Cash Management Offer Letter_Fujita

INTERNAL Fujita Corporation Proposal for provision of Cash Management Services 03 August 2021 Strictly Private and Confidential INTERNAL Table of Contents SOLUTIONS OVERVIEW ................................................................................................ ..............................4 1. PAYABLES MANAGEMENT ................................................................................................ ..............4 1.1. Account to Account Transfer ................................................................................................ .................... 4 1.2. Bangladesh Electronic Fund Transfer Network (BEFTN) ................................................................ ......... 4 1.3. Real Time Gross Settlement (RTGS) ................................................................................................ ....... 4 1.4. Internet Banking Fund Transfer (IBFT) ................................................................................................ ..... 5 1.5. Payroll Payments ................................................................................................................................ ...... 5 1.6. Duty Payment through RTGS ................................................................................................ ................... 5 1.7. Pay - order issuance ................................................................................................................................ ... 6 2. ONLINE BANKING THROU GH “STRAIGHT2BANK” ................................................................ ......6 3. VALUE ADDED SERVICES ................................................................................................ ................8 4.1. Premium Service Banking ................................................................................................ ........................ 8 4.2. Cash Pickup and Delivery ................................................................................................ ......................... 8 4.3. ERP Integration ................................................................................................................................ ......... 8 4. PRODUCT WISE DOCUMEN TATION ................................................................ ...............................9 5. SCHEDULE OF CHARGES ................................ ................................ ................................ .............. 10 6. RELATIO NSHIP MANAGEMENT FOR NIPPON PAINT (BANGL ADESH) PRIVATE LTD .......... 11 7. CONCLUSION ................................ ................................ ................................ ................................ ... 12 ANNEXURES ...............................................................................................................................................13 Annexure: BEFTN Payments ................................................................................................................................ 13 Annexure: Straight2Bank Payment Flow ............................................................................................................... 13 Annexure: Payroll Payments ................................................................................................................................. 13 Annexure: Duty Payment through Straight2Bank NextGen .................................................................................. 14 Annexure: Payment through RTGS ....................................................................................................................... 14 Annexure: Payment through IBFT ......................................................................................................................... 14 STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 3 Version: June 2020_Feb21SOC INTERNAL Executive Summary Standard Chartered Bank welcomes this opportunity to provide Fujita Corporation (FC) with a comprehensive statement of Cash Management capabilities to address FC’s requirements. Having reviewed and understood FC’s requirements, we believe we are well positioned to meet FC’s goals and priorities. Standard Chartered has a presence in Bangladesh for more than 100 years and is a leader amongst technological and banking infrastructure. Our focus on our clients, continued investment in Bangladesh and successful experience with large international and local companies places us in a good position to meet FC’s needs. It is our privilege to be given this opportunity to enhance our relationship with FC and we look forward to building a long-lasting partnership to collaborate with FC to drive Bangladesh’s economy. Through this proposal, we aim to work with FC to become FC’s banker of choice. Our solution incorporates a client centric approach to implementation, which will ensure that deployment of all services is undertaken smoothly and professionally. Standard Chartered’s relationship management team takes pride in its ability to understand our client’s requirements. We believe that Standard Chartered contributes to the relationship by providing solutions to challenges and identifying opportunities to enhance procedural and financial needs. A snapshot of our key offerings: Document Title Comprehensive reporting capabilities , via Excel and/or PDF reports for your accounts held in Bangladesh; A dedicated implementation/ integration team to ensure a