Hubbell Policies

CREDIT AND COLLECTION POLICY

English

Owner : Assistant Treasurer

Last Review: 2014.12.04

FIN - 14

Department: Treasury

POLICY

Policy to establish uniform standards for the administration of credit and collection practices across the Company at the platform level. In addition the Policy establishes a process to set and monitor maximum credit limits for each customer on a consolidated basis.

SCOPE

This Policy shall apply to all Hubbell US and International operations.

PURPOSE

The purpose of this Policy is to ensure that the Company utilizes standard procedures to manage credit and collection of customer accounts in order to minimize past due amounts and to monitor and control exposure to individual customers on a consolidated basis.

PROCEDURE

Procedure to establish uniform standards for the administration of credit and collection practices across the Company at the platform level. In addition, provide a process to establish and monitor maximum credit limits for each customer on a consolidated basis. 1. Each Operating Platform is responsible for establishing written credit practices and procedures that address their particular business needs. Different business units within the platform may have different procedures; however, all credit practices and procedures must conform to the basic requirements of this procedure as outlined in paragraph 2. below. Each Operating Platform shall submit its written practices and procedures to the Treasurer for review and approval and thereafter upon any change to the original approved policy. 2. The credit policy of each Operating Platform shall at a minimum specify the following: a. Credit application, investigation and approval procedures. b. Criteria for assignment of credit limits. c. Standard domestic and international credit terms as well as an approval process for any deviations from the standard credit terms. d. Criteria and process to place & remove customers from credit hold e. Collection procedures for past due accounts. 3. Each customer’ s financial status will be evaluated prior to the granting of any specific amount of credit and thereafter, as circumstances warrant. Sources of information should include, but are not limited to, credit agency reports, bank references, trade references, financial statements, tax returns and SEC Filings. No significant work on potential orders should be performed, no contracts should be accepted, and no shipments should be made until proper approval is obtained in accordance with the credit policy of the Operating Platform.

4. Operating Platform credit limits shall be monitored and updated throughout the year. The credit limit should provide for the Total Credit Exposure to a customer, defined as accounts receivable plus open deliveries and

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