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Table of Contents

FieldTurf_USA_Inc_-_Table_of_Contents 1FieldTurf_USA_Inc_-_Form_A 2FieldTurf_USA_Inc_-_Form_B 3FieldTurf_USA_Inc_-_Form_C 4FieldTurf_USA_Inc_-_Form_D 8

Form D 8FieldTurf USA Inc Exhibit 14_ CFO Letter - FTUSA 19FieldTurf USA Inc Exhibit 15_ Tarkett_2014 Auditors report 20FieldTurf USA Inc Exhibit 13_KPMG Audit.pdf 70

1 Opinion on the consolidated financial statements 712 Justification of our assessments 723 Specific verification 72

FieldTurf_USA_Inc_-_Form_E 122FieldTurf_USA_Inc_-_Form_F.1 123FieldTurf_USA_Inc_-_Form_F.2 146FieldTurf_USA_Inc_-_Part_B 147FieldTurf_USA_Inc_-_Part_C 172FieldTurf_USA_Inc_Bid_Bond_WA 217FieldTurf_USA_Inc_MI_State_Specific 221FieldTurf_USA_Inc_NJ_State_Specific 222N.J._Business_Registration_Certpdf 229

503-692-4869

FieldTurf USA Inc Table of Contents

FieldTurf USA Inc Form A

FieldTurf USA Inc Form B

FieldTurf USA Inc Form C

FieldTurf USA Inc Form D

FieldTurf USA Inc Exhibits 13, 14 & 15.Also included in FieldTurf USA Inc

Form D

FieldTurf USA Inc Form E

FieldTurf USA Inc Form F.1


FieldTurf USA Inc Part B

FieldTurf USA Inc MI State SpecificFieldTurf USA Inc NJ State SpecificFieldTurf USA Inc WA State Specific

FieldTurf USA Inc Form G

FieldTurf USA Inc Form G PricingAEPA IFB G Turf

FieldTurf USA Inc Form G5

N/A

FieldTurf USA Inc Commercial List Price

Folder C Exhibits C FieldTurf USA Inc Exhibits PDF

AEPA IFB #016-G Synthetic Turf Page5of46DueDate:OCTOBER7,2015,1:30pmEDT Part C: Bid Forms

AEPA FORM C: SERVICE QUESTIONNAIRE FOR BIDDER

AEPA IFB #016

Athletic Surfaces – Synthetic Turf NAME OF BIDDER FieldTurf USA, Inc. _______________________________________________

Instructions: Please respond to Yes/No and choice questions by using an (X). If a text reply is required, respond in the space below. Scan this form and any attachment pages into a single document and convert to a PDF file. Follow the instructions for titling the file and file organization under Part A, Section II Bid Procedures, F. Bid Submission, 2. Format of Bid Submittal.

Note: As part of evaluating the Bidder’s qualifications, the following is being requested and the Bidder is forewarned failure to respond and/or meet the minimum specifications in these areas, may deem their response as non-responsive.

1. The following chart indicates which AEPA Member States intend to participate in this bid category. Please place an “X” in response to questions in the last three (3) columns. Note: A Bidder must be willing and able to deliver the proposed products and/or services to ninety (90%) of the participating AEPA Member States.

AEPAMemberStates

Participateinthisbidcategory?

Hasyourcomp‐anysoldthese

products/servicesinthesestatesforthePASTTHREE

YEARS?

Ifawardedacontract,whichstatesdoesyour

companyPROPOSETOSELL

IN?

Indicatewhichstatesyourcompanyhassalesreps,

distributorsordealersin.

California Yes Yes Allwhereallowed Yes

Colorado Yes Yes Yes

Connecticut Yes Yes Yes

Florida Yes Yes Yes

Indiana No Yes Yes

Iowa No Yes Yes

Kansas Yes Yes Yes

Kentucky Yes Yes Yes

Massachusetts No Yes Yes

Michigan Yes Yes Yes

Minnesota Yes Yes Yes

Missouri Yes Yes

Montana Yes Yes Yes

Nebraska Yes Yes Yes

NewJersey Yes Yes Yes

NewMexico Yes Yes

NorthDakota Yes Yes Yes

Ohio Yes Yes Yes

Oregon Yes Yes Yes

Pennsylvania No Yes Yes

Texas Yes Yes Yes

Virginia Yes Yes Yes

Washington Yes Yes Yes

WestVirginia Yes Yes Yes

Wisconsin Yes Yes

Wyoming Yes Yes Yes


2. e-commerce: Does this company have an e-commerce website? _______ YES X NO

If YES, what is the website? ________________________________________________________

3. Customer and Support Service: It is understood depending on the type, kind and level of products and/or services being proposed in response to this bid will impact and determine the type and level of services required and these are identified in Part B Bid Specifications of this IFB.

a. Does this company have online customer support option? X YES _______ NO

b. Does this company have a toll-free customer support phone option? X YES _______ NO

c. Does this company offer local customer and support service options? X YES _______ NO

d. Describe the type, level, available and location(s) of your customer and support service options, including number of dedicated customer/support staff and hours of operation.

FieldTurf USA, Inc. has dedicated customer support personnel covering the continental US.

http://www.fieldturf.com/en/service/fieldcare-maintenance-program

Please see Exhibit A.

4. Training: If applicable, does this company offer customer training for the products and services sold?

X YES _______ NO

If YES, describe what types/kinds of training you offer, the venues where training occurs and the location(s) of your trainers, include number of staff dedicated to training and their qualifications and hours of operation.

Venue: Each specific project site.

Location: All US States (spread between customer service, installation, sales, project manager and construction teams). 4 dedicated representatives interfacing with dozens of on-site personnel. All fields in all regions and states are covered.

Training can range from grooming instruction, simple repair, usage instructions and general maintenance.

http://www.fieldturf.com/en/service/customer-commitment

5. Pricing:

a. Is your pricing methodology guaranteed for the term of the contract? X YES _______ NO

FORLINEITEMBIDS:

b.Willyouofferhotlistpricing(optional)asdescribedinthePricingtermsofPartA? XYES_____NO

c.WillyouofferVolumePriceDiscountsasdescribedinthePricingtermsofPartA? XYES_____NO

6. Competitiveness: In order for your bid to be considered, your company must offer AEPA prices that are equal to or lower than what your company offers to individual customers and/or cooperatives with equal to or lower volume. Is the pricing that is proposed to AEPA equal to or lower than pricing offered to individual customers and/or cooperatives with equal to or lower volume?


X YES _______ NO

Indicate which of the following apply and the level of competitive range you are offering in response to this IFB.

X Pricing offered to AEPA is EQUAL TO pricing offered to individual customer and/or cooperatives.

Lower by approximately 9 % off general public bid.

Pricing is LESS THAN individual customer and/or cooperatives.

7. Cooperative Contracts: Does your company currently have contracts with other cooperatives (local, regional, state, national)? X YES _______ NO

If YES, identify which cooperatives and the respective expiration date(s).

AEPA: 2/28/2016 NJPA: 2/28/2018 TCPN: 2/28/2017 KPN: 2/28/2019 GSA: 8/6/2016 Buy Board: 3/31/2018 CMAS: 11/30/2016

If YES and your company is awarded an AEPA Contract, which contract will you lead with in marketing and sales representative presentations (sales calls)?

We will lead with AEPA. It remains our best and most versatile contract with approx. $ 30 MM in annual volume and three successful awards (006, 008 & 012). Total volume (for turf, track and tennis contracts combined) exceeds $ 330 MM over the life of these contracts resulting in approximately $ 6 MM in total administrative fee revenue for the AEPA.

8. Administrative Fee: Which of the following best reflects how your pricing includes the individual AEPA Members’ administrative fee.

a. X The pricing for the products and/or services are the same for each AEPA Member Agency, shipping, handling administrative fee and other specific state costs are added to arrive at total price offered to the Individual AEPA Member Agency.

b. _____ The pricing for the products and/or services is inclusive of the administrative fee and therefore the pricing is the same for all AEPA Member Agencies. Shipping, handling and other state specific costs are added to adjusted the AEPA Member Agency’s price.

c. _____ The pricing for the products and/or services includes all (shipping, handling, administrative fee, other) costs to arrive at a single price for all AEPA Member Agencies.

9. Shipping & Handling:

FORLINEITEMBIDS:

Isshippingandhandlingincludedintheproductsonthepricelists?XYES_______NO

IfNO,explainhowshippingandhandlingorfreightwillbecalculatedandapplied.________________________________________________________________________________

10. Product Returns: Does your company have a return policy? _______ YES X NO


AEPA FORM D: COMPANY INFORMATION

AEPA IFB #016-G

Athletic Surfaces – Synthetic Turf

NAME OF BIDDER: FieldTurf USA, Inc.

COMPANY CONTACT INFORMATION

Company Name: FieldTurf USA, Inc. Website: www.fieldturf.com

Company Address: 19600 SW 129th Ave

City: Tualatin State: OR Zip: 97062

Contact Person: Eric Fisher Title: Director of Sales – SmartBuy OR Sarah Morehead Title: Director of Operations - SmartBuy

Contact Phone: 888-209-0065 ext. 246 Contact Email: [email protected]


BACKGROUND

Note: Generally, AEPA will not accept an offer from a business that is less than five (5) years old or which fails to demonstrate and/or establish a proven record of business. If the bidder has recently purchased an established business or has proof of prior success in either this business or a closely related business, provide written documentation and verification in response to the questions below. AEPA reserves the right to accept or reject newly formed companies based on information provided in this response and from its own investigation of the company.

This business is a public company X privately owned company.

In what year was this business started under its present name? October 1, 2004.

Under what other or former name(s) has your business operated? N/A

Is this business a corporation? No X Yes. If yes, please complete the following:

Date of incorporation: 1996 State of incorporation: Florida

Name of President: Eric Daliere

Name(s) of Vice President(s): N/A

Name of Secretary: Souha Azar

Name of Treasurer: Pedro Azevedo

Is this business a partnership? X No Yes. If yes, please complete the following:

Date of organization:_______________ State founded: ______________________________

Type of partnership, if applicable: _______________________________________________

Name(s) of general partner(s): __________________________________________________

Is this organization individually owned? X No Yes. If yes, please complete the following:

Date of organization:__________________ State founded: ____________________________

Name of owner: ______________________________________________________________


This organization is a form other than those identified above. X No Yes.

IF THE ANSWER IS YES, describe the company’s format, year and state of origin, and names and titles of the principals.

COMPANY HEADQUARTER LOCATION

Company Address: 7445 Cote’ de leisse Rd STE 200

City: Montreal Province: Quebec Zip: H4T 1G2

Main Phone Number: 1-800-724-2969 How long at this address? Approx. 3 years.

COMPANY BRANCH LOCATIONS

Branch Address: 19600 SW 129th Ave


Branch Address: 903 N Opdyke Rd STE A1

City: Auburn Hills State: MI Zip: 48326

Branch Address: 2559 Washington Rd STE 530

City: Pittsburgh State: PA Zip: 15241

Branch Address: 175 N Industrial Blvd NE

City: Calhoun State: GA Zip: 30701

If more branch locations, insert information here or add another sheet with above information.

SALES HISTORY

Provide your company’s annual sales for 2013, 2014 and 2015 YTD in the United States by the various public segments:

2013 2014 2015

Counties / Cities / Townships / Villages $ 33,840,000.00 $ 35,280,000.00 $ 19,440,000.00

Higher Education Institutions $ 30,240,000.00 $ 31,320,000.00 $ 25,920,000.00

K-12 $ 82,080,000.00 $ 87,120,000.00 $ 79,560,000.00

Other Public Sector & Non-Profits $ 1,440,000.00 $ 360,000.00 $ 1,080,000.00

Private Sector $ 7,920,000.00 $ 5,400,000.00 $ 3,600,000.00

States $ 360,000.00 $ 360,000.00

$ -

TOTAL $ 155,880,000.00 $ 159,840,000.00 $49,600,000.00

WORK FORCE

1. Key Contacts and Providers: Provide a list of the individuals, titles, and contact information for the individuals who will provide the following services on a national and/or local basis:

Function Name Title Phone Email Contract Manager Eric Fisher Director of Sales-

SmartBuy 888-209-0065 [email protected]


Contract Manager Sarah Morehead Director of Operations- SmartBuy

888-209-0065 [email protected]

Sales Manager Various (>30) See List

RSM/ RVP 888-209-0065 [email protected]

[email protected]

Senior VP Martin Olinger Snr. VP Sales 1-404-229-4135 [email protected]

Customer & Support Manager

Darren Gill VP Customer Service, Innovation and Marketing

1-800-724-2969 [email protected]

Function Name Title Phone Email Distributors, Dealers, Installers, Sales Reps

Various (> 30) See List

RSM/RVP 888-209-0065 [email protected]

[email protected]

Technical, Maintenance & Support Services

Andrew Schwartz VP Special Initiatives 1-917-586-0302 [email protected]

Quotes, Invoicing & Payments

Ross Hinrichs SmartBuy Project Admin.


Warranty & After the Sale

Alan Lemay After Sales Service Manager


Installation and Construction

Charlie Cook VP Construction & Installation


Project Management MC Raymond Director of Project Management


Operations Hani Botros VP of Operations 1-800-724-2969 [email protected]

Legal Tim Prochko Senior Legal Counsel 1-248-977-4388 [email protected]

Financial Manager Pedro Azevedo CFO 1-800-724-2969 [email protected]

2. Sales Force: Provide total number and location of salespersons employed by your company in the United States by completing the following: (To insert more rows, hit the tab key from the last field in the State column.)

Please see Exhibit B

3. Service/Support and Distribution Centers: Provide the type (service/ supportor distribution) and location of centers that support the United States by completing the following: (To insert more rows, hit the tab key from the last field in the State column.)

Center Type City State Distribution Calhoun GA Operations Detroit MI Corporate Montreal QC SmartBuy Co-Op Tualatin OR Support Pittsburg PA

4. In-house Resources: Describe the business’s current in-house workforce, equipment and facilities available to perform

under this solicitation.

FieldTurf USA, Inc.

The first company in the synthetic turf industry to own and operate its own manufacturing plant


The only artificial turf manufacturing operation in North America to have received three specific ISO certifications

450,000+ square-foot facility in Calhoun, Georgia Over 40 employees at the plant with a combined 300+ years of experience in the artificial turf industry Annual production capacity that exceeds the worldwide yearly demand for artificial turf Rigorous quality control and inspection In-house fiber manufacturing In-house coating line In-house tufting operation 30 + Local and Regional FieldTurf Sales Representatives

http://www.fieldturf.com/en/home

FieldTurf USA, Inc. has a dedicated AEPA team consisting of two Cooperative Purchasing Directors and an additional administrative support person. Sarah Morehead- Director of Operations is responsible for overseeing quoting, reporting and general management tasks. Eric Fisher is responsible for selling, marketing and presenting the AEPA concept to sales staffs and clients. Ross Hinrichs handles quoting, eneral paperwork and administrative tasks. The “SmartBuy” team is supported by various personnel in Operations, sales, customer service, project management and accounting.

Sarah, Eric and Ross have more than ten years of experience in AEPA cooperative purchasing. Over the course of AEPA IFB’s 004, 008 & 012 our division has generated more than $ 330,000,000 in total volume (for turf, track and tennis combined) resulting in approximately $ 6,000,000 in revenue for AEPA state agencies.

The FieldTurf / Beynon Sports Cooperative Purchasing team has worked with many AEPA state agencies successfully to market, educate and guide municipal members in their purchase of running tracks, outdoor courts, and FieldTurf fields. This past experience will only continue to add to the benefits that we as a group bring to AEPA. We already have systems and processes in place to handle the high volume of AEPA Cooperative Purchasing projects. Additionally, our FieldTurf and Beynon sales forces are already utilizing the cooperative purchasing program to maximize their sales efforts. We will hit the ground running with a new AEPA contract for 2016. MARKETING

1. Key Marketing Contact(s): List the name(s), title(s) and contact information of the business’s key national and regional marketing office(s). (To insert more rows, hit the tab key from the last field in the State column.)

Name Title Phone Email Darren Gill VP of Marketing, Innovation

& Customer Service 1-514-375-2584 [email protected]

Jason Smollett Director of Product Management


Iannick Di Sanza Marketing Coordinator 1-514- 375-2646 [email protected]

Terrance Dobson Marketing Assistant 1-514-375-2613 [email protected]

Simon Lafontaine Marketing Specialist 1-514-375-2564 [email protected]

2. Marketing Activities: Describe how this company marketed its products and services to schools and other public sector audiences in Fiscal Year 2014 – 2015 (July 1 – June 30). List all conventions, conferences and other events at which this company exhibited.

FieldTurf’s marketing activities can be broken up in the following categories: Print Advertising FieldTurf advertises in all major industry publications including:


American Football Monthly Athletics Administration Athletic Business Athletic Management Coach & Athletic Director Coaching Management Collegiate Directories Government Recreation & Fitness Park & Recreation Business Recreation Management Sportsfield Management In addition to these nationwide publications, FieldTurf advertises in over 30 state/regional publications. Our typical advertising budget exceeds $120,000 annually. E-Marketing FieldTurf’s E-Marketing efforts are broken up into two categories: Website

The FieldTurf family of websites is made up of the following:

www.fieldturf.com www.beynonsports.com www.tarkett.com www.rennersports.com

Potential customers are directed to specific pages like: http://www.fieldturf.com/en/fieldturf-difference/purchase-experience FieldTurf’s websites average over 35,000 unique visitors per month. Direct Mailing: FieldTurf has a lead database with over 20,000 potential customers. Frequent messages are sent to various customer groups – most of which contain messaging pertaining to the AEPA/SmartBuy program. Trade Shows FieldTurf attends well over 200 trade shows per year nationwide. At each of these shows FieldTurf makes our best efforts to educate potential clients about the benefits of using AEPA. Our APEA program managers personally attend a large number of the shows as well. Here are the shows that FieldTurf has attended/scheduled for the Fiscal Year 2010 – 2011 (July 1 – June 30):

Alabama Athletics Directors (AHSAA) Mississippi Coaches Ass. (MACA) Florida Educational Facility Planners Ass.

(FEFPA) Arizona Park and Rec (AZPRA) Florida Recs and Park Ass. (FRPA)

Texas Ass of School Administrators & Boards American School Business Officials (ASBO) NFHS - National HS ADs NSBA - National School Boards Show NABC - Basketball Coaches NIRSA - Intramural & Recreation


NACDA - National AD Show NACO - National Association of Counties NIGP - National Govt Purchasing ICMA - International County Mgmt ASLA - American Society of Landscape

Architects NRPA - National Park & Rec ABKA - Pet Care Services ASBO - American School Business Officials NLC - National League of Cities TES - Education Show Greenbuild Athletic Business Home Builders Show Golf Industry Show AASA - American School Administrators VASBO - Virginia School Business Officials ECAC - Eastern Collegiate Athletic Conference WADA - Wisconsin AD Show National Soccer Coaches Association of

America Home Builders Show NATIONAL INTRAMURAL-

RECREATIONAL SPORTS ASSOCIATION Stadia Expo NJCM - New Jersey Conference of Mayors CADA - Colorado Athletic Directors

Association IADA - Illinois Athletic Director's Association Boys & Girls Club Virginia Association of School Business

Officials National High School Athletic Coaches

Association San Angelo Football Clinic Facilities Operators Conference MD/DC ASBO Council of Educational Facility Planners Intl. NJSLM - NJ State League of Municipalities TPSCA - Texas Private School Coaches

Association FAC - FLORIDA ASSOCIATION OF

COUNTIES OSBA - OHIO SCHOOL BOARD

ASSOCIATION CCM - CONNECTICUT CONFERENCE OF MUNICIPALITIES Texas High School Coaches Association Arkansas High School Coaches Association

KANSAS ASSOCIATION OF SCHOOL BOARDS

All-Star Sports Week GRPA - Georgia Recreation & Park Association OCA - Oklahoma Coaches Association PSBA - Pennsylvania School Boards

Association CRPA - Connecticut Recreation & Parks

Association SBE - School Building Expo PRPS - Pennsylvania Recreation & Park Society NACO - National Association of Counties WASB - Wisconsin State Education Convention IASB - Illinois Association of School Boards PRPS - Pennsylvania Recreation & Park Society National Institute of Governmental Purchasing Home Builder's Show Pet Care Services Association Convention &

Expo Greenbuilders 2010 ASLA - American Society of Landscape

Architects Directors of Athletic Directors of New Jersey NJRPA - New Jersey Park and Rec NJASLA - NJ Landscape Architects IIAAA - Indiana ADs MIAAA - Missouri Athletic Directors NMAA - New Mexico Activities Association ASBO MD/DC Maryland Eastern Collegiate Athletic Conference (ECAC) International County Management (ICM) National Parks & Rec (NRPA) Florida Ass. of School Business Officials

(FASBO) Alberta Recreation and Park Association Louisianna AD (LHSAA) Wisconsin State Education Convention National HS AD Show (NFHS/NIAAA0 Colorado Assocaition of School Boards (CASB) United States Speciality Sports Association

(USSSA) International Homebuilders Show (NAHB) National Soccer Coaches Convention (NSCAA) NJ Landscape Architects (NJASLA) Golden Triangle Coaches Clinic Kansas Parl and Rec (KRPA) Minnesota AD (MIAAA) Kansas Athletic Administrators (KIAAA) Texas HS AD (THSADA) Texas Ass of School Bus Off (TASBO)


Pennsylvania School Bus Off (PASBO) Virginia AD Indiana AD Michigan AD (MIAAA) South Dakota AD (SDIAAA) Iowa HS AD (IHSAA) Georgia Athletic Directors Ass (GADA) New Jersey AD (DAANJ) New Jersey Park and Rec (NJRPA) California Park and Rec (CRPS) New York State ADA (NYSAAA) Minnesota Football Coaches Clinic (MNFCC) California Foundation of Community Colleges NJ School Building & Grounds Ass. (NJSBGA) Utah Interscholastic AD Ass (UIAAA) Maryland Park and Rec (MRPA) Missouri AD (MIAAA) National Intramural Rec Show (NIRSA) Tennessee Atheltic Directors Conference

(TIAAA) California Ass. of School Business Officials California Parks and Recreation (CARPD) New Jersey Conference of Mayors (NJCM) Michigan School Business Officials (MSBO) Colorado Athletic Director (CADA) Maryland School Business Officials (MASBO) Illinois Athletic Directors (IADA) Florida Athletic Directors (FIAAA) Alberta School Business Officials (ASBOA) Virginia Ass. of School Business officials

(VASBO) Federation of Canadian Municipalities (FCM) National AD Show (NACDA) Georgia Athletic Coaches Ass. (GACA) Florida Association of Counties (FAC) Idaho Ass. of School Adm (ISSA) Idaho Ass. of School Principals (IASSP) Idaho AD Ass (IDAAA) Washington Secondary School AD Ass

(WSSAAA) Oregon Athletic Directors Ass (OADA) Washington Ass of School Bus Officials

(WASBO) Oregon Ass of School Bus Off (OASBO) Montana Coaches Ass. (MCA) Oregon Schools Facilities Management

(OSFMA) NW All Sports Clinic (NWASC) Oklahoma Coaches Association (OCA) NAtional Ass. of Counties (NACO)

Wyoming Coaches Association (WCA) CAAD - Connecticut Athletic Directors SDIAAA - South Dakota Athletic Directors VIAAA - Virginia Athletic Directors KIAAA - Kansas Athletic Directors PRO - Ontario Park & Rec National School Plant Managers Association OASBO - Ontario School Business Officials CAIS - Connecticut Independent Schools WFX - Worship Facilities Expo OCAA - Ontario Colleges Athletic Association MASBO - Missouri School Business Officials AEMA - Athletic Equipment Managers GACA - Georgia Athletic Coaches Association ASBA - Arkansas School Boards AHSADCA - Alabama HS Athletic Directors NACBA - National Church Business OCA - Oklahoma Coaches Association STA - Sports Turf Association AQLM - Quebec Municipalities PASBO - Pennsylvania School Business

Officials CCM - Connecticut Municipalities NJSBA GRPA - Georgia Recreation & Parks NLC - National League of Cities NJSLM - New Jersey Municipalities CASB - Colorado School Boards KASB - Kansas School Boards ABCA - American Baseball Coaches

Association Training Show MSBO - Michigan School Business Officials Ontario Association of School Business

Officials MSBA - Missouri School Boards' Association Ohio Interscholastic Athletic Administrators Arizona Interscholastic Athletics Administrator's Association INDIANA SCHOOL BOARDS

ASSOCIATION WADA - Wisconsin Athletic Directors

Association APRA - Arizona Parks and Recreation

Association WFCA-Wisconsin Football Coaches

Association OSSBA - Oklahoma State School Boards

Association Kentucky High School Athletic Association


NJSBA - New Jersey School Board Association IAPD - Illinois Association of Park Districts TASA - Texas Association of School

Administrators VRPS - Virginia Recreation & Park Society Georgia Association of School Facility Administrators Association of School Business Officials Intl. Illinois Parks and Rec (IPRA/IAPD) American Baseball Coaches Ass. (ABCA) Sports Turfs Managers Ass. (STMA) US Youth Soccer Workshop (USYSA) Park and Rec Ontario (PRO) Soccer Champions Coaches Clinic New England Football Coaches Clinic (NEFCC) Coalition for adequate School Housing (CASH) Pennsylvania State AD (PSADA) Connecticut Athletic Directors (CAAD) National High School Athletic Coaches Ass. IIAAA - Indiana Athletic Directors Missouri Association of School Administrators National Gov't Purchasing (NIGP) MIAAA - Minnesota Athletic Directors NABC - National Association of Basketball

Coaches MIAAA - Missouri Athletic Directors Ohio Association of School Business Officials FIAAA - Florida Athletic Directors BGCA - Boys & Girls Club NATA - National Athletic Trainers Association NHSACA - National HS Athletic Coaches TPSCA - Texas Private School Coaches ASLA - American Landscape Architects San Angelo Football Clinic WFX Fall - Worship Facilities Expo OSBA - Ohio School Boards Greenbuild CPRA - Connecticut Parks & Recreation IHRSA AUSA - Association of U.S. Army Exposition NABC- Indianapolis Florida Interscholastic Athletic Administrators SBE - School Building Expo Stadium Managers Association MIAAA - Michigan Athletic Directors MRPA - Maryland Park & Rec CADA - Colorado Athletic Directors Council of Educational Facility Planners Intl. MSBO - Michigan School Business Officials AIA - American Institute of Architects

IADA - Illinois Athletic Directors BCPRA - BC Parks & Recreation SBE - School Building Expo NACO - National Association of Counties NIGP - National Government Purchasing Athletic Business K-12 Summit MSBA - Missouri School Boards IASB - Illinois School Boards IPRA - Illinois Park & Rec FCM - Federation of Canadian Municipalities BC Park and Rec (BCPRA) California AD show (CSADA) Texas High School Coaches Ass. (THSCA) PSADA - Pennsylvania State Athletic Directors ICMA - Intl County Management National School Board Ass (NSBA) National Intramural Recreation & Sports

Association PGA Merchandise Show TASA - Texas Superintendents NSBA - National School Boards AIA - American Institute of Architects NRPA - National Recreation & Park NACDA - National AD Show Home Builders Show NACDA - National Athletic Directors

Association ASBO - American School Business Officials AFCA - American Football Coaches THSCA - Texas HS Coaches Association NFHS - National High School Athletic Directors American Football Coaches Association NSBA - National School Boards Association


Social Media: Twitter: www.twitter.com/fieldturf

Facebook: www.facebook.com/fieldturf

You Tube: www.youtube.com/user/fieldturftarkett

Linked-In: www.linkedin.com/company/fieldturf-inc. Please see Exhibit C - Exhibit Z

3. Cooperative Marketing: Describe ways in which this business can collaborate with Member Agencies in marketing the bid.

Help FieldTurf’s SmartBuy division explain to current and future AEPA members the value and benefits on Contract Selling. Attend requested board meetings, council meetings, etc. as part of our team to provide owners complete procurement information and opportunities for their sports surfaces project.

Provide familiarity/knowledge of member state’s cooperative procurement options. Include links for FieldTurf on the individual AEPA state’s cooperative website. Include FieldTurf logo, product information, and when applicable, project. Testimonials and articles

in the individual AEPA states cooperative marketing literature and brochures and websites. Attendance of national and local conferences promoting partnership. A true partnership wins

projects. The more we work together, the better off we are. Webinars. Conference Calls. Lunch & Learns. Specifically designed fliers, hand outs.

Please see Exhibit 1- Exhibit 5

4. Sales Training: Explain how your company will educate your sales staff on the AEPA contract including

timing, methods, etc.

The sole purpose of “SmartBuy” (FieldTurf’s Cooperative Purchasing division made up of Eric Fisher & Sarah Morehead) is to promote cooperative purchasing and the AEPA contract. Sales training includes:

REQUIRED participation by FieldTurf and Beynon sales staffs. Top-Down backing from senior leadership.

Sharing of references and best practices. Conference calls. Lunch and learns. Several fliers that promote both the AEPA and regional participation (KCDA, CES, CREC, Greenbush

etc.) Salesforce learning modules. Marketplace updates, tips and tricks.

Please see Exhibit 6

ENVIRONMENTAL INITIATIVES

1. Describe how your products and/or services support environmental goals.


http://www.fieldturf.com/en/artificial-turf/environmental-leadership

Please see Exhibit 7, 8 & 9

2. Describe the company’s “green” objectives (i.e. LEED, reducing footprint, etc.).

http://www.fieldturf.com/en/search?utf8=%E2%9C%93&q=LEED


INDEPENDENT SUBCONTRACTORS, DISTRIBUTORS, INSTALLERS, ETC.

If the Bidder is not the sole provider of all goods and services provided under this contract, the following must be answered:

1. Selection Criteria for Independent Providers: Describe the criteria and process by which the business selects, certifies and approves subcontractors, distributors, installers and other independent services.

Minimumof20fieldinstalledwithsewnseamsystem. Crewleadwithaminimumof2,500hoursexperienceinstallingFieldTurfproducts. Mustmaintaingoodstandingintermsofregionalcertifications&statelicenses.

2. Current Subcontractors, Distributors, Installers, Etc.: Provide a list of current subcontractors, distributors, installers and other independent service providers who are contracted to perform the type of work outlined in this bid in the member agency states (listed in Part A of this IFB). Include, if applicable, contractor license information and the state(s) wherein they are eligible to provide services on behalf of this business.

Chenango

LandTek

Midewest FieldTurf

FieldTurf Northwest

Deluxe Athletics

RS Global

Kerr Athletics

Beyond the turf (west)

Beyond the turf (east)

Grass Valley Turf


DISCLOSURES

1. Letter of Line of Credit or Annual Financial Report (REQUIRED): Attach a letter from the business’s chief financial institution indicating the current line of credit available in its name and evidence of financial

KPMG Audit Le Belvédère 1 Cours Valmy CS 50034 92923 Paris La Défense Cedex France

Mazars 61, rue Henri Regnault 92075 Paris La Défense France

Tarkett

Statutory auditors’ report on the consolidated financial statements

Year ended 31 December 2014 Tarkett

Tour Initiale – 1 Terrasse Bellini – 92919 Paris La Défense - France This report contains 23 pages

reg

KPMG Audit Le Belvédère 1 Cours Valmy CS 50034 92923 Paris La Défense Cedex France

Mazars 61, rue Henri Regnault 92075 Paris La Défense France

This is a free translation into English of the statutory auditors’ report on the consolidated financial statements issued in French and is provided solely for the convenience of English-speaking users. The statutory auditors' report includes information specifically required by French law in such reports, whether modified or not. This information is presented below the audit opinion on the consolidated financial statements and includes an explanatory paragraph discussing the auditors' assessments of certain significant accounting and auditing matters. These assessments were considered for the purpose of issuing an audit opinion on the consolidated financial statements taken as a whole and not to provide separate assurance on individual account balances, transactions, or disclosures. This report also includes information relating to the specific verification of information given in the Group's management report. This report should be read in conjunction with, and construed in accordance with, French law and professional auditing standards applicable in France.

Tarkett Registered office: Tour Initiale – 1 Terrasse Bellini – 92919 Paris La Défense - France Share capital: €.318 613 480 Statutory auditors’ report on the consolidated financial statements

Year ended 31 December 2014

To the Shareholders,

In compliance with the assignment entrusted to us by your annual general meeting, we hereby report to you, for the year ended 31 December 2014, on:

the audit of the accompanying consolidated financial statements of Tarkett;

the justification of our assessments;

the specific verification required by law.

These consolidated financial statements have been approved by the Management Board (“Directoire”). Our role is to express an opinion on these consolidated financial statements based on our audit.

1 Opinion on the consolidated financial statements

We conducted our audit in accordance with professional standards applicable in France; those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement. An audit involves performing procedures, using sampling techniques or other methods of selection, to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made, as well as the overall presentation of the consolidated financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

xxx-xxx - Year ended 31 December 2014 3

Tarkett


In our opinion, the consolidated financial statements give a true and fair view of the assets and liabilities and of the financial position of the Group as at 31 December 2014 and of the results of its operations for the year then ended in accordance with International Financial Reporting Standards as adopted by the European Union.

Without qualifying our opinion, we draw attention to the notes “2.2.1 Standards, amendments and interpretations”, “8. Income tax” and “20. Deferred tax” to the consolidated financial statements, describing the implementation as at 1st January 2014 of paragraph 41 of IAS 12, previously not applied by Tarkett, and its impact on both the consolidated financial statements and the comparative financial information.

2 Justification of our assessments

In accordance with the requirements of article L.823-9 of the French Commercial Code (“Code de commerce”), we bring to your attention the following matters:

Accounting estimates:

Notes “2.2.2 Use of estimates and judgments” and “27 Other contingencies” to the consolidated financial statements disclose the assessments and significant estimates made by Tarkett’s management.

In connection with our audit, we considered that those assessments and estimates related mainly to intangible and tangible assets (note 2.5.10, 2.5.11, 2.5.15, 9 and 10), deferred tax assets (notes 2.5.22, 8 and 20), provisions (notes 2.5.20 and 21) and employee post-retirement benefits (notes 2.5.18 and 22).

For these accounts, our work consisted in assessing the data and assumptions underlying the assessments and estimates, reviewing on a sample basis, the calculations performed by the Company, comparing prior years accounting estimates with the corresponding actual results, reviewing management’s approval procedures for such estimates and reviewing that the disclosures relating to these estimates in the notes to the financial statements are appropriate.

These assessments were made as part of our audit of the consolidated financial statements taken as a whole, and therefore contributed to the opinion we formed which is expressed in the first part of this report.

xxx-xxx - Year ended 31 December 2014 4

Tarkett


3 Specific verification

As required by law we have also verified, in accordance with professional standards applicable in France, the information relative to the Group, given in the parent company’s management report.

We have no matters to report as to its fair presentation and its consistency with the consolidated financial statements.

Paris La Défense, 18 February 2015

The statutory auditors,

KPMG Audit Mazars Department of KPMG S.A.

Philippe Grandclerc Juliette Decoux Eric Schwaller Partner Partner Partner

Tarkett

___________________________

Consolidated financial statements Year ended December 31, 2014

All figures are presented in million of euros unless stated otherwise.

2 Tarkett - Annexes to the Consolidated Financial Statements, December 2014

TABLE OF CONTENTS

TABLE OF CONTENTS ....................................................................................................................................................................... 2

CONSOLIDATED INCOME STATEMENT ............................................................................................................................................. 3

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME .......................................................................................................... 4

CONSOLIDATED STATEMENT OF FINANCIAL POSITION ................................................................................................................... 5

CONSOLIDATED STATEMENT OF CASH FLOWS ................................................................................................................................ 6

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY .................................................................................................................... 7

NOTE 1 - GENERAL INFORMATION .................................................................................................................................................. 8

NOTE 2 - SIGNIFICANT ACCOUNTING PRINCIPLES ........................................................................................................................... 8

NOTE 3 - SCOPE OF CONSOLIDATION ............................................................................................................................................ 19

NOTE 4 - ADJUSTED EBITDA ........................................................................................................................................................... 23

NOTE 5 - SEGMENT INFORMATION ............................................................................................................................................... 24

NOTE 6 - OTHER OPERATING INCOME - OTHER OPERATING EXPENSES ........................................................................................ 25

NOTE 7 - FINANCIAL RESULT .......................................................................................................................................................... 25

NOTE 8 - INCOME TAX ................................................................................................................................................................... 26

NOTE 9 - GOODWILL ...................................................................................................................................................................... 26

NOTE 10 - INTANGIBLE, TANGIBLE AND FINANCIAL ASSETS .......................................................................................................... 27

NOTE 11 - INVENTORIES ................................................................................................................................................................ 29

NOTE 12 - TRADE RECEIVABLE ....................................................................................................................................................... 29

NOTE 13 - OTHER RECEIVABLES ..................................................................................................................................................... 30

NOTE 14 - SHARE CAPITAL ............................................................................................................................................................. 30

NOTE 15 - EARNINGS PER SHARE & DIVIDENDS............................................................................................................................. 30

NOTE 16 - NET DEBT – INTEREST-BEARING LOANS AND BORROWINGS ........................................................................................ 31

NOTE 17 - OTHER FINANCIAL LIABILITIES....................................................................................................................................... 32

NOTE 18 - TRADE PAYABLES .......................................................................................................................................................... 33

NOTE 19 - OTHER LIABILITIES ......................................................................................................................................................... 33

NOTE 20 - DEFERRED TAX .............................................................................................................................................................. 33

NOTE 21 - PROVISIONS .................................................................................................................................................................. 34

NOTE 22 - EMPLOYEE BENEFITS ..................................................................................................................................................... 35

NOTE 23 - PERSONNEL COSTS AND COMPENSATION OF SENIOR MANAGEMENT ........................................................................ 38

NOTE 24 - SHARE-BASED PAYMENT TRANSACTIONS ..................................................................................................................... 38

NOTE 25 - FINANCIAL RISKS AND FINANCIAL INSTRUMENTS ........................................................................................................ 39

NOTE 26 - LEASE COMMITMENTS .................................................................................................................................................. 43

NOTE 27 - OTHER CONTINGENCIES ................................................................................................................................................ 43

NOTE 28 - RELATED PARTIES .......................................................................................................................................................... 44

NOTE 29 - SUBSEQUENT EVENTS ................................................................................................................................................... 44

NOTE 30 - PRINCIPAL CONSOLIDATED ENTITIES ............................................................................................................................ 45

CONSOLIDATED INCOME STATEMENT

Tarkett - Annexes to the Consolidated Financial Statements, December 2014 3


Note Dec. 31, 2014

Dec. 31, 2013

restated *

Net revenue 2,414.4 2,516.4

Cost of sales (1,842.8) (1,892.8)

Gross profit 571.6 623.7

Other operating income (6) 7.2 8.9

Selling and distribution expenses (249.4) (248.8)

Research and development expenses (26.0) (25.8)

General and administrative expenses (151.9) (162.3)

Other expenses (6) (14.9) (14.8)

Result from operating activities (4) 136.6 180.9

Financial income 1.8 1.6

Financial expenses (32.8) (33.0)

Financial income and expense (7) (31.0) (31.4)

Share of profit of equity accounted investees (net of income tax) (1.7) (1.4)

Profit before income tax 103.9 148.2

Income tax expense (8) (40.7) (49.3)

Profit from continuing operations 63.2 98.8

Profit (loss) from discontinued operations (net of income tax) - -

Net profit for the period 63.2 98.8

Attributable to:

Owners of Tarkett 61.2 97.6

Non-controlling interests 2.0 1.2

NET PROFIT FOR THE PERIOD 63.2 98.8

Earnings per share:

Basic earnings per share (in EUR) (15) 0.96 1.58

Diluted earnings per share (in EUR) (15) 0.96 1.56

* The comparative periods have been retroactively restated following application of IAS 12.41 (see Note 2.5.22)

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME



Dec. 31, 2014

Dec. 31, 2013

restated *

Net profit for the period 63.2 98.8

Other comprehensive income (OCI)

Foreign currency translation differences for foreign operations 55.7 (31.0)

Changes in fair value of cash flow hedges (0.5) 6.4

Income tax on other comprehensive income 0.2 (2.2)

OCI to be reclassified to profit and loss in subsequent periods 55.4 (26.8)

Defined benefit plan actuarial gains (losses) (29.7) 17.1

Income tax on other comprehensive income 4.8 (5.0)

OCI not to be reclassified to profit and loss in subsequent periods (24.9) 12.1

Other comprehensive income for the period, net of income tax 30.5 (14.7)

Total comprehensive income for the period 93.7 84.2

Attributable to:

Owners of Tarkett 91.2 83.5




CONSOLIDATED STATEMENT OF FINANCIAL POSITION



Note Dec. 31, 2014

Dec. 31, 2013

restated *

ASSETS

Goodwill (9) 532.6 425.6

Intangible assets (10) 115.8 110.9

Property, plant and equipment (10) 502.1 415.4

Financial assets (10) 28.8 27.5

Deferred tax assets (20) 109.3 82.6

Other non-current assets (13) 0.5 0.2

Non-current assets 1,289.1 1,062.2

Inventories (11) 348.2 318.6

Trade receivables (12) 312.0 279.7

Other receivables (13) 72.9 59.2

Cash and cash equivalents (16) 135.1 96.7

Current assets 868.2 754.2

TOTAL ASSETS 2,157.3 1,816.4

EQUITY AND LIABILITIES

Share capital (14) 318.6 318.6

Share premium and reserves 145.8 145.6

Retained earnings 194.9 118.2

Net result for the period 61.3 97.6

Equity attributable to equity holders of the parent 720.6 680.1


Total equity 725.8 686.2

Interest-bearing loans and borrowings (16) 690.4 501.3

Other financial liabilities (17) 3.8 4.7

Deferred tax liabilities (20) 36.5 10.8

Employee benefits (22) 155.4 122.3

Provisions and other non-current liabilities (21) 44.6 41.2

Non-current liabilities 930.7 680.2

Trade payables (18) 224.4 219.8

Other liabilities (19) 180.4 167.0

Interest-bearing loans and borrowings (16) 40.2 24.4

Other financial liabilities (17) 5.3 5.0

Provisions and other current liabilities (21) 50.5 33.7

Current liabilities 500.8 450.0

TOTAL EQUITY AND LIABILITIES 2,157.3 1,816.4


CONSOLIDATED STATEMENT OF CASH FLOWS



Note Dec. 31, 2014

Dec. 31, 2013

restated *

Cash flows from operating activities

Net profit before tax 103.9 148.2

Adjustments for:

Depreciation and amortization 100.8 105.5

(Gain) loss on sale of fixed assets (0.8) (0.3)

Net finance costs 31.0 31.4

Change in provisions and other non-cash items 3.1 10.4

Share of profit of equity accounted investees (net of tax) 1.7 1.4

Operating cash flow before working capital changes 239.7 296.4

Increase (-) / Decrease (+) in trade receivables 10.9 -

Increase (-) / Decrease (+) in other receivables (4.3) 2.4

Increase (-) / Decrease (+) in inventories 19.5 2.0

Increase (+) / Decrease (-) in trade payables (19.7) (21.4)

Increase (+) / Decrease (-) in other payables 3.9 0.7

Effect of changes in working capital 10.3 (16.3)

Cash generated from operations 250.0 280.2

Net interest paid (23.2) (25.6)

Net income taxes paid (48.4) (47.8)

Other 0.2 (1.2)

Other operating items (71.4) (74.5)

NET CASH (USED IN) / FROM OPERATING ACTIVITIES 178.6 205.6

Cash flows from investing activities

Acquisitions of subsidiaries net of cash acquired (3) (176.7) (3.5)

Acquisitions of property, plant and equipment (10) (87.7) (100.5)

Proceeds from sale of property, plant and equipment (10) 1.5 0.9

NET CASH FROM / (USED IN) INVESTMENT ACTIVITIES (262.9) (103.1)

Net cash from / (used in) financing activities

Acquisition of NCI without a change in control (15.9) (4.4)

Proceeds from loans and borrowings 278.0 504.0

Repayment of loans and borrowings (103.6) (496.3)

Payment of finance lease liabilities 0.1 (0.4)

Sale of treasury shares - 38.1

Dividends (39.4) (124.8)

NET CASH FROM / (USED IN) FINANCING ACTIVITIES 119.2 (83.8)

NET INCREASE / (DECREASE) IN CASH AND CASH EQUIVALENTS 34.9 18.5

Cash and cash equivalents, beginning of period 96.7 81.4

Effect of exchange rate fluctuations on cash held 3.5 (3.2)

CASH AND CASH EQUIVALENTS, END OF PERIOD 135.1 96.7


CONSOLIDATED STATEMENT OF CHANGES IN EQUITY


CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

Share

capital

Share

premium

and

reserves

Translation

reserves

Retained

earnings

Total

Non-

controlling

interests

Total

equity

Balance at January 1, 2013 - restated * 316.1 138.8 (71.8) 300.3 683.4 10.1 693.7

Net profit for the period - - - 97.6 97.6 1.2 98.8

Other comprehensive income - - (30.5) 16.4 (14.2) (0.5) (14.7)

Total comprehensive income for the period - - (30.5) 114.0 83.5 0.7 84.2

Dividends - - - (124.8) (124.8) - (124.8)

Own shares (acquired) / sold - - - 38.1 38.1 - 38.1

Share based payment - - - 6.2 6.2 - 6.2

Acquisition of NCI without a change in control - - - (0.5) (0.5) (4.8) (5.3)

Issue of shares 2.5 6.8 - (5.6) 3.6 - 3.6

Other - - - (9.5) (9.5) - (9.5)

Total transactions with shareholders 2.5 6.8 - (96.1) (86.8) (4.8) (91.6)

Balance at December 31, 2013 - restated * 318.6 145.6 (102.3) 318.2 680.1 6.1 686.2

Balance at January 1, 2014 318.6 145.6 (102.3) 318.2 680.1 6.1 686.2

Net profit for the period - - - 61.2 61.2 2.0 63.2

Other comprehensive income - - 55.2 (25.2) 30.0 0.5 30.5

Total comprehensive income for the period - - 55.2 36.0 91.2 2.5 93.7

Dividends - - - (39.4) (39.4) - (39.4)

Own shares (acquired) / sold - - - (1.4) (1.4) - (1.4)

Share based payment - - - 2.8 2.8 - 2.8

Acquisition of NCI without a change in control - - - (11.2) (11.2) (3.4) (14.6)

Other - 0.2 - (1.7) (1.5) - (1.5)

Total transactions with shareholders - 0.2 - (50.9) (50.7) (3.4) (54.1)

Balance at December 31, 2014 318.6 145.8 (47.1) 303.3 720.6 5.2 725.8


NOTE 1 - GENERAL INFORMATION


NOTE 1 - GENERAL INFORMATION

Tarkett’s consolidated financial statements as of and for

the year ended December 31, 2014 comprise the Company

and its subsidiaries (hereafter the “Group”) as well as its

interests in associates and joint ventures.

The Group is a leading global flooring company, providing

integrated flooring and sports surface solutions to business

and residential end-users.

The Group completed its initial public offering on

November 21, 2013.

The Group's registered office is located at 1 Terrasse Bellini

- Tour Initiale - 92919 Paris La Défense, France.

The Group's consolidated financial statements as of and for

the year ended December 31, 2014 were finalized by the

Management Board on February 16, 2015 and reviewed by

the Supervisory Board on February 18, 2015. They will be

submitted for shareholder approval on April 24, 2015.

NOTE 2 - SIGNIFICANT ACCOUNTING PRINCIPLES

2.1 GENERAL FRAMEWORK

The Group's consolidated financial statements as of and for

the year ended December 31, 2014 have been prepared in

accordance with IFRS (International Financial Reporting

Standards) as adopted by the European Union as of such

date, which are available at http://ec.europa.eu/inter

nal_market/accounting/ias/index_fr.htm. These standards

have been applied consistently for the fiscal years

presented.

2.2 BASIS OF PREPARATION OF CONSOLIDATED

FINANCIAL STATEMENTS

2.2.1 STANDARDS, AMENDMENTS AND INTERPRETATIONS

a) Amendments or revisions to existing

standards and interpretations applied during

the period

In preparing its consolidated financial statements, the

Group has taken into account the following amendments

and revisions to existing standards and interpretations.

These amendments and interpretations have been

approved by the European Union and their application is

mandatory:

� Amendment to IAS 32, "Offsetting Financial Assets and

Financial Liabilities": this amendment clarifies the

rules for offsetting financial assets and financial

liabilities and, more specifically, creates a legally

enforceable right to offset the amounts reported.

� Amendment to IFRS 10, IFRS 12 and IAS 27,

"Investment Entities": the purpose of these

amendments is to improve disclosure for investors in

investment entities.

� Amendment to IAS 36, "Recoverable Amount

Disclosures for Non-Financial Assets": this amendment

clarifies the disclosure required with respect to

estimating the amount recoverable for non-financial

assets.

� Amendment to IAS 39 and IFRS 9, "Novation of OTC

Derivatives and Continuing Designation for Hedge

Accounting": these amendments allow novation of an

over-the-counter (OTC) derivative that is designated

as a hedging instrument, where that novation is

required by legislation/regulation of an otherwise

unchanged hedging instrument, to be deemed to be a

continuation of the existing hedging relationship.

The adoption of these amendments had no effect on the

Group's consolidated financial statements.

The Group had early adopted, as of January 1, 2013, IFRS

10, "Consolidated Financial Statements", IFRS 11, "Joint

Arrangements" and IFRS 12, "Disclosure of Interests in

Other Entities", and the above amendments had no effect

on the information previously presented in the interim

consolidated financial statements.

b) Early adoption of new standards or

interpretations during the period

The Group did not implement early application of any new

standards or interpretations during the period.

c) New standards and interpretations not yet

adopted

IFRIC 21, "Levies", is the only recent change to IFRS

standards that may be adopted early but has not yet been

implemented by the Group.

d) Application of standards during the period

Before December 31, 2014, the Group had not applied IAS

12.41, on the effect of changes in the exchange rate on

non-monetary assets and liabilities of entities whose

functional currency is different from the local currency.

However, due to the devaluation of the Russian and

Ukrainian currencies during the fiscal year, the impacts for

the year on the income statement and the cumulative

impact on the balance sheet became material, and the

Group recorded deferred taxes in accordance with IAS

12.41 (see Note 2.5.22).

2.2.2 USE OF ESTIMATES AND JUDGMENTS

The preparation of financial statements in accordance with

IFRS requires management to make certain estimates and

assumptions that affect the reported amounts of assets

and liabilities on the Group's balance sheet and reported

income and expenses on its income statement.

Management reviews these estimates and assumptions on

an ongoing basis, by reference to past experience and

various other factors considered to be reasonable, which

form the basis for assessing the carrying amount of assets

and liabilities. Actual results may differ significantly from

these estimates.

These judgments and estimates relate principally to:

� Measurement of the fair value of the consideration

transferred, NCI and assets acquired and liabilities



assumed. Such allocations may involve the use of

assumptions in respect of future cash flows (Note 3);

� Impairment testing of assets: Group management

carries out these tests on the basis of its best

estimates of the future activity of the relevant cash-

generating units and of appropriate discount rates

(Note 9 and Note 10);

� Accounting treatment of financial instruments: the

Group has performed the requisite valuation

procedures and has tested the effectiveness of its

hedging instruments (Note 25);

� Provisions for employee benefits: provisions have

been estimated with the assistance of an external

actuarial firm (Note 22);

� The net tax position reflects the Group’s best estimate

of the trend of its future results for tax purposes (Note

20);

� All other provisions, such as for guarantees and

litigation, have been booked on the basis of

management's best estimates, when necessary using

statistical approaches (Note 21).

In preparing these financial statements, the significant

judgments made by management in applying the Group’s

accounting policies and the key sources of estimation

uncertainty were the same as those used in preparing the

consolidated financial statements as of and for the year

ended December 31, 2013.

Where the accounting treatment of a specific transaction is

not addressed by any accounting standard or

interpretation, management applies its judgment to define

and apply accounting policies that will lead to relevant and

reliable information, so that the financial statements:

� provide a true and fair view of the Group’s financial

position, financial performance and cash flows;

� reflect the substance of transactions;

� are prepared on a prudent basis; and

� are complete in all material respects.

The Group’s consolidated financial statements have been

prepared on a historical cost basis with the exception of

the following assets and liabilities, which have been

measured at fair value: derivatives, investments held for

trading and available-for-sale financial assets, pension plan

assets and other assets when required. The carrying

amount of assets and liabilities that are the subject of fair

value hedges has been adjusted in line with the changes in

fair value attributable to the hedged risks.

2.3 BASIS OF PRESENTATION

Consolidated income statement

Expenses are classified in the consolidated income

statement according to their function.

Consolidated statement of financial position

The balance sheet distinguishes between current and non-

current assets and between current and non-current

liabilities. Current assets comprise assets intended to be

sold or consumed during the Group’s normal operating

cycle and cash or cash equivalents. Other assets are

classified as non-current assets. Current liabilities comprise

liabilities with maturities during the Group’s normal

operating cycle or within twelve months of the balance

sheet date. Deferred tax assets and liabilities are

exclusively classified as non-current, as required by IAS 1

“Presentation of Financial Statements”.

Consolidated statement of cash flow

The consolidated statement of cash flow is presented using

the indirect method.

Consolidated statement of comprehensive income

The consolidated statement of comprehensive income

includes other income or expenses that are not recognized

in profit and loss, as authorized by IFRS.

2.4 BASIS OF CONSOLIDATION

Subsidiaries

Subsidiaries are entities controlled by the Group. The

Group controls an entity when it is exposed to, or has the

right to, variable returns from its involvement with the

entity and has the ability to affect those returns through its

power over the entity. The financial statements of

subsidiaries are included in the consolidated financial

statements from the date that control commences until the

date that control ceases.

The accounting policies of subsidiaries have been changed

when necessary to align them with the policies adopted by

the Group.

Losses applicable to non-controlling interests in a

subsidiary are allocated to the non-controlling interests,

even if doing so causes the non-controlling interests to

have a deficit balance.

In the event of a loss of control, the Group derecognizes

the assets and liabilities of the subsidiary, any non-

controlling interest and the other components of equity

related to the subsidiary.

Any surplus or deficit arising from the loss of control is

recognized in profit and loss. Any interest retained in the

former subsidiary is measured at fair value when control is

lost.

Joint ventures

The Group’s interests in equity-accounted investees

comprise only its interest in the joint venture Laminate

Park GmbH & Co.

A joint venture is an arrangement in which the Group has

joint control, whereby the Group has right to the net assets

of the arrangement, rather than rights to its assets and

obligations for its liabilities. Interests in associates and joint

ventures are accounted for using the equity method. They

are recognized initially at cost, which includes transaction

costs. Subsequent to initial recognition, the consolidated

financial statements include the Group’s share of the profit

or loss and OCI of equity accounted investees, until the

date on which significant influence or joint control ceases.

Transactions eliminated on consolidation

Intra-group balances and transactions, as well as any

unrealized income and expenses arising from intra-group

transactions, are eliminated. Unrealized gains arising from

transactions with equity accounted investees are

eliminated against the investment to the extent of the

Group’s interest in the investee. Unrealized losses are

eliminated in the same way as unrealized gains, but only to

the extent that there is no evidence of impairment.



2.5 ACCOUNTING POLICIES

The accounting policies described hereafter have been

applied to all the periods presented in the consolidated

financial statements and have been uniformly applied by all

Group entities acquired prior to December 31, 2014 (see

Note 3.1, Changes in the Scope of Consolidation).

2.5.1 BUSINESS COMBINATIONS

Consideration

Business combinations are accounted for using the

acquisition method on the acquisition date – i.e. when

control is transferred to the Group.

The Group measures goodwill at the acquisition date as:

� the fair value of the consideration transferred; plus

� the recognized amount of any non-controlling

interests in the acquiree; plus

� if the business combination is achieved in stages, the

fair value of the pre-existing equity interest in the

acquiree; less

� the net recognized amount (generally fair value) of the

identifiable assets acquired and liabilities assumed.

When the excess is negative, a bargain purchase gain is

recognized immediately in profit or loss.

The consideration transferred does not include amounts

related to the settlement of pre-existing relationships. Such

amounts are generally recognized in profit or loss.

Transactions costs, other than those associated with the

issuance of debt or equity securities, that the Group incurs

in connection with a business combination are expensed as

incurred.

Any contingent consideration payable is measured at fair

value on the acquisition date. If the contingent

consideration is classified as equity, then it is not re-

measured and settlement is accounted for in equity.

Otherwise, subsequent changes in the fair value of the

contingent consideration are recognized in profit or loss.

If share-based payment awards (replacement awards) are

required to be exchanged for awards held by the acquiree’s

employees (acquiree’s awards) and relate to past services,

then all or a portion of the amount of the acquirer’s

replacement awards is included in measuring the

consideration transferred in the business combination. This

determination is based on the market-based value of the

replacement awards compared with the market-based

value of the acquiree’s awards and the extent to which the

replacement awards relate to past and/or future service.

2.5.2 ACQUISITION OF NCI WITHOUT A CHANGE IN

CONTROL

For each business combination, the Group elects to

measure any non-controlling interests in the acquiree

either:

� at fair value; or

� at their proportionate share of the acquiree’s

identifiable net assets, which are generally at fair

value.

Changes in the Group’s interest in a subsidiary that do not

result in a loss of control are accounted for as transactions

with owners in their capacity as owners. Adjustments to

non-controlling interests are based on a proportionate

amount of the net assets of the subsidiary. No adjustments

are made to goodwill and no gain or loss is recognized in

profit or loss.

2.5.3 PUT OPTIONS

Share put options granted by the Group

The Group may write a put option or enter into a forward

purchase agreement with the non-controlling shareholders

in an existing subsidiary on their equity interests in that

subsidiary. The Group consolidates the entity as though the

non-controlling interests had already been acquired. This

position leads to recognizing a liability for the present value

of the price payable in the event that the non-controlling

interests exercise their option. This liability is discounted

over the option or forward period and any change in its

valuation is accounted for through equity.

2.5.4 FOREIGN CURRENCY TRANSLATION

These financial statements are presented in euros and the

functional currency of Tarkett SA and its subsidiaries

located in the Euro zone is the euro. Group entities operate

on an autonomous basis; therefore, the functional currency

of entities operating outside the euro zone is generally

their local currency, with the exception of the entities

located in the CIS (“Commonwealth of Independent

States”), which use the euro as their functional currency.

