[IBM LETTERHEAD]
February 16, 2001
Candy Smith
Senior Vice President, eCommerce Services
QRS Corporation
1400 Marina Way South
Richmond, CA 94804
Reference: Letter Amendment #2 to International Business Partner Agreement
and Elimination of Retail Management Agreement
Dear Candy:
As we have discussed, this letter (the Letter) modifies the following
agreements between QRS Corporation (QRS) and International Business Machines
Corporation (IBM):
International Business Partner Agreement:
International Solution Provider Profile, signature effective date
12/31/97 (Profile)
IBM Global Services' Network Services Exhibit, marked 17 December 1997
(Exhibit)
Letter Amendment to International Business Partner Agreement dated
August 31, 1999
Additionally, IBM and QRS agree that the following agreement and its
obligations are terminated as of December 31, 2000. The final payment under
such agreement, for services rendered in the fourth quarter Of 2000, will be
made in early 2001.
Retail Management Agreement, signature effective date 12/31/97 (RMA)
Retail Management Agreement Attachment, signature effective date 12/31/97
(RMA Attachment)
The changes set forth in this letter are effective as of January 1, 2001.
Except as explicitly set forth in this Letter and the attached Exhibit, all
terms, conditions and provisions of the agreements listed above shall
continue in full force and effect. We expect these changes to be of
substantial mutual benefit to our relationship going forward. Please indicate
your acceptance of these changes by signing and dating this letter and
returning it to me.
Sincerely,
/s/ T. Kevin Massey
T. Kevin Massey
Account Executive
1. IN THE PROFILE (AS AMENDED BY THE 8/31/1999 LETTER AMENDMENT) REPLACE
THE FOLLOWING:
CONTRACT START DATE: January 1, 1998 DURATION: 4 years
This Agreement shall commence on January 1, 1998, and terminate on
31 December 2001.
WITH THE FOLLOWING:
CONTRACT START DATE: January 1, 2001 DURATION: 2 years
This Agreement shall commence on January 1, 2001, and terminate on
31 December 2002.
2. IN THE PROFILE (AS AMENDED BY THE 8/31/1999 LETTER AMENDMENT) DELETE THE
ENTIRE MINIMUM REVENUE COMMITMENT SUB-SECTION AND REPLACE IT WITH THE
FOLLOWING:
MINIMUM PAYMENT COMMITMENT
The minimum payment commitment for the Agreement term is *
for e-Commerce Services (as defined in the Exhibit) as follows:
*[TABLE REDACTED]
There is no minimum payment commitment for Connectivity Services. Any
payments made by QRS to IBM for any other hardware, software, or
services (including Connectivity Services) other than the e-Commerce
Services do not apply toward the Minimum Payment Commitment.
3. (a) IN THE PROFILE (AS AMENDED BY THE 8/31/1999 LETTER AMENDMENT) DELETE
THE ENTIRE ADJUSTMENT CHARGE SUB-SECTION AND ALL REFERENCES TO ADJUSTMENT
CHARGES OR CONTRACT PENALTIES FOR TERMINATION OR FAILURE TO ACHIEVE USAGE
LEVELS.
(b) IBM waives any penalty charges incurred by QRS under the International
Business Partner Agreement as of January 1, 2001 for failure to meet its
minimum payment commitment in any prior periods. Notwithstanding anything to
the contrary set forth herein, the Minimum Payment Commitment shall remain in
effect as described herein, and QRS shall owe such Minimum Payment
Commitment. In the event that Agreement is terminated or otherwise ends
before December 31, 2002, QRS shall owe, and promptly pay, IBM the remaining
portion of the entire Minimum Payment Commitment (i.e. *) which it has not
yet paid.
* Indicates that material has been omitted and confidential treatment has
been requested therefor. All such omitted material has been filed
separately with the Commission pursuant to Rule 24b-2.
4. IN THE PROFILE REPLACE THE FOLLOWING IN THE ELIGIBLE SERVICES APPROVAL
SUB-SECTION:
- Managed Data Network Services
- Managed Messaging and Collaborative Services
- Managed Electronic Transaction Services
- Managed Internet and Intranet Services
WITH THE FOLLOWING:
- IBM Global Services Interchange Services for e-business
- The following IBM Global Networking Alliance Project Office Alliance
Partner(s) services, unless modified in writing by IBM:
- AT&T Global Network Services: Managed Data Network Services
5. TERMINATE THE RMA AND AMENDMENTS FROM THE 8/31/1999 LETTER, INCLUDING
ANY QRS CUSTOMER-SPECIFIC OFFERS (E.G. DAYTON HUDSON, SEARS) LISTED THEREIN
AND OTHER CUSTOMER-SPECIFIC FINANCIAL ARRANGEMENTS (E.G. MAY COMPANY).
