Exhibit 10.10
This Purchase and License Agreement for FWA Equipment (the "Agreement") is
entered by and among Nortel Networks Limited and Nortel Networks de Mexico, S.A.
de C.V. ("NN Mexico" and, collectively, "Nortel Networks"), and Axtel, S.A. de
C.V. (the "Customer" and, together with Nortel Networks, the "Parties"), is
effective from the Closing Date and shall continue in effect thereafter during
the Term. References to "days" shall mean calendar days, unless otherwise
specified.
1. Definitions
1.1 "Concession" means any concession, license, permit or the like (including
any additions or amendments thereto) granted and issued by the governmental
authorities of Mexico as of the Closing Date or during the Term in favor of
Customer that are legally required under applicable laws for operation of
the Products sold hereunder and Customer's networks in Mexico.
1.2 "Force Majeure Event" means the occurrence of fire, casualty, explosion,
lightning, accident, strike, lockout, labor unrest, labor dispute (whether
or not, in respect of the foregoing labor-related matters, the affected
party is in a position to settle the matter), war (declared or undeclared),
armed conflict, civil disturbance, riot, Act of God, delay of common
carrier, the enactment, issuance, or application of any law, local by-law,
regulation, or executive, administrative, or judicial order, acts
(including delay or failure to act) of any governmental authority, or any
other cause or causes (whether of the foregoing, nature or not), or any
other similar or different occurrence, which cause or occurrence is beyond
the reasonable control of the affected party and whether or not foreseeable
by such party.
1.3 "Furnish-only" means Products which Customer is responsible for installing.
1.4 "FWA Business" means, among other things, the know-how and licenses that
would allow a third party to manufacture and support base station
equipment, customer premises equipment, remote element manager, system
software and installation toolsets, that combined provide a fixed wireless
access solution operating in the 3.5 GHz spectrum using TDMA technology.
1.5 "Hardware" means a Nortel Networks machine, equipment or component, but not
including the software.
1.6 "Local Nortel Networks Affiliate" means any person or entity established
prior to or during the Term in Mexico, more than fifty percent (50%) of
whose voting shares or outstanding capital stock is owned or controlled
(directly or indirectly) by Nortel Networks or an affiliate of Nortel
Networks.
1.7 "Nortel Networks Finance Agreement" means the Restructured Amended and
Restated Finance Agreement, dated as of _____________ __, 2003, entered
into by and between Nortel Networks Limited as Lender and Axtel, S.A. de
C.V. as Borrower.
1.8 "Products" means any Hardware, Software or Third Party Vendor Items
provided under this Agreement, which are further described in Annex C
hereto.
1.9 "Replacement Agreements" means, collectively: (i) this Agreement, (ii) the
Technical Assistance Services Agreement for FWA Equipment, dated as of the
date hereof and entered into between Customer and NN Mexico (the "FWA TAS
Agreement"), (iii) the Purchase and License Agreement for Non-FWA
Equipment, dated as of the date hereof and entered into between the Parties
hereto, and (iv) the Technical Assistance Services Agreement for Non-FWA
Equipment, dated as of the date hereof and entered into between Customer
and NN Mexico.
1.9.1 "Restructuring Agreement" means the Restructuring Agreement, dated as of
__________ __, 2003, entered into among the Parties hereto.
1.10 "Senior Note" means that certain promissory note dated ____________ __,
2003, executed by Customer and payable to Nortel Networks as per the Nortel
Networks Finance Agreement.
Purchase and License Agreement for FWA Equipment
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1.11 "Services" means the activities which may be undertaken by Nortel Networks
pursuant to an Order, including but not limited to, consulting, business
planning, network planning and analysis.
1.12 "Site" means a location designated by Customer at which the Products are to
be installed and the Services are to be performed.
1.13 "Software" means computer programs in object code form or firmware which is
owned or licensed by Nortel Networks, its parent or one of its subsidiaries
or affiliates, and is copyrighted and licensed, not sold. Software consists
of machine-readable instructions, its components, data, audio-visual
content (such as images, text, recordings or pictures) and related licensed
materials including all whole or partial copies.
1.14 "Software Scripts" means the high level overlay of the Radio Element
Manager (REM) software that is either run on demand or scheduled and
typically collects, post processes or interprets data for operational,
installation, commissioning and maintenance purposes. The Software Scripts
do not include REM daemons or REM Graphical User Interface screens (GUI).
1.15 "Specifications" means, with respect to Products and/or Services, the
technical specifications set forth in Annex D hereto, which describe or
explain the standard functional capabilities and/or requirements for such
Products and/or Services.
1.16 "Taxes" means all federal, state, provincial, local, foreign, gross income,
gross receipts, sales, use, value added, stamp, levies, customs duties,
franchise, withholding, excise, real or personal property taxes,
registration charges and all other similar taxes.
1.17 "Term" means five (5) years, commencing on the Closing Date (as defined in
the Restructuring Agreement), provided that the Term may be extended for
subsequent one (1) year periods, subject to the Parties agreeing on
mutually acceptable commercially reasonable terms and conditions, where
"commercially reasonable" shall mean terms and conditions which would be
expected to be found in a comparable contractual arrangement between arms'
length parties, acting without other economic constraint or influence, of
similar size and financial situation for products and/or services similar
or comparable to those under this Agreement, including, without limitation,
price and gross margins, minimum orders, volume commitments and delivery
lead times, capital investment required and credit quality of the buyer;
and provided, further, that, solely for the period prior to any sale of the
FWA Business by Nortel Networks to an unrelated third party, (i) twelve
(12) months prior to the end of the Term as then in effect, the Parties
shall enter into negotiations to determine such mutually acceptable
commercially reasonable terms and conditions, (ii) if agreement on such
terms and conditions is not reached by the date that is nine (9) months
prior to the end of such Term, such determination shall be submitted to
arbitration pursuant to the Rules of Conciliation and Arbitration of the
International Chamber of Commerce then in force, such proceedings to take
place in the English language in the City of Miami, Florida, before a panel
of three (3) arbitrators appointed in accordance with the aforementioned
rules, (iii) if such arbitration has not resulted in a determination on or
before the end of the Term as then in effect, the terms and conditions of
this Agreement as in effect during such Term shall be deemed to continue in
effect until such a determination is reached, at which time such
determination shall be applied retroactively to the end of such Term, (iv)
if the terms and conditions determined by such arbitration are acceptable
to Customer but are not accepted by Nortel Networks, then the arbitrators
shall determine the price at which they believe the FWA business would be
sold in an arms length transaction by parties acting without other economic
constraint or influence, (v) Customer shall have the right to purchase the
FWA Business at such price, and (vi) if the Customer elects not to purchase
the FWA Business at such price, then Nortel Networks shall have no
continuing obligation to Customer beyond the terms of this Agreement as
then in effect.
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1.18 "Third Party Vendor Items" includes "Third Party Hardware" and "Third Party
Software" and means any non-Nortel Networks hardware and/or software
supplied to Customer under this Agreement.
2. Orders; Initial Order; Change Orders and Delivery Times
2.1 Customer may acquire Products or Services by: (i) issuing a written
purchase order, signed by an authorized representative, or (ii) if Customer
is enrolled in any then current Nortel Networks electronic commerce
program, by submitting electronic orders (collectively, "Orders").
2.2 All Orders shall reference this Agreement and shall comply with the Order
Procedure attached as Annex E hereto. Orders are totally binding and
non-cancelable.
2.3 All Orders will be governed by and cannot alter the terms and conditions of
this Agreement. In order to be valid, all Orders must be accepted by Nortel
Networks through a written or electronic communication. Nortel Networks
shall accept such Order within the next ten (10) business days after
delivery thereof, if such Order (i) is in compliance with this Agreement
(prices and descriptions) and no additional terms and conditions have been
imposed; (ii) Nortel Networks has received the applicable payment in
accordance with Section 5 hereof; and (iii) Customer has provided the
applicable letter of credit or other form of payment guarantee in
accordance with Section 5 hereof. For the avoidance of doubt, the Parties
agree that Nortel Networks shall not be obligated to start performing under
any Order until Customer complies with the provisions of this Section 2.3.
In the event Nortel Networks does not accept an Order in accordance with
this Section 2.3, it shall promptly return to Customer any payments made
and/or letters of credit provided by Customer under this Section 2.3.
2.4 The implementation schedule, responsibility matrix and any other items
which may be necessary for the performance of Nortel Networks' obligations
hereunder shall be mutually agreed upon between the Parties and included as
exhibits to the Order. Such exhibits shall be deemed incorporated into this
Agreement by this reference.
2.5 Attached hereto as Annex A is the initial Order, which Customer hereby
delivers and shall be subject to Section 5.21 below.
2.6 The prices set forth in Annex F and reflected in each Order are based on
anticipated delivery and performance schedules and specifications
incorporated in such Order.
2.7 Any changes to this Agreement or an Order initiated by Customer or Nortel
Networks after the Closing Date resulting in adjustments to process, job
schedule, contract price or other requirements thereof may be cause for
adjustment by Nortel Networks to the prices and to the relevant delivery
and performance schedules set forth therein. Any such adjustment shall be
detailed in a change order, a form of which is attached hereto as Annex B
("Change Order"). If the Change Order affects any Products for which Nortel
Networks has commenced manufacturing or has shipped or any Services for
which Nortel Networks has commenced performance, the adjustment of the
price shall include reasonable, documented charges incurred by Nortel
Networks related thereto. No such changes shall be performed until a Change
Order has been executed by authorized representatives of the Parties. A
Change Order may only be used to increase the amount of Products and/or
Services ordered and in no event may the amount of Products and/or Services
in an Order be cancelled or decreased, whether through a Change Order or
otherwise.
