                   where
                                                                                                                                                                                   Seller
                                                                                                                                                                                   provides
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   with
                                                                                                                                                                                   Product
                                                                                                                                                                                   that
                                                                                                                                                                                   fails
                                                                                                                                                                                   to
                                                                                                                                                                                   conform
                                                                                                                                                                                   to
                                                                                                                                                                                   any
                                                                                                                                                                                   Specification,
                                                                                                                                                                                   and
                                                                                                                                                                                   such
                                                                                                                                                                                   defect
                                                                                                                                                                                   is
                                                                                                                                                                                   determined
                                                                                                                                                                                   prior
                                                                                                                                                                                   to
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   use
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   Product
                                                                                                                                                                                   in
                                                                                                                                                                                   production,
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   will
                                                                                                                                                                                   notify
                                                                                                                                                                                   Seller
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   defect
                                                                                                                                                                                   and
                                                                                                                                                                                   inquire
                                                                                                                                                                                   whether
                                                                                                                                                                                   it
                                                                                                                                                                                   should
                                                                                                                                                                                   return
                                                                                                                                                                                   such
                                                                                                                                                                                   Product
                                                                                                                                                                                   to
                                                                                                                                                                                   Seller
                                                                                                                                                                                   or
                                                                                                                                                                                   dispose
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   Product.
                                                                                                                                                                                   Seller
                                                                                                                                                                                   will
                                                                                                                                                                                   reply
                                                                                                                                                                                   to
                                                                                                                                                                                   such
                                                                                                                                                                                   inquiry
                                                                                                                                                                                   within
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   after
                                                                                                                                                                                   receipt
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   inquiry;
                                                                                                                                                                                   however,
                                                                                                                                                                                   if
                                                                                                                                                                                   Seller
                                                                                                                                                                                   does
                                                                                                                                                                                   not
                                                                                                                                                                                   reply
                                                                                                                                                                                   within
                                                                                                                                                                                   such
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   ([
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ])
                                                                                                                                                                                   [
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   *
                                                                                                                                                                                   ]
                                                                                                                                                                                   period,
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   may
                                                                                                                                                                                   then
                                                                                                                                                                                   determine,
                                                                                                                                                                                   in
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   sole
                                                                                                                                                                                   discretion,
                                                                                                                                                                                   whether
                                                                                                                                                                                   to
                                                                                                                                                                                   return
                                                                                                                                                                                   or
                                                                                                                                                                                   dispose
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   Product.
                                                                                                                                                                                   Seller
                                                                                                                                                                                   will
                                                                                                                                                                                   reimburse
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   for
                                                                                                                                                                                   Buyer’s
                                                                                                                                                                                   out-of-pocket
                                                                                                                                                                                   costs
                                                                                                                                                                                   to
                                                                                                                                                                                   return
                                                                                                                                                                                   or
                                                                                                                                                                                   dispose
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   Product
                                                                                                                                                                                   and,
                                                                                                                                                                                   at
                                                                                                                                                                                   Seller’s
                                                                                                                                                                                   expense,
                                                                                                                                                                                   shall
                                                                                                                                                                                   repair
                                                                                                                                                                                   or
                                                                                                                                                                                   replace
                                                                                                                                                                                   such
                                                                                                                                                                                   Product
                                                                                                                                                                                   as
                                                                                                                                                                                   soon
                                                                                                                                                                                   as
                                                                                                                                                                                   commercially
                                                                                                                                                                                   practicable.

 

5.7.      Time Limitations.
Any action for breach of this Agreement, other than a claim for non-payment, and any claim for indemnification based on a third-party
claim, must be commenced within [ * * * ] ([ * * * ]) [ * * * ] of the timely assertion of a claim, or it shall be barred. However,
nothing in this Section 5.7 shall operate to extend the otherwise applicable statute of limitations governing any claim.

 

ARTICLE
VI - TERM AND TERMINATION

 

6.1.      Term.
This Agreement shall commence as of the Effective Date and shall continue until December 31, [ * * * ] (the “Initial Term”).
Following the Initial Term, this Agreement shall automatically renew year to year commencing January 1, [ * * * ] (each, a “Renewal
Term”), unless terminated by written notice provided by either party to the other party at least [ * * * ] ([ * * * ]) [
* * * ] before the applicable expiration date of the Initial Term or any Renewal Term thereof. The Initial Term and all Renewal
Terms or any portion thereof shall be referred to as the “Term”.

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Confidential Treatment Requested by AdvanSix Inc.

 

6.2.      Termination
for Breach or Insolvency. A party shall be entitled to terminate this Agreement in the event that:

 

		(a)	the
                                                                                                                                                                                   other
                                                                                                                                                                                   party
                                                                                                                                                                                   is
                                                                                                                                                                                   in
                                                                                                                                                                                   material
                                                                                                                                                                                   breach
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   provisions
                                                                                                                                                                                   of
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement
                                                                                                                                                                                   and
                                                                                                                                                                                   does
                                                                                                                                                                                   not
                                                                                                                                                                                   either
                                                                                                                                                                                   (i)
                                                                                                                                                                                   cure
                                                                                                                                                                                   such
                                                                                                                                                                                   breach
                                                                                                                                                                                   within
                                                                                                                                                                                   thirty
                                                                                                                                                                                   (30)
                                                                                                                                                                                   days
                                                                                                                                                                                   after
                                                                                                                                                                                   the
                                                                                                                                                                                   date
                                                                                                                                                                                   of
                                                                                                                                                                                   written
                                                                                                                                                                                   notice
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   breach
                                                                                                                                                                                   provided
                                                                                                                                                                                   by
                                                                                                                                                                                   the
                                                                                                                                                                                   non-breaching
                                                                                                                                                                                   party,
                                                                                                                                                                                   or,
                                                                                                                                                                                   (ii)
                                                                                                                                                                                   if
                                                                                                                                                                                   cure
                                                                                                                                                                                   cannot
                                                                                                                                                                                   be
                                                                                                                                                                                   accomplished
                                                                                                                                                                                   within
                                                                                                                                                                                   thirty
                                                                                                                                                                                   (30)
                                                                                                                                                                                   days,
                                                                                                                                                                                   begin
                                                                                                                                                                                   such
                                                                                                                                                                                   cure
                                                                                                                                                                                   within
                                                                                                                                                                                   thirty
                                                                                                                                                                                   (30)
                                                                                                                                                                                   days
                                                                                                                                                                                   and
                                                                                                                                                                                   proceed
                                                                                                                                                                                   diligently
                                                                                                                                                                                   to
                                                                                                                                                                                   effect
                                                                                                                                                                                   such
                                                                                                                                                                                   cure
                                                                                                                                                                                   thereafter;
                                                                                                                                                                                   or