6. DELETE THE IBM GLOBAL SERVICES NETWORK SERVICES EXHIBIT (AS AMENDED BY THE
8/31/1999 LETTER AMENDMENT) AND REPLACE THE ENTIRE DOCUMENT WITH THE NEW IBM
GLOBAL SERVICES NETWORK SERVICES EXHIBIT, DATED 16 FEBRUARY 2001, ATTACHED
HERETO.
Agreed to: Agreed to:
QRS CORPORATION INTERNATIONAL BUSINESS MACHINES CORPORATION
1400 MARINA WAY SOUTH
RICHMOND, CA 94804 ARMONK, NEW YORK 10504
By: By:
/s/ Candy S. Smith /s/ Gregory D. Schrubbe
- ----------------------------- ------------------------------
Authorized signature Authorized signature
Name (type or print): Name (type or print):
Candy S. Smith Gregory D. Schrubbe
Date: 2/19/01 Date: 2/27/01
IBM BUSINESS PARTNER AGREEMENT
IBM GLOBAL SERVICES' NETWORK SERVICES EXHIBIT
JANUARY 2001
A. GLOBAL TERMS
1. ADMINISTRATIVE CHARGES AND CREDITS
* for establishing new QRS Invoice accounts to support client
administration and the electronic delivery of monthly billing
information to QRS. * for network traffic.
2. LICENSED PROGRAMS (SOFTWARE)
QRS Customers must contract directly with IBM for licensed programs.
Programs which can be ordered by a QRS Customer under an IBM account ID
which is part of QRS billing rollup structure will be invoiced to QRS at
undiscounted list rates.
3. BUSINESS PARTNERSHIP MEETINGS
QRS and IBM will participate in at least two (2) Business Partnership
Meetings per year.
4. REPORTS
QRS will provide quarterly usage forecasts to IBM by IBM product line by
month.
5. MIGRATION ASSISTANCE
Upon commercially reasonable request or agreement by IBM, QRS will
provide commercially reasonable assistance in migrating installed
customers onto alternate e-Commerce or connectivity platforms (e.g.
from Information Exchange (IE) to Internet Data and Document Exchange
(IDDX)).
6. CHARGE PROTECTION
If IBM increases the prices for Eligible Services in the aggregate such
that the effect on the pre-tax invoice amount is more than seven percent
in any year commencing on an anniversary date of this Agreement, you may
terminate this Agreement upon six months' written notice to us. In the
event of such termination, you will have no obligation to pay any
termination charges.
7. RETAIL INDUSTRY
QRS is approved to remarket Eligible Services to Customers in the retail
industry segments as set forth in the table below. QRS and IBM agree
to expand and/or refine the table below, and shall include grocery
sub-segments, by April 15, 2001.
The IBM Industry Segments as further identified by the Standard Industry
Code ("SIC") and description, consist of the following:
* Indicates that material has been omitted and confidential treatment has
been requested therefor. All such omitted material has been filed
separately with the Commission pursuant to Rule 24b-2.
Page 1 of 13
- --------------------------------------------------------------
INDUSTRY
SEGMENT SIC DESCRIPTION
- --------------------------------------------------------------
DA RETAIL--APPAREL MANUFACTURING
- --------------------------------------------------------------
DA 2251 Women's hosiery, except socks
- --------------------------------------------------------------
DA 2252 Hosiery, nec
- --------------------------------------------------------------
DA 2253 Knit outerwear mills
- --------------------------------------------------------------
DA 2254 Knit underwear mills
- --------------------------------------------------------------
DA 2259 Knitting mills, nec
- --------------------------------------------------------------
DA 2311 Men's and boys' suits and coats
- --------------------------------------------------------------
DA 2321 Men's and boys' shirts
- --------------------------------------------------------------
DA 2322 Men's and boys' underwear and night wear
- --------------------------------------------------------------
DA 2323 Men's and boys' neckwear
- --------------------------------------------------------------
DA 2325 Men's and boys' trousers and slacks
- --------------------------------------------------------------
DA 2326 Men's and boys' work clothing
- --------------------------------------------------------------
DA 2329 Men's and boys' clothing, nec
- --------------------------------------------------------------
DA 2331 Women's and misses' blouses and shirts
- --------------------------------------------------------------
DA 2335 Women's, junior's and misses' dresses
- --------------------------------------------------------------
DA 2337 Women's and misses' suits and coats
- --------------------------------------------------------------
DA 2339 Women's and misses' outerwear, nec
- --------------------------------------------------------------
DA 2341 Women's and children's underwear
- --------------------------------------------------------------
DA 2342 Bras, girdles, and allied garments
- --------------------------------------------------------------
DA 2353 Hats, caps, and millinery
- --------------------------------------------------------------
DA 2361 Girls' and children's dresses, blouses
- --------------------------------------------------------------
DA 2369 Girls' and children's outerwear, nec
- --------------------------------------------------------------
DA 2371 Fur goods
- --------------------------------------------------------------
DA 2381 Fabric dress and work gloves
- --------------------------------------------------------------
DA 2384 Robes and dressing gowns
- --------------------------------------------------------------
DA 2385 Waterproof outerwear
