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       SENNEBOGEN WARRANTY MANUAL




       STANDARD AND EXTENDED WARRANTY




SENNEBOGEN LLC
2830 N. I-85 Service Road, Suite H
Charlotte, NC 28206
Tel: (704) 347 - 4910
Fax: (704) 347 - 8894
www.sennebogen-na.com


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INDEX


Introduction                              Page 3

Standard Warranty                         Page 5

Exceptions to Reimbursement               Page 7

Warranty Labor Reimbursement Rate         Page 9

Labor Registration                        Page 10

Warranty Parts Disposition                Page 11

Standard Warranty Overview                Page 12

Extended Warranty                         Page 13

Application form for Extended Warranty    Page 14

Extended Warranty Policy Document         Page 16

Master component schedule                 Page 21

General Provisions                        Page 22

Owner Responsibilities                    Page 23

Claim Procedures                          Page 24

List of Appendix                          Page 25




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INTRODUCTION

Sennebogen LLC, through quality in manufacturing, innovative design, and a reputable
Dealer organization, in constantly striving for the best parts, service, and general business
practices in order that we may better serve our dealers and their customers. To help achieve
this goal we have established this warranty policy manual.


This manual covers all Sennebogen products only and is intended as a reference to:


(1) Define a fair and equitable policy for the standard warranty that should eliminate any
    doubt or question in regard to all areas of warranty administration,
(2) Define procedures and requirements necessary for obtaining reimbursement by the
    Dealer for standard warranty repairs,
(3) Define a fair and equitable policy for the extended warranty that should eliminate any
    doubt or question in regard to all areas of warranty administration,
(4) Define procedures and requirements necessary for obtaining reimbursement by the
    Dealer for extended warranty repairs


We ask that all dealer personnel involved with service and warranty administration to review
this manual and become familiar with these policies and procedures.


The operation and maintenance manuals contain maintenance instructions depending on
operating conditions and service periods. These maintenance procedures form part of the
proper operation of the machine. Failure to follow them can generate problems with the
machine operation, and a loss in reliability and service life of the machine.


Careful treatment, in addition to the specified maintenance procedures, will reduce the
probability of machine problems and failures. One of the key factors is the proper training
and behaviour of the machine operator. SENNEBOGEN LLC requires, as part of the
commissioning and handing over of the machine to the customer, that the dealer provides a
basic operating training for the machine operators. Warranty is ruled out for any loss or
damage due to neglect or inadequate care.


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Maintenance work specified in the service book, which has not been performed at all, has
not been carried out in due time, has been inadequately completed or has not been
performed by an authorised SENNEBOGEN LLC service partner can result in the warranty
claim being rejected.    Warranty is ruled out for any loss or damage due to lack of
maintenance.


Scheduled oil sampling and analysis provides the customer and owner or user with regular
information about the condition of the machine. This preventative measure helps to detect
potential failures or defective components. Analysis intervals have been included in the
service book.


SENNEBOGEN LLC strongly recommends oil sampling and analysis at regular
intervals.




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STANDARD WARRANTY

Sennebogen LLC warrants all machines for a period of twelve (12) months or 2,000 hours of
operation whichever occurs first, to the original retail purchaser, but not later than eighteen
(18) months after delivery to the dealer.


SENNEBOGEN will repair or replace, at its discretion, at the selling Dealer’s place of
business, any part, FOT Charlotte, NC, proven to be defective in material or workmanship. A
written claim must be submitted to SENNEBOGEN within thirty (30) days of completion of
repairs of defective parts, and said parts need to be returned to SENNEBOGEN, freight
prepaid, upon request.


The claim has to be submitted to SENNEBOGEN on the attached warranty Application Form
(Appendix 1). The instructions on how to fill in this form are attached (Appendix 2)


The above-mentioned warranty shall not apply to any damage caused by improper
maintenance, alteration, repair, neglect, accident, or misuse. This warranty does not apply to,
nor does SENNEBOGEN assume responsibility for, trade accessories such as engines, as
these items are warranted by their respective manufacturers. Please refer to Appendix 7 for
details on the Deutz engine warranty.