 

		(b)	the
                                                                                                                                                                                   other
                                                                                                                                                                                   party
                                                                                                                                                                                   (i)
                                                                                                                                                                                   ceases
                                                                                                                                                                                   to
                                                                                                                                                                                   function
                                                                                                                                                                                   as
                                                                                                                                                                                   a
                                                                                                                                                                                   going
                                                                                                                                                                                   concern,
                                                                                                                                                                                   (ii)
                                                                                                                                                                                   makes
                                                                                                                                                                                   an
                                                                                                                                                                                   assignment
                                                                                                                                                                                   for
                                                                                                                                                                                   the
                                                                                                                                                                                   benefit
                                                                                                                                                                                   of
                                                                                                                                                                                   its
                                                                                                                                                                                   creditors,
                                                                                                                                                                                   (iii)
                                                                                                                                                                                   becomes
                                                                                                                                                                                   the
                                                                                                                                                                                   subject
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   proceeding
                                                                                                                                                                                   under
                                                                                                                                                                                   applicable
                                                                                                                                                                                   bankruptcy,
                                                                                                                                                                                   receivership,
                                                                                                                                                                                   insolvency
                                                                                                                                                                                   or
                                                                                                                                                                                   similar
                                                                                                                                                                                   laws
                                                                                                                                                                                   instituted
                                                                                                                                                                                   by
                                                                                                                                                                                   or
                                                                                                                                                                                   against
                                                                                                                                                                                   the
                                                                                                                                                                                   other
                                                                                                                                                                                   party,
                                                                                                                                                                                   which
                                                                                                                                                                                   proceeding
                                                                                                                                                                                   is
                                                                                                                                                                                   not
                                                                                                                                                                                   dismissed
                                                                                                                                                                                   as
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   other
                                                                                                                                                                                   party
                                                                                                                                                                                   within
                                                                                                                                                                                   sixty
                                                                                                                                                                                   (60)
                                                                                                                                                                                   days
                                                                                                                                                                                   after
                                                                                                                                                                                   it
                                                                                                                                                                                   has
                                                                                                                                                                                   been
                                                                                                                                                                                   instituted,
                                                                                                                                                                                   or
                                                                                                                                                                                   (iv)
                                                                                                                                                                                   liquidates
                                                                                                                                                                                   or
                                                                                                                                                                                   dissolves.

 

6.2.      Effect of
Termination. Upon termination, all rights and obligations of the parties under this Agreement will immediately cease and terminate
and each party will have no obligation to the other with respect to this Agreement, except that each party shall pay to the other
party the unpaid price for Product or Washwater, as applicable, properly shipped prior to cancellation, and each party shall remain
liable for any breach of this Agreement, occurring prior to the effective date of termination.

 

6.3.      Survival.
Articles 2.5-2.7, 5.1, 5.2(a)-(b), 5.3(f), 5.4-5.7, 6.3, 7.1, 9.1-9.3, and 9.12 shall survive termination or expiration of this
Agreement for the periods set forth in such Articles, or, if no periods are set forth in such Articles, for periods reasonably
sufficient to give effect to the intents thereof.

 

ARTICLE
VII - CONFIDENTIALITY

 

7.1.      Confidentiality.
All confidential and/or proprietary information or documentation, regardless of its form (“Confidential Information”),
of either party which is disclosed to, is acquired by or comes into the possession of, the other party hereto through operation
of this Agreement shall be held in confidence by the other party (including its Affiliates) and shall be protected against unauthorized
disclosure to the same extent and in the same manner as such party protects its own confidential or proprietary information. Confidential
Information of a party includes information of third parties which that party possesses under an obligation of confidence, and
also includes information regarding a party’s business operations, technology and processes which may be gleaned by observation
thereof while on such party’s premises. Except as otherwise expressly permitted by this Agreement, neither party shall use
any Confidential Information of the other party except for purposes of this Agreement. Neither party shall disclose, publish,
release, transfer or otherwise make available Confidential Information of the other party in any form to, or for the use or benefit
of, any person or entity, or duplicate or reproduce the same, without such other party’s prior written approval. Each party
shall, however, be permitted to disclose relevant aspects of the other party’s

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Confidential Treatment Requested by AdvanSix Inc.

 

Confidential Information
to its directors, managers, officers, agents, consultants, advisors, employees and authorized representatives and to the directors,
managers, officers, agents, consultants, advisors, employees and authorized representatives of its Affiliates, to the extent that
such disclosure is reasonably necessary to the performance of its duties and obligations under this Agreement or to protect such
party’s rights under this Agreement, provided that such party shall take all reasonable measures to ensure that Confidential
Information of the other party is not disclosed or duplicated in contravention of the provisions of this Agreement by any such
director, manager, officer, agent, consultant, advisor, employee or authorized representative. The obligations in this Article
7.1 shall not restrict any disclosure by either party of the other party’s Confidential Information pursuant to any applicable
law, or in compliance with the order of any governmental or regulatory authority of competent jurisdiction, provided that the
disclosing party will notify the other party promptly of the request or requirement so that the other party may seek an appropriate
protective order or waive compliance with the provisions of this Article 7.1. If, in the absence of a protective order or the
receipt of a waiver hereunder, such disclosing party is, on the advice of counsel, compelled to disclose any Confidential Information
to any tribunal or else stand liable for contempt, the disclosing party may disclose the Confidential Information, as applicable,
to the tribunal; provided, however, that the disclosing party shall use its reasonable efforts to obtain, at the
reasonable request of the other party and at the sole expense of such other party, an order or other assurance that confidential
treatment will be accorded to such portion of the Confidential Information required to be disclosed as such other party shall
designate. Breach of this Article 7.1 by the receiving party shall result in irreparable damage to the disclosing party, and the
disclosing party shall be entitled to equitable relief in the event of such breach. The obligations of this Article 7.1 shall
not apply with respect to information that (i) can be demonstrably shown to have been in the possession of the receiving party,
without obligation of confidentiality, at the time of disclosure by the disclosing party or to have been independently developed
by the receiving party without use of or reliance upon information disclosed by the disclosing party hereunder; (ii) is at the
time of such disclosure in the public domain, or thereafter comes into the public domain from a third party and through no fault
of the receiving party; or (iii) shall have lawfully come into the possession of the receiving party from a third party having
no obligation of confidentiality with respect thereto.