smooth migration of services and a single Relationship Management point of contact based in Bangladesh. Help you achieve automation and process efficiency in receivables management and payments with our innovative solutions Streamline and rationalise your banking relationship and account structure for greater visibility and better control of accounts in- country, regional and global A single global internet platform, ‘Straight2Bank ’ which provides greater control and visibility of all accounts; and End to end integration with your Enterprise Resource Planning (ERP) STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 4 Version: June 2020_Feb21SOC INTERNAL Solutions Overview 1. Payables Management Standard Chartered offers a wide range of payment modes to cater to your various types of disbursement requirements, entailed as follows: Value Propositions of our different Payments Solutions:  Online Origination: Various payments can be initiated and authorized through our secured online banking platform ‘Straight2Bank’  Single payment file for all payment types sent through Straight2Bank: RTGS, BEFTN, Pay Order, Demand Draft, Corporate Cheque, Onsite Cheque Printing, Account to Account Transfer, etc.  Authorization matrix can be defined as per FC’s requirement conforming to Board Resolution.  Remote Printing – Onsite Cheque Printing at FC’s designated offices with signature verification at back end – unique in the market .  Mobile Authorization - Facility for authorizing payments using mobile phone – an Industry First .  Centralised / Decentralised payment processing as per FC’s operational requirement  Positive Pay : Straight2Bank initiated payments does not require additional confirmation for cheques issued over certain threshold as required by Bangladesh Bank . Moreover, Standard Chartered reconciles instruments details once received through clearing with information stored during printing of instruments. Therefore, it gives fraud protection to FC if cheques are not genuinely issued by FC.  Through Straight2Bank Wallet, payments are directly credited into electronic wallets same day, reaching even unbanked individuals. The details of our different payment propositions are given below: 1.1. Account to Account Transfer FC can initiate payment instruction to transfer funds to its account or other beneficiaries where the accounts are maintained with Standard Chartered under “ Book Transfer ” option of the bank’s electronic banking platform Straight2bank. Same currency transfers can be facilitated 24/7/365 (unless there are any restrictions put in the beneficiary’s account). This type of payments will be effective almost instantly when the instructions come to Standard Chartered. 1.2. Bangladesh Electronic Fund Transfer Network (BEFTN) FC can make payments to all BEFTN member banks spanning over 10,500 branches electronically and can be initiated through Straght2Bank. This is the most stable and cost-effective solution available in Bangladesh for inter-bank electronic fund transfers. The diagram given in Annexure illustrates the flow of BEFTN Payment including the general timeline it follows. 1.3. Real Time Gross Settlement (RTGS) FC can initiate payments through Straight2Bank platform for making payments using RTGS module. ‘Gross Settlement’ means the settlement of funds transfer instructions occurs individually (on an instruction by instruction basis). Some of the key features of RTGS payments are:  Standard Chartered shall send Payment Instructions to BD-RTGS system on your behalf within at most 30 (thirty) minutes from the receipt of the corresponding request and debiting your account  Currency supported is currently BDT only  Minimum Transaction amount: BDT 100k/ transaction  Return TAT: 1 hour The above-mentioned features are in line with Bangladesh’s central bank’s guidelines. If there is any change on these according to Bangladesh’s central bank’s guidelines, the same will automatically be applicable for you (whether or not Standard Chartered notifies you about such changes from time to time). We strongly urge that RTGS fund flows are advised through written letter/email notification to Standard Chartered prior to initiation at your end. This will help in efficient execution of the transactions and avoid processing delays which may arise due to regulatory and prudential liquidity compliance requirements. STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 5 Version: June 2020_Feb21SOC INTERNAL The thresholds and timelines for written notification of fund inflows and outflows to Standard Chartered are as follows: Amount per day Cut - off Time BDT 50 million and above One business day (Sunday to Thursday, except public holidays) prior to the actual transaction date or earlier Above thresholds and timeline will be reviewed from time to time by Standard Chartered, at its discretion, and will be communicated to you accordingly thereafter. The diagram given in Annexure illustrates the flow of RTGS Payment including the general timeline it follows. 