THE WARRANTIES SET FORTH IN THIS MANUAL ARE INTENDED SOLELY FOR
THE BENEFIT OF DISTRIBUTOR. ALL CLAIMS HEREUNDER SHALL BE MADE BY
DISTRIBUTOR AND MAY NOT BE MADE BY DISTRIBUTOR’S CUSTOMERS. THE
WARRANTIES SET FORTH ABOVE ARE IN LIEU OF ALL OTHER WARRANTIES,
EXPRESS OR IMPLIED, WHICH ARE HEREBY DISCLAIMED AND EXCLUDED BY
SUPPLIER, INCLUDING WITHOUT LIMITATION ANY WARRANTY OF
MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE AND
ALL OBLIGATIONS OR LIABILITIES ON THE PART OF SUPPLIER FOR DAMAGES
ARISING OUT OF OR IN CONNECTION WITH THE SALE OF THE PRODUCTS OR
THE USE, REPAIR OR PERFORMANCE OF THE PRODUCTS. IN NO EVENT SHALL
SUPPLIER’S LIABILITY OF ANY KIND INCLUDE ANY SPECIAL, INDIRECT,
INCIDENTAL OR CONSEQUENTIAL LOSSES OR DAMAGES, EVENT IF SUPPLIER
SHALL HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH POTENTIAL LOSS
OR DAMAGE.

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The following items are critical to make sure that the warranty claim will not be denied:

   MAINTENANCE AND SERVICING BY DULY AUTHORIZED PARTNERS
   Only the SENNEBOGEN LLC dealers are authorised to perform the service specified by
   the warranty. Services performed by a third party will cause any warranty claim to become
   invalid!

   REGULAR MAINTENANCE
   The preventive maintenance has to be done according to the intervals as specified in the
   service book and in the operation and maintenance manual.


   CONTINUOUS OPERATION OF THE SERVICE HOUR METER.
   Proper operation of the service hour meter must be ensured at all times. Any defective
   service hour meters must be reported to the SENNEBOGEN dealer for immediate
   replacement. The respective service hour meter reading and the date must be noted in
   the service book and proof thereof furnished upon request. Failure to meet this
   requirement will cause any warranty claim to become void.

   USE OF THE MACHINE AS INTENDED.
   Improper use of the machine will cause any warranty claim to be invalid.


   USE OF APPROVED LUBRICANTS.
   A warranty claim can be rejected when damage is caused by the use of explicitly not
   approved lubricants. It is not possible to test all lubricants. The lubricants approved by
   SENNEBOGEN LLC are summarised on the maintenance manual.




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EXCEPTIONS TO REIMBURSEMENT

SENNEBOGEN reserves the right to decline reimbursement requests, all or in part, under the
following conditions;


A. Repeat failures
    Requests for the repair of repeat failures when, in the judgment of SENNEBOGEN, such repairs
    have not been discharged in accordance with procedures and practices generally accepted as
    industry standard. SENNEBOGEN will not be responsible for errors made by the Dealer during
    repairs.
B. Parts Source
    Parts and components installed on SENNEBOGEN products that have been procured from a
    source other than SENNEBOGEN LLC.
C. Design Alteration
    Unauthorized repair of a product which would alter the design by any means in such a fashion that
    would affect the safety of the user of product or the integrity of the design.
D. Oil, Filters, and Other Wear Items
    Because oil and filters are considered items of normal maintenance, these items are subject to
    limitations of reimbursement. Reimbursement for oil will be considered only when a failure occurs
    at a time less than one-half the first oil change interval, which contaminated the oil and
    necessitated oil replacement. The cost of filter replacements will not be provided under any
    circumstances. Hydraulic hoses and cylinder seals are not warranted unless they are found at the
    time of the original delivery.
E. Unauthorized Sublet
    Unauthorized sublet repairs are considered expenses such as machining and welding.
    SENNEBOGEN will consider reasonable sublet repair expense, when appropriate, with prior
    authorization; and requests for any such repairs in accompanied by copies of supporting invoices.
    SENNEBOGEN reserves the right to decline any such requests at it’s discretion, or issue credit for
    a portion of the authorized dealer’s retail labor rate by 60% or, in an amount equal to the
    authorized dealer’s net price of the part or component being repaired, whichever is less.
F. Freight Expense
    Freight expense incurred by the authorized dealer in obtaining parts for warranty repairs is not
    subject to reimbursement. Each authorized dealer is expected to maintain an inventory of parts
    required to adequately serve the customer’s requirements for each of the products in the
    authorized dealer’s servicing area.