 

ARTICLE
VIII - FORCE MAJEURE

 

8.1.      Force Majeure.
Seller will use commercially reasonable efforts to ensure that its contracts with third party suppliers enable Seller to obtain
raw materials of sufficient quality and quantity to fulfill its obligations under this Agreement in a timely manner, including,
without limitation, providing Product that strictly conforms to its Specifications. Failure of Seller to make or of Buyer to take
any delivery (or portions thereof) of Product when due, if occasioned by (a) an act of God or the public enemy, fire, explosion,
perils of the sea, flood, drought, war, riot, sabotage, accident, embargo; or (b) without limiting the foregoing circumstances,
any circumstance of like or different character beyond the reasonable control of the party so failing; or (c) interruption of
or delay in transportation, inadequacy or shortage or failure of normal sources of supply of materials that could not have been
reasonably avoided; or (d) breakdowns or labor

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Confidential Treatment Requested by AdvanSix Inc.

 

trouble from whatever
cause arising and whether or not the demand of the employees involved are reasonable and within said party’s power to concede;
or (e) compliance by Seller or Buyer with any order, action, direction or request of any governmental officer, department, agency,
authority or committee thereof (including any direction or order materially restricting or limiting the selling price of the Product
or of any material produced in conjunction therewith or in connection with which such materials are used, which renders it impracticable
for Seller or Buyer to make a reasonable profit on such production or use); to the extent that any such circumstance arises or
becomes a material factor after the date hereof, shall not subject such party to any liability to the other and, at the option
of either party, the total quantity to be delivered will be reduced by the quantity of the delivery or deliveries (or portions
thereof) so omitted. If due to a Force Majeure Seller’s supply of the Product specified herein shall be insufficient to
meet all requirements, Seller shall have the right, at its option and without liability, to apportion its available sales supply
among its customers to which it has binding contractual commitments, including its affiliated divisions and companies, as long
as Buyer is not treated less equitably in such allocation than other such customers.

 

ARTICLE
IX - MISCELLANEOUS

 

9.1.      Notices.
All notices or other communications required or permitted hereunder shall be in writing and shall be delivered personally, by
facsimile or sent by certified, registered or express air mail, postage prepaid, and shall be deemed given when so delivered personally
or by facsimile, or if mailed, five (5) Business Days after the date of mailing. For the purposes hereof, the addresses, telephone
numbers and facsimile numbers of the relevant parties (until notice of a change thereof, served as provided in this Article) are
as follows:

 

	If to Seller:	Vice President and General Manager
 Honeywell Resins & Chemicals LLC
 101 Columbia Road
 Morristown, NJ
                                                            07962
 Telephone:      973-455-3426
 Fax:                 973-455-5521
	 	 
	With a copy to:	General Counsel,
Resins & Chemicals

Honeywell International Inc.

101 Columbia Road

Morristown, NJ 07962

Telephone:      973-455-2204

Fax:                 973-455-5350

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Confidential Treatment Requested by AdvanSix Inc.

 

	If to Buyer:	Shaw Industries
Group, Inc.

616 E. Walnut Avenue

P.O. Drawer 2128

Dalton, Georgia 30722-2128

Attention: Frederick L. Hooper, III

Telephone:      706-275-1099

Fax:                 706-275-1442
	 	 
	With a copy (which shall not
constitute notice) to:
	 	 
	 	Bryan Cave LLP

One Atlantic Center, Fourteenth Floor

1201 West Peachtree Street, N.E.

Atlanta, Georgia 30309-3488

Attention: Thomas R. McNeill

Telephone:      404-572-6681

Fax:                 404-572-6999

 

9.2.      Governing
Law. This Agreement shall be governed by and construed in accordance with the internal laws of the State of New York, without
regard to conflict of laws principles. Seller and Buyer expressly exclude the United Nations Convention on Contracts for the International
Sale of Goods from this transaction.

 

9.3.      Dispute Resolution.

 