- --------------------------------------------------------------
DA 2386 Leather and sheep-lined clothing
- --------------------------------------------------------------
DA 2387 Apparel belts
- --------------------------------------------------------------
DA 2389 Apparel and accessories, nec
- --------------------------------------------------------------
DA 2391 Curtains and draperies
- --------------------------------------------------------------
DA 2392 House furnishings, nec
- --------------------------------------------------------------
DA 2393 Textile bags
- --------------------------------------------------------------
DA 2394 Canvas and related products
- --------------------------------------------------------------
DA 2395 Pleating and stitching
- --------------------------------------------------------------
DA 2396 Automotive and apparel trimmings
- --------------------------------------------------------------
DA 2397 Schiffli machine embroideries
- --------------------------------------------------------------
DA 2399 Fabricated textile products, nec
- --------------------------------------------------------------
DA 3111 Leather tanning and finishing
- --------------------------------------------------------------
DA 3131 Footwear cut stock
- --------------------------------------------------------------
DA 3142 House slippers
- --------------------------------------------------------------
DA 3143 Men's footwear, except athletic
- --------------------------------------------------------------
DA 3144 Women's footwear, except athletic
- --------------------------------------------------------------
DA 3149 Footwear, except rubber, nec
- --------------------------------------------------------------
DA 3151 Leather gloves and mittens
- --------------------------------------------------------------
DA 3161 Luggage
- --------------------------------------------------------------
DA 3171 Women's handbags and purses
- --------------------------------------------------------------
DA 3172 Personal leather goods, nec
- --------------------------------------------------------------
DA 3199 Leather goods, nec
- --------------------------------------------------------------
DB RETAIL--MASS MERCHANDISE
- --------------------------------------------------------------
DB 5331 Variety stores
- --------------------------------------------------------------
DB 533A Discount stores
- --------------------------------------------------------------
DC RETAIL--DEPARTMENT STORES
- --------------------------------------------------------------
Page 2 of 13
- --------------------------------------------------------------
DC 5311 Department stores
- --------------------------------------------------------------
DC 5399 Miscellaneous general merchandise stores
- --------------------------------------------------------------
DD RETAIL--DIRECTED MARKETING
- --------------------------------------------------------------
DD 5961 Catalog and mail order houses
- --------------------------------------------------------------
DE RETAIL--SPECIALTY
- --------------------------------------------------------------
DE 5611 Men's and boys' clothing stores
- --------------------------------------------------------------
DE 5621 Women's clothing stores
- --------------------------------------------------------------
DE 5632 Women's accessory and specialty stores
- --------------------------------------------------------------
DE 5641 Children's and infants' wear stores
- --------------------------------------------------------------
DE 5651 Family clothing stores
- --------------------------------------------------------------
DE 5661 Shoe stores
- --------------------------------------------------------------
DE 5699 Miscellaneous apparel and accessory stores
- --------------------------------------------------------------
DE 5731 Radio, TV and electronic stores
- --------------------------------------------------------------
DE 5734 Computer and software stores
- --------------------------------------------------------------
DE 5735 Record and prerecorded tape stores
- --------------------------------------------------------------
DE 5736 Musical instrument stores
- --------------------------------------------------------------
DE 5932 Used merchandise stores
- --------------------------------------------------------------
DE 5941 Sporting goods and bicycle shops
- --------------------------------------------------------------
DE 5942 Book stores
- --------------------------------------------------------------
DE 5942 Stationery stores
- --------------------------------------------------------------
DE 5944 Jewelry stores
- --------------------------------------------------------------
DE 5945 Hobby, toy, and game shops
- --------------------------------------------------------------
DE 5946 Camera and photographic supply stores
- --------------------------------------------------------------
DE 5947 Gift, novelty, and souvenir shops
- --------------------------------------------------------------
DE 5948 Luggage and leather goods stores
- --------------------------------------------------------------
DE 5949 Sewing, needlework and piece goods
- --------------------------------------------------------------
DE 5983 Fuel oil dealers
- --------------------------------------------------------------
DE 5984 Liquified petroleum gas dealers
- --------------------------------------------------------------
DE 5989 Fuel dealers, nec
