Common use of Combined Products Clause in Contracts

Combined Products. The Service Fee rate for each Combined Product sold to a Fujitsu PRC Customer shall be as follows notwithstanding anything to the contrary in this MOU: (a) for Combined Products with equal to or greater than ninety percent (90%) Spansion Content, the Service Fee rate shall be equal to 4.3% of the Spansion’s direct selling price to customer if the Product is not sold through a Channel Partner or Spansion Channel Partners’ actual distributor cost for the Fujitsu PRC Customers for such Product; (b) for Combined Products with equal to or greater than seventy-five percent (75%) and less than ninety percent (90%) Spansion Content, the Service Fee rate shall be equal to 3.3% of the Spansion’s direct selling price to customer if the Product is not sold through a Channel Partner or Spansion Channel Partners’ actual distributor cost for the Fujitsu PRC Customers for such Product; (c) for Combined Products with equal to or greater than sixty-five percent (65%) and less than seventy-five percent (75%) Spansion Content, the Service Fee rate shall be equal to 3.2% of the Spansion’s direct selling price to customer if the Product is not sold through a Channel Partner or Spansion Channel Partners’ actual distributor cost for the Fujitsu PRC Customers for such Product; (d) for Combined Products with equal to or greater than fifty percent (50%) and less than sixty-five percent (65%) Spansion Content, the Service Fee rate shall be equal to 2.9% of the Spansion’s direct selling price to customer if the Product is not sold through a Channel Partner or Spansion Channel Partners’ actual distributor cost for the Fujitsu PRC Customers for such Product; (e) for Combined Products with equal to or greater than twenty-five percent (25%) and less than fifty percent (50%) Spansion Content, the Service Fee rate shall be equal to 2.3% of the Spansion’s direct selling price to customer if the Product is not sold through a Channel Partner or Spansion Channel Partners’ actual distributor cost for the Fujitsu PRC Customers for such Product; and (f) for Combined Products with less than twenty-five percent (25%) Spansion Content, the Service Fee rate shall be equal to 4.3% of the difference between Spansion’s direct selling price to customer if the Product is not sold through a Channel Partner or Spansion Channel Partners’ actual distributor cost and one hundred percent (100%) of the price that Spansion paid for the non-Spansion Content.