Foreign currency transactions

Transactions in foreign currencies are translated into the

respective functional currencies of the Group entities at

the foreign exchange rate as of the date of the transaction.

Foreign exchange rate differences arising on these

transactions are recognized either in operating profit for

operational transactions or in financial result for financing

transactions.

Some items are covered by hedging transactions; the

accounting treatment for those transactions is described in

Note 2.5.19.

Non-monetary items are not revalued as of the closing date

and remain translated using historical exchange rates,

while monetary items are translated using the foreign

exchange rates in effect at the balance sheet date.

Financial statements of foreign operations

On the balance sheet date, assets and liabilities of foreign

operations are translated at the closing rate, and income

and expenses are translated at the average exchange rate

for the period.

Foreign currency differences are recognized in other

comprehensive income (OCI) and presented in the

translation reserve in equity.

When a foreign operation is disposed of, the cumulative

amount in the translation reserve related to that foreign

operation is reclassified to P&L as part of the gain/loss on

disposal classified as financial expenses. When the Group

disposes of only part of its interest in a subsidiary that

includes a foreign operation while retaining control, the

relevant proportion of the cumulative amount is

reattributed to non-controlling interests.

Net investment in foreign operations

When the settlement of a monetary item receivable or

payable to a foreign operation is neither planned nor likely



in the foreseeable future, foreign exchange gains and

losses arising from such monetary item are considered to

form part of a net investment in a foreign operation and

are recognized in other comprehensive income (OCI) and

recorded in the translation reserve.

2.5.5 SEGMENT INFORMATION

IFRS 8, "Operating Segments", requires an entity to report

financial and descriptive information about its reportable

segments. Reportable segments are operating segments or

an aggregation of operating segments that do not meet

certain quantitative thresholds.

The chief operating decision maker of the Group within the

meaning of IFRS 8 is the CEO, Michel Giannuzzi.

IFRS 8 defines an operating segment as follows. An

operating segment is a component of an entity:

� that engages in business activities from which it may

earn revenues and incur expenses;

� whose operating results are reviewed regularly by the

entity’s chief operating decision maker to make

decisions about resources to be allocated to the

various segments, as well as to assess its performance;

and

� for which discrete financial information is available.

In addition, IFRS 8 requires the entity to report selected

information by geographical area.

The Group’s activities have been segmented based on its

management structure or divisions and differences in

products reflecting the Tarkett Group’s internal structure.

The Group is organized around four segments:

� Europe, Middle East and Africa (EMEA);

� North America;

� CIS, APAC & LATAM; and

� Sport Surfaces.

For each reportable business segment, separate disclosure

is provided of the related net revenue, gross profit,

adjusted EBITDA, EBITDA, EBIT and capital expenditures.

Grouping of the CIS, APAC & LATAM divisions

The reporting reviewed by the CFO is organized by Division,

of which there are currently five: EMEA, North America,

CIS, Asia Pacific/Latin America (“APAC & LATAM”) and

Sport Surfaces.

The CIS and APAC/LATAM divisions were regrouped in 2013

to form the “CIS, APAC & LATAM” segment for the

following reasons:

� The corresponding markets of these two divisions

have similar economic characteristics (the growth

trends on the concerned markets are similar); and

� The products sold, the production processes, the

typology of the customers and the distribution modes

used in the two zones are similar.

The relatively low weight of the sales and operating profits

of the Asia Pacific/Latin America division (less than 10% of

the net sales and of the adjusted EBITDA reported by the

Group) support the decision that it was unnecessary to

present this division in a separate segment.

2.5.6 REVENUE RECOGNITION

Revenue from the sale of goods is recognized in profit or

loss when the significant risks and rewards of ownership

have been transferred to the buyer.

Revenue from services rendered or from construction

contracts is recognized in profit or loss in proportion to the

stage of completion of the transaction at the balance sheet

date. The stage of completion is assessed by reference to

surveys of work performed. An expected loss on a contract

is recognized immediately in profit or loss.

Net sales comprise revenue from the sale of goods and

services net of rebates, and after elimination of intragroup

sales.

2.5.7 GRANTS

Grants are recognized when there is reasonable assurance

that the Group will comply with the conditions attaching to

them and that the grants will be received. Grants relating

to assets are deducted from the carrying amount of the

property, plant and equipment. The grants are thus

recognized as income over the lives of the assets by way of

a reduced depreciation charge.

Other grants are recognized as income on a systematic

basis over the periods necessary to match them with the

related costs that they are intended to offset.

2.5.8 EXPENSES

Cost of sales

Cost of sales comprises the cost of manufactured products,

the acquisition cost of purchased goods which have been

sold, and the supply chain costs for logistic and freight.

Selling and distribution expenses

Selling and distribution expenses comprise the expenses of

the marketing department and the sales force, as well as

advertising expenses, distribution expenses, sales

commissions and bad debts.

Research and development

Research and development costs are recognized as

expenses when incurred, unless the criteria are met for

them to be capitalized, as per Note 2.5.10.

General and administrative expenses

General and administrative expenses comprise the

remuneration and overhead expenses associated with

management and administrative personnel with the

exception of amounts charged to other cost centers.

Financial income and expense

Financial expense includes bank fees and interest payable

on borrowings accounted for at amortized cost using the

effective interest method.

Other financial income and expense includes the income

and expenses associated with loans and receivables

accounted for at amortized cost, the gains recognized in

respect of investment of cash and cash equivalents,

impairment losses relating to financial assets, and

dividends, which are recorded in net income when the

right to payment vests.

Foreign exchange gains and losses on financial items are

presented net, since those gains and losses are neutralized

by the related impacts of the FX hedging instruments or



they are hedged or arise from non-significant individual

transactions, by interpretation of IAS 1, "Presentation of

Financial Statements".

Operating lease payments

Payments made under operating leases are recognized in

profit or loss on a straight-line basis over the term of the

lease. Please refer to Note 2.5.11, Property, plant and

equipment, for more details on lease contract

classification.

Capital lease payments

Minimum lease payments are apportioned between the

finance charge and the reduction of the outstanding

liability. Please refer to Note 2.5.11, Property, plant and

equipment, for more details on lease contract

classification.

2.5.9 INCOME TAXES

Income tax on the profit or loss for the year comprises

current and deferred tax. Income tax is recognized in the

income statement except to the extent that it relates to

items in equity or in other comprehensive income, in which

case it is recognized in those items.

Current tax is the expected tax payable on the taxable

income for the year, using tax rates enacted or

substantially enacted at the balance sheet date, and any

adjustment to tax payable with respect to previous years.

Income tax expense /income are defined in Note 2.5.22,

Deferred taxes.

Income tax is calculated based on the rules applicable in

each country where the Group operates.

The “Cotisation sur la Valeur Ajoutée des Entreprises

(C.V.A.E.)” tax contribution due in France on the basis of

value added as determined based on the statutory

accounts of French entities meets the definition of income

tax under IAS 12, "Income Taxes," and is classified on the

current income tax line. Similar treatment has been

adopted for similar other tax contributions based on a net

of products and costs, even though that amount may differ

from accounting net income.

2.5.10 INTANGIBLE ASSETS

Goodwill

For the measurement of goodwill at initial recognition,

Tarkett applies IFRS 3 Revised (see Note 2.5.1), except for

acquisitions accounted for before December 31, 2009, for

which IFRS 3 (2004) was applied.

Negative goodwill (badwill) is recognized directly in profit

or loss.

Goodwill is allocated to cash-generating units and is not

amortized, but instead is tested at least annually for

impairment on the basis described in Note 2.5.15, or

following any event that could lead to a loss of value.

Subsequently, goodwill is measured at cost less

accumulated impairment losses.

In respect of equity accounted investees, the carrying

amount of goodwill is included in the carrying amount of

the investment and an impairment loss on such investment

is not allocated to any asset, including goodwill that forms

part of the carrying amount of the equity accounted

investee.

Research and development

Expenditure on research and development are expensed as

incurred (IAS 38.5 and IAS 38.11–38.23) except when the

criteria for capitalization of such expenditure are met.

Development expenditure is capitalized if and only if the

expenditure can be measured reliably and if and only if the

Group is able to demonstrate the technical and commercial

feasibility of the product or process, the existence of

probable future economic benefits, and its intention and

the availability of sufficient resources to complete

development and to use or sell the assets. Otherwise, it is

recognized in profit and loss as incurred. Subsequent to

initial recognition, development expenditure is measured

at cost less accumulated amortization and any

accumulated impairment losses.

Patents

Patents obtained by the Group are stated at cost less

accumulated amortization and impairment losses.

Capitalized costs for internally generated patents

principally relate to the costs of legal counsel. Patents

capitalized are amortized on a straight-line basis over the

shorter of the length of the patent or estimated length of

use.

Software

Software is stated at cost less accumulated amortization

and impairment losses. Software is amortized on a straight-

line basis from the date it is available for use.

Depreciation

Other intangible assets are amortized from the date that

they are available for use. The estimated useful lives are as

follows:

� Patents and trademarks: the shorter of the

length of the patent or its length of use

� Development costs: 3 - 62/3

years

� IT Software: 3 to 5 years

2.5.11 PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment are stated at cost less

accumulated depreciation and impairment losses.

Acquisition cost

Acquisition cost includes purchase cost or production cost

plus the other costs incurred for bringing the items to their

operating location and condition. The cost of a self-

constructed asset includes the costs of raw materials and

direct labor, the initially estimated cost of any obligation

for dismantling, removing and restoring the site on which

the asset is located, and an appropriate allocation for

directly attributable production overhead.

Borrowing costs attributable to the acquisition of items of

property, plant and equipment that meet the definition of

qualifying asset under IAS 23 are capitalized.

If the acquisition is made in foreign currency, the exchange

rate difference that may later appear has no effect on the

initial capitalization estimate.

When an item of property, plant and equipment includes

material components with different useful lives, each

major component is accounted for separately.



Subsequent costs

Replacements and improvements are capitalized, while

general repairs, day to day servicing and maintenance are

charged to expenses as incurred.

Depreciation

Assets are depreciated and charged to profit or loss over

their expected useful lives using the straight-line method.

The estimated useful lives are as follows:

� Buildings: 20 - 30 years

� Industrial plant and equipment: 62/3

- 10 years

� Printing cylinders: 2 years

� Other equipment and supplies: 3 - 5 years

Depreciation methods, useful lives and residual values are

reviewed and adjusted if appropriate.

Finance and operating leases

At inception of an arrangement, the Group determines

whether the arrangement is or contains a lease.

At inception or on reassessment of an arrangement that

contains a lease, the Group separates payments and other

consideration required by the arrangement into those for

the lease and those for other elements on the basis of their

relative fair values.

Leases in terms of which the Group assumes substantially

all of the risks and rewards of ownership are classified as

finance leases.

Assets acquired under finance leases are recognized as

items of property, plant and equipment at an amount

equal to the lower of their fair value and the present value

of the minimum lease payments at inception of the lease.

Lease payments are apportioned between the finance

charge and the reduction of the outstanding liability. The

finance charge is allocated to each period during the lease

term so as to produce a constant periodic rate of interest

on the remaining balance of the liability.

The bases of depreciation and subsequent measurement of

the related assets are similar to those applying to other

tangible fixed assets, except in the case where the lease

period is shorter than the asset’s estimated useful life and

it is not reasonably certain that transfer of title will take

place at the end of the lease.

Leases for which a significant portion of the risks and

rewards incidental to ownership of the leased assets

remains with the lessor are classified as operating leases,

with lease payments recognized as an expense on a

straight-line basis over the lease term.

2.5.12 NON-CURRENT ASSETS HELD FOR SALE

Non-current assets, or disposal groups comprising assets

and liabilities, are classified as held for sale if it is highly

probable that they will be recovered primarily through sale

rather than through continuing use.

Immediately before classification as held for sale, the

carrying amounts of assets (and groups of related assets

and liabilities) are revised in accordance with the applicable

standards. Then, on initial classification as held for sale,

non-current assets and disposal groups are recognized at

the lower of their carrying amount and fair value less costs

to sell.

Impairment losses on initial classification as held for sale

are included in profit or loss.

Following classification as held for sale, tangible and

intangible assets cease to be depreciated or amortized, and

equity investments cease to be accounted for by the equity

method.

A discontinued operation is a component of a Group’s

business that represents a separate major business line or

geographical area of operations or is a subsidiary acquired

exclusively with a view to resale. Classification as a

discontinued operation occurs upon disposal or when the

operation meets the criteria to be classified as held for

sale, if earlier.

2.5.13 ACCOUNTS RECEIVABLE

Accounts receivable are stated at their invoiced value

converted at the closing rate, less any allowance for

doubtful accounts.

The allowance for doubtful accounts is based on

management’s assessment of the recoverability of specific

customer accounts and the aging of the accounts

receivable.

Provision for doubtful receivables

Provisions for doubtful receivables are constituted as

follows:

� Bad debts identified and provisioned at 100%;

� A statistical provision, based on the age of the

outstanding receivables, defined as follows:

Overdue receivables Impairment (as a percentage

of the gross amount)

From 61 to 180 days 25%



More than 360 days 100%

� An additional provision on a case-by-case basis based

on an application of professional judgment.

2.5.14 INVENTORIES

Inventories are stated on a FIFO (first in, first out) basis, at

the lower of manufacturing/acquisition cost and net

realizable value. Manufacturing costs of self-produced

inventories comprise all direct costs and a proportionate

share of production overhead and depreciation of

production facilities based on normal operating capacity.

Net realizable value is the estimated selling price in the

ordinary course of business, less estimated costs of

completion and selling expenses.

Inventories can be categorized as raw materials,

consumables, semi-finished goods and work in progress,

and finished goods.

2.5.15 IMPAIRMENT

a) Non-financial assets

Annual impairment testing

Goodwill and other intangible assets with indefinite useful

lives are systematically tested for impairment once a year.



The carrying amounts of the Group’s assets, other than

financial and deferred tax assets and liabilities, are

reviewed to determine whether there is any indication of

impairment. If any such indication exists, the asset’s

recoverable amount is estimated.

The recoverable amount of assets is the greater of their fair

value less costs of disposal and value in use.

Value in use is calculated by discounting estimated future

cash flows for each cash-generating unit, excluding

borrowing costs and tax.

Cash-generating units

In carrying out impairment testing, assets are tested at the

level of cash-generating units ("CGU") that reflect the

segment organization of the Group and its products

offerings. Goodwill has been allocated to the CGUs.

Due to recent acquisitions that have affected the allocation

of the Group’s activities as well as changes in the

organization of its divisions, the Group reviewed its CGUs in

2014 and decreased their number from 15 in 2013 to 12 in

2014.

The main changes are the following:

� Creation of the APAC and LATAM CGUs after their

sales organizations were made autonomous and after

production was localized in China and Brazil;

� Creation of the EMEA – Carpet CGU following

acquisition of the Desso Group as of December 31,

2014;

� Merger of the EMEA – Homogeneous

/Linoleum/Resilient and Other CGUs into an EMEA –

Resilient and Other CGU because they generate

interdependent cash inflows;

� Merger of the CIS – Wood/Resilient and Laminate

CGUs into one CIS CGU because they generate

interdependent cash inflows;

� Merger of the Centiva and Tandus CGUs into a single

North America – Tandus and Centiva CGU because

they generate interdependent cash inflows.

Impairment testing would have given the same results for

the 2013 CGUs, namely no loss in value to record in 2014

(see Note 10).

Impairment process

The Group analyzes future cash flows over a period of

three years based on the most recent forecasts,

corresponding to the best estimate of a full business cycle.

The forecasts are established taking into account cyclical

variations affecting selling prices, volumes and raw

material costs. Beyond three years, the Group determines

a standard year calculated by extending the third year on

the assumption of a stable revenue and margin, a need for

working capital and investments determined on normative

renewal based on historical observations. This standard

year is then projected to infinity according to the Gordon-

Shapiro method.

Future cash flows are discounted to present value at a

weighted average cost of capital (WACC) discount rate that

reflects current market assessments of the time value of

money and the risks specific to each financing means. In

2014 this rate was adjusted, where necessary, to reflect

country risk varying by geographic area.

In 2014, the discount rate is an after-tax rate applied to

after-tax cash flows. The use of this rate gives recoverable

values that are identical to those that would be obtained

using a pre-tax rate applied to pre-tax cash flows.

The assumptions used for 2014 are as follows:

After-tax

discount rate

Perpetual

growth rate

EMEA 9.0% 2%

North America 9.0% 3%

CIS 11.6% 4%

APAC 10.0% 4%

LATAM 11.2% 4%

Sports 9.0% 3%

Tarkett takes into account the risks and performance

specific to each activity through the following:

� Changes in revenue and operating profit (EBITDA)

considered for the next 3 years, by specific

segment/product, testing for impairment by CGU, and

defined by the Group as part of its strategic plan;

� Working capital needs (including inventory) defined

based on known history of the different segments and

assumptions of change in revenue by CGU;

� Renewal investments, in line with recent historical

investments by CGU and taking into consideration

specific projects requiring more significant investment

in the coming years or, conversely, a potential

slowdown in investment in certain CGUs, especially as

in certain CGUs existing investments are approaching

maturity.

Operating assumptions

For each CGU (or group of CGUs) operational assumptions

that were considered key by the Group are as follows:

� Evolution of the markets in which these CGUs are

present on the basis of internal estimates, supported

where possible by external forecasts on the concerned

segments or products;

� Evolution of the Group in its various markets;

� General hypothesis of stability of inflation balance

(purchase prices stable, or if changes are considered,

full offset by changes in selling prices to balance the

impact on value);

� Continual implementation of productivity plans for

factories working on these CGUs to improve

profitability; and

� EBITDA margin, resulting from the combination of the

factors discussed above.

Change in the discount rate and growth rate

Sensitivity analysis with variations in key assumptions was

performed based on three assumptions:

� The discount rate (WACC);

� The perpetual growth rate; and

� The EBITDA margin.

Changes of 50 basis points in the discount rate and growth

rate are reasonably possible variations for the Group (see

Note 10). Tarkett operates in a large number of countries,



with a balance between three main areas (EMEA, North

America and CIS, APAC & LATAM). The Group believes that

economic developments in these geographic areas can

offset each other, as has been demonstrated in the past.

In 2014, the combination of a 50 point increase in the

discount rate and a 50 point decrease in the perpetual

growth rate would not lead to recording any impairment

losses.

In addition, a decrease of 100 points in the EBITDA margin,

a key assumption for the Group, would lead to recording

losses in the amount of €(4.9) million for the EMEA – Wood

CGU and of €(6.9) million for the North America –

Residential CGU.

Impairment losses

An impairment loss is recognized whenever the carrying

amount of a cash-generating unit exceeds its recoverable

amount. Impairment losses are recognized in profit or loss.

Impairment losses recognized in respect of cash-generating

units are allocated first to reduce the carrying amount of

any goodwill allocated to the cash-generating unit and then

to reduce the carrying amount of the other assets in the

unit on a pro rata basis.

An impairment loss in respect of goodwill cannot be

reversed. In respect of other assets, an impairment loss is

reversed if there has been a change in the estimates used

to determine the recoverable amount.

b) Non-derivative financial assets

A financial asset not carried at fair value through profit or

loss is assessed at each reporting date to determine

whether there is objective evidence that it is impaired.

For financial assets available for sale, a significant or

prolonged decline in its fair value below its costs leads to

an impairment loss on the income statement. Impairment

loss on an available-for-sale financial asset is measured as

the difference between its carrying amount and its fair

value, less any impairment loss previously recognized and

recorded in profit or loss.

An impairment loss in respect of a financial asset

measured at amortized cost is calculated as the difference

between its carrying amount and the present value of the

estimated future cash flows discounted at the asset’s

original effective interest rate.

2.5.16 SHARE CAPITAL

Ordinary shares are classified as equity. Incremental costs

directly attributable to the issue of ordinary shares and

share options are recognized as a deduction from equity,

net of any tax effects. When share capital recognized as

equity is repurchased, the amount of consideration paid,

which includes directly attributable costs, is net of any tax

effects, and is recognized as a deduction from equity

classified as own shares. When own shares are sold or

reissued subsequently, the amount received is recognized

as an increase in equity, and the resulting surplus or deficit

on the transaction is transferred to/from retained earnings.

2.5.17 SHARE-BASED PAYMENT TRANSACTIONS

The Group regularly implements share grant plans. The

grant-date fair value of equity-settled share-based

payment awards granted to employees is generally

recognized as an expense, with a corresponding increase in

equity, over the vesting period of the shares awarded. At

the end of each fiscal year, the amount recognized as an

expense is adjusted to reflect the number of shares

awarded for which the related service and non-market

performance conditions are expected to be met, such that

the amount ultimately recognized is based on the number

of shares awarded that meet the related service and non-

market performance conditions at the vesting date. For

share-based payment awards with non-vesting conditions,

the grant-date fair value of the share-based payment

would be measured to reflect such conditions, and there is

no true-up for differences between expected and actual

outcomes.

Share-based payment programs include both programs

allowing Group employees to acquire shares of the

Company under specific conditions and programs awarding

free shares to Group employees. The current existing

programs are described in Note 24.

2.5.18 EMPLOYEE BENEFITS

Within the Tarkett Group, there are various systems for

providing for retirement benefits depending on the legal,

economic and tax environment of each country. In

accordance with the laws and practices of each country,

the Group participates in pension, welfare, health and

retirement benefit plans whose benefits are dependent on

various factors such as length of service, salary and the

contributions paid to institutions.

Defined contribution plans

Defined contribution plans are post-employment benefit

plans under which the Group pays fixed contributions and

will have no legal or constructive obligation to pay further

contributions if the fund does not hold sufficient assets to

pay all employee benefits relating to employee service in

the current and prior periods.

These contributions, based on services rendered by

employees, are recognized as an expense in profit or loss as

incurred.

Defined benefit plans

Defined benefit plans are post-employment benefit plans

under which the Group assumes the obligation of providing

employees with future benefits and thus also assumes the

related actuarial and investment risks. The defined benefit

liability is calculated using the projected unit credit method

and is discounted to its present value from which the

amount of past service cost for the period may also be

deduced.

The detailed actuarial calculation requires the use of

actuarial hypotheses for demographic variables (such as

mortality and employee turnover) and economic variables

(such as future increases in salaries and medical costs, as

well as the discount rate).

When defined benefit plans are totally or partially funded

by contributions paid to a separate fund or insurance

company, those entities’ assets are measured at their fair

value and their amount is deducted from the obligation to

define net liability disclosed in the Group’s balance sheet.

The Group’s obligation in respect of such arrangements is

calculated by independent actuaries, in accordance with

IAS 19, "Employee Benefits".



Following adoption of the revised IAS 19, the Group

changed its accounting methods with respect to the bases

used to calculate the income or expense relating to post-

employment defined benefit plans.

Under IAS 19R, the Group now determines the net interest

expense (income) on the net defined benefit liability (asset)

for the period by applying the discount rate used to

measure the defined benefit obligation at the beginning of

the annual period to the net defined benefit liability (asset)

at the beginning of the annual period. It takes into account

any changes in the net defined benefit liability (asset)

during the period as a result of contributions and benefit

payments. As a result, the net interest on the net defined

benefit liability (asset) comprises: interest cost on the

defined benefit obligation, interest income on plan assets,

and interest on the effect of asset ceiling.

Actuarial gains and losses

Actuarial gains and losses on defined benefit liabilities and

plan assets comprise both the effects of changes in

actuarial assumptions and the effects of differences

between the previous actuarial assumptions and what has

actually occurred.

Actuarial gains and losses for retirement benefit plans are

immediately recognized in other comprehensive income

(and are never recycled in profit and loss).

Past service cost

When changes occur to a defined benefit plan, past service

cost for the changed benefit liability is recognized as an

expense immediately in profit and loss.

Curtailment and liquidation

The effects of any liquidation of plans or reduction of

benefits are recognized in profit or loss at the date of

liquidation or reduction.

2.5.19 FINANCIAL INSTRUMENTS

The Group has applied IFRS 7, "Financial Instruments:

Disclosures" and IFRS 13, "Fair Value Measurement", which

define the disclosure to be made in respect of financial

assets and liabilities.

Financial transactions are recorded based on the effective

date of payment.

Non-derivative financial assets

Financial assets are initially recognized at their fair value

plus any applicable transaction costs, except for financial

assets at fair value through profit or loss, for which

transactions costs are recognized in profit or loss as

incurred.

At the date of acquisition the Group classifies its financial

assets in one of the four categories provided for by IAS 39,

"Financial Instruments: Recognition and Measurement".

The classification determines the basis of measurement of

each financial asset at the subsequent balance sheet dates,

whether at amortized cost or at fair value.

Held-to-maturity investments are exclusively securities

with fixed or determinable payments (other than items

defined as loans and receivables) acquired with the

intention of holding them to maturity. They are accounted

for at amortized cost using the effective interest method.

The net income recognized in respect of such assets

comprises the aggregate of interest receivable and any

impairment losses.

Loans and receivables are non-derivative financial assets

with fixed or determinable payments that are not quoted

in an active market. Subsequent to initial recognition, they

are accounted for at amortized cost, using the effective

interest method, less any impairment losses reflecting the

risk of non-recovery. The category includes trade and other

loans and receivables. The net income recognized in

respect of such assets comprises the aggregate of interest

receivable and any impairment losses.

Available for sale financial assets are measured at fair

value, and the gains or losses resulting from that valuation

are recognized in reserves in equity until sale. In the event

of a significant or lasting decrease in value, the

accumulated loss is recorded in the Group’s results (see

Note 2.5.15).

The category mainly comprises non-consolidated long-term

investments, which are measured in the balance sheet at

their acquisition cost assuming the absence of an active

market for the securities held. The net income recognized

in respect of such assets comprises the aggregate of

dividends receivable, any impairment losses and the gains

or losses arising on disposal.

Financial assets and liabilities at fair value through profit or

loss include both items held for trading, i.e. that the Group

has from the outset the intention to sell in the near future

(including derivatives not qualified as hedging

instruments), and assets specifically designated as at fair

value through profit or loss. These assets are adjusted to

their fair value at each balance sheet date and the resulting

gains and losses are recognized in profit or loss.

This category includes cash and cash equivalents. The net

income recognized in respect of such assets comprises the

aggregate of interest receivable, changes in fair value and

the gains or losses arising on disposal.

Cash and cash equivalents comprise cash at bank and on

hand, term deposits and other monetary investments with

initial maturities not exceeding three months and subject

to an insignificant risk of changes in value. The Group has

opted to classify cash equivalents as assets measured at

fair value through profit or loss.

For purposes of cash flows statement presentation, cash

and cash equivalents are defined on the same basis as in

the balance sheet.

Non-derivative financial liabilities

Financial liabilities comprise financial debt and trade and

other operating payables.

With the exception of items classified as financial liabilities

at fair value through profit or loss, loans payable and other

financial liabilities are initially recognized at their fair value

less any applicable transaction costs. They are

subsequently measured at amortized cost using the

effective interest rate method.

Given their short maturities, trade and other operating

payables are measured at historical cost since use of the

amortized cost basis would produce very similar results.



Derivative instruments

The Group uses derivative financial instruments to hedge

its exposure to the foreign currency risk and interest rate

risk associated with its purchases and sales denominated in

foreign currencies and with its financing and investment

transactions.

The derivatives employed comprise in particular interest

rate swaps and options, other forward contracts and

foreign currency options.

In accordance with its policy in respect of financial

instruments, the Group neither uses nor issues derivative

financial instruments for trading purposes, but derivatives

that do not meet the criteria qualifying them for hedge

accounting are nevertheless accounted for similarly to

speculative instruments.

Derivatives are recognized in the balance sheet at their fair

value (whether positive or negative), with changes in fair

value immediately recognized in profit or loss.

Derivative instruments that qualify for hedge accounting

and meet the applicable effectiveness tests are classified

either as fair value hedges (when their purpose is to hedge

an existing asset or liability’s exposure to the risk of

changes in its fair value) or cash flow hedges (when their

purpose is to hedge the exposure to changes in the cash

flows associated with highly probable future transactions).

Changes in the fair value of fair value hedges of exposure

to foreign currency and interest rate risk are recognized as

part of financial income or expense. The hedged assets and

liabilities are also adjusted to their fair value and the

changes in fair value attributable to the hedged risk(s) are

equally recognized as part of financial income or expense.

Changes in the fair value of cash flow hedges of exposure

to foreign currency and interest rate risk are recognized

within other comprehensive income with the exception of

any ineffective portion of changes in fair value which is

recognized in financial income or expense.

If a derivative instrument ceases to meet the criteria for

hedge accounting, the cumulative amount recognized in

other comprehensive income at that date remains in other

comprehensive income until the date of occurrence of the

transaction initially hedged, but if the transaction is no

longer expected to occur then the amount is immediately

transferred in full to profit or loss.

Derivative instruments that cease to meet the criteria for

hedge accounting are reclassified as held for trading and

changes in their fair value are recognized as part of

financial income or expense.

Finally, the effective portion of the foreign exchange gain

or loss associated with hedges of net investments in

foreign operations is recognized directly in other

comprehensive income; the ineffective portion is

recognized immediately in profit or loss.

Fair value method

When measuring the fair value of an asset or a liability, the

Group uses market observable data to the extent possible.

Fair values are categorized into different levels in a fair

value hierarchy based on the inputs used in the valuation

techniques as follows:

� Level 1: quoted prices (unadjusted) on active markets

for identical assets or liabilities.

� Level 2: inputs other than quoted prices included in

Level 1 that are observable for the asset or the

liability, either directly (i.e., prices) or indirectly (i.e.,

derived from prices).

� Level 3: inputs relating to the asset or liability that are

not based on observable market data (unobservable

inputs).

However, if the fair value of an equity instrument cannot

be reasonably estimated, it is measured at cost.

The fair value of all the Group’s financial assets and

liabilities is determined as at the balance sheet date either

for inclusion in the balance sheet or for disclosure in the

notes to the consolidated financial statements.

The fair value of interest rate swaps and of interest rate

and foreign currency options is the estimated amount that

the Group would expect to receive or have to pay in order

to cancel each derivative instrument at the balance sheet

date, taking into account the current level of interest rates

and the credit risk associated with the counterparties to

these instruments. The fair value of forward exchange

contracts is determined based on their market value at the

balance sheet date, i.e. the present value of their quoted

forward prices.

The derivative financial instruments (swaps, caps, floors

etc.) entered into by the Group are entered into by private

arrangement and are thus not subject to quoted prices.

They are therefore measured using the valuation models

commonly employed by operators in the market and in

particular:

� Interest rate swaps are measured on the basis of the

present value of the contractual future cash flows;

� Options are measured using Black and Scholes type

valuation models based on published market

quotations and/or on quotations provided by third

party financial institutions;

� Other foreign currency and interest rate derivative

instruments are measured on the basis of the present

value of the associated interest rate differentials.

Derivative instruments are entered into exclusively with

leading banks or other financial institutions, and with the

sole purpose of providing security for the Company’s

current operations and for the financing thereof.

The fair value of non-quoted borrowings is calculated on

the basis of the present value of the contractual cash flows

discounted at the market rate of interest, including the

applicable risk premium.

In the case of receivables and payables with maturities of

less than a year and certain floating rate receivables and

payables, historical cost is considered a reasonable

approximation of their fair value given the limited credit

periods granted and received within the Group.

2.5.20 PROVISIONS

Provisions and non-current liabilities comprise liabilities for

which the amount or the timing is uncertain. They arise

from environmental risks, legal and tax risks, litigation and

other risks.



A provision is recognized when the Group has a present

legal or constructive obligation as a result of a past event,

and it is probable that an outflow of economic benefits will

be required to settle the obligation. If the effect is material,

provisions are determined by discounting the expected

future cash flows.

The amount recognized as a provision is the best estimate

of the expenditure required to settle the present obligation

at the balance sheet date. Provisions are reversed when

they are no longer required.

A provision for warranties is recognized when the

underlying products are sold. The provision is based on

historical warranty data and a weighting of all possible

outcomes against their associated probabilities.

A provision for restructuring is recognized when the Group

has approved a detailed and formal restructuring plan, and

the restructuring either has commenced or has been

announced. Future operating losses are not provisioned.

2.5.21 TRADE PAYABLES

Trade payables are stated at their repayment amounts.

Payables due more than a year in the future are discounted

to net present value.

Payables of uncertain timing or amount are shown as

accrued charges.

2.5.22 DEFERRED TAXES

Deferred tax is calculated using the balance sheet liability

method, providing for temporary differences between the

carrying amounts of assets and liabilities for financial

reporting purposes and the amounts used for taxation

purposes. The amount of deferred tax provided is based on

the expected manner of realization or settlement of the

carrying amount of assets and liabilities, using tax rates

enacted or substantially enacted at the balance sheet date.

The following temporary differences are not provided for:

� Goodwill not deducted for tax purposes;

� The initial recognition of assets or liabilities, other

than in the context of transactions involving business

combinations that affect neither accounting nor

taxable profit;

� Differences relating to investments in subsidiaries to

the extent that they will probably not reverse in the

foreseeable future.

A deferred income tax asset is recognized only to the

extent that it is probable that there will be future taxable

profits over the next five years against which this asset can

be utilized. Deferred income tax assets are reduced to the

extent that it is no longer likely that a sufficient taxable

benefit will support the asset recovery.

In accordance with IAS 12, where an entity's tax return is

prepared in a currency other than its functional currency,

changes in the exchange rate between the two currencies

generate temporary differences with respect to the

valuation of non-monetary assets and liabilities. As a result,

deferred tax is recognized in profit or loss.

In 2014, due to the devaluation of the Russian ruble and

the Ukranian hryvnia, the Group began applying IAS 12.41.

The effect of this application in 2014 on the financial

statements is a deferred tax liability of €21.7 million (€10.1

million as of December 31, 2013), of which €(11.6) million

is applied against 2014 profit or loss, €(1.4) million is

applied against 2013 profit or loss (see Note 8, “Income Tax

Expense”) and €(8.7) million against 2013 retained

earnings. The comparative periods have been retroactively

restated in accordance with IAS 8, “Accounting Policies,

Changes in Accounting Estimates and Errors”.

2.5.23 NET DEBT

Net debt is defined as the sum of interest bearing loans,

borrowings and bank overdrafts, minus cash and cash

equivalents.

Interest-bearing loans and borrowings refer to any

obligation for the repayment of funds received or raised

that are subject to repayment terms and interest charges.

They also include liabilities on finance lease.

NOTE 3 - SCOPE OF CONSOLIDATION



The Tarkett Group’s scope of consolidation is as follows (see Note 30 for a list of principal consolidated entities).

Number of companies Dec. 31,

2013 Acquisition Creation Merger

Dec. 31,

2014

Fully consolidated companies 70 26 3 (4) 95

Equity-accounted companies 1 - - - 1

TOTAL 71 26 3 (4) 96

3.1 CHANGES IN THE SCOPE OF CONSOLIDATION

Acquisitions

On April 30, 2014, the Group acquired the Polish company

Gamrat Flooring in order to reinforce its business on the

vinyl flooring market in Central Europe in growing, high

value-added market segments such as health and

education. Gamrat Flooring entered the Group as a new

legal entity, Tarkett Jaslo Sp.z.o.o, and has been fully

consolidated and 100% owned since its acquisition by

Tarkett.

On October 24, 2014, the Group acquired the Renner

company, a leading manufacturer of athletic tracks and

tennis courts located in the Rocky Mountain region of the

United States. This acquisition enables the group to enrich

its product offerings in the Sport Surfaces segment and to

expand its geographical footprint, thus reinforcing its

leadership position in North America.

On December 31, 2014, the Group acquired the Desso

group, a leader in commercial carpeting and athletic fields

in Europe, in order to reinforce its presence in the EMEA

zone. This acquisition, along with the Group's acquisition of

the Tandus group in North America in 2012, enables the

Group to offer commercial carpeting solutions throughout

the world. This group comprises 24 companies.

These three acquisitions have been fully consolidated since

the date on which Tarkett acquired control.

Creations

Tarkett Belux was formed in January 2014.

In April 2014, the Group created Tarkett Industrial (Beijing)

Co, Ltd., and through that company acquired a vinyl

flooring production plant located near Beijing.

Tarkett Flooring Mexico S. de R.L. de C.V. was created in

September 2014.

Mergers

In February 2014, Caf Extrusion Llc was merged into Tandus

Centiva Inc.

In February 2014, Johnsonite Inc. was merged into Tarkett

USA Inc.

In March 2014, Tarkett IFA Inc. was merged into Tarkett

Enterprises Inc.

In September 2014, Tarkett Asia Pacific Ltd. was merged

into Tarkett Floor Covering Co. Ltd.

3.2 PURCHASE ACCOUNTING

3.2.1 PURCHASE ACCOUNTING OF THE GAMRAT FLOORING

ACQUISITION

On April 30, 2014, Tarkett acquired Gamrat Flooring, which

was then renamed Tarkett Jaslo Sp.z.o.o.

Payment for the acquisition of Gamrat Flooring totaled

€22.1 million (PLN 92.4 million).

Acquisition costs, reported in general and administrative

expenses, amounted to €0.1 million.

The acquisition impact on the consolidated cash flow

statement is presented in the line item "Acquisitions of

subsidiaries net of cash acquired" for an amount of €(20.7)

million.

Consideration paid (22.1)

Cash and cash equivalents acquired 1.4

Acquisition of subsidiaries net of cash acquired (20.7)

This combination was accounted for on a provisional basis

in accordance with the revised IFRS 3, and may be revised

within the 12-months limit provided for by IFRS 3 (revised).

In 2014, Tarkett identified and valued the tangible fixed

assets acquired, such as machines and equipment.

As of December 31, 2014, goodwill from the Gamrat

company was calculated at €(9.2) million.


Net assets acquired 13.0

Fair value for net assets identified (0.1)

Total goodwill recognized (9.2)

This goodwill is explained primarily by the following:

� Gamrat's industrial presence and expertise in Poland;

� Gamrat Flooring's excellent service and recognized

offerings on its markets;

� The reinforcement of Tarkett's leadership in the

production and marketing of high-performance vinyl

floor coverings in Central Europe; and

� Gamrat Flooring's current market share.

The main fair value adjustments relate to the following:

� Employee-related expenses;

� Calculation of depreciation on finished products and

customer receivables in accordance with Tarkett's

internal rules; and



� The deferred tax assets and liabilities resulting from

these adjustments.

3.2.2 PURCHASE ACCOUNTING OF RENNER ACQUISITION

On November 1, 2014, Tarkett acquired Renner Sport

Surfaces. Based in the United States, Renner specializes in

athletic tracks and tennis courts. This acquisition enables

the group to enrich its product offerings and to expand its

geographical footprint, thus reinforcing its leadership

position in North America.

Payment for the acquisition of Renner Sport Surfaces

totaled €4.7 million (USD 5.9 million).



subsidiaries net of cash acquired" for an amount of €(4.6)

million.






within the 12-months limit provided for by IFRS3 (revised).

In particular, in 2015 Tarkett must identify and value the

assets acquired and liabilities assumed or incurred.

As of December 31, 2014, goodwill from the Renner Sport

Surfaces entity was calculated at €(3.5) million.



Price adjustment (0.3)



� Renner Sport Surfaces' expertise in tennis courts and

PTC technology;

� Renner Sport Surfaces' excellent service and

recognized offerings;

� The reinforcement of Tarkett's competitive advantage

through its ability to offer complete sports facility

solutions;

� Renner Sport Surfaces' current market share.

3.2.3 PURCHASE ACCOUNTING OF DESSO ACQUISITION

On December 31, 2014, Tarkett acquired the Desso group,

a leader in the commercial carpeting and athletic field

market in Europe, in order to enlarge its product portfolio

by adding the high value-added carpet category for its

European customers. This transaction enables the Tarkett

Group to reinforce its presence in the EMEA zone as well as

to offer commercial carpeting solutions to all of its clients

throughout the world.

Through its high-quality carpeting solutions and its

innovative capacity, the Desso group primarily serves the

commercial market (offices, education, hospitality, sea and

air transport) and is also present on the residential market

in Europe. On the Sport Surfaces market, the group also

sells artificial turf as well as a unique semi-natural

reinforced lawn system, GrassMaster®.

Based in the Netherlands, the Desso group had revenue of

€208 million in 2014, has approximately 820 employees

and has three production plants in Europe.

The Desso group comprises 24 legal entities, including two

production entities located in Belgium and the Netherlands

and distribution entities located primarily in Europe.

Consideration paid totaled €154.3 million and includes

repayment of the Desso group's debt in the amount of

€52.4 million.

Acquisition costs, reported in "General and administrative

expenses," amounted to €0.5 million.



subsidiaries net of cash acquired", broken down as follows:






within the 12-months limit provided for by IFRS 3 (revised).

In particular, in 2015 Tarkett must identify and value the

assets acquired and liabilities assumed or incurred.

As of December 31, 2014, goodwill from the Desso group

was calculated at €(60.0) million.


Repayment of Desso debt 52.4

Purchase and sale of assets 10.8




� Specific technology and know-how;

� Expected commercial synergies from the cross-

marketing of Desso and Tarkett products;

� Market share already acquired by the Desso group.



3.3 JOINTLY CONTROLLED ENTITIES

Laminate Park GmbH & Co KG, a company jointly held with the Sonae Group in Germany, is the Group's only remaining jointly

controlled entity.

Laminate Park GmbH & Co KG is a company that produces laminate and board for the EMEA market.

The following tables summarize the information relating to this joint venture (figures are presented at 50%):

Statement of financial condition

Dec. 31, 2014 Dec. 31, 2013

% of equity held 50% 50%

ASSETS

Intangible assets 0.2 0.1

Property, plant and equipment 0.5 0.7

Deferred tax assets 0.3 0.3

Non-current assets 1.0 1.2

Inventories 4.1 5.5

Trade receivables 1.7 2.2

Other receivables 0.4 0.2

Cash and cash equivalents 0.3 0.2

Current assets 6.6 8.0

TOTAL ASSETS 7.6 9.2

EQUITY AND LIABILITIES

Share capital - -

Share premium and reserves - -

Retained earnings (11.3) (13.0)

Net result for the period (1.6) 1.6

Equity attributable to equity holders of the parent (13.0) (11.3)

Non-controlling interests - -

Total equity (13.0) (11.3)

Interest-bearing loans and borrowings 14.2 14.2

Non-current liabilities 14.2 14.2

Trade payables 2.2 2.6

Other liabilities 0.6 0.5

Interest-bearing loans and borrowings 3.5 3.1

Other financial liabilities 0.1 0.1

Current liabilities 6.3 6.3

TOTAL LIABILITIES 7.6 9.2



Income statement

Dec. 31, 2014 Dec. 31, 2013

% of equity held 50% 50%

Net revenue 22.7 22.7

Cost of sales (22.0) (21.4)

Gross profit 0.8 1.4

Other operating income 0.2 1.1

Selling and distribution expenses (0.5) (0.2)

Research and development - -

General and administrative expenses (0.5) (0.5)

Other operating expenses (0.9) (2.2)

Result from operating activities (1.0) (0.4)

Financial income - 3.7

Financial expenses (0.7) (1.4)

Financial income and expense (0.7) 2.3

Share of profit of equity accounted investees (net of income tax) - -

Profit before income tax (1.6) 1.9

Income tax expense - (0.3)

Profit (1.6) 1.6

NOTE 4 - ADJUSTED EBITDA


NOTE 4 - ADJUSTED EBITDA

Adjusted EBITDA is a key indicator permitting the Group

to measure its operating and recurring performance.

It is calculated by taking operating income before

depreciation and amortization and removing the following

revenues and expenses:

� restructuring costs to improve the future profitability

of the Group;

� gains or losses on disposals of significant assets;

� impairment and reversal of impairment based on

Group impairment testing only;

� costs related to business combinations and legal

reorganizations, including legal fees, transactions

costs and consulting fees;

� expenses related to share-based payments due to

their non-cash nature.

The Group’s adjusted EBITDA breaks down as follows:

Of which adjustments:

Dec. 31,

2014 Restructuring

Impairment and

Customer's list

amortization

Business

combinations

Share-based

payments Other

Dec. 31,

2014

adjusted

Net revenue 2,414.4 - - - - - 2,414.4

Cost of sales (1,842.8) (26.1) - - - - (1,816.7)

Gross profit 571.6 (26.1) - - - - 597.7

Other operating income 7.2 1.1 - - - - 6.1

Selling and distribution expenses (249.4) (0.6) - - - (0.3) (248.5)

Research and development expenses (26.0) - - - - - (26.0)

General and administrative expenses (151.9) (0.5) (1.3) (0.9) (2.7) (3.7) (142.8)

Other operating expenses (14.9) (0.3) - (3.0) - (0.6) (11.0)

Result from operating activities 136.6 (26.4) (1.3) (3.9) (2.7) (4.6) 175.5

Depreciation and amortization 100.8 - 1.3 - - - 99.5

EBITDA 237.4 (26.4) - (3.9) (2.7) (4.6) 275.0

Of which adjustments:

Dec. 31,

2013 Restructuring

Impairment and

Customer's list

amortization

Business

combinations

Share-based

payments Other

Dec. 31,

2013

adjusted

Net revenue 2,516.4 - - - - - 2,516.4

Cost of sales (1,892.8) (1.8) (4.8) - - (0.6) (1,885.5)

Gross profit 623.7 (1.8) (4.8) - - (0.6) 631.0

Other operating income 8.9 - - - - 0.1 8.8

Selling and distribution expenses (248.8) (2.3) - - - (0.8) (245.8)

Research and development expenses (25.8) - - - - - (25.8)

General and administrative expenses (162.3) (1.1) (1.3) (0.5) (6.1) (8.8) (144.5)

Other operating expenses (14.8) - - - - (1.9) (12.9)

Result from operating activities 180.9 (5.3) (6.1) (0.5) (6.1) (11.9) 210.9

Depreciation and amortization 105.5 - 6.4 - - - 99.1

EBITDA 286.4 (5.3) 0.2 (0.5) (6.1) (11.9) 310.0

NOTE 5 - SEGMENT INFORMATION


NOTE 5 - SEGMENT INFORMATION

By operating segment

Dec. 31, 2014

Flooring Sport

Surfaces

EMEA North

America

CIS, APAC

and LATAM Central Group

Net revenue 681.3 658.0 771.1 304.0 - 2,414.4

Activity (*) 757.4 660.9 787.0 306.4 - -

Gross profit 172.3 168.7 172.7 58.7 (0.8) 571.6

% of net sales 25.3% 25.6% 22.4% 19.3% 23.7%

Adjusted EBITDA 77.0 63.8 146.0 26.7 (38.5) 275.0

% of net sales 11.3% 9.7% 18.9% 8.8% 11.4%

Adjustments for: (20.9) (7.5) (1.6) (1.0) (6.7) (37.7)

EBITDA 56.1 56.2 144.6 25.7 (45.2) 237.4

% of net sales 8.2% 8.5% 18.8% 8.5% 9.8%

EBIT 29.9 22.8 97.5 11.8 (25.4) 136.6

% of net sales 4.4% 3.5% 12.6% 3.9% 5.7%

Capital expenditures 19.3 27.5 20.6 4.6 5.6 77.6

(*) including inter-segment revenue

Dec. 31, 2013

Flooring Sport

Surfaces

EMEA North

America

CIS, APAC

and LATAM Central Group

Net revenue 669.6 673.6 887.5 285.8 - 2,516.4

Activity (*) 746.5 674.0 900.7 288.1 - -

Gross profit 181.7 180.7 215.6 45.7 - 623.7

% of net sales 27.1% 26.8% 24.3% 16.0% 24.8%

Adjusted EBITDA 71.3 74.0 190.1 15.0 (40.3) 310.0

% of net sales 10.6% 11.0% 21.4% 5.2% 12.3%

Adjustments for: (1.9) (5.3) (1.2) (0.4) (14.8) (23.6)

EBITDA 69.4 68.6 188.9 14.6 (55.1) 286.4

% of net sales 10.4% 10.2% 21.3% 5.1% 11.4%

EBIT 34.6 38.9 143.2 (1.2) (34.7) 180.9

% of net sales 5.2% 5.8% 16.1% (0.4)% 7.2%

Capital expenditures 19.2 20.9 37.3 4.4 5.9 87.8

(*) including inter-segment revenue

NOTE 6 - OTHER OPERATING INCOME - OTHER OPERATING EXPENSES


Information on activity in France and in other significant

countries

The Group's activity in France represented less than 10% of

revenue in 2014 and in 2013.

Non-current assets in France, excluding the non-affected

goodwill arising out of the merger between Tarkett and

Sommer in the early 2000’s, also represent less than 10%

of the Group's total non-current assets in 2014 and in 2013.

Tarkett considers the threshold for significance to be 25%

of revenue. Only the United States meets this criterion,

representing 32.6% of the Group’s revenue in 2014 and

30.8% of the Group’s revenue in 2013.

The United States represents 40.5% of the Group's total

non-current assets as of December 31, 2014 and 42.2% on

December 31, 2013.

None of Tarkett’s customers represents more than 10% of

its sales. The largest customer in 2014 and 2013

represented approximately 5% of the sales, in line with

previous years.

NOTE 6 - OTHER OPERATING INCOME - OTHER OPERATING EXPENSES

Dec. 31, 2014 Dec. 31, 2013

Gain on disposal of fixed assets 1.1 0.3



Gain on disposal of fixed assets (0.3) -



Total other operating income and expenses (7.7) (5.9)

This category includes all operating income and expenses that cannot be directly attributed to business functions, including

operating expense related to retirement commitments and costs with respect to certain disputes.

NOTE 7 - FINANCIAL RESULT

Dec. 31, 2014 Dec. 31, 2013

Interest income on loan assets & cash equivalents 1.5 1.3

Other financial income 0.3 0.3

Total financial income 1.8 1.6

Interest expenses on loans and overdrafts (14.0) (16.2)

Leasehold & similar rights (0.1) (0.2)

Commissions expense on financial liabilities (5.6) (5.0)

Interest on provisions for pensions (5.4) (6.4)

Foreign exchange losses (7.5) (4.1)

Impairment on financial assets (0.1) (0.1)

Changes in value of rate derivatives used to hedge debt 1.2 (0.8)

Other financial liabilities (1.3) (0.3)

Total financial expenses (32.8) (33.0)

FINANCIAL RESULT (31.0) (31.4)

NOTE 8 - INCOME TAX


NOTE 8 - INCOME TAX

Income tax (current and deferred) is detailed as follows:

Dec. 31, 2014 Dec. 31, 2013

restated *

Current tax (38.9) (51.9)

Deferred tax (1.8) 2.6

Total income tax (40.7) (49.3)

*The comparative periods have been retroactively restated following application of IAS 12.41 (see Note 2.5.22).

Theoretical income taxes determined using the French corporate income tax rate of 34.43% for 2014 and 2013 can be

reconciled as follows to the actual income tax charge:

Dec. 31, 2014 Dec. 31, 2013

restated *

Income tax at French income tax rate (35.8) (51.0)

Effect of:

Taxation of foreign companies at different rates * 18.7 31.3

Exchange rate effects on tax bases ** (11.6) (1.4)

Recognition of deferred tax assets relating to previous years 22.4 19.6

Changes in unrecognized deferred tax assets (14.0) (21.5)

Permanent differences - non-deductible items (7.1) (4.6)

Tax costs related to dividends (WHT, French 3% surtax) (14.4) (17.8)

Other items 1.1 (3.9)

Income tax expenses (40.7) (49.3)

Effective rate 39.2% 33.3%

*The comparative periods have been retroactively restated following application of IAS 12.41 (see Note 2.5.22).

(**) In 2014, the Group applied IAS 12.41 on the recognition of deferred tax assets for temporary differences between the

assets' tax basis (calculated at the rate on the balance sheet date) and their book value in the financial statements (calculated

at the historical rate). As a result, in 2014 the Group recognized deferred income tax expense of €(11.6) million due to the

effect of changes in the exchange rate on non-monetary assets and liabilities of entities whose functional currency is different

from the local currency. Recognition of this expense is required by IFRS, even if the revalued tax basis does not generate any

tax obligation in the future.

NOTE 9 - GOODWILL

The evolution of goodwill can be analyzed as follows:

Dec. 31, 2014 Dec. 31, 2013

Opening carrying amount 425.6 449.1

New goodwill 72.5 -

Adjustment to initial purchase price allocation of Gamrat Flooring 0.1 -

Adjustment to initial purchase price allocation of Tandus - (12.5)

Effect of movements in exchange rates 34.4 (10.9)

Impairment losses - -

Other - -

Closing carrying amount 532.6 425.6

The main variation is explained by the allocation of goodwill following purchase price allocation of the Desso group and results

in an increase of €60.0 million in goodwill. See Note 3.2, Purchase Accounting, for more detail.

An impairment test has been performed according to the methodology explained in note 2.5.15. On this basis, no impairment

loss was recognized in 2014 (neither in 2013).

NOTE 10 - INTANGIBLE, TANGIBLE AND FINANCIAL ASSETS


The allocation of goodwill among the various CGUs is as follows:

Dec. 31, 2014 Dec. 31, 2013

Gross value Net value Gross value Net value

Resilient & Other 71.2 70.7 62.5 61.9

Carpet 60.0 60.0 - -

Wood - - - -

Laminate - - - -

EMEA 131.2 130.7 62.5 61.9

Commercial 69.9 52.9 64.0 46.8

Tandus & Centiva 173.5 173.5 152.2 152.2

Residential - - - -

North America 243.4 226.4 216.2 199.1

CIS 96.5 95.5 96.5 95.5

APAC - - - -

LATAM 0.2 0.2 - -

CIS, APAC & LATAM 96.7 95.7 96.5 95.5

Athletic tracks 35.2 29.4 28.4 23.0

Synthetic grass & other 50.6 50.3 46.4 46.1

Sport Surfaces 85.8 79.8 74.8 69.1

TOTAL GOODWILL 557.1 532.6 449.9 425.6


Dec. 31, 2014 Dec. 31, 2013

Research and development 4.8 4.3

Patents 39.7 44.0

Trademarks 18.5 17.8

Software 30.6 31.0

Other intangible assets 5.9 6.6

Advance payments and fixed assets in progress 16.3 7.1

Intangible assets 115.8 110.9

- - Real property and rights equivalent to real property 234.9 181.0

Leased buildings - 4.8

Technical equipment and machinery 233.8 191.6

Leased equipment 2.0 4.9

Advance payments and fixed assets in progress 31.4 33.1

Property, plant and equipment (*) 502.1 415.4

Bonds, debenture loan & other sec. Invest - Long-term 1.1 2.7

Financial investments and receivables - Long-term (**) 23.7 22.1

Loan receivables - Long-term 0.3 0.3

Security deposit - Long-term 3.7 2.4

Other financial assets 28.8 27.5

(*) Equipment that is currently under construction has been allocated to individual items.

(**) Financial investments and receivables – long term include shares of companies accounted for by the equity method.

At December 31, 2014, intangible assets with an indefinite life totaled €7.4 million gross and net (€7.4 million at December 31,

2013).

Impairment testing

Impairment losses recognized during 2014 and 2013 can be broken down as follows:

Dec. 31, 2014 Dec. 31, 2013

EMEA – Wood CGU - (5.1)

Total - (5.1)



The variations in gross value, depreciation and amortization break down as follow:

Acquisition cost At Dec.

31, 2013 Acquisition Disposal

Change in

scope Transfer

Change in

accounting

policies*

Foreign

exchange

differences

At Dec.

31, 2014

Research and development 9.3 1.5 (0.2) - 0.1 - 0.4 11.1

Patents 117.8 0.1 (0.1) - - - 15.3 133.1

Trademarks 28.7 - - - - - 3.1 31.8

Leasehold & similar rights - - - - - - - -

Software 66.8 5.9 (0.4) 10.7 5.3 - 4.2 92.5

Other intangible assets 6.9 - (0.5) - - - 1.2 7.5

Advance payments and fixed assets in progress 7.1 12.8 - - (4.5) - 0.8 16.3

Intangible assets 236.6 20.4 (1.2) 10.7 0.9 - 25.1 292.3

Real property and rights equivalent to real

property 389.2 16.6 (4.5) 68.7 25.9 0.3 7.6 503.7

Leased buildings 19.5 - (4.6) - (12.2) - 0.2 2.8

Technical equipment and machinery 1,080.8 16.9 (37.7) 108.2 56.7 0.3 22.6 1,247.8

Leased equipment 15.0 - - 0.3 (12.6) 0.2 (0.1) 2.7

Advance payments and fixed assets in progress 33.1 49.7 (0.1) 3.3 (56.5) - 1.9 31.4

Property, plant and equipment 1,537.5 83.2 (47.0) 180.3 1.4 0.7 32.2 1,788.4

Bonds, debenture loan & other sec. Invest -

Long-term 2.7 (1.6) - 0.1 - - - 1.1

Financial investments and receivables - Long-

term 22.1 (1.1) (0.1) - - - 2.8 23.6

Loan receivables - Long-term 0.3 - - - - - - 0.3

Security deposit - Long-term 5.1 1.3 - - - - 0.1 6.5

Other financial assets 30.2 (1.4) (0.1) 0.1 - - 2.9 31.6

*Impact related to adjustments in fair value following the acquisition of Tarkett Jaslo

Accumulated

depreciation and

amortization

At Dec.

31, 2013 Addition Disposal Decrease

Impairment

losses

Change in

scope Transfer

Change in

accounting

policies*

Foreign

exchange

differences

At Dec.