- --------------------------------------------------------------
DE 5992 Florists
- --------------------------------------------------------------
DE 5993 Tobacco stores and stands
- --------------------------------------------------------------
DE 5994 News dealers and newsstands
- --------------------------------------------------------------
DE 5995 Optical goods stores
- --------------------------------------------------------------
DE 5999 Miscellaneous retail stores, nec
- --------------------------------------------------------------
DG RETAIL--PHARMACY/DRUG
- --------------------------------------------------------------
DG 5912 Drug stores and proprietary stores
- --------------------------------------------------------------
DH RETAIL--FOOD
- --------------------------------------------------------------
DH 5812 Eating places
- --------------------------------------------------------------
DH 5813 Drinking places
- --------------------------------------------------------------
DR RETAIL--HARDGOODS
- --------------------------------------------------------------
DR 5211 Lumber and Other Building Materials
- --------------------------------------------------------------
DR 5231 Paint, Glass and Wallpaper Stores
- --------------------------------------------------------------
DR 5251 Hardware Stores
- --------------------------------------------------------------
DR 5261 Retail Nurseries, Lawn and Garden Stores
- --------------------------------------------------------------
DR 5712 Furniture Stores
- --------------------------------------------------------------
DR 5713 Floor Covering Stores
- --------------------------------------------------------------
DR 5714 Drapery, Curtain and Upholstery Stores
- --------------------------------------------------------------
DR 5719 Miscellaneous Home Furnishing Stores
- --------------------------------------------------------------
DR 5722 Household Appliance Stores
- --------------------------------------------------------------
Page 3 of 13
B. US TERMS
1. ELIGIBLE SERVICES
In addition to the Eligible Services in the offering categories listed in
the Solution Provider Profile, you are authorized to market the following
Eligible Services under the Remarketer Terms in the United States,
unless IBM first discusses any changes with you and then communicates
such changes in the Eligible Services to you in writing.
- Support Services
- Capacity Services
- Network Services Withdrawn from Marketing
- These existing services can continue to be remarketed to
installed customers (as of January 1, 2001) until withdrawn
from service.
Eligible Services are described in the applicable Service Descriptions,
as found on the applicable Market Support and Tools websites at
http://netsvcs.ibm.com/advtools/ or http://agns.ibm.com/agnstool/.
2. CHARGES AND DISCOUNTS
QRS will be charged according to the then-current non-discounted list
rates itemized in the applicable Schedules of Charges for each Eligible
Service (found on the applicable Market Support and Tools websites at
http://netsvcs.ibm.com/advtools or http://agns.ibm.com/agnstool/),
except as provided in the subsections below.
3. e-COMMERCE (EC) SERVICES:
The terms used in this section apply only to e-Commerce (EC) Services,
which are defined as the Information Exchange (IE) and Internet Data and
Document Exchange (IDDX) billing elements shown in Table 10.1. The
following terminology is defined in this section, and is used in
describing the payments due for EC Services:
- Yearly EC Cost
- Expected Yearly EC Usage
- YTD EC Usage
- Monthly EC Payment
- YTD EC Payments
Yearly EC Cost to QRS is based on Expected Yearly EC Usage, as set forth
in Table 3.1.
TABLE 3.1
*[TABLE REDACTED]
(*) Plus, if Expected Yearly EC Usage exceeds * billion kilocharacters,
the INCREMENTAL cost to QRS will be * per additional 0.30 billion
kilocharacter tier in 2001, and * per additional 0.30 billion kilocharacter
tier in 2002.
* Indicates that material has been omitted and confidential treatment has
been requested therefor. All such omitted material has been filed
separately with the Commission pursuant to Rule 24b-2.
Page 4 of 13
Expected Yearly EC Usage will be calculated quarterly and is equal to:
-March YTD EC Usage divided by 0.30
-June YTD EC Usage divided by 0.58
-September YTD EC Usage divided by 0.85
-December YTD EC Usage divided by 1.00
All YTD EC Usage is the year-to-date sum of the actual IE and IDDX
kilocharacter traffic used by QRS or its customers, as defined in Table 10.2.
The Yearly EC Cost will be the amount of Yearly EC Cost set forth in Table
3.1 that corresponds to the Expected Yearly EC Usage, as calculated in
accordance with the previous paragraph. Each Yearly EC Cost calculation will
continue in effect until the next quarterly calculation made in accordance
with the previous paragraph.
QRS will pay to IBM each month a Monthly EC Payment. YTD EC Payments are the
year-to-date sum of the Monthly EC Payments. Monthly EC Payment to IBM will
be Yearly EC Cost less YTD EC Payments divided evenly into the remaining
months of the year. This calculation may cause the Monthly EC Payment to
change during the year. The Monthly EC Payment will be a part of the overall
invoice presented to QRS each month by IBM for all services defined under
this agreement. These payments (including the Monthly EC Payment) will be due
the month after the service is used (e.g. January 2001 usage will be payable
in February 2001; December 2002 usage will be payable in January 2003).
