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<br />117/ <br /> <br /> <br />--- - <br /> <br />ê : :i~ê: Customer Agreement <br /> <br />Part 6 - Options <br /> <br /> <br />6.1 Volume Discounts '-. <br /> <br />We provide discounts for certain Products based on the volume of business you agree to do <br />with us (called your "Commitment") during a contract period. You may make a Commitment <br />based on either Product quantity or revenue. Revenue for a Product is its single-unit charge, <br />less any discounts or allowances. <br /> <br />We will specify the eligible Products, their categories, available discount percents and <br />contract periods, upper-limit percents, and adjustment charge factors. We will inform you <br />periodically of any changes. An unfavorable change (and all changes related to it) applies to <br />an existing Commitment only if you accept it in writing. Related changes become effective at <br />the same time. We will also inform you if we withdraw eligible Products from marketing. We <br />then accept orders you place for these Products subject to their availability. <br /> <br />Unless we specify otherwise, we do not discount Program upgrades, Program features <br />ordered separately from Programs, accessories, or field-installed Machine features, <br />conversions, or upgrades. <br /> <br /> <br />End User Certification <br /> <br />You agree to acquire the Products for use only within your Enterprise and not for remarketing. <br />We call this representation "End User Certificaiion." We provide the discounts to you based <br />on End User Certification. <br /> <br />. <br /> <br />How You May Obtain the Discounts <br /> <br />If you wish to obtain the discounts, you agree to sign an Addendum specifying your <br />Commitment, and selected contract-period start date and duration. <br /> <br />During the contract period, you may increase your Commitment or extend the contract period <br />(subject to our approval) by signing a revised Addendum. If you extend, you agree to <br />increase your Commitment so that the new discount percent is at least equal to your current <br />discount percent. Any increased discount percent applies to all eligible Products for which <br />Date of Installation is on or after the date we receive your signed Addendum. <br /> <br /> <br />How We Apply the Discounts ' <br /> <br />We apply the discount to the single-unit charges of eligible Products that you acquire from us <br />during the contract period. The charges are the lesser of 1) those generally available at the <br />time of acquisition or 2) the announced charges in effect on the date we receive the initial <br />Addendum, subject to our price change terms described below. <br /> <br />We count specified Products that you acquire from our authorized remarketers when we <br />receive the required certification. Adjustment charges do not apply to these Products. <br /> <br />We may place some Products in a dependent category with an associated controlling <br />category. To determine the discount percent applicable to either category, we count <br />quantities or revenue for only those Products in the controlling category.. <br /> <br /> <br />Price Changes <br /> <br />During a contract period, we may increase or decrease charges. We apply your discount to <br />the new charges as follows: <br /> <br />1. we establish a maximum charge (called an "Upper limit") for each Product in a <br />committed category for each year of a contract period. We determine the Upper limit by <br />increasing the announced charge in effect, as of the date we receive the initial Addendum, <br /> <br /> <br />Z125-4575-01 3/93 (MKOO2) Page 21 of 23 <br />