31, 2014

Research and

development (5.0) (1.2) 0.2 - - - - - (0.4) (6.4)

Patents (73.8) (9.3) 0.1 - - - - - (10.3) (93.3)

Trademarks (10.9) (1.6) - - - - - - (0.8) (13.3)

Leasehold & similar rights - - - - - - - - - -

Software (35.8) (13.6) 0.4 - - (10.4) (0.6) - (1.9) (61.9)

Other intangible assets (0.3) (1.5) 0.5 - - - 0.1 - (0.5) (1.7)

Intangible assets (125.7) (27.2) 1.2 - - (10.4) (0.5) - (13.9) (176.5)

Real property and rights

equivalent to real

property (208.2) (16.7) 2.2 0.1 - (34.0) (8.3) - (3.9) (268.8)

Leased buildings (14.7) 0.3 4.2 (0.6) - - 8.0 - - (2.8)

Technical equipment and

machinery (889.2) (58.4) 37.2 1.9 - (80.0) (10.3) (0.2) (15.0) (1,014.0)

Leased equipment (10.0) (0.2) - - - - 9.5 - - (0.7)

Property, plant and

equipment (1,122.1) (75.1) 43.6 1.4 - (114.0) (1.1) (0.2) (18.9) (1,286.4)

Security deposit - Long-

term (2.7) - - - (0.1) - - - - (2.8)

Other financial assets (2.7) - - - (0.1) - - - - (2.8)

*Impact related to adjustments in fair value following the acquisition of Tarkett Jaslo

NOTE 11 - INVENTORIES


NOTE 11 - INVENTORIES

Dec. 31, 2014 Dec. 31, 2013

Raw materials and supplies 107.6 88.3

Work in progress 60.0 48.7

Finished goods 212.0 201.5

Samples 3.2 6.1

Consumables and spare parts 22.0 21.4

Total Gross Value 404.8 366.0

Provision for inventory impairment (56.6) (47.5)

Total Net Inventory 348.2 318.6

Detail of the provision for inventory impairment

Dec. 31, 2013 Allowance Reversals Scope

Foreign

exchange

gain & loss

Dec. 31, 2014

Raw materials and supplies (7.9) (2.7) 1.7 (1.2) (0.6) (10.7)

Work in progress (6.5) (6.0) 2.8 (0.5) (0.5) (10.7)

Finished goods (25.3) (10.8) 10.9 (2.3) (1.4) (28.9)

Samples (1.9) 1.0 - - (0.1) (1.0)

Consumables and spare parts (5.8) 0.3 0.2 - - (5.3)

Total Provision for Inventory Impairment (47.5) (18.2) 15.6 (4.0) (2.6) (56.6)

The rate of inventory provisions is applied in a similar way for the different periods.

Cost of sales in 2014 amounted to €1,105.9 million (as compared with €1,162.1 million in 2013).

NOTE 12 - TRADE RECEIVABLES

Dec. 31, 2014 Dec. 31, 2013

Related party receivables 7.8 7.6

Third party receivables 328.6 294.0

Total Gross Value 336.4 301.6

Provisions for doubtful receivables (24.5) (21.9)

Total Trade Receivables 312.0 279.7

The variation of the provision for doubtful receivables totals €2.6 million and is mainly explained as follows:

� €(2.9) million of allowance,

� €5.8 million of reversal,

� €(0.2) million of foreign exchange impact.

Details of unimpaired overdue receivables

Dec. 31, 2014 Dec. 31, 2013

Receivables, trade 0-180 days overdue 34.0 24.3

Receivables, trade 181-270 days overdue 0.3 -

Receivables, trade 271-360 days overdue 0.2 0.1

Receivables, trade >360 days overdue 1.7 (3.2)

Receivables, bankruptcy procedure / legal cases 1.4 3.8

Unimpaired Overdue Receivables 37.6 25.0

NOTE 13 - OTHER RECEIVABLES


NOTE 13 - OTHER RECEIVABLES

Dec. 31, 2014 Dec. 31, 2013

Total other receivables non-current 0.5 0.2

Prepaid expenses current 19.6 18.1

Income tax receivable current 19.4 13.4

VAT and other taxes 17.3 17.4

Other accounts receivable and other assets current 16.5 10.3

Total other receivables current 72.9 59.2

NOTE 14 - SHARE CAPITAL

As of December 31, 2014 the Company’s share capital totaled €318,613,480, identical to December 31, 2013, and was divided

into 63,722,696 shares of par value €5 each, identical to December 31, 2013.

NOTE 15 - EARNINGS PER SHARE & DIVIDENDS

Weighted average number of shares outstanding (basic)

In thousands of shares Dec. 31, 2014 Dec. 31, 2013

Weighted average number of shares during the period 63,723 63,276

Weighted average number of treasury shares held by Tarkett (216) (1,335)

Weighted average number of shares outstanding (basic) 63,506 61,941

Basic earnings per share

Basic earnings per share as of December 31, 2014 are calculated on the basis of the Group’s share of net profit and on the

weighted average number of shares outstanding during the period (and after deduction of the weighted average number of

treasury shares).

Dec. 31, 2014

Dec. 31, 2013

restated *

Profit for the period attributable to Tarkett shareholders (in millions of €) 61.2 97.6

Weighted average number of shares outstanding 63,506 61,941

Basic earnings per share (in euros) 0.96 1.58

*The comparative periods have been retroactively restated following application of IAS 12.41 (see note 2.5.22).

Weighted average number of shares outstanding (diluted earnings)

In thousands of shares Dec. 31, 2014 Dec. 31, 2013

Weighted average number of shares during the period 63,723 63,276

Weighted average number of treasury shares held by Tarkett (216) (1,335)

Impact of share-based payment plans 518** 624

Weighted average number of shares outstanding (diluted) 64,025 62,565

** the Group's share-based payment plans were amended as of the Group's initial public offering at the end of 2013, and now

provide solely for the grant of existing shares, without issuance of new shares.

Diluted earnings per share

Diluted earnings per share as of December 31, 2014 are calculated on the basis of the Group’s share of net profit and on the

weighted average number of shares outstanding during the period and the weighted average number of potential shares

outstanding (and after deduction of the weighted average number of treasury shares).

Dec. 31, 2014

Dec. 31, 2013

restated *

Profit for the period attributable to Tarkett shareholders (in millions of €) 61.2 97.6

Weighted average number of shares outstanding (diluted) 64,025 62,565

Diluted earnings per share (in euros) 0.96 1.56

*The comparative periods have been retroactively restated following application of IAS 12.41 (see note 2.5.22).

NOTE 16 - NET DEBT – INTEREST-BEARING LOANS AND BORROWINGS


Dividends

Tarkett paid dividends in the amount of €0.62 per share to its shareholders on July 7, 2014, in accordance with the decision of

the General Shareholders' meeting of May 13, 2014.

NOTE 16 - NET DEBT – INTEREST-BEARING LOANS AND BORROWINGS

16.1 Net Debt

Dec. 31, 2014 Dec. 31, 2013

Interest-bearing loans and borrowings - non-current 690.4 501.3

Interest-bearing loans and borrowings – current 40.2 24.4

Cash and cash equivalents (135.1) (96.7)

Net Debt 595.4 429.0

16.2 Interest bearing loans and borrowings

Dec. 31, 2014 Dec. 31, 2013

Long-term Short-term Long-term Short-term

Bank loans (unsecured) 689.0 36.9 498.7 22.8

Other loans (unsecured) 0.1 0.2 0.6 -

Bank overdrafts (unsecured) - 2.8 - 1.1

Finance lease obligations 1.3 0.3 2.0 0.6

Interest bearing loans and borrowings 690.4 40.2 501.3 24.4

Unsecured bank loans include mainly:

� A €450.0 million syndicated term facility drawn down

in two tranches in October 2013 and January 2014,

and maturing in full in October 2018.

� €55.0 million drawn against a multicurrency

syndicated revolving facility executed by Tarkett in

June of 2011 for up to €450.0 million and maturing in

June 2016.

� An installment loan composed of one tranche of

€85.0 million and one tranche of $34.0 million,

maturing in May 2016 after installment payments in

May 2015 for €25.0 million and $10.0 million. The loan

will be accelerated in the event that Tarkett issues a

capital increase or bonds in the capital debt market.

16.3 Details of loans and borrowings

Dec. 31, 2014 Currency Interest

rate Total

12 months or

less until

12/31/2015

2 years until

12/31/2016

3 to 5 years

until

12/31/2019

More

than 5

years

Unsecured loans

Term Facilities Europe EUR 0.6%-2.0% 538.8 26.3 61.2 451.3 -

Term Facilities Europe USD 2.6% 28.0 8.2 19.8 - -

Revolving Facilities Europe EUR 0.9% 55.0 - 55.0 - -

Revolving Facilities Europe USD 0.9% 101.3 - 101.3 - -

Other bank loans 3.6%-18% 2.8 2.4 0.2 0.2 -

Total bank loans 725.9 36.9 237.5 451.5 -

Other loans EUR 0.5% 0.3 0.2 0.1 - -

Bank overdrafts 0.6%-5.3% 2.8 2.8 - - -

Finance lease obligations 1.6 0.3 0.3 0.9 0.1

Total interest-bearing loans 730.6 40.2 237.9 452.4 0.1

NOTE 17 - OTHER FINANCIAL LIABILITIES


Dec. 31, 2013 Currency Interest

rate Total

12 months or

less until

12/31/2014

2 years until

12/31/2015

3 to 5 years

until

12/31/2018

More

than 5

years

Unsecured loans

Term Facilities Europe EUR 0.7%-2.1% 465.0 16.3 26.2 422.5 -

Term Facilities Europe USD 2.6% 29.0 4.4 7.3 17.3 -

Revolving Facilities Europe EUR 1.1% 25.0 - - 25.0 -

Other bank loans 3.7%-5.3% 2.6 2.0 0.3 0.3 -

Total bank loans 521.6 22.7 33.8 465.1 -

Other loans EUR 0.7%-4.5% 0.4 0.1 0.1 0.2 -

Bank overdrafts 1.1 1.1 - - -

Finance lease obligations 2.6 0.6 0.6 1.2 0.2

Total interest-bearing loans and

borrowings

525.7 24.5 34.5 466.5 0.2

The facilities mentioned above contain covenants binding

on the borrower, including financial ratio covenants: the

ratio of net debt to adjusted EBITDA may not exceed 3.0,

and the ratio of EBIT to net interest may not be lower than

2.5.

The Group is in compliance with all of its banking

commitments as of December 31, 2014, as well as with the

financial ratio covenants, as detailed below:

16.4 Covenants

Net Debt / Adjusted EBITDA Dec. 31, 2014 Dec. 31, 2013

Net Debt 595.4 429.0

Adjusted EBITDA 275.0 310.0

Ratio (1) 2.2 1.4

(1) must be below 3.0

Net debt includes debt related to the acquisition of the Desso Group for €154 million whereas Desso’s adjusted EBITDA is not

reported in the adjusted EBITDA of the Group (acquired on December 31, 2014).

EBIT / Net interest Dec. 31, 2014 Dec. 31, 2013

EBIT 175.5 210.9

Net interest 12.6 15.0

Ratio (2) 13.9 14.1

(2) Must be above 2.5

16.5 Cash and cash equivalent by nature

Dec. 31, 2014 Dec. 31, 2013

Current cash 28.4 35.6

Remunerated cash balances 69.0 35.5

Short term treasury notes and Money Market funds 37.8 25.5


NOTE 17 - OTHER FINANCIAL LIABILITIES

Dec. 31, 2014 Dec. 31, 2013

Fair value of derivatives non current (0.3) 2.0

Other financial liabilities non current 3.8 4.7

Other financial liabilities non current 3.5 6.7

Accrued interest expenses current 2.7 1.6

Fair value of derivatives current 1.4 0.3

Other financial liabilities current 1.5 1.1

Other financial liabilities current 5.6 3.0

NOTE 18 - TRADE PAYABLES


NOTE 18 - TRADE PAYABLES

Dec. 31, 2014 Dec. 31, 2013


Trade notes payable 3.1 3.5


NOTE 19 - OTHER LIABILITIES

Dec. 31, 2014 Dec. 31, 2013

Liabilities related to employees 83.0 80.1

Current tax 15.9 18.6

VAT and other taxes 16.4 13.8

Sales rebates 39.8 27.9

Other liabilities 25.4 26.6

Total other liabilities 180.5 167.0

Written put options or forward contracts granted to non-

controlling shareholders

Share put options on non-controlling interests

As of December 31, 2013 and December 31, 2014, the

amount of debt booked in the Group's consolidated

financial statements relative to share put options on non-

controlling shareholders was €2.1 million and €3.1 million,

respectively.

As of December 31, 2014, this debt is composed of two

options, granted to non-controlling shareholders of:

� Morton Extrusionstechnik (MET) for €3.1 million,

corresponding to 49% of residual shares held by non-

controlling interests;

� Fieldturf Benelux BV for €0.04 million, corresponding

to 49% of residual shares held by non-controlling

interests.

NOTE 20 - DEFERRED TAX

Deferred taxation is shown on the balance sheet separately from current tax assets and liabilities and is categorized in non-

current items.

Dec. 31, 2014 Dec. 31, 2013

restated *

Net operating losses and credits carried forward 219.6 184.9

Provision for valuation allowance on NOLCF (148.6) (130.4)

DTA for pensions and healthcare benefits 44.8 32.6

Other items temporarily non deductible 60.1 54.6

Change in unrecognized deferred tax assets (15.6) (18.1)

Internal profit eliminations 4.4 3.1

Netted against deferred tax assets (55.3) (44.1)

Deferred tax assets 109.3 82.6

Deferred tax liabilities

Fixed assets revaluation 57.3 39.8

Other deferred tax liabilities 34.5 15.1

Netted against deferred tax assets (55.3) (44.1)

Deferred tax liabilities 36.5 10.8

* The comparative periods have been retroactively restated following application of IAS 12.41 (see note 2.5.22).

Net deferred tax assets for tax losses and unused tax

credits carried forward are recognized for a total amount of

€71.0 million, of which €44.7 million related to the affiliates

within the US tax Group, €2.0 million related to the French

tax group, and €5.2 million related to the Canadian

subsidiary.

The €71.0 million is split between €61.2 million of net

deferred tax assets for tax losses, and €9.8 million of net

unused tax credits.

Other deferred tax liabilities include the effect of the

application of IAS 12.41, for €21.7 million in 2014 and €10.1

million in 2013, relating to the effect of changes in the

exchange rate on non-monetary assets and liabilities of

entities whose functional currency is different from the

local currency (see Note 2.5.22). The booking of this

liability is required by the IFRS, even if the revaluated fiscal

basis will not generate any fiscal obligation in the future.

NOTE 21 - PROVISIONS


NOTE 21 - PROVISIONS

At Dec.

31,

2013

Allowance Decrease Change in

scope Transfer

Foreign

exchange

gain &

loss

At Dec.

31,

2014

Product warranty provision 2.8 0.1 (0.3) 0.1 - - 2.7

Restructuring provisions 0.6 - - - (0.6) - -

Claims & litigations provisions 2.1 0.8 (1.8) - - - 1.1

Other provisions 3.6 0.8 (0.1) - - - 4.3

Provision for additional tax assessments 2.4 0.6 (0.8) - - - 2.1

Financial liabilities 29.7 0.6 - - - 4.1 34.3

Total Provisions - Long-term 41.2 2.9 (3.1) 0.1 (0.6) 4.1 44.5

Product warranty provision 9.4 11.0 (7.6) 1.6 11.3 2.1 27.9

Restructuring provisions 3.2 13.1 (2.6) - 0.6 - 14.3

Claims & litigation provisions 20.9 3.1 (5.6) - (10.9) 0.6 8.2

Other provisions 0.1 0.3 (0.3) - (0.1) - -

Total Provisions - Short-term 33.7 27.5 (16.0) 1.6 0.9 2.8 50.5

Total Provisions 74.8 30.4 (19.2) 1.7 0.2 6.9 95.0

The decrease of €(5.6) million in claims and litigations provisions includes €(2.7) million in unused decreases.

At Dec.

31,

2012

Allowance Decrease Change in

scope Transfer

Foreign

exchange

gain &

loss

At Dec.

31,

2013

Product warranty provision 2.2 0.8 - (0.3) 0.1 (0.1) 2.8

Restructuring provisions - 0.6 - - - - 0.6

Claims & litigation provisions 2.3 0.3 (0.4) - - (0.1) 2.1

Other provisions 3.6 0.3 (0.2) 0.7 (0.7) - 3.6

Provision for additional tax assessments 1.0 1.4 (0.3) - 0.4 - 2.4

Financial liabilities 29.0 2.0 - - - (1.3) 29.7

Total Provisions - Long-term 38.1 5.3 (0.9) 0.4 (0.3) (1.5) 41.2

Product warranty provision 10.6 1.7 (3.2) - 0.7 (0.4) 9.4

Restructuring provisions 3.5 2.2 (2.4) - - (0.1) 3.2

Claims & litigation provisions 21.7 9.0 (8.7) - (0.5) (0.6) 20.9

Other provisions 0.4 0.2 (0.1) - (0.3) - 0.1

Total Provisions - Short-term 36.2 13.2 (14.5) - - (1.1) 33.7

Total Provisions 74.3 18.5 (15.4) 0.4 (0.3) (2.6) 74.8

As of December 31, 2014, the variations in provisions for financial liabilities relate to the provision for asbestos litigation

recorded by Tarkett Domco Products Texas Inc. (See Note 27 - Other Contingencies)

NOTE 22 - EMPLOYEE BENEFITS



Provisions for pensions, retirement and similar

obligations

In accordance with the laws and practices of each country

in which it operates, Tarkett participates in, or maintains,

employee benefit plans providing retirement pensions,

post-retirement health care, other long term benefits

(jubilees) and post-employment benefits (retirement

indemnities, pre-retirement) to eligible employees, former

employees, retirees and their beneficiaries fulfilling the

required conditions.

These employee benefit plans expose Tarkett to actuarial

risks, such as interest rate risk.

Valuation of these obligations is carried out yearly at the

balance sheet date by independent actuaries.

Amounts recognized in the statement of

financial position

Dec. 31, 2014 Dec. 31, 2013

Pensions

Post-

employment

healthcare

benefits

TOTAL Pensions

Post-

employment

healthcare

benefits

TOTAL

Defined benefit obligations 247.9 6.3 254.2 201.9 3.3 205.2

Fair value of plan assets (98.8) - (98.8) (83.0) - (83.0)

Net liability booked in the statement of

financial position 149.1 6.3 155.4 118.9 3.3 122.2

Amounts recognized in the income statement

Dec. 31, 2014 Dec. 31, 2013

Pensions

Post-

employment

healthcare

benefits

TOTAL Pensions

Post-

employment

healthcare

benefits

TOTAL

Current service cost 3.2 2.9 6.1 3.4 0.1 3.5

Past service cost - - - (0.4) - (0.4)

Interest expense 4.7 0.1 4.8 4.8 0.1 4.9

Re-measurements of other long-term benefits (0.1) - (0.1) 0.7 - 0.7

Administrative expenses and taxes 0.7 - 0.7 0.8 - 0.8

Total expenses included in income statement 8.4 3.0 11.4 9.3 0.2 9.5

Amounts recognized in statement of

comprehensive income (gross of tax)

Dec. 31, 2014 Dec. 31, 2013

Pensions

Post-

employment

healthcare

benefits

TOTAL Pensions

Post-

employment

healthcare

benefits

TOTAL

Effect of changes in demographic assumptions 4.6 0.2 4.8 1.5 - 1.5

Effect of changes in financial assumptions 29.7 (0.1) 29.6 (15.2) (0.2) (15.3)

Effect of experience adjustments 0.6 (0.2) 0.4 1.0 (0.3) 0.8

(Return) on plan assets (excluding interest

income) (4.9) - (4.9) (4.4) - (4.4)

Total pension cost recognized in the OCI 30.0 (0.1) 29.9 (17.0) (0.4) (17.5)



Change in net liabilities recognized in the

balance sheet

Dec. 31, 2014 Dec. 31, 2013

Pensions

Post-

employment

healthcare

benefits

TOTAL Pensions

Post-

employment

healthcare

benefits

TOTAL

Balance sheet liability/asset at beginning of

year 118.9 3.3 122.2 138.4 3.8 142.2

Total expenses recognized in income statement 8.4 3.0 11.4 9.3 0.2 9.5

Amounts recognized in OCI in the financial year 30.0 (0.1) 29.9 (17.0) (0.4) (17.5)

Business combinations / divestitures / transfers (0.1) - (0.1) 0.2 - 0.2

Employer contributions made in the financial

year (5.6) - (5.6) (5.0) (0.2) (5.2)

Benefit payments from employer (4.8) (0.3) (5.1) (4.6) - (4.6)

Exchange rate adjustment (gain) / loss 2.3 0.4 2.7 (2.3) (0.2) (2.4)

Balance sheet liability/asset at end of year 149.1 6.3 155.4 118.9 3.3 122.2

Changes in benefit obligation

Dec. 31, 2014 Dec. 31, 2013

Pensions

Post-

employment

healthcare

benefits

TOTAL Pensions

Post-

employment

healthcare

benefits

TOTAL

Benefit obligation at beginning of year 201.9 3.3 205.2 224.7 3.8 228.5

Current service cost 3.2 2.9 6.1 3.4 0.1 3.5

Past service cost - - - (0.4) - (0.4)

Interest expense 8.6 0.1 8.7 8.0 0.1 8.1

Benefit payments from plan (7.3) - (7.3) (6.4) (0.2) (6.5)


Plan settlement - - - (5.9) - (5.9)

Plan participants' contributions 0.1 - 0.1 0.2 - 0.2

Expenses paid (0.3) - (0.3) (0.2) - (0.2)

Business combinations / divestitures / transfers (0.1) - (0.1) 0.2 - 0.2

Effect of changes in demographic assumptions 4.6 0.2 4.8 1.5 - 1.5

Effect of changes in financial assumptions 29.8 (0.1) 29.7 (15.2) (0.2) (15.3)

Effect of experience adjustments 0.5 (0.2) 0.2 2.1 (0.3) 1.9

Exchange rate adjustment (gain) / loss 11.7 0.4 12.1 (5.5) (0.2) (5.6)

Benefit obligation at end of year 247.9 6.3 254.2 201.9 3.3 205.2

Change in plan assets

Dec. 31, 2014 Dec. 31, 2013

Pensions

Post-

employment

healthcare

benefits

TOTAL Pensions

Post-

employment

healthcare

benefits

TOTAL

Fair value of plan assets as of January 1 83.0 - 83.0 86.7 - 86.7

Interest expense 4.0 - 4.0 3.2 - 3.2

Employer contributions 5.6 - 5.6 5.0 0.2 5.2

Employer direct benefit payments 4.8 0.3 5.1 4.6 - 4.6

Plan participants' contributions 0.1 - 0.1 0.2 - 0.2

Benefit payments from plan (7.3) - (7.3) (6.4) (0.2) (6.5)


Plan settlement - - - (5.9) - (5.9)

Expenses paid (1.0) - (1.0) (1.1) - (1.1)

Business combinations / divestitures / transfers - - - - - -

(Return) on plan assets (excluding interest

income) 4.9 - 4.9 4.4 - 4.4

Exchange rate adjustment (gain) / loss 9.4 - 9.4 (3.2) - (3.2)

Fair value of plan assets as of December 31 98.8 - 98.8 83.0 - 83.0



Assumptions:

Accounting for actuarial values is based on long-term interest rates, predicted future increases in salaries and rates of inflation.

The main assumptions are presented below:

Dec. 31, 2014 Dec. 31, 2013

Pensions

Post-employment

healthcare

benefits

Pensions

Post-employment

healthcare

benefits

Discount rate 3.30% 4.30%

Including:

US 4.25% 4.50% 5.00% 5.00%

Germany 1.50% 3.10%

Sweden 2.75% 4.00%

UK 3.50% 4.40%

Salary increases 2.55% 3.03%

Inflation 2.02% 2.21%

Discount rates are determined by reference to rates of return for high-quality bonds. They are calculated on the basis of

external indices commonly used as references:

� United States: iBoxx $ 15+ year AA

� Euro zone: iBoxx € Corporate AA 10+

� Sweden: bonds of Swedish companies

� United Kingdom: iBoxx £ 15+ year AA

Allocation of plan assets by type of investment:

Dec. 31, 2014 Dec. 31, 2013

Equity 49.6% 48.5%

Bonds 29.5% 28.4%

Real Estate 3.3% 3.2%

Other 17.6% 19.8%

All shares are listed on active markets. Assets in the “Other” category consist primarily of insurance contracts in Germany, for

8.9%. The remainder corresponds to cash and cash equivalent linked to pensions plans in the United States and Canada.

Expected employer contributions for 2015 amount to €10.1 million.

Sensitivity to discount rate assumptions

Dec. 31, 2014 Dec. 31, 2013

Increase of 50 basis points

Increase/(Decrease) in Defined Benefit Obligation (16.9) (12.5)

Decrease of 50 basis points

Increase/(Decrease) in Defined Benefit Obligation 18.0 14.2

NOTE 23 - PERSONNEL COSTS AND COMPENSATION OF SENIOR MANAGEMENT


NOTE 23 - PERSONNEL COSTS AND COMPENSATION OF SENIOR MANAGEMENT

Dec. 31, 2014 Dec. 31, 2013

Wages and salaries (510.0) (507.5)

Pension costs (11.7) (9.5)

Total Personnel costs (521.7) (517.0)

Employees (average number) 11,660 11,134

Key management personnel compensation

The key management personnel includes the members of the Executive Management Committee and the members of the

Supervisory Board.

Key management personnel received the following compensation:

Dec. 31, 2014 Dec. 31, 2013

Short-term employee benefits 7.2 7.1

Post-employment benefits

Other long-term benefits

Employment agreement termination benefits

Share-based payments 1.5 2.3

Total 8.7 9.4

Compensation of the Group’s key management personnel includes salaries and non-cash benefits.

NOTE 24 - SHARE-BASED PAYMENT TRANSACTIONS

LONG-TERM INCENTIVE PLANS

On December 22, 2011 a Long-Term Incentive Plan called

"LTIP 2011" was created for selected key executives of the

Group.

Ordinary shares were granted to the beneficiaries at the

end of a two-year vesting period ending June 30, 2014. The

grant was subject to satisfying an economic performance

condition (based on the Group's 3-year plan) and the

beneficiaries' continuous employment through June 30,

2014. This plan has been placed under IFRS2 treatment

“share-based payment” (equity settled plan).

The fair market value of the shares granted on the first day

of the plan was calculated as follows: 7 times adjusted

EBITDA less net debt. On the basis of the Group's results of

operations as of year-end 2011, this was estimated at €15

per share.

Income of €0.5 million was recorded in personnel costs in

2014 with respect to this plan (expense of €1.9 million as of

December 31, 2013), with a counterpart in equity.

In July 2014, the final number of shares granted was

158,302. These shares are also subject to a two-year

holding period. The granted shares can be freely sold by

the recipients after July 2016 (note that the Group has not

undertaken to repurchase these shares after 2016).

On December 17, 2012 a second Long-Term Incentive Plan,

called “LTIP 2012” was implemented for selected key

executives of the Group.

Ordinary shares will be granted to the beneficiaries at the


grant is subject to satisfying an economic performance



2015. This plan was classified in accordance with IFRS 2,

“Share-Based Payment” (equity settled plan). The final

amount to be granted will be determined in mid-2015 and

the granted shares will not be subject to a holding period

and may be freely sold immediately after being granted.

In 2015, the Group may decide instead to grant the cash

equivalent of the shares, calculated at market value, since

the Group is now listed.

The total number of shares to be granted is estimated at

185,790 as of December 31, 2014 (374,532 as of December

31, 2013). The fair market value at the time of the issuance

of the plan is calculated as follows: 7 times EBITDA less net

debt. This has been accordingly estimated at €23.5 per

share based on December 31, 2012 figures.

Income of €0.1 million before tax was recognized in

administrative expense in the P&L in 2014 relating to this

plan (as compared with an expense of €3.5 million as of

December 31, 2013), with a counterpart in equity.

On October 9, 2013, a new share-grant plan, the “LTIP

2013”, was implemented for certain key executives of the

Group.

The plan is generally subject to the same terms as the LTIP

2012.

Ordinary shares will be granted to the beneficiaries at the


grant will be subject to satisfying an economic performance



2016. This plan will be classified in accordance with IFRS2,

“share-based payment” (equity settled plan). The final

amount granted will be determined in mid 2016 and the

granted shares will not be subject to a holding period and

may be sold immediately after being granted.

The Group may decide in 2016 to grant, instead of shares,

the equivalent value in cash calculated at the market price.

NOTE 25 - FINANCIAL RISKS AND FINANCIAL INSTRUMENTS


The total number of shares to be granted is estimated at

254,670 as of December 31, 2014 (406,112 as of December

31, 2013). The market value at the time of the issuance of

the plan has been defined at the price of the Company's

initial public offering on the Paris stock exchange on

November 22, 2013, which was €29.00 per share.

The expense in 2014 amounts to €2.4 million before tax

(€1.0 million in 2013), and has been booked as

administrative expense in the P&L with a counterpart in

equity.


Exposure to interest rate, currency, liquidity and credit risk

arises in the normal course of Tarkett’s activities.

Derivative financial instruments are used to reduce certain

exposures to fluctuations in both foreign exchange and

interest rates. Liquidity and credit risk are managed

following risk management policies approved by the

Group’s executive board.

25.1 FINANCIAL MARKET RISKS

Fair value of derivative financial instruments

The Group uses derivative financial instruments for risk

hedging purposes only, and accounts for them in

accordance with hedge accounting rules. The fair values of

the Group’s derivative financial instruments are recorded

on the balance sheet in “Other financial liabilities, current”

for derivatives hedging future cash flows, and in the

relevant accounts for derivatives hedging recorded items.

The totals are as follows:

Dec. 31,

2014

Dec.

31,

2013

Currency swaps 0.2 (0.2)

Forward exchange contracts (0.5) -

Options 0.1 (0.1)

Total currency derivatives (0.2) (0.3)

Cash flow hedges (0.9) (2.0)

Total interest rate derivatives (0.9) (2.0)

25.1.1 INTEREST RATE RISK

The Group manages its exposure to interest rate risk

centrally. The Group's general debt strategy is to give

preference to variable interest rate debt over fixed interest

rate debt, but also to protect a part of the debt over a

period of three to five years against a rate increase that

could result in extensive damage. The hedging tools used

are mainly cap or tunnel type derivatives. In certain

circumstances, swaps have been entered into to fix rates.

The interest rate derivatives outstanding at closing are all

purposed for cash flow hedging and none is purposed for

fair value hedging.

Following is the interest rate structure of the Group's net

debt before and after application of interest rate hedges.

Net debt is defined as interest-bearing loans minus cash

and cash equivalents.

Before interest rate hedge:

Dec.

31,

2014

Dec.

31,

2013

Fixed rate debt 1.5 2.0

Floating rate debt 729.0 523.7


Net Debt 595.4 429.0

After interest rate hedge:

Dec.

31,

2014

Dec.

31,

2013

Fixed rate debt 1.5 2.0

Capped floating rate debt 178.8 167.0

Floating rate debt 550.2 356.7


Net Debt 595.4 429.0

Interest rate derivatives

The financial instruments hedging floating rate debt are

classified as cash flow hedges and recognized at fair value.

At the balance sheet date, they represented a total

notional amount of €178.8 million, maturing over the next

four years. Their fair value is calculated using the market

rates prevailing at the balance sheet date as obtained from

financial service companies. The fair value of the Group’s

interest rate cash flow hedges at the balance sheet date

amounted to a latent liability of €1.0 million (as compared

with a liability of €2.0 million in 2013). The net effect of

their variations on the period's income statement

represents a gain of €1.0 million (as compared with a

charge of €0.4 million in 2013).

Sensitivity analysis

The Group's income statement is exposed to risk from the

fluctuation of interest rates on its interest-bearing financial

instruments. Further, the interest rate derivatives qualified

as cash flow hedges have an impact on equity.

Sensitivity to interest-rate fluctuations is calculated on the

basis of interest-bearing non-derivatives and derivative

financial instruments. Non-derivative financial instruments

are the interest-bearing borrowings net of cash and cash

equivalents, and net of interest-bearing loans granted to

third parties or joint ventures. The analysis is based on the

assumptions of constant debt and constant debt

management policy over one year, using indebtedness and

market rates as of December 31, 2014.

On those bases, a simultaneous 1% increase in all interest

rates would lead to an increase of €5.2 million in financial



expenses before tax (as compared with a charge of €3.5

million in 2013), and a decrease of 1% or to 0%, where

applicable, would lead to a decrease of €0.8 million in

financial expenses before taxes (as compared with a charge

of €0.7 million in 2013).

25.1.2 EXCHANGE RATE RISK

Transaction risk

Exchange rate fluctuations have a direct impact on the

Group’s consolidated financial statements, derived from

transactions regarding Group entities that incur revenues

and expenses in currencies other than their functional

currency.

The Group has attempted to develop its production

capacities in the same geographic and monetary areas

where it distributes its products. Moreover, through the

choice of the invoicing currency for certain intra-Group

transactions, the Group aims to offset revenues with costs

in the same currency. In certain unstable currency

countries, the Group may also offset the local currencies

fluctuations with price indexations. Therefore the

remaining exposure on cross-border transactions is

moderate. The currencies to which the Group is most

exposed are the US dollar, the British pound, the Australian

dollar, the Norwegian crown, the Polish zloty, the Russian

ruble and the euro as a foreign currency for certain

subsidiaries, in particular Swedish, Russian, and Serbian

subsidiaries.

The Group has attempted to reduce the impact of short-

term fluctuations of currencies on its revenue through

centralized management of exchange risks and the use of

derivatives. Nevertheless, in the long-term, significant and

long lasting variations in exchange rates could affect the

Group’s competitive position in foreign markets, as well as

its results of operations.

The Group's policy is to hedge approximately 75% of its

remaining net estimated exposure. This exposure includes

exposure recorded on the balance sheet, namely all

recognized trade receivables, trade payables and

borrowings denominated in a foreign currency, and

unrecorded exposure, which consists of forecast sales and

purchases over a six-month period.

Foreign exchange exposures and derivatives

As of the balance sheet date, the exposure recorded in the

balance sheet in the main currencies hedged with

derivatives, and the nominal amount of the derivatives

hedging such recorded exposures, are as follows:

Currency of Exposure Dec. 31, 2014 Dec. 31, 2013

USD GBP AUD EUR USD GBP AUD EUR

Financial receivables and liabilities 66.3 (5.3) 1.0 (9.6) 134.4 (3.9) - 13.0

Trade receivables and payables 0.2 1.2 2.6 3.7 3.5 2.4 2.1 3.4

Nominal amount of derivatives (64.7) 4.5 (3.0) 9.6 (133.3) 1.4 (2.3) (13.4)

Net recorded exposure to main currencies 1.9 0.4 0.6 3.8 4.6 (0.1) (0.2) 3.0

Tarkett uses forward exchange contracts and options when

hedging with derivatives its exposure to foreign currency

risk in respect of both recognized receivables and payables

and forecast transactions that may cover a forward six-

month period. When necessary, forward exchange

contracts are rolled over.

The Tarkett Group classifies the currency hedging contracts

covering operating transactions as cash flow hedges and

records them at fair value in the balance sheet. The fair

value of these contracts at the balance sheet date

amounted to an unrealized liability of €0.5 million (as

compared with an unrealized asset of €0.05 million in

2013). Of this fair value, the amount reported directly in

equity is an unrealized liability of €0.6 million (as compared

with an unrealized liability of €0.1 million in 2013). The

difference is recognized in the income statement and

represents the change in the time value of currency

options hedging forecast transactions and in the fair value

of forward contracts or options hedging recognized

transactions.

The effect on the income statement of the change in value

of these contracts is income of €0.2 million (as compared

with income of €0.5 million in 2013), and all the potential

gains and losses reported directly in equity are expected to

enter into the determination of profit and loss of the

coming 12 months.

Monetary items denominated in foreign currencies

When financing its foreign subsidiaries, the Group incurs

exposure to foreign currency risk on intra-group loans and

borrowings denominated in foreign currencies. The Group

minimizes this risk either (i) by borrowing in the same

currency or (ii) by entering into currency swaps or forwards

reflecting the maturity of the hedged item, with the aim

that fluctuations in the swaps’ fair values will offset, in

profit or loss, the foreign exchange gains and losses arising

from conversion of the hedged monetary items. At

December 31, 2014, the main financial exposures so

covered are the euro against the US dollar for €66.3

million, against the Polish zloty for €21.4 million, against

the British pound for €5.3 million and against the Swedish

crown for €13.1 million. The fair value of these contracts at

the balance sheet date amounted to a latent gain of €0.2

million.

25.2 LIQUIDITY RISKS

25.2.1 FUTURE CASH FLOWS ON FINANCIAL INSTRUMENTS

The following table shows the estimated future cash flows

on interest-bearing loans and borrowings recorded as

liabilities on the balance sheet.

The estimate of the future cash flows on interests is based

on the forecast debt amortization, and the future floating

rate interests are calculated on the assumption of a

crystallization of the interest rates outstanding as of the

closing date, except if a better estimate is available.



Interest-bearing loans

Dec. 31, 2014 Less than 12 months 2 years 3 to 5 years More than 5 years

Carrying

amount

Total

future

cash

flows

Carrying

amount Interest

Carrying

amount Interest

Carrying

amount Interest

Carrying

amount Interest

Total interest-bearing loans

Bank loans 725.8 762.6 36.9 12.0 237.5 9.8 451.4 15.0 - -

Bonds - - - - - - - - - -

Other loans 0.3 0.3 0.2 - 0.1 - - - - -

Bank overdrafts 2.8 2.8 2.8 - - - - - - -

Finance leases 1.6 1.6 0.3 - 0.3 - 0.9 - 0.1 -

Total 730.5 767.3 40.2 12.0 237.9 9.8 452.3 15.0 0.1 -

Other financial liabilities

Trade payables 224.4 224.4 224.4 - - - - - - -

Other financial liabilities non-

current 3.8 3.8 - - 0.5 - 3.2 - 0.1 -

Other financial liabilities current 5.3 5.3 5.3 - - - - - - -

Total 233.5 233.5 229.7 - 0.5 - 3.2 - 0.1 -

TOTAL FINANCIAL LIABILITIES 964.0 1,000.8 269.9 12.0 238.4 9.8 455.5 15.0 0.2 -

Interest-bearing loans

Dec. 31, 2013 Less than 12 months 2 years 3 to 5 years More than 5 years

Carrying

amount

Total

future

cash

flows

Carrying

amount Interest

Carrying

amount Interest

Carrying

amount Interest

Carrying

amount Interest

Total interest-bearing loans

Bank loans 521.6 562.0 22.7 10.2 33.8 9.4 465.1 20.8 - -

Bonds - - - - - - - - - -

Other loans 0.4 0.4 0.1 - 0.1 - 0.2 - - -

Bank overdrafts 1.1 1.1 1.1 - - - - - - -

Finance leases 2.6 2.6 0.6 - 0.6 - 1.2 - 0.2 -

Total 525.7 566.1 24.5 10.2 34.5 9.4 466.5 20.8 0.2 -

Other financial liabilities

Trade payables 219.8 219.8 219.8 - - - - - - -

Other financial liabilities non-

current 4.7 4.7 - - 0.6 - 3.7 - 0.4 -

Other financial liabilities current 5.0 5.0 5.0 - - - - - - -

Total 229.6 229.6 224.9 - 0.6 - 3.7 - 0.4 -

TOTAL FINANCIAL LIABILITIES 755.3 795.7 249.4 10.2 35.1 9.4 470.2 20.8 0.6 -

25.2.2 LIQUIDITY POSITION

As of the balance sheet date, consolidated net debt is

€595.4 million. The Group's debt capacity is €1,150.8

million, used in the amount of €730.6 million (see Note 16).

Including cash and cash equivalents, the Group’s liquidity

position amounts to €555.4 million, and is enough to cover

the financial obligations related to the current net debt.

Dec.

31,

2014

Dec.

31,

2013

Amount available on credit facilities 420.3 642.3


Total 555.4 739.0

The €450.0 million syndicated facility and the €100.0

million and US$40.0 million term loans contain obligations

which are all based on the main following covenants:

� the ratio to Net debt to EBITDA (as defined in the

credit agreements) must be lower than 3.0;

� the ratio of EBITDA to net interest expense (as defined

in the credit agreements) must be higher than 2.5;

� cross-acceleration above certain materiality

thresholds and material adverse change clauses.

As of December 31, 2014, the Group is in compliance with

these covenants (see Note 16.4).



25.3 CREDIT RISK

Credit risk represents the risk of financial loss for the Group

in the event that a counterparty to a financial instrument

defaults in paying its contractual obligations.

The financial assets potentially bearing this risk are mainly:

� cash deposits;

� financial derivatives;

� accounts receivable;

� loans granted.

The maximum potential credit risk on the financial assets is

equal to their net accounting value less the indemnification

receivable from credit insurance.

25.3.1 CUSTOMER CREDIT RISK

The Group believes that its exposure to counterparty risk is

limited, because of its large number of customers, its

dispersion in many geographical areas, and its follow-up

policy. The Group has established a credit policy that

includes, among other things, a credit limit for each

customer, collections processes, and a computer-aided

credit scoring and customer payment behavior follow-up.

The total of receivables overdue over 60 days amounts to

9.3% of the total amount of accounts receivables as of

December 31, 2014 (8.3% of the total amount of accounts

receivables as of December 31, 2013).

The Group believes that there is no need to assume that

there is risk on outstanding receivables less than 60 days

overdue.

With respect to outstanding receivables that are more than

60 days overdue, the Group believes that risks are limited

given existing procedures for customer risk management

(as detailed above).

25.3.2 CREDIT RISK MANAGEMENT ON EQUITIES AND

DERIVATIVES

The counterparties to the Group’s financial derivatives are

leading banks or state-owned banks, all of which have

business relationships with the Group for debt or cash

management. The Group's policy with regard to

investments and cash deposits is to only invest in liquid

securities and only with the leading credit institutions in

the countries where the investments are made.

The Group is not exposed to a material risk due to any

significant concentration, and does not anticipate any

counterparty default.

The effect of Credit and Debit Valuation Adjustments

(CVA/DVA) on the measurement of the fair value of the

derivative financial instruments was not material as at the

closing date and was therefore not booked.

Dec. 31, 2014

Gross amounts as

presented in the

balance sheet

Impact of offsetting

rules Net amount

Fair value of derivative assets 1.1 (1.1) -

Fair value of derivative liabilities (2.3) 1.1 (1.2)

Total (1.2) - (1.2)

Dec. 31, 2013

Gross amounts as

presented in the

balance sheet

Impact of offsetting

rules Net amount

Fair value of derivative assets 0.6 (0.6) -

Fair value of derivative liabilities (2.9) 0.6 (2.3)

Total (2.3) - (2.3)

25.4 FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES

Dec. 31, 2014 Fair Value

Category

Hedging

Derivatives

Assets

designatived at

fair value

through profit

and loss

Loans and

receivable

s

Liabilities

at

amortized

cost

Carrying

amount Fair value

Non current financial assets valued at amortized value Level 2 - - 17.9 - 17.9 17.9

Non current financial assets valued at fair value Level 2 1.1 9.8 - - 10.9 10.9

Accounts receivable - - 312.0 - 312.0 -

Cash and cash equivalents Level 2 - 135.1 - - 135.1 135.1

Interest-bearing loans and borrowings Level 2 - - - 730.5 730.5 730.5

Other financial liabilities, non-current Level 2 - - - 3.8 3.8 4.3

Other financial liabilities, current Level 2 2.3 - - 3.0 5.3 5.3

Accounts payable - - - 224.4 224.4 -

Assets held for sale - - - - - -

NOTE 26 - LEASE COMMITMENTS


Dec. 31, 2013 Fair Value

Category

Hedging

Derivatives

Assets

designatived at

fair value

through profit

and loss

Loans and

receivable

s

Liabilities

at

amortized

cost

Carrying

amount Fair value

Non current financial assets valued at amortized value Level 2 - - 7.6 - 7.6 7.6

Non current financial assets valued at fair value Level 2 0.7 19.2 - - 19.9 19.9

Accounts receivable - - 279.7 - 279.7 -

Cash and cash equivalents Level 2 - 96.7 - - 96.7 96.7

Interest-bearing loans and borrowings Level 2 - - - 525.7 525.7 525.7

Other financial liabilities, non-current Level 2 - - - 4.7 4.7 4.7

Other financial liabilities, current Level 2 3.1 - - 1.9 5.0 5.0

Accounts payable - - - 219.8 219.8 -

NOTE 26 - LEASE COMMITMENTS

The Group’s operating lease commitments are mainly commitments for buildings, vehicles, computer hardware and software,

and offices.

Future minimum rental commitments under operating leases with initial or remaining non-cancellable terms in excess of one

year, are summarized below:

Operating leases Dec. 31, 2014 Dec. 31, 2013

Less than 1 year 20.9 13.6

1 to 5 years 32.2 21.9

More than 5 years 3.5 3.4

Total future minimum lease payments 56.5 38.9

NOTE 27 - OTHER CONTINGENCIES

Asbestos

In the United States, the Group has been a defendant in

lawsuits by third parties relating to personal injury from

asbestos. Expected costs of the current or future cases are

covered by Group’s insurances, sellers’ guarantees granted

by third-parties and by provisions that management, based

on the advice and information provided by its legal

counsel, considers to be sufficient.

Guarantees

Tarkett:

� has granted a General Indemnity Agreement of a

maximum amount up to $75.0 million in favor of

Federal Insurance Company in consideration of an

agreement to execute security bonds in favor of

Fieldturf Tarkett Inc. As of the closing date,

outstanding security bonds, either active or in the

process of restitution, total $75.6 million;

� has provided its guarantee on 50% of a credit facility

of up to €10.0 million granted to its joint venture

subsidiary Laminate Park GmbH & Co KG;

� has provided its guarantee to Swedish pension insurer

Pri-Pensionsgaranti to secure the pensions

commitments of Tarkett AB for an amount of SEK

173.1 million;

� has provided its guarantee to a raw materials supplier

of its subsidiary Morton Extrusion Technik to secure

its payables up to €5.0 million;

� has provided its guarantee to Tarkett Finance Inc. in

order to permit it to become an additional lender on

the Syndicated Revolving Credit Facility signed on June

27, 2011 up to a maximum amount of $100.0 million;

� has provided its guarantee as parent company to the

lending bank of an asset backed facility of €55.0

million to the extent that this facility, aimed to finance

the Group, was subscribed by its subsidiary Tarkett

France SAS for technical reasons. Tarkett has also

provided its guarantee as parent company to the

banks of Tarkett Limited (UK) and Poligras (Spain) to

secure technical overdraft facilities for these

companies, for a total amount of €3.9 million.

� Furthermore, in the ordinary course of business,

Tarkett and several of the Group's subsidiaries have

given payment guarantees to various suppliers,

customers, government offices, lessors, and cash

pooling or trade finance operators. These guarantees

are not material either individually or in the

aggregate.

Other

In late March 2013, the “Autorité de la concurrence”

(French Competition Authority) began an investigation

against several flooring manufacturers, including Tarkett, in

relation to possible anti-competitive practices in the French

market for vinyl flooring.

The investigations remain ongoing. The timing of their

finalization is currently not known and it is not yet possible

to evaluate their potential outcome.

NOTE 28 - RELATED PARTIES


NOTE 28 - RELATED PARTIES

In compliance with IAS 24, the Group has identified the

following related parties:

1. Joint ventures;

2. The Group's principal shareholders, the Société

d'Investissement Deconinck (“SID”) SA and KKR

International Flooring 2 SARL;

3. The members of Tarkett's Management Board and

Supervisory Board.

Transactions entered into during the first half of the year

with the Group's joint ventures and principal shareholders

are detailed below.

28.1 Joint ventures

All transactions between fully consolidated entities are

eliminated in consolidation.

Transactions with related entities and jointly held entities

are entered into on arm's length terms.

Joint ventures

The Group has only one joint venture, Laminate Park GmbH

& Co KG in Germany, which is held jointly with Sonae

Industria.

The Group’s transactions with its joint venture may be

summarized as follows:

Dec.

31,

2014

Dec.

31,

2013

Joint ventures

Sale of goods to Tarkett 29.7 32.9

Purchase of services from Tarkett (1.7) (2.1)

Loans from Tarkett 9.2 14.2

28.2 Principal shareholders

Société Investissement Deconinck holds 50.2% of Tarkett’s

share capital and as such, controls and coordinates the

Group's activities. Tarkett is party to a management

services agreement with SID, with the services

remunerated on the basis of the actual costs incurred by

SID.

As of December 31, 2014, SID had invoiced a total of €0.5

million in fees under the assistance agreement (as

compared with €0.6 million as of December 31, 2013).

As of December 31, 2014, Tarkett had invoiced a total of

€0.1 million to SID in services (as compared with no

amounts invoiced by Tarkett to SID in 2013).

KKR International Flooring 2 SARL (KKR) holds 21.5% of

Tarkett’s share capital and as such, has significant

influence. SID and KKR are contractually bound by a

shareholders' agreement.

In 2013, KKR International Flooring 2 SARL invoiced a total

of €0.6 million in fees under the assistance agreement. This

agreement was terminated in 2013.

NOTE 29 - SUBSEQUENT EVENTS

As of the date hereof, there are no material subsequent events to be disclosed.

NOTE 30 - PRINCIPAL CONSOLIDATED ENTITIES



Companies Country Consolidation

method

% ownership as

of Dec. 31, 2014

% ownership as of

Dec. 31, 2013

G: Fully consolidated

E: Accounted for using the equity

method

NC: Not consolidated

Tarkett AB Sweden G 100% 100%

Tarkett AS Norway G 100% 100%

Tarkett OY Finland G 100% 100%

Tarkett Belux Belgium G 100% 0%

Tarkett INC. (Delaware) (TKT) US G 100% 100%

Tarkett Australia Pty. Ltd. Australia G 100% 100%

Tarkett A/S Denmark G 100% 100%

Tarkett Polska Sp.z.o.o. Poland G 100% 100%

Tarkett Jaslo Poland G 100% 0%

Fademac Brazil G 100% 100%

Tarkett Aspen Zemin AS Turkey G 70% 70%

Tarkett Flooring Mexico Mexico G 100% 0%

Laminate Park GmbH & Co KG Germany E 50% 50%

Tarkett Holding GmbH Germany G 100% 100%

Tarkett France Parent company 100% 100%

Tarkett Services France G 100% 100%

Tarkett GDL SA Luxembourg G 100% 100%

Tarkett Capital SA Luxembourg G 100% 100%

Tarkett SpA Italy G 100% 100%

Tarkett - Produtos Internacion Portugal G 100% 100%

Tarkett Monoprosopi Ltd. Greece G 100% 100%

Tarkett Floors S.A. Spain Spain G 100% 100%

Tarkett Asia Pacific Ltd. Hong Kong NC 0% 100%

Tarkett Hong Kong Ltd. Hong Kong G 100% 70%

Tarkett Floor Covering Co, Ltd China G 100% 70%

Tarkett Industrial Co, Ltd China G 100% 0%

Tarkett France France G 100% 100%

Tarkett Bois SAS France G 100% 100%

Fieldturf Tarkett SAS France G 100% 0%

Tarkett Inc. Canada G 100% 100%

ZAO Tarkett Russia G 100% 100%

ZAO Tarkett Rus Russia G 100% 100%

Tarkett Sommer OOO Russia G 100% 100%

Tarkett d.o.o. Serbia G 100% 100%

Tarkett SEE Serbia G 100% 100%

Tarkett UA Ukraine G 100% 100%

Tarkett Kazakhstan Kazakhstan G 100% 100%

Tarkett Kft Hungary G 100% 100%

Tarkett Bel Belarus G 100% 100%

Fieldturf Poligras SA Spain G 100% 100%

M.E.T. GmbH Germany G 100% 100%

Fieldturf Benelux BV Netherlands G 100% 0%

Desso BV Netherlands G 100% 0%

Desso Holding BV Netherlands G 100% 0%

Desso BV Belgium G 100% 0%

Tarkett Ltd. Great Britain G 100% 100%

Somalré Luxembourg G 100% 100%

Sintelon RS Serbia G 100% 100%

Sintelon doo Serbia G 100% 100%



Companies Country Consolidation

method

% ownership as

of Dec. 31, 2014

% ownership as of

Dec. 31, 2013

Galerija Podova Serbia G 100% 100%

Galerija Podova - Sintelon Bosnia G 100% 100%

Sintelon UA Ukraine G 100% 100%

Vinisin Ukraine G 100% 100%

Tandus Centiva Inc US G 100% 100%

Nova Scotia Ltd Canada G 100% 100%

Tarkett Flooring Singapore Singapore G 100% 100%

Tandus Centiva US LLC US G 100% 100%

CAF Extrusion LLC US NC 0% 100%

Tandus Centiva Limited Canada G 100% 100%

Tandus Flooring Suzhou Co. Ltd. China G 100% 100%

Tandus Centiva GP Canada G 100% 100%

Tandus Flooring India India G 100% 100%

Tarkett Enterprises Inc. US G 100% 100%

Domco Products Texas Inc. (AZR) US G 100% 100%

Tarkett Alabama Inc. (NAF) US G 100% 100%

Tarkett Finance Inc. US G 100% 100%

Tarkett USA Inc. (DUS) US G 100% 100%

Texas Tile Manufacturing LLC US G 100% 100%

Tarkett IFA Inc. US NC 0% 100%

Fieldturf Inc. Canada G 100% 100%

L.E.R. Inc. US G 100% 0%

Easy Turf US G 51% 51%

Beynon Sport Surfaces Inc. US G 100% 100%

Fieldturf Tarkett USA Holding US G 100% 100%

Fieldturf USA Inc. US G 100% 100%

Johnsonite Inc. US NC 0% 100%

Johnsonite Canada Inc. Canada G 100% 100%

Diamond W US G 100% 100%

The percentages of equity and voting rights held for each entity of the Group are identical. They include put options, where

applicable.

ABCD KPMG Audit 1, cours Valmy 92923 Paris La Défense Cedex France

Praxor Audit 23 rue Clapeyron 75008 Paris France

Tarkett S.A.


Year ended 31 December 2012 Tarkett S.A.

2, rue de l’Egalité - 92748 Nanterre This report contains 52 pages

regappx 0

ABCD KPMG Audit 1, cours Valmy 92923 Paris La Défense Cedex France

Praxor Audit 23 rue Clapeyron 75008 Paris France

This is a free translation into English of the statutory auditors’ report on the consolidated financial statements issued in French and is provided solely for the convenience of English-speaking users. The statutory auditors' report includes information specifically required by French law in such reports, whether modified or not. This information is presented below the audit opinion on the consolidated financial statements and includes an explanatory paragraph discussing the auditors' assessments of certain significant accounting and auditing matters. These assessments were considered for the purpose of issuing an audit opinion on the consolidated financial statements taken as a whole and not to provide separate assurance on individual account balances, transactions, or disclosures. This report also includes information relating to the specific verification of information given in the Group's management report. This report should be read in conjunction with, and construed in accordance with, French law and professional auditing standards applicable in France. Tarkett S.A. Registered office: 2, rue de l’Egalité - 92748 Nanterre Share capital: €.316 108 260 Statutory auditors’ report on the consolidated financial statements

Year ended 31 December 2012

To the Shareholders,

In compliance with the assignment entrusted to us by your annual general meeting, we hereby report to you, for the year ended 31 December 2012, on:

• the audit of the accompanying consolidated financial statements of Tarkett S.A.;

• the justification of our assessments;

• the specific verification required by law.

These consolidated financial statements have been approved by the Management Board. Our role is to express an opinion on these consolidated financial statements based on our audit.

1 Opinion on the consolidated financial statements

We conducted our audit in accordance with professional standards applicable in France; those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement. An audit involves performing procedures, using sampling techniques or other methods of selection, to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made, as well as the overall presentation of the consolidated financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

ABCD

3

Tarkett S.A. Statutory auditors’ report on the

consolidated financial statements

In our opinion, the consolidated financial statements give a true and fair view of the assets and liabilities and of the financial position of the Group as at 31 December 2012 and of the results of its operations for the year then ended in accordance with International Financial Reporting Standards as adopted by the European Union.

2 Justification of our assessments In accordance with the requirements of article L.823-9 of the French Commercial Code (“Code de commerce”), we bring to your attention the following matters:

• Accounting estimates:

Notes 1.2.2 – “Use of estimates and judgments” and 26 – “Other contingencies” to the consolidated financial statements disclose the assessments and significant estimates made by Tarkett’s management.

In connection with our audit, we considered that those assessments and estimates related mainly to intangible and tangible assets (note 1.5.10, 1.5.15, 8 and 9), deferred tax assets (notes 1.5.22, 7 and 19), provisions (notes 1.5.20 and 20) and employee benefits (notes 1.5.18 and 21).

For these accounts, our work consisted in assessing the data and assumptions underlying the assessments and estimates, reviewing on a sample basis, the calculations performed by the Company, comparing prior years accounting estimates with the corresponding actual results, reviewing management’s approval procedures for such estimates and reviewing that the disclosures relating to these estimates in the notes to the financial statements are appropriate.

These assessments were made as part of our audit of the consolidated financial statements taken as a whole, and therefore contributed to the opinion we formed which is expressed in the first part of this report.

3 Specific verification

As required by law we have also verified, in accordance with professional standards applicable in France, the information relative to the Group, given in the parent company’s management report.

We have no matters to report as to its fair presentation and its consistency with the consolidated financial statements.

The statutory auditors,

Paris La Défense and Paris on the 20 March 2013

KPMG Audit Praxor Audit Department of KPMG S.A.

Philippe Grandclerc Florent Gesbert Partner Partner

Tarkett SA

___________________________

CONSOLIDATED FINANCIAL STATEMENTS

Year ended December 31, 2012

All figures are presented in million of Euros, except if mentioned otherwise.

