SCHEDULE 2
to the PlayStation 2 Licensed Publisher Agreement dated the 22 day of November 2000
between Sony Computer Entertainment Europe Limited and Eidos Interactive Limited
Platform Charge (Clause 7.1)
Band | Publisher's maximum price to trade
| Platform Charge per unit | |
| | | |
[*] | [*] | [*] | |
[*] | [*] | [*] | |
[*] | [*] | [*] | |
[*] | [*] | [*] | |
[*] | [*] | [*] | |
| | | |
For these purposes, "maximum price to trade" shall mean –
Publisher's (or, where applicable, Publisher's distributor's) highest price net of trade margin to any trade customer in the European Economic Area and Australia for Publisher's (or, where applicable, Publisher's distributor's) minimum order quantity of the relevant inventory, net of year end (or similar) volume rebates (if any) properly attributable to sales of PlayStation software, but prior to any credit, deduction or rebate for co-op advertising or other marketing support, returns or otherwise howsoever.
Where Publisher's business (with the trade or through distributors) is conducted in local currencies other than , the local currency/ exchange rates to be applied for purposes of conforming to maximum price to trade for any given Band will be the closing mid-point spot rate as quoted in the London "Financial Times" on the first business day of each [ * ] period, commencing 1 April 2000. Such exchange rate will then reset for each successive [ * ] period thereafter
The local currency maximum price to trade for any given title will then be that derived by applying the exchange rate obtaining for the [ * ] period (as above) in which Publisher places its first Purchase Order ("PO") for the title concerned and will continue to apply for that title unless and until, on migration (see below), Publisher places its first PO in a different Band in a subsequent [ * ] period.
SCEE reserves the right to review local currency maximum prices to trade per Band applicable for any given [ * ] period (as above) in the event of a material exchange rate fluctuation, deemed for these purposes to be +/– [ * ]%.
The foregoing assumes a standard 1-Disc PlayStation 2 CD-ROM product and covers mastering, Disc, standard 2-colour Disc Label, PlayStation 2 box (or other packaging) and automated assembly of all components, but excludes the cost. of Printed Materials other than Disc Label.
For multi-disc PlayStation 2 CD-ROM products and PlayStation 2 products in DVD5 format, the applicable Platform Charge specified above shall be increased by + [ * ]/unit.
* CONFIDENTIAL TREATMENT REQUESTED | | |
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For the following optional non-standard Manufactured Materials, the following incremental charges (in addition to the otherwise applicable Platform Charge specified above) will apply
| if the Disc Label is more than [*]-colour, |
| for each additional colour |
| (maximum [*] additional colours / [*] ) | [*] | |
| | |
• | Picture Disc – High Definition | [*] |
| [*]-Disc CD-ROM products (in standard PlayStation 2 box) | [*] |
| |
| > [*]-Disc CD-ROM products | [*] |
The Platform Charge and minimum order and reorder quantities for other "non-standard" Manufactured Materials and/or production processes shall be as detailed in the Specifications or, where not so detailed, and subject to availability, as individually quoted in each case.
P1ayStation 2 titles may "migrate" between Bands at any time from and after [*] months (but not more than [*] months) following initial PO (or first PO upon prior migration, as the case may be). [*]
For migrated PlayStation 2 re-issues (but not new PlayStation 2 titles), the applicable Platform Charge specified above, will be increased by [*] for orders placed [*] below Band [*].
Minimum production order quantities (Clause 6.5) shall be [*] units per pack sku for initial orders, [*] units for re-orders, in Bands [*] or [*]. Minimum production order quantities shall be [*] units per pack sku for all orders in Bands [*] and [*].
[*]
* CONFIDENTIAL TREATMENT REQUESTED | | |
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PlayStation2 Hit Title Rebate program.
Publisher's software orders in each qualifying financial year (April – March) will determine the level of Hit Title Rebate ("HTR") in the following financial year. The first qualifying year runs 1 April 1999 – 31 March 2000
Titles with total bona fide orders below [ * ] units will not be taken into account. Otherwise, all orders for software for Sony's "PlayStation" predecessor video entertainment system (in one Band only per title) and all orders for PlayStation 2 format Software in each qualifying financial year will be taken into account, in calculating the Level of HTR for the following financial year.
Once qualified for (as above), HTR for each financial year will be at one of the following levels –
Level 1 (up to [*] units in qualifying financial year, ie. immediately preceding April – March),
Level 2 (over [*] units in qualifying financial year),
Level 3 (over [*] units in qualifying financial year).
HTR will be redeemable in the applicable financial year, against orders for PlayStation 2 format Software only, as follows –
units per PlayStation2 title * | Level 1 | Level 2 | Level 3 |
| | | |
[*] | [*] | [*] | [*] |
[*] | [*] | [*] | [*] |
[*] | [*] | [*] | [*] |
[*] | [*] | [*] | [*] |
[*] | [*] | [*] | [*] |
[*] | [*] | [*] | [*] |
[*] | [*] | [*] | [*] |
| | * NB: per title not per SKU and not cume across all PlayStation2 titles |
The HTR for each PlayStation2 title shall continue to escalate (as above) for orders in the same Band notwithstanding that such orders may be placed in a following financial year. Subsequent orders for the same title but in a different Band will be counted for these purposes as orders for a new "title".
In order to verify conformity with the Band structure for PlayStation 2 format Software described above, SCEE will require from time to time at its own expense to inspect and audit the relevant of Publisher's financial records (and, where applicable, those of Publisher's associated companies, subsidiaries and/or branch offices in the Licensed Territory). Any such inspection and audit shall take place during normal business hours at Publisher's principal place of business (or such other location as the relevant books and records are maintained) upon reasonable prior notice and shall, at SCEE's sole election, be conducted either by an independent chartered or certified accountant or by an appropriately professionally qualified member of SCEE's staff.
Initialled by | | Initialled by |
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Sony Computer Entertainment Europe | | Eidos Interactive |
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* CONFIDENTIAL TREATMENT REQUESTED | | |
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