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G. Repair or Replace
     Most often the authorized dealer takes the first steps in exercising a warranty decision and
     determines whether to repair or replace a component. Whereas SENNEBOGEN expects the
     authorized dealer to maintain and adequate parts inventory, SENNEBOGEN also expects the
     authorized dealer to elect to repair a part or component when that choice offers the least
     expensive means of repair; (i.e. a leaking seal on a hydraulic pump should be replace rather than
     replacing the complete pump). The authorized dealer may be, at SENNEBOGEN’s discretion,
     reimbursed only for the least expensive means of repair.
H. Normal wear and tear
     Normal wear and tear as well as failures and/or damages occurring to attachments such as
     buckets, grapples, magnets, etc., are warrantable only when the failure can be directly attributed to
     defects in material or workmanship of the manufacturer.
I.   Utilization of non authorized attachments
     The dealer has to get authorization from SENNEBOGEN to install any attachments on the
     machines. Utilizing attachments that are not compatible with the machine design may compromise
     its stability, operation and be the cause for premature failures.
J.   Disassembling of components
     Open or disassembled parts and components are excluded from the warranty. After disassembling
     damage analysis is no longer possible. These warranty claims are generally rejected by the
     suppliers of the components.




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WARRANTY LABOR AND PARTS REIMBURSEMENT RATE

SENNEBOGEN will reimburse the authorized dealer for labor costs incurred per the following
guidelines:


A. The dealer will be compensated for reasonable labor costs to diagnose a problem and to
   repair or replace a part(s) while a product is within the defined warranty period.


B. When problem diagnosis is required, SENNEBOGEN expects the authorized dealer to
   exercise   good   judgment     and,   if   necessary   request    and   follow   Sennebogen
   recommendations and instructions.


C. SENNEBOGEN does not publish a “Standard Work Hours” guideline. SENNEBOGEN will
   compensate for reasonable hours worked, but will not cover a Service Technician’s idle
   time caused by lack of access to the machine, lack of proper tools, or other non-
   productive work time.


D. The Authorized Dealer will be compensated for labor, mileage and parts costs based on
   the following formulas:


     a. LABOR: 100% of authorized dealers standard external shop labor billing rate
     b. MILEAGE: 100% of authorized Dealers standard mileage billing rate.
     c. PARTS: Dealer Net.


E. SENNEBOGEN does not compensate for authorized dealer’s service technician’s
   travel time or machine transport.




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LABOR REGISTRATION

SENNEBOGEN requires verification annually of each Authorized dealer’s retail labor and
mileage rates. The attached registration form (Appendix 3) has to be sent to SENNEBOGEN
LLC 30 days after the signature of the contract, with a copy of a current customer invoice
confirming these rates. If the dealer requires adjustment of these rates, this can be done
once a year, not later than December 31st, by filling in the attached form and sending it to
SENNEBOGEN LLC together with a copy of a current customer invoice confirming these
rates.




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WARRANTY PARTS DISPOSITION


The authorized dealer is expected to retain all parts for which reimbursement is requested in
a location protected from further damage and weather deterioration until the return of the part
is requested or credit is issued for that part.
All part returns requests must be appropriately identified (a copy of the warranty claim has to
be attached to the part) and shipped prepaid to Sennebogen LLC, Charlotte, NC.
When credit is issued for a part without its return requested, the part is to be disposed by the
authorized dealer, in a way that will prevent its use again.
Failure to return a part within 45 days of a return request will result in rejection of the
warranty request.




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WARRANTY OVERVIEW


                                    Date of delivery to the customer or
                                    when the commissioning certificate (Appendix 5) is sent
Starting date of Warranty           within 5 working days after commissioning to
                                    SENNEBOGEN - Date of commissioning;
                                    However no more than 6 months after delivery to the dealer.


Duration of the standard warranty   12 months, maximum 2000 working hours, whichever occurs
                                    first.


Duration of the extended warranty
                                    There are several programs available. Please refer to the
                                    extended warranty section of this manual.



Commencement of warranty for        Date of installation, no later than 12 months after delivery to
parts eligible for own warranty:    the dealer.
(spare parts warranty)


Duration of warranty for factory new 12 Months, maximum however 2000 working hours, whichever
parts eligible for own warranty:     occurs first.
(spare parts warranty)


Duration of warranty for
remanufactured parts eligible for   6 Months, maximum however 600 working hours, whichever
own warranty.                       occurs first.
(spare parts warranty)


Term for submission of warranty     No later then 30 days after correction of the problem.
requests.