Tarkett SATarkett SATarkett SATarkett SA

2/49

CONSOLIDATED FINANCIAL STATEMENTS CONTENT CONSOLIDATED INCOME STATEMENT ...................................................................................... 3 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME ............................................... 4 CONSOLIDATED STATEMENT OF FINANCIAL POSITION ......................................................... 5 CONSOLIDATED STATEMENT OF CASH FLOWS ...................................................................... 6 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (including non controlling interests) . 7 GENERAL INFORMATION ............................................................................................................. 8 NOTE 1 – SIGNIFICANT ACCOUNTING PRINCIPLES ................................................................. 8 NOTE 2 – CONSOLIDATION SCOPE .......................................................................................... 21 NOTE 3 – EBITDA BEFORE UNUSUAL ITEMS (NON GAAP) .................................................... 22 NOTE 4 – SEGMENT INFORMATION ......................................................................................... 24 NOTE 5 – OTHER OPERATING INCOME – OTHER OPERATING EXPENSES ........................ 25 NOTE 6 – FINANCIAL RESULT ................................................................................................... 25 NOTE 7 – INCOME TAX ............................................................................................................... 26 NOTE 8 – GOODWILL .................................................................................................................. 26 NOTE 9 – TANGIBLE, INTANGIBLE AND FINANCIAL FIXED ASSETS ..................................... 27 NOTE 10 – INVENTORIES ........................................................................................................... 32 NOTE 11 – TRADE RECEIVABLES ............................................................................................. 32 NOTE 12 – OTHER RECEIVABLES ............................................................................................ 32 NOTE 13 – SHARE CAPITAL ....................................................................................................... 32 NOTE 14 – EARNINGS PER SHARE........................................................................................... 32 NOTE 15 – NET DEBT – INTEREST BEARING LOANS AND BORROWINGS ........................... 33 NOTE 16 – OTHER FINANCIAL LIABILITIES .............................................................................. 34 NOTE 17 – TRADE PAYABLES ................................................................................................... 35 NOTE 18 – OTHER LIABILITIES .................................................................................................. 35 NOTE 19 – DEFERRED TAX ....................................................................................................... 35 NOTE 20 – PROVISIONS ............................................................................................................. 36 NOTE 21 – EMPLOYEE BENEFITS ............................................................................................. 36 NOTE 22 – PERSONNEL COSTS AND DIRECTORS’ REMUNERATION .................................. 39 NOTE 23 – SHARE-BASED PAYMENT TRANSACTIONS .......................................................... 39 NOTE 24 – FINANCIAL RISKS AND FINANCIAL INSTRUMENTS ............................................. 40 NOTE 25 – LEASE COMMITMENTS ........................................................................................... 46 NOTE 26 – OTHER CONTINGENCIES ........................................................................................ 46 NOTE 27 – RELATED PARTIES .................................................................................................. 47 NOTE 28 – SUBSEQUENT EVENTS ........................................................................................... 47 NOTE 29 – MAIN CONSOLIDATED ENTITIES ............................................................................ 48


19/02/2013 3/49


Note 2012 2011

Continuing operations

Invoiced sales 2,429.2 2,183.0 Sales reductions (110.7) (94.6) Net revenue 2,318.5 2,088.3

Cost of sales (1,792.2) (1,657.5) Gross profit 526.2 430.8

Other operating income (5) 6.4 12.6 Selling and distribution expenses (214.3) (212.4) Research and development expenses (19.8) (18.1) General and administrative expenses (136.7) (114.0) Other expenses (5) (10.5) (7.6) Results from operating activities (3) 151.3 91.3

Financial income 2.2 1.8 Financial expenses (27.0) (23.1) Net finance costs (6) (24.7) (21.3)

Share of profit of equity accounted investees (net of income tax) - - Profit before income tax 126.6 70.0

Income tax expenses (7) (41.4) (44.8) Profit from continuing operations 85.2 25.2

Discontinued operations

Profit (loss) from discontinued operations (net of income tax) - - Profit for the period 85.2 25.2

Attributable to:Owners of the Company 83.6 27.1 Non-controlling interests (NCI) 1.6 (1.9)

Profit for the period 85.2 25.2

Earnings per shareBasic earnings per share (in EUR) (14) 5.3 1.7

Continuing operationsBasic earnings per share (in EUR) (14) 5.3 1.7


19/02/2013 4/49


2012 2011

Profit for the period 85.2 25.2

Other comprehensive income (OCI)Foreign currency translation differences for foreign operations (8.9) 1.1 Changes in fair value of cash flow hedges 0.2 0.5 Defined benefit plan actuarial gains and losses (28.9) (7.9) Tax on other comprehensive income 8.7 0.3

Other comprehensive income for the period, net of tax (28.9) (6.1)


Attributable to:Owners of the Company 54.9 20.8 Non-controlling interests 1.4 (1.7)



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Note Dec 31, 2012 Dec 31, 2011

ASSETSGoodwill (8) 449.1 276.8Intangible assets (9) 98.5 106.3Property, plant and equipment (9) 429.4 387.4Financial assets (9) 35.2 26.7Deferred tax assets (19) 96.7 81.6Other non-current assets (12) - - Non-current assets 1,108.8 878.7

Inventories (10) 339.1 284.3Trade receivables (11) 283.1 283.6Other receivables (12) 66.7 55.2Cash and cash equivalents (15) 81.4 53.9Current assets 770.4 676.9

TOTAL ASSETS 1,879.2 1,555.7

EQUITY AND LIABILITIESShare capital (13) 316.1 316.1Share premium and reserves 138.8 138.8Retained earnings 144.9 144.0Net profit for the period 83.7 27.1Equity attributable to equity holders of the parent 683.6 626.1Non-controlling interests 10.1 8.7Total Equity 693.7 634.8

Interest-bearing loans and borrowings (15) 342.8 270.4Other financial liabilities (16) 6.8 8.8Deferred tax liabilities (19) 5.4 5.4Employee benefits (21) 142.2 109.4Provisions and other non-current liabilities (20) 38.1 35.2Non-current liabilities 535.2 429.2

Trade payables (17) 221.7 189.3Other liabilities (18) 189.9 143.6Interest-bearing loans and borrowings (15) 190.8 115.7Other financial liabilities (16) 11.6 11.9Provisions and other current liabilities (20) 36.2 31.1Current liabilities 650.3 491.7

TOTAL EQUITY AND LIABILITIES 1,879.2 1,555.7


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2012 2011

Cash flows from operating activities

Net profit before tax 126.6 70.0 Adjustments for

Depreciation and amortization 88.8 98.3 (Gain) loss on sale of fixed assets - 0.2 Net finance costs 24.8 21.3 Change in provisions and other non-cash items 7.6 (8.4)

Operating profit before working capital changes 247.9 181.4

Increase (-) / Decrease (+) in trade receivables 38.1 (7.2) Increase (-) / Decrease (+) in other receivables (4.9) 2.1 Increase (-) / Decrease (+) in inventories (21.2) (16.9)

Increase (+) / Decrease (-) in trade payables 28.6 (13.1) Increase (+) / Decrease (-) in other payables 7.8 12.8

Effect of changes in assets and liabilities 48.4 (22.3)

Cash generated from operations 296.2 159.1

Net interest paid (22.6) (17.1) Net income taxes paid (45.3) (38.6) Other items 0.7 (0.5)

Other operating items (67.2) (56.2)

Net cash from operating activities 229.0 102.9

Cash flows from investing activities

Acquisition of subsidiaries net of cash acquired (259.2) (4.4) Acquisition of property, plant and equipment (9) (85.0) (91.8) Proceeds from sale of property, plant and equipment (9) 0.7 1.0 Dividends received - (0.1) Impact of scope changes - -

Net cash from investing activities (343.5) (95.2)

Cash flows from financing activities

Proceeds from the issue of share capital and the sale of own shares - -Proceeds from loans and borrowings 213.8 139.4 Repayment of loans and borrowings (70.3) (17.0) Payment of finance lease liabilities (0.8) (0.1) Dividends paid - (102.5)

Net cash from financing activities 142.7 19.8 Effect of exchange rate fluctuations on cash held (0.6) (1.7) Effect of changes in accounting - 0.2 Net increase (decrease) in cash and cash equivalents 27.5 26.0 Cash and cash equivalents, beginning of period 53.9 27.9 Cash and cash equivalents, end of period 81.4 53.9


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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (including non-controlling interests)

Share capital

Share premium

Reserves Tarkett SA

Own shares reserve

Translation

reserve Fair value

reserve Retained earnings Total

Non-controlling interests

Total equity

Balance at January 1, 2011 316.1 107.2 31.7 (23.4) (63.9) (4.5) 337.0 700.2 7.8 708.0

Net profit for the period - - - - - - 27.1 27.1 (1.9) 25.2 Other comprehensive income - - - - 0.9 0.2 - 1.2 0.2 1.3 Actuarial gains & losses on pensions - - - - - - (7.5) (7.5) - (7.5) Total comprehensive income for the period - - - - 0.9 0.2 19.7 20.8 (1.7) 19.1

Issue of shares - - - - - - - - - - Dividends - - - - - - (102.5) (102.5) - (102.5) Own shares (acquired) / sold - - - (0.2) - - - (0.2) - (0.2) Share based payment transactions - - - - - - 0.6 0.6 - 0.6 Share options exercised - - - - - - - - - - Acquisition of NCI without a change in control - - - - - - 7.2 7.2 0.8 8.0

Acquisition of subsidiary with NCI - - - - - - - - 1.9 1.9 Other - - - - - - - - - - Total transactions with owners - - - (0.2) - - (94.7) (94.9) 2.7 (92.2)

Balance at Dec 31, 2011 316.1 107.2 31.7 (23.6) (63.0) (4.3) 261.9 626.1 8.7 634.8

Balance at January 1, 2012 316.1 107.2 31.7 (23.6) (63.0) (4.3) 261.9 626.1 8.7 634.8 Net profit for the period 83.6 83.6 1.6 85.2 Other comprehensive income (8.7) 0.2 (8.6) (0.1) (8.7) Actuarial gains & losses on pensions (20.2) (20.2) (20.2) Total comprehensive income for the period - - - - (8.7) 0.2 63.4 54.9 1.4 56.3

Issue of shares - - Dividends - - Own shares (acquired) / sold (0.9) (0.9) (0.9) Share based payment transactions 2.5 2.5 2.5 Share options exercised - - Acquisition of NCI without a change in control 1.2 1.2 1.2

Acquisition of subsidiary with NCI (0.2) (0.2) (0.2) Other - - Total transactions with owners - - - (0.9) - - 3.5 2.6 - 2.6

Balance at Dec 31, 2012 316.1 107.2 31.7 (24.5) (71.8) (4.1) 328.9 683.5 10.1 693.7


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GENERAL INFORMATION Tarkett SA’s consolidated financial statements at December 31, 2012 comprise the Company and its subsidiaries (hereafter the “Group”) as well as its interests in associates and joint ventures. On February 15, 2013, the Board of Directors established and authorized the publication of the Consolidated Financial Statements of the Group for the year ended December 31, 2012, which will be submitted for approval to the shareholders’ meeting to be held on May 23, 2013.

NOTE 1 – SIGNIFICANT ACCOUNTING PRINCIPLES 1.1 STATEMENT OF COMPLIANCE The Consolidated Financial Statements of the Group (including the notes thereto) have been prepared in accordance with the IFRS (International Financial Reporting Standards) as adopted by the European Union as of December 31, 2012. 1.2 BASIS OF PREPARATION

1.2.1 ACCOUNTING POLICIES The accounting policies applied by the Group in the Consolidated Financial Statements as of December 31, 2012, are the same as those used as of December 31, 2011 with the exception of the changes described below:

a Amendments or revisions to existing standards and interpretations applied during the period The Group has considered the following amendments or revisions to existing standards and interpretations in the preparation of its consolidated financial statements. Those amendments and interpretations were approved by the European Union and their application was mandatory: • IFRS 7 ‘’Financial instruments: Disclosures on derecognition’’: This amendment promotes transparency in the

reporting of transfer transactions of financial assets and improve users’ understanding of the risk exposures relating to transfers of these assets and the effect of those risks on an entity’s financial position, particularly those involving securitisation of financial assets. The adoption of these amendments is expected to have no effect on the Group's financial position and disclosures since the Group is not involved in any arrangement that transfers financial assets.

• Annual improvements: no significant impact on the consolidated financial statements. b Early adoption of standards or interpretations

No standards or interpretations have been early applied by the Group.

1.2.2 USE OF ESTIMATES AND JUDGEMENTS

The preparation of financial statements in accordance with IFRS requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and contingent liabilities at the date of preparation of the financial statements and reported income and expenses for the period. The management reviews these estimates and assumptions on an ongoing basis, by reference to past experience and various other factors considered as reasonable which form the basis for assessing the carrying amount of assets and liabilities. Actual results may differ significantly from these estimates, if different assumptions or circumstances apply. These judgments and estimates relate principally to:

- Allocation of the acquisition cost of business combinations. Such allocations may involve the use of assumptions in respect of future cash flows (note 2).

- Impairment testing of assets: Group management has undertaken those tests on the basis of its best estimates of the future activity of the relevant cash-generating units and of appropriate discount rates (note 8 and note 9).


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- Accounting treatment of financial instruments: the Group has performed the requisite valuation procedures and has tested the effectiveness of its hedging instruments (note 24).

- Provisions for employee benefits: provisions have been estimated with the assistance of an external actuary (note 21).

- The net tax position reflects the Group’s best estimate of the trend of its future results for tax purposes (note 19).

- All other provisions, such as warranties and litigations, have been booked upon management best estimate using when necessary statistical approaches (note 20).

In preparing these financial statements, the significant judgements made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty were the same as those applied to the consolidated financial statements as of and for the year ended December 31, 2011. Where the accounting treatment of a specific transaction is not addressed by any accounting standard or interpretation, the management applies its judgment to define and apply accounting policies that will lead to relevant and reliable information, so that the financial statements:

- provide a true and fair view of the Group’s financial position, financial performance and cash flows; - reflect the substance of transactions; - are prepared on a prudent basis; - and are complete in all material aspects.

The Group’s consolidated financial statements have been prepared on the historical cost basis with the exception of the following assets and liabilities which have been measured at fair value: derivatives, investments held for trading and available-for-sale financial assets, pension plan assets and other assets when required. The carrying amount of assets and liabilities subject to hedging has been adjusted in line with the changes in fair value attributable to the hedged risks. Non-current assets and groups of related assets and liabilities held for sale have been measured at the lower of their carrying amount and fair value less costs to sell. 1.3 BASIS OF PRESENTATION Income statement Expenses are classified in the income statement according to their function. Statement of financial position The balance sheet distinguishes current and non-current assets and current and non-current liabilities. Current assets comprise assets intended to be sold or consumed during the Group’s normal operating cycle and cash or cash equivalents. Other assets are classified as non-current assets. Current liabilities comprise liabilities with maturities during the Group’s normal operating cycle or within twelve months of the balance sheet date. Other liabilities are classified as non-current liabilities. Deferred tax assets and liabilities, as required by IAS 1 “Financial Statements Presentation”, are exclusively classified as non-current. Statement of cash flow The statement of cash flow is presented using the indirect method. Statement of Comprehensive Income Other income or expenses that are not recognized in profit and loss as authorized by the IFRS. 1.4 BASIS OF CONSOLIDATION Subsidiaries Subsidiaries are entities controlled by the Group. Control exists when the Group has the power, directly or indirectly, to govern the financial and operating policies of an entity. Control is generally presumed to exist if the Group holds more than half of the entity’s voting rights. In assessing control, potential voting rights that are presently exercisable or convertible are taken into account. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases.


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The accounting policies of subsidiaries have been changed when necessary to align them with the policies adopted by the Group. Losses applicable to the non-controlling interests in a subsidiary are allocated to the non-controlling interests, even if doing so causes the non-controlling interests to have a deficit balance. In case of a loss of control, the Group derecognises the assets and liabilities of the subsidiary, any non-controlling interest and the other components of equity related to the subsidiary. Any surplus on deficit arising from the loss of control is recognised in profit and loss. Associates Associates are those entities for which the Group has significant influence, but not control, over their financial and operating policies. Significant influence is generally presumed to exist if the Group holds at least 20% of the entity’s voting rights. Associates are accounted for in the consolidated financial statements using the equity method. Under this method, the investment in an associate is initially recognised at cost and the carrying amount of the investment is subsequently adjusted by the increase or decrease of the Group’s share in the associate’s net assets as well as by any impairment loss. The Group’s share of profit or loss of the associate is reported as a separate line item in the income statement from the date that significant influence commences until the date that significant influence ceases. Tarkett SA has no associates in 2012 as in 2011. Jointly controlled entities Jointly controlled entities are those entities over whose activities the Group has joint control, established by contractual agreement with one or more partners. Joint control implies that the strategic financial and operating decisions relating to the activity require the unanimous consent of the parties sharing control. Jointly controlled entities are subject to proportionate consolidation in the consolidated financial statements. Under this method, the consolidated balance sheet includes the Group’s share of the assets it jointly controls, and liabilities for which it is jointly responsible. The financial statements of jointly controlled entities are reflected in the consolidated financial statements from the date that joint control commences until the date that joint control ceases. 1.5 ACCOUNTING POLICIES The accounting policies described hereafter have been applied to all the periods presented in the consolidated financial statements and have been uniformly applied by all Group entities.

1.5.1 BUSINESS COMBINATION Consideration Investments in subsidiaries are accounted for by applying the purchase method. The acquired entity’s identifiable assets, liabilities and contingent liabilities are recognised at their fair values at the acquisition date and any positive difference between the fair value of the consideration transferred, including the fair value of any previously held equity interest in the acquiree and the Group’s share in those identifiable assets, liabilities and contingent liabilities is recognised as goodwill in the assets of the balance sheet. Any negative difference is immediately recognised in profit or loss. The analysis of goodwill is finalised within twelve months of the acquisition date except if the Group receives the information it was seeking about facts and circumstances that existed as of the acquisition date or learns that more information is not obtainable.

Transaction costs, other than those associated with the issue of debt or equity securities, that the Group incurs in connection with a business combination are expensed as incurred. Non-controlling interests

The Group elects on a transaction-by-transaction basis whether to measure non-controlling interests at fair value, or at their proportionate share of the recognized amount of the identifiable net assets of the acquiree, at the acquisition date. Business combinations involving successive purchases When a business combination involves successive purchases, each significant transaction is independently analysed for the purposes of determining the fair values of the identifiable assets, liabilities and contingent liabilities acquired and the amount of goodwill arising.


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When an acquisition is achieved in stages (“step acquisition”), the identifiable assets and liabilities are recognized at full fair value when control is obtained, and a gain or loss is recognized in P&L for the difference between the fair value and the carrying amount of the previously held equity interest in the acquiree.

1.5.2 ACQUISITION OF NON-CONTROLLING INTERESTS The Group has accounted, for acquisitions of non-controlling interests in subsidiaries, so far as follows: the identifiable assets, liabilities and contingent liabilities attributable to non-controlling interests acquired subsequent to the Group’s obtaining control of an entity are not re-valued. Any difference between acquisition cost and the Group’s share of net assets attributable to the non-controlling interests is recognised as an adjustment to equity.

1.5.3 OPTIONS Share put options granted by the Group When the Group undertakes by agreement to purchase non-controlling interests, or provides non-controlling interests with the option of disposing of their shares to the Group at an agreed time and for a specified price (which may be payable in cash or by issue of shares), the Group consolidates the entity as though the non-controlling interests had already been acquired and recognises a liability for the present value of the price payable in the event that the non-controlling interests exercise their option. This liability is discounted over the option period. This liability is discounted over the option period and any change in its valuation is accounted for through equity. Share call options granted to the Group The consolidation method to apply on an entity in respect of which the Group has the option of purchasing additional shares is based on the percentage of interest expected to result from exercise of that option.

1.5.4 FOREIGN CURRENCY TRANSLATION The functional currency of Tarkett SA and its subsidiaries located in the Euro zone is Euro. Group entities operate on an autonomous basis and therefore the functional currency of entities operating outside the Euro zone is generally their local currency, with the exception of the entities located in Eastern Europe which use the Euro as their functional currency. IAS 21 “The Effects of Changes in Foreign Exchange Rates” defines the accounting for transactions and balances in foreign currencies. Foreign currency transactions Transactions in foreign currencies are translated at the foreign exchange rate as of the date of the transaction. Foreign exchange rate differences arising on these transactions are recognized either in the operating profit for business purposes, or in the financial result for financing transactions. Some items are covered by hedging transactions; the accounting treatment for those transactions is described in note 1.5.19. Financial statements in foreign currency On the balance sheet date, assets and liabilities are translated at the closing rate, and income and expenses are translated at the average exchange rate for the period. Foreign currency differences are recognised in other comprehensive income (OCI), and presented in the translation reserve in equity. When a foreign operation is disposed of, the cumulative amount in the translation reserve related to that foreign operation is reclassified to P&L as part of the gain/loss on disposal classified as financial expenses. When the Group disposes of only part of its interest in a subsidiary that includes a foreign operation while retaining control, the relevant proportion of the cumulative amount is reattributed to non-controlling interests. In the case of the subsidiaries outside the Euro zone whose functional currency is the Euro, non-monetary items are translated using the historical exchange rates whilst monetary items are translated using the foreign exchange rates ruling at the balance sheet date. Net investment in foreign operations When the settlement of a monetary item receivable or payable to a foreign operation is neither planned nor likely in the foreseeable future, foreign exchange gains and losses arising from such monetary item are considered to form


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part of a net investment in a foreign operation and are recognised in other comprehensive income (OCI) and presented in the translation reserve.

1.5.5 SEGMENT REPORTING IFRS 8 requires an entity to report financial and descriptive information about its reportable segments. Reportable segments are operating segments or an aggregation of operating segments that do not meet some quantitative thresholds. IFRS 8 defines an operating segment as follows. An operating segment is a component of an entity:

- that engages in business activities from which it may earn revenues and incur expenses, - whose operating results are reviewed regularly by the entity’s chief operating decision maker to make

decisions about resources to be allocated to the segment and assets, its performance, - for which discrete financial information is available.

The Group’s activities have been segmented based on its management structure or divisions and differences in products reflecting the Tarkett Group’s internal structure. The Group has identified two reportable segments:

- Flooring activities, - Sports activities.

For each reportable business segment, separate disclosure is provided of the related sales, main profit and loss items, profit or loss before tax, total assets and liabilities, total tangible and intangible assets, depreciation. In addition, IFRS 8 requires the entity to report selected information by geographical areas. The Group has identified four reportable areas:

- European Union, - North America, - Other OECD countries, - Emerging countries.

1.5.6 REVENUE RECOGNITION

Revenue from the sale of goods is recognised in profit or loss when the significant risks and rewards of ownership have been transferred to the buyer. Revenue from services rendered or from construction contracts is recognised in profit or loss in proportion to the stage of completion of the transaction at the balance sheet date. The stage of completion is assessed by reference to surveys of work performed. An expected loss on a contract is recognised immediately in profit or loss. Net sales comprise revenue from the sale of goods and services net of rebates, and after elimination of intragroup sales.

1.5.7 GRANTS Grants relating to assets are deducted at the carrying amount of the financed assets. The grants are thus recognised as income over the lives of the assets by way of a reduced depreciation charge. Other grants are recognised when there is reasonable assurance that the Group will comply with the conditions attaching to them and that the grants will be received. In this case, they are recognised as income on a systematic basis over the periods necessary to match them with the related costs which they are intended to compensate.

1.5.8 EXPENSES Cost of sales Cost of sales comprises the cost of manufactured products, the acquisition cost of purchased goods which have been sold, and the supply chain costs for logistic and freight. Selling and distribution expenses Selling and distribution expenses comprise the expenses of the marketing department and the sales force, as well as advertising expenses, distribution expenses, sales commissions and bad debts.


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Research and development costs Research and development costs are recognised as expenses when incurred, unless the criteria are met for them to be capitalised, as per note 1.5.10. General and administrative expenses General and administrative expenses comprise the remuneration and overhead expenses associated with management and administrative personnel with the exception of amounts charged to other cost centres. Net financial items Net financial items comprise interest payable on borrowings and receivable on investments, dividend income, foreign exchange gains and losses on financial assets and liabilities. Operating lease payments Payments made under operating leases are recognised in profit or loss on a straight-line basis over the term of the lease. Capital lease payments Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding liability.

1.5.9 INCOME TAXES Income tax on the profit or loss for the year comprises current and deferred tax. Income tax is recognized in the income statement except to the extent that it relates to items recognized directly in equity, in which case it is recognized in equity. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantially enacted at the balance sheet date, and any adjustment to tax payable with respect to previous years. Income tax is calculated based on the rules applicable in each country where the Group operates. The “Cotisation sur la Valeur Ajoutée des Entreprises (C.V.A.E.)” tax contribution enacted in France on the basis of the value added of the statutory accounts corresponds for the Group to the definition of Income Tax, as stated by IAS 12.2. Similar treatment has been adopted for similar other tax contributions based on a net of products and costs amount even if this amount could be different from the accounting net income.

1.5.10 INTANGIBLE ASSETS Goodwill For the measurement of goodwill at initial recognition, Tarkett applies IFRS 3 Revised, see 1.5.1, except for acquisitions accounted for before December 31, 2009 for which IFRS 3 (2004) was applied. Negative goodwill (badwill) is recognised directly in profit or loss. Goodwill is allocated to cash-generating units and is not amortised, but instead is tested annually for impairment on the basis described in note 1.5.15. Subsequently, goodwill is measured at cost less accumulated impairment losses. In respect of equity accounted investees, the carrying amount of goodwill is included in the carrying amount of the investment and an impairment loss on such investment is not allocated to any asset, including goodwill that forms part of the carrying amount of the equity accounted investee. Research and development Expenditure on research and development are expensed as incurred (IAS 38.5 and IAS 38.11–38.23) except when the criteria for capitalisation of such expenditure are met. Patents Patents obtained by the Group are stated at cost less accumulated amortization and impairment losses. Capitalized costs for internally generated patents principally relate to the costs of legal counsel. Patents capitalized are amortized on a straight-line basis over the length of the patent. Amortization starts when the patent is issued.


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Softwares Softwares are stated at cost less accumulated amortization and impairment losses. Softwares are amortized from the date they are available for use on a straight line basis. Amortization Amortization is charged to profit and loss on a straight-line basis over the estimated useful lives of intangible assets unless such lives are indefinite. Goodwill and other intangible assets with an indefinite useful life are tested systematically for impairment at least once a year, as per described in note 1.5.15. Other intangible assets are amortized from the date that they are available for use. The estimated useful lives are as follows:

Patents and trademarks: Length of the patent Development costs: 3 to 62/3 years IT Softwares: 3 to 5 years

1.5.11 PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment are stated at cost less accumulated depreciation and impairment losses. Acquisition cost Acquisition cost includes purchase cost or production cost plus the other costs incurred for bringing the items to their operating location and condition. The cost of a self-constructed asset includes the costs of raw materials and direct labour, the initially estimated cost of any obligation for dismantling, removing and restoring the site on which the asset is located, and an appropriate allocation for directly attributable production overhead. Borrowing costs attributable to the acquisition of items of property, plant and equipment are capitalised should they be significant. When an asset is acquired in a foreign currency, any subsequent exchange difference does not affect the asset’s carrying amount. When an item of property, plant and equipment includes material components with different useful lives, each major component is accounted for separately. Subsequent costs Replacements and improvements are capitalized, while general repairs, day to day servicing and maintenance are charged to expenses as incurred. Depreciation Assets are depreciated and charged to profit or loss over their expected useful lives using the straight-line method. The estimated useful lives are as follows: Buildings: 20-30 years Industrial plant and equipment: 2-10 years Other equipment and supplies: 3-5 years Depreciation methods, useful lives and residual values are reviewed and adjusted if appropriate. Capital leases Leases in terms of which the Group assumes substantially all of the risks and rewards of ownership are classified as capital leases. Assets acquired under capital leases are recognised as items of property, plant and equipment at an amount equal to the lower of their fair value and the present value of the minimum lease payments at inception of the lease. Lease payments are apportioned between the finance charge and the reduction of the outstanding liability. The finance charge is allocated to each period during the lease term so as to produce a constant periodic rate of interest on the remaining balance of the liability. The bases of depreciation and subsequent measurement of the related assets are similar to those applying to other tangible fixed assets except in the case where the lease period is shorter than the asset’s estimated useful life and it is not reasonably certain that transfer of title will take place at the end of the lease.


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Leases for which a significant portion of the risks and rewards incidental to ownership of the leased assets remains with the lessor are classified as operating leases, with lease payments recognised as an expense on a straight-line basis over the lease term.

1.5.12 NON-CURRENT ASSETS HELD FOR SALE Immediately before classification as held for sale, the carrying amounts of assets (and groups of related assets and liabilities) are revised in accordance with the applicable standards IFRS 5. Then, on initial classification as held for sale, non-current assets and disposal groups are recognised at the lower of their carrying amount and fair value less costs to sell. Impairment losses on initial classification as held for sale are included in profit or loss. A discontinued operation is a component of a Group’s business that represents a separate major line of business or geographical area of operations or is a subsidiary acquired exclusively with a view to resale. Classification as a discontinued operation occurs upon disposal or when the operation meets the criteria to be classified as held for sale, if earlier. Non-current assets are reclassified from held for sale to held for use if they no longer meet the criteria to be classified as held for sale. Upon reclassification as held for use, a non-current asset is re-measured at the lower of its recoverable amount and the carrying amount that would have been recognised had the asset never been classified as held for sale. The calculation of this carrying amount should include any depreciation that would have been recognised had the asset not been classified as held for sale. In addition, reclassification as held for use creates one of the rare circumstances when reversals of goodwill impairment are recognised. This may occur if the recoverable amount of goodwill exceeds its carrying amount as a result of impairment losses recognised in respect of the held for sale disposal Group that were allocated to goodwill. Any resulting adjustment is recognised in profit or loss. When an interest in an associate or a jointly controlled entity classified as held for sale is reclassified as held for use, the equity method or proportionate consolidation is applied retrospectively from the date of its reclassification as held for sale. Financial statements for earlier periods that classify the investment as held for sale are amended accordingly.

1.5.13 ACCOUNTS RECEIVABLE Accounts receivable are stated at their cost less any allowance for doubtful accounts. The allowance for doubtful accounts is based on the management’s assessment of the recoverability of specific customer accounts and the ageing of the accounts receivable. If there is deterioration in a major customer’s creditworthiness or if actual defaults are higher than the historical experience, the management’s estimates of the recoverability of amounts due to the Company could be adversely affected.

1.5.14 INVENTORIES Inventories are stated on a FIFO basis (first in, first out) at the lower of manufacturing/acquisition costs and net realizable value. Manufacturing costs of self-produced inventories comprise all costs which are directly attributable and a systematic allocation of production overhead and depreciation of production facilities based on normal operating capacity. Net realisable value is the estimated selling price in the ordinary course of business, less the estimated costs of completion and selling expenses. Inventories can be classified into raw material, consumables, semi-finished goods & work in progress, and finished goods.

1.5.15 IMPAIRMENT

a) Non-financial assets Annual impairment testing Goodwill and other intangible assets with indefinite useful lives are systematically tested for impairment once a year.


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The carrying amounts of the Group’s assets, other than financial and deferred tax assets and liabilities, are reviewed to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated. The recoverable amount of assets is the greater of their net selling price minus cost to sell and value in use. Value in use is calculated by discounting estimated future cash flows for each cash-generating unit with the exception of borrowing costs and income tax. For this purpose, use is made of 3-year plans (extrapolated by an additional year), as well as of a terminal value for each cash-generating unit. The main assumptions used are a pre-tax discount rate of 10.0% in 2012 kept identical to 2011. The growth rates on sales are between -2% (short term perspectives on the European Union markets) and +13% (emerging countries mainly) over a 4-year period (2013 to 2016), depending on the area and the year. After the 3-year period, a similar growth than between 2014 and 2015 has been assumed. The assessment of the terminal value uses the projection to infinity with a yearly growth rate of 3%, which considers that the Group operates on mature and growing business and markets. In assessing value in use, the estimated cash flows associated with cash-generating units recognised for operating purposes are discounted to their present value using a pre-tax weighted average cost of capital (WACC) discount rate that reflects current market assessments of the time value of money and the risks specific to each financing means. For this purpose, goodwill has been allocated over cash-generating units. On September 2012, 28th the Group acquired the Tandus Group in the United States of America in order to enlarge its development on the US flooring markets as Tandus is specialized in the production and the sale of carpet products, tiles and modular. This business meets the definition of a CGU, as the sale of carpet is an independent business which generates cash flows and is managed independently from other businesses. Therefore a new CGU has been created. From January 1st, 2012, the business Sport Indoor has been mainly incorporated into business Residential Heterogenous. Therefore the CGU03 Sport Indoor has been included into the CGU06 Resilient Heterogenous for Impairment testing purposes only for Western Europe. Impairment losses An impairment loss is recognised whenever the carrying amount of a cash-generating unit exceeds its recoverable amount. Impairment losses are recognised in profit or loss. Impairment losses recognised in respect of cash-generating units are allocated first to reduce the carrying amount of any goodwill allocated to the cash-generating unit and then, to reduce the carrying amount of the other assets in the unit on a liquidity basis. An impairment loss in respect of goodwill is not reversed. In respect of other assets, an impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount.

b) Non-derivative financial assets A financial asset not carried at fair value through profit or loss is assessed at each reporting date to determine whether there is objective evidence that it is impaired. For an investment in an equity security, a significant or prolonged decline on its fair value below its costs is indicative of impairment. An impairment loss in respect of a financial asset measured at amortised cost is calculated as the difference between its carrying amount and the present value of the estimated future cash flows discounted at the asset’s original effective interest rate. Impairment loss on available for sale financial assets is recognised by reclassifying the losses accumulated in the fair value reserve in equity to profit or loss.

1.5.16 SHARE CAPITAL Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares and share options are recognized as a deduction from equity, net of any tax effects. When share capital recognized as equity is repurchased, the amount of consideration paid, which includes directly attributable costs, is net of any tax effects, and is recognized as a deduction from equity classified as own shares. When own shares are sold or


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reissued subsequently, the amount received is recognized as an increase in equity, and the resulting surplus or deficit on the transaction is transferred to/from retained earnings.

1.5.17 SHARE-BASED PAYMENT TRANSACTIONS

Share-based payment programs include both programs allowing Group employees to acquire shares of the Company under specific conditions and programs awarding free shares to Group employees. The current existing programs and their related accounting treatment are described in the note 23 of the Group financial statements.

1.5.18 EMPLOYEE BENEFITS Within the Tarkett Group, various systems for providing for retirement benefits depending on the legal, economic and tax environment of each country exist. In accordance with the laws and uses applied in each country, Tarkett SA participates in pension, welfare, health and retirement benefit plans whose benefits are dependent on various factors such as length of service, salary and the contributions paid to institutions. The Group’s obligation in respect of such arrangements is calculated by independent actuaries, according to IAS 19. Defined contribution plans Defined contribution plans are post-employment benefit plans under which the Group pays fixed contributions into a separate entity (insurance company or pension fund) and will have no legal or constructive obligation to pay further contributions if the fund does not hold sufficient assets to pay all employee benefits relating to employee service in the current and prior periods. These contributions, based on services rendered by employees, are recognised as an expense in profit or loss as incurred. Defined benefit plans Defined benefit plans are post-employment benefit plans under which the Group assumes the obligation of providing employees with future benefits and thus also assumes the related actuarial and investment risks. The defined benefit liability is calculated using the projected unit credit method and is discounted to its present value from which the amount of past service cost for the period may also be deduced. The detailed actuarial calculation requires the use of actuarial hypotheses for demographic variables (mortality, employee turnover) and economic variables (future increases in salaries and medical costs, discount rate). When defined benefit plans are totally or partially funded by contributions paid to a separate fund or insurance company, those entities’ assets are measured at their fair value and their amount is deducted from the obligation to define net liability disclosed in the Group’s balance sheet. Actuarial gains and losses Actuarial gains and losses comprise both the effects of changes in actuarial assumptions and the effects of differences between the previous actuarial assumptions and what has actually occurred. Actuarial gains and losses for retirement benefit plans are immediately recognised in other comprehensive income, as per the SoRIE method. Past service cost When changes occur to a defined benefit plan, past service cost for the changed benefit liability is recognised as an expense immediately in profit and loss to the extent that the benefits are already vested or otherwise, is recognised over the average period until the benefits become vested. Curtailment The effects of any liquidation of plans or reduction of benefits are recognised in profit or loss at the date of liquidation or reduction; the gains or losses recognised reflect both changes in the present value of obligations or in the fair value of plan assets (in turn reflecting, in both cases, reassessment of the applicable actuarial hypotheses), as well as immediate recognition of past service cost.


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1.5.19 FINANCIAL INSTRUMENTS The Group has applied IFRS 7 which defines the disclosures to be made in respect of financial assets and liabilities. IAS 39 continues to define the bases of recognition and measurement applicable to financial assets and liabilities. Financial transactions are recorded based on the effective date of payment. Non-derivative financial assets Financial assets are initially recognised at their fair value plus any applicable transaction costs. At the date of acquisition the Group classifies its financial assets, depending on the purpose of their acquisition, in one of the four categories provided for by IAS 39. The classification determines the basis of measurement of each financial asset at the subsequent balance sheet dates, whether at amortised cost or at fair value. Held-to-maturity investments are exclusively securities with fixed or determinable payments (other than items defined as loans and receivables) acquired with the intention of holding them to maturity. They are accounted for at amortised cost using the effective interest method. The net income recognised in respect of such assets comprises the aggregate of interest receivable and any impairment losses. Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. Subsequent to initial recognition, they are accounted for at amortised cost, using the effective interest method, less any impairment losses reflecting the risk of non-recovery. The category includes trade and other loans and receivables. The net income recognised in respect of such assets comprises the aggregate of interest receivable and any impairment losses. Subsequent to initial recognition, available for sale financial assets are measured at fair value, and changes therein, other than impairment losses (see 1.5.15) recognised in other comprehensive income. The category mainly comprises non-consolidated long-term investments which are measured in the balance sheet at their acquisition cost assuming the absence of an active market for the securities held. The net income recognised in respect of such assets comprises the aggregate of dividends receivable, any impairment losses and the gains or losses arising on disposal. Financial assets and liabilities at fair value through profit or loss include both items held for trading, i.e. that the Group has from the outset the intention to sell in the near future (including derivatives not qualified as hedging instruments), and assets specifically designated as at fair value through profit or loss. These assets are adjusted to their fair value at each balance sheet date and the resulting gains and losses are recognised in profit or loss. This category notably includes cash and cash equivalents. The net income recognised in respect of such assets comprises the aggregate of interest receivable, changes in fair value and the gains or losses arising on disposal. Cash and cash equivalents comprise cash at bank and on hand, term deposits and other monetary investments with initial maturities not exceeding three months and subject to an insignificant risk of changes in value. For purposes of cash flows statement presentation, cash and cash equivalents are defined on the same basis as in the balance sheet.

Non-derivative financial liabilities

Financial liabilities comprise financial debt and trade and other operating payables. With the exception of items classified as financial liabilities at fair value through profit or loss, loans payable and other financial liabilities are initially recognised at their fair value less any applicable transaction costs. They are subsequently measured at amortised cost using the effective interest rate method. Given their short maturities, trade and other operating payables are measured at historical cost since use of the amortised cost basis would produce very similar results. Derivative instruments The Group uses derivative financial instruments to hedge its exposure to the foreign currency risk and interest rate risk associated with its purchases and sales denominated in foreign currencies and with its financing and investment transactions. The derivatives employed comprise in particular interest rate swaps and options, other forward contracts and foreign currency options. In accordance with its policy in respect of financial instruments, the Group neither uses nor issues derivative financial instruments for trading purposes, but derivatives which do not meet the criteria qualifying them for hedge accounting are nevertheless accounted for similarly to speculative instruments.


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Derivatives are recognised in the balance sheet at their fair value (whether positive or negative) with changes in fair value immediately recognised in profit or loss. Derivative instruments which qualify for hedge accounting and meet the applicable effectiveness tests are classified either as fair value hedges (when their purpose is to hedge an existing asset or liability’s exposure to the risk of changes in its fair value) or cash flow hedges (when their purpose is to hedge the exposure to changes in the cash flows associated with highly probable future transactions). Changes in the fair value of fair value hedges of exposure to foreign currency and interest rate risk are recognised as part of financial income or expense. The hedged assets and liabilities are also adjusted to their fair value and the changes in fair value attributable to the hedged risk(s) are equally recognised as part of financial income or expense. Changes in the fair value of cash flow hedges of exposure to foreign currency and interest rate risk are recognised within a specific equity reserve with the exception of the amount of such change attributable (in the case of options or forward currency contracts) to the instruments’ time value and premium/discount which are treated as part of financial income or expense. The amendment to IAS 39 that took effect from 1st January 2006 allows for a future and highly probable intragroup transaction to be hedged provided that the transaction is denominated in a currency other than the functional currency of the entity entering into the transaction and that the foreign currency risk will affect consolidated profit or loss. The gains and losses initially recognised directly in equity are transferred to profit or loss during the period in which the hedged future transaction itself produces an impact on profit or loss. If a derivative instrument ceases to meet the criteria for hedge accounting, the cumulative amount recognised in equity at that date remains in equity until the date of occurrence of the transaction initially hedged, but if the transaction is no longer expected to occur then the amount is immediately transferred in full to profit or loss. Derivative instruments which cease to meet the criteria for hedge accounting are reclassified as held for trading and changes in their fair value are recognised as part of financial income or expense. The net income recognised in respect of derivatives held for trading comprises the aggregate of cash flows exchanged and of changes in the fair value of each instrument. Finally, the effective portion of the foreign exchange gain or loss associated with hedges of net investments in foreign operations is recognised directly in equity; the ineffective portion is recognised immediately in profit or loss. Financial income and expense Financial expense includes bank fees and interest payable on borrowings accounted for at amortised cost using the effective interest method. Other financial income and expense include the income and expenses associated with loans and receivables accounted for at amortised cost, the gains recognised in respect of investment of cash and cash equivalents, impairment losses relating to financial assets, dividends. Foreign exchange gains and losses on financial items are presented net, considering that those gains and losses are neutralized by the related impacts of the FX hedging instruments or they are hedged or arise from non-significant individual transactions, and by interpretation of IAS 1.35. Fair value method For instruments quoted in an active market, the fair value corresponds to a market price (level 1). For instruments that are not quoted in an active market, the fair value is determined using valuation techniques including reference to recent arm’s length market transactions or transactions involving instruments which are substantially the same (level 2), or discounted cash flow analysis including, to a maximum extent, assumptions consistent with observable market data (level 3). However, if the fair value of an equity instrument cannot be reasonably estimated, it is measured at cost. The fair value of all the Group’s financial assets and liabilities is determined as at the balance sheet date either for inclusion in the balance sheet or for disclosure in the notes to the consolidated financial statements. The fair value of interest rate swaps and of interest rate and foreign currency options is the estimated amount that the Group would expect to receive or have to pay in order to cancel each derivative instrument at the balance sheet date, taking into account the current level of interest rates and the credit risk associated with the swaps’ counterparties. The fair value of forward exchange contracts is their market value at the balance sheet date, i.e. the present value of their quoted forward prices. The derivative financial instruments (swaps, caps, floors etc.) employed by Tarkett are entered into by private arrangement and are thus not subject to quoted prices. They are therefore measured using the valuation models commonly employed by operators in the market and in particular: - Interest rate swaps are measured on the basis of the present value of the contractual future cash flows;


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- Options are measured using Black and Scholes type valuation models based on published market quotations and/or on quotations provided by third party financial institutions;

- Other foreign currency and interest rate derivative instruments are measured on the basis of the present value of the associated interest rate differentials.

Derivative instruments are entered into exclusively with first class banks or other financial institutions, and with the sole purpose of providing security for the Group’s current operations and for the financing thereof. The fair value of non-quoted borrowings is calculated on the basis of the present value of the contractual cash flows discounted at the market rate of interest, including the applicable risk premium. In the case of receivables and payables with maturities of less than a year and certain floating rate receivables and payables, historical cost is considered as a reasonable approximation of their fair value given the limited credit periods granted and received within the Group.

1.5.20 PROVISIONS Provisions and non-current liabilities are comprised of liabilities for which the amount and the timing are uncertain. They arise from environmental risks, legal and tax risks, litigation and other risks. A provision is recognised when the Group has a present legal or constructive obligation as a result of a past event, and it is probable that an outflow of economic benefits will be required to settle the obligation. If the effect is material, provisions are determined by discounting the expected future cash flows. The amount recognised as a provision is the best estimate of the expenditure required to settle the present obligation at the balance sheet date. Provisions are reversed when they are no longer required. A provision for warranties is recognised when the underlying products are sold. The provision is based on historical warranty data and a weighting of all possible outcomes against their associated probabilities. A provision for restructuring is recognised when the Group has approved a detailed and formal restructuring plan, and the restructuring either has commenced or has been announced publicly.

1.5.21 TRADE AND OTHER PAYABLES Trade and other payables are stated at their repayment amounts. Payables of uncertain timing or amount are shown as accrued charges.

1.5.22 DEFERRED TAXES Deferred tax is calculated using the balance sheet liability method, providing for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted or substantially enacted at the balance sheet date. The following temporary differences are not provided for: - Goodwill not deductible for tax purposes; - The initial recognition of assets or liabilities, other than in the context of transactions involving business

combinations, that affect neither accounting nor taxable profit; - Differences relating to investments in subsidiaries to the extent that they will probably not reverse in the

foreseeable future. A deferred income tax asset is recognized only to the extent that there will be future taxable profits over the next five years against which this asset can be utilized. Deferred income tax assets are reduced to the extent that it is no longer likely that a sufficient taxable benefit will support the asset recovery.

1.5.23 NET DEBT The Net debt is defined netting up the interest bearing loans, borrowings and bank overdraft, minus the cash and cash equivalents. Interest-bearing loans and borrowings refer to any obligation for the repayment of funds received or raised which are subject to repayment terms and interest charges. They also include liabilities on financial lease. Cash equivalent refers to monetary assets that are easily convertible into cash that carry an insignificant risk of change in value and for which maturity from inception falls within 3 months.


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NOTE 2 – CONSOLIDATION SCOPE The Tarkett SA Group’s consolidation scope is as follows. Note 29 provides a list of main consolidated entities.

Number of companies Dec 31, 2011 Acquisitions Mergers Liquidations Dec 31, 2012

Fully consolidated companies 67 10 (3) (2) 72Equity-accounted companies - -Jointly controlled companies subject to proportionate consolidation 2 - - (1) 1

TOTAL 69 10 (3) (3) 73 2.1 SCOPE VARIATION Acquisitions On September 2012, 28th, the Group acquired the Tandus Group in the United States of America in order to enlarge its development on the US flooring markets. Tandus is indeed specialized in the production and the sale of carpet products. Tandus Group is made of 10 legal entities, all held at 100% by the Group and all fully consolidated. The consideration paid for Tandus Group was $354.3 million and included the reimbursement of Tandus debt of $167.9 million. The goodwill calculated on Tandus companies amounts to $225.2 million.

Total consideration paid 354.3Debt reimbursment (167.9) Fair value of identifiable net assets 38.7Total goodwill recorded 225.1

Since its acquisition, Tandus has contributed to the Group performance for $86m of net sales and $14m of EBITDA before unusual items. Full-year contribution of the Tandus group to Tarkett consolidated accounts is estimated to $347m net sales and $60m EBITDA before unusuals.

Tandus GroupSeptember 28, 2012

Intangible assets 1.7Property, plant and equipment 58.9Financial assets 0.5Deferred tax assets 6.1Inventories 52.9Trade and other receivables 44.9Cash and Cash equivalents 27.1TOTAL ASSETS 192.0

Loans and Borrowings 167.9Deferred tax liabilities 10.9Other liabilities non current 11.3Trade and other payables 37.9Other liabilities current 2.8TOTAL LIABILITIES 230.8

TOTAL NET ASSETS ACQUIRED (38.7)

This acquisition was recorded in accordance with IFRS3-r.


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Several points remaining open for detailed analysis the purchase accounting of the Tandus companies is still provisional and will be revised within the limit of 12 months of the acquisition date. Mergers In March 2012, Atlas Tracks Inc. merged with and into Beynon Sport Surfaces Inc. In October 2012, Air Fieldturf Inc merged with and into Fieldturf Tarkett Holding Inc. In November 2012, Tarkett Wykladziny Spzoo merged with and into Tarkett Polska Spzoo. Liquidations In April 2012, Kraus Floor was liquidated. In May 2012, Tarkett Ltd. and Fieldturf IP were liquidated. 2.2 JOINTLY CONTROLLED ENTITIES In April 2012, Kraus Floor has been liquidated, the only remaining jointly controlled entity as of December 2012 is Laminate Park GmbH & Co KG jointly held with Sonae Group in Germany. The impact of the jointly controlled entities on Tarkett SA consolidated statements of financial position and income is the following:

Dec 31, 2012 Dec 31, 2011

Non-current assets 1.2 0.2 Current assets 9.5 9.1 Non-current liabilities (14.2) (13.0) Current liabilities (9.5) (12.4) Net liabilities (13.0) (16.1)

Dec 31, 2012 Dec 31, 2011

Net revenue 27.0 25.4 Net expenses (24.8) (26.5) Profit of the year before tax 2.2 (1.1)

NOTE 3 - EBITDA BEFORE UNUSUAL ITEMS (NON GAAP)

EBITDA before unusual items is a key indicator for the Tarkett Group to measure its operating and recurring performance. It is defined considering the operating income before depreciation and amortization and removing revenues and expenses that are considered as unusual items in nature, i.e.: - Restructuring costs to improve the future profitability of the Group, - Gains or losses on significant asset disposals, - Impairment and reversal of impairment based on Group impairment test only, - Business combination & legal restructuring related costs, including legal fees and transactions costs. - Consulting fees, other provisions and expenses related to share-based payments considered as unusual

items as non cash, - Effects of the measurement of assets classified as held for sale, not applicable on Group 2012 and 2011

consolidated financial statement (the effects of any impairment booked with respect to assets held for sale are also restated to determine a recurring depreciation expense).

The Group’s EBITDA before unusual items breaks down as follows:


19/02/2013 23/49

Invoiced sales 2,429.2 2,429.2 Sales reductions (110.7) (110.7) Net sales 2,318.5 - - - 2,318.5

Cost of sales (1,792.2) 5.0 0.0 3.8 - (1,783.5) Gross profit 526.2 5.0 0.0 3.8 - 535.0

Other operating income 6.4 0.5 (1.5) 5.4 Selling and distribution expenses (214.3) 0.8 (213.5) Research and development expenses (19.8) - (19.8) General and administrative expenses (136.7) 0.9 1.8 3.3 5.3 (125.4) Other operating expenses (10.5) 1.9 (8.6) Operating profit before financing costs 151.3 6.6 1.8 7.6 5.8 173.1

Depreciation and amortization 88.8 (1.8) 87.0 EBITDA 240.1 6.6 0.0 7.6 5.8 260.1

2012Unusual Items on business

combinationsRestructuring

2012 before unusual items

Consulting fees and other provisions

Gains & Losses on significant

disposals/Impairments

Of which unusual items disclosed as follows:

Invoiced sales 2,183.0 - - - - 2,183.0 Sales reductions (94.6) - - - - (94.6) Net sales 2,088.3 - - - - 2,088.3

Cost of sales (1,657.5) 1.4 8.3 - (0.2) (1,648.0) Gross profit 430.8 1.4 8.3 - (0.2) 440.3

Other operating income 12.6 - - (3.9) (0.9) 7.8 Selling and distribution expenses (212.4) 0.7 - - - (211.6) Research and development expenses (18.1) - - - - (18.0) General and administrative expenses (114.0) 2.4 - 1.0 1.1 (109.5) Other operating expenses (7.6) - - - - (7.6) Operating profit before financing costs 91.3 4.5 8.3 (2.9) - 101.3

Depreciation and amortization 98.3 - (8.3) - - 90.0 EBITDA 189.6 4.5 - (2.9) 0.0 191.3

Consulting fees and other provisions

2011 before unusual items

Of which unusual items disclosed as follows:

2011 Restructuring

Gains & Losses on significant

disposals/Impairments

Unusual Items on business

combinations


19/02/2013 24/49

NOTE 4 - SEGMENT INFORMATION By operational segment

2012 Flooring activities

Sports activities

Tarkett Group

Net revenue 2,057.5 260.9 2,318.5

Cost of sales (1,573.4) (218.9) (1,792.2) Selling and distribution expenses (187.7) (26.6) (214.3) Research and development expenses (18.5) (1.4) (19.8) General and administrative expenses (119.2) (17.5) (136.7) Other expenses (4.7) 0.6 (4.1)

Results from operating activities 154.2 (2.8) 151.3

Profit from continuing operations (after tax) 92.0 (6.8) 85.2

Tangible, intangible assets and goodwill 867.7 109.2 976.9

Total assets 1,664.0 215.2 1,879.2

Capital expenditure 80.8 4.2 85.0

Depreciation and amortization (76.8) (12.0) (88.8)

2011 Flooring activities

Sports activities

Tarkett Group

Net revenue 1,866.5 221.8 2,088.3

Cost of sales (1,452.7) (204.8) (1,657.5) Selling and distribution expenses (184.9) (27.5) (212.4) Research and development expenses (17.5) (0.6) (18.1) General and administrative expenses (97.2) (16.8) (114.0) Other expenses 5.7 (0.8) 5.0

Results from operating activities 119.9 (28.6) 91.3

Profit from continuing operations (after tax) 55.5 (30.3) 25.2

Tangible, intangible assets and goodwill 652.7 117.8 770.5

Total assets 1,319.3 236.3 1,555.6

Capital expenditure 75.5 16.3 91.8

Depreciation and amortization (82.1) (16.1) (98.3)


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Invoiced sales by geographical area

Dec 31, 2012 Dec 31, 2011

European Union 752.3 760.1 North America 691.8 547.0

Other OECD countries 56.1 49.6 Emerging countries 929.0 826.2

Tarkett Group 2,429.2 2,183.0

NOTE 5 – OTHER OPERATING INCOME – OTHER OPERATING EXPENSES

2012 2011

Other operating incomeGain on disposal of fixed assets - - Other operating income 6.4 12.6

6.4 12.6

Other operating expensesLoss on disposal of fixed assets - (0.1) Other operating expenses (10.5) (7.5)

(10.5) (7.6) This category includes all operating income and expenses that cannot be directly attributed to business functions.

NOTE 6 – FINANCIAL RESULT

2012 2011

FINANCIAL INCOMEInterest income on loans assets & cash equivalents 1.8 1.4

Other financial income 0.5 0.4 2.3 1.8

FINANCIAL EXPENSESInterest expenses on loans and overdrafts (13.3) (12.7)

Interest expenses on capital leases (0.2) (0.3)

Commissions expenses on financial liabilities (6.6) (2.8)

Interest on provisions for pensions (3.8) (3.5)

Foreign exchange rate losses (2.5) (2.1) Other net financial expenses (0.6) (1.2)

Purchase accounting - (0.2)

Impairment on financial assets (0.1) (0.1) Profit/Gain on disposal of shares (0.1) - Net loss on interest rate instruments 0.2 (0.3)

(27.0) (23.1)

Net finance costs (24.7) (21.3)


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NOTE 7 – INCOME TAX

2012 2011

Current tax (52.5) (34.4) Deferred tax 28.1 (10.5) Deferred tax - Valuation allowance (16.9) 0.0 Total Income tax (41.4) (44.8)

Income tax (current and deferred) is calculated by applying the last known estimated effective tax rate for the prevailing fiscal year for each entity or tax group to the consolidated companies pre-tax income. Theoretical income taxes determined using the French income tax rate of 34,43% for 2012 and 2011 can be reconciled as follows to the actual income tax charge:

2012 2011

Income tax at French income tax rate (43.6) (24.1) Effect of:

Recognition of deferred tax assets relating to previous years 17.7 2.0 Taxation of foreign companies at different rates * 25.0 17.6

Provision for valuation allowance (increase) (26.8) (30.8) Permanent differences-non deductible items (9.6) (6.5) Other items (4.1) (3.0) Income tax expenses (41.4) (44.8)

*The difference with the tax rate at 34,43% is presented here.

NOTE 8 – GOODWILL The evolution of Goodwill can be analysed as follows:

Dec 31, 2012 Dec 31, 2011

Opening carrying amount 276.7 281.5 New goodwill 174.1 1.0

Adjustment to initial purchase price allocation - (3.5) Effects of movements in exchange rates (5.5) 2.9 Impairment - (5.1)

Other 3.7 - Closing carrying amount 449.1 276.8

Impairment losses recognised during 2012 and 2011 can be broken down as follows:

Impairment on Goodwill2012 2011

Flooring activities - - Sports activities - (5.1) Total - (5.1)

An increase of 1% in pre-tax discount rate for all CGU would have generated an impairment expense of the Group intangible assets of (€15.4) million approximately. During the year 2012, goodwill increased by €172.3 million, mainly related to Tandus Group acquisition for €174.1 million.


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NOTE 9 –INTANGIBLE, TANGIBLE AND FINANCIAL FIXED ASSETS

Dec 31, 2012 Dec 31, 2011

Real property and rights equivalents to real property 211.0 205.7 Leased buildings 5.8 7.0 Technical equipment and machinery 183.5 162.0 Leased land and equipment 5.4 7.1 Advance payments and fixed assets in progress 23.6 5.6 Property, plant and equipment (*) 429.4 387.4

Research & development 4.2 3.6 Patents 52.9 64.8 Trademarks 7.8 9.6 Leasehold & similar rights - 0.2 Computer software 24.9 17.9 Other intangible assets 8.5 10.2 Intangible assets 98.5 106.3

Bonds, debenture loan & oth sec. Invest - Long-term 7.1 6.3 Financial investments and receivables - Long-term 23.9 17.0 Loan receivables - Long-term 0.5 0.1 Security deposit - Long-term 3.8 3.3 Other financial assets 35.2 26.7

(*) Equipment which is currently under construction has been allocated to individual items.