		(a)	In
                                                                                                                                                                                   the
                                                                                                                                                                                   event
                                                                                                                                                                                   of
                                                                                                                                                                                   a
                                                                                                                                                                                   dispute
                                                                                                                                                                                   between
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   arising
                                                                                                                                                                                   out
                                                                                                                                                                                   of
                                                                                                                                                                                   or
                                                                                                                                                                                   relating
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   subject
                                                                                                                                                                                   matter
                                                                                                                                                                                   of
                                                                                                                                                                                   this
                                                                                                                                                                                   Agreement,
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   shall
                                                                                                                                                                                   first
                                                                                                                                                                                   use
                                                                                                                                                                                   their
                                                                                                                                                                                   commercially
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   efforts
                                                                                                                                                                                   to
                                                                                                                                                                                   resolve
                                                                                                                                                                                   such
                                                                                                                                                                                   dispute
                                                                                                                                                                                   among
                                                                                                                                                                                   themselves.
                                                                                                                                                                                   If
                                                                                                                                                                                   the
                                                                                                                                                                                   parties
                                                                                                                                                                                   are
                                                                                                                                                                                   unable
                                                                                                                                                                                   to
                                                                                                                                                                                   use
                                                                                                                                                                                   their
                                                                                                                                                                                   reasonable
                                                                                                                                                                                   efforts
                                                                                                                                                                                   to
                                                                                                                                                                                   resolve
                                                                                                                                                                                   the
                                                                                                                                                                                   dispute
                                                                                                                                                                                   within
                                                                                                                                                                                   thirty
                                                                                                                                                                                   (30)
                                                                                                                                                                                   calendar
                                                                                                                                                                                   days
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   initiation
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   procedure,
                                                                                                                                                                                   the
                                                                                                                                                                                   dispute
                                                                                                                                                                                   shall
                                                                                                                                                                                   be
                                                                                                                                                                                   settled
                                                                                                                                                                                   by
                                                                                                                                                                                   arbitration
                                                                                                                                                                                   as
                                                                                                                                                                                   hereinafter
                                                                                                                                                                                   provided
                                                                                                                                                                                   which
                                                                                                                                                                                   shall
                                                                                                                                                                                   be
                                                                                                                                                                                   the
                                                                                                                                                                                   sole
                                                                                                                                                                                   and
                                                                                                                                                                                   exclusive
                                                                                                                                                                                   procedure
                                                                                                                                                                                   for
                                                                                                                                                                                   the
                                                                                                                                                                                   resolution
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   such
                                                                                                                                                                                   dispute.
                                                                                                                                                                                   Within
                                                                                                                                                                                   ten
                                                                                                                                                                                   (10)
                                                                                                                                                                                   calendar
                                                                                                                                                                                   days
                                                                                                                                                                                   after
                                                                                                                                                                                   receipt
                                                                                                                                                                                   of
                                                                                                                                                                                   written
                                                                                                                                                                                   notice
                                                                                                                                                                                   from
                                                                                                                                                                                   one
                                                                                                                                                                                   party
                                                                                                                                                                                   that
                                                                                                                                                                                   it
                                                                                                                                                                                   is
                                                                                                                                                                                   submitting
                                                                                                                                                                                   the
                                                                                                                                                                                   matter
                                                                                                                                                                                   to
                                                                                                                                                                                   arbitration,
                                                                                                                                                                                   each
                                                                                                                                                                                   party
                                                                                                                                                                                   shall
                                                                                                                                                                                   designate
                                                                                                                                                                                   in
                                                                                                                                                                                   writing
                                                                                                                                                                                   one
                                                                                                                                                                                   arbitrator
                                                                                                                                                                                   to
                                                                                                                                                                                   resolve
                                                                                                                                                                                   the
                                                                                                                                                                                   dispute
                                                                                                                                                                                   who
                                                                                                                                                                                   shall,
                                                                                                                                                                                   in
                                                                                                                                                                                   turn,
                                                                                                                                                                                   jointly
                                                                                                                                                                                   select
                                                                                                                                                                                   a
                                                                                                                                                                                   third
                                                                                                                                                                                   arbitrator
                                                                                                                                                                                   within
                                                                                                                                                                                   twenty
                                                                                                                                                                                   (20)
                                                                                                                                                                                   calendar
                                                                                                                                                                                   days
                                                                                                                                                                                   of
                                                                                                                                                                                   their
                                                                                                                                                                                   designation
                                                                                                                                                                                   or
                                                                                                                                                                                   if
                                                                                                                                                                                   they
                                                                                                                                                                                   fail
                                                                                                                                                                                   to
                                                                                                                                                                                   do
                                                                                                                                                                                   so,
                                                                                                                                                                                   with
                                                                                                                                                                                   the
                                                                                                                                                                                   third
                                                                                                                                                                                   arbitrator
                                                                                                                                                                                   to
                                                                                                                                                                                   be
                                                                                                                                                                                   selected
                                                                                                                                                                                   as
                                                                                                                                                                                   promptly
                                                                                                                                                                                   as
                                                                                                                                                                                   practicable
                                                                                                                                                                                   in
                                                                                                                                                                                   accordance
                                                                                                                                                                                   with
                                                                                                                                                                                   the
                                                                                                                                                                                   procedure
                                                                                                                                                                                   established
                                                                                                                                                                                   by
                                                                                                                                                                                   the
                                                                                                                                                                                   American
                                                                                                                                                                                   Arbitration
                                                                                                                                                                                   Association
                                                                                                                                                                                   at
                                                                                                                                                                                   such
                                                                                                                                                                                   time.
                                                                                                                                                                                   The
                                                                                                                                                                                   arbitrators
                                                                                                                                                                                   so
                                                                                                                                                                                   designated
                                                                                                                                                                                   shall
                                                                                                                                                                                   each
                                                                                                                                                                                   be
                                                                                                                                                                                   a
                                                                                                                                                                                   lawyer
                                                                                                                                                                                   experienced
                                                                                                                                                                                   in
                                                                                                                                                                                   commercial
                                                                                                                                                                                   and
                                                                                                                                                                                   business
                                                                                                                                                                                   affairs
                                                                                                                                                                                   who
                                                                                                                                                                                   is
                                                                                                                                                                                   not
                                                                                                                                                                                   an
                                                                                                                                                                                   employee,
                                                                                                                                                                                   consultant,
                                                                                                                                                                                   officer
                                                                                                                                                                                   or
                                                                                                                                                                                   director
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   party
                                                                                                                                                                                   or
                                                                                                                                                                                   any
                                                                                                                                                                                   Affiliate
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   party
                                                                                                                                                                                   and
                                                                                                                                                                                   who
                                                                                                                                                                                   has
                                                                                                                                                                                   not
                                                                                                                                                                                   received
                                                                                                                                                                                   any
                                                                                                                                                                                   compensation,
                                                                                                                                                                                   directly
                                                                                                                                                                                   or
                                                                                                                                                                                   indirectly,
                                                                                                                                                                                   from
                                                                                                                                                                                   any
                                                                                                                                                                                   Party
                                                                                                                                                                                   hereto
                                                                                                                                                                                   or
                                                                                                                                                                                   any
                                                                                                                                                                                   Affiliate
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   Party
                                                                                                                                                                                   during
                                                                                                                                                                                   the
                                                                                                                                                                                   two
                                                                                                                                                                                   (2)
                                                                                                                                                                                   year
                                                                                                                                                                                   period
                                                                                                                                                                                   preceding
                                                                                                                                                                                   the
                                                                                                                                                                                   notice
                                                                                                                                                                                   of
                                                                                                                                                                                   arbitration.
                                                                                                                                                                                   The
                                                                                                                                                                                   arbitration
                                                                                                                                                                                   shall
                                                                                                                                                                                   be
                                                                                                                                                                                   governed
                                                                                                                                                                                   by
                                                                                                                                                                                   the
                                                                                                                                                                                   rules
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   American
                                                                                                                                                                                   Arbitration
                                                                                                                                                                                   Association.
                                                                                                                                                                                   The
                                                                                                                                                                                   arbitrators
                                                                                                                                                                                   shall
                                                                                                                                                                                   have
                                                                                                                                                                                   sole
                                                                                                                                                                                   discretion
                                                                                                                                                                                   with
                                                                                                                                                                                   regard
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   admissibility
                                                                                                                                                                                   of
                                                                                                                                                                                   evidence.
                                                                                                                                                                                   The

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Confidential Treatment Requested by AdvanSix Inc.

