Common use of Domestic Container Space Clause in Contracts

Domestic Container Space. APL agrees to make available to UP's retail subsidiary, Union Pacific Distribution Services ("UPDS") or its successors, a minimum of 25% of the available domestic Container space on any given APL Train (hereinafter "25% Allocation"). In the event UPDS does not fully utilize its 25% Allocation during any calendar month for a particular traffic corridor, the total number of Containers tendered by UPDS for Stack Car Train service in that corridor and direction of movement in the following calendar month shall not exceed 200% of the average per train tender for the month in which UPDS did not utilize its 25% Allocation, not to exceed a 10-unit increase per Stack Car Train. For example, if UPDS's current 25% Allocation for the Stack Car Train moving eastbound from Oakland, California, is 50 Containers per train, and during a given calendar month, UPDS tenders an average of 20 Containers per train, then UPDS's maximum 25% Allocation for the next month for that train will be 20 x 200% or a total of 10 additional Containers per train, whichever is less. In this example, UPDS's new 25% Allocation on the eastbound Stack Car Train from Oakland, California, would be 30 Containers per train.