Carrying amounts

Impairment losses recognised during 2012 and 2011 can be broken down as follows:

2012 2011

Flooring activities - (13.7) Sports activities - - Total - (13.7)


19/02/2013 28/49

Gross Book Value

Balance at Dec 31, 2011

Additions DisposalsChange in

scopeTransfer

Foreign exchange

differences


Real property and rights equivalents to real property 381.2 2.4 (0.3) 24.2 7.1 (0.3) 414.4 Leased buildings 20.1 - - - - - 20.2 Technical equipment and machinery 976.6 22.1 (18.7) 106.4 19.4 2.8 1,108.7 Leased land and equipment 13.0 - - - 0.1 - 13.1 Advance payments and fixed assets in progress 5.6 42.5 (0.2) 1.3 (25.2) (0.3) 23.6 Total property, plant and equipment 1,396.5 67.0 (19.2) 131.9 1.5 2.2 1,580.0

Research & development 6.9 2.4 (1.4) - 0.2 0.1 8.2 Patents 124.3 0.1 - (1.8) 0.1 (2.2) 120.4 Trademarks 18.8 0.1 - (1.4) - (0.3) 17.2 Leasehold & similar rights 0.5 - - - (0.5) - - Computer software 31.8 14.9 (0.3) 7.6 (2.2) (0.4) 51.3 Other intangible assets 10.8 0.1 (2.6) - 0.3 (0.2) 8.4 Intangible assets in process - 0.4 - - (0.3) (0.0) 0.1 Total intangible assets 193.1 17.9 (4.3) 4.5 (2.5) (3.2) 205.6

Bonds, debenture loan & oth sec. Invest - Long-term 6.3 0.7 - - - (0.0) 7.1 Financial investments and receivables - Long-term 17.0 7.3 - - - (0.4) 23.9 Loan receivables - Long-term 0.1 - (0.1) - 0.5 - 0.5 Security deposit - Long-term 6.7 0.4 (0.1) 0.4 - (0.4) 7.0 Total other financial assets 30.1 8.5 (0.2) 0.4 0.5 (0.8) 38.4


19/02/2013 29/49

Accumulated depreciation and amortization


Depreciation Disposals Reversal ImpairmentChange in

scopeTransfer

Foreign exchange

differences


Real property and rights equivalents to real property (175.5) (16.3) 0.2 1.0 - (12.5) 0.2 (0.5) (203.4) Leased buildings (13.2) (1.2) - 0.2 - - - (0.2) (14.3) Technical equipment and machinery (814.6) (58.0) 18.5 5.6 - (73.9) 0.8 (3.6) (925.1) Leased land and equipment (5.8) (1.9) - - - - 0.0 - (7.7) Total property, plant and equipment depreciation (1,009.1) (77.4) 18.7 6.8 - (86.4) 1.1 (4.2) (1,150.6)

R&D (3.3) (0.5) - 0.1 - - (0.2) (0.1) (4.0) Patents (59.5) (9.2) - - - - - 1.2 (67.5) Trademarks (9.2) (0.6) - 0.4 - - - 0.1 (9.3) Leasehold & similar rights (0.3) - - - - - 0.3 - (0.0) Computer software (13.9) (6.7) 0.3 - - (6.3) (0.1) 0.2 (26.4) Other intangible assets (0.7) (1.7) 2.5 - - - (0.1) 0.1 0.1 Total intangible assets depreciation (86.8) (18.6) 2.8 0.4 - (6.3) (0.1) 1.5 (107.1)

Security deposit - Long-term (3.4) - - - (0.2) - - 0.4 (3.2) Total other financial assets (3.4) - - - (0.2) - - 0.4 (3.2)


19/02/2013 30/49

Gross Book Value


Additions DisposalsChange in

scopeTransfer

Foreign exchange

differences


Real property and rights equivalents to real property 355.8 14.5 (1.3) 1.8 10.8 (0.4) 381.2 Leased buildings 19.3 - - 0.4 - 0.5 20.1 Technical equipment and machinery 926.3 26.6 (8.7) 2.0 27.3 3.2 976.6 Leased land and equipment 7.6 5.2 - 0.3 - - 13.0 Advance payments and fixed assets in progress 18.4 28.9 - - (41.9) 0.2 5.6 Total property, plant and equipment 1,327.2 75.2 (10.0) 4.5 (3.9) 3.5 1,396.5

Research & development 4.3 2.3 - 0.1 - 0.1 6.9 Patents 120.5 0.2 - - (0.3) 3.9 124.3 Trademarks 16.0 - - 2.6 (0.1) 0.2 18.8 Leasehold & similar rights 0.5 - - - - - 0.5 Computer software 13.8 13.8 - - 3.8 0.4 31.8 Other intangible assets 2.1 5.3 (2.0) 4.6 - 0.8 10.8 Intangible assets in process - - - - - - - Total intangible assets 157.2 21.6 (2.0) 7.4 3.4 5.5 193.1

Bonds, debenture loan & oth sec. invest- Long-term 0.0 - (0.0) - 6.3 - 6.3 Financial investments and receivables - Long-term 19.7 (1.7) (0.1) - (1.4) 0.5 17.0 Loan receivables - Long-term 0.8 - (0.1) - (0.6) - 0.1 Security deposit - Long-term 7.5 0.2 (0.8) - - (0.2) 6.7 Total other financial assets 28.0 (1.5) (0.9) - 4.3 0.2 30.1


19/02/2013 31/49

Accumulated depreciation and amortization


Depreciation Disposals Reversal ImpairmentChange in

scopeTransfer

Foreign exchange

differences


Real property and rights equivalents to real property (157.5) (14.9) 0.3 1.0 (4.7) - - 0.3 (175.5) Leased buildings (11.6) (1.1) - 0.2 (0.4) - - (0.3) (13.2) Technical equipment and machinery (762.7) (55.5) 8.5 5.8 (8.4) - 0.1 (2.5) (814.6) Leased land and equipment (2.3) (2.0) - - (0.2) - (1.3) - (5.8) Total property, plant and equipment (934.2) (73.5) 8.8 7.1 (13.6) - (1.2) (2.5) (1,009.1)

R&D (2.6) (0.5) - - - (0.1) - (0.1) (3.3) Patents (49.0) (8.6) - - (0.1) - 0.3 (2.2) (59.5) Trademarks (7.4) (2.5) - 0.7 - - 0.2 (0.1) (9.2) Leasehold & similar rights (0.3) - - - - - - - (0.3) Computer software (12.1) (1.6) - - - - (0.1) - (13.9) Othert intangible assets (2.1) (0.5) 2.0 - - - - - (0.7) Total intangible assets depreciation (73.6) (13.7) 2.0 0.7 (0.1) (0.1) 0.4 (2.4) (86.9)

Security deposit - Long-term (3.6) (0.1) - - - - - 0.3 (3.4) Total other financial assets (3.6) (0.1) - - - - - 0.3 (3.4)


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NOTE 10 – INVENTORIES

Dec 31, 2012 Dec 31, 2011

Raw materials and supplies 125.7 101.3 Work in progress 41.5 38.6 Finished goods 212.1 179.1 Total Gross value 379.4 319.0 Provisions for inventory depreciation (40.3) (34.7) Total Inventories 339.1 284.3

Tandus impact amounts to €32.5m.

NOTE 11 – TRADE RECEIVABLES

Dec 31, 2012 Dec 31, 2011

Related party receivables 0.9 0.2 Third party receivables 302.4 302.3 Total Gross value 303.3 302.5 Provisions for doubtful receivables (20.2) (18.9) Total Trade receivables 283.1 283.6

Tandus impact amounts to €29.9m.

NOTE 12 – OTHER RECEIVABLES

Dec 31, 2012 Dec 31, 2011

Total Other receivables non current - - Prepaid expenses current 10.4 10.6 Income tax receivable current 9.3 8.6 VAT receivable current 20.6 16.5 Prepayment to suppliers current - 0.6 Other accounts receivables and other assets current 26.4 18.8 Total Other receivables current 66.7 55.2

NOTE 13 – SHARE CAPITAL Share capital At December 31, 2012 the Company’s share capital amounts to €316 108 260 similar as at December 31, 2011 and is divided into 15 805 413 shares of a nominal amount of €20 each similar as at December 31, 2011.

NOTE 14 – EARNINGS PER SHARE Basic earnings per share Basic earnings per share for the 2012 are calculated on the basis of the Group’s share of net profit and on the weighted average number of shares outstanding during the period (i.e. after deduction of the weighted average number of treasury shares).


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Weighted average number of shares outstanding In thousands of shares 2012 2011

Number of shares as at January 1st 15,805 15,805 Number of treasury shares held by Tarkett SA as at January 1st - - Number of shares at Dec 31, 2012 15,805 15,805

NOTE 15 – NET DEBT – INTEREST-BEARING LOANS AND BORROWINGS Net debt

Dec 31, 2012 Dec 31, 2011

Interest-bearing loans and borrowings - non current 342.8 270.4 Interest-bearing loans and borrowings - current 190.8 115.7 Cash and cash equivalents (81.4) (53.9) Total Net Debt 452.2 332.1

Interest bearing loans and borrowings

Non-current Current Non-current Current

Bank loans (secured) - 0.1 0.1 2.0 Bank loans (unsecured) 334.3 177.3 261.5 47.7 Bond issues (unsecured) - - Other loans (unsecured) 7.5 8.1 7.0 56.6 Bank overdrafts (unsecured) 4.3 - 7.6 Finance lease obligations 1.0 1.0 1.8 1.8 Total interest-bearing loans and borrowings 342.8 190.8 270.4 115.7

Dec 31, 2012 Dec 31, 2011

The unsecured bank loans include mainly: (i) A European private placement of €114.0 million maturing in May 2014,

(ii) €219.3 million drawn against a multicurrency and multi-borrower syndicated revolving facility executed by Tarkett SA on June 27, 2011 for up to €450.0 million and maturing in June 2016.

(iii) A term loan of €150.0 million maturing in August 2013. The other unsecured loans contain mainly €25.2 million drawn against a €55.0 million factoring facility. The facilities mentioned above contain covenants which are binding on the borrowing company. The Group complies with all covenants requirements as at December 31, 2012.


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Details of loans and borrowings

Dec 31, 2012

Currency Interest Rate Dec 31,

2012

12 months or less

until 12/31/13

2 years until

12/31/14

3 to 5 years until 12/31/17

More than 5 years

Unsecured loansCredit Facilities Europe EUR 1.4%-2.8% 264.0 150.0 114.0 Credit Facility Europe EUR 1.0% 120.0 120.0 Credit Facility Europe USD 1.1% 99.3 99.3 Other bank loans EUR 3.4%-5.1% 3.1 2.1 0.4 0.6 Secured loansBank loans North America USD 6.9% 0.1 0.1 Bank loans Eastern Europe UAH-RSDTotal Bank loans 486.5 152.2 114.4 219.9 - Asset backed facilities (1) EUR 0.6% 25.2 25.2 Other loans EUR 0.2%-2.6% 15.6 8.1 7.2 0.3 Bank overdrafts 4.3 4.3 Finance lease obligations 2.0 1.0 0.3 0.4 0.3 Total Interest-bearing loans and borrowings 533.6 190.8 121.9 220.6 0.3

(1) one-year renewable facility

Dec 31, 2011

Currency Interest Rate Dec 31,

2011

12 months or less until

12/31/12

2 years until

12/31/13

3 to 5 years until 12/31/16

More than 5 years

Unsecured loansCredit Facilities Europe EUR 1.5%-4.1% 144.0 30.0 - 114.0 - Credit Facility Europe EUR 2.0% 45.0 - - 45.0 - Credit Facility Europe USD 0.8%-1.2% 115.2 14.7 100.5 - Other bank loans EUR 2.5%-5.3% 5.0 3.0 1.3 0.7 - Secured loansBank loans North America USD 3.3% 0.2 0.1 0.1 - - Bank loans Eastern Europe UAH-RSD 11.3%-13% 1.9 1.9 - - - Total Bank loans 311.3 49.7 1.4 260.2 - Asset backed facilities (1) EUR 1.6% 30.7 30.7 - - - Other loans EUR 0.5%-3.8% 32.9 25.9 6.6 0.3 0.1 Bank overdrafts 7.6 7.6 - - - Finance lease obligations 3.6 1.8 1.0 0.7 0.1 Total Interest-bearing loans and borrowings 386.1 115.7 9.0 261.2 0.2

NOTE 16 – OTHER FINANCIAL LIABILITIES

Dec 31, 2012 Dec 31, 2011

Total Other financial liabilities non current 6.8 8.8 Accrued interest expenses current 0.8 1.4 Fair value of derivatives current 8.8 9.7 Other financial liabilities current 2.0 0.9 Total Other financial liabilities current 11.6 11.9


19/02/2013 35/49

NOTE 17 – TRADE PAYABLES

Dec 31, 2012 Dec 31, 2011

Trade payables 219.8 187.1 Trade notes payable - - Related party payables 1.9 2.2 Total Trade payables 221.7 189.3

NOTE 18 – OTHER LIABILITIES

Dec 31, 2012 Dec 31, 2011

Liabilities related to employees 79.1 64.7 Income tax 12.6 2.2 VAT and other taxes 11.0 12.3 Sales rebates 34.0 27.4 Accrued charges 26.7 20.6 Other liabilities 26.5 16.5 Total Other liabilities 189.9 143.6

NOTE 19 – DEFERRED TAX Deferred taxation is shown on the balance sheet separately from current tax assets and liabilities and categorized among non-current items.

Dec 31, 2012 Dec 31, 2011

Deferred tax assets Net operating losses and credits carried forward 179.7 167.8 Provision for valuation allowance on net operating losses and credits carried forward DTA for pensions and healthcare benefits 25.8 10.2

Other items temporarily non deductible 72.1 80.7 Provision for valuation allowance on other deferred tax assets Internal profit eliminations 4.6 4.6

Netted against deferred tax liabilities (51.0) (55.0) Total Deferred tax assets 96.7 81.6

Deferred tax liabilities Fixed assets revaluation 43.3 44.7 Other deferred tax liabilities 13.1 15.7

Netted against deferred tax assets (51.0) (55.0)Total Deferred tax liabilities 5.4 5.4

(111.7) (121.8)

(12.7) (15.0)

Deferred tax assets for tax losses and unused tax credits carried forward are recognized for a cumulated amount of €58 million of which €38.7 million relate to the affiliates within the US tax group and €4.4 million relate to the French tax Group, and €7.0 million relates to the affiliate in Canada.


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NOTE 20 – PROVISIONS


Allowance Decrease Tax allowance Change in

Scope Transfer

Foreign exchange gain

& loss


Product warranty provision - Long-term 1.7 0.1 (0.3) - 0.7 - - 2.2 Restructuring provisions - Long-term 0.0 - - - - - - 0.0 Claims & litigations provisions - Long-term 2.2 1.1 (0.9) - - - - 2.3 Other provisions - Long-term 4.5 0.1 (0.3) - - (0.8) - 3.6 Provision for additional tax assessments - Long-term 5.1 - (0.1) 0.3 - (4.4) 0.1 1.0 Financial provisions - Long-term 21.8 7.8 - - - - (0.6) 29.0 Total Provisions - Long-term 35.2 9.1 (1.6) 0.3 0.7 (5.1) (0.5) 38.1

Product warranty provisions - short-term 5.5 0.2 (0.8) - 2.1 3.4 - 10.6 Restructuring provisions - short-term 3.7 2.8 (2.5) - - (0.6) - 3.5 Claims & litigations provisions - short-term 21.7 7.5 (6.2) - - (1.0) (0.2) 21.7 Other oper. provisions - short-term 0.2 0.4 (0.2) - - - - 0.4 Provision for financial risks - - - - - - - - Total Provisions - Short-term 31.1 10.9 (9.6) - 2.1 1.8 (0.2) 36.2

Total Provision current & non-current 66.4 20.1 (11.2) 0.3 2.8 (3.4) (0.6) 74.3


Allowance Decrease Tax allowance Change in

Scope Transfer

Foreign exchange gain

& loss


Product warranty provision - Long-term 1.3 0.4 (0.3) - - 0.2 - 1.7 Restructuring provisions - Long-term - - - - - - - - Claims & litigations provisions - Long-term 1.8 0.4 (0.1) - - - - 2.2 Other provisions - Long-term 3.3 - (1.6) - 0.6 2.3 - 4.5 Provision for additional tax assessments - Long-term 4.7 - (0.2) 0.7 - (0.1) 0.1 5.1 Financial provisions - Long-term 21.0 0.1 - - - - 0.7 21.8 Total Provisions - Long-term 32.1 0.9 (2.1) 0.7 0.6 2.4 0.8 35.2

Product warranty provisions - Short-term 12.2 0.5 (4.2) - - (2.8) (0.2) 5.5 Restructuring provisions - Short-term 3.4 2.3 (2.0) - - - - 3.7 Claims & litigations provisions - Short-term 10.2 11.5 (4.5) - - 3.7 0.8 21.7 Other oper. provisions - Short-term 0.6 0.1 - - - (0.4) - 0.2 Total Provisions - Short-term 26.4 14.4 (10.7) - - 0.5 0.6 31.1

Total Provision current & non-current 58.5 15.3 (12.9) 0.7 0.6 2.9 1.4 66.4

NOTE 21 – EMPLOYEE BENEFITS

Provisions for pensions and post-employment healthcare benefits In accordance with laws and practices of each country in which it operates, Tarkett participates in, or maintains, employee benefit plans providing retirement pensions, post-retirement health care, other long-term benefits (jubilees) and post-employment benefits (retirement indemnities, pre-retirement) to eligible employees, former employees, retirees and their beneficiaries fulfilling the required conditions. Valuation of these obligations is carried out yearly at the balance sheet date by independent actuaries.


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Amounts recognized in the statement of financial position

Pensions

Post-employment healthcare

benefits

TOTAL Pensions


benefits

TOTAL

Present value of funded obligations 154.5 - 154.5 136.7 - 136.7 Fair value of plan assets 74.3 - 74.3 68.0 - 68.0 Deficit (surplus) for funded plans 80.2 - 80.2 68.7 - 68.7 Present value of unfunded obligations 51.2 1.8 53.0 37.8 1.7 39.4 Unrecognized net actuarial gain/(loss) - - - - - Unrecognized past service (cost) benefit 0.4 - 0.4 0.5 - 0.5 Effect of paragraph 58(b) limit (including IFRIC 14 requirements) - - - 0.8 - 0.8 Change in scope of consolidation 8.6 - 8.6 Net liability/asset 140.4 1.8 142.2 107.7 1.7 109.4

Amounts recognised in the income statement

Pensions


benefits

TOTAL Pensions


benefits

TOTAL

Current service cost 1.9 - 1.9 2.1 - 2.1 Interest cost 7.9 0.1 8.0 7.8 0.1 7.9 Expected return on plan assets (4.2) - (4.2) (4.4) - (4.4) Amortization of past service cost (0.1) - (0.1) (0.1) - (0.1) Amortization of net (gain) / loss - - - - - - Effect of paragraph 58(b) limit (including IFRIC 14 requirements) - - - - - - Curtailment (gain) / loss recognized - - - - - - Settlement (gain) / loss recognized - - - (0.5) - (0.5) Total expenses included in income statement 5.4 0.1 5.6 4.8 0.1 4.9

Amounts recognized in statement of comprehensive income (gross of tax)

Pensions


benefits

TOTAL Pensions


benefits

TOTAL

Actuarial (gains) / losses immediately recognized 29.6 0.2 29.8 8.2 0.0 8.3 Effect of paragraph 58(b) limit (including requirements for IFRIC 14) (0.8) - (0.8) (0.3) - (0.3) Total pension cost recognized in the OCI 28.7 0.2 28.9 7.9 0.0 7.9

Cumulative amount of actuarial gains and losses recognized in OCI 85.6 (1.9) 83.8 56.9 (2.1) 54.8

Dec 31, 2012 Dec 31, 2011

Dec 31, 2012 Dec 31, 2011

Dec 31, 2012 Dec 31, 2011

Change in net liabilities recognized in the balance sheet

Pensions


benefits

TOTAL Pensions


benefits

TOTAL

Balance sheet liability/asset at beginning of year 107.7 1.7 109.4 103.5 1.8 105.3 Total expenses recognized in income statement 5.4 0.1 5.5 4.8 0.1 4.9 Amounts recognised in OCI in the financial year 28.7 0.2 28.9 7.9 - 7.9 Employer contributions made in the financial year (5.1) (0.1) (5.2) (5.2) (0.3) (5.4) Benefits paid directly by company in the financial year (4.2) (4.2) (4.0) - (4.0) Business combinations / divestitures / transfers - - (0.6) - (0.6) Exchange rate adjustment - (gain)/loss 0.5 0.5 1.3 - 1.3 Change in scope of consolidation 7.4 7.4 Balance sheet liability/asset as at end of year 140.4 1.9 142.2 107.7 1.7 109.4

Change in benefit obligation

Pensions


benefits

TOTAL Pensions


benefits

TOTAL

Benefit obligation at beginning of year 174.5 1.7 176.1 164.2 1.8 166.0 Current service cost 1.9 - 1.9 2.1 - 2.1 Interest cost 7.9 0.1 8.0 7.8 0.1 7.9 Plan participants' contributions 0.1 - 0.1 0.1 0.1 0.1 Amendments - - - - - Actuarial (gain)/loss 31.9 0.2 32.1 8.3 0.0 8.4 Benefits paid from plan/company (10.2) (0.1) (10.3) (9.9) (0.3) (10.2) Expenses paid (0.1) - (0.1) (0.1) - (0.1) Business combinations / divestitures / transfers - - - 5.3 - 5.3 Plan curtailments - - - - - Plan settlement - - - (6.9) - (6.9) Exchange rate changes (0.2) - (0.2) 3.5 - 3.5 Change in scope of consolidation 8.7 8.7 Benefit obligation at end of year 214.5 1.9 216.3 174.4 1.7 176.1

Dec 31, 2012 Dec 31, 2011

Dec 31, 2012 Dec 31, 2011


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Change in plan assets

Pensions


benefits

TOTAL Pensions


benefits

TOTAL

Fair value of plan assets at beginning of year 68.0 - 68.0 62.4 - 62.4 Expected return on plan assets 4.2 - 4.2 4.4 - 4.4 Actuarial gain/(loss) on plan assets 3.7 - 3.7 0.1 - 0.1 Employer contributions (incl. employer direct benefit payments)

9.3 0.1 9.4 9.7 0.3 10.0

Plan participants' contributions 0.1 - 0.1 0.1 0.1 0.1 Benefits paid from plan/company (10.2) (0.1) (10.3) (9.5) (0.3) (9.8) Expenses paid (0.1) - (0.1) (0.1) - (0.1) Plan settlement - - - (2.7) - (2.7) Business combinations / divestitures / transfers - - - 5.9 - 5.9 Exchange rate changes (0.7) - (0.7) (2.4) - (2.4) Fair value of plan assets at end of year 74.3 0.0 74.3 68.0 0.0 68.0

Dec 31, 2012 Dec 31, 2011

Hypothesis The actuarial accounting valuations are based on assumed future increases in salaries and benefits as well as on a long-term interest rate. The main assumptions are in average as follows:

Pensions Post-employment healthcare benefits

Pensions Post-employment healthcare benefits

Discount rate 3.65% 4.64%Including: US 4.00% 4.00% 4.85% - 5.10% 5.10% Germany 2.80% 4.75% Sweden 3.50% 3.50% UK 3.90% 4.65%

Expected return on plan assets n/a n/a 6.37% n/aIncluding: US n/a 7.25% Germany n/a 4.50% Sweden n/a n/a UK n/a 5.16%

Salary increases 2.98% 2.65% n/aInflation 2.12% 2.20% n/aHealthcare cost increases n/a 8.00% - 5% (2019) n/a 8.50% - 5% (2019)

Dec 31, 2011Dec 31, 2012

Percentage of plan assets by asset allocation The funds are allocated to:

Dec 31, 2012 Dec 31, 2011- Equity 48.2% 47.7%- Bonds 28.2% 29.2%- Real Estate 2.7% 2.8%- Other 20.9% 20.4% The expected return on plan assets is determined for each plan according to the portfolio composition and the expected performance of each component. Actuarial gains (losses) due to experience adjustments amounted to €(0.4) million for the “defined benefit obligations” and to €3.7 million for the plan assets. Actual return on assets amounts to €7.9 million. Expected employer contributions for 2013 amount to €9.5m.


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Sensitivity to the medical cost trend rate

Dec 31, 2012 Dec 31, 2011Increase of one percentage pointDefined Benefit Obligation 13.8 13.0 Service and interest costs 0.6 0.6

Decrease of one percentage pointDefined Benefit Obligation (13.4) (12.4) Service and interest costs (0.6) (0.6)

NOTE 22 – PERSONNEL COSTS AND DIRECTORS’ REMUNERATION

Dec 31, 2012 Dec 31, 2011

Wages and salaries (452.0) (400.8) Pension costs (6.3) (4.9) Total Personnel costs (458.3) (405.7)

Number Employees (average number) 9,896.0 9,357.0 Directors remuneration

2012 2011

Remuneration of :- members of the Executive Management Commitee 5.0 3.9- members of the Supervisory Board - - Total 5.0 3.9

NOTE 23 – SHARE-BASED PAYMENT TRANSACTIONS

MANAGEMENT EQUITY PLAN Tarkett has implemented a management equity plan according to which certain managers have been entitled to purchase shares of Tarkett SA (Free shares plan) or Partholdi (a company held by S.I.F. SA, the holding company of Tarkett, that owns Tarkett SA’s shares) with effect on November 2007. Upon an exit event (IPO or private sale of Tarkett shares by S.I.F. SA), the managers shares will give rights to either free shares or will gain value through a dilution of S.I.F. SA within Partholdi. The free shares to be granted as well as the relution effect have been analyzed as being in the scope of IFRS 2 “Share-based payments”. A valuation of the fair value of the equity instruments granted has been achieved using a Montecarlo valuation for options features. The overall value of the free shares amounts to €6.8 million of which an amount of €0.5 million was expensed in 2012 (similar to last four years). LONG-TERM INCENTIVE From December 22, 2011 a long-term Incentive Plan has been implemented for selected key executives of the Group.


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The preference free shares shall be awarded to the beneficiaries at the end of a vesting period ending June 30st, 2014, provided that an economic performance condition is satisfied (based on Group 3 years plan) and the beneficiaries have been continuously employed until June 30st, 2014. This plan is to be placed under IFRS2 treatment “share-based payment” (equity settled plan). The final amount granted will be calculated mid-2014 and the granted shares can be sold after July 2016 (to be noted that the Group has not issued any definite commitment that the shares would be repurchased after 2016). The target amount of free shares to distribute is estimated at 52 900 as at December 31st, 2012 (63 000 as at December 31st, 2011). The fair market value at the time of the issuance of the plan is calculated as follows: 7xEBITDA* less Net debt. This has been estimated at €91 per share based on December 31st, 2012 figures (€60 per share on December 2011). The expense in 2012 amounts to €1.9m before tax (€41k in 2011), and it has been booked as administrative expense in the P&L with a counterpart in equity.

From December 17, 2012 a second long-term Incentive Plan has been implemented for selected key executives of

the Group. The preference free shares shall be awarded to the beneficiaries at the end of a vesting period of June 30st, 2015, provided that an economic performance condition is satisfied (based on the Group 3 years business plan) and the beneficiaries have been continuously employed until June 30st, 2015. This plan is to be placed under IFRS2 treatment “share-based payment” (equity settled plan). The final amount granted will be calculated mid 2015 and the granted shares can be sold immediately after being granted. The Group may decide in 2015 to grant, instead of shares, the equivalent value in cash, (calculated on the market price if the company is listed, or Fair Market Value if the company is not listed). The target amount of free shares to distribute is estimated at 68 900 as at December 31st, 2012. The fair market value at the time of the issuance of the plan is calculated as follows: 7xEBITDA* less Net debt. This has been estimated at €91 per share based on December 31st, 2012 figures.

The expense in 2012 amounts to €68k before tax, and it has been booked as administrative expense in the P&L with

a counterpart in equity.

NOTE 24 – FINANCIAL RISKS AND FINANCIAL INSTRUMENTS

Exposure to interest rate, currency, liquidity and credit risk arises in the normal course of Tarkett’s activities. Derivative financial instruments are used to reduce the exposure to fluctuations in both foreign exchange and interest rates. While transactions are subject to the risk of market changes, such changes are generally offset by opposite effects on the hedged items. Liquidity and credit risk are managed following risk management policies approved by the Group’s executive board. 1 - FINANCIAL MARKET RISKS Fair values of the financial instruments The fair values of the Group’s financial instruments are recorded into the balance sheet in “Other financial liabilities, current” for what concerns derivatives hedging future cash flows, and in the relevant accounts for what concerns derivatives hedging on recorded items. It amounts to the following figures:

Dec 31, 2012 Dec 31, 2011

Currency swaps (0.1) (0.6) Term forward contracts - - Options 0.5 (0.8) Total foreign currency derivatives 0.4 (1.4)

Fair value hedge swaps - - Cash flow hedge swaps (3.7) (3.6) Options cash flow hedge (5.3) (5.0) Total interest rate derivatives (9.1) (8.6)


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1.1 Interest rate risk The exposure to the interest rate risk is managed in a centralized manner by the Group. The general debt strategy defined by the Group consists of giving preference to variable interest rate debt over fixed interest rate debt, but also to protect a significant part of the debt over a period of three to five years against a rate increase which would result in an extensive damage. The hedging tools used are mainly cap or tunnel type derivatives. In certain circumstances, swaps have been entered into to fix rates. Following is the interest rate structure of the net debt. Net debt is defined as interest-bearing loans minus cash and cash equivalents. Before interest rate hedge:

Dec 31, 2012 Dec 31, 2011

Fix rate debt 3.0 5.0Floating rate debt 530.7 381.1Cash and cash equivalents (81.4) (53.9) Net debt 452.2 332.2 After interest rate hedge:

Dec 31, 2012 Dec 31, 2011

Fix rate debt 117.0 119.0Floating rate debt capped 102.7 103.2Floating rate debt 313.9 163.9Cash and cash equivalents (81.4) (53.9) Net debt 452.2 332.2 Interest rate derivatives The Group adopts a policy of ensuring that its exposure to change in interest rates on floating rate loans and deposits is reasonably protected against significant adverse changes over one to five years. The financial instruments hedging floating rate debt are classified as cash flow hedges and recognised at fair value. At the balance sheet date, they represented a total notional amount of €216.7 million maturing over the next five years, and consisting of caps or collars for €102.7 million and swaps for €114.0 million. Their fair value is calculated using the market rates prevailing at the balance sheet date as obtained from financial service companies. The fair value of the Group’s interest rate cash flow hedges at the balance sheet date amounted to a latent liability of € 9.0 million (2011: liability of €8.6 million). The net effect of their variations in the income statement of the year represents a gain of €0.2 million (2011: gain of €0.4 million). Sensitivity analysis The Group incurs a risk on its results with the fluctuation of interest rates on interest-bearing financial instruments indexed on floating rates. Further, the interest rate derivatives qualified as cash flow hedges have an impact on equity. The sensitivity to interest rates variation of the financial instruments is calculated on the basis of interest-bearing non-derivatives and derivative financial instruments. Non derivative financial instruments are the interest-bearing borrowings net of cash and cash equivalents, and net of interest bearing loans granted to third parties or joint-ventures. The analysis is based on the assumption of a constant debt nominal and debt management over 1 year from December 31, 2012. Based on this, due to the current level in interest rates and the rate fixing of the currently outstanding financial instruments, an instantaneous increase of all interest rates by 1% would result in an increase of €2.2 million before tax (2011: €0.8 million), and an instantaneous decrease of all interest rates by 1% or to 0% when applicable would result in a decrease of €0.2 million before tax (2011: €0.4 million).


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1.2 Exchange rate risk Transaction risk Exchange rate fluctuations have a direct impact on the Group’s consolidated financial statements, derived from transactions regarding the Group entities which incur revenues and expenses in currencies other than their functional currency. The Group has attempted to develop its production capacities in the same geographic and monetary areas where it distributes its products. Moreover, through the choice of the invoicing currency for certain intra-Group transactions, the Group aims to offset revenues with costs in the same currency. In certain unstable currency countries, the Group may also compensate the local currencies variations with price indexations. Therefore the remaining exposure on cross-border transactions is limited. The currencies to which the Group is most exposed are the US dollar, the British pound, the Australian dollar, the Norwegian crown, the Polish zloty, the Russian rubble and the euro as a foreign currency for the Swedish, Russian and Serbian subsidiaries. The Group has attempted to reduce the impact of short-term fluctuations of currencies on its revenue through a centralized management of exchange risks and the use of derivatives. Nevertheless, in the long-term, the significant and long lasting variations in exchange rates, in particular those of the US dollar and the Russian rubble, could affect the Group’s competitive position in the foreign markets and its results of operations. The Group hedges at least 75% of its remaining net estimated short term exposure. This exposure includes a recorded exposure, which is made of all recognized trade receivables, trade payable and borrowings denominated in a foreign currency, and an unrecorded exposure, which is the forecasted sales and purchases over a six-month period. Foreign exchange exposures and derivatives As at closing date, the recorded exposure over the main currencies, and the exchange rate derivatives hedging recorded exposures, are as follows:

Exposition currency USD GBP AUD EUR USD GBP AUD EURFinancial recorded exposure 55.6 (5.3) 2.4 0.2 4.9 7.1 1.6 (11.9) Operating recorded exposure -0.7 2.4 2.9 (4.6) 2.2 4.9 4.9 5.2 Hedging on recorded exposure (58.8) 0.7 (6.3) 0.7 (6.3) (11.8) (5.8) 11.9 Net recorded Group exposure on main currencies (3.9) (2.2) (1.0) (3.7) 0.8 0.2 0.7 5.2

Dec 31, 2012 Dec 31, 2011

Tarkett uses forward exchange contracts and options to hedge its exposure to foreign currency risk in respect of both recognised receivables and payables and forecasted transactions covering a forward six-month period. When necessary, forward exchange contracts are rolled over. Tarkett classifies the currency hedging contracts covering operating transactions as cash flow hedges and records them at fair value in the balance sheet. The fair value of these contracts at the balance sheet date amounted to a latent asset of €0.5 million (2011:liability of €0.8 million). Of this fair value, the amount reported directly in equity is an unrealised loss of €0.1 million (2011:unrealised loss of €0.8 million). The difference is recognised in the income statement and represents the change in the time value of currency options hedging forecasted transactions and in the fair value of forward contracts hedging recognised transactions. The net effect of fair value variations in the income statement of the year represents a revenue of €0.2 million (2011: charge of €0.2 million). All the potential gains and losses reported directly in equity are expected to enter into the determination of profit and loss of the coming 12 months. Monetary items denominated in foreign currencies When financing its foreign subsidiaries, the Group incurs exposure to foreign currency risk on intra-group loans and borrowings denominated in foreign currencies. The Group minimises this risk either (i) by borrowing in the same currency or (ii) by entering into currency swaps or forwards reflecting the maturity of the hedged item, with the aim that fluctuations in the swaps’ fair values will offset, in profit or loss, the foreign exchange gains and losses arising from conversion of the hedged monetary items.


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At December 31, 2012, the main financial exposures so covered are Euro against US dollar for €57.2 million, against British pound for €5.3 million and against Swedish crown for €2.9 million. The fair value of these contracts, at the balance sheet date amounted to a latent liability of €0.1 million. Sensitivity analysis As at December 31, 2012, a general and instantaneous increase or decrease by 10% of Euro against all currencies, when applied on the net recorded exposure after hedging and all other variables being equal, would have the following effect on the result before tax entity:

Currency of exposure USD GBP AUD EUR USD GBP AUD EURIncrease of € by 10% 0.3 0.2 0.1 0.3 (0.1) - (0.1) 0.5 Decrease of € by 10% (0.4) (0.2) (0.1) (0.4) 0.1 - 0.1 (0.5)

Dec 31, 2012 Dec 31, 2011

2 - LIQUIDITY RISKS 2.1 Future cash flows over financial instruments The following figures show the estimated future cash flows over the interest-bearing loans and borrowings. The amounts in currency are converted at closing rate. The estimate of the future cash flows on interests is based on the forecasted debt amortization, and the future floating rate interests are calculated on the assumption of a crystallisation of the interest rates outstanding as of the closing date, except if a better estimate is available. Financial liabilities 12 months or less 2 years 3 to 5 years More than 5 years

Carrying amount

Contractual cash flow

nominal interests nominal interests nominal interest nominal interest

Interest bearing loansBank Loans 486.5 500.1 152.2 6.1 114.4 4.0 219.9 3.5 - Asset backed facility 25.2 25.3 25.2 0.1 Other Loans 15.6 16.0 8.1 0.2 7.2 0.2 0.3 Bank overdrafts 4.3 4.3 4.3 Finance lease obligations 2.0 2.0 1.0 0.3 0.4 0.3 Total 533.6 547.7 190.8 6.4 121.9 4.2 220.6 3.5 0.3 -

Other Financial LiabilitiesTrade Payable 221.7 221.7 221.7 - - - - - - - Other Financial Liabilities non current 6.8 6.8 - - 4.5 - 2.3 - - - Other Financial Liabilities current 11.6 11.6 11.6 - - - - - - - Total 240.2 240.2 233.4 - 4.5 - 2.3 - - - TOTAL FINANCIAL LIABILITIES 773.8 787.9 424.2 6.4 126.4 4.2 222.9 3.5 0.3 -

Dec 31, 2012

Financial liabilities 12 months or less 2 years 3 to 5 years More than 5 years

Carrying amount

Contractual cash flow

nominal interests nominal interests nominal interests nominal interests

Interest bearing loansBank Loans 311.3 332.6 49.7 6.9 1.4 6.8 260.2 7.6 - - Asset backed facility 30.7 30.9 30.7 0.2 - - - - - - Other Loans 32.9 33.8 25.9 0.7 6.6 0.2 0.3 - 0.1 - Bank overdrafts 7.6 7.6 7.6 - - - - - - - Finance lease obligations 3.6 3.6 1.8 - 1.0 - 0.7 - 0.1 Total 386.1 408.5 115.7 7.8 9.0 7.0 261.2 7.6 0.2 -

Other Financial LiabilitiesTrade Payable 189.3 189.3 189.3 - - - - - - - Other Financial Liabilities non current 8.8 8.8 - - 5.3 - 3.5 - - - Other Financial Liabilities current 11.9 11.9 11.9 - - - - - - - Total 210.0 210.0 201.2 - 5.3 - 3.5 - - - TOTAL FINANCIAL LIABILITIES 596.1 618.5 316.9 7.8 14.3 7.0 264.7 7.6 0.2 -

Dec 31, 2011


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2.2 Liquidity position As of December 31, 2012 the consolidated net debt (current and non-current loans and financial interest-bearing debts minus cash and cash equivalents) of the Group is equal to €452.2 million over a total debt capacity of €874.9 million used in the amount of €533.6 million (see note 15). The liquidity position of the Group amounts to €421 million, and is enough to cover the financial obligations related to the financial debt in 2012.

Dec 31, 2012 Dec 31, 2011

Amount available on credit facilities 339.6 392.2Cash and cash equivalents 81.4 53.9

421.0 446.1 The €450.0 million syndicated facility, the €150 million and the €114.0 million term loans contain obligations which are all based on the main following covenants: - the ratio Net debt / EBITDA (as adjusted according to the definition of the credit agreements) must be lower

than 3.0 - the ratio EBITDA / Net interests expenses (as adjusted according to the definition of the credit agreements)

must be higher than 2.5 - cross-acceleration above certain materiality thresholds and material adverse change clauses.

As at December 31, 2012, the Group complies with these covenants. 3 - CREDIT RISK Credit risk represents the risk of financial loss for the Group in case counterparty to a financial instrument would default in paying its contractual obligations. The financial assets potentially bearing this risk are mainly:

- cash deposits and investments, - financial derivatives, - accounts receivables, - loans granted.

The maximum potential credit risk on the financial assets is equal to their net accounting value, diminished by the indemnification receivable from credit insurances. 3.1 Customer credit risk The Group considers that the exposure to counterparty risk in accounts receivables is limited, because of the great number of customers, its dispersion in many geographical areas, its follow-up policy and its world credit insurance scheme that has been expanded to a wider perimeter of subsidiaries during the year. The Group has established a credit policy which includes, among other, one credit limit for each customer, collections processes, and a computer-aided credit scoring and customer payment behaviour follow-up. Moreover, the Group credit insurance scheme not only provides a hedge of the maximum potential loss in certain countries or business zones but also assistance and coordination in case of negotiations with counterparties at risk. Therefore the maximum potential counterparty risk on the accounts receivables is equal to the net accounting value of these assets minus the maximum indemnification receivable under the insurance scheme. The total of receivables overdue over 90 days amounts to circa 8.6% of the total amount of accounts receivables at the December 31, 2012 (8.1% of the total amount of accounts receivables at December 31, 2011). The Group considers that there is no presumption of risks on outstanding receivables for less than 90 days. As for outstanding receivables for more than 90 days, the Group considers that risks are limited given existing procedures of customer risk management (as detailed above). 3.2 Credit risk management on equities and derivatives The counterparts of the Group’s financial derivatives are first rank banks or partly state-owned like in Russia, and all being in business relation with the Group for lending or for cash management. The policy of the Group with regard to investments and cash deposits is to only invest in liquid securities and only with the first rank credit institutions that exist in the country where the investment is done.


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The Group is not exposed to a material risk due to any significant concentration of the risk over a specified counterparty, and does not anticipate any counterparty default. 4 – FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES

Dec 31, 2012

Hedging Derivatives

Cash and cash equivalents

Assets designated at fair

value through profit & loss

Held-to-maturity investments

Loans and receivables

Liabilities at amortized cost

Available for sale assets/liabilities

Carrying amount

Fair value

Non current financial assets valued at amortized value - - - - 13.1 - - 13.1 13.1 Non current financial assets valued at fair value - - 22.1 - - - - 22.1 22.1 Accounts receivables (0.1) - - - 283.2 - - 283.1 283.1 Cash and cash equivalents - 81.4 - - - - - 81.4 81.4 Assets classified as held for sale - - - - - - - - - Interest-bearing loans and borrowings - - - - - 533.6 - 533.6 533.6 Other financial liabilities, non current - - - - - 6.8 - 6.8 6.8 Other financial liabilities, current 8.8 - - - - 2.8 - 11.6 11.6 Accounts payables - - - - - 221.7 - 221.7 221.7 Liabilities classified as held for sale - - - - - - - - - The table below analyses financial instruments carried at fair value, by the levels in the fair value hierarchy. The different levels have been defined as follows.

- Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities. - Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or

liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices). - Level 3: inputs for the asset or liability that are not based on observable market data (unobservable

inputs).

Dec 31, 2012 Level 1 Level 2 Level 3Assets recorded at fair valueAssets designated at fair value 22.1Cash and cash equivalents 81.4Liabilities recorded at fair valueHedging Derivatives (8.8)

Dec 31, 2011

Hedging Derivatives

Cash and cash equivalents

Assets designated at fair

value through profit & loss

Held-to-maturity investments

Loans and receivables

Liabilities at amortized cost

Available for sale assets/liabilities

Carrying amount

Fair value

Non current financial assets valued at amortized value - - - - 11.5 - - 11.5 11.5 Non current financial assets valued at fair value - - 15.3 - - - - 15.3 15.3 Accounts receivables 0.3 - - - 283.3 - - 283.6 283.6 Cash and cash equivalents - 53.9 - - - - - 53.9 53.9 Assets classified as held for sale - - - - - - - - - Interest-bearing loans and borrowings - - - - - 386.1 - 386.1 386.1 Other financial liabilities, non current - - - - - 8.8 - 8.8 8.8 Other financial liabilities, current 9.7 - - - - 2.2 - 11.9 11.9 Accounts payables - - - - - 189.3 - 189.3 189.3 Liabilities classified as held for sale - - - - - - - - -

Dec 31, 2011 Level 1 Level 2 Level 3Assets recorded at fair valueAssets designated at fair value 15.3Cash and cash equivalents 53.9Liabilities recorded at fair valueHedging Derivatives (10.0)


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NOTE 25 – LEASE COMMITMENTS The Group’s operating lease commitments are mainly commitments for buildings, vehicles, computer hardwares and softwares, offices. Future minimum lease payments under financial leases, and future minimum rental commitments under operating leases with initial or remaining non-cancellable terms in excess of one year, are summarised below:

Dec 31, 2012 Dec 31, 2011Net carrying amountsLand leased 0.1 - Buiding leased 5.8 7.0 Machinery and equipment leased 5.2 7.1 Total net carrying amounts 11.1 14.1

Dec 31, 2012 Dec 31, 2011Present value of future lease paymentLess than 1 year 1.0 1.8 1 to 5 years 0.5 1.7 More than 5 years 0.5 0.2 Total present value of future lease payment 2.0 3.6

Financial leases

Dec 31, 2012 Dec 31, 2011Future minimum lease paymentsLess than 1 year 14.2 6.8 1 to 5 years 24.3 16.2 More than 5 years 3.1 2.9 Total future minimum lease payments 41.6 26.0

Operating leases

NOTE 26 – OTHER CONTINGENCIES

Asbestos One of the Group subsidiaries has been named co-defendant in asbestos related lawsuits involving personal injuries. Expected costs of the current or future cases are covered by Group’s insurances, sellers’ guarantee granted by third-parties and by provisions that management, based on the advice and information provided by its legal counsels, considers as sufficient. Guarantees Tarkett SA:

- has granted a General Indemnity Agreement of up to USD 75.0 million in favour of Federal Insurance Company in consideration of this company to execute security bonds in favour of Fieldturf Tarkett Inc,

- has given its guarantee on 50% of a credit facility of up to €10 million granted to its joint venture subsidiary Laminate Park, and

- has provided a guarantee to the pensions insurer Pri-Pensionsgaranti to secure the pensions commitments of Tarkett AB for an amount of SEK 149.9 million.

- has provided a guarantee to a raw material supplier of it subsidiary Morton Extrusion Technik to secure its payables up to €5 million.

- has given a mother company guarantee to the lending bank of the Syndicated Revolving Credit Facility signed on June 27, 2011 in order to allow Tarkett Finance Inc to become an additional borrower up to an amount of USD 100.0 million.

- has given a mother company guarantee to the lending banks of an asset backed facility of €55 million to the extent that this facility, aimed to finance the Group, was subscribed its subsidiary Tarkett France SAS for technical reasons. Tarkett SA has also given a mother company guarantee to the bank of Tarkett Limited (UK) and Poligras (Spain) to secure technical overdraft facilities in these companies, for a total amount of €3.5 million.


19/02/2013 47/49

Other In March 2011, Fieldturf NA filed a complaint for compensatory damages against Tencate, one of its former supplier of fiber. The amount claimed by Fieldturf is for damages in excess of $30m. The litigation is currently on going. NOTE 27 – RELATED PARTIES In compliance with IAS 24, the Group has identified the following related parties:

- Subsidiaries, joint ventures and associates (see §1). - Members of the Executive Management Committee and of the Supervisory Board of Tarkett SA. - Société d’Investissement Familiale S.I.F. SA (see §2).

1 – Subsidiaries, joint ventures and associates All transactions between fully consolidated entities are eliminated in consolidation. Transactions with joint ventures are entered into on an arm’s length basis. Joint ventures The only entity with activity which remains jointly controlled is the entity jointly held with Sonae Group in Germany.

Associates Tarkett SA has no associates. The Group’s transactions with jointly controlled may be summarised as follows:

2012 2011

Joint venturesSale of goods to Tarkett 32.1 31.8 Purchase of goods from Tarkett - - Purchase of services from Tarkett (2.5) (2.5) Loans to Tarkett - 0.6 Loans from Tarkett 14.2 18.4

AssociatesPurchase of goods from Tarkett - - Loans from Tarkett - -

2 – Société d’Investissement Familial (S.I.F. SA) Société d’Investissement Familiale S.I.F. SA holds 99.28% of Tarkett SA’s share capital and as such, controls and coordinates the activities of the Tarkett Group. Tarkett SA is linked by contract to S.I.F. SA in respect of management services which are remunerated on the basis of the actual costs incurred by S.I.F. SA. For the year 2012, S.I.F. SA invoiced a total of €3.4 million with respect to management fees (for 2011: €2.3 million). At the end of 2012, S.I.F. SA has granted a loan to Tarkett SA for a total amount of €5.7 million.

NOTE 28 – SUBSEQUENT EVENTS There is no subsequent event to be disclosed.


19/02/2013 48/49

NOTE 29 - MAIN CONSOLIDATED ENTITIES

CountryConsolidation

method

% Ownership at Dec 31,

2012


2011G: Fully consolidated

E: Accounted for using the Equity Method

P: Subject to proportionate consolidation

C220 Tarkett SA France Parent Company 100% 100%

C656 Somalré Luxemburg G 100% 100%

C006 Tarkett Ltd. United Kingdom NC - 100%

C012 Tarkett Australia Pty. Ltd Australia G 100% 100%

C757 Galerija Podova - Sintelon Doo Bosnia G 100% 100%

C061 Fademac Brazil G 100% 100%

C441 Tarkett Inc. Canada G 100% 100%

C808 Tandus Flooring Canada, GP Canada G 100% -

C951 Johnsonite Canada Inc. Canada G 100% 100%

C429 Tarkett Floor covering (Shanghai) Co China G 70% 70%

C807 Tandus Flooring Suzhou China G 100% -

C018 Tarkett A/S Denmark G 100% 100%

C003 Tarkett Oy Finland G 100% 100%

C433 Tarkett France France G 100% 100%

C434 Tarkett Bois SAS France G 100% 100%

C081 Laminate Park Gmbh & Co KG Germany P 50% 50%

C214 Tarkett Holding GmbH Germany G 100% 100%

C419 Tarkett Monoprosopi Ltd. Greece G 100% 100%

C427 Tarkett Asia Pacific Ltd Hong Kong G 100% 100%

C428 Tarkett Hong Kong Ltd. Hong Kong G 70% 70%

C460 Tarkett Kft Hungary G 100% 100%

C809 Tandus Flooring India Private Limited India G 100% -

C417 Tarkett SpA Italy G 100% 100%

C459 Tarkett Kaz Kazakhstan G 100% 100%

C409 Tarkett GDL SA Luxemburg G 100% 100%

C411 Tarkett Capital SA Luxemburg G 100% 100%

C002 Tarkett AS Norway G 100% 100%

C037 Tarkett Polska Sp.Z.O.O. Poland G 100% 100%

C045 Tarkett Wykladziny Sp.Z.O.O. Poland NC -- 100%

C418 Tarkett Produtos Internacionais S.A. Portugal G 100% 100%

C461 Tarkett BEL Rep. of Belarus G 100% 100%

C452 ZAO Tarkett Russia G 100% 100%

C453 ZAO Tarkett Rus Russia G 100% 100%

C454 Tarkett Sommer OOO Russia G 100% 100%

C455 Tarkett d.o.o. Serbia G 100% 100%

C456 Tarkett SEE Serbia G 100% 100%

C754 Sintelon RS Serbia G 100% 100%

C755 Sintelon d.o.o. Serbia G 100% 100%

C756 Galerija Podova d.o.o. Serbia G 100% 100%

C803 Tandus Flooring Asia Pte Ltd Singapore G 100% -

C425 Tarkett Floors S.A. Spain G 100% 100%

C001 Tarkett AB Sweden G 100% 100%

C062 Tarkett Aspen Turkey G 70% 70%

C457 Tarkett UA Ukraine G 100% 100%

C758 Sintelon UA Ukraine G 100% 100%

C759 Vinisin Ooo Ukraine G 100% 100%

C606 Tarkett Ltd. United Kingdom G 100% 100%

C009 Tarkett Inc. Delaware United States G 100% 100%

C800 Tandus Group, Inc United States G 100% -

C801 Tandus Flooring, Inc United States G 100% -

C802 Nova Scotia Ltd United States G 100% -

C804 Tandus Flooring US, LLC United States G 100% -

C805 CAF Extrusion LLC United States G 100% -

C806 Tandus Flooring Limited United States G 100% -

C846 Tarkett Enterprises Inc. United States G 100% 100%

C847 Domco Products Texas LP United States G 100% 100%

C848 Tarkett Alabama Inc. United States G 100% 100%

C849 Tarkett Finance Inc United States G 100% 100%

C910 Kraus Floor LLC United States NC - 50%

Companies

Holdings

Flooring


19/02/2013 49/49

CountryConsolidation

method


2012


2011

C872 Fieldturf Inc. Canada G 100% 100%

C878 Les Installations Sportives Defargo Inc. Canada G 100% 100%

C438 Fieldturf Tarkett SAS France G 100% 100%

C473 Morton ExtrusionsTechnik GmbH Germany G 100% 100%

C008 Tarkett Ireland Ireland NC -- 100%

C474 Aasportsystems B.V. Netherlands G 100% 100%

C471 Poligras Iberica SA Spain G 96% 96%

C850 Tarkett USA Inc. United States G 100% 100%

C854 Tarkett Texas Holding Inc. United States G 100% 100%

C862 Texas Tile Manufacturing LLC United States G 75% 75%

C863 Tarkett IFA Inc. United States G 100% 100%

C886 Easy Turf Inc. United States G 51% 51%

C887 Atlas Tracks Inc. United States NC -- 100%

C889 Beynon Sports Surfaces Inc. United States G 100% 100%

C890 Fieldturf Tarkett USA Holdings Inc. United States G 100% 100%

C893 Fieldturf USA, Inc. United States G 100% 100%

C896 Air Fieldturf Inc. United States NC -- 100%

C950 Johnsonite Inc. United States G 100% 100%

C960 Diamond W Supply Co. United States G 100% 100%

Sports

Companies


AEPAFORMF.1:COMPLIANCE

AEPAIFB#016‐GAthleticSurfaces–SyntheticTurf

NAMEOFBIDDER:FieldTurfUSA,Inc.

INSTRUCTIONS:

1. This form is twenty (20)pages long. Thebidder’sauthorizedrepresentativemust sign the format theend.

2. The criteria listed below are derived from the Part B: Bid Specifications this IFB. Other than industryrequirements established in federal, state or local statutes, exceptions/deviationsmay be proposed aslongastheyareexpresslynotedbelowandclarifiedonFormF.2.,whichfollows.Pleaseunderstandthatthestatedspecificationsrepresent themostdesirableattributesof theproductsandservicessoughtbyAEPAanditsAEPAMemberAgencies.

3. AEPAunderstands thatnotallbiddersprovideall commodities indicated in thespecifications. Biddersmay propose specific, similar and/or alternativemanufacturer’s product lines and/or serviceswithoutprejudiceaslongastheproposedproductsandservicesmeetorexceedthespecificationsinPartB:BidSpecificationsofthisIFB.

4. Foreachcriterionbelow,checkeither“Comply”ifitalignswiththecompany’sabilitytoprovideproductsandservicesor“Deviate”ifitdoesnot.

5. Iftherearenodeviationstothespecifications,indicatethatbycheckingtheappropriateboxonFormF.2andsignit.

6. Scan the completed form to a PDF file and title as instructed in Part C (this section), page 2, #5.Item Description Comply Deviate 6.1 All charges and components necessary for performance of

the contract shall be clearly identified even if such are not specifically addressed in any paragraph or sub-paragraph or form that is a part of this request.

X

6.2 If the Vendor Partner intends to utilize independent agents/distributors, subcontractors and/or third-party agents to perform and/or provide any part of the products and services offered herein, the Vendor Partner must identify all providers and any and all associated costs with these providers.

X

6.3 Optional services must be identified separately, and must include clear descriptions of proposed services.

X

6.18 Vendor Partner shall provide a Material Safety Data Sheet (MSDS) for all items sold, if required. A separate sheet shall be provided for each individual item when purchase is made.

X

Item Category Specifications Comply Deviate

7.1. The standards and specifications provided below are intended to establish minimum requirements and provide a general overview of the quality and type of products and services being requested.

X

7.2. Any products and services offered are to meet or exceed all local and state building codes.

X

7.3. The products and services may include, but are not limited to, the following.

X

7.4. Provide technical and consulting services relating to athletic and recreational field surface design, characteristics, construction, and integration into the development of a new athletic or recreational

X


Item Category Specifications Comply Deviate facility.

7.5.

Provide existing site inspection and investigation to identify soil conditions existing at the site in order to take into account the conditions found in the designing of athletic and recreational fields. The investigation shall include, but not be limited to:

X

7.5.1. Stripping, placement of backfill and base construction in order to ensure the minimization of the risk of problems due to subsoil and subgrade conditions.

X

7.5.2. Soil inspection for the existence of peat or other organic soils at the site.

X

7.5.3. Inspection for uncontrolled fill materials or waste materials at the site.

X

7.5.4. Inspection for expansive soils at the site. X

7.5.5. High ground water conditions or surface water retention areas (low area flooding).

X

7.6.

Provide all labor, materials, equipment and drawings required to provide design services for a project cost proposal with a complete scope of work, including all products, services and athletic and recreational field specifications with their associated costs. A preliminary construction time schedule shall be a part of the project proposal.

X

7.7.

Provide all labor, materials, equipment, project drawings and construction documents necessary to establish, construct, install lines and markings required to complete the athletic or recreational field as identified and specified within the project documents for the individual Member's project scope of work and documents.

X

7.8.

Provide all labor, materials and equipment required to assess and evaluate existing facilities, and develop and establish a plan of action for maintenance, repair and/or renovation of the existing athletic and recreational field to condition as required by the Member.

X

7.9. Provide ongoing technical support and training services for AEPA Member's staff relating to the maintenance and operation of these types of facilities to ensure their good operational condition.

X

7.10. The synthetic turf surface should provide the performance characteristics, components, and construction that meet the needs of the declared use and/or functions.

X

7.11.

The synthetic turf system and all of its components should be resistant to moisture, rot, mildew, bacteria, fungus growth, ultraviolet ray degradation, non-toxic, not cause commonly known allergic reactions at all field locations, and meet AEPA Member local state and environmental requirements.

X

7.12. Each synthetic turf system should be constructed to provide dimensional stability and resist damage from wear and tear during athletic and recreational usage.

X

7.13. Any Project to Include: X

7.13.1. Assess and determine existing site conditions and Member's expectations for the project.

X

7.13.2. Develop a proposed solution to conform to and meet the Member's expectations while considering and ensuring the following:

X

7.13.2.1. The solution proposed is adequate and functional within the existing site conditions and will comply with all building codes.

X

7.13.2.2. Provide labor, materials, equipment and supervision necessary to complete installation of synthetic turf, including the following:

X

7.13.2.2.1. Site inspection and investigation. X 7.13.2.2.2. Site preparation and sub-base. X 7.13.2.2.3. Inspection and approval of sub-base. X


Item Category Specifications Comply Deviate 7.13.2.2.4. Installation of proposed synthetic turf system with accessories,

striping and equipment. X

7.13.2.3. Provide cost estimates and information relating to after-the-sale ongoing inspection and maintenance services to ensure proper operation and upkeep of the synthetic field.