 

	 		arbitration panel shall have the right to grant equitable relief in its discretion, and to
                                                                                         award claims for specific performance. The right of each party to move for preliminary injunction or other temporary
                                                                                         relief before any court having jurisdiction to preserve its rights hereunder shall remain unaffected. The arbitrators shall
                                                                                         use their best efforts to rule on each disputed issue within thirty (30) calendar days after the completion of the hearings.
                                                                                         The determination of the arbitrators as to the resolution of any dispute shall be binding and conclusive upon all parties
                                                                                         hereto. All rulings of the arbitrators shall be in writing, with the reasons for the ruling given, and shall be delivered to
                                                                                         the parties hereto. Each party shall pay the fees of its respective designated arbitrator and its own costs and expenses of
                                                                                         the arbitration. The fees of the third arbitrator shall be paid fifty percent (50%) by each of the parties. Any arbitration
                                                                                         pursuant to this Article 9.3 shall be conducted in English in New York, New York. Any arbitration award may be entered in and
                                                                                         enforced by any court having jurisdiction thereof and the parties hereby consent and commit themselves to the jurisdiction of
                                                                                         the courts of any competent jurisdiction for purposes of the enforcement of any arbitration award.

 

		(b)	Without
                                                                                                                                                                                   limitation
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   foregoing,
                                                                                                                                                                                   Seller
                                                                                                                                                                                   and
                                                                                                                                                                                   Buyer
                                                                                                                                                                                   hereby
                                                                                                                                                                                   submit
                                                                                                                                                                                   to
                                                                                                                                                                                   the
                                                                                                                                                                                   non-exclusive
                                                                                                                                                                                   jurisdiction
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   state
                                                                                                                                                                                   and
                                                                                                                                                                                   federal
                                                                                                                                                                                   courts
                                                                                                                                                                                   of
                                                                                                                                                                                   general
                                                                                                                                                                                   jurisdiction
                                                                                                                                                                                   in
                                                                                                                                                                                   New
                                                                                                                                                                                   York,
                                                                                                                                                                                   New
                                                                                                                                                                                   York
                                                                                                                                                                                   in
                                                                                                                                                                                   respect
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   enforcement
                                                                                                                                                                                   of
                                                                                                                                                                                   any
                                                                                                                                                                                   such
                                                                                                                                                                                   arbitration
                                                                                                                                                                                   award
                                                                                                                                                                                   and
                                                                                                                                                                                   hereby
                                                                                                                                                                                   waive,
                                                                                                                                                                                   and
                                                                                                                                                                                   agree
                                                                                                                                                                                   not
                                                                                                                                                                                   to
                                                                                                                                                                                   assert,
                                                                                                                                                                                   as
                                                                                                                                                                                   a
                                                                                                                                                                                   defense
                                                                                                                                                                                   in
                                                                                                                                                                                   any
                                                                                                                                                                                   action,
                                                                                                                                                                                   suit
                                                                                                                                                                                   or
                                                                                                                                                                                   proceeding
                                                                                                                                                                                   for
                                                                                                                                                                                   the
                                                                                                                                                                                   enforcement
                                                                                                                                                                                   of
                                                                                                                                                                                   such
                                                                                                                                                                                   award,
                                                                                                                                                                                   that
                                                                                                                                                                                   it
                                                                                                                                                                                   is
                                                                                                                                                                                   not
                                                                                                                                                                                   subject
                                                                                                                                                                                   thereto
                                                                                                                                                                                   or
                                                                                                                                                                                   that
                                                                                                                                                                                   such
                                                                                                                                                                                   action,
                                                                                                                                                                                   suit
                                                                                                                                                                                   or
                                                                                                                                                                                   proceeding
                                                                                                                                                                                   may
                                                                                                                                                                                   not
                                                                                                                                                                                   be
                                                                                                                                                                                   brought
                                                                                                                                                                                   or
                                                                                                                                                                                   is
                                                                                                                                                                                   not
                                                                                                                                                                                   maintainable
                                                                                                                                                                                   in
                                                                                                                                                                                   such
                                                                                                                                                                                   courts
                                                                                                                                                                                   or
                                                                                                                                                                                   that
                                                                                                                                                                                   such
                                                                                                                                                                                   award
                                                                                                                                                                                   may
                                                                                                                                                                                   not
                                                                                                                                                                                   be
                                                                                                                                                                                   enforced
                                                                                                                                                                                   in
                                                                                                                                                                                   or
                                                                                                                                                                                   by
                                                                                                                                                                                   such
                                                                                                                                                                                   courts
                                                                                                                                                                                   or
                                                                                                                                                                                   that
                                                                                                                                                                                   its
                                                                                                                                                                                   property
                                                                                                                                                                                   is
                                                                                                                                                                                   exempt
                                                                                                                                                                                   or
                                                                                                                                                                                   immune
                                                                                                                                                                                   from
                                                                                                                                                                                   execution,
                                                                                                                                                                                   that
                                                                                                                                                                                   the
                                                                                                                                                                                   action,
                                                                                                                                                                                   suit
                                                                                                                                                                                   or
                                                                                                                                                                                   proceeding
                                                                                                                                                                                   is
                                                                                                                                                                                   brought
                                                                                                                                                                                   in
                                                                                                                                                                                   an
                                                                                                                                                                                   inconvenient
                                                                                                                                                                                   forum,
                                                                                                                                                                                   or
                                                                                                                                                                                   that
                                                                                                                                                                                   the
                                                                                                                                                                                   venue
                                                                                                                                                                                   of
                                                                                                                                                                                   the
                                                                                                                                                                                   action,
                                                                                                                                                                                   suit
                                                                                                                                                                                   or
                                                                                                                                                                                   proceeding
                                                                                                                                                                                   is
                                                                                                                                                                                   improper.
                                                                                                                                                                                   Service
                                                                                                                                                                                   of
                                                                                                                                                                                   process
                                                                                                                                                                                   with
                                                                                                                                                                                   respect
                                                                                                                                                                                   thereto
                                                                                                                                                                                   may
                                                                                                                                                                                   be
                                                                                                                                                                                   made
                                                                                                                                                                                   upon
                                                                                                                                                                                   any
                                                                                                                                                                                   party
                                                                                                                                                                                   by
                                                                                                                                                                                   mailing
                                                                                                                                                                                   a
                                                                                                                                                                                   copy
                                                                                                                                                                                   thereof
                                                                                                                                                                                   by
                                                                                                                                                                                   registered
                                                                                                                                                                                   or
                                                                                                                                                                                   certified
                                                                                                                                                                                   mail,
                                                                                                                                                                                   postage
                                                                                                                                                                                   prepaid,
                                                                                                                                                                                   to
                                                                                                                                                                                   such
                                                                                                                                                                                   party
                                                                                                                                                                                   at
                                                                                                                                                                                   its
                                                                                                                                                                                   address
                                                                                                                                                                                   as
                                                                                                                                                                                   provided
                                                                                                                                                                                   in
                                                                                                                                                                                   Article
                                                                                                                                                                                   9.1
                                                                                                                                                                                   hereof,
                                                                                                                                                                                   provided
                                                                                                                                                                                   that
                                                                                                                                                                                   service
                                                                                                                                                                                   of
                                                                                                                                                                                   process
                                                                                                                                                                                   may
                                                                                                                                                                                   be
                                                                                                                                                                                   accomplished
                                                                                                                                                                                   in
                                                                                                                                                                                   any
                                                                                                                                                                                   other
                                                                                                                                                                                   manner
                                                                                                                                                                                   permitted
                                                                                                                                                                                   by
                                                                                                                                                                                   applicable
                                                                                                                                                                                   law.