1.4. Internet Banking Fund Transfer (IBFT) IBFT allows the bank’s customers to send real time payments to another bank from our online platform Straight2Bank. The transactions are credited to the beneficiary account within 45 seconds and the settlement system operates 24x7. Standard Chartered did the industry first live transaction for a corporate client using Straight2Bank. As limited number of banks are participating in the IBFT network as of now, before initiating IBFT transactions please check whether the beneficiary bank is IBFT enabled or not. Features of IBFT T ransaction T ypes Account to Account Account to Card Origination Method Straight2Bank Web, Mobile or H2H T ransaction Limits BDT 200,000 maximum per transaction BDT 1,000,000 daily transaction limit 20 transactions per day T ransaction TA T 45 seconds Operating F r equency 24x7 Incoming IBFT No transaction number limits for beneficiary Supports Virtual Account Reporting Various reports available through Straight2Bank InfoManager The diagram given in Annexure illustrates the flow of IBFT Payment including the general timeline it follows. 1.5. Payroll Payments Our proprietary electronic banking system, Straight2Bank is able to support data masking and segmentation by tagging users to specific payment types and roles, hence allowing only authorised personnel to access sensitive payroll information. Segregation of duties can be achieved without the need to open additional accounts. Our payroll payments module covers Account to Account transfer for payment to Standard Chartered accounts and BEFTN for payment to other bank accounts. The diagram given in Annexure illustrates the flow of payroll payments through Straight2Bank. 1.6. Duty Payment through RTGS This solution has been introduced by National Board of Revenue, Bangladesh Bank and Sonali Bank allowing other bank clients to make Import Duty Payment to Customs Houses via RTGS. At Standard Chartered we are offering this STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 6 Version: June 2020_Feb21SOC INTERNAL through our Straight2Bank NextGen platforms where the transaction originated by you is sent to Sonali Bank for updating Bangladesh Custom’s ASYCUDA system and our client is notified on the transaction status by Sonali Bank to the mobile number provided with the transaction– thus saving significant time for our clients. The product can be availed only through NextGen version of Straight2Bank platform. Clients already onboarded to Straight2Bank platform would also require to be onboarded separately to Straight2Bank NextGen; where clients will have the same login page and password but separate group ID for Straight2Bank NextGen only. Features of Duty Payment through Straight2Bank NextGen Payment system Real Time Gross Transfer (RTGS) Turn Around Time (TAT) 1 hour Cut - off time 3 PM Available ports a) Benapole Custom House b) Chattogram Custom House c) Dhaka Custom House (Dhaka Airport) d) ICD Kamalapur Custom House A detailed process flow of Duty Payment through Straight2Bank NextGen can be found in Annexure. 1.7. Pay-order issuance Pay order instruction to come through Straight2bank and shall be printed out at the bank premises. The instruments will then be couriered to locations as per your delivery instruction or may be picked up from our premised by your authorized individuals. 2. Online banking through “Straight2Bank” Our cash management solutions can be automated using our state-of-the-art internet platform – “Straight2Bank”. Your payment instructions will come to our processing hub through online authorization from your end resulting in immediate transaction processing. The only requirement is internet access. Straight2Bank uses the highest level of security available in the world today. All communication between your browser and Straight2Bank are fully encrypted using 128-bit SSL encryption and authenticated with StanChart’s world class Global Trust Infrastructure (our PKI process) that meets the Global standard. Straight2Bank offers comprehensive reporting solutions for your collection and payments and is accessible 24/7, via internet. Reporting through Straight2Bank: As per your requirement for obtaining online reports and statements, few of the major reports are listed below for your reference:  Account Statement  Account Balance  Balance History  Intraday Transaction Details Any report mentioned above can be downloaded in your computer. Using Straight2Bank for your reporting purposes will save you time and ease your process of reconciliation. Payments through Straight2Bank Standard Chartered offers a wide range of payment modes to cater to your various types of disbursement requirements, entailed as follows:  Issuance of instruments – PayOrder, Demand Draft, Cheques etc  Account to account transfer within Standard Chartered  Electronic transfer to other bank accounts using BEFTN, RTGS, IBFT through NPSB STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 7 Version: June 2020_Feb21SOC INTERNAL  Outward Telegraphic Transfer for overseas payments  Duty Payment through RTGS The diagram given in Annexure illustrates the flow of Straight2Bank Payment. STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 8 Version: June 2020_Feb21SOC INTERNAL 3. Value Added Services 4.1. Premium Service Banking We offer instruments and documents (including trade documents) collection via our Premium Service Banking (PSB). This is done in collaboration with a third-party security / courier service company. The service is provided during normal banking hours (10:00 am to 4:00 pm) on business days (Sunday to Thursday, except public holidays). Afternoon/evening service can also be provided to FC as a preferential service as per the standard terms and conditions of Standard Chartered. PSB courier representative will collect instruments and documents from your premises and deposit to Standard Chartered. The service is limited to Standard Chartered Dhaka and Chattogram only. 4.2. Cash Pickup and Delivery Through our Cash Pick-up & Delivery (CPD) Service, we will pick-up/ deliver cash from/ to your designated office premises. The whole process is supported by a full logistic setup that is in line with international standards. It offers you Security , Convenience , Insurance Cover and flexible pick-up and delivery times . This is our initiative to bring Standard Chartered closer to you. We provide you the flexibility of setting up regular periodic pick-up/delivery or on call services to meet your irregular requirements. The primary coverage location is Dhaka & Chattogram; however, we can explore other areas depending on coverage by the service provider and Standard Chartered branch presence locations. 