The first three Monthly EC Payments for each year will be based on
one-twelfth of the Yearly EC Cost found in the first tier of Table 3.1 above.
Specifically, the payments will be:
*[TABLE REDACTED]
As an example to illustrate the payments and quarterly recalculations, QRS
will pay to IBM * each month for the first quarter of 2001, for a YTD EC
Payment of * for usage incurred through 3/31/2001. On or about 4/15/2001, a
quarterly recalculation will be done, and if, for example, the March YTD EC
Usage is calculated to be 0.390 billion kilocharacters (kc's), the following
will happen:
1. Expected Yearly EC Usage will be recalculated as 0.390 billion kc's
divide by 0.30 = 1.30 billion kc's
2. Referencing Table 3.1, the Yearly EC Cost will be recalculated as *
3. The Monthly EC Payment will be recalculated as * (Yearly EC Cost) less *
(YTD EC Payments) or * to be divided by the nine remaining months of
2001 = *.
4. QRS will then pay IBM * Monthly EC Payment each month until the next
quarterly recalculation determines a different Monthly EC Payment.
This paragraph is for example only.
IBM will provide to QRS EC usage information monthly.
* Indicates that material has been omitted and confidential treatment has
been requested therefor. All such omitted material has been filed
separately with the Commission pursuant to Rule 24b-2.
Page 5 of 13
4. OTHER IBM INTERCHANGE SERVICES NOT A PART OF THE MINIMUM REVENUE
COMMITMENT OR MONTHLY EC PAYMENT
A. WEB EDI services (defined as IBM Forms Exchange, IBM in-Network
Translation, and IBM Web Data Transfer) will be provided at a *
discount off usage-based billing elements (see Table 10.3).
B. IE ARCHIVING will be provided at *. IBM will provide billing
information so that the number of days archived is indicated or, if IBM
does not provide such detail, *.
C. ENABLING SUPPORT: IBM will provide EC enabling support services worth
up to * (at list rates) annually to QRS or its customers at no charge to
QRS. Additional enabling support services may be purchased by QRS at *
of the current hourly rates. The enabling service credit as here defined
will reset on January 1st of each year.
D. LABOR-BASED EC SERVICES, other than those defined above will be at
* off current hourly rates.
E. IE 800# DIAL USAGE (as measured in kilocharacters) under * of total
IE dial usage is provided to QRS at *. If IE 800# dial usage exceeds *
of total IE dial usage over a calendar year, charges for the additional
usage will be paid by QRS at discounted rate of * off list prices. IBM
will determine the total IE 800# dial usage and invoice QRS as
appropriate in the first quarter of the following year.
* Indicates that material has been omitted and confidential treatment has
been requested therefor. All such omitted material has been filed
separately with the Commission pursuant to Rule 24b-2.
Page 6 of 13
5. CONNECTIVITY PRICING
A. MANAGED DATA NETWORK SERVICES (MDNS) LEASED LINE (DEDICATED)
SERVICES, as defined in Table 10.4, will be provided to QRS at a *
discount off list prices.
B. MDNS 800# DIAL SERVICES, as defined in Table 10.5, will be provided
to QRS at a * discount off list prices.
C. IP DIAL SERVICES, as defined in Table 10.6, will be provided to QRS
at a * discount off list prices.
D. SNA DIAL AND RELATED SUPPORT SERVICES, as defined in Table 10.7, will
be provided to QRS at a * discount off list prices.
6. STEDI
As of January 1, 2001 QRS maintains a number of accounts which are
trading partners with Sears, and which use the STEDI system for EDI. QRS
will continue to be charged for all STEDI usage at list rates. Beginning
January 1, 2002, QRS may begin to actively migrate such STEDI users to
IE or IDDX to be included in the usage tiers as defined in subsection
B3, above. Prior to January 1, 2002, QRS may migrate up to ten (10)
STEDI users to IE or IDDX at such STEDI user's request. Other than such
ten migrated STEDI users, QRS will be charged the prevailing IE or IDDX
list rates for any additional STEDI users who migrate to IE or IDDX
prior to January 1, 2002.
7. BILLING AND INVOICING
IBM agrees to work with QRS to establish the accuracy of billing
records. If a QRS customer is in dispute of charges based on IBM
provided billing records, IBM will use commercially reasonable efforts
to address the dispute with the QRS and the end user.
