Your position is very disappointing. Your firm shipped degraded pipe. No one took an aggressive interest in this problem. Your competitor was able to secure and deliver acceptable pipe to the project by 8 A.M. this morning. I alerted Monty by mid morning of the cost ramifications and that I needed an answer no later than noon. You called me at 2:00. We lost a full day yesterday because of your attempt to provide degraded pipe. As you know the current cost of pipe is higher and by setting up the Rockwall and Richardson projects with your firm we released Ferguson or any other competitor from their obligation to hold pricing. If you think attempting to provide degraded pipe is “going above and beyond your obligation” to hold a price that you provided on a public project you are sadly mistaken. Now you are holding us hostage. We now get a clear picture of HD Supply’s idea of customer service. We will not pay for any of the defective materials nor any restocking fee for this material. We will not back-charge you for the added cost of replacing this material or any of the time lost. Have the defective material remove from the project immediately. Interesting business decision you have made hear… Respectfully submitted Robert Farrow Chief Operating Officer CPS Civil LLC -----Original Message----- From: Brock, Larry [HDS] [mailto:Larry.Brock@hdsupply.com] Sent: Tuesday, June 14, 2011 9:28 AM To: Robert Farrow Cc: Ellingsworth, Bruce [HDS] Subject: Addison Project Importance: High Robert, We feel like we have gone above and beyond our obligation to hold pricing for you during a difficult time in our industry. We will ship your Rockwall & Richardson projects at the original quoted price but we will not entertain any back charge or short pay on the Addison Vitruvian Park project. Please acknowledge this e-mail that you agree to the above. Regards, Larry T. Brock Branch Manager HD Supply Waterworks 4333 Irving Blvd. Dallas, Texas P: 214-631-9410 F: 214-905-0768 C: 214-876-6039 One Team Driving Customer Success and Value Creation CONFIDENTIALITY NOTICE: This message is for intended addressee(s) only and may contain confidential, proprietary or privileged information, exempt from disclosure, and subject to terms at: http://www.hdsupply.com/email/.