Date of submission of the Dealer
Receiving Inspection form.          5 Working days after receiving the machine.
(Appendix 4)


Deadline for returning old parts.   45 days after the request by SENNEBOGEN to return parts




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EXTENDED WARRANTY


The following extended warranty programs are available (standard factory warranty: 12
months / 2,000 hours):



POWERTRAIN, POWERTRAIN + HYDRAULICS & FULL MACHINE
EXTENDED WARRANTY


Definition of extended warranty:
24 MO / 4000 HR mean 12 months Standard Factory warranty plus 12 months extended
warranty with a total of 4000 Hours.


POWERTRAIN (No deductible until machine reaches 7,500 hours)
      24 MO/4000 TOTAL HR      36 MO/6000 TOTAL HR      36 MO/7000 TOTAL HR
      48 MO/*8000 TOTAL HR     60 MO/*10,000 TOTAL HR
* $500 DEDUCTIBLE APPLIES UPON MACHINE REACHING 7,500 HOURS



POWERTRAIN + HYDRAULICS (No deductible until machine reaches 7,500 hours)
      24 MO/4000 TOTAL HR      36 MO/6000 TOTAL HR      36 MO/7000 TOTAL HR
      48 MO/*8000 TOTAL HR     60 MO/*10,000 TOTAL HR
* $500 DEDUCTIBLE APPLIES UPON MACHINE REACHING 7,500 HOURS



FULL MACHINE (No deductible until machine reaches 7,500 hours)
      24 MO/4000 TOTAL HR      36 MO/6000 TOTAL HR      36 MO/7000 TOTAL HR
      48 MO/*8000 TOTAL HR     60 MO/*10,000 TOTAL HR
* $500 DEDUCTIBLE APPLIES UPON MACHINE REACHING 7,500 HOURS


Please refer to Appendix 6 for prices


Other options are available. Please contact us.
EXTENDED WARRANTY MUST BE PURCHASED BEFORE FACTORY WARRANTY
EXPIRES

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             APPLICATION FORM FOR EXTENDED WARRANTY
                                                      9/1/03


Dealer: ___________________________________________________
Phone: ____________________                  Fax: ____________________
Address, State, & Zip: ______________________________________________
_________________________________________________________________
Contact person:___________________________________________________


Machine Type: ________________________ Model: ________________
Serial#:_________________________
Current Hours:__________________



TYPE OF COVERAGE:
POWERTRAIN __               POWERTRAIN + HYDRAULICS __                           FULL MACHINE __


COVERAGE AMOUNT:
TOTAL MONTHS ____________ / _______________ TOTAL HOURS
                 ($500 DEDUCTIBLE APPLIES UPON MACHINE REACHING 7,500 HOURS)




STANDARD WARRANTY EXPIRATION DATE: ________________________________
(Coverage must be applied for prior to expiration of the standard warranty. Extended warranty coverage
will take effect upon standard warranty expiration)




YOU MAY USE THIS SAME APPLICATION FORM TO TRANSFER EXTENDED WARRANTY
Transfer information only: (Ext. Warranty is transferable one time for a $50 transfer fee.)
If applicable please transfer Certificate # ________________________________ to new owner below.




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Customer Name: __________________________________________________
Phone: ____________________             Fax: ____________________
Mailing address: _________________________________________________
                   __________________________________________________________________________

Contact person:___________________________________________________

DATE: _______________



_____________________________________
(SIGNATURE)


(Please print Rep. Signature):
___________________________________________________________




Please mail this application and you check to:
Sennebogen LLC
Warranty Department
2830 N. I-85 Service Road Suite H
Charlotte, NC 28206

    CERTIFICATES OF EVIDENCE AND POLICY DOCUMENTS WILL BE FORWARDED TO THE DEALER




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EXTENDED WARRANTY POLICY DOCUMENT


This is to certify that in accordance granted by the Undersigned, by Underwriters at
Lloyds of London, (The Underwriters) whose names and proportions written by them,
which shall be supplied on application can be ascertained be reference to the said
Contract, which bears the seal of Lloyd’s Policy Signing Office, and in consideration
of the premium, the Insurers are hereby bound, for his own part and not for one
another, their Heirs, Executors and Administrators, to insure the person(s) named on
the Validation Certificate, subject to the Terms, Definitions, Conditions and
Exclusions as specified.
In witness where of this Agreement has been signed by