8. EDUCATION
*
9. TRAINED PERSONNEL REQUIREMENTS
QRS shall provide the following trained personnel:
YEAR OF AGREEMENT MANAGEMENT MARKETING SUPPORT
2001 2 12 18
2002 2 12 18
* Indicates that material has been omitted and confidential treatment has
been requested therefor. All such omitted material has been filed
separately with the Commission pursuant to Rule 24b-2.
Page 7 of 13
10. TABLES
The following tables are set forth in this section. It is the intention of IBM
and QRS to work together to further define these billing element tables by
March 15, 2001. IBM and QRS will review the billing element tables for
accuracy on a quarterly basis. Discountable monthly, recurring or usage-based
billing elements not listed are intended to be included in the appropriate
tables based on their service category, following the pattern of those
elements already defined. Non-discountable, installation, one-time,
subscription, volume commitment, passthru, and special charges will be
individually considered.
1. IE AND IDDX billing elements (note that, as of January 1, 2001, only
IE billing elements are defined; the appropriate IDDX billing elements
will be added to this table when they have been defined by product
management).
2. IE AND IDDX KILOCHARACTER billing elements (note that only IE
kilocharacter billing elements are currently defined; the appropriate
IDDX billing elements will be added to this table when they have been
defined by product management).
3. WEBEDI discountable billing elements
4. MANAGED DATA NETWORK SERVICES (MDNS) LEASED LINE (DEDICATED)
discountable billing elements
5. MDNS 800# DIAL discountable billing elements
6. IP DIAL discountable billing elements
7. SNA DIAL AND SELECTED OTHER discountable billing elements
Page 8 of 13
TABLE 10.1 IE AND IDDX BILLING ELEMENTS
ELEMENT DESCRIPTION
19 MESSAGES - PRIME
20 MESSAGES - NON PRIME
25 IE CHARACTERS - P
26 IE CHARACTERS - NP
68 IE "800" DIAL ACCESS - P
69 IE 800 DIAL ACCESS - NP
550 IE INTERCONNECT - P
551 IE INTERCONNECT - NP
715 IE BULK CHARACTER - P
716 IE BULK CHARACTERS - NP
924 IE BULK INTERCONNECT - P
925 IE BULK INTERCONNECT - N
926 IE ISDN 64000 BPS - P
930 IE LOCAL DIAL ACCESS - P
931 IE LOCAL DIAL NON - P
934 IE NOTICE CALLOUT
1175 DIALOUT - PRIME
1176 DIALOUT NON-PRIME
1863 IE ARCHIVE STORAGE
1864 IE-IE MSG DELIVERY - P
1865 IE-IE MSG DELIVERY NP
1866 IE-EDI VAN DELIVERY - P
1867 IE-EDI VAN DELIVERY -NP
2049 SERVICE CHARGE (IEPS)
2128 IE-EDI VAN RECEIVE - P
2129 IE-EDI VAN RECEIVE - NP
2430 IE NOTICE DIALOUT
2453 IE CARBON COPY
2454 IE CARBON COPY
2594 IEPS ACCESS FACILITY
2697 IE PASSTHRU SURCHRG - P
2698 IE PASSTHRU SURCHRG - NP
3972 IE LGCY GW SURCHGE P
3973 IE LGCY GW SURCHGE NP
TABLE 10.2 IE AND IDDX KILOCHARACTER
BILLING ELEMENTS
ELEMENT DESCRIPTION
25 IE CHARACTERS - P
26 IE CHARACTERS - NP
550 IE INTERCONNECT - P
551 IE INTERCONNECT - NP
715 IE BULK CHARACTER - P
716 IE BULK CHARACTERS - NP
924 IE BULK INTERCONNECT - P
925 IE BULK INTERCONNECT - N
TABLE 10.3 WEBEDI DISCOUNTABLE BILLING ELEMENTS
ELEMENT DESCRIPTION
3902 IN NET TRANS IN CHAR
3911 REG TP SET (1 TO 5)
8068 INT INTRCONNECT-NPRIME
Page 9 of 13
TABLE 10.4 MANAGED DATA NETWORK SERVICES (MDNS) LEASED LINE (DEDICATED)