2.8 Nortel Networks shall deliver the Products in accordance with the timing
set forth in Annex J of this Agreement. The delivery times shall commence
after Order acceptance as specified in Section 2.3 of this Agreement.
Nortel Networks shall deliver the Products at the applicable Nortel
Networks' factory, except for RSS equipment, which shall be delivered at
Nortel Networks' North American consolidation warehouse for Mexico
(currently in Texas, USA).
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3. Electronic Commerce Programs
3.1 By enrolling in any Nortel Networks' electronic commerce program, Customer
agrees to comply with the terms of such program. Customer agrees that all
electronic Orders issued are equivalent to a written Order, are governed by
the terms and conditions of this Agreement and that in the event of any
conflict between this Agreement and the information contained in Customer's
or Nortel Networks' electronic commerce website, this Agreement governs.
Customer is responsible for the use and protection of all electronic
commerce passcodes provided by Nortel Networks and agrees that all Orders
submitted using such passcodes are valid and binding Orders authorized by
Customer. Nortel Networks shall have no liability to Customer due to
Customer's failure to access Customer's or Nortel Networks' electronic
commerce website or errors or failures relating to its operation.
4. Licensed Use of Software
4.1 Nortel Networks grants Customer a nonexclusive and perpetual (subject to
Nortel Networks termination rights set forth in section 4.5 below) license
to use a copy of the Software with the Products to the extent of the
activation or authorized usage level.
4.2 To the extent Software is furnished for use with designated Products or
Customer-furnished equipment ("CFE"), Customer is granted a nonexclusive
and perpetual (subject to Nortel Networks termination rights set forth in
section 4.5 below) license to use the Software only on such Products or
CFE, as applicable.
4.3 Software contains trade secrets and Customer agrees to treat Software as
Information (as defined in Section 10). Customer will ensure that anyone
who uses the Software does so only in compliance with the terms of this
Agreement.
4.4 Customer shall not: (a) use, copy, modify, transfer or distribute the
Software except as expressly authorized, provided, however, that, Customer
is hereby authorized to generate new Software Scripts or modify the
existing ones; and provided, further, that Nortel Networks shall not be
obligated to support such modified Software Scripts, nor shall it be
responsible for any performance issues resulting from such modified
Software Scripts; (b) reverse assemble, reverse compile, reverse engineer
or otherwise translate the Software; (c) create derivative works or
modifications unless expressly authorized; or (d) sublicense, rent or lease
the Software. Licensors of intellectual property to Nortel Networks are
beneficiaries of this provision.
4.5 Upon breach of the Software license by Customer as set forth in this
Agreement or in the event the designated Product or CFE is no longer in
use, this license terminates and Customer will promptly return the Software
to Nortel Networks or certify its destruction.
4.6 Nortel Networks may audit by remote polling or other reasonable means to
determine Customer's Software activation or usage levels.
4.7 With respect to Third Party Software, Customer agrees to abide by the terms
provided by Nortel Networks with respect to any such software. Customer
further agrees that the terms contained in any Nortel Networks or third
party "shrink wrap" or "click" licenses shall govern the use of such
software.
4.8 If Nortel Networks and Customer agree that delivery of Software is to be
made electronically via File Transfer Protocol, then delivery of such
Software by Nortel Networks shall be deemed to have taken place at such
time as the Software is loaded onto a network server, as designated by
Nortel Networks, and Customer has been provided with appropriate
instructions and passwords to enable Customer to begin use of such
Software. Notwithstanding the
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foregoing, the Parties shall comply with all regulations applicable to
importation of Software pursuant to applicable law.
4.9 Customer is allowed to make copies of the Software, as may be reasonably
necessary for back up, execution or archival purposes only.
5. Charges, Payment and Taxes
5.1 The contract price for the Products (including software) and Services is
set forth in Annex F hereto. Unless otherwise agreed by the Parties in an
Order, all prices are in U.S. dollars, exclusive of Taxes. All prices are
applicable solely in Mexico.
5.2 In accordance with the terms of Annex "E", within the next five (05)
business days after the delivery of the Order in accordance with the terms
set forth in Sections 5.3 and 5.21 below, Nortel Networks shall deliver to
Customer an invoice for one hundred percent (100%) of the purchase price of
such Order.
5.3 Except for the Orders for RSSs mentioned in Section 5.21 below, all Orders
for Products shall be accompanied by: (i) payment of seventy percent (70%)
of the purchase price thereof upon delivery of the Order through a wire
transfer of immediately available funds or by a letter of credit or by any
other mutually agreed means; and (ii) within the next five (5) days after
delivery of the respective invoice as per Section 5.2 above, a letter of
credit or other form of payment guarantee consistent with Section 5.17
hereof for the remaining thirty percent (30%) of the purchase price of the
relevant Order.
5.4 Payment of this thirty percent (30%) shall be made by Customer ten (10)
days after Delivery Date (as defined in Annex E of this Agreement) of the
Products; provided that Customer may notify Nortel Networks in writing
within such 10-day period if some or all of the Products delivered are not
in compliance with the terms of the Order (the "Non-Compliant Products"),
in which case Nortel Networks shall take, within thirty days of the date of
Customer's notice, corrective action to resolve such Non-Compliant
Products. Customer shall not be obligated to pay, and Nortel Networks shall
not be entitled to draw on the letter of credit or other form of payment
guarantee, the purchase price of the Non-Compliant Products until Nortel
Networks corrects such non-compliance, provided, however, that prior to
such resolution Nortel Networks shall issue a revised invoice relating to
the portion of Products received by Customer that is in compliance with the
terms of the Order. Partial shipments shall be allowed under this
Agreement, subject to the terms set forth in Annex "J" of this Agreement.
For the avoidance of doubt, the Parties agree that the purchase price of
the compliant Products shall be paid by Customer as provided in this
Section 5.4.
5.5 All Orders for Services shall be accompanied by a letter of credit or other
form of payment guarantee consistent with Section 5.17 hereof for one
hundred percent (100%) of the price of such Services. Nortel Networks shall
invoice Customer one hundred percent (100%) of the price of Services upon
completion, unless the Service continues beyond thirty days, in which case
Nortel Networks shall invoice Customer at the end of each month for the
Services performed in that month.
5.6 With respect to Services, amounts are due upon receipt of invoice and shall
be paid by Customer within thirty (30) days of the invoice date.
5.7 Customer shall pay interest on any late payments at the rate of eighteen
percent (18%) per annum (11/2% per month).
5.8 Charges for Software may be based on extent of use authorized as specified
in this Agreement. Customer agrees to pay the charges applicable for any
activation or usage beyond the authorized level.
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5.9 Customer is liable and responsible for any Taxes relating to the Products
or Services furnished by Nortel Networks or its subcontractors pursuant to
this Agreement (whether incurred directly or indirectly by Nortel Networks)
and shall, at Nortel Networks' direction, promptly pay to Nortel Networks
or pay directly to the applicable government or taxing authority, if
requested by Nortel Networks, all such Taxes; provided, however, that in no
event shall Customer be liable for Taxes computed upon the income or gross
revenues of Nortel Networks or its subcontractors.
5.10 Customer shall be responsible for payment of personal property taxes for
Products and materials from the date of shipment by Nortel Networks.
Customer's obligations pursuant to this Section shall survive any
termination of this Agreement.
5.11 Customer shall, within thirty (30) days of the tax payment on behalf of
Nortel Networks, furnish to Nortel Networks all original tax receipts or
certified copies in Nortel Networks' name showing payment of the Tax and
such other documentation relating to the tax payment which Nortel Networks
may reasonably request.
5.12 If Customer shall claim to be exempt from any Taxes, Customer shall furnish
to Nortel Networks a tax exemption certificate from the relevant taxing
authority in the form required by law or otherwise reasonably acceptable to
Nortel Networks. If Customer shall claim any such tax exemption and
provides Nortel Networks the required tax exemption certificate and Nortel
Networks does not collect the Taxes in reliance thereupon, Customer shall
hold Nortel Networks harmless from and against any and all assessments for
such Taxes levied on Nortel Networks, including all interest, penalties and
late charges upon any such Taxes and the cost of professional consulting
fees incurred by Nortel Networks to settle the applicable tax matter with
the relevant tax authorities.
5.13 If withholding of any Tax is required in respect of any payment by Customer
to Nortel Networks hereunder, Customer shall: (i) withhold the appropriate
amount from such payment, (ii) pay such amount to the relevant authorities
in accordance with applicable law, and (iii) pay Nortel Networks an
additional amount such that the net amount received by Nortel Networks is
the amount Nortel Networks would have received in the absence of such
withholding.
5.14 Customer shall pay all applicable customs fees, import duties, and similar
charges directly to the appropriate governmental authorities. Each party
agrees to ensure that it is in good standing and is appropriately
registered, including without limitation, with respect to Taxes, in any
country, state or other jurisdiction where legally required.
5.15 Nortel Networks reserves the right to import services or subcontractors
when and where necessary to complete services related to this Agreement. To
the extent the Local Nortel Networks Affiliate must import services or
subcontractors in support of this Agreement, Nortel Networks reserves the
right to have the Local Nortel Networks Affiliate invoice Customer an
additional amount such that the cost of the withholding taxes for such
imported Services are borne by Customer.