X

7.13.3. Construction and installation services to prepare and install proposed synthetic turf system on the designated site in accordance with the shop drawings, striping plan and manufacturer's instructions and specifications.

X

7.13.4. Guarantee the usability and playability of the synthetic turf system for its intended uses for an eight (8) year period commencing with the date of substantial completion and acceptance by the Member. The warranty coverage shall not be limited to the amount of usage.

X

7.13.5. Prior to order of materials, the contractor shall submit the following:

X

7.13.5.1. Sample warranty. X 7.13.5.2. Seam layout of the field and striping plans. X 7.13.5.3. Details on construction, especially any details that may deviate

from plans and specifications. X

7.13.6. Prior to the beginning of installation, the manufacturer/installer of the synthetic turf shall inspect the sub-base and supply a Certificate of Sub-Base Acceptance for the purpose of obtaining manufacturer's warranty for the finished synthetic playing surface.

X

7.14. Components for Synthetic Turf Systems to include but not limited to:

X

7.14.1. Synthetic Turf Types: There are several different types of synthetic turf available. They are distinguishable through the use of different fibers and different construction. Differentiated by construction are the tufted or the knitted synthetic turf systems. Both systems are comprised of synthetic fibers with primary and secondary backing systems and a resilient shock absorbing system. The shock absorbing system can consist of infill, a padding system, or a combination of both.

X

7.14.2. Fiber: Typically, the fiber used in synthetic turf is textured and/or non-textured polypropylene, polyester, polyethylene, nylon or other suitable performing hybrid or copolymer in tape form or monofilament. Minimum fiber sizes are 50 microns for polypropylene or polyester, 100 microns for tape form (slit-film) polyethylene, 140-300 for monofilament polyethylene (shape dependent) and 500 denier for nylon. Fiber sizes for hybrids or copolymer will comply with the most closely related fiber type. Ideally, all fibers should be of the same chemical composition, shape, and texture. Fibers should be compliant to ASTM guideline for total lead content.

X

7.14.3.

Primary Backing Systems Material: The primary backing materials are of a woven or non-woven fabric in one or more layers which are utilized in the tufting process, or of high strength polyester multi-filament fiber utilized in the knitting process. This backing material provides the initial dimensional stability for the system.

X

7.14.4. Secondary Backing Systems Material: The secondary backing materials are applied through a coating process with a single or multiple applications of one or various materials.

X

7.14.5.

Perforations: Depending on the final construction of the turf system, the system may or may not be permeable to water. Perforations are typically required of fully coated system backings to provide adequate vertical drainage throughout the system. Some

X


Item Category Specifications Comply Deviate turf systems may allow for drainage without perforations by employing a process of partial coating or other system designs. Developments in coating systems have provided for lighter weight and aqueous permeable chemicals; however, the drainage criteria must be met.

7.14.6.

Infill Materials: The most recent generation of synthetic turf systems utilizes a long pile height and needs to be supported with infill materials for directional stability and structural integrity, as well as resiliency. The infill materials commonly used are EDPM, TPE, natural cork, ground fibers from coconut shells, coated and non-coated silica sand, crumb and coated rubber, other suitable materials, or combinations of sand, rubber, or other suitable materials

X

7.15. Performance of Synthetic Turf X

7.15.1. Traction: The surface should provide good traction in all types of weather with the use of conventional athletic type shoes applicable to the sports and/or activity specified.

X

7.15.2.

Rotational Resistance: The surface should allow for twisting movements as is common in athletic activities. Rotational resistance measures the ability of the user to perform twisting motions when in contact with the surface.

X

7.15.3.

Slip Resistance Component: The system should enable a predictable range of movement between the user and the surface uniformly throughout. The surface should balance traction and slippage by way of the sliding coefficient.

X

7.15.4. Surface Abrasiveness: The field surface should have fibers and infill materials that minimize skin abrasions.

X

7.15.5.

Impact Attenuation (g-max): The field surface should have the ability to adequately absorb player impact with the surface. The g-max and force reduction tests are two tests typically used. G-Max values may vary from location to location on a playing surface. Such variances shall be taken into account when setting maximum test values. A maximum, not-to-exceed limit should be specified for the life of the warranty. The STC's guideline is that g-max should be below 165 for the life of the field.

X

7.15.6.

Surface Stability (vertical deformation): The surface should provide adequate stability so that the athlete can maintain body control to help prevent or properly control contact between athletes. This is an important consideration that should be balanced with the surfaces' ability to absorb impact. If the surface is too soft, the stability provided by the field may not be optimal for player movement and body control.

X

7.15.7. Ball-Surface Interaction: The synthetic turf playing field should provide consistent and predictable ball performance reaction characteristics.

X

7.15.8. Surface Uniformity: The synthetic turf playing field should be as level as practical. The synthetic surface shall provide a true and uniform playing surface throughout.

X

7.15.9.

Ball Bounce: The synthetic turf field should provide a ball bounce as close to the optimal playing characteristics of the sport or sports. The published standards for the regulatory organizations as applicable for each sport should be referenced.

X

7.15.10.

Ball Roll: The synthetic turf field should provide a ball roll as close to optimal playing characteristics of the intended sport or sports. The published standards for the regulatory organizations as may be applicable for each sport should be referenced.

X

7.15.11. Appearance: Unless otherwise dictated by design, the synthetic X


Item Category Specifications Comply Deviate turf should have a consistent color, texture, and shade without significantly noticeable streaks or other irregularities when observed in any direction.

7.16. Warranties for the synthetic turf field systems should include the following:

X

7.16.1. Acceptable uses for the field X 7.16.2. Expected number of yearly hours of use of the field X 7.16.3. Type of shoes used X 7.16.4. Fading X 7.16.5. Color match within specifications X 7.16.6. Excessive fiber wear X 7.16.7. Acceptable loss of pile height over time X 7.16.8. Wrinkling and panel movement X 7.16.9. Shock absorbency (g-max) X 7.16.10. Seam integrity X 7.16.11. Drainage X 7.16.12. Response time for required repairs/replacement X 7.16.13. Approved maintenance equipment X 7.16.14. Other items deemed relevant X 7.17. Maintenance: X

7.17.1. A regular schedule of maintenance should include but not limited to surface cleaning, debris removal, grooming, and infill replenishment, redistribution, and de-compaction.

X

7.17.2.

The maintenance procedures and equipment, as specified by the synthetic turf manufacturer or Synthetic Turf Council's Guidelines for the Maintenance of Infilled Synthetic Turf Surfaces, January 2013, for additional information.

X

7.18. Other Considerations: X

7.18.1.

The synthetic turf supplier, unless the base is part of their scope of work, should perform an inspection of the field planarity base on to which the synthetic turf system is to be installed and to examine the finished surface for required compaction, water permeability, and grade tolerances. After any discrepancies between the required materials, application, and tolerance requirements noted have been corrected, the owner's representative (architect/engineer) should review and approve for compliance with documents. The acceptance of the base construction should be included in the certification for warranty validation.

X

7.18.2.

Extra Materials: the synthetic turf manufacturer and installation contractor can provide extra sections of synthetic turf material for future repairs. If necessary, this should include materials for all colors used with any lines, markings, and logos. Quantities to be predetermined. This allows for materials from the same manufacturing run to be utilized for minor repairs.

X

7.19. Drainage System Components X

7.19.1. The system chosen will depend on the use of the field, climate, amount of rainfall, and other factors.

X

7.19.2. The drainage system may include but not limited to the synthetic turf, pad, base materials, and collector pipes that collect and remove storm water from the playing field.

X

7.19.3. The design of the drainage system is dependent upon local conditions, climates, and site constraints.

X

7.19.4.

Collector pipes are typically perforated polyvinyl chloride (PVC) or polyethylene (PE) pipes. Size and type of perforations are dependent upon the size of the pipe. If perforations are larger than the smallest aggregate in the base material then a geo-textile sock filter may be used to encapsulate the pipe-care should be taken to

X


Item Category Specifications Comply Deviate ensure that the openings in the geo-textile fabric are compatible with the granular smaller components so that they do not block the pores and reduce water flow. A qualified civil or geotechnical engineer should be consulted to determine the suitability of using a product with a geo-textile sock in conjunction with the selected base materials. Additionally the compressive strength of various systems can differ greatly and care should be taken to keep construction traffic off of the systems until enough stone has been placed and compacted.

7.19.5. The expected performance evaluation and the systems used should undergo an independent engineering analysis.

X

7.20. Base Materials X

7.20.1.

The aggregate base on which the synthetic turf is installed provides a structurally sound foundation for field construction, and a media for drainage of the field. The base materials should contain the necessary components and characteristics to satisfy local conditions. A good geotechnical report will provide essential information for a firm and stable base for the synthetic turf.

X

7.20.2.

Depending on the local site conditions, a geo-textile fabric may be placed over the entire sub-grade and within the pipe trenches prior to the installation of the base materials to minimize contamination of the aggregate and possible clogging of the perforated drainage pipes. Where soil conditions warrant, a polyethylene, PVC, or other impermeable sheet liner may be used in lieu of the geo-textile to inhibit storm water infiltration into the subsoil.

X

7.20.3.

The aggregate materials utilized to construct the field base must be a properly graded washed crushed stone to provide a balance between stability and permeability. A highly fractured material is desirable to provide the surface stability required for the synthetic turf surfacing, supplemental padding or porous paving as applicable. The graded aggregate particle sizes must be tightly controlled to fall within the bandwidth for all specified sieve sizes with just enough lines to provide stability while still allowing for sufficient drainage. Minimum stability and permeability requirements should be determined and confirmed by an independent certified laboratory prior to construction of the base course.

X

7.20.4.

The base materials should be thoroughly compacted to prevent differential settlement across the field area. Minimum compaction levels typically should not be less than 95% density as measured by a standard proctor test. Special attention should be given to backfill compaction of any utility trenches that cross the field area. Care should also be taken not to over compact, which could affect drainage.

X

7.20.5. If pavement is required by design, the base materials may be porous, conventional asphalt or concrete.

X

7.20.6.

Water permeability rates for both the field's surfacing and the field base materials should be designed to accommodate the local weather patterns and storm water management regulations. The permeability of both the field surface and the base materials will typically decrease over the life of the field. An adequate factor of safety should be utilized to provide initial infiltration rates for the completed field above those required by the local weather conditions.

X

7.21. Shock Absorbing Resilient Underlayment Systems X

7.21.1. Performance Characteristics: The selection of the cushion layers should be closely coordinated with the performance characteristics of the synthetic turf utilized. The cushion layers should provide

X


Item Category Specifications Comply Deviate shock absorption without compromising footing and surface stability.

7.21.2. Prefabricated Cushion Layers (Pad): If included in the design, these cushion layers are rolls or tiles of resilient material installed under and occasionally adhered to the synthetic turf backing.

X

7.21.2.1.

Physical Characteristics: Prefabricated cushion layers are typically comprised of rubber, polyurethane foam, or other suitable materials. The rubber pads are SBR rubber fibers or granules bound together with a polyurethane binder and usually come as roll or piece goods and should be permeable. The foam cushion layers are typically polyurethane or polyvinyl chloride and should be water permeable for drainage.

X

7.21.2.2.

Performance Characteristics: The selection of the cushion layers should be closely coordinated with the performance characteristics and requirements of the synthetic turf system utilized. The cushion layers should provide shock absorption without compromising footing and/or surface stability.

X

7.21.2.3.

Water Permeability Rate: The system is to be permeable by design with adequate drainage, perforations through all of the cushioning layers to provide for adequate drainage through the system as specified.

X

7.22. Irrigation System: X

7.22.1.

The installation of a manual or automatic irrigation system can be considered for synthetic turf installations. Guidelines on whether synthetic fields are watered are determined by factors such as region, climate, turf material, player traffic type, and level of games played.

X

7.22.2. It is recommended that the design be reviewed and approved by a recognized irrigation consultant or landscape designer.

X

7.23. Seams: X

7.23.1.

Each panel or roll should be attached to the next with a seam to form the playing substrate of the field. Seams should be glued with a supplemental backing material or sewn with high strength sewing thread. The bonding or fastening of all system material components should provide a permanent, tight, secure, and hazard-free athletic playing surface.

X

7.23.2.

Adhesive: Synthetic turf adhesives should be applied by experienced, professional installers. The adhesives should provide a strong, hazard-free, and durable bond between the adjacent turf panels or sections and to be usable for installation under variable weather conditions. The adhesive should also be resistant to water, fungus, and mildew. Synthetic turf adhesives include: one-part adhesives (urethanes), two-part (epoxy or urethane), hot melt, and water-based (latex).

X

7.23.3.

Seaming Tape: The tape is comprised of a fabric that should be installed below the backing material on both sides of a seam or inlay. The fabric used for seaming tape should provide dimensional strength and enough surface texture and width to bond well with the adhesive and the turf backing material on each side of the seam.

X

7.24. Lines and Markings: X

7.24.1.

Installation: Lines and markings should be installed on the synthetic turf surface in one of three methods: with paint, with colored fiber that is either tufted or knitted into the synthetic turf panels, or installed as inlays. Tufted in or inlaid lines and markings are a permanent part of the surface.

X

7.24.2. Painted lines and markings installed with either permanent or X


Item Category Specifications Comply Deviate temporary paint require maintenance. Even permanently painted lines require additional paint on a periodic basis.

7.24.3. Synthetic turf and fibers utilized for the tufted or inlaid lines and markings should be similar to that used in all other areas of the field and installed to the same tolerances.

X

7.25. Inserts: X

7.25.1. They can include covers for goal sleeves and anchors and conversion of baseball infield clay areas to synthetic turf.

X

7.25.2. The synthetic turf used for the inserts should be similar to that used in the area adjacent to the insert.

X

7.25.3. The inserts should be anchored securely to the surrounding areas so that they cannot be displaced by the activities occurring on the field and installed to the same tolerances.

X

7.26. Synthetic Turf Material Production Quality Assurance . X

7.26.1. Testing of materials should be performed prior to shipment of product to the job site.

X

7.26.2. The synthetic turf rolls should be randomly sampled and tested by the manufacturer who will certify that they meet the specification.

X

7.26.3. Testing may include pile composition, pile weight, total weight, pile height, tuft bind (without infill), and grab/tear strength.

X

7.26.4. The manufacturer, to certify in writing at the owner request that the test results meet or exceed the synthetic turf specification.

X

7.27. Construction and Installation X 7.27.1. Inspection: X 7.27.1.1. Synthetic materials should be inspected prior to installation for: X 7.27.1.1.1. Damaged or defective goods X 7.27.1.1.2. Missing goods or quantities X 7.27.1.1.3. Correct fiber type X 7.27.1.1.4. Correct turf pile height and weight X 7.27.1.1.5. Proper tuft bind X 7.27.1.1.6. Correct backing perforation diameter and spacing, if applicable X 7.27.1.1.7. Materials out of tolerance with the specification X 7.27.2. Sub-Grade Preparation X

7.27.2.1. The sub-grade should provide a stabilized foundation upon which base materials and subsequent components of playing field systems will be installed.

X

7.27.2.2. It should also provide the pitched surface on which storm water is directed toward the active drainage system for evacuation.

X

7.27.3.

Shape and Compaction: Prior to placement of base materials, the sub-grade should be shaped to an appropriate profile and compacted by proof rolling to obtain a firm even surface. Depressed areas should be filled and unsuitable materials removed and replaced with clean fill or aggregate. Compaction should be performed to achieve a minimum of 95% in accordance with ASTM D698 Standard Proctor Method. The appropriate moisture content must be maintained in the field sub-grade to allow for optimal levels of compaction.

X

7.27.4.

Sub-Grade (Rough) Planarity: The tolerances for the finished sub-grade should not exceed one-half (1/2") inch as measured by a 10-foot straight edge. Grading of the sub-grade shall minimize pending to the extent practical. The use of laser guided and controlled equipment is highly recommended for sub-grade preparation.

X

7.27.5. Aggregate: X

7.27.5.1. Installation of the aggregate base should provide a close, evenly textured surface meeting the required tolerances.

X

7.27.5.2. Extreme care should be taken to ensure that there is no disturbance X


Item Category Specifications Comply Deviate to the sub-grade and that there is no displacement of the soil separator. All disturbed, displaced, or damaged material is to be repaired or replaced.

7.27.5.3.

The aggregate base should be placed in a manner that will produce a uniform and evenly graded mass to the specified depth. The material should be placed and spread by the appropriate equipment and methods in successive horizontal layers not exceeding the depth per synthetic turf manufacturer's specifications. Pockets that occur as a result of stone segregation during installation should be removed and replaced. After correct placement, each lift shall be uniformly compacted with a self-propelled roller to achieve the specified density.

X

7.27.5.4.

The field base materials should be thoroughly compacted to prevent any significant differential settlement across the area of synthetic turf surfacing. The appropriate moisture content must be maintained in the base materials to allow for optimal levels of compaction.

X

7.27.5.5.

Finish-Grade Planarity (surface tolerances): Irregularities in the surface of the base materials are typically reflected in the finished field surface. To controlled tolerances the contractor is to use a laser guided and controlled equipment for subgrade preparation. The local deviation of the finished surface of the base stone should not exceed ¼ in. in any direction when measured beneath a 10-foot long straight edge. Hollows and depressions, which may have developed during the process of compacting the base, should be filled with acceptable material and re-compacted.

X

7.28. Shock Absorbing Resilient Underlayment System: X

7.28.1.

Cushion-Layer (Elastic Layer Pad) Installation: If required by design, the in situ cushion layers should be installed with specialized paving equipment used only for in situ pad. All paving seams should be hand rolled and troweled. All cold joints in the pad should be pretreated with a polyurethane primer. The specified thickness of the in situ pad should be continuously monitored for consistency. The components of the in situ cushion layers should be thoroughly mixed. The mixing ratios should also be monitored for consistency. The cushion-layer system should be securely placed on the field base materials. The in situ cushion surface should not vary more than ¼ in. in 10 ft. as measured in any direction with a string line or straight edge.

X

7.28.2.

Seam Installation: If required by design, prefabricated cushion-layer systems are typically installed as roll or piece goods. The head seams at the end of each roll should be staggered across the field. When required by the padding manufacturer, all glued cushion-layer seams should be butted together and a permeable or mesh type fabric should be adhered to the surface of the cushion layer at all seam locations to bridge the cushion-layer joints. (This does not apply to sewn seams).

X

7.28.3.

Resilient Infill: If required by design, the infill material should be applied when in a dry condition and should not be applied unless the synthetic turf is also dry. The infill material should be applied in consistent layers with multiple applications. It is critical to insure that synthetic fibers are not trapped underneath the infill. After application of each layer, the synthetic turf should be dragged and/or brushed according to the manufacturer's recommendations in order to lift the fibers and distribute the infill material into the turf system in a consistent manner.

X

7.29. Irrigation System X 7.29.1. Sprinklers located inside the field of play are not acceptable. The X


Item Category Specifications Comply Deviate installation of multiple infield sprinklers is and can affect the turf's adhesion to the field base. This can have a negative effect on the completed turf planarity and consistency. Use of agricultural, long range sprinkler guns mounted on riser posts or long range perimeter pop-up sprinklers buried at grade level, the popup sprinklers provide discrete, low level, unobtrusive, long range performance with the ability to throw beyond the half way line.

7.29.2. Sprinkler installation design would allow for minimum spray disruption for slight wind conditions.

X

7.29.3. Manual or remote controllers can be offered X

7.29.4. Warning notification sound and visual safety measures to ensure players, spectators and service personnel are not at risk from the water jet as the sprinklers are activated can be offered.

X

7.30. Synthetic Turf Installation: X

7.30.1. All synthetic turf systems should be installed to provide stability that will prevent panels from shifting or bunching.

X

7.30.2.

The synthetic turf panels should be securely fastened together for the warranted life of the system. These seams can be glued or sewn depending upon the synthetic turf system . Seam gaps should be minimal and uniform. For tufted infill systems the gap between the fibers should not exceed the gauge of the tufting. For other synthetic turf systems, the seam gaps should not exceed 1/16 in.

X

7.30.3. Edge anchoring may consist of a concrete curb, a treated wood header, a composite material, or a trench drain. These may vary by design and region, but should always provide a secure anchor.

X

7.30.4.

Inlaid lines and markings should consist of synthetic turf with contrasting colored fiber installed in lieu of painted fiber. Inlay gaps should be uniform. For tufted systems, the gap between the fibers should not exceed the gauge of the tufting. Lines and markings must conform to the appropriate association or organization suggested guidelines for the intended level of use.

X

7.30.5.

Care should be taken during installation to account for rapid fluctuations in temperature to avoid expansion and/or contraction which can affect the final installation. Temperature extremes should also be carefully monitored. The carpet should never be rolled or unrolled when frozen, which can cause cracking and irreparable damage to the secondary backing.

X

7.30.6. Infill material installation to follow the manufacturer's installation recommendations.

X

7.30.7. G-Max testing to be performed by an independent testing company or lab.

X

7.31. Clean-Up X

7.31.1. Turf contractor shall provide the labor, supplies and equipment as necessary for final cleaning of surfaces and installed items.

X

7.31.2. All usable remnants of new material shall become the property of the Member.

X

7.31.3. The turf contractor shall keep the area clean throughout the project and clear of debris.

X

7.31.4. Surfaces, recesses, enclosures, etc., shall be cleaned, as necessary, to leave the work area in a clean, immaculate condition ready for immediate occupancy and use by the Member.

X

7.32. Field Quality Control X

7.32.1.

At the time of substantial completion and bi-annually during the life of the warranty, the Contractor shall perform a series of tests using an independent testing agency to evaluate the shock absorption characteristics of the field. The tests shall be performed

X


Item Category Specifications Comply Deviate on a 50 foot grid in both directions using an accelerometer in accordance with ASTM F1936 and ASTM F355. Test the field at a minimum of 12 points and submit the results to the Owner within 30 days of testing. At no point shall any reading exceed 160 Gmax during the life of the warranty. If any point exceeds the maximum deceleration, the Contractor shall make corrections to provide the allowable Gmax deceleration at the Contractor's expense. Owner has the option to engage a qualified independent testing and inspecting agency to perform field tests and inspections and prepare test reports.

7.32.2. Testing and inspecting of completed applications of synthetic turf system shall take place in suggestive states, in areas of extent and using methods that are industry standard.

X

7.32.3. The Contractor is to remove and replace items where test results indicate that it does not comply with specified Gmax requirements.

X

7.33. Field Markings and Decorations X

7.33.1. A complete field "Lining, Marking, and Field Boundary" system will be provided with the installation of the surfacing system.

X

7.33.2. Field markings are to be installed in accordance with approved project shop drawings and marking plan.

X

7.33.3. Tufted lines, hash marks, ticks, and number markings, shall conform to the manufacturers' specifications and recommendations.

X

7.33.4. Striping layouts shall be accurately surveyed by the Contractor before installation of tufted field markings.

X

7.33.5. Install tufted lines and markings only when the surface is completely dry.

X

7.33.6.

AEPA Member will provide logos as required in a format that the contractor requires. The Contractor shall submit shop drawing of logo to include colors, dimensions and locations for approval prior to ordering and installation.

X

7.34. Synthetic Turf Maintenance X

7.34.1.

The turf manufacturer to provide detailed written maintenance instructions and training of maintenance personnel. Maintenance to include but not limited to cleaning, stain removal, minor seam repair, dragging, or redistribution of any infill material, and management of infill compaction. The Vendor Partner can offer equipment and supplies that are required for the maintenance of the synthetic turf surface. Utilizing this equipment as recommended by the turf manufacturer will generate the proper maintenance in relation to any future warranty claims.

X

7.34.2.

Seam Repair: Seams that open or become loose may require some immediate and temporary gluing until they can be inspected and corrected by the installation builder. The gluing should conform to the written maintenance suggested guidelines provided by the synthetic turf vendor.

X

7.35. Quality Assurance X

7.35.1.

Manufacturer - Proposed solutions must be equal to or better than those available from nationally-recognized manufacturers specializing in outdoor synthetic turf products for athletic and recreational facilities.

X

7.35.2.

Manufacturer Qualifications - Manufacturer must have ten (10) years of experience in the manufacture of synthetic turf systems which meet and/or exceed the standards and guidelines presented herein.

X

7.35.3. Engineering Qualifications - The Vendor Partner must have a X


Item Category Specifications Comply Deviate professional engineer, licensed in the state where the field is to be installed to review and certify that the proposed site, site conditions and synthetic turf system being supplied and installed meets or exceeds the design criteria of the specifications, and the site conditions exceed the minimum requirements of the system's design performance standards set by the manufacturer.

7.35.4.

Installer Qualifications - Factory-trained and certified with a minimum of three (3) years' experience of successfully installing synthetic turf systems. Must have the appropriate contractor's license as required by the state or local jurisdiction where the field will be installed.

X

7.36. Project Documents and Submittals X 7.36.1. Design Documents X 7.36.1.1. Planning X 7.36.1.2. Grading Plan X 7.36.1.3. Drainage Plan X 7.36.1.4. Edge Details X 7.36.1.5. Installation Instructions and standards X 7.36.2. Project Schedule X

7.36.3. Shop Drawings - Show all site preparation, materials, supplies and fixtures to be furnished even if provided by others.

X

7.36.4. Synthetic Turf Product Data Sheet and Specifications. X 7.36.5. Material Safety Data Sheets (MSDS) X 7.36.6. Testing Requirements X 7.36.6.1. G-Max Testing X 7.36.6.2. Lead and Heavy Metal Testing X 7.36.6.3. All turf fiber, infill, base and subbase, etc X 7.36.7. Maintenance Manual and Instructions X

7.36.8. Samples - Samples of materials and colors as requested by the owner or owner's representative.

X

7.36.9. Detail information on all items and work to be provided and/or performed by the Member and stipulate minimum requirements.

X

7.36.10. Warranty X 7.36.10.1. Written warranty documents X 7.36.10.2. Warranty insurance policy. X

7.36.11. Cost Proposal - Detail breakdown of all costs associated with the design, manufacture, delivery, installation, and warranty of the proposed solution per contract documents.

X

7.37. Project Close-out X

7.37.1. The Contractor and the Member's representative shall conduct a complete and extensive site inspection of all work performed and products provided and installed.

X

7.37.2. The Contractor shall provide the necessary testing data to the owner that the finished field installed meets the required shock attenuation, as per ASTM F1936.

X

7.37.3. The turf material shall be non-combustible and pass the DIN standard Pill Burn test or ASTM D 2859.

X

7.37.4. The Contractor to provide a written acceptance by the turf manufacturer that the turf and base system is installed in accordance with their recommendations prior to final completion.

X

7.37.5. Upon completion of the work, the Vendor Partner will present the Member with all documents necessary. to close out the project. Including, but not limited to:

X

7.37.6. Certificate of occupancy. X 7.37.7. Maintenance manuals. X

7.37.8. Up to four (4) complete sets of "as built" project drawings, showing the actual locations of seams, drains, in-ground

X


Item Category Specifications Comply Deviate equipment and other accessories installed/provided as required by AEPA Member.

7.37.9. Minimum of two (2) copies each of any installed equipment as required by AEPA Member.

X

7.37.10.

Manufacturer's Instructions and Maintenance Manuals, which will include all necessary instructions for the proper care and preventative maintenance of the synthetic turf system, including painting and markings, procedures of use and executed warranties on installed products and equipment.

X

7.37.11. Any state, local and/or manufacturer's inspection report or certificate certifying that all state, local and manufacturer's standards, codes and requirements have been met.

X

7.37.12. All warranty information. X

7.38. Material Specification, Performance Guidelines, Properties and Lab and Field Tests Requirements

X

7.38.1. All minimum and maximum values take into account acceptable industry manufacturing tolerances plus or minus 2% of the variance.

X

7.38.2. Testing to meet the minimum standards of the Synthetic Turf Council recommendations are for specific purposes such as the following.

X

7.38.3. All minimum values should be evaluated as they relate to the system performance.

X

7.38.4. Site testing shall be at ambient shaded air temperature of 40 - 100°F. Laboratory testing shall be at ambient indoor temperature unless otherwise specified by the test method.

X

7.38.5. Base Materials Test Requirements X

Test Property Method of Determination STC Guidelines Lab/Field Test

X

Size of particle mix

ASTM D422 Particle size analysis

As per specification

Lab (on site

material)

X

Drainage

ASTM F1551/DIN 18035:6 Permeability to water* ASTM D2434 Permeability of Granular Soils (Constant Head)

Min. of 0.01 cm/s (14 in. per hour)

Lab or Field **

X

Compaction (Density)

ASTM D698 Compaction Using Standard Effort

ASTM D2922 Compaction of Soil In Place by Nuclear Methods

To set criteria for ASTM D2922 Min. 90% Standard Proctor

Lab/Field

X

Final Grade ASTM F2157 Test method for Base Material Evenness

Less than 1/4 in. over 10 ft 6mm over 1m

Field X

7.38.6.

Determination in the lab: It is necessary to seal the test ring to the base of the sample. The edges of the sample must also be sealed to prevent any water from flowing around rather than through the sample.

X

7.38.7. ** Determination in the field: An exact seal is typically not attainable and the test is not as accurate/reproducible due to the lateral flow of water and the problems of determining the areas

X


Item Category Specifications Comply Deviate through which the water is flowing.

7.39. Turf Characteristics For Tufted Infill Systems (Typical for High School, Collegiate, and Professional Playing Fields)

X

Test Property Method of Determination STC Guidelines

Lab/Field Test

X

Manufacturer of System (name)

Manufacturer Declaration

Not Specified

N/A

X

Pile Fiber ID Manufacturer Declaration Not Specified N/A

X

Primary Backing System ID

Manufacturer Declaration Not Specified N/A

X

Secondary Backing System ID

Manufacturer Declaration Polyurethane/Latex/Fabrics

N/A

X

Pile (face weight)

ASTM D5848 Min. 30 oz./sq. yd. Lab

X

Primary Backing System Weight

ASTM D5848 Min. 5.5 oz./sq. yd. Lab

X

Secondary Backing System Weight


X

Pile Height ASTM D5823 Sport specific or as specified

Lab/Field

X

Pile Height above infill

Measurement Must meet system specs Lab/Field

X

Yarn Thickness

ASTM D3218 Min. 75 microns Lab tested

X

Yarn Denier ASTM D1577 Min. 500 (nylon) Lab tested

X

Grab Tear Strength

ASTM D5034 Min. 150 lbs. Lab X

Tuft Bind ASTM D1335 Min. Avg. 6 pounds Lab only X

Flammability ASTM D2859 "Burning Pill"

Passing result tested as installed

Lab X

Color Uniformity

Visual No significant change Lab & Field

X

7.40. Turf Characteristics For Knitted Turf Systems X

Test Property Method of Determination

STC Guidelines Lab/Field Test

X



Not Specified

N/A

X

Pile Fiber ID


X Primary Backing System ID


Not Specified

N/A

X



Glued: Acrylic Loose laid: Polyurethane, or Acrylic

N/A

X


Item Category Specifications Comply Deviate Pile (face weight)

ASTM D5848

Min. 55 oz./sq. yd.

Lab

X


ASTM D5848

Min. 8 oz./sq. yd.

Lab

X


ASTM D5848

Glued: Min. 3 oz./sq. yd. Loose laid: 1/4 in. (6 mm) pre- coat & attached cushion weight combined is min. 50 oz./sq. yd.

Lab

X

Pile Height

ASTM D5823

Min. 0.5 in.

Lab/Field

X


Measurement

N/A

Lab/Field

X Yarn Denier

ASTM D1907 Min. 500 (nylon) Lab

X

Yarn Thickness

ASTM D3218

Min. 75 microns PE Min. 50 microns PP

Lab

X

Grab Tear Strength

ASTM D5034

Min. 350 pounds

Lab

X Tuft Bind

ASTM D1335 Min. Avg. 6 lbs. Lab

X

Flammability

ASTM D2859 "Burning Pill"


Lab

X

Relative Abrasiveness

ASTM F1015

Measurement

Lab

X Color Uniformity

Visual No significant changes

Lab & Field

X

7.41. Turf Characteristics For Tufted Polypropylene (Pp), Polyethylene (Pe), Or Nylon Systems (Non‐Infill Systems)

X

Test Property

Method of Determination


X



Not Specified

N/A

X

Pile Fiber ID Manufacturer Declaration Nylon 6 or 6,6; PP, PE N/A X Primary Backing System ID


Not Specified

N/A

X

Secondary Backing: System ID

Manufacturer Declaration Polyurethane N/A X

Pile (face weight)

ASTM D5848

Min. 48 oz./sq. yd.

Lab

X

Primary Backing Weight

ASTM D5848

Min. 6 oz./sq. yd.

Lab

X

Secondary X


Item Category Specifications Comply Deviate Backing System Weight


Pile Height ASTM D5823 or D6859 Min. 0.45 in. Lab/Field

X


Measurement

N/A

Lab/Field

X

Fiber Conditioning


Texturized

N/A

X

Yarn Denier ASTM D1907

Min. 500 Nylon

Lab

X

Yarn Thickness

ASTM D3218


Lab

X

Yarn Elongation

ASTM D2256

N/A

Lab

X

Grab Tear Strength

ASTM D5034

Min. 150 pounds

Lab

X

Yarn Breaking Load (Tensile strength)

ASTM D2256

Mfr. recommended spec

Lab

X

Tuft Bind ASTM D1335 Min. Avg. 6 lbs. Lab X



Lab X

Color Uniformity

Visual No significant changes Lab & Field

X

7.42. INFILL Materials X

7.42.1.

Infill Materials: The most recent generation of synthetic turf systems utilizes a long pile height and needs to be supported with infill materials for directional stability and structural integrity, as well as resiliency. The infill materials commonly used are sand, rubber, other suitable materials, or combinations of the following:

X

7.42.1.1.

EPDM (Ethylene Propylene Diene Monomer) is a polymer elastomer with high resistance to abrasion and wear and will not change its solid form under high temperatures. Typical EPDM colors are green and tan. EPDM has proven its durability as an infill product in all types of climates. Its excellent elasticity properties and resistance to atmospheric and chemical agents provide a stable, high performance infill product.

X

7.42.1.2.

TPE (Thermo plastic elastomer) infill is non‐toxic, heavy metal free, available in a variety of colors that resist fading, very long lasting, and 100% recyclable and reusable as infill when the field is replaced. TPE infill, when utilizing virgin‐based resins, will offer consistent performance and excellent g‐ max over a wide temperature range.

X

7.42.1.3.

Organics: There are several organic infill utilizing different organic components, such as natural cork and or ground fibers from the outside shell of the coconut. These products can be utilized in sports applications as well as for landscaping.

X

7.42.1.4.

Silica Sand: This product is a natural infill that is non‐toxic, chemically stable, and fracture resistant. Silica sand infills are typically tan, off‐tan or white in color and depending upon plant location, may be round or sub‐round in particle shape. As a

X


Item Category Specifications Comply Deviate natural product there is no possibility of heavy metals, and the dust/turbidity rating is less than 100. It can be used in conjunction with many other to provide a safe and more realistic playing surface. The round shape plays an integral part in the synthetic turf system. Silica sand have a high purity (greater than 90%) to resist crushing and absorption of bacteria and other field contaminants. Silica sand can either be coated with different materials as a standalone product or can be used to firm up in combination with traditional crumb rubber infill systems.

7.42.1.5.

Coated Silica Sand: This class of infill consists of coated, high purity silica sand with either a soft or rigid coating specifically engineered for synthetic turf. These coatings are either elastomeric or acrylic in nature (non‐toxic) and form a bond with the sand grain sealing it from bacteria to provide superior performance and durability over the life of a field. Coated sand is available in various sizes to meet the application's needs.

X

7.42.1.6.

Crumb Rubber: Two types of crumb rubber infill exist: Ambient and Cryogenic. Crumb rubber infill is substantially metal free, and, according to the STC's Guidelines for Crumb Rubber Infill Used in Synthetic Turf Fields, should not contain liberated fiber in an amount that exceeds .01% of the total weight of crumb rubber, or .6 lbs. per ton.

X

7.42.1.7.

Coated Rubber: Both ambient and cryogenic rubber can be coated with colorants, sealers, or anti‐microbial substances if desired. Coated rubber provides additional aesthetic appeal, reduction of dust by products during the manufacturing process and complete encapsulation of the rubber particle.

X

7.42.1.8.

Hybrid: Constitutes the use of sand, rubber, or other suitable materials in various combinations. (This should not be confused with hybrid carpet systems that consist of a combination of fiber types.)

X

Test Property

Method of Determination STC Guidelines Lab/Field Test

X

Material Identification

Manufacturer Declaration Must meet system specifications

N/A

X

Grain Size (Particle Size)

ASTM D442 (soil) ASTM D5644 (rubber)

Must meet system specifications

Lab

X

Depth Measurement from top of infill to surface of fabric

Must meet system specification at all locations 3/8 in. (±9 mm)

Lab/Field

X



Lab

X

Color Uniformity

Visual

No significant changes

Lab/Field

X

7.43. Shock Pad Layer Properties X


X



N/A X

Mix Design Manufacturer Declaration Must meet system N/A X


Item Category Specifications Comply Deviate specifications

Drainage ASTM F1551/DIN 18035-6 Water Permeability

Min. of 14 in. per hour

Lab/Field

X

Components Size Rubber / Stone (gravel)

ASTM F1508 Sieve Analysis Must meet system specifications

Lab X

Evenness ASTM 2157: Test method for Base Material Evenness

Less than 1/4 in. over 10 ft. (6 mm over 3 m)

Field X

Thickness Measurement

Meet system spec at every point measured (+1/4 in./-0) (+6 mm/-0 mm) cushion layer

Lab/Field

X

7.44. Performance Guidelines X

7.44.1. The values indicated on these Tables are based on the performance of infill systems currently available and found to be satisfactory nationally and internationally.

X

7.44.2. Performance Guidelines for (North American) Football Fields X

Test Property Description Test Method

STC Guidelines

X

Shock Absorption

A measure of the surface’s ability to absorb impact energy

ASTM F1936 (g-max)

Shall not exceed 200 at each test point*

X

Deformation A measure of the degree a surface deforms when a player runs across it

ASTM F2157-02** ≤ 10 mm

X

Drainage Measure of water passage ASTM F1551

14 in./hr. Base 10 in./hr. Turf System

X

7.44.3. Performance Guidelines for Soccer Fields X

Property

Description

Test Method

STC Guidelines

X

Ball Rebound A measure of how high a ball bounces vertically

ASTM F2117 30% - ≤ 50%

X

Ball Roll A measure of how far a ball rolls EN 12234 4m - 10m

X

Force Reduction

A measure of the impact energy absorption of a surface when a player runs across it

ASTM F2157-02

55% - 70%

X

Deformation A measure of the degree a surface deforms when a player

ASTM F2157-02* ≤ 10mm

X


Item Category Specifications Comply Deviate runs across it

Rotational Resistance

A measure of the foot grip provided by the surface

EN 15301 Method 1 25Nm - 50Nm

X


14 in./hr. Base 10 in/hr. Turf System

X

7.44.3.1. *To prevent compaction the mass must be caught after each impact

X

7.44.3.2. Legend X

7.44.3.3. ASTM - Test method published by the American Society for Testing and Materials

X

7.44.3.4. EN -Test method published by the European Standards Organization

X

7.44.3.5. FIFA -Test method described in FIFA Handbook of Test Methods and Requirements for Artificial Turf Football Surfaces

X

7.45. Materials Specifications X

7.45.1.

The reference specifications, as established by the Synthetic Turf Council, are "typical" examples of minimums that are most commonly encountered and have fulfilled reasonable expectations for successful performance. Deviations from these minimums can be expected due to product innovations or quality upgrades and can be considered when properly justified in terms of their expected performance.

X

7.45.2. All tests prior to, during, or after installation are to be specifically listed and understood by all parties as to their execution and financial responsibility.

X

7.45.3. Environmental Conditions: Suitable weather conditions are important for the successful installation of the systems.

X

7.45.4. In the event of questionable conditions, the manufacturer's recommendation should be obtained to prevent the possible voiding of any warranties (particularly as it applies to adhesives).

X

7.45.5. Synthetic Turf Specification X FIBER: X Material PE, PP, Nylon 6, or Nylon 6.6 X Denier Must meet system specs X BACKING (primary/ secondary):

X

Weight primary

Not less than 5.5 oz. Per sq. Yd. X

Weight secondary

Not less than 16 oz. Per sq. Yd. X

Additional backings

Optional X

FABRIC: X Width 12 ft. to 15 ft. X Tuft bind > 6.8 lbs. or 30 N X Pile height Sport specific or as specified X Pile weight Not less than 30 oz./per sq. yd. Must meet system specifications. X Grab tear strength

Not less than 150 lbs. X


Item Category Specifications Comply Deviate Pill burn test Passing results tested as installed. X INFILL SYSTEM:

Depending on Manufacturer's recommendation. X

Depth of infill

Nominal, per Manufacturer's recommendation. X

Impact attenuation

The standard for G-max is a maximum value of 165 at each test point. G-max values may vary from location to location on a playing surface. Such variances should be taken into account when setting maximum values.

X

Water Permeability

Turf cushion layer - min. 10 in./hour X

7.45.6. Knitted Synthetic Turf Specification - Short pile X FIBER: X Material PE, PP, Nylon 6, or Nylon 6.6 X Denier Min. 500 Nylon X Thickness Min. 75 microns PE or PP X BACKING (primary/ secondary):

X

Ground Yarn Polyester multi-filaments X Weight primary

Min. 8 oz./sq. yd. X

Acrylic Min. 3 oz./sq. yd. X Polyurethane attached cushion

optional X

FABRIC: X Width Typically 15 ft. X Tuft bind N/A X Pile height Sport specific or as specified X Pile weight Min. 55 oz./sq. yd. X Grab tear strength

Min. 350 lbs. X

Pill burn test Passing results tested as installed X Total Weight Min. 66 oz./sq. yd. (without attached cushion) X INFILL SYSTEM:

Depending on Manufacturer's recommendation X

Impact attenuation


X

Water Permeability

Turf cushion layer - min. 10 in. per hour base materials - min. 14 in. per hour

X

7.45.7. Tufted Synthetic Turf Specification - Short pile X FIBER: X Material Nylon 6, Nylon 6.6, PE or PP X Denier Min. 500 nylon X

Thickness Min. 75 microns PE Min. 50 microns PP

X

BACKING (primary/ secondary):

X

Woven PP/non-woven

Single or multiple X

Weight Min. 6 oz./sq. yd. X Scrap Coat Min. 16 oz./sq. yd. X


Item Category Specifications Comply Deviate Attached cushion Secondary and/or cushion

Min. 32 oz./sq. yd. (as required)

X

FABRIC: X Width 12-15 ft. X Tuft Bind >6.8 lbs. or 30 N X Pile Height Sport specific or as specified X Pile Weight Min. 48 oz./sq. yd. X Grab Tear Strength

Min. 150 lbs. X

Pill Burn Test

Passing results tested as installed X

Total Weight Depending on individual construction X SYSTEM: X

Impact attenuation


X

Water Permeability

Turf/cushion layer: min. 10 in./hour Base materials: min. 14 in./hour

X

7.45.8. Shock Pad-Pre-Fabricated Pad Systems Specification X Typical Requirement

X

Thickness 0.375 in. ± 10% X Density 4.0 lbs./cu. ft. ±10% X Weight 38 oz./sq. yd. X Width 4 ft. X 25% Compression Resistance (ASTM D1667)

10-12 psi

X

Tensile Strength X(ASTM D412)

Typically 75 psi

X

7.45.9. Shock Pad-In Situ Systems Specification (typical ranges) X

Thickness: 35 mm 25 mm 20 mm

X

Density: 2 lbs./cu. ft. 1.5 lbs./cu. ft. 1.2 lbs./cu. ft.

X

Weight: 56 lbs./sq. yd. 40 lbs./sq. yd. 32 lbs./sq. yd.

X

Component: SBR Aggregate PU Binder

X

1-5 mm 1-3 mm X Percentages (by weight):

60-63% 30-32% 5-10%

X

7.45.9.1. Mix Design (all percentages by weight) X

7.45.9.1.1. Note: Typically the mix design is determined first, to satisfy the needs of the field in relation to its declared use. The mix design then will determine the weight, density, and thickness which

X


Item Category Specifications Comply Deviate should fall within the parameters indicated.

7.45.9.1.2. SBR granules to be dust free, no elongated particles are allowed. X 7.45.9.1.3. Aggregate to be washed/clean, preferably round (pea gravel). X

7.45.9.1.4. Application to be performed by the use of continuous mixing device and suitable paving equipment.

X

7.46. Warranty X

7.46.1.

The Prime Contractor shall provide a warranty to the owner that covers defects in the prep-work, installation and workmanship, and further warrant that the installation was done in accordance with both the manufacturer's recommendations and any written directives of the manufacturer's onsite representative.

X

7.46.2. Manufacturer's warranty shall include for a period of eight (8) years:

X

7.46.3. General wear and damage caused from UV degradation. X

7.46.4. The artificial grass field turf must maintain an ASTM 355 G-max in accordance with product specifications for the life of the warranty.

X

7.46.5. The warranty shall specifically exclude vandalism and acts of God beyond the control of the owner or the manufacturer.

X

7.46.6. Surface and the adhesives used in the installation are and will be free from defects in material and workmanship.

X

7.46.7. All defects for failures relating to field construction, drainage, synthetic grass seam rupture, and synthetic yarn UV stability, excessive wear and tensile strength.

X

7.46.8.

The warranty must be supported by a paid-up insurance policy from an A.M. Best A-Rated insurance company to ensure that, if warranty work is required during the full eight (8) year required warranty period, the work can be obtained even if the manufacturer/Vendor Partner shall go out of business or no longer exist.

X

7.46.9. 100% of field is covered for the entire warranty period in case of catastrophic failure.

X

7.46.10. There are no periods of non-coverage during the warranty period. X 7.46.11. No annual deductible per field for warranty repairs. X

7.46.12.

The Prime Contractor shall provide a warranty to the owner that covers defects in the prep-work, installation, and workmanship, and further warrant that the installation was done in accordance with both the manufacturer's recommendations and any written directives of the manufacturer's on-site representative.

X

7.46.13.

The Vendor Partner may offer extended warranties or maintenance agreements if available at an additional cost to Members. The maintenance contract must be offered as a separate line item.

X

7.47.

The Contractor shall provide the necessary training for the proper care and maintenance for all material and equipment in order for them to develop a complete knowledge and understanding of the supplies, materials and equipment required to maintain and keep the synthetic turf system in good working condition through its product lifecycle.

X

7.48. Optional Equipment and Accessories X

7.48.1. The Vendor Partner can offer and install in-ground equipment and accessories to include but is not limited to:

X

7.48.1.1.

Pole Vault Pit -The Vendor Partner shall provide synthetic surfacing material plugs, which are to be installed level to the surfacing of the respective runway and be of similar texture as the surrounding synthetic surfacing.

X

7.48.1.2. Take-Off Boards X

AEPA IFB #016 -G Synthetic Turf Page 1 of 25 Due Date: OCTOBER 7, 2015, 1:30 pm EDT Part B: Specifications

INVITATION FOR BID

AEPA IFB #016-G

ATHLETIC SURFACES – SYNTHETIC TURF

PART B – SPECIFICATIONS

TABLE OF CONTENTS

1. Scope of Bid ......................................................................................................................................... 1 2. Type of Bid ........................................................................................................................................... 2 3. Anticipated AEPA Member Agency Participation .......................................................................... 2 4. Glossary of Terms and Abbreviations .............................................................................................. 3 5. Special Terms and Conditions ........................................................................................................... 4 6. Standard Specifications [Fixed Specifications] ................................................................................ 4 7. Product | Category Specific Specifications ....................................................................................... 5 8. Pricing – See Pricing section in Part A – General Terms & Conditions for details ................... 25

**********************************************************************************************

1. Scope of Bid

AEPA is seeking qualified, experienced contractor(s) who possess the necessary resources and capabilities to acquire, deliver and perform the required supplies, materials equipment, testing and labor to all participating member states (up to 26) necessary to:

Respond to request from AEPA member organizations which represent a number of different types of educational, governmental and public institutions seeking equipment, materials, and supplies, necessary to design, install, site preparation, materials testing, maintenance, renovation, repair, grooming and cleaning of synthetic turf fields. Also to provide as an options, equipment and installation services for in-ground equipment and accessories; field grooming equipment and supplies; and replacement or re-seeding of natural grass services. These parts and supplies will include but are not limited to: different types and weights of synthetic turf, infill materials, in-ground equipment and accessories; irrigation and drainage systems;


Types of services may include, but are not limited to: construction, design and engineering services; installation and site preparation services; soil and materials testing, GMAX testing; warranty; grooming, cleaning, and maintenance; etc.

2. Type of Bid

This bid is considered a:

YES NO TYPE OF BID

√

CATALOG: A catalog bid is utilized when the products and/or services solicited are clearly identified with set and specific characteristics, attributes and configurations that are identifiable as a stand-alone single unit and can be listed and priced as a single unit with options that can be added to enhance and/or improve its operation and functionality. The Bidder offers a fixed discount(s) off retail price or prices in a Commercially Available Catalog. The discounts may be for the entire Commercially Available Catalog, for specific products, product lines, manufacturers or category of products as determined by the Bidder. See Pricing section for detailed information on Catalog Pricing.

√

LINE- ITEM: A line-item bid is utilized when the products and services solicited cannot be identified or listed as a single unit; consists of a number of different variables and configurations, it is necessary to identify the specific project or application; the end product or solution is made of individually priced elements or components and the end product’s or solution’s cost is derived by the Vendor Partner specially prepared and providing a quote based on the project’s terms, conditions and requirements. See Pricing section for detailed information on Line-Item Pricing.

3. Anticipated AEPA Member Agency Participation

State

Parti-cipate?

Yes/No/

Undecided

Other States

Member Sells In

Est. 1st Year

Purchase Volume

% Grow

th for

Year 2-4 State

Parti-cipate?

Yes/No/

Undecided

Other States Memb

er Sells

In

Est. 1st Year Purchase Volume

% Growth

for Years

2-4 California Yes AZ,NV $ 100,000 2% Nebraska Yes $ 100,000 Colorado Yes $ 500,000 10% New Jersey Yes $ 1,000,000

Connecticut Yes MA,ME,NH, NY, RI,VT $ 600,000 10% New Mexico Undecided

Florida Yes AL,GA 33% North Dakota Yes $ 500,000 Indiana No Ohio Yes $ 2,000,000 Iowa No IL,SD Oregon Yes $ 1,569,442

Kansas Yes OK $ 2,000,000 2% Pennsylvania No DE,HI, MD,NY,

Kentucky Yes AL,GA,LA,MS, NC,SC,TN,WV $ 100,000 2% Texas Yes $ 1,000,000

Massachusetts No Virginia Yes $ 3,000,000 Michigan Yes 5% Washington Yes AK,ID $ 10,000,000 Minnesota Yes SD $ 1,600,000 2% West Virginia Yes $ 3,000,000 Missouri AR,IL,LA,SD Wisconsin Montana Yes ID $ 50,000 5% Wyoming Yes SD,UT $

Total 19 $ 27,119,442

Please note that individual AEPA Member Agencies that have indicated that they intend to participate in any contract approved under this solicitation, does not guarantee or mean that the individual AEPA Member


Agency will enter into a contract with any AEPA approved Vendor Partner. Each AEPA Member Agency will make that determination after reviewing Vendor Partner responses and AEPA’s recommendation for acceptance and bid award. The AEPA Member Agency’s contracting decision shall be final. The above information relating to the estimated/projected volume for the first year for this solicitation is provided based on submittals from its members. AEPA Member Agencies anticipate that purchase volumes will increase in contract years two (2) through four (4). This information is provided as an aid to Bidders in preparing responses only. It is not to be considered a guarantee of volume under this IFB. The successful Vendor Partner’s discount and pricing schedule shall apply regardless of the volume of business under the contract.

4. Glossary of Terms and Abbreviations

Abbreviations and Acronyms for Standards and Regulations: Where abbreviations and acronyms are used in specifications or other contract documents, they shall mean the recognized name of the organizations responsible for the standards and regulations in the following list. Names, telephone numbers, and websites are subject to change and are believed to be accurate and up-to-date as of the date of the contract documents.

4.1 Base Materials: Materials that provide porosity and stability such as crushed aggregate or porous pavement.

4.2 Denier: The weight in grams of 9,000 meters of fiber 4.3 Drainage System: A method of removing surface and subsurface moisture/water. 4.4 Fiber: A specific form of fibrous textile material that has a length at least 100 times its diameter

or width. 4.5 Fiber Thickness: A measurement in microns (metric) or mils. (U.S.) of the thinnest cross section

of a fiber. 4.6 G-Max: A measurement of impact (shock absorption) in terms of gravity units as a ratio of

deceleration. 4.7 Infill: Loosely dispersed materials that are added to the synthetic turf system, typically sand,

rubber, other suitable material, or a combination thereof. 4.8 Knitted: A process in which the yarn fibers of the pile are tied to the backing which was

simultaneously constructed by transforming continuous strands of multi-filaments into a series of interlocking loops, each row of such loops hanging from the row immediately preceding it.

4.9 Water Permeability: The rate at which water flows through a surface or system cross-section or components of the cross-section.

4.10 Planarity: Uniformity of the surface as compared to certain fixed predetermined points or prescribed slopes.

4.11 Primary Backing System: A single or multiple layers of woven or non-woven materials, into which the fiber is either tufted or knitted, to provide the initial construction of the synthetic turf.

4.12 Secondary Backing System: A coating and/or woven or non-woven fabric layer(s) applied to the primary backing after the fiber pile has been tufted or knitted into place, which serves to enhance tuft bind and provide additional structural integrity.

4.13 Shock Absorbing System: Component(s) that add resiliency to the system. 4.14 Sub-grade: A stabilized foundation onto which the base materials and field systems are

installed. 4.15 Synthetic Pile Fiber: Grass-like blades made of synthetic materials. 4.16 Synthetic Turf Systems: These systems are comprised of synthetic grass like surface piles,

tufted, or knitted into a primary backing system to which a secondary backing system has been applied; with or without infill material (s); a shock absorbing system, and suitable base materials with an appropriate drainage system.

4.17 Tufted: A process by which the fiber yarns that form the pile are inserted into a previously prepared blanket-like primary backing.

4.18 Abbreviations that may be referenced in the specifications. 4.19 Amateur Athletic Union (AAU) 4.20 American Society for Testing and Materials (ASTM)


4.21 Deutsches Institut fu r Normung (DIN) 4.22 Federation of International Football Association (FIFA) 4.23 International Amateur Athletic Federation (IAAF) 4.24 National Collegiate Athletic Association (NCAA) 4.25 Synthetic Turf Council (STC)

5 . Special Terms and Conditions

5.1 Acceptable bid security will be in an amount of $25,000 with the principal being the Bidder and the Association of Educational Purchasing Agencies being the Agency of Record. Bid Security may be a one-time bid bond underwritten by a surety company licensed to issue bid bonds in the state of Nevada and said surety to be approved in federal circular 570 as published by the United States treasury department or the equivalent in cash or an irrevocable letter of credit from a FDIC financial institution. The bid security shall remain in force for one hundred twenty (120) days of bid opening.

5.2 The Vendor Partner will warranty all parts and materials for at least 90 days from date of purchase or manufactures’ warranty, whichever is longer.

5.3 Vendor Partner will endeavor to supply products that are made in the United States of America. 5.4 Contractor's License: Each of the 26 states covered by this solicitation has its own state licensing

qualifications, requirements and processes. The Vendor Partner is responsible for knowing each state’s requirements and codes. At the time of the response, Vendor Partner must be able to comply with all licensing requirements. For those states where licenses are required, a copy of the appropriate licenses authorizing the Vendor Partner to undertake or purports to undertake, supervise, subcontract others, to construct or to provide services and materials described herein, shall be provided within 5 business days of request, and must have been in effect as of the date this bid was issued. If the Vendor Partner intends to subcontract with other qualified distributors, dealers or firms, the subcontractors must be listed and copies of their licenses shall be submitted by the Vendor Partner within 10 business days following request. All required licenses will be kept current and in compliance with the rules and regulations of each state’s regulatory agency.

5.5 Any contract awarded under this Category is an indefinite-quantity contract for synthetic turf with or without installation.. All costs associated with preparing quotes/job orders/cost proposals shall be the responsibility of the contractor and must be based on a detailed scope of work and in compliance with one of the approved pricing methodologies.

5.6 The Vendor Partner must be willing and able to demonstrate its past experience on at least five (5) acceptable installation of full-size football, soccer, baseball field, or other athletic/recreational fields (minimum of 70,000 square feet) in the United States within the past three (3) years.

5.7 The Vendor Partner must have the capacity to provide design, site inspection, site preparation and construction services for synthetic turf fields. These services may be provided by the Vendor Partner’s own staff or by subcontractors contracted and supervised by the Vendor Partner.

5.8 The Vendor Partner is responsible for ensuring that the design and construction drawings and manual clearly indicate, identify and communicate the products, services and testing that must be provided to deal with site preparation and public utilities; sub-base-works, drainage systems; and synthetic turf surfaces that comply with AAU, NCAA, FIFA, and state requirements.

5.9 For any project the proposer must comply with the Americans with Disabilities Act (ADA) (42 USC Section 12101 et seq.) and the Americans with Disabilities Act Architectural Guidelines (ADAAG), as well as the implementing requirements, 28 CFR Part 36, Federal Register, Vol. 56, No. 144, July 26, 1991, as amended.

5.10 The Vendor Partner must possess a knowledge and understanding of all federal, state, and local government codes, regulations and building codes dealing with the construction and installation of synthetic turf surfaces.


6. Standard Specifications [Fixed Specifications]

Item Description

6.1 All charges and components necessary for performance of the contract shall be clearly identified even if such are not specifically addressed in any paragraph or sub-paragraph or form that is a part of this request.




7. Product | Category Specific Specifications

Item Description 7.1. The standards and specifications provided below are intended to establish

minimum requirements and provide a general overview of the quality and type of products and services being requested.


7.3. The products and services may include, but are not limited to, the following. 7.4. Provide technical and consulting services relating to athletic and recreational

field surface design, characteristics, construction, and integration into the development of a new athletic or recreational facility.