DISCOUNTABLE BILLING ELEMENTS
ELEMENT DESCRIPTION
106 HOST ADMINISTRATION FOR SNI
313 AS/400 SITE 9600 BPS-MONTHLY
315 AS/400 SITE 19200 BPS-MONTHLY
317 AS/400 CONNECTION 9600 BPS-MONTHLY
319 AS/400 CONNECTION 19200 BPS-MONTHLY
323 ENHANCED ATTACH 19200 BPS-MONTHLY
324 STANDARD ATTACH 19200 BPS-MONTHLY
325 ALTERNATE ATTACH 19200 BPS-MONTHLY
387 ENHANCED ATTACH UP TO 9600 BPS-MONTHLY
389 ENHANCED ATTACH 14400 BPS-MONTHLY
391 ENHANCED ATTACH 56000 BPS-MONTHLY
393 STANDARD ATTACH UP TO 9600 BPS-MONTHLY
395 STANDARD ATTACH 14400 BPS-MONTHLY
399 ALTERNATE ATTACH UP TO 9600 BPS-MONTHLY
400 ALTERNATE ATTACH 14400 BPS-MONTHLY
401 ALTERNATE ATTACH 56000 BPS-MONTHLY
538 SNBU MONTHLY CHARGE
590 HCF ACCESS
597 19.2 SHARED BRIDGE
667 ENS CONNECTION 56000 BPS-MONTHLY
668 ENS SNI CONNECTION 19.2 BPS-MTHLY
937 ENS PT-PT CONNECTION 9600 BPS MONTHLY
1086 LLS 56KB SNI STD MONTH
1088 LLS 19.2 SNI STD MONTH
1089 LLS 19.2 STD MONTHLY
1090 LLS 14.4 SNI STD MONTH
1091 LLS 14.4K BPS STANDARD MONTHLY
1092 LLS 9.6K BPS SNI STANDARD MONTHLY
1093 LLS 9.6K BPS STANDARD MONTHLY
1094 LLS 56KB SNI MULTIPLE SITE COMMITMENT RATE-25
1096 LLS 19.2 SNI MULTIPLE SITE COMMITMENT RATE-25
1102 LLS 56KB SNI REVENUE COMMITMENT RATE-25
1103 LLS 56KB REVENUE COMMITMENT RATE-25
1104 LLS 19.2K BPS SNI REVENUE COMMITMENT RATE-25
1105 LLS 19.2K BPS REVENUE COMMITMENT RATE-25
1106 LLS 14.4K BPS SNI REVENUE COMMITMENT RATE-25
1107 LLS 14.4K BPS REVENUE COMMITMENT RATE-25
1108 LLS 9.6K BPS SNI REVENUE COMMITMENT RATE-25
1109 LLS 9.6K BPS REVENUE COMMITMENT RATE-25
1111 INTERNETWORKING - 56Kb
1112 INTERNETWORKING - 256Kb
1113 INTERNETWORKING - 512Kb
1114 INTERNETWORKING - T1
1146 ALTERNATE SITE BACKUP - 56 KBPS
1177 PARADYNE MODEM - MONTHLY
1632 INTERNETWORKING 2ND BU - 56KB
1651 SWITCHED 56 SERVICE - MONTHLY
1658 INTERNETWORKING - 126KB
Page 10 of 13
TABLE 10.4 MANAGED DATA NETWORK SERVICES (MDNS) LEASED LINE (DEDICATED)
DISCOUNTABLE BILLING ELEMENTS (CONTINUED)
1658 INTERNETWORKING - 128KB
1688 INTERNETWORKING SNA SUPPORT
1689 INTERNETWORKING TOKEN RING ADAPTER SUPPORT
1690 INTRNETWKNG SDLC DEVICE ADAPTER SUPPORT
1693 OPTIONAL SNA INTERCONNECT SUPPORT
1723 INTRNETWKNG DIAL BU (SW56 FOR 56k)
1827 INTERNET INTERCONNECT SUBSCRIPTION
1900 INTERNET DIRECT CONFIGURATION 14
1905 INTERNET DIRECT CONFIGURATION 13
1910 INTERNET DIRECT CONFIGURATION 12
1920 INTERNET DIRECT CONFIGURATION 11
1926 INTERNET INTERCONNECT FIREWALL
1930 INTERNET INTERCONNECTION FIREWALL
2004 BUSINESS RECOVERY SERVICES 512 KBPS
2026 DBAN SWITCHED 56KB MONTHLY
2028 DBAN MONTHLY
2034 LLS BRIDGED CONNECTION 19.2 BPS
2120 INTRNETWKNG SNA INTERCONNECT 56KB
2121 INTRNETWKNG SNA INTERCONNECT 128KB
2122 INTRNETWKNG SNA INTERCONNECT 256KB
2614 MDNS Connect Monthly 56KB
2616 MDNS CONNECTION MONTHLY 128KB
2618 MDNS CONNECTION MONTHLY 256KB
2620 MDNS Connection Monthly 512KB
2623 MDNS CONNECTION MONTHLY T1
2629 MDNS PVC Private Network Monthly
2630 MDNS PVC W/EMEA MTHLY
2632 MDNS PVC Zone 3 Monthly
2634 MDNS PVC W/ASIA MTHLY
2642 MDNS Crossover To SNA Srv Monthly
2644 MDNS Crossover To Secure IP VAS Monthly
2645 MDNS Crossover to Internet Direct Monthly
2646 MDNS Protocol IP Monthly
2647 MDNS Protocol IPX Monthly