5.16 Customer consents without qualification to the sale and/or assignment of
receivables, in whole or in part, including all or any part of any
associated rights, remedies, and obligations, by Nortel Networks subject to
a 30-day prior written notice, and authorizes the disclosure of this
Agreement as necessary to facilitate such sale. Any tax impact to Customer
resulting from such sale and/or assignment shall be borne by Nortel
Networks.
5.17 The payments referred to in Sections 5.3(ii), 5.5 above and 5.21 below
shall be secured by: (i) an irrevocable and unconditional letter of credit
in favor of Nortel Networks, confirmed by a United States bank acceptable
to Nortel Networks, or (ii) another form of payment guarantee acceptable to
Nortel Networks in its sole discretion.
5.18 If Nortel Networks is prevented from making a shipment of Products,
installing such Products or performing the Services due to any Force
Majeure Event or for any other reason
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attributable, in whole or in part, to Customer, the Customer shall
accordingly arrange an extension of such letter of credit and reimburse
Nortel Networks for any additional expenses arising out of any such delay;
provided, however, that this reimbursement obligation shall apply only to
the extent that the delay was attributable to Customer; and provided,
further, that Customer shall promptly reimburse Nortel Networks for any
such additional expenses, and Nortel Networks shall subsequently return to
Customer any monies which Customer may have paid in excess once the Parties
have reached an agreement on the actual extent of Customer's reimbursement
obligation.
5.19 Nortel Networks reserves the right to reject an Order at Nortel Networks'
sole discretion, or to withhold shipment of the Products or performance of
the Services, or any portion thereof, if: (i) Customer is in default of its
payment obligations hereunder, (ii) Customer is in breach of its
obligations under this Agreement, or (iii) Customer falls under any of the
situations described in Sections 16.1 (i) through (iv) hereof, and all
relevant dates for completion shall be adjusted accordingly.
5.20 Customer hereby irrevocably waives, to the fullest extent permitted by law,
the right to dispute any invoice submitted by Nortel Networks hereunder, if
such invoice is not disputed within twenty one (21) days from invoice
receipt. Such dispute must be resolved within ninety (90) days from the
invoice date. Payment of any disputed amounts is due and payable upon
resolution. All other amounts remain due as per this Section 5.
5.21 Notwithstanding any other provision of this Section 5 to the contrary, in
the case of Orders for the annual minimum order amounts referred to in
Section 19 below, Customer shall submit, on or before December 15 of each
year, and dated as of the date of such submission, separate Orders relating
to the minimum order commitments for the succeeding calendar year, as
follows: (a) In the case of RSS's, the Customer shall submit four (4)
separate Orders, each one for one fourth (1/4) of the Baseline Annual
Minimum Commitment of RSS units set forth in Section 1(a) of Annex H of
this Agreement, relating to the four calendar quarters of the succeeding
calendar year, provided that the Orders for the Additional Annual Minimum
Commitment of RSS Units set forth in such Annex H, shall be placed by
Customer during the calendar year to which such Additional Annual Minimum
Commitment applies, and (b) In the case of base stations, the Customer
shall submit one (1) Order for the total annual minimum commitment for such
calendar year. Nortel Networks shall accept such Orders within ten (10)
business days (in the place where Nortel Networks' office which receives
such Orders is located) after delivery thereof if such Orders are in
compliance with this Agreement (prices and descriptions) and no additional
terms and conditions have been imposed. In the case of Orders for RSSs, (i)
payment of the initial seventy percent (70%) of the purchase price for the
Order corresponding to the first calendar quarter of each calendar year
shall be made on or before January 15th of such calendar year, together
with a letter of credit or other form of payment guaranty consistent with
the requirements of Section 5.17 hereof for the remaining thirty percent
(30%) of the purchase price; and (ii) payment of the initial seventy
percent (70%) of the purchase price for the respective Orders corresponding
to each of the three remaining calendar quarters of such calendar year
shall be made on or before the 15th calendar day of the month immediately
preceding the calendar quarter to which such Order relates, together with a
letter of credit or other form of payment guaranty consistent with the
requirements of Section 5.17 hereof for the remaining thirty percent (30%)
of the purchase price. Delivery of Products under each such Order shall be
in accordance with Annex "J" and shall commence after the initial payment
and that payment of the remaining thirty percent (30%) of the purchase
price for each Order will be due ten (10) days after Product delivery,
subject to the terms set forth in Section 5.4 for non-complying delivery.
5.22 Customer has the right to engage a third party financial institution to
provide financing for the Products and/or Services supplied by Nortel
Networks under this Agreement (provided that Customer is in compliance with
the financial covenants set forth in the Nortel Networks Finance
Agreement), in which case such third party financial institution will make
the payments
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as provided under this Agreement; provided, however, that Customer shall
continue to be obligated to comply with all its obligations hereunder.
6. Warranty
6.1 Nortel Networks warrants that the Hardware: (i) is free from defects in
materials and workmanship, and (ii) substantially conforms to its
Specifications. If Hardware does not function as warranted during the
warranty period, Nortel Networks will determine to either: (i) make it do
so, or (ii) replace it with substantially equivalent Hardware.
6.2 Nortel Networks provides the Software on an "AS IS" BASIS WITHOUT
WARRANTIES OF ANY KIND.
6.3 Nortel Networks warrants that Services will be performed in a professional
and workmanlike manner. If Services are not performed as warranted and
Nortel Networks is notified in writing by Customer within sixty (60) days
of the date of the non-conforming Services, Nortel Networks will re-perform
the non-conforming Services.
6.4 The warranty period for Hardware shall be twelve (12) months from the date
of delivery to Customer as per the terms of this Agreement. In the event
Nortel Networks determines that repair or replacement as set forth in this
Section 6 cannot be made using commercially reasonable efforts (which
determination shall be made within thirty (30) days after Nortel Networks
receives written notice from Customer) Nortel Networks will give Customer a
credit equal to the purchase price paid by Customer for the Hardware,
provided that Customer has returned such Hardware to Nortel Networks.
6.5 No warranty is provided for: (i) supply items normally consumed during
Product operation; (ii) failures caused by non-Nortel Networks products;
(iii) failures caused by a Product's inability to operate in conjunction
with other Customer hardware or software different from the Third Party
Vendor Items provided by Nortel Networks under this Agreement; or (iv)
performance failures resulting from improper installation and maintenance
or Customer's use of unauthorized parts or components. Warranty will be
voided by misuse, accident, damage, alteration or modification, failure to
maintain proper physical or operating environment, use of unauthorized
parts or components or improper Customer maintenance. The performance by
Customer, directly or indirectly, of the installation, engineering,
commissioning, network design, support and maintenance of FWA Products by
skilled personnel in accordance with the Nortel Procedures shall not
invalidate the warranty provided hereunder.
6.6 Nortel Networks provides Third Party Vendor Items on an "AS IS" BASIS
WITHOUT WARRANTIES OF ANY KIND, unless Nortel Networks specifies otherwise.
However, such Third Party Vendor Items may carry their own warranties and
Nortel Networks shall pass through to Customer any such warranties to the
extent authorized. Nortel Networks shall provide to Customer the necessary
contact information and applicable documentation, if available, for those
third party vendors. Furthermore, Nortel Networks shall provide reasonable
assistance to Customer so that Customer may avail itself of any such
warranties, but only to the extent such assistance does not cause Nortel
Networks to incur any out-of-pocket expenses or material additional costs.
6.7 Nortel Networks warrants that all Nortel Networks Products supplied
hereunder shall have been tested at the factory to ensure that they conform
to their Specifications and that they shall have successfully passed those
tests.
6.8 THESE WARRANTIES AND LIMITATIONS ARE CUSTOMER'S EXCLUSIVE WARRANTIES AND
SOLE REMEDIES, AND REPLACE ALL OTHER WARRANTIES OR CONDITIONS, EXPRESS OR
IMPLIED, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED WARRANTIES OR
CONDITIONS OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.
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7. Services
7.1 Warranty Services: During the warranty period, Nortel Networks provides
warranty Services without charge for Nortel Networks Hardware supplied
under this Agreement to correct Hardware defects or to bring it up to
conformance with the Specifications set forth in this Agreement. Warranty
Services to be provided by Nortel Networks are further described in Annex
"G" hereof.
7.2 Customer shall notify Nortel Networks prior to returning any Hardware and
must reference a return material authorization number issued by Nortel
Networks on documentation accompanying such returned Hardware. When
Customer is required to return Hardware to Nortel Networks for warranty
service, Customer agrees to ship it prepaid and suitably packaged to a
location Nortel Networks designates. Nortel Networks will return the
Hardware to Customer at Nortel Networks' expense. Nortel Networks is
responsible for loss of, or damage to, Hardware while it is: (i) in Nortel
Networks' possession, or (ii) in transit back to Customer. Any exchanged
Hardware becomes Nortel Networks' property and, subject to Section 8 -
Title and Risk of Loss, its replacement becomes the Customer's property.
The replacement Hardware may not be new but will be in working order and
equivalent to the item exchanged. The warranty period for the repaired or
exchanged Hardware shall be the greater of ninety (90) days from the date
of delivery of the Hardware back to Customer, or the remaining Hardware
warranty period. Customer agrees to ensure that exchanged Hardware is free
of any legal obligations or restrictions that prevent its exchange and
represents that all returned items are genuine and unaltered. Relocation of
Products under warranty Services may result in adjustments to the price and
response times.
7.3 Where applicable, before Nortel Networks provides warranty services,
Customer agrees to: (i) follow the problem determination, problem analysis,
and warranty services request procedures that Nortel Networks provides;
(ii) secure all program and data contained in Hardware; and (iii) inform
Nortel Networks of changes in the Hardware's location.