7.5. Provide existing site inspection and investigation to identify soil conditions existing at the site in order to take into account the conditions found in the designing of athletic and recreational fields. The investigation shall include, but not be limited to:


7.5.2. Soil inspection for the existence of peat or other organic soils at the site. 7.5.3. Inspection for uncontrolled fill materials or waste materials at the site. 7.5.4. Inspection for expansive soils at the site. 7.5.5. High ground water conditions or surface water retention areas (low area

flooding). 7.6. Provide all labor, materials, equipment and drawings required to provide design

services for a project cost proposal with a complete scope of work, including all products, services and athletic and recreational field specifications with their associated costs. A preliminary construction time schedule shall be a part of the project proposal.

7.7. Provide all labor, materials, equipment, project drawings and construction documents necessary to establish, construct, install lines and markings required to complete the athletic or recreational field as identified and specified within the project documents for the individual Member's project scope of work and documents.

7.8. Provide all labor, materials and equipment required to assess and evaluate existing facilities, and develop and establish a plan of action for maintenance, repair and/or renovation of the existing athletic and recreational field to


Item Description condition as required by the Member.



7.11. The synthetic turf system and all of its components should be resistant to moisture, rot, mildew, bacteria, fungus growth, ultraviolet ray degradation, non-toxic, not cause commonly known allergic reactions at all field locations, and meet AEPA Member local state and environmental requirements.


7.13. Any Project to Include: 7.13.1. Assess and determine existing site conditions and Member's expectations for

the project. 7.13.2. Develop a proposed solution to conform to and meet the Member's expectations

while considering and ensuring the following: 7.13.2.1. The solution proposed is adequate and functional within the existing site

conditions and will comply with all building codes. 7.13.2.2. Provide labor, materials, equipment and supervision necessary to complete

installation of synthetic turf, including the following: 7.13.2.2.1. Site inspection and investigation. 7.13.2.2.2. Site preparation and sub-base. 7.13.2.2.3. Inspection and approval of sub-base. 7.13.2.2.4. Installation of proposed synthetic turf system with accessories, striping and

equipment. 7.13.2.3. Provide cost estimates and information relating to after-the-sale ongoing

inspection and maintenance services to ensure proper operation and upkeep of the synthetic field.



7.13.5. Prior to order of materials, the contractor shall submit the following: 7.13.5.1. Sample warranty. 7.13.5.2. Seam layout of the field and striping plans. 7.13.5.3. Details on construction, especially any details that may deviate from plans and

specifications. 7.13.6. Prior to the beginning of installation, the manufacturer/installer of the synthetic

turf shall inspect the sub-base and supply a Certificate of Sub-Base Acceptance for the purpose of obtaining manufacturer's warranty for the finished synthetic playing surface.

7.14. Components for Synthetic Turf Systems to include but not limited to: 7.14.1. Synthetic Turf Types: There are several different types of synthetic turf

available. They are distinguishable through the use of different fibers and different construction. Differentiated by construction are the tufted or the knitted synthetic turf systems. Both systems are comprised of synthetic fibers with primary and secondary backing systems and a resilient shock absorbing


Item Description system. The shock absorbing system can consist of infill, a padding system, or a combination of both.


7.14.3. Primary Backing Systems Material: The primary backing materials are of a woven or non-woven fabric in one or more layers which are utilized in the tufting process, or of high strength polyester multi-filament fiber utilized in the knitting process. This backing material provides the initial dimensional stability for the system.


7.14.5. Perforations: Depending on the final construction of the turf system, the system may or may not be permeable to water. Perforations are typically required of fully coated system backings to provide adequate vertical drainage throughout the system. Some turf systems may allow for drainage without perforations by employing a process of partial coating or other system designs. Developments in coating systems have provided for lighter weight and aqueous permeable chemicals; however, the drainage criteria must be met.

7.14.6. Infill Materials: The most recent generation of synthetic turf systems utilizes a long pile height and needs to be supported with infill materials for directional stability and structural integrity, as well as resiliency. The infill materials commonly used are EDPM, TPE, natural cork, ground fibers from coconut shells, coated and non-coated silica sand, crumb and coated rubber, other suitable materials, or combinations of sand, rubber, or other suitable materials

7.15. Performance of Synthetic Turf 7.15.1. Traction: The surface should provide good traction in all types of weather with

the use of conventional athletic type shoes applicable to the sports and/or activity specified.

7.15.2. Rotational Resistance: The surface should allow for twisting movements as is common in athletic activities. Rotational resistance measures the ability of the user to perform twisting motions when in contact with the surface.

7.15.3. Slip Resistance Component: The system should enable a predictable range of movement between the user and the surface uniformly throughout. The surface should balance traction and slippage by way of the sliding coefficient.


7.15.5. Impact Attenuation (g-max): The field surface should have the ability to adequately absorb player impact with the surface. The g-max and force reduction tests are two tests typically used. G-Max values may vary from location to location on a playing surface. Such variances shall be taken into account when setting maximum test values. A maximum, not-to-exceed limit should be specified for the life of the warranty. The STC's guideline is that g-max should be below 165 for the life of the field.

7.15.6. Surface Stability (vertical deformation): The surface should provide adequate stability so that the athlete can maintain body control to help prevent or properly control contact between athletes. This is an important consideration


Item Description that should be balanced with the surfaces' ability to absorb impact. If the surface is too soft, the stability provided by the field may not be optimal for player movement and body control.



7.15.9. Ball Bounce: The synthetic turf field should provide a ball bounce as close to the optimal playing characteristics of the sport or sports. The published standards for the regulatory organizations as applicable for each sport should be referenced.

7.15.10. Ball Roll: The synthetic turf field should provide a ball roll as close to optimal playing characteristics of the intended sport or sports. The published standards for the regulatory organizations as may be applicable for each sport should be referenced.

7.15.11. Appearance: Unless otherwise dictated by design, the synthetic turf should have a consistent color, texture, and shade without significantly noticeable streaks or other irregularities when observed in any direction.

7.16. Warranties for the synthetic turf field systems should include the following: 7.16.1. Acceptable uses for the field 7.16.2. Expected number of yearly hours of use of the field 7.16.3. Type of shoes used 7.16.4. Fading 7.16.5. Color match within specifications 7.16.6. Excessive fiber wear 7.16.7. Acceptable loss of pile height over time 7.16.8. Wrinkling and panel movement 7.16.9. Shock absorbency (g-max) 7.16.10. Seam integrity 7.16.11. Drainage 7.16.12. Response time for required repairs/replacement 7.16.13. Approved maintenance equipment 7.16.14. Other items deemed relevant 7.17. Maintenance: 7.17.1. A regular schedule of maintenance should include but not limited to surface

cleaning, debris removal, grooming, and infill replenishment, redistribution, and de-compaction.

7.17.2. The maintenance procedures and equipment, as specified by the synthetic turf manufacturer or Synthetic Turf Council's Guidelines for the Maintenance of Infilled Synthetic Turf Surfaces, January 2013, for additional information.

7.18. Other Considerations: 7.18.1. The synthetic turf supplier, unless the base is part of their scope of work, should

perform an inspection of the field planarity base on to which the synthetic turf system is to be installed and to examine the finished surface for required compaction, water permeability, and grade tolerances. After any discrepancies between the required materials, application, and tolerance requirements noted have been corrected, the owner's representative (architect/engineer) should review and approve for compliance with documents. The acceptance of the base construction should be included in the certification for warranty validation.

7.18.2. Extra Materials: the synthetic turf manufacturer and installation contractor can provide extra sections of synthetic turf material for future repairs. If necessary, this should include materials for all colors used with any lines, markings, and


Item Description logos. Quantities to be predetermined. This allows for materials from the same manufacturing run to be utilized for minor repairs.

7.19. Drainage System Components 7.19.1. The system chosen will depend on the use of the field, climate, amount of

rainfall, and other factors. 7.19.2. The drainage system may include but not limited to the synthetic turf, pad, base

materials, and collector pipes that collect and remove storm water from the playing field.


7.19.4. Collector pipes are typically perforated polyvinyl chloride (PVC) or polyethylene (PE) pipes. Size and type of perforations are dependent upon the size of the pipe. If perforations are larger than the smallest aggregate in the base material then a geo-textile sock filter may be used to encapsulate the pipe-care should be taken to ensure that the openings in the geo-textile fabric are compatible with the granular smaller components so that they do not block the pores and reduce water flow. A qualified civil or geotechnical engineer should be consulted to determine the suitability of using a product with a geo-textile sock in conjunction with the selected base materials. Additionally the compressive strength of various systems can differ greatly and care should be taken to keep construction traffic off of the systems until enough stone has been placed and compacted.


7.20. Base Materials 7.20.1. The aggregate base on which the synthetic turf is installed provides a

structurally sound foundation for field construction, and a media for drainage of the field. The base materials should contain the necessary components and characteristics to satisfy local conditions. A good geotechnical report will provide essential information for a firm and stable base for the synthetic turf.

7.20.2. Depending on the local site conditions, a geo-textile fabric may be placed over the entire sub-grade and within the pipe trenches prior to the installation of the base materials to minimize contamination of the aggregate and possible clogging of the perforated drainage pipes. Where soil conditions warrant, a polyethylene, PVC, or other impermeable sheet liner may be used in lieu of the geo-textile to inhibit storm water infiltration into the subsoil.

7.20.3. The aggregate materials utilized to construct the field base must be a properly graded washed crushed stone to provide a balance between stability and permeability. A highly fractured material is desirable to provide the surface stability required for the synthetic turf surfacing, supplemental padding or porous paving as applicable. The graded aggregate particle sizes must be tightly controlled to fall within the bandwidth for all specified sieve sizes with just enough lines to provide stability while still allowing for sufficient drainage. Minimum stability and permeability requirements should be determined and confirmed by an independent certified laboratory prior to construction of the base course.

7.20.4. The base materials should be thoroughly compacted to prevent differential settlement across the field area. Minimum compaction levels typically should not be less than 95% density as measured by a standard proctor test. Special attention should be given to backfill compaction of any utility trenches that cross the field area. Care should also be taken not to over compact, which could affect drainage.



Item Description 7.20.6. Water permeability rates for both the field's surfacing and the field base

materials should be designed to accommodate the local weather patterns and storm water management regulations. The permeability of both the field surface and the base materials will typically decrease over the life of the field. An adequate factor of safety should be utilized to provide initial infiltration rates for the completed field above those required by the local weather conditions.

7.21. Shock Absorbing Resilient Underlayment Systems 7.21.1. Performance Characteristics: The selection of the cushion layers should be

closely coordinated with the performance characteristics of the synthetic turf utilized. The cushion layers should provide shock absorption without compromising footing and surface stability.


7.21.2.1. Physical Characteristics: Prefabricated cushion layers are typically comprised of rubber, polyurethane foam, or other suitable materials. The rubber pads are SBR rubber fibers or granules bound together with a polyurethane binder and usually come as roll or piece goods and should be permeable. The foam cushion layers are typically polyurethane or polyvinyl chloride and should be water permeable for drainage.

7.21.2.2. Performance Characteristics: The selection of the cushion layers should be closely coordinated with the performance characteristics and requirements of the synthetic turf system utilized. The cushion layers should provide shock absorption without compromising footing and/or surface stability.

7.21.2.3. Water Permeability Rate: The system is to be permeable by design with adequate drainage, perforations through all of the cushioning layers to provide for adequate drainage through the system as specified.

7.22. Irrigation System: 7.22.1. The installation of a manual or automatic irrigation system can be considered

for synthetic turf installations. Guidelines on whether synthetic fields are watered are determined by factors such as region, climate, turf material, player traffic type, and level of games played.


7.23. Seams: 7.23.1. Each panel or roll should be attached to the next with a seam to form the

playing substrate of the field. Seams should be glued with a supplemental backing material or sewn with high strength sewing thread. The bonding or fastening of all system material components should provide a permanent, tight, secure, and hazard-free athletic playing surface.

7.23.2. Adhesive: Synthetic turf adhesives should be applied by experienced, professional installers. The adhesives should provide a strong, hazard-free, and durable bond between the adjacent turf panels or sections and to be usable for installation under variable weather conditions. The adhesive should also be resistant to water, fungus, and mildew. Synthetic turf adhesives include: one-part adhesives (urethanes), two-part (epoxy or urethane), hot melt, and water-based (latex).

7.23.3. Seaming Tape: The tape is comprised of a fabric that should be installed below the backing material on both sides of a seam or inlay. The fabric used for seaming tape should provide dimensional strength and enough surface texture and width to bond well with the adhesive and the turf backing material on each side of the seam.

7.24. Lines and Markings: 7.24.1. Installation: Lines and markings should be installed on the synthetic turf surface


Item Description in one of three methods: with paint, with colored fiber that is either tufted or knitted into the synthetic turf panels, or installed as inlays. Tufted in or inlaid lines and markings are a permanent part of the surface.

7.24.2. Painted lines and markings installed with either permanent or temporary paint require maintenance. Even permanently painted lines require additional paint on a periodic basis.


7.25. Inserts: 7.25.1. They can include covers for goal sleeves and anchors and conversion of

baseball infield clay areas to synthetic turf. 7.25.2. The synthetic turf used for the inserts should be similar to that used in the area

adjacent to the insert. 7.25.3. The inserts should be anchored securely to the surrounding areas so that they

cannot be displaced by the activities occurring on the field and installed to the same tolerances.

7.26. Synthetic Turf Material Production Quality Assurance . 7.26.1. Testing of materials should be performed prior to shipment of product to the job

site. 7.26.2. The synthetic turf rolls should be randomly sampled and tested by the

manufacturer who will certify that they meet the specification. 7.26.3. Testing may include pile composition, pile weight, total weight, pile height, tuft

bind (without infill), and grab/tear strength. 7.26.4. The manufacturer, to certify in writing at the owner request that the test results

meet or exceed the synthetic turf specification. 7.27. Construction and Installation 7.27.1. Inspection: 7.27.1.1. Synthetic materials should be inspected prior to installation for: 7.27.1.1.1. Damaged or defective goods 7.27.1.1.2. Missing goods or quantities 7.27.1.1.3. Correct fiber type 7.27.1.1.4. Correct turf pile height and weight 7.27.1.1.5. Proper tuft bind 7.27.1.1.6. Correct backing perforation diameter and spacing, if applicable 7.27.1.1.7. Materials out of tolerance with the specification 7.27.2. Sub-Grade Preparation 7.27.2.1. The sub-grade should provide a stabilized foundation upon which base

materials and subsequent components of playing field systems will be installed. 7.27.2.2. It should also provide the pitched surface on which storm water is directed

toward the active drainage system for evacuation. 7.27.3. Shape and Compaction: Prior to placement of base materials, the sub-grade

should be shaped to an appropriate profile and compacted by proof rolling to obtain a firm even surface. Depressed areas should be filled and unsuitable materials removed and replaced with clean fill or aggregate. Compaction should be performed to achieve a minimum of 95% in accordance with ASTM D698 Standard Proctor Method. The appropriate moisture content must be maintained in the field sub-grade to allow for optimal levels of compaction.

7.27.4. Sub-Grade (Rough) Planarity: The tolerances for the finished sub-grade should not exceed one-half (1/2") inch as measured by a 10-foot straight edge. Grading of the sub-grade shall minimize pending to the extent practical. The use of laser guided and controlled equipment is highly recommended for sub-grade preparation.


Item Description 7.27.5. Aggregate: 7.27.5.1. Installation of the aggregate base should provide a close, evenly textured

surface meeting the required tolerances. 7.27.5.2. Extreme care should be taken to ensure that there is no disturbance to the sub-

grade and that there is no displacement of the soil separator. All disturbed, displaced, or damaged material is to be repaired or replaced.

7.27.5.3. The aggregate base should be placed in a manner that will produce a uniform and evenly graded mass to the specified depth. The material should be placed and spread by the appropriate equipment and methods in successive horizontal layers not exceeding the depth per synthetic turf manufacturer's specifications. Pockets that occur as a result of stone segregation during installation should be removed and replaced. After correct placement, each lift shall be uniformly compacted with a self-propelled roller to achieve the specified density.

7.27.5.4. The field base materials should be thoroughly compacted to prevent any significant differential settlement across the area of synthetic turf surfacing. The appropriate moisture content must be maintained in the base materials to allow for optimal levels of compaction.

7.27.5.5. Finish-Grade Planarity (surface tolerances): Irregularities in the surface of the base materials are typically reflected in the finished field surface. To controlled tolerances the contractor is to use a laser guided and controlled equipment for subgrade preparation. The local deviation of the finished surface of the base stone should not exceed ¼ in. in any direction when measured beneath a 10-foot long straight edge. Hollows and depressions, which may have developed during the process of compacting the base, should be filled with acceptable material and re-compacted.

7.28. Shock Absorbing Resilient Underlayment System: 7.28.1. Cushion-Layer (Elastic Layer Pad) Installation: If required by design, the in situ

cushion layers should be installed with specialized paving equipment used only for in situ pad. All paving seams should be hand rolled and troweled. All cold joints in the pad should be pretreated with a polyurethane primer. The specified thickness of the in situ pad should be continuously monitored for consistency. The components of the in situ cushion layers should be thoroughly mixed. The mixing ratios should also be monitored for consistency. The cushion-layer system should be securely placed on the field base materials. The in situ cushion surface should not vary more than ¼ in. in 10 ft. as measured in any direction with a string line or straight edge.

7.28.2. Seam Installation: If required by design, prefabricated cushion-layer systems are typically installed as roll or piece goods. The head seams at the end of each roll should be staggered across the field. When required by the padding manufacturer, all glued cushion-layer seams should be butted together and a permeable or mesh type fabric should be adhered to the surface of the cushion layer at all seam locations to bridge the cushion-layer joints. (This does not apply to sewn seams).

7.28.3. Resilient Infill: If required by design, the infill material should be applied when in a dry condition and should not be applied unless the synthetic turf is also dry. The infill material should be applied in consistent layers with multiple applications. It is critical to insure that synthetic fibers are not trapped underneath the infill. After application of each layer, the synthetic turf should be dragged and/or brushed according to the manufacturer's recommendations in order to lift the fibers and distribute the infill material into the turf system in a consistent manner.

7.29. Irrigation System 7.29.1. Sprinklers located inside the field of play are not acceptable. The installation of

multiple infield sprinklers is and can affect the turf's adhesion to the field base.


Item Description This can have a negative effect on the completed turf planarity and consistency. Use of agricultural, long range sprinkler guns mounted on riser posts or long range perimeter pop-up sprinklers buried at grade level, the popup sprinklers provide discrete, low level, unobtrusive, long range performance with the ability to throw beyond the half way line.


7.29.3. Manual or remote controllers can be offered 7.29.4. Warning notification sound and visual safety measures to ensure players,

spectators and service personnel are not at risk from the water jet as the sprinklers are activated can be offered.

7.30. Synthetic Turf Installation: 7.30.1. All synthetic turf systems should be installed to provide stability that will

prevent panels from shifting or bunching. 7.30.2. The synthetic turf panels should be securely fastened together for the warranted

life of the system. These seams can be glued or sewn depending upon the synthetic turf system . Seam gaps should be minimal and uniform. For tufted infill systems the gap between the fibers should not exceed the gauge of the tufting. For other synthetic turf systems, the seam gaps should not exceed 1/16 in.


7.30.4. Inlaid lines and markings should consist of synthetic turf with contrasting colored fiber installed in lieu of painted fiber. Inlay gaps should be uniform. For tufted systems, the gap between the fibers should not exceed the gauge of the tufting. Lines and markings must conform to the appropriate association or organization suggested guidelines for the intended level of use.

7.30.5. Care should be taken during installation to account for rapid fluctuations in temperature to avoid expansion and/or contraction which can affect the final installation. Temperature extremes should also be carefully monitored. The carpet should never be rolled or unrolled when frozen, which can cause cracking and irreparable damage to the secondary backing.


7.30.7. G-Max testing to be performed by an independent testing company or lab. 7.31. Clean-Up 7.31.1. Turf contractor shall provide the labor, supplies and equipment as necessary for

final cleaning of surfaces and installed items. 7.31.2. All usable remnants of new material shall become the property of the Member. 7.31.3. The turf contractor shall keep the area clean throughout the project and clear of

debris. 7.31.4. Surfaces, recesses, enclosures, etc., shall be cleaned, as necessary, to leave the

work area in a clean, immaculate condition ready for immediate occupancy and use by the Member.

7.32. Field Quality Control 7.32.1. At the time of substantial completion and bi-annually during the life of the

warranty, the Contractor shall perform a series of tests using an independent testing agency to evaluate the shock absorption characteristics of the field. The tests shall be performed on a 50 foot grid in both directions using an accelerometer in accordance with ASTM F1936 and ASTM F355. Test the field at a minimum of 12 points and submit the results to the Owner within 30 days of testing. At no point shall any reading exceed 160 Gmax during the life of the warranty. If any point exceeds the maximum deceleration, the Contractor shall


Item Description make corrections to provide the allowable Gmax deceleration at the Contractor's expense. Owner has the option to engage a qualified independent testing and inspecting agency to perform field tests and inspections and prepare test reports.



7.33. Field Markings and Decorations 7.33.1. A complete field "Lining, Marking, and Field Boundary" system will be

provided with the installation of the surfacing system. 7.33.2. Field markings are to be installed in accordance with approved project shop

drawings and marking plan. 7.33.3. Tufted lines, hash marks, ticks, and number markings, shall conform to the

manufacturers' specifications and recommendations. 7.33.4. Striping layouts shall be accurately surveyed by the Contractor before

installation of tufted field markings. 7.33.5. Install tufted lines and markings only when the surface is completely dry. 7.33.6. AEPA Member will provide logos as required in a format that the contractor

requires. The Contractor shall submit shop drawing of logo to include colors, dimensions and locations for approval prior to ordering and installation.

7.34. Synthetic Turf Maintenance 7.34.1. The turf manufacturer to provide detailed written maintenance instructions and

training of maintenance personnel. Maintenance to include but not limited to cleaning, stain removal, minor seam repair, dragging, or redistribution of any infill material, and management of infill compaction. The Vendor Partner can offer equipment and supplies that are required for the maintenance of the synthetic turf surface. Utilizing this equipment as recommended by the turf manufacturer will generate the proper maintenance in relation to any future warranty claims.

7.34.2. Seam Repair: Seams that open or become loose may require some immediate and temporary gluing until they can be inspected and corrected by the installation builder. The gluing should conform to the written maintenance suggested guidelines provided by the synthetic turf vendor.

7.35. Quality Assurance 7.35.1. Manufacturer - Proposed solutions must be equal to or better than those

available from nationally-recognized manufacturers specializing in outdoor synthetic turf products for athletic and recreational facilities.

7.35.2. Manufacturer Qualifications - Manufacturer must have ten (10) years of experience in the manufacture of synthetic turf systems which meet and/or exceed the standards and guidelines presented herein.

7.35.3. Engineering Qualifications - The Vendor Partner must have a professional engineer, licensed in the state where the field is to be installed to review and certify that the proposed site, site conditions and synthetic turf system being supplied and installed meets or exceeds the design criteria of the specifications, and the site conditions exceed the minimum requirements of the system's design performance standards set by the manufacturer.

7.35.4. Installer Qualifications - Factory-trained and certified with a minimum of three (3) years' experience of successfully installing synthetic turf systems. Must have the appropriate contractor's license as required by the state or local jurisdiction where the field will be installed.

7.36. Project Documents and Submittals 7.36.1. Design Documents


Item Description 7.36.1.1. Planning 7.36.1.2. Grading Plan 7.36.1.3. Drainage Plan 7.36.1.4. Edge Details 7.36.1.5. Installation Instructions and standards 7.36.2. Project Schedule 7.36.3. Shop Drawings - Show all site preparation, materials, supplies and fixtures to

be furnished even if provided by others. 7.36.4. Synthetic Turf Product Data Sheet and Specifications. 7.36.5. Material Safety Data Sheets (MSDS) 7.36.6. Testing Requirements 7.36.6.1. G-Max Testing 7.36.6.2. Lead and Heavy Metal Testing 7.36.6.3. All turf fiber, infill, base and subbase, etc 7.36.7. Maintenance Manual and Instructions 7.36.8. Samples - Samples of materials and colors as requested by the owner or owner's

representative. 7.36.9. Detail information on all items and work to be provided and/or performed by

the Member and stipulate minimum requirements. 7.36.10. Warranty 7.36.10.1. Written warranty documents 7.36.10.2. Warranty insurance policy. 7.36.11. Cost Proposal - Detail breakdown of all costs associated with the design,

manufacture, delivery, installation, and warranty of the proposed solution per contract documents.

7.37. Project Close-out 7.37.1. The Contractor and the Member's representative shall conduct a complete and

extensive site inspection of all work performed and products provided and installed.





7.37.6. Certificate of occupancy. 7.37.7. Maintenance manuals. 7.37.8. Up to four (4) complete sets of "as built" project drawings, showing the actual

locations of seams, drains, in-ground equipment and other accessories installed/provided as required by AEPA Member.


7.37.10. Manufacturer's Instructions and Maintenance Manuals, which will include all necessary instructions for the proper care and preventative maintenance of the synthetic turf system, including painting and markings, procedures of use and executed warranties on installed products and equipment.



Item Description 7.37.12. All warranty information. 7.38. Material Specification, Performance Guidelines, Properties and Lab and Field

Tests Requirements 7.38.1. All minimum and maximum values take into account acceptable industry

manufacturing tolerances plus or minus 2% of the variance. 7.38.2. Testing to meet the minimum standards of the Synthetic Turf Council

recommendations are for specific purposes such as the following. 7.38.3. All minimum values should be evaluated as they relate to the system

performance. 7.38.4. Site testing shall be at ambient shaded air temperature of 40 - 100°F.

Laboratory testing shall be at ambient indoor temperature unless otherwise specified by the test method.

7.38.5. Base Materials Test Requirements Test Property Method of Determination STC Guidelines Lab/Field

Test Size of particle mix


As per specification Lab (on site material)

Drainage ASTM F1551/DIN 18035:6

Permeability to water*

ASTM D2434 Permeability of Granular Soils (Constant Head)

Min. of 0.01 cm/s

(14 in. per hour)

Lab or Field **



ASTM D2922 Compaction of Soil In Place by Nuclear

Methods

To set criteria for ASTM D2922

Min. 90% Standard Proctor

Lab/Field


Less than 1/4 in. over 10 ft

6mm over 1m

Field

7.38.6. Determination in the lab: It is necessary to seal the test ring to the base of the sample. The edges of the sample must also be sealed to prevent any water from flowing around rather than through the sample.

7.38.7. ** Determination in the field: An exact seal is typically not attainable and the test is not as accurate/reproducible due to the lateral flow of water and the problems of determining the areas through which the water is flowing.


Test Property


STC Guidelines

Lab/Field Test



Not Specified

N/A

Pile Fiber ID


Not Specified

N/A


Item Description Primary Backing System ID


Not Specified

N/A



Polyurethane/Latex/Fabrics

N/A

Pile (face weight)

ASTM D5848

Min. 30 oz./sq. yd.

Lab


ASTM D5848

Min. 5.5 oz./sq. yd.

Lab


ASTM D5848

Min. 16 oz./sq. yd.

Lab

Pile Height

ASTM D5823

Sport specific or as specified

Lab/Field


Measurement

Must meet system specs

Lab/Field

Yarn Thickness

ASTM D3218

Min. 75 microns

Lab tested

Yarn Denier

ASTM D1577

Min. 500 (nylon)

Lab tested

Grab Tear Strength

ASTM D5034

Min. 150 lbs.

Lab

Tuft Bind

ASTM D1335

Min. Avg. 6 pounds

Lab only

Flammability



Lab

Color Uniformity

Visual

No significant change

Lab & Field

7.40. Turf Characteristics For Knitted Turf Systems Test Property Method of Determination STC Guidelines Lab/Field

Test Manufacturer of System (name)


Not Specified N/A

Pile Fiber ID


Not Specified

N/A



Not Specified

N/A




N/A

Pile (face weight)

ASTM D5848

Min. 55 oz./sq. yd.

Lab

Primary Backing

ASTM D5848

Min. 8 oz./sq. yd.

Lab


Item Description System Weight Secondary Backing System Weight

ASTM D5848


Lab

Pile Height

ASTM D5823

Min. 0.5 in.

Lab/Field


Measurement

N/A

Lab/Field

Yarn Denier

ASTM D1907

Min. 500 (nylon)

Lab

Yarn Thickness

ASTM D3218


Lab

Grab Tear Strength

ASTM D5034

Min. 350 pounds

Lab

Tuft Bind

ASTM D1335

Min. Avg. 6 lbs.

Lab

Flammability



Lab


ASTM F1015

Measurement

Lab

Color Uniformity

Visual

No significant changes Lab &

Field 7.41. Turf Characteristics For Tufted Polypropylene (Pp), Polyethylene (Pe), Or Nylon

Systems (Non-‐Infill Systems) Test Property


STC Guidelines

Lab/Field Test



Not Specified

N/A

Pile Fiber ID


Nylon 6 or 6,6; PP, PE

N/A



Not Specified

N/A



Polyurethane

N/A

Pile (face weight)

ASTM D5848

Min. 48 oz./sq. yd.

Lab


ASTM D5848

Min. 6 oz./sq. yd.

Lab


ASTM D5848

Min. 16 oz./sq. yd.

Lab

Pile Height

ASTM D5823 or D6859

Min. 0.45 in.

Lab/Field


Measurement

N/A

Lab/Field

Fiber


Item Description Conditioning Manufacturer Declaration Texturized N/A Yarn Denier

ASTM D1907 Min. 500 Nylon

Lab

Yarn Thickness ASTM D3218


Lab

Yarn Elongation

ASTM D2256

N/A

Lab

Grab Tear Strength

ASTM D5034

Min. 150 pounds

Lab


ASTM D2256


Lab

Tuft Bind

ASTM D1335

Min. Avg. 6 lbs.

Lab

Flammability



Lab

Color Uniformity

Visual


Lab & Field

7.42. INFILL Materials 7.42.1. Infill Materials: The most recent generation of synthetic turf systems utilizes a

long pile height and needs to be supported with infill materials for directional stability and structural integrity, as well as resiliency. The infill materials commonly used are sand, rubber, other suitable materials, or combinations of the following:

7.42.1.1. EPDM (Ethylene Propylene Diene Monomer) is a polymer elastomer with high resistance to abrasion and wear and will not change its solid form under high temperatures. Typical EPDM colors are green and tan. EPDM has proven its durability as an infill product in all types of climates. Its excellent elasticity properties and resistance to atmospheric and chemical agents provide a stable, high performance infill product.

7.42.1.2. TPE (Thermo plastic elastomer) infill is non-‐toxic, heavy metal free, available in a variety of colors that resist fading, very long lasting, and 100% recyclable and reusable as infill when the field is replaced. TPE infill, when utilizing virgin-‐based resins, will offer consistent performance and excellent g-‐ max over a wide temperature range.

7.42.1.3. Organics: There are several organic infill utilizing different organic components, such as natural cork and or ground fibers from the outside shell of the coconut. These products can be utilized in sports applications as well as for landscaping.

7.42.1.4. Silica Sand: This product is a natural infill that is non-‐toxic, chemically stable, and fracture resistant. Silica sand infills are typically tan, off-‐tan or white in color and depending upon plant location, may be round or sub-‐round in particle shape. As a natural product there is no possibility of heavy metals, and the dust/turbidity rating is less than 100. It can be used in conjunction with many other to provide a safe and more realistic playing surface. The round shape plays an integral part in the synthetic turf system. Silica sand have a high purity (greater than 90%) to resist crushing and absorption of bacteria and other field contaminants. Silica sand can either be coated with different materials as a standalone product or can be used to firm up in combination with traditional crumb rubber infill systems.


Item Description 7.42.1.5. Coated Silica Sand: This class of infill consists of coated, high purity silica sand

with either a soft or rigid coating specifically engineered for synthetic turf. These coatings are either elastomeric or acrylic in nature (non-‐toxic) and form a bond with the sand grain sealing it from bacteria to provide superior performance and durability over the life of a field. Coated sand is available in various sizes to meet the application's needs.

7.42.1.6. Crumb Rubber: Two types of crumb rubber infill exist: Ambient and Cryogenic. Crumb rubber infill is substantially metal free, and, according to the STC's Guidelines for Crumb Rubber Infill Used in Synthetic Turf Fields, should not contain liberated fiber in an amount that exceeds .01% of the total weight of crumb rubber, or .6 lbs. per ton.

7.42.1.7. Coated Rubber: Both ambient and cryogenic rubber can be coated with colorants, sealers, or anti-‐microbial substances if desired. Coated rubber provides additional aesthetic appeal, reduction of dust by products during the manufacturing process and complete encapsulation of the rubber particle.

7.42.1.8. Hybrid: Constitutes the use of sand, rubber, or other suitable materials in various combinations. (This should not be confused with hybrid carpet systems that consist of a combination of fiber types.)

Test Property


STC Guidelines

Lab/Field Test




N/A




Lab



Lab/Field



Lab

Color Uniformity

Visual


Lab/Field

7.43. Shock Pad Layer Properties Test Property Method of

Determination STC Guidelines Lab/Field Test




N/A

Mix Design Manufacturer Declaration


N/A


Min. of 14 in. per hour Lab/Field


ASTM F1508 Sieve Analysis


Lab



Field

Thickness Measurement Meet system spec at every point measured

Lab/Field


Item Description (+1/4 in./-0) (+6 mm/-0 mm) cushion layer

7.44. Performance Guidelines 7.44.1. The values indicated on these Tables are based on the performance of infill

systems currently available and found to be satisfactory nationally and internationally.

7.44.2. Performance Guidelines for (North American) Football Fields Property Description Test Method STC Guidelines

Shock Absorption


ASTM F1936 (g-max) Shall not exceed 200 at each test point*


ASTM F2157-02** ≤ 10 mm

Drainage Measure of water passage

ASTM F1551 14 in./hr. Base 10 in./hr. Turf System

7.44.3. Performance Guidelines for Soccer Fields Property

Description

Test Method

STC Guidelines


ASTM F2117 30% - ≤ 50%

Ball Roll A measure of how far a ball rolls

EN 12234 4m - 10m

Force Reduction


ASTM F2157-02

55% - 70%


ASTM F2157-02* ≤ 10mm




Drainage Measure of water passage

ASTM F1551 14 in./hr. Base 10 in/hr. Turf System

7.44.3.1. *To prevent compaction the mass must be caught after each impact 7.44.3.2. Legend 7.44.3.3. ASTM - Test method published by the American Society for Testing and

Materials 7.44.3.4. EN -Test method published by the European Standards Organization 7.44.3.5. FIFA -Test method described in FIFA Handbook of Test Methods and

Requirements for Artificial Turf Football Surfaces 7.45. Materials Specifications 7.45.1. The reference specifications, as established by the Synthetic Turf Council, are

"typical" examples of minimums that are most commonly encountered and have fulfilled reasonable expectations for successful performance. Deviations from these minimums can be expected due to product innovations or quality upgrades and can be considered when properly justified in terms of their expected performance.


7.45.3. Environmental Conditions: Suitable weather conditions are important for the


Item Description successful installation of the systems.


7.45.5. Synthetic Turf Specification FIBER: Material PE, PP, Nylon 6, or Nylon 6.6 Denier Must meet system specs BACKING (primary/secon

dary):

Weight primary Not less than 5.5 oz. Per sq. Yd. Weight secondary

Not less than 16 oz. Per sq. Yd.

Additional backings

Optional

FABRIC: Width 12 ft. to 15 ft. Tuft bind > 6.8 lbs. or 30 N Pile height Sport specific or as specified Pile weight Not less than 30 oz./per sq. yd. Must meet system specifications. Grab tear strength

Not less than 150 lbs.

Pill burn test Passing results tested as installed. INFILL SYSTEM:

Depending on Manufacturer's recommendation.

Depth of infill Nominal, per Manufacturer's recommendation. Impact attenuation


Water Permeability

Turf cushion layer - min. 10 in./hour

7.45.6. Knitted Synthetic Turf Specification - Short pile FIBER: Material PE, PP, Nylon 6, or Nylon 6.6 Denier Min. 500 Nylon Thickness Min. 75 microns PE or PP BACKING (primary/secon

dary):

Ground Yarn Polyester multi-filaments Weight primary Min. 8 oz./sq. yd. Acrylic Min. 3 oz./sq. yd. Polyurethane attached cushion

optional

FABRIC: Width Typically 15 ft. Tuft bind N/A Pile height Sport specific or as specified Pile weight Min. 55 oz./sq. yd. Grab tear strength

Min. 350 lbs.


Item Description Pill burn test Passing results tested as installed Total Weight Min. 66 oz./sq. yd. (without attached cushion) INFILL SYSTEM:

Depending on Manufacturer's recommendation

Impact attenuation


Water Permeability


7.45.7. Tufted Synthetic Turf Specification - Short pile FIBER: Material Nylon 6, Nylon 6.6, PE or PP Denier Min. 500 nylon Thickness Min. 75 microns PE

Min. 50 microns PP BACKING (primary/secon

dary):

Woven PP/non-woven

Single or multiple

Weight Min. 6 oz./sq. yd. Scrap Coat Min. 16 oz./sq. yd. Attached cushion Secondary and/or cushion


FABRIC: Width 12-15 ft. Tuft Bind >6.8 lbs. or 30 N Pile Height Sport specific or as specified Pile Weight Min. 48 oz./sq. yd. Grab Tear Strength

Min. 150 lbs.

Pill Burn Test Passing results tested as installed Total Weight Depending on individual construction SYSTEM: Impact attenuation


Water Permeability


7.45.8. Shock Pad-Pre-Fabricated Pad Systems Specification Typical Requirement

Thickness 0.375 in. ± 10% Density 4.0 lbs./cu. ft. ±10% Weight 38 oz./sq. yd. Width 4 ft. 25% Compression Resistance (ASTM D1667)

10-12 psi

Tensile Strength Typically 75 psi


Item Description (ASTM D412) 7.45.9. Shock Pad-In Situ Systems Specification (typical ranges) Thickness: 35 mm 25 mm 20 mm Density: 2 lbs./cu. ft. 1.5 lbs./cu. ft. 1.2 lbs./cu. ft. Weight: 56 lbs./sq. yd. 40 lbs./sq. yd. 32 lbs./sq. yd. Component: SBR Aggregate PU Binder 1-5 mm 1-3 mm Percentages (by weight):

60-63% 30-32% 5-10%

7.45.9.1. Mix Design (all percentages by weight) 7.45.9.1.1. Note: Typically the mix design is determined first, to satisfy the needs of the

field in relation to its declared use. The mix design then will determine the weight, density, and thickness which should fall within the parameters indicated.

7.45.9.1.2. SBR granules to be dust free, no elongated particles are allowed. 7.45.9.1.3. Aggregate to be washed/clean, preferably round (pea gravel). 7.45.9.1.4. Application to be performed by the use of continuous mixing device and

suitable paving equipment. 7.46. Warranty 7.46.1. The Prime Contractor shall provide a warranty to the owner that covers defects

in the prep-work, installation and workmanship, and further warrant that the installation was done in accordance with both the manufacturer's recommendations and any written directives of the manufacturer's onsite representative.

7.46.2. Manufacturer's warranty shall include for a period of eight (8) years: 7.46.3. General wear and damage caused from UV degradation. 7.46.4. The artificial grass field turf must maintain an ASTM 355 G-max in accordance

with product specifications for the life of the warranty. 7.46.5. The warranty shall specifically exclude vandalism and acts of God beyond the

control of the owner or the manufacturer. 7.46.6. Surface and the adhesives used in the installation are and will be free from

defects in material and workmanship. 7.46.7. All defects for failures relating to field construction, drainage, synthetic grass

seam rupture, and synthetic yarn UV stability, excessive wear and tensile strength.

7.46.8. The warranty must be supported by a paid-up insurance policy from an A.M. Best A-Rated insurance company to ensure that, if warranty work is required during the full eight (8) year required warranty period, the work can be obtained even if the manufacturer/Vendor Partner shall go out of business or no longer exist.


7.46.10. There are no periods of non-coverage during the warranty period. 7.46.11. No annual deductible per field for warranty repairs. 7.46.12. The Prime Contractor shall provide a warranty to the owner that covers defects

in the prep-work, installation, and workmanship, and further warrant that the installation was done in accordance with both the manufacturer's recommendations and any written directives of the manufacturer's on-site representative.

7.46.13. The Vendor Partner may offer extended warranties or maintenance agreements if available at an additional cost to Members. The maintenance contract must be offered as a separate line item.


INVITATION FOR BID

AEPA IFB #016-G Athletic Surfaces – Synthetic Turf

PART C – BID FORMS

TABLE OF CONTENTS

Bid Submittal Instructions ........................................................................................ 1 FORM: Bid Proposal Table of Contents ................................................................. 2 FORM A: Bid Affidavit ............................................................................................. 3 FORM B: Acceptance of Bid and Contract Award ................................................ 4 FORM C: Service Questionnaire for Bidder ........................................................... 5 FORM D: Company Information............................................................................. 9 FORM E: Exceptions to Terms and Conditions .................................................. 14 FORM F.1: Compliance ......................................................................................... 15 FORM F.2: Deviations............................................................................................. 37 FORM G: Pricing Schedule Submittal Instructions............................................. 38

BID SUBMITTAL INSTRUCTIONS

1. Bid submission instructions can be found in Part A: Terms and Conditions, Section II, F: Bid Submission of this

solicitation. Bidders are reminded that failure to follow, comply with, and adhere to these instructions of this solicitation may result in their response being deemed non-responsive.

2. It is the bidder’s responsibility to ascertain that all documents submitted have been saved completely and appropriately to the CD or flash drive. Bidders should test both of the CDs or flash drives on computers independent from the system on which they were created to make sure the documents can be opened. Electronic media that cannot be opened by the bid committee may result in the rejection of the proposal.

3. AEPA, its member agencies, affiliate agencies and authorized representatives are not responsible for bid proposals that are incomplete, unreadable or received after the deadline.

503-692-4869

FieldTurf USA Inc Table of Contents

FieldTurf USA Inc Form A

FieldTurf USA Inc Form B

FieldTurf USA Inc Form C

FieldTurf USA Inc Form D

FieldTurf USA Inc Exhibits 13, 14 & 15.Also included in FieldTurf USA Inc

Form D

FieldTurf USA Inc Form E



FieldTurf USA Inc Part B

FieldTurf USA Inc MI State SpecificFieldTurf USA Inc NJ State SpecificFieldTurf USA Inc WA State Specific

FieldTurf USA Inc Form G

FieldTurf USA Inc Form G PricingAEPA IFB G Turf

FieldTurf USA Inc Form G5

N/A

FieldTurf USA Inc Commercial List Price

Folder C Exhibits C FieldTurf USA Inc Exhibits PDF


AEPA FORM C: SERVICE QUESTIONNAIRE FOR BIDDER

AEPA IFB #016

Athletic Surfaces – Synthetic Turf NAME OF BIDDER FieldTurf USA, Inc. _______________________________________________

Instructions: Please respond to Yes/No and choice questions by using an (X). If a text reply is required, respond in the space below. Scan this form and any attachment pages into a single document and convert to a PDF file. Follow the instructions for titling the file and file organization under Part A, Section II Bid Procedures, F. Bid Submission, 2. Format of Bid Submittal.

Note: As part of evaluating the Bidder’s qualifications, the following is being requested and the Bidder is forewarned failure to respond and/or meet the minimum specifications in these areas, may deem their response as non-responsive.

1. The following chart indicates which AEPA Member States intend to participate in this bid category. Please place an “X” in response to questions in the last three (3) columns. Note: A Bidder must be willing and able to deliver the proposed products and/or services to ninety (90%) of the participating AEPA Member States.

AEPAMemberStates

Participateinthisbidcategory?

Hasyourcomp‐anysoldthese

products/servicesinthesestatesforthePASTTHREE

YEARS?

Ifawardedacontract,whichstatesdoesyour

companyPROPOSETOSELL

IN?

Indicatewhichstatesyourcompanyhassalesreps,

distributorsordealersin.

California Yes Yes Allwhereallowed Yes

Colorado Yes Yes Yes

Connecticut Yes Yes Yes

Florida Yes Yes Yes

Indiana No Yes Yes

Iowa No Yes Yes

Kansas Yes Yes Yes

Kentucky Yes Yes Yes

Massachusetts No Yes Yes

Michigan Yes Yes Yes

Minnesota Yes Yes Yes

Missouri Yes Yes

Montana Yes Yes Yes

Nebraska Yes Yes Yes

NewJersey Yes Yes Yes

NewMexico Yes Yes

NorthDakota Yes Yes Yes

Ohio Yes Yes Yes

Oregon Yes Yes Yes

Pennsylvania No Yes Yes

Texas Yes Yes Yes

Virginia Yes Yes Yes

Washington Yes Yes Yes

WestVirginia Yes Yes Yes

Wisconsin Yes Yes

Wyoming Yes Yes Yes


2. e-commerce: Does this company have an e-commerce website? _______ YES X NO

If YES, what is the website? ________________________________________________________

3. Customer and Support Service: It is understood depending on the type, kind and level of products and/or services being proposed in response to this bid will impact and determine the type and level of services required and these are identified in Part B Bid Specifications of this IFB.

a. Does this company have online customer support option? X YES _______ NO

b. Does this company have a toll-free customer support phone option? X YES _______ NO

c. Does this company offer local customer and support service options? X YES _______ NO

d. Describe the type, level, available and location(s) of your customer and support service options, including number of dedicated customer/support staff and hours of operation.

FieldTurf USA, Inc. has dedicated customer support personnel covering the continental US.

http://www.fieldturf.com/en/service/fieldcare-maintenance-program

Please see Exhibit A.

4. Training: If applicable, does this company offer customer training for the products and services sold?

X YES _______ NO

If YES, describe what types/kinds of training you offer, the venues where training occurs and the location(s) of your trainers, include number of staff dedicated to training and their qualifications and hours of operation.

Venue: Each specific project site.

Location: All US States (spread between customer service, installation, sales, project manager and construction teams). 4 dedicated representatives interfacing with dozens of on-site personnel. All fields in all regions and states are covered.

Training can range from grooming instruction, simple repair, usage instructions and general maintenance.

http://www.fieldturf.com/en/service/customer-commitment

5. Pricing:

a. Is your pricing methodology guaranteed for the term of the contract? X YES _______ NO

FORLINEITEMBIDS:

b.Willyouofferhotlistpricing(optional)asdescribedinthePricingtermsofPartA? XYES_____NO

c.WillyouofferVolumePriceDiscountsasdescribedinthePricingtermsofPartA? XYES_____NO

6. Competitiveness: In order for your bid to be considered, your company must offer AEPA prices that are equal to or lower than what your company offers to individual customers and/or cooperatives with equal to or lower volume. Is the pricing that is proposed to AEPA equal to or lower than pricing offered to individual customers and/or cooperatives with equal to or lower volume?


X YES _______ NO

Indicate which of the following apply and the level of competitive range you are offering in response to this IFB.

X Pricing offered to AEPA is EQUAL TO pricing offered to individual customer and/or cooperatives.

Lower by approximately 9 % off general public bid.

Pricing is LESS THAN individual customer and/or cooperatives.

7. Cooperative Contracts: Does your company currently have contracts with other cooperatives (local, regional, state, national)? X YES _______ NO

If YES, identify which cooperatives and the respective expiration date(s).

AEPA: 2/28/2016 NJPA: 2/28/2018 TCPN: 2/28/2017 KPN: 2/28/2019 GSA: 8/6/2016 Buy Board: 3/31/2018 CMAS: 11/30/2016

If YES and your company is awarded an AEPA Contract, which contract will you lead with in marketing and sales representative presentations (sales calls)?

We will lead with AEPA. It remains our best and most versatile contract with approx. $ 30 MM in annual volume and three successful awards (006, 008 & 012). Total volume (for turf, track and tennis contracts combined) exceeds $ 330 MM over the life of these contracts resulting in approximately $ 6 MM in total administrative fee revenue for the AEPA.

8. Administrative Fee: Which of the following best reflects how your pricing includes the individual AEPA Members’ administrative fee.

a. X The pricing for the products and/or services are the same for each AEPA Member Agency, shipping, handling administrative fee and other specific state costs are added to arrive at total price offered to the Individual AEPA Member Agency.

b. _____ The pricing for the products and/or services is inclusive of the administrative fee and therefore the pricing is the same for all AEPA Member Agencies. Shipping, handling and other state specific costs are added to adjusted the AEPA Member Agency’s price.

c. _____ The pricing for the products and/or services includes all (shipping, handling, administrative fee, other) costs to arrive at a single price for all AEPA Member Agencies.

9. Shipping & Handling:

FORLINEITEMBIDS:

Isshippingandhandlingincludedintheproductsonthepricelists?XYES_______NO

IfNO,explainhowshippingandhandlingorfreightwillbecalculatedandapplied.________________________________________________________________________________

10. Product Returns: Does your company have a return policy? _______ YES X NO


AEPA FORM D: COMPANY INFORMATION

AEPA IFB #016-G

Athletic Surfaces – Synthetic Turf

NAME OF BIDDER: FieldTurf USA, Inc.

COMPANY CONTACT INFORMATION

Company Name: FieldTurf USA, Inc. Website: www.fieldturf.com

Company Address: 19600 SW 129th Ave


Contact Person: Eric Fisher Title: Director of Sales – SmartBuy OR Sarah Morehead Title: Director of Operations - SmartBuy



BACKGROUND

Note: Generally, AEPA will not accept an offer from a business that is less than five (5) years old or which fails to demonstrate and/or establish a proven record of business. If the bidder has recently purchased an established business or has proof of prior success in either this business or a closely related business, provide written documentation and verification in response to the questions below. AEPA reserves the right to accept or reject newly formed companies based on information provided in this response and from its own investigation of the company.

This business is a public company X privately owned company.

In what year was this business started under its present name? October 1, 2004.

Under what other or former name(s) has your business operated? N/A

Is this business a corporation? No X Yes. If yes, please complete the following:

Date of incorporation: 1996 State of incorporation: Florida

Name of President: Eric Daliere

Name(s) of Vice President(s): N/A

Name of Secretary: Souha Azar

Name of Treasurer: Pedro Azevedo

Is this business a partnership? X No Yes. If yes, please complete the following:

Date of organization:_______________ State founded: ______________________________

Type of partnership, if applicable: _______________________________________________

Name(s) of general partner(s): __________________________________________________

Is this organization individually owned? X No Yes. If yes, please complete the following:

Date of organization:__________________ State founded: ____________________________

Name of owner: ______________________________________________________________


This organization is a form other than those identified above. X No Yes.

IF THE ANSWER IS YES, describe the company’s format, year and state of origin, and names and titles of the principals.

COMPANY HEADQUARTER LOCATION

Company Address: 7445 Cote’ de leisse Rd STE 200

City: Montreal Province: Quebec Zip: H4T 1G2

Main Phone Number: 1-800-724-2969 How long at this address? Approx. 3 years.

COMPANY BRANCH LOCATIONS

Branch Address: 19600 SW 129th Ave


Branch Address: 903 N Opdyke Rd STE A1

City: Auburn Hills State: MI Zip: 48326

Branch Address: 2559 Washington Rd STE 530

City: Pittsburgh State: PA Zip: 15241

Branch Address: 175 N Industrial Blvd NE

City: Calhoun State: GA Zip: 30701

If more branch locations, insert information here or add another sheet with above information.

SALES HISTORY

Provide your company’s annual sales for 2013, 2014 and 2015 YTD in the United States by the various public segments:

2013 2014 2015

Counties / Cities / Townships / Villages $ 33,840,000.00 $ 35,280,000.00 $ 19,440,000.00

Higher Education Institutions $ 30,240,000.00 $ 31,320,000.00 $ 25,920,000.00

K-12 $ 82,080,000.00 $ 87,120,000.00 $ 79,560,000.00

Other Public Sector & Non-Profits $ 1,440,000.00 $ 360,000.00 $ 1,080,000.00

Private Sector $ 7,920,000.00 $ 5,400,000.00 $ 3,600,000.00

States $ 360,000.00 $ 360,000.00

$ -

TOTAL $ 155,880,000.00 $ 159,840,000.00 $49,600,000.00

WORK FORCE

1. Key Contacts and Providers: Provide a list of the individuals, titles, and contact information for the individuals who will provide the following services on a national and/or local basis:

Function Name Title Phone Email Contract Manager Eric Fisher Director of Sales-

SmartBuy 888-209-0065 [email protected]


Contract Manager Sarah Morehead Director of Operations- SmartBuy


Sales Manager Various (>30) See List

RSM/ RVP 888-209-0065 [email protected]

[email protected]

Senior VP Martin Olinger Snr. VP Sales 1-404-229-4135 [email protected]

Customer & Support Manager

Darren Gill VP Customer Service, Innovation and Marketing


Function Name Title Phone Email Distributors, Dealers, Installers, Sales Reps

Various (> 30) See List

RSM/RVP 888-209-0065 [email protected]

[email protected]

Technical, Maintenance & Support Services

Andrew Schwartz VP Special Initiatives 1-917-586-0302 [email protected]

Quotes, Invoicing & Payments

Ross Hinrichs SmartBuy Project Admin.


Warranty & After the Sale

Alan Lemay After Sales Service Manager


Installation and Construction

Charlie Cook VP Construction & Installation


Project Management MC Raymond Director of Project Management


Operations Hani Botros VP of Operations 1-800-724-2969 [email protected]

Legal Tim Prochko Senior Legal Counsel 1-248-977-4388 [email protected]

Financial Manager Pedro Azevedo CFO 1-800-724-2969 [email protected]

2. Sales Force: Provide total number and location of salespersons employed by your company in the United States by completing the following: (To insert more rows, hit the tab key from the last field in the State column.)

Please see Exhibit B

3. Service/Support and Distribution Centers: Provide the type (service/ supportor distribution) and location of centers that support the United States by completing the following: (To insert more rows, hit the tab key from the last field in the State column.)

Center Type City State Distribution Calhoun GA Operations Detroit MI Corporate Montreal QC SmartBuy Co-Op Tualatin OR Support Pittsburg PA

4. In-house Resources: Describe the business’s current in-house workforce, equipment and facilities available to perform

under this solicitation.

FieldTurf USA, Inc.

The first company in the synthetic turf industry to own and operate its own manufacturing plant


The only artificial turf manufacturing operation in North America to have received three specific ISO certifications

450,000+ square-foot facility in Calhoun, Georgia Over 40 employees at the plant with a combined 300+ years of experience in the artificial turf industry Annual production capacity that exceeds the worldwide yearly demand for artificial turf Rigorous quality control and inspection In-house fiber manufacturing In-house coating line In-house tufting operation 30 + Local and Regional FieldTurf Sales Representatives

http://www.fieldturf.com/en/home

FieldTurf USA, Inc. has a dedicated AEPA team consisting of two Cooperative Purchasing Directors and an additional administrative support person. Sarah Morehead- Director of Operations is responsible for overseeing quoting, reporting and general management tasks. Eric Fisher is responsible for selling, marketing and presenting the AEPA concept to sales staffs and clients. Ross Hinrichs handles quoting, eneral paperwork and administrative tasks. The “SmartBuy” team is supported by various personnel in Operations, sales, customer service, project management and accounting.

Sarah, Eric and Ross have more than ten years of experience in AEPA cooperative purchasing. Over the course of AEPA IFB’s 004, 008 & 012 our division has generated more than $ 330,000,000 in total volume (for turf, track and tennis combined) resulting in approximately $ 6,000,000 in revenue for AEPA state agencies.

The FieldTurf / Beynon Sports Cooperative Purchasing team has worked with many AEPA state agencies successfully to market, educate and guide municipal members in their purchase of running tracks, outdoor courts, and FieldTurf fields. This past experience will only continue to add to the benefits that we as a group bring to AEPA. We already have systems and processes in place to handle the high volume of AEPA Cooperative Purchasing projects. Additionally, our FieldTurf and Beynon sales forces are already utilizing the cooperative purchasing program to maximize their sales efforts. We will hit the ground running with a new AEPA contract for 2016. MARKETING

1. Key Marketing Contact(s): List the name(s), title(s) and contact information of the business’s key national and regional marketing office(s). (To insert more rows, hit the tab key from the last field in the State column.)

Name Title Phone Email Darren Gill VP of Marketing, Innovation

& Customer Service 1-514-375-2584 [email protected]

Jason Smollett Director of Product Management


Iannick Di Sanza Marketing Coordinator 1-514- 375-2646 [email protected]

Terrance Dobson Marketing Assistant 1-514-375-2613 [email protected]

Simon Lafontaine Marketing Specialist 1-514-375-2564 [email protected]

2. Marketing Activities: Describe how this company marketed its products and services to schools and other public sector audiences in Fiscal Year 2014 – 2015 (July 1 – June 30). List all conventions, conferences and other events at which this company exhibited.

FieldTurf’s marketing activities can be broken up in the following categories: Print Advertising FieldTurf advertises in all major industry publications including:


American Football Monthly Athletics Administration Athletic Business Athletic Management Coach & Athletic Director Coaching Management Collegiate Directories Government Recreation & Fitness Park & Recreation Business Recreation Management Sportsfield Management In addition to these nationwide publications, FieldTurf advertises in over 30 state/regional publications. Our typical advertising budget exceeds $120,000 annually. E-Marketing FieldTurf’s E-Marketing efforts are broken up into two categories: Website

The FieldTurf family of websites is made up of the following:

www.fieldturf.com www.beynonsports.com www.tarkett.com www.rennersports.com

Potential customers are directed to specific pages like: http://www.fieldturf.com/en/fieldturf-difference/purchase-experience FieldTurf’s websites average over 35,000 unique visitors per month. Direct Mailing: FieldTurf has a lead database with over 20,000 potential customers. Frequent messages are sent to various customer groups – most of which contain messaging pertaining to the AEPA/SmartBuy program. Trade Shows FieldTurf attends well over 200 trade shows per year nationwide. At each of these shows FieldTurf makes our best efforts to educate potential clients about the benefits of using AEPA. Our APEA program managers personally attend a large number of the shows as well. Here are the shows that FieldTurf has attended/scheduled for the Fiscal Year 2010 – 2011 (July 1 – June 30):

Alabama Athletics Directors (AHSAA) Mississippi Coaches Ass. (MACA) Florida Educational Facility Planners Ass.