4.3. ERP Integration To bring further security and automation to your payments, collection and reconciliation process we would like to take the opportunity to offer you JH2H integration with your ERP. Following is a snapshot of the service: JH2H: We will install Java based Host to Host (JH2H) connectivity tool in computer(s) designated by you. Payment: After the payment file is created by your executive in a prescribed format it will be automatically uploaded to our electronic banking platform Straight2Bank through JH2H topology. The approver then can log into Straight2Bank and approve the payment. Reconciliation: Prior day or intraday bank statement in global standard file formats will be automatically downloaded in a particular location at JH2H folder of your computer for you to view the statement and upload the same on to your ERP for reconciliation. Besides Host-to-Host connectivity, we can also integrate with your system through Application Programming Interface (API). An API is a well - defined connectivity service which delivers data between two servers in a secure manner. APIs are fast becoming the standard means by which companies and systems exchange data, build a consistent customer experience across channels and deliver value - added services. STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 9 Version: June 2020_Feb21SOC INTERNAL 4. Product wise Documentation In order to initiate the implementation of our products and Straiht2Bank platform, the following documents are required to be signed and accepted by your authorized signatories: Payables Management Solutions  BEFTN o BEFTN Form  Straight2Bank Wallet o S2B Wallet Service Supplement  Onsite Cheque Printing o Straight2Bank Access o OCP Service Supplement o Signature set-up form  Virtual Account for Payments o Virtual Account for Payment Setup Form Straight2Bank  Straight2Bank (S2B) services o Service Application Form o Standard Terms o Consolidated Country Supplement o Straight2Bank form o Relevant Service Supplements Value Added Services  PSB Services: PSB Setup Form General  Acceptance of proposal / offer letter by authorized signatories  Board resolution/extract/instruction mentioning your consent to avail the facilities from Standard Chartered Note:  If you have previously signed any of the above required documents, you are not required to sign them again.  Notwithstanding the foregoing, Standard Chartered reserves the right to collect any other information and/or document required by it from time to time for the services contemplated under this document pursuant to its policies and regulatory requirements and the client undertakes to provide the same. STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 11 Version: June 2020_Feb21SOC INTERNAL 6. Relationship Management for Fujita Corporation Standard Chartered’s Client Service team will ensure that proposed solutions are implemented effectively and efficiently by a team of its experienced officers utilizing a series of tried and tested tools and techniques, coordinated by a single point of contact dedicated to FC. Standard Chartered looks forward to and anticipates the prospect of initiating a deeper relationship with FC. Standard Chartered views this Transaction Banking proposal as an important step towards cementing its relationship with FC. Please direct any queries regarding this proposal to: Nadia Mahbub Director Global Subsidiaries Ph: 88 02 88330034 4420 Email: nadia.mahbub@sc.com Aqeel Arafat Shirazi Director Transaction Banking, Sales Ph: +8809666354215 E-mail: aqeelarafat.shirazi@sc.com Dedicated Service Management A dedicated client service group is working from 10 am to 6 pm on business days (Sunday to Thursday, except public holidays) to meet any kind of post transaction or any other service requirement of FC. To get the service, just contact Client Services Group at: Hotline: +88 09 666 77 2424 from 10:00 am to 6:00 pm on working days Email : Straight2bank.bd@sc.com The team will promptly attend you with right feedback and update. STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 13 Version: June 2020_Feb21SOC INTERNAL Annexures Annexure: BEFTN Payments Annexure: Straight2Bank Payment Flow The entire payment solution can be automated using our latest web-based payment platform – Straight2Bank Payment. The payment instructions will come to our processing hub through authorization from your end resulting in immediate transaction processing. Annexure: Payroll Payments STANDARD CHARTERED’s Cash Management Proposal to Fujita Corporation Strictly Private & Confidential Page 14 Version: June 2020_Feb21SOC INTERNAL Annexure: Duty Payment through Straight2Bank NextGen Annexure: Payment through RTGS Annexure: Payment through IBFT