7.4 Post-warranty and other Services to supplement the warranty Services,
including advanced shipment of replacement parts, may be available at
prices and policies to be negotiated in good faith and agreed between the
Parties. The warranty service terms and exclusions in Section 6 above shall
apply to post- and supplemental warranty Services.
7.5 Services in General: Customer agrees to reasonably cooperate with Nortel
Networks in the performance by Nortel Networks of the Services, including,
without limitation, providing Nortel Networks with sufficient and timely
access free of charge to facilities, data, information and personnel of
Customer in accordance with the then-current Customer policies, and a
suitable physical environment meeting Nortel Networks' specified
requirements to permit the timely delivery and installation of Products
and/or performance of Services, including the recovery by Nortel Networks
of any tools, diagnostic or test equipment, documentation or other items
used by Nortel Networks in the performance of the Services.
7.6 In addition, Customer shall be responsible for the accuracy and
completeness of all data and information that it provides or causes to be
provided to Nortel Networks. In the event that there are any delays by
Customer in fulfilling its responsibilities as stated above, there is a
disagreement between the parties as to the cooperation required from
Customer, or there are errors or inaccuracies in the information provided,
Nortel Networks shall be entitled to appropriate schedule and pricing
adjustments, including storage fees. It is understood and agreed that the
Services provided by Nortel Networks may include the advice and
recommendations of Nortel Networks, but all decisions in connection with
the implementation of such advice and recommendations shall be the sole
responsibility of, and made by, Customer, unless such advice and
recommendations are part of consulting services purchased by Customer.
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7.7 Service Personnel: Nortel Networks and Customer are each responsible for
the supervision, direction, compensation and control of their own employees
and subcontractors. Nortel Networks may subcontract any portion or all of
the Services to subcontractors selected by Nortel Networks. Neither Party
shall knowingly solicit to hire employees of the other Party with whom it
had contact as a result of the performance of the Services for a period
ending twelve (12) months after completion of the Services. Neither Party
shall be precluded from conducting generalized searches for employees (and
hiring those employees who respond to generalized searches) either through
the use of search firms or advertisements in the media, provided that
searches are not specifically targeted to employees providing Services.
7.8 Intellectual Property Rights: Nortel Networks, on behalf of itself and its
subcontractors, reserves all proprietary rights in and to: (i) all
methodologies, designs, engineering details, and other data pertaining to
the Services and designs, documentation and other work product prepared by
Nortel Networks and delivered to Customer, (ii) all original works,
computer programs and updates developed in the course of providing the
Services (except Customer's developed programs) or as otherwise agreed in
writing by the Parties, (iii) discoveries, inventions, patents, know-how
and techniques arising out of the Services, and (iv) any and all products
(including software and equipment) developed as a result of the Services.
The performance by Nortel Networks of Services shall not be deemed work for
hire. Nortel Networks grants to Customer a perpetual, non-exclusive,
world-wide, paid up license to use, copy and modify the designs,
documentation and other work product prepared by Nortel Networks and
delivered to Customer in the performance of Services solely for Customer's
internal business purposes. It is understood between the Parties that
Nortel Networks will employ its know-how, techniques, concepts, experience
and expertise, as well as all other intellectual property, including that
to which it reserves its rights hereunder, to perform services for others
which are the same as or similar to the Services.
8. Title and Risk of Loss
8.1 Title and risk of loss for ordered Hardware and Third Party Hardware shall
pass from Nortel Networks to Customer upon its delivery to Customer.
9. Installation and Commissioning
9.1 Customer shall perform all installation, commissioning and software loading
services with respect to the FWA Products, using skilled personnel and in
accordance with the Nortel Procedures, with the exception of REM software
upgrades, which shall be installed by Nortel Networks pursuant to the FWA
TAS Agreement.
10. Confidential Information
10.1 Confidential information ("Information") means: (i) Software and Third
Party Software; and (ii) all business, technical, marketing and financial
information and data that is clearly marked with a restrictive legend of
the disclosing party ("Discloser").
10.2 The party receiving Information ("Recipient") will use the same care and
discretion to avoid disclosure, publication or dissemination of Information
as it uses with its own similar information that it does not wish to
disclose, publish or disseminate. The Recipient may disclose Information
only to: (i) its employees and employees of its parent, subsidiary
affiliated companies or subcontractors who have a need to know for purposes
of carrying out this Agreement; and (ii) any other party with the
Discloser's prior written consent. Before disclosure to any of the above
parties, the Recipient will have a written agreement with such party
sufficient to require that party to treat Information in accordance with
this Agreement.
10.3 The Recipient may disclose Information to the extent required by law.
However, the Recipient must give the Discloser prompt notice and make a
reasonable effort to obtain a protective order.
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10.4 No obligation of confidentiality applies to any Information that the
Recipient: (i) already possesses without obligation of confidentiality;
(ii) develops independently; or (iii) rightfully receives without
obligations of confidentiality from a third party. No obligation of
confidentiality applies to any Information that is, or becomes, publicly
available without breach of this Agreement.
10.5 Each party's obligations hereunder shall survive for a period of five (5)
years after receipt of Information hereunder from the Discloser, except as
otherwise mutually agreed upon by the parties.
10.6 The Discloser makes no representations or warranties of any nature
whatsoever with respect to any Information furnished to the recipient,
including, without limitation, any warranties of merchantability or fitness
for a particular purpose or against infringement, EXCEPT FOR THOSE SET
FORTH IN SECTION 6 HEREOF.
10.7 The release of any advertising or other publicity relating to this
Agreement requires the prior approval of both Parties.
11. Patents and Copyrights
11.1 Nortel Networks shall indemnify and hold harmless Customer, its officers,
directors, representatives, agents, employees, contractors, subcontractors,
subsidiaries and affiliates against any actual direct loss, damage,
liability, cost, expense, action or claim, including reasonable attorneys'
fees, litigation costs and expenses and amounts paid in settlement, subject
to the limitations set forth in the following paragraphs, arising out of or
in connection with any infringement or alleged infringement of patents,
copyrights, trademarks, trade secrets, or any other intellectual property
right of a third party. Therefore, if a third party claims that Nortel
Networks Hardware or Software provided to Customer under this Agreement
infringes such third party's patent or copyright, Nortel Networks will
defend Customer against that claim at Nortel Networks' expense and pay all
costs and damages that a court finally awards or are agreed in settlement,
provided that Customer: (a) promptly notifies Nortel Networks in writing of
the claim, and (b) allows Nortel Networks to control, and cooperates with
Nortel Networks at Nortel Networks' expense in, the defense and any related
settlement negotiations. If such a claim is made or appears likely to be
made, Nortel Networks agrees to secure the right for Customer to continue
to use the Hardware or Software, or to modify it, or to replace it with
equivalent Hardware or Software. If Nortel Networks determines that none of
these options is reasonably available, Customer agrees to return the
Hardware or Software to Nortel Networks on Nortel Networks' written
request. Nortel Networks will then give Customer a credit equal to the
purchase price paid by Customer for the Hardware or Software. Any such
claims against the Customer or liability for infringement arising from use
of the Hardware or Software following a request for return by Nortel
Networks are the sole responsibility of Customer. This represents
Customer's sole and exclusive remedy regarding any claim of infringement.
11.2 Nortel Networks has no obligation regarding any claim based on any of the
following: (a) anything Customer provides which is incorporated into the
Hardware or Software; (b) compliance by Nortel Networks with the Customer's
specifications, designs or instructions; (c) the amount of revenues or
profits earned or other value obtained by the use of a Product by Customer;
(d) Customer's modification of Hardware or Software (subject to Section
4.4(a) hereof); (e) the combination, operation, or use of Hardware or
Software with other products not provided by Nortel Networks as a system,
or the combination, operation, or use of Hardware or Software with any
product, data, or apparatus that Nortel Networks did not provide; (f) the
Customer's failure to install or have installed changes, revisions or
updates as instructed by Nortel Networks; or (g) infringement by a Third
Party Vendor Item alone, as opposed to its combination with Products Nortel
Networks provides to Customer as a system.
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11.3 In case of any infringement caused by any Third Party Vendor Item, Nortel
Networks shall reasonably cooperate with Customer and hereby assigns to
Customer any of its rights to request the proper defense and
indemnification for such claim to such Third Party Vendor. Nortel Networks
shall provide Customer with all necessary contact information and
applicable documentation, if available, for those third party vendors.
Furthermore, Nortel Networks shall use its best efforts to provide
reasonable assistance to Customer for Customer to be able to obtain from
the Third Party Vendor the applicable defense and indemnification for such
Third Party Vendor Item infringement, but only to the extent such
assistance does not cause Nortel Networks to incur any out-of-pocket
expenses or material additional costs.
12. Limitation of Liability
12.1 In no event shall Nortel Networks or its agents or suppliers be liable to
Customer for more than the amount of any actual direct damages up to the
greater of U.S. $100,000 (or equivalent in local currency) or the charges
for the Product or Services that are the subject of the claim, regardless
of the cause and whether arising in contract, tort or otherwise. This
limitation will not apply to claims for damages for bodily injury
(including death) and damage to real property and tangible personal
property for which Nortel Networks is legally liable and payments as set
forth in Section 11 - Patents and Copyrights.
