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.. . . , '1'1P DIR MASTER CONTRACT DIGITAL EQUIPMENT CORPORATION and DEPARTMENT OF INFORMATION RESOURCES THIS DIR MASTER CONTRACT between DIGITAL EQUIPMENT CORPORATION (Digital) and DEPARTMENT OF INFORMATION RESOURCES (DIR) is for a three-year statewide maintenance Agreement, with two mutually agreeable one-year extensions available. This contract will be effective September 1, 1993 through August 31, 1996 and is for all Digital manufactured hardware, including attached or integrated non-Digital manufactured hardware, residing in all State of Texas agencies and entities. This contract is also extended to include local (city and county) government agencies. This agreement may not be modified by individual agencies or entities and may only be modified as mutually agreed by DIR and Digital. Each agency will continue to have their individual contracts with Digital and will be under the DIR contract for discount and administration purposes only. DIR has combined individual agency contracts for additional savings and will monitor the MASTER CONTRACT, distribute agency contracts, collect monies, and pay Digital thirty (30) days after receipt of a correct invoice. Applicable service descriptions for this DIR MASTER CONTRACT are attached (Addendum Band C). Pricing for this contract will be fixed on the current Digital Q3 (January' 93 thru March '93 Systems/Service Price List ("Price List"). The discount from list will be sixty percent (60%) with a five percent (5 %) prepayment discount applied to the net annual total. A breakdown of the applicable Discounts and Allowances and the order of application are included as Addendum A. Only new technology coming on the contract will be exempt from this discount. At the present time, this includes VAX 9000 and Alpha AXP based hardware which will receive a seventeen percent (17%) trom list. Digital will monitor the competitive status of ALPHA AXP and ALPHA-ready technology and will notify DIR when these technologies can be included on the contract at full, discounted prices. This will begin when competitive service is available. This is a hardware services contract only and does not include contracts with bundled hardware and software pricing. The competitive allowance excludes all Non-Digital equipment except as otherwise defined or mutually agreed upon on a case-by-case basis. When pricing for a particular item on the Price List is reduced, Digital will automatically discount that item from the lower price. Notification of price reduction is to be given to DIR so this information can be passed on to agencies. Changes in Digital's corporate pricing strategy will be cause for both parties to review and/or renegotiate this Agreement. Should this occur¡ the net pricing for the current (in progress) fiscal year will be honored by Digital through the remainder of that fiscal year until the contract is either mutually renegotiated, continued through the 3-year term, or cancelled. DIR MASTER CONTRACT Page 1