 

9.4.      Modification.
This Agreement may only be amended or modified in a writing signed by the party against whom enforcement of such amendment or
modification is sought. No provision set forth in any purchase order, order confirmation form or any other writing pertaining
to an order placed under this Agreement which is inconsistent with or in addition to the provisions of this Agreement shall be
binding on either party except as set forth in this Article.

 

9.5.      Waiver.
Any of the terms or conditions of this Agreement may be waived at any time by the party entitled to the benefit thereof, but only
by a writing signed by the party waiving such terms or conditions. A waiver of any breach or failure to enforce any of the terms
or conditions of this Agreement shall not in any way affect, limit or waive any party’s rights at any time to enforce strict
compliance thereafter with every term or

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Confidential Treatment Requested by AdvanSix Inc.

 

condition of this Agreement
for any other breath or failure to comply with the terms and conditions of this Agreement.

 

9.6.      Severability.
The invalidity of any portion of this Agreement shall not affect the validity, force or effect of the remaining portions hereof.
If it is ever held that any restriction hereunder is too broad to permit enforcement of such restriction to its fullest extent,
such restriction shall be enforced to the maximum extent permitted by law.

 

9.7.      Entire Agreement.
This Agreement, constitutes the entire agreement between the parties with respect to the matters covered hereby, and supersedes
any and all previous written, oral or implied understandings between them with respect to such matters, including any and all
blanket purchase orders extant for the purchase of caprolactam.

 

9.8.      Assignment;
Successors and Assigns; No Third Party Rights. This Agreement may not be assigned by operation of law or otherwise, and any
attempted assignment shall be null and void. Notwithstanding the foregoing, either party may without further consent of the other
party assign its rights under this Agreement (a) in connection with the transfer or sale of (i) all or substantially all of the
assets of such party relating to this Agreement, or (ii) in the case of Seller, with respect to its rights and obligations to
supply Polymer, all or substantially all of the assets of Seller relating to Seller’s Polymer production facility and business
at Seller’s Chesterfield facility, or, with respect to its rights and obligations to supply caprolactam, all or substantially
all of the assets of Seller relating to Seller’s caprolactam facility and business at Seller’s Hopewell facility,
or (iii) in the case of Buyer, all or substantially all of the assets of Buyer relating to one or more of the Facilities and the
business at any such Facility, (b) pursuant to the merger or consolidation of such party with a third party, or (c) to any Affiliate
of the assigning party. [ * * * ] This Agreement shall be binding upon and inure to the benefit of the parties hereto and their
respective successors, assigns and legal representatives. Any such successor or assign shall assume all of the party’s obligations
under this Agreement and shall be fully bound by the terms and conditions of this Agreement; provided, however,
any such assignment shall not relieve the assigning party of any obligations arising from this Agreement. This Agreement shall
be for the sole benefit of the parties to this Agreement and their respective successors, assigns and legal representatives and
is not intended, nor shall be construed, to give any person, other than the parties hereto and their respective successors, assigns
and legal representatives, any legal or equitable right, remedy or claim hereunder.

 

9.9.      No Strict
Construction; Headings. Each of Seller and Buyer acknowledges that this Agreement has been prepared jointly by the parties
hereto, and shall not be strictly construed against either party. The headings in this Agreement are for reference purposes only,
and shall not in any way affect the meaning or interpretation of this Agreement.

 

9.10.      Exhibits.
All Exhibits attached hereto are incorporated herein and expressly made a part of this Agreement as though completely set forth
herein. All references to this Agreement herein or in any Exhibits shall be deemed to refer to this entire Agreement, including
all Exhibits.

    	20

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

9.11.      Controlling
Terms. The terms hereof shall apply notwithstanding any different or additional terms set forth in any invoices, purchase
orders, bills of lading, or any other documents used by either party in connection with performance of this transaction. All said
different or additional terms are void and shall not apply to the transaction described in this agreement.

 

9.12.      Publicity.
No press release or other public announcement or publicity regarding the existence of this Agreement or its contents or the transactions
contemplated hereby shall be made by either of the parties hereto or any of their respective Affiliates, officers, directors,
employees, representatives or agents, without the prior approval of the other party hereto, in any case, as to form, content,
timing and manner of distribution and publication; provided, however, nothing in this Article 9.12 shall prohibit
any party from (a) making any public announcement required by law or the rules of any stock exchange so long as such party consults
with the other party as to the form, content, timing and manner of distribution and publication, (b) enforcing its rights hereunder,
or (c) disclosing this Agreement or its contents or the transactions contemplated hereby to those persons whose approval, agreement
or opinion, as the case may be, is required for consummation of the transactions contemplated hereby. Notwithstanding anything
written herein, either party shall have the right to disclose the terms of this Agreement to a third party who is a potential
purchaser of one or more of the parties’ facilities as long as such disclosure is made pursuant to a nondisclosure agreement
signed by the receiving third party and providing that the receiving third party will observe confidentiality requirements that
are at least as restrictive regarding the disclosure of the existence, terms and provisions of this Agreement as the nondisclosure
obligations under this Agreement, including, without limitation, Article 7.1 hereof, of the parties hereto.

 

9.13.      Further
Assurances. Upon the reasonable request of a party, the other party will execute and deliver such other documents and instruments
as may be required to effectuate completely the terms, conditions, and purposes of this Agreement.