12.2 IN NO EVENT SHALL NORTEL NETWORKS OR ITS AGENTS OR SUPPLIERS BE LIABLE FOR
ANY OF THE FOLLOWING: I) DAMAGES BASED ON ANY THIRD PARTY CLAIM, EXCEPT AS
EXPRESSLY PROVIDED FOR HEREIN; II) LOSS OF, OR DAMAGE TO, CUSTOMER'S
RECORDS, FILES OR DATA; OR III) INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR
CONSEQUENTIAL DAMAGES (INCLUDING LOST PROFITS OR LOST SAVINGS), EVEN IF
NORTEL NETWORKS IS INFORMED OF THEIR POSSIBILITY.
13. Concessions
13.1 Customer hereby warrants and represents that it and its affiliates in
Mexico have obtained the Concessions which will permit each of them to
legally operate all or a portion of the Products in Mexico. The Parties
agree that Nortel Networks shall not deliver or install any Products,
perform any Services or accept any Orders hereunder unless Customer or its
affiliates (if applicable) have been granted a Concession in Mexico for the
use of such Products.
14. Changes or Substitution of Products
14.1 At any time, Nortel Networks may implement changes to the Products, modify
the Products' designs and Specifications or substitute the Products with
ones of similar or more recent design. The Parties shall mutually agree on
the Price of such changed or substituted Products. Such a change to or
substitution of the Products provided under this Agreement shall be subject
to the following requirements: (i) shall not adversely affect the physical
or functional interchangeability or the performance Specifications of the
Products, except as otherwise agreed in writing by Customer; (ii) the price
for equivalent performance shall be the same or lower than the price agreed
hereunder, except as otherwise agreed in writing by Customer; (iii) any
change or substitution of the Products shall be functionally equivalent and
compatible with the changed or substituted Product, without the need for
any other adaptations; and (iv) shall under no circumstances either reduce
or decrease Nortel Networks' warranty obligations set forth in this
Agreement.
15. Delayed Shipment of the Products or the Performance of the Services
15.1 If Customer notifies Nortel Networks less than thirty (30) days prior to
the scheduled delivery date of the Products (or if the Products have been
manufactured per the agreed upon schedule) that Customer does not wish to
take delivery thereof at the scheduled time or that a site is not available
to receive such Products, or if Customer fails to take delivery of such
Products upon their arrival at the applicable site, Nortel Networks shall
have the right to place
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the Products in storage and Customer shall bear all costs of demurrage,
restocking, warehousing, reloading, transporting, off-loading, and other
associated costs incurred by Nortel Networks. All such costs shall be paid
in full within thirty (30) days of Customer's receipt of Nortel Networks'
commercial invoice therefor. Customer may delay delivery or fail to take
delivery of the Products for not more than thirty (30) days. Once such
thirty-day term elapses, Customer shall immediately pay to Nortel Networks
the outstanding balance of the purchase price of the Products, if any, and
the warranty period for the affected Products shall be deemed to start upon
expiration of such 30-day term.
15.2 If Customer notifies Nortel Networks less than thirty (30) days prior to
the scheduled performance date of the Services that Customer does not wish
Nortel Networks to perform such Services at the scheduled time or that the
Site is not available for the performance of such Services, Nortel Networks
shall have the right to delay the performance of the Services and Customer
shall bear all associated and documented out of pocket travel and expense
costs incurred by Nortel Networks. All such costs shall be paid in full
within thirty (30) days of Customer's receipt of Nortel Networks'
commercial invoice therefor.
15.3 Site facilities and physical specifications of equipment (including
shelters, fiber cabling, power, etc.) provided by Customer for use with the
Products sold hereunder must meet Nortel Networks' installation and
environmental Specifications. Any testing required to verify the condition
of Site facilities and any required upgrades will be at Customer's expense.
16. Termination; Survival
16.1 Without prejudice to any rights and remedies provided for hereunder, either
Party hereto may terminate this Agreement, effective immediately, upon
written notice to any other Party, upon the occurrence of any of the
following events or conditions (each, an "Event of Default"):
(i) the other Party applies for or consents to the appointment of, or the
taking of possession by a receiver, custodian, trustee or liquidator
of itself or of all or a substantial part of its property,
(ii) the other Party makes a general assignment for the benefit of its
creditors,
(iii) the other Party commences a voluntary proceeding under the
bankruptcy, insolvency or similar laws relating to relief from
creditors generally,
(iv) the other Party fails to contest in a timely or appropriate manner, or
acquiesces in writing to, any petition filed against it in an
involuntary proceeding under the bankruptcy, insolvency or similar
laws relating to relief from creditors generally, or any application
for the appointment of a receiver, custodian, trustee, or liquidator
of itself or of all or a substantial part of its property or its
liquidation, reorganization, dissolution or winding-up, or
(v) the other Party materially fails to perform any term or condition
under this Agreement or any of its Annexes, which failure continues
for a period of thirty (30) days after written notice has been given
to the breaching Party; provided, however, that if any Party exercises
its termination rights as provided in this Section 16.1 (v) after any
sale of the FWA Business by Nortel Networks, the FWA TAS Agreement,
shall automatically be terminated concurrently therewith; and
provided, further, that if any Party exercises its termination rights
as provided in this Section 16.1 (v) prior to any sale of the FWA
Business by Nortel Networks, the three other Replacement Agreements
shall automatically be terminated concurrently therewith. For the
avoidance of doubt, the Parties agree that any failure by Customer to
comply with the purchase commitment set forth in Section 19 hereof
shall be deemed material.
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16.2 In addition, and without prejudice to any rights and remedies provided for
hereunder, Nortel Networks may terminate all four Replacement Agreements,
effective immediately, upon written notice to the other Party, upon the
occurrence of any of the following events or conditions:
(i) Customer fails to make payment in accordance with the terms and
conditions hereof, which failure continues for a period of ten (10)
business days (in Mexico) after written notice to Customer,
(ii) within eighteen (18) months from the date hereof, the identity of
Customer's business materially changes by sale of its business,
transfer of control of its capital stock, merger or otherwise, unless
prior written consent therefor has been obtained from Nortel Networks;
or
(iii) the occurrence of an Event of Default under any one of the Senior
Note or the other Replacement Agreements which by the terms of such
agreements would allow Nortel Networks to declare such Senior Note due
and payable or to terminate such Replacement Agreement, as the case
may be.
16.3 The respective obligations of each Party pursuant to Sections 1, 4, 5, 6,
7, 10, 11, 12, 16 and 18 hereof, and any other obligations of each Party
pursuant to this Agreement that by their nature would continue beyond the
termination, cancellation, or expiration hereof, shall survive such
termination, cancellation, or expiration; provided, however, that if
Customer fails to make payment in accordance with the terms and conditions
hereof (subject to the cure period provided in Section 16.2 above), the
Parties expressly agree that the following Sections hereof shall not
survive such termination, cancellation, or expiration: Sections 6 and 7;
and provided, further, that Section 4 hereof shall survive such
termination, cancellation, or expiration only to the extent that Customer
is not in default of the payment of the applicable Software license fees,
if any.
17. Nortel Procedures
17.1 "Nortel Procedures" will consist of documents which describe in detail the
engineering, installation, commissioning, maintenance, troubleshooting and
operation of Product(s). The Nortel Procedures shall be provided in the
English language. Nortel Networks shall provide the Nortel Procedures in
Spanish if so published. Nortel Networks shall ship electronic
documentation containing the applicable Nortel Procedures to Customer with
the initial delivery of a system release to Customer. During the Term,
Nortel Networks shall, at no additional charge to Customer, deliver to
Customer, one set of electronic files with updates, revisions and/or
corrections of such Nortel Procedures as they become available. Customer
may order additional copies of the Nortel Procedures at Nortel Networks'
then applicable prices. Customer may use and reproduce the Nortel
Procedures in paper format for the purposes of engineering, installing,
commissioning, maintaining, troubleshooting and operating the Products,
subject to the limitations regarding Information set forth in Section 10.
Reproduction shall include the copyright or similar proprietary notices.
Customer is responsible for ensuring proper versions of the Nortel
Procedures are printed and distributed.
18. General
18.1 Customer agrees that it will not export Products procured hereunder from
Mexico without Nortel Networks' prior written consent. Nortel Networks
reserves the right to assign any portion of an Order accepted under this
Agreement, in whole or in part, provided that such assignment shall be in
compliance with the provisions of Section 20 below if such assignment falls
under the situation provided for in Section 20 of this Agreement. Customer
represents and warrants that it is buying Products and/or Services for its
own internal use and not for resale.
18.2 Customer agrees to comply with all laws applicable to it, including all
applicable export and import laws and regulations. In the event that any
provision of this Agreement or portions
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thereof are held to be invalid or unenforceable, the remainder of this
Agreement will remain in full force and effect.
18.3 The terms and conditions of this Agreement, together with the other three
Replacement Agreements and any other agreements contemplated by the Term
Sheet entered into between Customer and Nortel Networks Limited on October
12, 2002, form the complete and exclusive agreement between Customer and
Nortel Networks and replaces any prior oral or written communications and
agreements regarding the subject matter thereof.
18.4 Any changes to this Agreement must be made by mutual agreement in writing.
All Customer's rights and all of Nortel Networks' obligations are valid
only in Mexico.
18.5 The laws of the State of New York, United States of America govern this
Agreement, exclusive of its conflict of laws provisions; and nothing in
this Agreement affects any statutory rights of consumers that cannot be
waived or limited by contract. The United Nations Convention on the
International Sale of Goods shall not apply.