Definitions:
1.       Assured:               i:         shall mean the name specified in the schedule attached hereto, who shall be
         domiciled in the United States of America and Canada.
                                ii:        for the purpose of the attached Schedule the “Assured” shall also be deemed to mean
                                           “Owner” (or “Lessee” for the leased products) and therefore “Owners” of the insured
                                           machine.
2.       Insured Machines:                 shall mean the machine described in the schedule attached.
3.       Underwriters:                     shall mean the Underwriters as defined in the schedule.
4.       Repairer:                         shall mean the “Authorized Dealer”.
5.        Components:                      shall mean those parts installed in the factory or genuine Manufacturer parts installed
          by an authorized dealer.
6.        Warrantable Defect:              shall mean any Electrical, Hydraulic or Mechanical Breakdown shown to be due solely
          to defective materials or factory workmanship necessitating repair or replacement in accordance with conditions of
          the certificate.
7.        Repair/Replacement:              shall mean the usual and reasonable charges for components and/or labor to repair or
          replace the Insured machine exclusive of any part of such charges as represents local taxes recoverable by the
          Assured and any part of such charge that may exceed the Limit of Indemnity for any one claim and for the aggregate
          of all claims that applies to this policy
8.       Territorial Limits:               shall mean the United States or Canada.
9.       Limit of Indemnity:               The Underwriters liability shall not exceed the Limit of Indemnity shown in the Schedule
                                           for any one claim and all claims in aggregate during the Indemnity Period of this policy.
TERMS AND CONDITIONS:
1.       Subject to terms, conditions and limitations that follow and provided that the Assured has at all times observed the
         Assureds Responsibilities here in then the Authorized Dealer will repair or replace, as it elects, any components of the
         Insured Machine that experience a warrantable defect within the Territorial Limits during the Indemnity Period, without
         charge to the Assured for parts or labor.

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2.     As used in this document, “warrantable defect” means any Electrical, Hydraulic or Mechanical Breakdown shown to
       be due solely to defective materials or defective factory workmanship necessitating repair and/or replacement in
       accordance with the conditions of this Policy.
3.     This policy is not refundable.
4.     This policy does not preclude you from exercising your contractual, legal or statutory rights as a customer of the
       machine retailer nor your rights under the Initial Manufacturer’s Warranty.
5.     Underwriters shall be entitled on the happening of any loss to undertake in the name and on behalf of the Assured the
       absolute conduct control and settlement of any proceedings as its own expense and for its own benefit but in the
       name of the Insured to recover compensation or secure indemnity from any third party in respect of anything covered
       under the policy.
6.     No repairs are to be commenced until authorized by Underwriters.
7.     Any exploratory dismantling charges will only be reimbursed as part of valid claim. It is the responsibility of the
       Assured to authorize dismantling and to pay the charges if such dismantling proves that the failure is not the
       responsibility of the Insurers.
8.     The Assured shall take all reasonable steps to safeguard the Insured Machine from loss or damage and to maintain it
       in efficient condition. The Insured vehicle must be serviced in accordance with the Manufacturer’s recommendations
       and within time of the recommended intervals.
9.     If any difference should arise as to the amount to be paid under the policy (liability being otherwise admitted) such
       difference shall be referred to an arbitrator to be appointed by the parties in accordance with the statutory provisions.
       Where any difference is by this condition to be referred to arbitration the making of an award shall be a condition
       precedent to any right of action against Underwriters.
10.    The due observance and fulfillment of the terms, conditions and endorsements of the policy by the Insured insofar as
       they relate to anything to be done or compiled with by the Assured and the truth of the statements and answers
       contained in the Application Form shall be conditions precedent to any liability of Underwriters to make any payment
       under the Policy..
11.    Underwriters shall not be liable in respect of any claim insured by any other existing policy or policies, warranty or
       guarantee in respect of any excess beyond the amount which is payable under such policy or policies, warranty or
       guarantee.
12.    If any claim is fraudulent in any respect, all benefits under the policy will be forfeited.
13.    Underwriters shall not be liable for any statements or representation, written or verbal (by whosoever made) which
       contradicts the Terms             and Conditions of the Policy, unless such statement or representation is supported in
       writing by Underwriters on their behalf within the limits specified in the Schedule of this Cover.
ASSURED’S RESPONSIBILITIES
1.     The Assured at his or her own expense, must maintain, operate and service the Insured Machine as indicated in its
       Operator’s Manual. The Assured must maintain adequate records of the Insured Machine’s maintenance and service
       history, including the use of genuine Manufacturer parts.
2.     The Authorized Dealer must fully service and inspect the Insured Machine according to the Schedules and
       procedures aid down in the operator’s manual at the Assureds cost.
3.     Covered repairs must be performed by an Authorized Dealer. When requesting covered repairs, the Assured must
       present this Policy and, if requested, records of the Insured Machine’s maintenance and service history.