(FEFPA) Arizona Park and Rec (AZPRA) Florida Recs and Park Ass. (FRPA)

Texas Ass of School Administrators & Boards American School Business Officials (ASBO) NFHS - National HS ADs NSBA - National School Boards Show NABC - Basketball Coaches NIRSA - Intramural & Recreation


NACDA - National AD Show NACO - National Association of Counties NIGP - National Govt Purchasing ICMA - International County Mgmt ASLA - American Society of Landscape

Architects NRPA - National Park & Rec ABKA - Pet Care Services ASBO - American School Business Officials NLC - National League of Cities TES - Education Show Greenbuild Athletic Business Home Builders Show Golf Industry Show AASA - American School Administrators VASBO - Virginia School Business Officials ECAC - Eastern Collegiate Athletic Conference WADA - Wisconsin AD Show National Soccer Coaches Association of

America Home Builders Show NATIONAL INTRAMURAL-

RECREATIONAL SPORTS ASSOCIATION Stadia Expo NJCM - New Jersey Conference of Mayors CADA - Colorado Athletic Directors

Association IADA - Illinois Athletic Director's Association Boys & Girls Club Virginia Association of School Business

Officials National High School Athletic Coaches

Association San Angelo Football Clinic Facilities Operators Conference MD/DC ASBO Council of Educational Facility Planners Intl. NJSLM - NJ State League of Municipalities TPSCA - Texas Private School Coaches

Association FAC - FLORIDA ASSOCIATION OF

COUNTIES OSBA - OHIO SCHOOL BOARD

ASSOCIATION CCM - CONNECTICUT CONFERENCE OF MUNICIPALITIES Texas High School Coaches Association Arkansas High School Coaches Association

KANSAS ASSOCIATION OF SCHOOL BOARDS

All-Star Sports Week GRPA - Georgia Recreation & Park Association OCA - Oklahoma Coaches Association PSBA - Pennsylvania School Boards

Association CRPA - Connecticut Recreation & Parks

Association SBE - School Building Expo PRPS - Pennsylvania Recreation & Park Society NACO - National Association of Counties WASB - Wisconsin State Education Convention IASB - Illinois Association of School Boards PRPS - Pennsylvania Recreation & Park Society National Institute of Governmental Purchasing Home Builder's Show Pet Care Services Association Convention &

Expo Greenbuilders 2010 ASLA - American Society of Landscape

Architects Directors of Athletic Directors of New Jersey NJRPA - New Jersey Park and Rec NJASLA - NJ Landscape Architects IIAAA - Indiana ADs MIAAA - Missouri Athletic Directors NMAA - New Mexico Activities Association ASBO MD/DC Maryland Eastern Collegiate Athletic Conference (ECAC) International County Management (ICM) National Parks & Rec (NRPA) Florida Ass. of School Business Officials

(FASBO) Alberta Recreation and Park Association Louisianna AD (LHSAA) Wisconsin State Education Convention National HS AD Show (NFHS/NIAAA0 Colorado Assocaition of School Boards (CASB) United States Speciality Sports Association

(USSSA) International Homebuilders Show (NAHB) National Soccer Coaches Convention (NSCAA) NJ Landscape Architects (NJASLA) Golden Triangle Coaches Clinic Kansas Parl and Rec (KRPA) Minnesota AD (MIAAA) Kansas Athletic Administrators (KIAAA) Texas HS AD (THSADA) Texas Ass of School Bus Off (TASBO)


Pennsylvania School Bus Off (PASBO) Virginia AD Indiana AD Michigan AD (MIAAA) South Dakota AD (SDIAAA) Iowa HS AD (IHSAA) Georgia Athletic Directors Ass (GADA) New Jersey AD (DAANJ) New Jersey Park and Rec (NJRPA) California Park and Rec (CRPS) New York State ADA (NYSAAA) Minnesota Football Coaches Clinic (MNFCC) California Foundation of Community Colleges NJ School Building & Grounds Ass. (NJSBGA) Utah Interscholastic AD Ass (UIAAA) Maryland Park and Rec (MRPA) Missouri AD (MIAAA) National Intramural Rec Show (NIRSA) Tennessee Atheltic Directors Conference

(TIAAA) California Ass. of School Business Officials California Parks and Recreation (CARPD) New Jersey Conference of Mayors (NJCM) Michigan School Business Officials (MSBO) Colorado Athletic Director (CADA) Maryland School Business Officials (MASBO) Illinois Athletic Directors (IADA) Florida Athletic Directors (FIAAA) Alberta School Business Officials (ASBOA) Virginia Ass. of School Business officials

(VASBO) Federation of Canadian Municipalities (FCM) National AD Show (NACDA) Georgia Athletic Coaches Ass. (GACA) Florida Association of Counties (FAC) Idaho Ass. of School Adm (ISSA) Idaho Ass. of School Principals (IASSP) Idaho AD Ass (IDAAA) Washington Secondary School AD Ass

(WSSAAA) Oregon Athletic Directors Ass (OADA) Washington Ass of School Bus Officials

(WASBO) Oregon Ass of School Bus Off (OASBO) Montana Coaches Ass. (MCA) Oregon Schools Facilities Management

(OSFMA) NW All Sports Clinic (NWASC) Oklahoma Coaches Association (OCA) NAtional Ass. of Counties (NACO)

Wyoming Coaches Association (WCA) CAAD - Connecticut Athletic Directors SDIAAA - South Dakota Athletic Directors VIAAA - Virginia Athletic Directors KIAAA - Kansas Athletic Directors PRO - Ontario Park & Rec National School Plant Managers Association OASBO - Ontario School Business Officials CAIS - Connecticut Independent Schools WFX - Worship Facilities Expo OCAA - Ontario Colleges Athletic Association MASBO - Missouri School Business Officials AEMA - Athletic Equipment Managers GACA - Georgia Athletic Coaches Association ASBA - Arkansas School Boards AHSADCA - Alabama HS Athletic Directors NACBA - National Church Business OCA - Oklahoma Coaches Association STA - Sports Turf Association AQLM - Quebec Municipalities PASBO - Pennsylvania School Business

Officials CCM - Connecticut Municipalities NJSBA GRPA - Georgia Recreation & Parks NLC - National League of Cities NJSLM - New Jersey Municipalities CASB - Colorado School Boards KASB - Kansas School Boards ABCA - American Baseball Coaches

Association Training Show MSBO - Michigan School Business Officials Ontario Association of School Business

Officials MSBA - Missouri School Boards' Association Ohio Interscholastic Athletic Administrators Arizona Interscholastic Athletics Administrator's Association INDIANA SCHOOL BOARDS

ASSOCIATION WADA - Wisconsin Athletic Directors

Association APRA - Arizona Parks and Recreation

Association WFCA-Wisconsin Football Coaches

Association OSSBA - Oklahoma State School Boards

Association Kentucky High School Athletic Association


NJSBA - New Jersey School Board Association IAPD - Illinois Association of Park Districts TASA - Texas Association of School

Administrators VRPS - Virginia Recreation & Park Society Georgia Association of School Facility Administrators Association of School Business Officials Intl. Illinois Parks and Rec (IPRA/IAPD) American Baseball Coaches Ass. (ABCA) Sports Turfs Managers Ass. (STMA) US Youth Soccer Workshop (USYSA) Park and Rec Ontario (PRO) Soccer Champions Coaches Clinic New England Football Coaches Clinic (NEFCC) Coalition for adequate School Housing (CASH) Pennsylvania State AD (PSADA) Connecticut Athletic Directors (CAAD) National High School Athletic Coaches Ass. IIAAA - Indiana Athletic Directors Missouri Association of School Administrators National Gov't Purchasing (NIGP) MIAAA - Minnesota Athletic Directors NABC - National Association of Basketball

Coaches MIAAA - Missouri Athletic Directors Ohio Association of School Business Officials FIAAA - Florida Athletic Directors BGCA - Boys & Girls Club NATA - National Athletic Trainers Association NHSACA - National HS Athletic Coaches TPSCA - Texas Private School Coaches ASLA - American Landscape Architects San Angelo Football Clinic WFX Fall - Worship Facilities Expo OSBA - Ohio School Boards Greenbuild CPRA - Connecticut Parks & Recreation IHRSA AUSA - Association of U.S. Army Exposition NABC- Indianapolis Florida Interscholastic Athletic Administrators SBE - School Building Expo Stadium Managers Association MIAAA - Michigan Athletic Directors MRPA - Maryland Park & Rec CADA - Colorado Athletic Directors Council of Educational Facility Planners Intl. MSBO - Michigan School Business Officials AIA - American Institute of Architects

IADA - Illinois Athletic Directors BCPRA - BC Parks & Recreation SBE - School Building Expo NACO - National Association of Counties NIGP - National Government Purchasing Athletic Business K-12 Summit MSBA - Missouri School Boards IASB - Illinois School Boards IPRA - Illinois Park & Rec FCM - Federation of Canadian Municipalities BC Park and Rec (BCPRA) California AD show (CSADA) Texas High School Coaches Ass. (THSCA) PSADA - Pennsylvania State Athletic Directors ICMA - Intl County Management National School Board Ass (NSBA) National Intramural Recreation & Sports

Association PGA Merchandise Show TASA - Texas Superintendents NSBA - National School Boards AIA - American Institute of Architects NRPA - National Recreation & Park NACDA - National AD Show Home Builders Show NACDA - National Athletic Directors

Association ASBO - American School Business Officials AFCA - American Football Coaches THSCA - Texas HS Coaches Association NFHS - National High School Athletic Directors American Football Coaches Association NSBA - National School Boards Association


Social Media: Twitter: www.twitter.com/fieldturf

Facebook: www.facebook.com/fieldturf

You Tube: www.youtube.com/user/fieldturftarkett

Linked-In: www.linkedin.com/company/fieldturf-inc. Please see Exhibit C - Exhibit Z

3. Cooperative Marketing: Describe ways in which this business can collaborate with Member Agencies in marketing the bid.

Help FieldTurf’s SmartBuy division explain to current and future AEPA members the value and benefits on Contract Selling. Attend requested board meetings, council meetings, etc. as part of our team to provide owners complete procurement information and opportunities for their sports surfaces project.

Provide familiarity/knowledge of member state’s cooperative procurement options. Include links for FieldTurf on the individual AEPA state’s cooperative website. Include FieldTurf logo, product information, and when applicable, project. Testimonials and articles

in the individual AEPA states cooperative marketing literature and brochures and websites. Attendance of national and local conferences promoting partnership. A true partnership wins

projects. The more we work together, the better off we are. Webinars. Conference Calls. Lunch & Learns. Specifically designed fliers, hand outs.

Please see Exhibit 1- Exhibit 5

4. Sales Training: Explain how your company will educate your sales staff on the AEPA contract including

timing, methods, etc.

The sole purpose of “SmartBuy” (FieldTurf’s Cooperative Purchasing division made up of Eric Fisher & Sarah Morehead) is to promote cooperative purchasing and the AEPA contract. Sales training includes:

REQUIRED participation by FieldTurf and Beynon sales staffs. Top-Down backing from senior leadership.

Sharing of references and best practices. Conference calls. Lunch and learns. Several fliers that promote both the AEPA and regional participation (KCDA, CES, CREC, Greenbush

etc.) Salesforce learning modules. Marketplace updates, tips and tricks.


ENVIRONMENTAL INITIATIVES

1. Describe how your products and/or services support environmental goals.


http://www.fieldturf.com/en/artificial-turf/environmental-leadership

Please see Exhibit 7, 8 & 9

2. Describe the company’s “green” objectives (i.e. LEED, reducing footprint, etc.).

http://www.fieldturf.com/en/search?utf8=%E2%9C%93&q=LEED


INDEPENDENT SUBCONTRACTORS, DISTRIBUTORS, INSTALLERS, ETC.

If the Bidder is not the sole provider of all goods and services provided under this contract, the following must be answered:

1. Selection Criteria for Independent Providers: Describe the criteria and process by which the business selects, certifies and approves subcontractors, distributors, installers and other independent services.

Minimumof20fieldinstalledwithsewnseamsystem. Crewleadwithaminimumof2,500hoursexperienceinstallingFieldTurfproducts. Mustmaintaingoodstandingintermsofregionalcertifications&statelicenses.

2. Current Subcontractors, Distributors, Installers, Etc.: Provide a list of current subcontractors, distributors, installers and other independent service providers who are contracted to perform the type of work outlined in this bid in the member agency states (listed in Part A of this IFB). Include, if applicable, contractor license information and the state(s) wherein they are eligible to provide services on behalf of this business.

Chenango

LandTek

Midewest FieldTurf

FieldTurf Northwest

Deluxe Athletics

RS Global

Kerr Athletics

Beyond the turf (west)

Beyond the turf (east)

Grass Valley Turf


DISCLOSURES

1. Letter of Line of Credit or Annual Financial Report (REQUIRED): Attach a letter from the business’s chief financial institution indicating the current line of credit available in its name and evidence of financial

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20 of 46


AEPAFORMF.1:COMPLIANCE

AEPAIFB#016‐GAthleticSurfaces–SyntheticTurf

NAMEOFBIDDER:FieldTurfUSA,Inc.

INSTRUCTIONS:

1. This form is twenty (20)pages long. Thebidder’sauthorizedrepresentativemust sign the format theend.

2. The criteria listed below are derived from the Part B: Bid Specifications this IFB. Other than industryrequirements established in federal, state or local statutes, exceptions/deviationsmay be proposed aslongastheyareexpresslynotedbelowandclarifiedonFormF.2.,whichfollows.Pleaseunderstandthatthestatedspecificationsrepresent themostdesirableattributesof theproductsandservicessoughtbyAEPAanditsAEPAMemberAgencies.

3. AEPAunderstands thatnotallbiddersprovideall commodities indicated in thespecifications. Biddersmay propose specific, similar and/or alternativemanufacturer’s product lines and/or serviceswithoutprejudiceaslongastheproposedproductsandservicesmeetorexceedthespecificationsinPartB:BidSpecificationsofthisIFB.

4. Foreachcriterionbelow,checkeither“Comply”ifitalignswiththecompany’sabilitytoprovideproductsandservicesor“Deviate”ifitdoesnot.

5. Iftherearenodeviationstothespecifications,indicatethatbycheckingtheappropriateboxonFormF.2andsignit.

6. Scan the completed form to a PDF file and title as instructed in Part C (this section), page 2, #5.Item Description Comply Deviate 6.1 All charges and components necessary for performance of

the contract shall be clearly identified even if such are not specifically addressed in any paragraph or sub-paragraph or form that is a part of this request.

X


X


X


X

Item Category Specifications Comply Deviate

7.1. The standards and specifications provided below are intended to establish minimum requirements and provide a general overview of the quality and type of products and services being requested.

X


X

7.3. The products and services may include, but are not limited to, the following.

X

7.4. Provide technical and consulting services relating to athletic and recreational field surface design, characteristics, construction, and integration into the development of a new athletic or recreational

X


Item Category Specifications Comply Deviate facility.

7.5.

Provide existing site inspection and investigation to identify soil conditions existing at the site in order to take into account the conditions found in the designing of athletic and recreational fields. The investigation shall include, but not be limited to:

X


X

7.5.2. Soil inspection for the existence of peat or other organic soils at the site.

X

7.5.3. Inspection for uncontrolled fill materials or waste materials at the site.

X

7.5.4. Inspection for expansive soils at the site. X

7.5.5. High ground water conditions or surface water retention areas (low area flooding).

X

7.6.

Provide all labor, materials, equipment and drawings required to provide design services for a project cost proposal with a complete scope of work, including all products, services and athletic and recreational field specifications with their associated costs. A preliminary construction time schedule shall be a part of the project proposal.

X

7.7.

Provide all labor, materials, equipment, project drawings and construction documents necessary to establish, construct, install lines and markings required to complete the athletic or recreational field as identified and specified within the project documents for the individual Member's project scope of work and documents.

X

7.8.

Provide all labor, materials and equipment required to assess and evaluate existing facilities, and develop and establish a plan of action for maintenance, repair and/or renovation of the existing athletic and recreational field to condition as required by the Member.

X


X


X

7.11.

The synthetic turf system and all of its components should be resistant to moisture, rot, mildew, bacteria, fungus growth, ultraviolet ray degradation, non-toxic, not cause commonly known allergic reactions at all field locations, and meet AEPA Member local state and environmental requirements.

X


X

7.13. Any Project to Include: X

7.13.1. Assess and determine existing site conditions and Member's expectations for the project.

X

7.13.2. Develop a proposed solution to conform to and meet the Member's expectations while considering and ensuring the following:

X

7.13.2.1. The solution proposed is adequate and functional within the existing site conditions and will comply with all building codes.

X

7.13.2.2. Provide labor, materials, equipment and supervision necessary to complete installation of synthetic turf, including the following:

X

7.13.2.2.1. Site inspection and investigation. X 7.13.2.2.2. Site preparation and sub-base. X 7.13.2.2.3. Inspection and approval of sub-base. X


Item Category Specifications Comply Deviate 7.13.2.2.4. Installation of proposed synthetic turf system with accessories,

striping and equipment. X

7.13.2.3. Provide cost estimates and information relating to after-the-sale ongoing inspection and maintenance services to ensure proper operation and upkeep of the synthetic field.

X


X


X

7.13.5. Prior to order of materials, the contractor shall submit the following:

X

7.13.5.1. Sample warranty. X 7.13.5.2. Seam layout of the field and striping plans. X 7.13.5.3. Details on construction, especially any details that may deviate

from plans and specifications. X

7.13.6. Prior to the beginning of installation, the manufacturer/installer of the synthetic turf shall inspect the sub-base and supply a Certificate of Sub-Base Acceptance for the purpose of obtaining manufacturer's warranty for the finished synthetic playing surface.

X

7.14. Components for Synthetic Turf Systems to include but not limited to:

X

7.14.1. Synthetic Turf Types: There are several different types of synthetic turf available. They are distinguishable through the use of different fibers and different construction. Differentiated by construction are the tufted or the knitted synthetic turf systems. Both systems are comprised of synthetic fibers with primary and secondary backing systems and a resilient shock absorbing system. The shock absorbing system can consist of infill, a padding system, or a combination of both.

X


X

7.14.3.

Primary Backing Systems Material: The primary backing materials are of a woven or non-woven fabric in one or more layers which are utilized in the tufting process, or of high strength polyester multi-filament fiber utilized in the knitting process. This backing material provides the initial dimensional stability for the system.

X


X

7.14.5.

Perforations: Depending on the final construction of the turf system, the system may or may not be permeable to water. Perforations are typically required of fully coated system backings to provide adequate vertical drainage throughout the system. Some

X


Item Category Specifications Comply Deviate turf systems may allow for drainage without perforations by employing a process of partial coating or other system designs. Developments in coating systems have provided for lighter weight and aqueous permeable chemicals; however, the drainage criteria must be met.

7.14.6.

Infill Materials: The most recent generation of synthetic turf systems utilizes a long pile height and needs to be supported with infill materials for directional stability and structural integrity, as well as resiliency. The infill materials commonly used are EDPM, TPE, natural cork, ground fibers from coconut shells, coated and non-coated silica sand, crumb and coated rubber, other suitable materials, or combinations of sand, rubber, or other suitable materials

X

7.15. Performance of Synthetic Turf X

7.15.1. Traction: The surface should provide good traction in all types of weather with the use of conventional athletic type shoes applicable to the sports and/or activity specified.

X

7.15.2.

Rotational Resistance: The surface should allow for twisting movements as is common in athletic activities. Rotational resistance measures the ability of the user to perform twisting motions when in contact with the surface.

X

7.15.3.

Slip Resistance Component: The system should enable a predictable range of movement between the user and the surface uniformly throughout. The surface should balance traction and slippage by way of the sliding coefficient.

X


X

7.15.5.

Impact Attenuation (g-max): The field surface should have the ability to adequately absorb player impact with the surface. The g-max and force reduction tests are two tests typically used. G-Max values may vary from location to location on a playing surface. Such variances shall be taken into account when setting maximum test values. A maximum, not-to-exceed limit should be specified for the life of the warranty. The STC's guideline is that g-max should be below 165 for the life of the field.

X

7.15.6.

Surface Stability (vertical deformation): The surface should provide adequate stability so that the athlete can maintain body control to help prevent or properly control contact between athletes. This is an important consideration that should be balanced with the surfaces' ability to absorb impact. If the surface is too soft, the stability provided by the field may not be optimal for player movement and body control.

X


X


X

7.15.9.

Ball Bounce: The synthetic turf field should provide a ball bounce as close to the optimal playing characteristics of the sport or sports. The published standards for the regulatory organizations as applicable for each sport should be referenced.

X

7.15.10.

Ball Roll: The synthetic turf field should provide a ball roll as close to optimal playing characteristics of the intended sport or sports. The published standards for the regulatory organizations as may be applicable for each sport should be referenced.

X

7.15.11. Appearance: Unless otherwise dictated by design, the synthetic X


Item Category Specifications Comply Deviate turf should have a consistent color, texture, and shade without significantly noticeable streaks or other irregularities when observed in any direction.

7.16. Warranties for the synthetic turf field systems should include the following:

X

7.16.1. Acceptable uses for the field X 7.16.2. Expected number of yearly hours of use of the field X 7.16.3. Type of shoes used X 7.16.4. Fading X 7.16.5. Color match within specifications X 7.16.6. Excessive fiber wear X 7.16.7. Acceptable loss of pile height over time X 7.16.8. Wrinkling and panel movement X 7.16.9. Shock absorbency (g-max) X 7.16.10. Seam integrity X 7.16.11. Drainage X 7.16.12. Response time for required repairs/replacement X 7.16.13. Approved maintenance equipment X 7.16.14. Other items deemed relevant X 7.17. Maintenance: X

7.17.1. A regular schedule of maintenance should include but not limited to surface cleaning, debris removal, grooming, and infill replenishment, redistribution, and de-compaction.

X

7.17.2.

The maintenance procedures and equipment, as specified by the synthetic turf manufacturer or Synthetic Turf Council's Guidelines for the Maintenance of Infilled Synthetic Turf Surfaces, January 2013, for additional information.

X

7.18. Other Considerations: X

7.18.1.

The synthetic turf supplier, unless the base is part of their scope of work, should perform an inspection of the field planarity base on to which the synthetic turf system is to be installed and to examine the finished surface for required compaction, water permeability, and grade tolerances. After any discrepancies between the required materials, application, and tolerance requirements noted have been corrected, the owner's representative (architect/engineer) should review and approve for compliance with documents. The acceptance of the base construction should be included in the certification for warranty validation.

X

7.18.2.

Extra Materials: the synthetic turf manufacturer and installation contractor can provide extra sections of synthetic turf material for future repairs. If necessary, this should include materials for all colors used with any lines, markings, and logos. Quantities to be predetermined. This allows for materials from the same manufacturing run to be utilized for minor repairs.

X

7.19. Drainage System Components X

7.19.1. The system chosen will depend on the use of the field, climate, amount of rainfall, and other factors.

X

7.19.2. The drainage system may include but not limited to the synthetic turf, pad, base materials, and collector pipes that collect and remove storm water from the playing field.

X


X

7.19.4.

Collector pipes are typically perforated polyvinyl chloride (PVC) or polyethylene (PE) pipes. Size and type of perforations are dependent upon the size of the pipe. If perforations are larger than the smallest aggregate in the base material then a geo-textile sock filter may be used to encapsulate the pipe-care should be taken to

X


Item Category Specifications Comply Deviate ensure that the openings in the geo-textile fabric are compatible with the granular smaller components so that they do not block the pores and reduce water flow. A qualified civil or geotechnical engineer should be consulted to determine the suitability of using a product with a geo-textile sock in conjunction with the selected base materials. Additionally the compressive strength of various systems can differ greatly and care should be taken to keep construction traffic off of the systems until enough stone has been placed and compacted.


X

7.20. Base Materials X

7.20.1.

The aggregate base on which the synthetic turf is installed provides a structurally sound foundation for field construction, and a media for drainage of the field. The base materials should contain the necessary components and characteristics to satisfy local conditions. A good geotechnical report will provide essential information for a firm and stable base for the synthetic turf.

X

7.20.2.

Depending on the local site conditions, a geo-textile fabric may be placed over the entire sub-grade and within the pipe trenches prior to the installation of the base materials to minimize contamination of the aggregate and possible clogging of the perforated drainage pipes. Where soil conditions warrant, a polyethylene, PVC, or other impermeable sheet liner may be used in lieu of the geo-textile to inhibit storm water infiltration into the subsoil.

X

7.20.3.

The aggregate materials utilized to construct the field base must be a properly graded washed crushed stone to provide a balance between stability and permeability. A highly fractured material is desirable to provide the surface stability required for the synthetic turf surfacing, supplemental padding or porous paving as applicable. The graded aggregate particle sizes must be tightly controlled to fall within the bandwidth for all specified sieve sizes with just enough lines to provide stability while still allowing for sufficient drainage. Minimum stability and permeability requirements should be determined and confirmed by an independent certified laboratory prior to construction of the base course.

X

7.20.4.

The base materials should be thoroughly compacted to prevent differential settlement across the field area. Minimum compaction levels typically should not be less than 95% density as measured by a standard proctor test. Special attention should be given to backfill compaction of any utility trenches that cross the field area. Care should also be taken not to over compact, which could affect drainage.

X


X

7.20.6.

Water permeability rates for both the field's surfacing and the field base materials should be designed to accommodate the local weather patterns and storm water management regulations. The permeability of both the field surface and the base materials will typically decrease over the life of the field. An adequate factor of safety should be utilized to provide initial infiltration rates for the completed field above those required by the local weather conditions.

X

7.21. Shock Absorbing Resilient Underlayment Systems X

7.21.1. Performance Characteristics: The selection of the cushion layers should be closely coordinated with the performance characteristics of the synthetic turf utilized. The cushion layers should provide

X


Item Category Specifications Comply Deviate shock absorption without compromising footing and surface stability.


X

7.21.2.1.

Physical Characteristics: Prefabricated cushion layers are typically comprised of rubber, polyurethane foam, or other suitable materials. The rubber pads are SBR rubber fibers or granules bound together with a polyurethane binder and usually come as roll or piece goods and should be permeable. The foam cushion layers are typically polyurethane or polyvinyl chloride and should be water permeable for drainage.

X

7.21.2.2.

Performance Characteristics: The selection of the cushion layers should be closely coordinated with the performance characteristics and requirements of the synthetic turf system utilized. The cushion layers should provide shock absorption without compromising footing and/or surface stability.

X

7.21.2.3.

Water Permeability Rate: The system is to be permeable by design with adequate drainage, perforations through all of the cushioning layers to provide for adequate drainage through the system as specified.

X

7.22. Irrigation System: X

7.22.1.

The installation of a manual or automatic irrigation system can be considered for synthetic turf installations. Guidelines on whether synthetic fields are watered are determined by factors such as region, climate, turf material, player traffic type, and level of games played.

X


X

7.23. Seams: X

7.23.1.

Each panel or roll should be attached to the next with a seam to form the playing substrate of the field. Seams should be glued with a supplemental backing material or sewn with high strength sewing thread. The bonding or fastening of all system material components should provide a permanent, tight, secure, and hazard-free athletic playing surface.

X

7.23.2.

Adhesive: Synthetic turf adhesives should be applied by experienced, professional installers. The adhesives should provide a strong, hazard-free, and durable bond between the adjacent turf panels or sections and to be usable for installation under variable weather conditions. The adhesive should also be resistant to water, fungus, and mildew. Synthetic turf adhesives include: one-part adhesives (urethanes), two-part (epoxy or urethane), hot melt, and water-based (latex).

X

7.23.3.

Seaming Tape: The tape is comprised of a fabric that should be installed below the backing material on both sides of a seam or inlay. The fabric used for seaming tape should provide dimensional strength and enough surface texture and width to bond well with the adhesive and the turf backing material on each side of the seam.

X

7.24. Lines and Markings: X

7.24.1.

Installation: Lines and markings should be installed on the synthetic turf surface in one of three methods: with paint, with colored fiber that is either tufted or knitted into the synthetic turf panels, or installed as inlays. Tufted in or inlaid lines and markings are a permanent part of the surface.

X

7.24.2. Painted lines and markings installed with either permanent or X


Item Category Specifications Comply Deviate temporary paint require maintenance. Even permanently painted lines require additional paint on a periodic basis.


X

7.25. Inserts: X

7.25.1. They can include covers for goal sleeves and anchors and conversion of baseball infield clay areas to synthetic turf.

X

7.25.2. The synthetic turf used for the inserts should be similar to that used in the area adjacent to the insert.

X

7.25.3. The inserts should be anchored securely to the surrounding areas so that they cannot be displaced by the activities occurring on the field and installed to the same tolerances.

X

7.26. Synthetic Turf Material Production Quality Assurance . X

7.26.1. Testing of materials should be performed prior to shipment of product to the job site.

X

7.26.2. The synthetic turf rolls should be randomly sampled and tested by the manufacturer who will certify that they meet the specification.

X

7.26.3. Testing may include pile composition, pile weight, total weight, pile height, tuft bind (without infill), and grab/tear strength.

X

7.26.4. The manufacturer, to certify in writing at the owner request that the test results meet or exceed the synthetic turf specification.

X

7.27. Construction and Installation X 7.27.1. Inspection: X 7.27.1.1. Synthetic materials should be inspected prior to installation for: X 7.27.1.1.1. Damaged or defective goods X 7.27.1.1.2. Missing goods or quantities X 7.27.1.1.3. Correct fiber type X 7.27.1.1.4. Correct turf pile height and weight X 7.27.1.1.5. Proper tuft bind X 7.27.1.1.6. Correct backing perforation diameter and spacing, if applicable X 7.27.1.1.7. Materials out of tolerance with the specification X 7.27.2. Sub-Grade Preparation X

7.27.2.1. The sub-grade should provide a stabilized foundation upon which base materials and subsequent components of playing field systems will be installed.

X

7.27.2.2. It should also provide the pitched surface on which storm water is directed toward the active drainage system for evacuation.

X

7.27.3.

Shape and Compaction: Prior to placement of base materials, the sub-grade should be shaped to an appropriate profile and compacted by proof rolling to obtain a firm even surface. Depressed areas should be filled and unsuitable materials removed and replaced with clean fill or aggregate. Compaction should be performed to achieve a minimum of 95% in accordance with ASTM D698 Standard Proctor Method. The appropriate moisture content must be maintained in the field sub-grade to allow for optimal levels of compaction.

X

7.27.4.

Sub-Grade (Rough) Planarity: The tolerances for the finished sub-grade should not exceed one-half (1/2") inch as measured by a 10-foot straight edge. Grading of the sub-grade shall minimize pending to the extent practical. The use of laser guided and controlled equipment is highly recommended for sub-grade preparation.

X

7.27.5. Aggregate: X

7.27.5.1. Installation of the aggregate base should provide a close, evenly textured surface meeting the required tolerances.

X

7.27.5.2. Extreme care should be taken to ensure that there is no disturbance X


Item Category Specifications Comply Deviate to the sub-grade and that there is no displacement of the soil separator. All disturbed, displaced, or damaged material is to be repaired or replaced.

7.27.5.3.

The aggregate base should be placed in a manner that will produce a uniform and evenly graded mass to the specified depth. The material should be placed and spread by the appropriate equipment and methods in successive horizontal layers not exceeding the depth per synthetic turf manufacturer's specifications. Pockets that occur as a result of stone segregation during installation should be removed and replaced. After correct placement, each lift shall be uniformly compacted with a self-propelled roller to achieve the specified density.

X

7.27.5.4.

The field base materials should be thoroughly compacted to prevent any significant differential settlement across the area of synthetic turf surfacing. The appropriate moisture content must be maintained in the base materials to allow for optimal levels of compaction.

X

7.27.5.5.

Finish-Grade Planarity (surface tolerances): Irregularities in the surface of the base materials are typically reflected in the finished field surface. To controlled tolerances the contractor is to use a laser guided and controlled equipment for subgrade preparation. The local deviation of the finished surface of the base stone should not exceed ¼ in. in any direction when measured beneath a 10-foot long straight edge. Hollows and depressions, which may have developed during the process of compacting the base, should be filled with acceptable material and re-compacted.

X

7.28. Shock Absorbing Resilient Underlayment System: X

7.28.1.

Cushion-Layer (Elastic Layer Pad) Installation: If required by design, the in situ cushion layers should be installed with specialized paving equipment used only for in situ pad. All paving seams should be hand rolled and troweled. All cold joints in the pad should be pretreated with a polyurethane primer. The specified thickness of the in situ pad should be continuously monitored for consistency. The components of the in situ cushion layers should be thoroughly mixed. The mixing ratios should also be monitored for consistency. The cushion-layer system should be securely placed on the field base materials. The in situ cushion surface should not vary more than ¼ in. in 10 ft. as measured in any direction with a string line or straight edge.

X

7.28.2.

Seam Installation: If required by design, prefabricated cushion-layer systems are typically installed as roll or piece goods. The head seams at the end of each roll should be staggered across the field. When required by the padding manufacturer, all glued cushion-layer seams should be butted together and a permeable or mesh type fabric should be adhered to the surface of the cushion layer at all seam locations to bridge the cushion-layer joints. (This does not apply to sewn seams).

X

7.28.3.

Resilient Infill: If required by design, the infill material should be applied when in a dry condition and should not be applied unless the synthetic turf is also dry. The infill material should be applied in consistent layers with multiple applications. It is critical to insure that synthetic fibers are not trapped underneath the infill. After application of each layer, the synthetic turf should be dragged and/or brushed according to the manufacturer's recommendations in order to lift the fibers and distribute the infill material into the turf system in a consistent manner.

X

7.29. Irrigation System X 7.29.1. Sprinklers located inside the field of play are not acceptable. The X


Item Category Specifications Comply Deviate installation of multiple infield sprinklers is and can affect the turf's adhesion to the field base. This can have a negative effect on the completed turf planarity and consistency. Use of agricultural, long range sprinkler guns mounted on riser posts or long range perimeter pop-up sprinklers buried at grade level, the popup sprinklers provide discrete, low level, unobtrusive, long range performance with the ability to throw beyond the half way line.


X

7.29.3. Manual or remote controllers can be offered X

7.29.4. Warning notification sound and visual safety measures to ensure players, spectators and service personnel are not at risk from the water jet as the sprinklers are activated can be offered.

X

7.30. Synthetic Turf Installation: X

7.30.1. All synthetic turf systems should be installed to provide stability that will prevent panels from shifting or bunching.

X

7.30.2.

The synthetic turf panels should be securely fastened together for the warranted life of the system. These seams can be glued or sewn depending upon the synthetic turf system . Seam gaps should be minimal and uniform. For tufted infill systems the gap between the fibers should not exceed the gauge of the tufting. For other synthetic turf systems, the seam gaps should not exceed 1/16 in.

X


X

7.30.4.

Inlaid lines and markings should consist of synthetic turf with contrasting colored fiber installed in lieu of painted fiber. Inlay gaps should be uniform. For tufted systems, the gap between the fibers should not exceed the gauge of the tufting. Lines and markings must conform to the appropriate association or organization suggested guidelines for the intended level of use.

X

7.30.5.

Care should be taken during installation to account for rapid fluctuations in temperature to avoid expansion and/or contraction which can affect the final installation. Temperature extremes should also be carefully monitored. The carpet should never be rolled or unrolled when frozen, which can cause cracking and irreparable damage to the secondary backing.

X


X

7.30.7. G-Max testing to be performed by an independent testing company or lab.

X

7.31. Clean-Up X

7.31.1. Turf contractor shall provide the labor, supplies and equipment as necessary for final cleaning of surfaces and installed items.

X

7.31.2. All usable remnants of new material shall become the property of the Member.

X

7.31.3. The turf contractor shall keep the area clean throughout the project and clear of debris.

X

7.31.4. Surfaces, recesses, enclosures, etc., shall be cleaned, as necessary, to leave the work area in a clean, immaculate condition ready for immediate occupancy and use by the Member.

X

7.32. Field Quality Control X

7.32.1.

At the time of substantial completion and bi-annually during the life of the warranty, the Contractor shall perform a series of tests using an independent testing agency to evaluate the shock absorption characteristics of the field. The tests shall be performed

X


Item Category Specifications Comply Deviate on a 50 foot grid in both directions using an accelerometer in accordance with ASTM F1936 and ASTM F355. Test the field at a minimum of 12 points and submit the results to the Owner within 30 days of testing. At no point shall any reading exceed 160 Gmax during the life of the warranty. If any point exceeds the maximum deceleration, the Contractor shall make corrections to provide the allowable Gmax deceleration at the Contractor's expense. Owner has the option to engage a qualified independent testing and inspecting agency to perform field tests and inspections and prepare test reports.


X


X

7.33. Field Markings and Decorations X

7.33.1. A complete field "Lining, Marking, and Field Boundary" system will be provided with the installation of the surfacing system.

X

7.33.2. Field markings are to be installed in accordance with approved project shop drawings and marking plan.

X

7.33.3. Tufted lines, hash marks, ticks, and number markings, shall conform to the manufacturers' specifications and recommendations.

X

7.33.4. Striping layouts shall be accurately surveyed by the Contractor before installation of tufted field markings.

X

7.33.5. Install tufted lines and markings only when the surface is completely dry.

X

7.33.6.

AEPA Member will provide logos as required in a format that the contractor requires. The Contractor shall submit shop drawing of logo to include colors, dimensions and locations for approval prior to ordering and installation.

X

7.34. Synthetic Turf Maintenance X

7.34.1.

The turf manufacturer to provide detailed written maintenance instructions and training of maintenance personnel. Maintenance to include but not limited to cleaning, stain removal, minor seam repair, dragging, or redistribution of any infill material, and management of infill compaction. The Vendor Partner can offer equipment and supplies that are required for the maintenance of the synthetic turf surface. Utilizing this equipment as recommended by the turf manufacturer will generate the proper maintenance in relation to any future warranty claims.

X

7.34.2.

Seam Repair: Seams that open or become loose may require some immediate and temporary gluing until they can be inspected and corrected by the installation builder. The gluing should conform to the written maintenance suggested guidelines provided by the synthetic turf vendor.

X

7.35. Quality Assurance X

7.35.1.

Manufacturer - Proposed solutions must be equal to or better than those available from nationally-recognized manufacturers specializing in outdoor synthetic turf products for athletic and recreational facilities.

X

7.35.2.

Manufacturer Qualifications - Manufacturer must have ten (10) years of experience in the manufacture of synthetic turf systems which meet and/or exceed the standards and guidelines presented herein.

X

7.35.3. Engineering Qualifications - The Vendor Partner must have a X


Item Category Specifications Comply Deviate professional engineer, licensed in the state where the field is to be installed to review and certify that the proposed site, site conditions and synthetic turf system being supplied and installed meets or exceeds the design criteria of the specifications, and the site conditions exceed the minimum requirements of the system's design performance standards set by the manufacturer.

7.35.4.

Installer Qualifications - Factory-trained and certified with a minimum of three (3) years' experience of successfully installing synthetic turf systems. Must have the appropriate contractor's license as required by the state or local jurisdiction where the field will be installed.

X

7.36. Project Documents and Submittals X 7.36.1. Design Documents X 7.36.1.1. Planning X 7.36.1.2. Grading Plan X 7.36.1.3. Drainage Plan X 7.36.1.4. Edge Details X 7.36.1.5. Installation Instructions and standards X 7.36.2. Project Schedule X

7.36.3. Shop Drawings - Show all site preparation, materials, supplies and fixtures to be furnished even if provided by others.

X

7.36.4. Synthetic Turf Product Data Sheet and Specifications. X 7.36.5. Material Safety Data Sheets (MSDS) X 7.36.6. Testing Requirements X 7.36.6.1. G-Max Testing X 7.36.6.2. Lead and Heavy Metal Testing X 7.36.6.3. All turf fiber, infill, base and subbase, etc X 7.36.7. Maintenance Manual and Instructions X

7.36.8. Samples - Samples of materials and colors as requested by the owner or owner's representative.

X

7.36.9. Detail information on all items and work to be provided and/or performed by the Member and stipulate minimum requirements.

X

7.36.10. Warranty X 7.36.10.1. Written warranty documents X 7.36.10.2. Warranty insurance policy. X

7.36.11. Cost Proposal - Detail breakdown of all costs associated with the design, manufacture, delivery, installation, and warranty of the proposed solution per contract documents.

X

7.37. Project Close-out X

7.37.1. The Contractor and the Member's representative shall conduct a complete and extensive site inspection of all work performed and products provided and installed.

X


X


X


X


X

7.37.6. Certificate of occupancy. X 7.37.7. Maintenance manuals. X

7.37.8. Up to four (4) complete sets of "as built" project drawings, showing the actual locations of seams, drains, in-ground

X


Item Category Specifications Comply Deviate equipment and other accessories installed/provided as required by AEPA Member.


X

7.37.10.

Manufacturer's Instructions and Maintenance Manuals, which will include all necessary instructions for the proper care and preventative maintenance of the synthetic turf system, including painting and markings, procedures of use and executed warranties on installed products and equipment.

X


X

7.37.12. All warranty information. X

7.38. Material Specification, Performance Guidelines, Properties and Lab and Field Tests Requirements

X

7.38.1. All minimum and maximum values take into account acceptable industry manufacturing tolerances plus or minus 2% of the variance.

X

7.38.2. Testing to meet the minimum standards of the Synthetic Turf Council recommendations are for specific purposes such as the following.

X

7.38.3. All minimum values should be evaluated as they relate to the system performance.

X

7.38.4. Site testing shall be at ambient shaded air temperature of 40 - 100°F. Laboratory testing shall be at ambient indoor temperature unless otherwise specified by the test method.

X

7.38.5. Base Materials Test Requirements X


X

Size of particle mix


As per specification

Lab (on site

material)

X

Drainage

ASTM F1551/DIN 18035:6 Permeability to water* ASTM D2434 Permeability of Granular Soils (Constant Head)

Min. of 0.01 cm/s (14 in. per hour)

Lab or Field **

X



ASTM D2922 Compaction of Soil In Place by Nuclear Methods

To set criteria for ASTM D2922 Min. 90% Standard Proctor

Lab/Field

X


Less than 1/4 in. over 10 ft 6mm over 1m

Field X

7.38.6.

Determination in the lab: It is necessary to seal the test ring to the base of the sample. The edges of the sample must also be sealed to prevent any water from flowing around rather than through the sample.

X

7.38.7. ** Determination in the field: An exact seal is typically not attainable and the test is not as accurate/reproducible due to the lateral flow of water and the problems of determining the areas

X


Item Category Specifications Comply Deviate through which the water is flowing.


X

Test Property Method of Determination STC Guidelines

Lab/Field Test

X



Not Specified

N/A

X

Pile Fiber ID Manufacturer Declaration Not Specified N/A

X



X


Manufacturer Declaration Polyurethane/Latex/Fabrics

N/A

X

Pile (face weight)


X


ASTM D5848 Min. 5.5 oz./sq. yd. Lab

X



X

Pile Height ASTM D5823 Sport specific or as specified

Lab/Field

X


Measurement Must meet system specs Lab/Field

X

Yarn Thickness

ASTM D3218 Min. 75 microns Lab tested

X

Yarn Denier ASTM D1577 Min. 500 (nylon) Lab tested

X

Grab Tear Strength

ASTM D5034 Min. 150 lbs. Lab X

Tuft Bind ASTM D1335 Min. Avg. 6 pounds Lab only X



Lab X

Color Uniformity

Visual No significant change Lab & Field

X

7.40. Turf Characteristics For Knitted Turf Systems X

Test Property Method of Determination


X



Not Specified

N/A

X

Pile Fiber ID


X Primary Backing System ID


Not Specified

N/A

X




N/A

X


Item Category Specifications Comply Deviate Pile (face weight)

ASTM D5848

Min. 55 oz./sq. yd.

Lab

X


ASTM D5848

Min. 8 oz./sq. yd.

Lab

X


ASTM D5848


Lab

X

Pile Height

ASTM D5823

Min. 0.5 in.

Lab/Field

X


Measurement

N/A

Lab/Field

X Yarn Denier

ASTM D1907 Min. 500 (nylon) Lab

X

Yarn Thickness

ASTM D3218


Lab

X

Grab Tear Strength

ASTM D5034

Min. 350 pounds

Lab

X Tuft Bind

ASTM D1335 Min. Avg. 6 lbs. Lab

X

Flammability



Lab

X


ASTM F1015

Measurement

Lab

X Color Uniformity

Visual No significant changes

Lab & Field

X

7.41. Turf Characteristics For Tufted Polypropylene (Pp), Polyethylene (Pe), Or Nylon Systems (Non‐Infill Systems)

X

Test Property



X



Not Specified

N/A

X

Pile Fiber ID Manufacturer Declaration Nylon 6 or 6,6; PP, PE N/A X Primary Backing System ID


Not Specified

N/A

X


Manufacturer Declaration Polyurethane N/A X

Pile (face weight)

ASTM D5848

Min. 48 oz./sq. yd.

Lab

X


ASTM D5848

Min. 6 oz./sq. yd.

Lab

X

Secondary X


Item Category Specifications Comply Deviate Backing System Weight


Pile Height ASTM D5823 or D6859 Min. 0.45 in. Lab/Field

X


Measurement

N/A

Lab/Field

X

Fiber Conditioning


Texturized

N/A

X

Yarn Denier ASTM D1907

Min. 500 Nylon

Lab

X

Yarn Thickness

ASTM D3218


Lab

X

Yarn Elongation

ASTM D2256

N/A

Lab

X

Grab Tear Strength

ASTM D5034

Min. 150 pounds

Lab

X


ASTM D2256


Lab

X

Tuft Bind ASTM D1335 Min. Avg. 6 lbs. Lab X



Lab X

Color Uniformity

Visual No significant changes Lab & Field

X

7.42. INFILL Materials X

7.42.1.

Infill Materials: The most recent generation of synthetic turf systems utilizes a long pile height and needs to be supported with infill materials for directional stability and structural integrity, as well as resiliency. The infill materials commonly used are sand, rubber, other suitable materials, or combinations of the following:

X

7.42.1.1.

EPDM (Ethylene Propylene Diene Monomer) is a polymer elastomer with high resistance to abrasion and wear and will not change its solid form under high temperatures. Typical EPDM colors are green and tan. EPDM has proven its durability as an infill product in all types of climates. Its excellent elasticity properties and resistance to atmospheric and chemical agents provide a stable, high performance infill product.

X

7.42.1.2.

TPE (Thermo plastic elastomer) infill is non‐toxic, heavy metal free, available in a variety of colors that resist fading, very long lasting, and 100% recyclable and reusable as infill when the field is replaced. TPE infill, when utilizing virgin‐based resins, will offer consistent performance and excellent g‐ max over a wide temperature range.

X

7.42.1.3.

Organics: There are several organic infill utilizing different organic components, such as natural cork and or ground fibers from the outside shell of the coconut. These products can be utilized in sports applications as well as for landscaping.

X

7.42.1.4.

Silica Sand: This product is a natural infill that is non‐toxic, chemically stable, and fracture resistant. Silica sand infills are typically tan, off‐tan or white in color and depending upon plant location, may be round or sub‐round in particle shape. As a

X


Item Category Specifications Comply Deviate natural product there is no possibility of heavy metals, and the dust/turbidity rating is less than 100. It can be used in conjunction with many other to provide a safe and more realistic playing surface. The round shape plays an integral part in the synthetic turf system. Silica sand have a high purity (greater than 90%) to resist crushing and absorption of bacteria and other field contaminants. Silica sand can either be coated with different materials as a standalone product or can be used to firm up in combination with traditional crumb rubber infill systems.

7.42.1.5.

Coated Silica Sand: This class of infill consists of coated, high purity silica sand with either a soft or rigid coating specifically engineered for synthetic turf. These coatings are either elastomeric or acrylic in nature (non‐toxic) and form a bond with the sand grain sealing it from bacteria to provide superior performance and durability over the life of a field. Coated sand is available in various sizes to meet the application's needs.

X

7.42.1.6.

Crumb Rubber: Two types of crumb rubber infill exist: Ambient and Cryogenic. Crumb rubber infill is substantially metal free, and, according to the STC's Guidelines for Crumb Rubber Infill Used in Synthetic Turf Fields, should not contain liberated fiber in an amount that exceeds .01% of the total weight of crumb rubber, or .6 lbs. per ton.

X

7.42.1.7.

Coated Rubber: Both ambient and cryogenic rubber can be coated with colorants, sealers, or anti‐microbial substances if desired. Coated rubber provides additional aesthetic appeal, reduction of dust by products during the manufacturing process and complete encapsulation of the rubber particle.

X

7.42.1.8.

Hybrid: Constitutes the use of sand, rubber, or other suitable materials in various combinations. (This should not be confused with hybrid carpet systems that consist of a combination of fiber types.)

X

Test Property

Method of Determination STC Guidelines Lab/Field Test

X



N/A

X




Lab

X



Lab/Field

X



Lab

X

Color Uniformity

Visual


Lab/Field

X

7.43. Shock Pad Layer Properties X


X



N/A X

Mix Design Manufacturer Declaration Must meet system N/A X


Item Category Specifications Comply Deviate specifications


Min. of 14 in. per hour

Lab/Field

X


ASTM F1508 Sieve Analysis Must meet system specifications

Lab X



Field X

Thickness Measurement

Meet system spec at every point measured (+1/4 in./-0) (+6 mm/-0 mm) cushion layer

Lab/Field

X

7.44. Performance Guidelines X

7.44.1. The values indicated on these Tables are based on the performance of infill systems currently available and found to be satisfactory nationally and internationally.

X

7.44.2. Performance Guidelines for (North American) Football Fields X

Test Property Description Test Method

STC Guidelines

X

Shock Absorption


ASTM F1936 (g-max)

Shall not exceed 200 at each test point*

X


ASTM F2157-02** ≤ 10 mm

X


14 in./hr. Base 10 in./hr. Turf System

X

7.44.3. Performance Guidelines for Soccer Fields X

Property

Description

Test Method

STC Guidelines

X


ASTM F2117 30% - ≤ 50%

X

Ball Roll A measure of how far a ball rolls EN 12234 4m - 10m

X

Force Reduction


ASTM F2157-02

55% - 70%

X

Deformation A measure of the degree a surface deforms when a player

ASTM F2157-02* ≤ 10mm

X


Item Category Specifications Comply Deviate runs across it




X


14 in./hr. Base 10 in/hr. Turf System

X

7.44.3.1. *To prevent compaction the mass must be caught after each impact

X

7.44.3.2. Legend X

7.44.3.3. ASTM - Test method published by the American Society for Testing and Materials

X

7.44.3.4. EN -Test method published by the European Standards Organization

X

7.44.3.5. FIFA -Test method described in FIFA Handbook of Test Methods and Requirements for Artificial Turf Football Surfaces

X

7.45. Materials Specifications X

7.45.1.

The reference specifications, as established by the Synthetic Turf Council, are "typical" examples of minimums that are most commonly encountered and have fulfilled reasonable expectations for successful performance. Deviations from these minimums can be expected due to product innovations or quality upgrades and can be considered when properly justified in terms of their expected performance.

X


X

7.45.3. Environmental Conditions: Suitable weather conditions are important for the successful installation of the systems.

X


X

7.45.5. Synthetic Turf Specification X FIBER: X Material PE, PP, Nylon 6, or Nylon 6.6 X Denier Must meet system specs X BACKING (primary/ secondary):

X

Weight primary

Not less than 5.5 oz. Per sq. Yd. X

Weight secondary

Not less than 16 oz. Per sq. Yd. X

Additional backings

Optional X

FABRIC: X Width 12 ft. to 15 ft. X Tuft bind > 6.8 lbs. or 30 N X Pile height Sport specific or as specified X Pile weight Not less than 30 oz./per sq. yd. Must meet system specifications. X Grab tear strength

Not less than 150 lbs. X


Item Category Specifications Comply Deviate Pill burn test Passing results tested as installed. X INFILL SYSTEM:

Depending on Manufacturer's recommendation. X

Depth of infill

Nominal, per Manufacturer's recommendation. X

Impact attenuation


X

Water Permeability

Turf cushion layer - min. 10 in./hour X

7.45.6. Knitted Synthetic Turf Specification - Short pile X FIBER: X Material PE, PP, Nylon 6, or Nylon 6.6 X Denier Min. 500 Nylon X Thickness Min. 75 microns PE or PP X BACKING (primary/ secondary):

X

Ground Yarn Polyester multi-filaments X Weight primary

Min. 8 oz./sq. yd. X

Acrylic Min. 3 oz./sq. yd. X Polyurethane attached cushion

optional X

FABRIC: X Width Typically 15 ft. X Tuft bind N/A X Pile height Sport specific or as specified X Pile weight Min. 55 oz./sq. yd. X Grab tear strength

Min. 350 lbs. X

Pill burn test Passing results tested as installed X Total Weight Min. 66 oz./sq. yd. (without attached cushion) X INFILL SYSTEM:

Depending on Manufacturer's recommendation X

Impact attenuation


X

Water Permeability


X

7.45.7. Tufted Synthetic Turf Specification - Short pile X FIBER: X Material Nylon 6, Nylon 6.6, PE or PP X Denier Min. 500 nylon X

Thickness Min. 75 microns PE Min. 50 microns PP

X

BACKING (primary/ secondary):

X

Woven PP/non-woven

Single or multiple X

Weight Min. 6 oz./sq. yd. X Scrap Coat Min. 16 oz./sq. yd. X


Item Category Specifications Comply Deviate Attached cushion Secondary and/or cushion


X

FABRIC: X Width 12-15 ft. X Tuft Bind >6.8 lbs. or 30 N X Pile Height Sport specific or as specified X Pile Weight Min. 48 oz./sq. yd. X Grab Tear Strength

Min. 150 lbs. X

Pill Burn Test

Passing results tested as installed X

Total Weight Depending on individual construction X SYSTEM: X

Impact attenuation


X

Water Permeability


X

7.45.8. Shock Pad-Pre-Fabricated Pad Systems Specification X Typical Requirement

X

Thickness 0.375 in. ± 10% X Density 4.0 lbs./cu. ft. ±10% X Weight 38 oz./sq. yd. X Width 4 ft. X 25% Compression Resistance (ASTM D1667)

10-12 psi

X

Tensile Strength X(ASTM D412)

Typically 75 psi

X

7.45.9. Shock Pad-In Situ Systems Specification (typical ranges) X

Thickness: 35 mm 25 mm 20 mm

X

Density: 2 lbs./cu. ft. 1.5 lbs./cu. ft. 1.2 lbs./cu. ft.

X

Weight: 56 lbs./sq. yd. 40 lbs./sq. yd. 32 lbs./sq. yd.

X

Component: SBR Aggregate PU Binder

X

1-5 mm 1-3 mm X Percentages (by weight):

60-63% 30-32% 5-10%

X

7.45.9.1. Mix Design (all percentages by weight) X

7.45.9.1.1. Note: Typically the mix design is determined first, to satisfy the needs of the field in relation to its declared use. The mix design then will determine the weight, density, and thickness which

X


Item Category Specifications Comply Deviate should fall within the parameters indicated.

7.45.9.1.2. SBR granules to be dust free, no elongated particles are allowed. X 7.45.9.1.3. Aggregate to be washed/clean, preferably round (pea gravel). X

7.45.9.1.4. Application to be performed by the use of continuous mixing device and suitable paving equipment.

X

7.46. Warranty X

7.46.1.

The Prime Contractor shall provide a warranty to the owner that covers defects in the prep-work, installation and workmanship, and further warrant that the installation was done in accordance with both the manufacturer's recommendations and any written directives of the manufacturer's onsite representative.

X

7.46.2. Manufacturer's warranty shall include for a period of eight (8) years:

X

7.46.3. General wear and damage caused from UV degradation. X

7.46.4. The artificial grass field turf must maintain an ASTM 355 G-max in accordance with product specifications for the life of the warranty.

X

7.46.5. The warranty shall specifically exclude vandalism and acts of God beyond the control of the owner or the manufacturer.

X

7.46.6. Surface and the adhesives used in the installation are and will be free from defects in material and workmanship.

X

7.46.7. All defects for failures relating to field construction, drainage, synthetic grass seam rupture, and synthetic yarn UV stability, excessive wear and tensile strength.

X

7.46.8.

The warranty must be supported by a paid-up insurance policy from an A.M. Best A-Rated insurance company to ensure that, if warranty work is required during the full eight (8) year required warranty period, the work can be obtained even if the manufacturer/Vendor Partner shall go out of business or no longer exist.

X


X

7.46.10. There are no periods of non-coverage during the warranty period. X 7.46.11. No annual deductible per field for warranty repairs. X

7.46.12.

The Prime Contractor shall provide a warranty to the owner that covers defects in the prep-work, installation, and workmanship, and further warrant that the installation was done in accordance with both the manufacturer's recommendations and any written directives of the manufacturer's on-site representative.

X

7.46.13.

The Vendor Partner may offer extended warranties or maintenance agreements if available at an additional cost to Members. The maintenance contract must be offered as a separate line item.

X

7.47.

The Contractor shall provide the necessary training for the proper care and maintenance for all material and equipment in order for them to develop a complete knowledge and understanding of the supplies, materials and equipment required to maintain and keep the synthetic turf system in good working condition through its product lifecycle.

X

7.48. Optional Equipment and Accessories X

7.48.1. The Vendor Partner can offer and install in-ground equipment and accessories to include but is not limited to:

X

7.48.1.1.

Pole Vault Pit -The Vendor Partner shall provide synthetic surfacing material plugs, which are to be installed level to the surfacing of the respective runway and be of similar texture as the surrounding synthetic surfacing.

X

7.48.1.2. Take-Off Boards X

Taxpayer Name: FIELDTURF USA INC.

Trade Name:

Address: 175 N. INDUSTRIAL BLVD

CALHOUN, GA 30701

Certificate Number: 0933885

Effective Date: September 06, 2002

Date of Issuance: July 23, 2015

For Office Use Only:

20150723114520778

N.J. Department of Treasury - Division of Revenue, On-Line Inquiry file:///O:/(04)CO~1/ACTIVE~1/AEPA01~3/AEPAIF~2/FIELDT~2/FIE...

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