18.6 If, within thirty (30) days from the date of any notice of dispute from a
Party to any other Party, such Parties are unable to resolve the issue,
then either Party may initiate the binding arbitration to resolve such
dispute by written notice to such other Party upon expiration of such
thirty (30) day period. Any dispute between the Parties arising in
connection with this Agreement shall be exclusively resolved by arbitration
pursuant to the Rules of Conciliation and Arbitration of the International
Chamber of Commerce then in force. The arbitration proceedings pursuant to
this Section 18(c) shall take place in the English language in the City of
Miami, State of Florida, before a panel of three (3) arbitrators appointed
in accordance with the aforementioned rules. The decision of the
arbitrators shall be final and binding upon the Parties and their
respective successors and assigns. The decision and award rendered by the
arbitrators may be entered in any court of competent jurisdiction and any
such court may order the enforcement of such award against the Parties and
their respective successors and assigns.
18.7 EACH PARTY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY
LEGAL PROCEEDING ARISING OUT OF, OR RELATING TO, THIS AGREEMENT OR THE
TRANSACTIONS CONTEMPLATED HEREIN, INCLUDING ANY ORDER ISSUED AND ACCEPTED
HEREUNDER.
18.8 The following Annexes are part of this Agreement:
Annex A - Initial Order
Annex B - Change Order Procedures and Form of Change Order
Annex C - Description of Products
Annex D - Product Specifications Annex E - Order Procedure
Annex F - Prices
Annex G - Warranty Services
Annex H - Purchase Commitment
Annex I - Intentionally Left in Blank
Annex J - Delivery Times
In the event of any conflict or inconsistency between the provisions of the
body of this Agreement and its Annexes, the body of this Agreement shall
prevail.
18.9 Notwithstanding anything in this Agreement to the contrary, if the supply
of the Products or the performance of the Services by Nortel Networks, or
any portion thereof, or the performance of any other obligation hereunder
by any party is prevented, delayed, interfered with, or interrupted by
reason of a Force Majeure Event, such prevention, delay, interference, or
interruption shall be deemed not to be a default pursuant to this Agreement
and the time or
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times for such performance or supply hereunder shall be extended by the
period or periods same is so prevented, delayed, interfered with, or
interrupted. The foregoing shall apply even though any such cause exists or
is foreseeable as of the date hereof. Neither Party shall be required to
change its usual business practices or methods or to assume or incur other
than its usual costs or expenses in order to mitigate, avoid, or eliminate
any Force Majeure Event or to reduce the period of any resulting delay.
Each Party shall notify the other Parties of any delay or failure excused
by this Section 18(f) and shall specify the revised performance date as
soon as practicable. Nothing contained in this Section 18(f) shall affect
any obligation of Customer to make any payment when due in accordance with
this Agreement.
18.10 All notices pursuant to this Agreement will be in writing and deemed given
when delivered in person, by certified mail or courier service, or by
facsimile. Notices to Customer shall be sent to:
Boulevard ▇▇▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇. 3.33 L-1
Colonia Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇
Nuevo ▇▇▇▇, Mexico
Attention: Director de Negociaciones Estrategicas
with a copy to the Corporate Counsel.
Notices to Nortel Networks shall be sent to:
Nortel Networks (CALA) Inc.
▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇
▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇ ▇▇▇▇▇-▇▇▇▇,
Attention: Senior Counsel
with a copy to:
Nortel Networks de Mexico, S.A. de C.V.
▇▇▇▇▇▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇, ▇▇▇▇ ▇▇
▇▇▇. San ▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇
▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇.
Attn.: President
Notices from Customer to Nortel Networks pursuant to Section 5.20, shall be
sent to:
Nortel Networks de Mexico, S.A. de C.V.
▇▇▇▇▇▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇, ▇▇▇▇ ▇▇
▇▇▇. San ▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇
▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇.
Attn.: Contract Management - Axtel Project
19. Purchase Commitment
19.1 Customer hereby irrevocably agrees to purchase from Nortel Networks the
minimum annual amounts of Products as further described in Annex H hereof.
20. Assignment; Right of First Refusal
20.1 Each Party agrees not to assign or otherwise transfer this Agreement or its
rights under it, or delegate its obligations, without the other Party's
prior written consent, and any attempt to do so is void. Notwithstanding
the foregoing, Nortel Networks may assign or otherwise transfer this
Agreement or its rights under it, or delegate its obligations, to any of
its affiliates. Nortel Networks may also assign or otherwise transfer this
Agreement or its rights under it, or
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delegate its obligations, to any purchaser of the FWA Business without the
Customer's prior written consent; provided that:
(i) Nortel Networks shall provide to Customer the soliciting or offering
material used in connection with any contemplated sale of the FWA
Business (the "FWA Information") at the same time any such FWA
Information is provided to any third party potential purchaser (the
"Potential Purchasers"), subject to execution by the Parties of a
non-disclosure agreement in a form and substance reasonably
satisfactory to Nortel Networks, but no less restrictive on Customer
than the non-disclosure agreement executed with the Potential
Purchasers; and provided, however, that Nortel Networks may not offer,
solicit interest in or sell the FWA Business to any company which is a
direct competitor of Customer or does not have the necessary resources
(human and/or technical), at Nortel Networks' reasonable judgment, to
manufacture the Products and/or to provide the technical support
required by Customer, including without limitation, Telefonos de
Mexico, S.A. de C.V. or any of its affiliates (the "Restricted
Companies");
(ii) Nortel Networks hereby grants to Customer a right of first refusal
("RFR") with respect to any offer received by Nortel Networks from any
third party which Nortel Networks proposes to accept (including any
revised offers), allowing Customer to purchase the FWA Business on
terms not less favorable than such offer, subject to Customer having
made, within fourteen (14) days after Nortel Networks shall have
delivered written notice to Customer of such offer or revised offer
(the "Vendor's Notice"), a single deposit of US$4,500,000.00 (four
million five hundred thousand United States dollars) (the "Deposit")
into an interest bearing escrow account. Once Nortel Networks has
received the Deposit, Customer shall have the right to perform a due
diligence investigation of the FWA Business, and Nortel Networks shall
be obligated to promptly provide all the information and access that
Customer reasonably requires for the evaluation of the FWA Business;
and
(iii) in the event of any such sale to a purchaser other than Customer,
such new vendor shall assume all of Nortel Networks' obligations under
this Agreement.
20.2 If Customer exercises its RFR, Nortel Networks and Customer shall have
sixty (60) days from payment of the Deposit to negotiate in good faith and
enter into a purchase agreement pursuant to which Nortel Networks will sell
the FWA Business to Customer, unless a longer period of time is stated in
the offer received from the Potential Purchaser, in which case such longer
period shall prevail (the "Offer Period"). If the Parties have entered into
such an agreement by the end of the Offer Period, the Deposit shall be
credited towards the purchase price of the FWA Business. If the Parties
have not entered into such an agreement by the end of the Offer Period,
Customer shall forfeit in favor of Nortel Networks the Deposit, and Nortel
Networks shall have the right to sell the FWA Business to any Potential
Purchaser other than a Restricted Company, subject to the terms and
conditions of Section 20.3 below; provided, however, that if the terms of
the proposed sale are more favorable to such Potential Purchaser than the
best offer (from Nortel Networks' perspective) presented by Customer to
Nortel Networks during the Offer Period, then the RFR shall again apply to
such sale, but Customer shall not be obligated to provide any additional
Deposit.
20.3 If Customer shall decline in any instance to exercise its RFR or the
Parties fail to enter into the purchase agreement as described in Section
20.2, Nortel Networks shall have the right for a period of one year from
the date of such declination or failure, to sell the FWA Business to a
Potential Purchaser (except if such Potential Purchaser is a Restricted
Company) without prior notice to Customer, on terms which are not more
beneficial to such Potential Purchaser than those set forth in Vendor's
Notice. If the foregoing conditions are not met, the RFR shall again apply
to such sale; provided, however, that the 60-day term provided in Section
20.2 above shall be reduced to thirty (30) days and Customer shall not be
obligated to provide any additional Deposit.
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The Parties hereto have executed this Purchase and License Agreement for FWA
Equipment as of February 14, 2003 and it shall become effective on the Closing
Date.
AXTEL, S.A. DE C.V.
By: /S/ ▇▇▇▇▇▇▇ ▇▇ ▇▇▇▇▇▇▇▇▇▇
-------------------------
Name: ▇▇▇▇▇▇▇ ▇▇ ▇▇▇▇▇▇▇▇▇▇
Title: Legal Representative
NORTEL NETWORKS LIMITED
By: /S/ ▇▇▇▇▇▇▇ ▇▇▇▇▇▇-▇▇▇▇▇▇▇▇
---------------------------
Name: ▇▇▇▇▇▇▇ ▇▇▇▇▇▇-▇▇▇▇▇▇▇▇
Title: Attorney-in-Fact
NORTEL NETWORKS DE MEXICO, S.A. DE C.V.
By: /S/ ▇▇▇▇▇▇▇ ▇▇▇▇▇▇-▇▇▇▇▇▇▇▇
---------------------------
Name: ▇▇▇▇▇▇▇ ▇▇▇▇▇▇-▇▇▇▇▇▇▇▇
Title: Attorney-in-Fact
Page 18
Annex A
[AXTEL LOGO] Purchase Order Foreign Suppliers
Purchase Order/Date
4500046564/MAR/18/03
Buyer: ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇▇
Phone: (▇▇)▇▇-▇▇▇▇-▇▇▇▇ ▇▇▇.