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EXCLUSIONS:


1.     Losses arising from faulty design or any costs and expenses arising from the recall or inherent design faults, for any
       reason whatsoever, of the Insured machine.
2.     Mechanical breakdown where the fault(s) could be reasonably stated by a qualified engineer appointed by
       Underwriters, to have existed before the commencement of the policy. Any such pre-existing faults must be rectified
       before the Underwriter’s obligations under the policy can come into effect.
3.     Any parts that are replaced at the time of repair which have not actually failed, unless it is correct engineering
       procedure to do so.
4.     Any loss where the hourmeter/tachograph/odometer has been tampered with, altered, disconnected or is not working
       and has not been reported to an authorized Sennebogen dealer.
5.     Any loss or damage to the original components as a result of alteration or modification to the Manufacturers
       specification.
6.     Machines which are owned temporarily or otherwise (resulting from trade in or acquisition for the purpose of resale)
       by a business formed for the purpose of selling or servicing construction or agricultural machinery.
7.     Machines which are not serviced in accordance with the terms of servicing requirement defined in the Assureds
       Responsibilities of this Insurance Certificate.
8.     Components which are not of defective factory workmanship but which are replaced during the course of repair,
       unless it is correct engineering procedure to do so; components which have been improperly repaired.
9.     Parts which are worn but still within the Manufacturer’s tolerance.
10.    The gradual reduction in operating performance commensurate with the age of the Insured Machine. This includes
       but is not limited to gradual loss of engine compression necessitating the repair and/or replacement of valves or
       piston rings and gradual increase in oil consumption due to normal operating functions.
11.    Any loss caused by frost damage, misuse or neglect.
12.    Repairs and/or replacements not previously authorized by an authorized Dealer.
13.    Any loss or damage of whatsoever nature arising directly or indirectly in whole or in part due to any type of accident or
       to any act or omission which is willful, unlawful or negligent.
14.    Any loss solely due to:
       a.        wear and tear, gradual deterioration, rust, scale or other deposits.
       b.        scratching or chipping of painted or polished surfaces
       c.        corrosion or deterioration due to chemical or atmospheric conditions or otherwise.
15.    Reduced performance or efficiency of the Insured Machine.
16.    Penalties for any delay or detention, liquidated damages or any other consequential loss, damage or liability unless
       expressly covered by this Policy.
17.    Any loss, damage, which in the opinion of a qualified engineer appointed by the Underwriters was caused wholly or
       partially from lack of maintenance, abuse, and neglect in taking reasonable preventive steps or overloading or over
       revving of its engine (governor seals must be intact).
18.    Liability which attaches by virtue of an agreement but which would not have attached in the absence of the said
       agreement.
19.    Any liability for death, bodily injury or damage to other property or any consequential loss of whatsoever nature arising
       directly or indirectly from any defect or nature.
20.    Any loss, damage or liability, which is claimable under any other existing Insurance. Guarantee Warranty or Contract
       Maintenance Agreement, and any warrantable defects claimable under the Initial Manufacturer’s Warranty.
21.    Loss or Damage directly or indirectly occasioned by, happening through or in consequence of war, invasion, acts of
       foreign enemy, hostilities, (whether war be declared or not) civil war, rebellion, revolution, insurrection, military or