 

9.14.      Relationship
of Parties. The parties acknowledge that they are independent contractors and no other relationship, including partnership,
joint venture, employment, franchise, master/servant or principal/agent is intended by this Agreement. Neither party shall have
the right to bind or obligate the other.

 

9.15.      Counterparts.
This Agreement may be executed in one or more counterparts, each of which will be deemed to be an original copy of this Agreement
and all of which, when taken together, will be deemed to constitute one and the same agreement.

 

[The
Remainder of this Page has been Intentionally Left Blank]

    	21

    	

    

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IN WITNESS WHEREOF,
each of the parties hereto has caused this Agreement to be duly executed and delivered on its behalf by its duly authorized representative,
as of the Effective Date.

 

	HONEYWELL RESINS & CHEMICALS, LLC	 	SHAW INDUSTRIES GROUP, INC.
	 	 	 
	By:	  /s/
    Qamar S. Bhatia	 	By:	  /s/
    Gerald R. Embry
	 	 	 	 	 
	Name: 	Qamar
    S. Bhatia	 	 	Gerald
    R. Embry
	 	 	 	 	 
	Title:	 VP/GM, Resins and Chemicals	 	 	Vice
    President, Administration

    	22

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

EXHIBIT A

 

[ * * * ] CAPROLACTAM SPECIFICATIONS

 

	Product
                                                                                                                   Name

                                                                                 

                                                                                Molten
                                                                                Caprolactam, [ * * * ]
	Specification
    Number

    

    [ * * * ]
	Formula

                                                                                 

                                                                                CH2(CH2)4NHCO

  [_____________]
	Molecular
    Weight 

    113.16
	Date
    Issued 

    11/1/05
	Supersedes
     

    6/30/05
	Page
     

    1 of 1

	 	 	 	 	 

	Parameters	Value	Test
    Method
	 	 	 
	Color,
    APHA	 [ * * * ] max.	QALAC-0001
	 	 	 
	Permanganate
    Index (ISO)	 [ * * * ] max.	QALAC-0002
	 	 	 
	Permanganate
    Number Seconds	 [ * * * ] min.	QALAC-0009
	 	 	 
	Water,
    %	 [ * * * ] max.	QALAC-0005
	 	 	 
	Iron
    (as Fe), ppm	 [ * * * ] max.	QALAC-0011
	 	 	 
	Volatile
    Base (as NH3), ppm	 [ * * * ] max.	QALAC-0012
	 	 	 
	Volatile
    Base (as NH3), meq/kg	 [ * * * ] max.	QALAC-0012
	 	 	 
	Free
    Alkalinity, meq/kg	 [ * * * ] max.	QALAC-0006
	 	 	 
	Free
    Acidity, meq/kg	 [ * * * ] max.	QALAC-0006
	 	 	 
	Ash,
    ppm	 [ * * * ] max.	QALAC-0007
	 	 	 
	Transmittance
    @ 290nm, %	 [
    * * * ] min.	QALAC-00033
	 	 	 
	Note:
    Specification values shown are those at the time of shipment as determined by the test methods listed.

    	 

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

EXHIBIT B

 

[ * * * ] POLYMER SPECIFICATIONS

 

DATE: 8/30/04

 

PRODUCT: [ * * * ] CHIP

 

	 	Specification of Properties   
	 	 
	Form	Pellets/Chips
	 	 
	Color	Transparent
	 	 
	Viscosity (FAV)	[ * * * ]
	 	 
	% EXTRACTABLES	[ * * * ]
	 	 
	% MOISTURE	[ * * * ]

    	 

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

EXHIBIT C

 

[ * * * ]

 

[ * * * ]

 

[ * * * ]

 

	 	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]

    	 

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

EXHIBIT D

 

[ * * * ]

 

[ * * * ]

 

	 	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	[ * * * ]
	 	 
	[ * * * ]	 
	 	 
	[ * * * ]	 

    	 

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

EXHIBIT E

 

[ * * * ]

 

	[*
                                                                                                                                                       *
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                                                                                [
                                                                                * * * ]
	[
    * * * ] 

    [ * * * ]

	[
    * * * ][ * * * ]
[
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	[
    * * * ][ * * * ]
	[
    * * * ][ * * * ]
	[
    * * * ][ * * * ]
	[
    * * * ][ * * * ]

	 	 	 	 	 

	[
    * * * ]	[
    * * * ]	[
    * * * ]
	 	 	 
	[
    * * * ]	[
    * * * ]	[
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	[
    * * * ]	[
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	[
    * * * ]	[*
    * * ]	[
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	[
    * * * ]	[
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	[
    * * * ]	[
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    * * * ]	[
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    * * * ]	[
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	[
    * * * ]	[
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    * * * ]	[
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    * * * ]	[
    * * * ]	[
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	[
    * * * ]
	 

    	 

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

SCHEDULE 2.1(I)

 

CAPROLACTAM INDEX AMOUNT

 

I.       The
calculation of the Caprolactam Index Amount (CIA) for Product sold through the Term of the Agreement shall be calculated according
to the following:

 

         [ * * * ]

 

II.      [
* * * ]

 

III.     For
any price publication where this Schedule requires the use of a posted price for the month or the quarter containing the month,
the published price as of the last Monday of the preceding month shall be used for the applicable calculation; provided that the
Parties shall make a true-up adjustment based on the final published number for the month, which adjustment shall occur in the
month following the month and at the end of such quarter.

 

IV.    [
* * * ]

 

V.     In
the event that any of the above indices shall cease to be published, or that the published prices shall cease to represent the
market conditions, in the good faith opinion of either party, then either party may notify the other of the need for reconsideration.
Thereafter, the parties shall meet to determine in good faith an appropriate adjustment to the published index, or an alternative
index that is more reflective of the intent of the parties. If the parties are unable to determine in good faith an appropriate
adjustment or alternative index, then either party may submit the limited issue of what is an appropriate adjustment to the published
index or an appropriate alternative index to binding arbitration pursuant to Article 9.3 of this Agreement. In such binding arbitration,
the standard to be applied by the arbitrator shall be to choose an adjustment or alternative index such that the Caprolactam Index
Amount and/or Polymer Index Amount continues to be reflective of changes in Seller’s cost basis related to the challenged
or absent index.

    	 

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

SCHEDULE 2.1(II)

 

POLYMER INDEX AMOUNT

 

The Polymer Index Amount shall be equal
to the amount, in cents per pound, derived from the following calculation:

 

PIA = [ * * * ]

 

Wherein the definitions of [
* * * ], [ * * * ], and [ * * * ] shall be as set forth as shown in Schedule 2.1(I) hereto.