2648 MDNS Protocol SNA Monthly
3639 MDNS Backup Xover SNA PVC - Monthly
3640 MDNS Backup Xover MPN PVC - Monthly
3782 Backup Stnby Leased Line 56KB Monthly
3823 BKUP ACT/LL 56KB MTHLY
3833 BKUP ACT/LL T1 MTHLY
3975 STD SLA-SITE GOLD CHG
3988 Basic Firewall Package 1
3989 Basic Firewall Package 2
3991 Basic Firewall Package 4
3992 Basic Firewall Package 5
4015 Basic Firewall Pack 4 Report Option
5821 Network Address Translation (NAT) 1-50
5822 Network Address Translation (NAT) 1-100
5823 Network Address Translation (NAT) 1-200
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TABLE 10.5
MDNS 800# DIAL DISCOUNTABLE BILLING ELEMENTS
ELEMENT DESCRIPTION
38 800 DIAL SURCHARGE-LOCAL-PRIME
39 800 DIAL SURCHARGE-LOCAL-NONPRIME
805 800 DIAL SURCHARGE-PEER COMM-PRIME
806 800 DIAL SURCHARGE-PEER COMM-NONPRIME
1879 800 DIAL SURCHARGE - TCP/IP - PRIME
1880 800 DIAL SURCHARGE - TCP/IP - NON PRIME
2059 DIAL INTERNET - 800 SURCHARGE
2492 Dial Services Corp Int ISDN Fee 800
2495 Dial Services TCP/IP ISDN Fee 800
2954 800 Surcharge MP Tunnel ISDN
2955 800 SURCHG-MP TUNNELING-PRIME
2956 800 SURCHG-MP TUNNELING-NONPRIME
6990 MNG TUNNEL - PPTP SECURE IP 800 SURCGG
7045 MNG TUNNEL - PPTP SEC IP 800 SURCHG NP
TABLE 10.6
IP DIAL DISCOUNTABLE BILLING ELEMENTS
ELEMENT DESCRIPTION
1873 TCP/IP DIAL LOCAL - PR
1874 TCP/IP DIAL LOCAL - NP
2061 DIAL INET - LOCAL
2491 CORP INT - ISDN LOCAL
2493 TCP/IP DIAL-ISDN LOCAL
2937 VPE LOCAL PRIME
2938 VPE LOCAL NON PRIME
2951 MP TUNNEL-PRIME
2952 MP TUNNEL-NONPRIME
2953 MP TUNNEL-ISDN
6780 IP CO I 144/144
6782 IP DSL SVC TO 1.5M/384
6794 INTERNET VPN GATEWAY
6965 MTS-PPTP INT IP
7924 INET ISDN USER PLN HRS
TABLE 10.7
SNA DIAL AND RELATED SUPPORT DISCOUNTABLE BILLING ELEMENTS
ELEMENT DESCRIPTION
1 VM INTERACTIVE CRU - P
2 VM INTERACTIVE CRU - NP
9 MVS BACKGRND CRU - P
10 MVS BCKGRND CRU - NP
34 NRU'S - PRIME
35 NRU'S - NON-PRIME
49 MB NON-DED DASD - VM
50 MB NON-DED DASD-MVS/AS
55 USERID'S ON FILE
574 MONTHLY SUBSCRIPTION
703 IMX MAILBOX CHARGE
704 INT'L MESSAGE CHARGE
706 NAT'L MESSAGE CHARGE
732 DIAL SVCS-LOCAL-P
733 DIAL SVCS-LOCAL-NP
803 DIAL SVCS-PEER COMM-P
804 DIAL SVCS-PEER COMM-NP
972 SOFTWARE MALL SUB FEE
979 SOFTWARE MALL MO FEE
1006 MO SUBSCRIPTION CHG
1704 TRAVELING USER SUPPORT
Page 12 of 13
C. INTERNATIONAL TERMS
1. ELIGIBLE SERVICES
In addition to the Eligible Services in the offering categories listed in the
Solution Provider Profile, you are authorized to market the following
Eligible Services under the Remarketer Terms in countries outside the United
States:
Support Services
Capacity Services
Eligible Services are described in the applicable IBM Global Services
Service Descriptions, as found on the IBM Global Services Market, Support
and Tools website at http://netsvcs.ibm.com/advtools/.
2. DISCOUNTS
A discount of * applies to all charges eligible for discount outside of
the United States.
3. TERM
The term for these discounts outside the United States extends through
December 31, 2001.
* Indicates that material has been omitted and confidential treatment has
been requested therefor. All such omitted material has been filed
separately with the Commission pursuant to Rule 24b-2.
Page 13 of 13