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          usurped power or confiscation or nationalism or requisition or destruction of or damage to property by or under of any
          government or public or local authority.
22.        a.) Loss or destruction of or damage to any property whatsoever or any loss or expense whatsoever resulting or
           arising there from or any consequential loss.
           b.) Any legal liability of whatsoever nature directly or indirectly caused by or contributed by or arising from
           ionizing radiation’s or contamination by radioactivity from any nuclear fuel of from any nuclear waste from the
           combustion of nuclear fuel
          d.) the radioactive, toxic, explosive or other hazardous properties of any explosive nuclear assembly or nuclear
          component thereof.
23.       Loss destruction or damage directly occasioned by pressure waves caused by aircraft or aerial devices traveling at
          sonic or supersonic speeds.
24.       Failures caused by fire, collision, accident, theft, vandalism, explosion, chemicals, salt, casualty, or the environment
          (wind, water, lightning, heat, cold, hail, earthquake), and any other extraneous cause.
25.       Expenses associated with routine maintenance and/or replacement or service items, consumable such as oils, filters,
          coolants and the like, and normal wear items (unless required to repair a warrantable defect)
26.       Costs incurred for the betterment of the Insured Machine or its components.
27.       All components NOT listed in the Master Parts Schedule.
28.       Premium charges for overtime labor requested by the Assured.
29.        Transporting the Insured Machine to and from the place where servicing and/or repairs are performed and service
           calls made by the Repairer.
30.       Recurring faults happening within 60 days of one another will not be the responsibility of the Underwriters.
TERMINATION OF COVERAGE:
Underwriters are relieved of their obligation under the Policy if:
1.        service (other than normal maintenance and replacement of service items) is performed by someone other than an
          authorized Dealer; or
2.        the product is alerted or modified in a way not approved by the manufacturer; or
3.        the product’s hourmeter, tachogroaph or odometer has been rendered inoperative or otherwise tampered with; or
4.        the product is removed from the United States or Canada: or


TRANSFER OF POLICY UPON RESALE
Any unexpired portion of this policy may be transferred to a subsequent Purchase or the product only if:
1.        The subsequent Purchase is made before the Insured Machines Policy Coverage expires.
2.        The product is determined by the Underwriters to be in satisfactory condition following an inspection performed by an
          authorized Dealer in accordance with the Underwriters instructions at the subsequent purchaser’s expense and
3.        Transfer documentation, upon forms furnished by your authorized selling Dealer, are properly completed and
          submitted for confirmation by Underwriters; and
4.        The transfer fee of $50.00 is paid to Underwriters
5.        The Underwriters written confirmation of the transfer is received by the subsequent purchaser.


NO IMPLIED WARRANTY
Where permitted by law products carry no implied warranty of merchant ability of fitness.




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CLAIMS PROCEDURES:


1.     Deductible may apply, please see policy certificate for amount.
2.     Contact your dealer from whom this Policy was issued or any other authorized dealer, to organize an inspection of the
       Insured Machine to ascertain the cause of failure. Please be prepared to hand the following documents to the
       authorized Dealer:
       a.)       this Insurance policy and Validation Certificate
       b.)       proof of Servicing, including the use of genuine Manufacturer parts
3.     The authorized dealer will establish the cause of the breakdown, and check that the component(s) directly causing the
       failure are covered by this Policy.
4.     The authorized Dealer will be obliged to retain all replaced parts, after settlement of claim or otherwise authorized, for
       a maximum period of 2 months.
5.     The Claims Service will visit authorized Dealers on a random basis to inspect damaged parts.
6.     Mileage will be reimbursed up to a maximum of 150 miles on all equipment insured with Full Machine coverage.
7.     The Claims Service reserve the right to examine any Insured Machine and subject the damage to expert assessment
       before commencement of any repairs and/or replacements within 24 hours of claims notification. It shall be clearly
       understood and agreed that in the event of any dispute arising as to the extent of the liability of Underwriters the
       decision of the assessor shall be final and binding on both Underwriter and the Assured (being the Insured Machine
       owner).
8.     Following completion of repairs, the completed Claim Form, Invoice, and any supporting documents (this may include
       the Policy Document) will be forwarded by the repairing authorized dealer to the Claims Service for reimbursement.
9.     Where necessary, the Policy Documents will be posted back to the Assured following review by the Claims Service;
       please check they are intact.
10.    Any additional costs not insured hereby, or in excess of the terms of your Policy, must be settled directly with the
       authorized dealer at the time of repair. The authorized dealer forwarding the documentation on your behalf will be
       deemed to have authority to receive payment direct for the cost of repair and/or replacement.




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MASTER COMPONENT SCHEDULE

Not necessarily every component is covered by this Policy. Those components that are covered are listed below; if they are not
listed below it is not covered by this policy.

FULL MACHINE COVERAGE (If applicable)
Covers the complete machine with the exception of tires, batteries, bulbs, fuses, radios, undercarriage, pivot pins, forks,
carriages, kingpost, pivot pin bushings, loader/backhoe links, “extra-dig” extending dipper wear strips, deterioration due to use
of non-factory approved attachments, front shovels/buckets, backhoe buckets, including teeth/side-cutters, wear pads, hose
routing guides, and those items mentioned in the standard exclusions.