Fax: (52) 81-8114-1919 ext. 1769
SUPPLIER : 100515 email: ▇▇▇▇▇▇▇▇@▇▇▇▇▇.▇▇▇.▇▇
NORTEL NETWORKS LIMITED
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇ NOTE: please include PO number in invoice
L6T 5P6 BRAMPTON
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
DELIVERY DATE: MAR/15/04
SHIP TO:
AXTEL S.A. DE C.V. C/O INVOICE TO:
LASER FORWARDING INC. AXTEL S.A. de C.V.
▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
UNIROYAL INDUSTRIAL PARK San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
78045 LAREDO, TX
PAYMENT TERMS:
INCOTERM 0001 payment: 0 days 0.000%
CIP, NORTEL WAREHOUSE DALLAS, TX payment: 0 days 0.000%
PAYABLE IN:
Axtel S.A. de C.V.
Oficinas Monterrey
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1
Col. Unidad San ▇▇▇▇▇
This Initial Purchase Order is issued by Axtel, S.A. de C.V. under the terms and
conditions set forth in Sections 2.5, 5.21 and 19.1 of the FWA Purchase and
License Agreement (the "FWA PLA"), entered by and between Axtel, S.A. de C.V.
and Nortel Networks Limited and Nortel Networks de Mexico, S.A. de C.V.
This Purchase Order is issued in accordance with the terms set forth in Section
5.21 of the FWA PLA for the first and second quarter of year 2003.
SPECIAL TERMS OF THIS PURCHASE ORDER
1.- The units described in this Purchase Order comprise a total quantity of
[10,000] complete kits of F2 RSS. Therefore, Nortel Networks shall deliver to
Axtel [10,000] complete "CUSTOMER PREMISE EQUIPMENT KIT, MODEL F2 RSS".
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 1/5
[AXTEL LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046564/MAR/18/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
Each complete kit includes:
PEC Description Qty
NTEG17DA F2 ▇▇▇ ▇
▇▇▇▇▇▇▇▇ ▇▇▇▇ ▇
A0636762 RPCU Battery 1
NTEG12CL RPCU Power Cord 1
NTEG12FB RPCU Safety Booklet 1
NTEG99JE Drop Cable (500m) 0.04
NTEG99GR Drop Cable Connector (50 pcs) 0.02
NTEG99CZ Drop Cable Connector Pins (500 pcs) 0.02
2.- The CIP Price at Nortel Networks' warehouse in Texas is USD$381.14 per F2
RSS Kit. The prices contained under the wording "We require an order
acknowledgment for the following items" of this Purchase Order, have been
assigned by Axtel for internal Axtel, order management processes and as such
have no bearing on the actual price paid by Axtel to Nortel Networks.
3.- In accordance with the foregoing, the total amount of this Purchase Order is
US$3,811,400.00 Dollars.
4.- The Payment and the Delivery Terms of the Products ordered by Axtel in this
Purchase Order, shall be in accordance with the terms and conditions set forth
in the FWA PLA: 70% upon purchase order effective day 30% 10 days after product
delivery
We require an order acknowledgment for the following items:
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
00010 50003695 NTEG17DA 10,000 Piece 318.51 3,185,100.00
NTEG17DA ANTENA (RTU)
CODIGO NORTEL: NTEG17DA
---------------------------------------------------------- ------------------- --------- ------------ ----------------
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 2/5
[AXTEL LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046564/MAR/18/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
00020 50003696 NTEG12FA 10,000 Piece 38.01 380,100.00
RPCU/FUENTE DE PODER NTEG12FA
RPCU/FUENTE DE PODER
CODIGO NORTEL: NTEG12FA
---------------------------------------------------------- ------------------- --------- ------------ ----------------
00030 50003699 A0636762 10,000 Piece 10.74 107,400.00
BATERIA P/RPCU YUASA ENERSYS NP2.3-12
RPCU BATTERY/BATERIA RPCU 12V
CODIGO NORTEL: A0636762
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
00040 50003512 NTEG12CL 10,000 Piece 0.54 5,400.00
POWER CORD/CABLE FTE-PODER NTEG12CL
POWER CORD/CABLE FTE-PODER
No. PARTE NORTEL:NTEG12CL
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
00050 50003513 UTPGRB 128SH42 10,000 Piece 242.98/50 48,596.00
CONECTOR MILITAR P/CABLE EXTERIOR
PLUG FOR ANTENNA DROP CABLE WITH RUBBER BOOT
(ASS'Y RUBBER BOOT WITH BAYO, AND FEMALE INSERT)
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 3/5
[AXTEL LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046564/MAR/18/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
00060 50003514 NTEG99CZ 100,000 Piece 48.44/500 9,688.00
PIN P/CONECTOR MILITAR FCI SC20ML1S6UK
PIN P/CONECTOR MILITAR
NUMERO DE PARTE: SC20ML1S6UK
MARCA SOURIAU (FCI)
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
00070 50003511 NTEG12FB 10,000 Piece 0.36 3,600.00
RPCU HANDBOOK/MANUAL RPCU NTEG12FB
RPCU HANDBOOK/MANUAL RPCU
CODIGO NORTEL: NTEG12FB
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
00080 50003515 NTEG99JE 400 Role 178.82 71,528.00
CABLE EXTERIOR NEGRO NORTEL NTEG99JE
DROP CABLE 500 METER ROL
Part No. NTEG99JE
Net Value without VAT USD 3,811,412.00
==================================================== ================
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 4/5
[AXTEL LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046564/MAR/18/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ------------------------ ------------------- --------- ------------ ----------------
PURCHASE ORDER CONDITIONS: 1.-The following issues: the Certificate the Origin,
the packing list and the Pro-form Invoice has to be deliver in the border to the
broker. In case that we (Axtel) pay the freight the Supplier has to send the
freight ▇▇▇▇ too.
2.-The original Invoice has to be deliver by a courier to the following address:
AXTEL S.A. de C.V.
Central Purchasing Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
Central Account Payable Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 5/5
Purchase Order Foreign Suppliers
[AXTEL LOGO] Purchase Order/Date
4500046574 / MAR/19/03
Buyer: ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇▇
Phone: (▇▇)▇▇-▇▇▇▇-▇▇▇▇ ▇▇▇.
Fax: (52) 81-8114-1919 ext. 1769
SUPPLIER: 100515 email: ▇▇▇▇▇▇▇▇@▇▇▇▇▇.▇▇▇.▇▇
NORTEL NETWORKS LIMITED
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇ NOTE: please include PO number invoice
L6T 5P6 BRAMPTON
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
DELIVERY DATE: DEC/31/04
SHIP TO:
LASER FORWARDING, INC. INVOICE TO:
AXTEL S.A. de C.V.
▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
UNIROYAL INDUSTRIAL PARK San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
78045 LAREDO, TX
PAYMENT TERMS:
INCOTERM 0001 payment: 0 days 0.000%
CIP, NORTEL WAREHOUSE DALLAS, TX payment: 0 days 0.000%
PAYABLE IN:
Axtel S.A. de C.V.
Oficinas Monterrey
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1
Col. Unidad San ▇▇▇▇▇
This Initial Purchase Order is issued by Axtel, S.A. de C.V. under the terms and
conditions set forth in Sections 2.5, 5.21 and 19.1 of the FWA Purchase and
License Agreement (the "FWA PLA"), entered by and between Axtel, S.A. de C.V.
and Nortel Networks Limited and Nortel Networks de Mexico, S.A. de C.V.
This Purchase Order is issued in accordance with the terms set forth in Section
5.21 of the FWA PLA for the third quarter of year 2003.
SPECIAL TERMS OF THIS PURCHASE ORDER
1.- The units described in this Purchase Order comprise a total quantity of
[5,000] complete kits of F2 RSS. Therefore, Nortel Networks shall deliver to
Axtel [5,000] complete "CUSTOMER PREMISE EQUIPMENT KIT, MODEL F2 RSS".
Each complete kit includes:
PEC Description Qty
▇▇▇▇▇▇▇▇ ▇▇▇▇▇ 1
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 1/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046574/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
PEC Description Qty
NTEG12FA RPCU 1
A0636762 RPCU Battery 1
NTEG12CL RPCU Power Cord 1
NTEG12FB RPCU Safety Booklet 1
NTEG99JE Drop Cable (500m) 0.04
NTEG99GR Drop Cable Connector (50 pcs) 0.02
NTEG99CZ Drop Cable Connector Pins (500 pcs) 0.02
2.- The CIP Price at Nortel Networks' warehouse in Texas is USD$381.14 per F2
RSS Kit. The prices contained under the wording "We require an order
acknowledgment for the following items" of this Purchase Order, have been
assigned by Axtel for internal Axtel, order management processes and as such
have no bearing on the actual price paid by Axtel to Nortel Networks.
3.- In accordance with the foregoing, the total amount of this Purchase Order is
US$1,905,700 Dollars.