 

In the term ([ * * * ]) of the PIA calculation,
if [ * * * ] is less than [ * * * ] then the value of [ * * * ] shall be used as the numerator of the calculation.

    	2

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

Attachment I

 

	[ * * * ] 

Feb-13]
	 
	 	 
	[ * * * ] Honeywell	Volume Pounds	[ * * * ]
	 	 	 
	 	[ * * * ] Revenue Dollars	$[ * * * ]
	 	[ * * * ] Freight & Distribution Dollars	[ * * * ]
	 	Resulting Dollars	$[ * * * ]
	 	 	 
	 	[ * * * ] Price ($/Lb)	$[ * * * ]
	 	 
	 	 	 	 

    	3

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

Attachment II

 

[ * * * ]

 

Jun-13

 

	 	 	 
	 	 	 
	Products

[ * * * ]	Volume

    Price ($/short ton)	[ * * * ]%

    $[ * * * ]
	 	 	 
	[ * * * ]	Volume

    Price ($/short ton)	[ * * * ]%

    $[ * * * ]
	 	 	 
	[ * * * ]	Volume

    Price ($/short ton)	[ * * * ]%

    $[ * * * ]
	 	 	 
	Average Price	($/short ton)	$[ *
    * * ]
	 	 	 
	 	 	 

    	4

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

Attachment III

 

Honeywell Actual $/[ * * * ]

 

	 	Total
    Spend	[
    * * * ]	$/[
    * * * ]
	June 2004 Base	$ [ * * * ]	[ * * * ]	$ [ * * * ]
	 	 	 	 
	Q3 2010	 	 	 
	 	 	 	 
	July	$ [ * * * ]	[ * * * ]	$ [ * * * ]
	 	 	 	 
	August	$ [ * * * ]	[ * * * ]	$ [ * * * ]
	 	 	 	 
	September	$ [ * * * ]	[ * * * ]	$ [ * * * ]
	 	 	 	 
	[ * * * ] Q3 2010	 	 	$[ * * * ]

AVG

    	5

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

Attachment IV

 

[ * * * ] to:                                             04-2012

[ * * * ]

[ * * * ]

[ * * * ]

[ * * * ]

[ * * * ]

[ * * * ]

 

	 	[
    * * * ]	[
    * * * ]	 
	Rates	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	 
	Total
    $	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 
	Cars	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	 
	Net
    of transfers	 	 	 	 	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	 
	$
    per car	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 $     [ * * * ]	 
	Honeywell
    

Shipments	 	 	 	 	 	 	 	 	 	 	Total
    Cars
	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]
	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
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    * * * ]	[
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	[
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    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]
	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
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    * * * ]	[
    * * * ]
	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]
	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]	[
    * * * ]
	 	 	 	 	 	 	 	 	 	Cars	[
    * * * ]	$[
    * * * ]
	 	 	 	 	 	 	 	 	 	Tons/Car	[
    * * * ]	 
	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	AVG
    $/Car	$[
    * * * ]
	 	 	 	 	 	 	 	 	 	 	AVG
    $/Ton	$[
    * * * ]
	 	 	 	 	 	 	 	 	 	 	 	 

    	6

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

Attachment V

 

[[ * * * ] Letterhead]

 

January 14, 2010

 

Honeywell International Incorporated

Attn: Mr. Humberto Caldelas

905 East Randolph Road

P.O. Box 761

Hopewell, VA 23860

 

Re: [ * * * ] Contract

 

Dear Mr. Caldelas:

 

The calculated contract prices effective January 1, 2010 will
be as follows:

 

(A)      $[ * * * ] per thousand pounds of [ * * * ]
delivered
 (B)      $[ * * * ] [ * * * ] (Mar, Apr, May, Sep, Oct, Nov, Dec)
 (C)      $[ * * * ] [ * * * ] (Jan, Feb, Jun,
Jul, Aug)

 

The prices on the attached schedule are
calculated using the [ * * * ].

 

If you have any questions please contact me at 704-672-2885.

 

Sincerely,

 

Stephen M. Sweeney

Manager, Fuels & Materials

 

Attachment

 

cc: Mr. M. Williams

    	7

    	

    

Confidential Treatment Requested by AdvanSix Inc.

 

Attachment VI

 

[ * * * ]

 

	 	[* * * ]	 Feb-13	 

 

	 	Cents Per

    Pound

    of [ * * * ]	 	Total
    costs	 	Cost

    components	 	Pounds	 	 
	 	 	 	 	 	 	 	 	 	 
	Price Variance	[ * * * ]	 	   $         [ * * * ]	 	 	 	[
    * * * ]	 	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	   $         [ * * * ]	 	[ * * * ]	 	 
	 	 	 	 	 	   $         [ * * * ]	 	[ * * * ]	 	 
	 	 	 	 	 	 	 	 	 	 
	Shipping Cost	[ * * * ]	 	   $         [ * * * ]	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	[ * * * ]	[ * * * ]	 	   $         [ * * * ]	 	[ * * * ]%	 	[ * * * ]	 	   $         [ * * * ]
	 	 	 	 	 	   $         [ * * * ]	 	[ * * * ]	 	 
	 	 	 	 	 	   $                    -	 	[ * * * ]	 	 
	[ * * * ]	[ * * * ]	 	   $         [ * * * ]	 	 	 	 	 	 
	 	[ * * * ]	 	Per Pound of [ * * * ]	 	 	 	 
	 	 [ * * * ]	 	 	 	 	 	 	 	 
	 	[ * * * ]	 	Per Pound of [ * * * ]	 	 	 	 
	 	[ * * * ]	 	 	 	 	 	 	 	 
	 	[ * * * ]	 	Per Pound of [ * * * ]	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	 	Summary	 	 	 	 	 	 	 	 
	 	   $          [ * * * ]	 	Total Cost Increase	 	 	 	 	 	 
	 	[ * * * ]	 	Total [ * * * ] Pounds	 	 	 	 
	 	[ * * * ]	 	[ * * * ] on [ * * * ]	 	 	 	 	 	 
	 	[ * * * ]	 	[ * * * ] on [ * * * ]	 	 	 	 	 	 
	 	[ * * * ]	 	[ * * * ] on [ * * * ]	 	 	 	 

    	8

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00260-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00260-of-00352.parquet"}]]