POWERTRAIN COVERAGE                      POWERTRAIN COVERAGE                    POWERTRAIN COVERAGE
                                         TRANSMISSION                           Differential / Final Drive
ENGINE                                   Transmission Case                      (Hydrostatic Units)
Engine Block                             Counter Shaft Clutch
                                                                                Hydraulic Drive Pump
Cylinder Liners                          Internal Wet Service Brakes
                                                                                Hydraulic Drive / Travel Motor
Front & Rear Engine Covers               Transmission Pump
                                                                                Swing Motor and Swing Gear Box
Crankshaft                               Transmission Gears, Bearings, &
                                                                                Control Valve (Travel and Swing
Crankshaft Bearings & Gear               Shafts
                                                                                functions only. Travel & Swing
Front & Rear Crankshaft Seals            Wet Steering Clutches
                                                                                sections of valve, Excludes Dig
Damper                                   Splitter Drive
                                                                                Functions)
Flywheel, Ring Gear                      Transfer Drive

Cylinder Heads                           Electronic / Hydraulic

Rocker Arm Assembly                      Transmission- Control Valves           HYDRAULIC COVERAGE:
Valves (Intake / Exhaust)                Hydrostatic Transmission Charge
                                                                                             (If applicable)
Valve Cover & Gasket                     Pump Hydrostatic Transmission

Camshaft                                 Variable Displacement Pump             Pumps
Camshaft Bearings                        Hydrostatic Transmission Rotary        Valves
Camshaft Drive Gear                      Group.
                                         Internal Transmission Control          Hydraulic Cylinders (Excluding
Timing Gears
                                         Linkage                                Packing, Seals, O-Rings and

                                                       Drive Line               Bonded Washers)
Accessory Gears
Pistons & Rings                          Drive Shaft
Connecting Rods & Bearings               Drive Shaft Support Bearing
Water Pump                               Axle Shaft
Injection Pump                           Universal Joints
Turbocharger                                 Differential / Final Drive
Oil Pump                                 Differential Housing
Oil Pan & Gasket                         Differential Pinion Gear / Ring Gear
…..and all parts within the above        Drive Axle Hub
systems                                  Final Drive Planetary Gears
                                         Final Drive Pinion
                                         Planetary Gear Carrier
                                         ……and all parts contained in the
                                         above systems

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GENERAL PROVISIONS


 May be purchased at any time before the Manufacturers Warranty Coverage expires.


 Coverage is in effect when:


   1.) A properly completed application is submitted; and


   2.) Coverage charge is paid; and


   3.) Applicant receives written confirmation of Extended
      Warranty Coverage from Sennebogen.


   4.) Warranty may be purchased up to 4 months following
       expiration of manufacturer’s standard warranty. The
       following surcharges apply:
                     1 month out of warranty 30% surcharge
                     2 months out of warranty 45% surcharge
                     3 months out of warranty 60% surcharge
                     4 months out of warranty 75% surcharge


 For a $50 fee, coverage can be transferred once.




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OWNER RESPONSIBILITIES


 Must maintain and service the product in accordance with the Product’s Operator
   manual.


 Upon request by the Company, provide adequate records verifying maintenance.


 Obtain replacement of service items from authorized Sennebogen Dealer.




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CLAIM PROCEDURES


 The standard Sennebogen Warranty application form shall be used. Please mail or fax
   to:


         Sennebogen LLC
         Warranty Department
         2830 N. I-85 Service Road
         Charlotte, NC 28206
         FAX: 704-347 8894


 Claims may be typed or legibly handwritten.


 Claims must be submitted within 30 days from the date of failure for coverage to be
   considered.


 Warranty claims are generally processed within 30 days of receipt.


 Denied claims will be documented and returned to the dealer.


 Damaged parts are to be held sixty days after approval of claim.


 Pictures are required for failures to fabrication and major components.


 Parts are to be paid at current list price.


 Labor is to be paid at dealer’s retail shop rate and labor hours as per Repair Time
   Schedule published.


 Freight and parts order surcharges that may be incurred in obtaining parts used for
   extended warranty are not covered.



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LIST OF APPENDIX

1.   Warranty application form
2.   Instructions how to complete the warranty application form
3.   Labor and mileage rate registration form
4.   Dealer receiving inspection form
5.   Commissioning certificate
6.   Extended warranty price list\
7.   Deutz engine warranty




Revision September 01, 2003                                                 Page 25 of 25

								
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