4.- The Payment and the Delivery Terms of the Products ordered by Axtel in this
Purchase Order, shall be in accordance with the terms and conditions set forth
in the FWA PLA: 70% upon purchase order effective day 30% 10 days after product
delivery
We require an order acknowledgment for the following items:
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00010 50003695 NTEG17DA 5,000 Piece 318.51 1,592,550.00
NTEG17DA ANTENA (RTU)
CODIGO NORTEL: NTEG17DA
--------------------------------------------------------------- -------------- --------- ------------ ------------------
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 2/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046574/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00020 50003696 NTEG12FA 5,000 Piece 38.01 190,050.00
RPCU/FUENTE DE PODER NTEG12FA
RPCU/FUENTE DE PODER
CODIGO NORTEL: NTEG12FA
We require an order acknowledgment for this item
--------------------------------------------------------------- -------------- --------- ------------ ------------------
00030 50003699 A0636762 5,000 Piece 10.74 53,700.00
BATERIA P/RPCU YUASA ENERSYS NP2.3-12
RPCU BATTERY/BATERIA RPCU 12V
CODIGO NORTEL: A0636762
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00040 50003512 NTEG12CL 5,000 Piece 0.54 2,700.00
POWER CORD/CABLE FTE-PODER NTEG12CL
POWER CORD/CABLE FTE-PODER
No. PARTE NORTEL:NTEG12CL
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00050 50003513 UTPGRB 128SH42 5,000 Piece 242.98/50 24,298.00
CONECTOR MILITAR P/CABLE EXTERIOR
PLUG FOR ANTENNA DROP CABLE WITH RUBBER BOOT
(ASS'Y RUBBER BOOT WITH BAYO, AND FEMALE INSERT)
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 3/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046574/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00060 50003514 NTEG99CZ 50,000 Piece 48.44/500 4,844.00
PIN P/CONECTOR MILITAR FCI SC20ML1S6UK
PIN P/CONECTOR MILITAR
NUMERO DE PARTE: SC20ML1S6UK
MARCA: SOURIAU (FCI)
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00070 50003511 NTEG12FB 5,000 Piece 0.36 1,800.00
RPCU HANDBOOK/MANUAL RPCU NTEG12FB
RPCU HANDBOOK/MANUAL RPCU
CODIGO NORTEL: NTEG12FB
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00080 50003515 NTEG99JE 200 Role 178.82 35,764.00
CABLE EXTERIOR NEGRO NORTEL NTEG99JE
DROP CABLE 500 METER ROL
Part No. NTEG99JE
We require an order acknowledgment for this item
Net Value without VAT USD 1,905,706.00
==================================================== ==================
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 4/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046574/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
------------ -------------------- ------------------------------ ------------- --------- ------------- -----------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ------------------------------ ------------- --------- ------------- -----------------
PURCHASE ORDER CONDITIONS:
1.-The following issues: the Certificate the Origin, the packing list and the
Pro-form Invoice has to be deliver in the border to the broker. In case that we
(Axtel) pay the freight the Supplier has to send the freight ▇▇▇▇ too.
2.-The original Invoice has to be deliver by a courier to the following address:
AXTEL S.A. de C.V.
Central Purchasing Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
Central Account Payable Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 5/5
Purchase Order Foreign Suppliers
[AXTEL LOGO] Purchase Order/Date
4500046583/MAR/19/03
Buyer: ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇▇
Phone: (▇▇)▇▇-▇▇▇▇-▇▇▇▇ ▇▇▇.
Fax: (52) 81-8114-1919 ext. 1769
SUPPLIER: 100515 email: ▇▇▇▇▇▇▇▇@▇▇▇▇▇.▇▇▇.▇▇
NORTEL NETWORKS LIMITED
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇ NOTE: please include PO number in invoice
L6T 5P6 BRAMPTON
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
DELIVERY DATE: SEP/22/03
SHIP TO :
LASER FORWARDING, INC. INVOICE TO:
AXTEL S.A. de C.V.
▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇ ▇▇. ▇▇▇▇. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
UNIROYAL INDUSTRIAL PARK San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
78045 LAREDO
PAYMENT TERMS:
INCOTERM 0001 payment: 0 days 0.000%
EXW, NORTEL CALGARY CANADA payment: 0 days 0.000%
PAYABLE IN:
Axtel S.A. de C.V.
Oficinas Monterrey
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1
Col. Unidad San ▇▇▇▇▇
This Initial Purchase Order is issued by Axtel, S.A. de C.V. dated as of March
20, 2003 under the terms and conditions set forth in Sections 5.21 and 19.1 of
the FWA Purchase and License Agreement dated as of March 20, 2003 (the "FWA
PLA"), entered by and between Axtel, S.A. de C.V. and Nortel Networks Limited
and Nortel Networks de Mexico, S.A. de C.V.
SPECIAL TERMS OF THIS PURCHASE ORDER
1.- The units described in this Purchase Order comprise a total quantity of [20]
Base Station Units.
2.- The Ex-Works Price at Nortel Networks' warehouse in Calgary, Canada is
USD$40,384.62 per Base Station Unit (Cell Site Packet Data Upgrade). The prices
contained under the wording "We require an order acknowledgment for the
following items" of this Purchase Order, have been assigned by Axtel for
internal Axtel, order management processes and as such have no bearing on the
actual price paid by Axtel to Nortel Networks.
3.- In accordance with the foregoing, the total amount of this Purchase Order is
US$807,692.40 Dollars.
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 1/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046583/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
4.- The Payment and the Delivery Terms of the Products ordered by Axtel in this
Purchase Order, shall be in accordance with the terms and conditions set forth
in the FWA PLA: 70% upon purchase order effective day 30% 10 days after product
delivery
We require an order acknowledgment for the following items:
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00010 50008145 NTEG-71HA 40 Piece 7,692.31 307,692.40
TRANSCEIVER PROCESSOR MODULE (TPM-PD)
TRANSCEIVER PROCESSOR MODULE (TPM-PD)
PROVEEDOR NORTEL
No. PARTE: NTEG71HA
NORTEL PART No. NTEG71HA
--------------------------------------------------------------- -------------- --------- ------------ ------------------
00020 50008144 NTEG12FA 20 Piece 25,000.00 500,000.00
PACKET DATA SOFTWARE ACTIVATION FEE
PACKET DATA SOFTWARE ACTIVATION FEE
We require an order acknowledgment for this item
--------------------------------------------------------------- -------------- --------- ------------ ------------------
Net Value without VAT USD 807,692.40
==================================================== ==================
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AXTEL S.A. de C.V. Purchasing Sign:
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Page 2/5
------------ -------------------- ------------------------------ ------------- --------- ------------- -----------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ------------------------------ ------------- --------- ------------- -----------------
PURCHASE ORDER CONDITIONS:
1.-The following issues: the Certificate the Origin, the packing list and the
Pro-form Invoice has to be deliver in the border to the broker. In case that we
(Axtel) pay the freight the Supplier has to send the freight ▇▇▇▇ too.
2.-The original Invoice has to be deliver by a courier to the following address:
AXTEL S.A. de C.V.
Central Purchasing Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
Central Account Payable Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
--------------------------------------------------------------------------------
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Page 3/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046575/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
Purchase Order Foreign Suppliers
[AXTEL LOGO] Purchase Order/Date
4500046575 / MAR/19/03
Buyer: ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇▇
Phone: (▇▇) ▇▇-▇▇▇▇-▇▇▇▇ ▇▇▇.
Fax: (52) 81-8114-1919 ext. 1769
SUPPLIER : 100515 email: ▇▇▇▇▇▇▇▇@▇▇▇▇▇.▇▇▇.▇▇
NORTEL NETWORKS LIMITED
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇ NOTE: please include PO number in invoice
L6T 5P6 BRAMPTON
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
DELIVERY DATE: MAY/31/04
SHIP TO:
LASER FORWARDING, INC. INVOICE TO:
AXTEL S.A. de C.V.
▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇ ▇▇. ▇▇▇▇. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
UNIROYAL INDUSTRIAL PARK San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
78045 LAREDO
PAYMENT TERMS:
INCOTERM 0001 payment: 0 days 0.000%
CIP, NORTEL WAREHOUSE DALLAS, TX payment: 0 days 0.000%
PAYABLE IN:
Axtel S.A. de C.V.
Oficinas Monterrey
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1
Col. Unidad San ▇▇▇▇▇
This Initial Purchase Order is issued by Axtel, S.A. de C.V. under the terms and
conditions set forth in Sections 2.5, 5.21 and 19.1 of the FWA Purchase and
License Agreement (the "FWA PLA"), entered by and between Axtel, S.A. de C.V.
and Nortel Networks Limited and Nortel Networks de Mexico, S.A. de C.V.
This Purchase Order is issued in accordance with the terms set forth in Section
5.21 of the FWA PLA for the fourth quarter of year 2003.
SPECIAL TERMS OF THIS PURCHASE ORDER
1.- The units described in this Purchase Order comprise a total quantity of
[5,000] complete kits of F2 RSS. Therefore, Nortel Networks shall deliver to
Axtel [5,000] complete "CUSTOMER PREMISE EQUIPMENT KIT, MODEL F2 FSS".
Each complete kit includes:
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 1/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046575/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
PEC Description Qty
NTEG12FA RPCU 1
A0636762 RPCU Battery 1
NTEG12CL RPCU Power Cord 1
NTEG12FB RPCU Safety Booklet 1
NTEG99JE Drop Cable (500m) 0.04
NTEG99GR Drop Cable Connector (50 pcs) 0.02
NTEG99CZ Drop Cable Connector Pins (500 pcs) 0.02
2.- The CIP Price at Nortel Networks' warehouse in Texas is USD$381.14 per F2
RSS Kit. The prices contained under the wording "We require an order
acknowledgment for the following items" of this Purchase Order, have been
assigned by Axtel for internal Axtel, order management processes and as such
have no bearing on the actual price paid by Axtel to Nortel Networks.
3.- In accordance with the foregoing, the total amount of this Purchase Order is
US$1,905,700 Dollars.
4.- The Payment and the Delivery Terms of the Products ordered by Axtel in this
Purchase Order, shall be in accordance with the terms and conditions set forth
in the FWA PLA: 70% upon purchase order effective day 30% 10 days after product
delivery
We require an order acknowledgment for the following items:
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00010 50003695 NTEG17DA 5,000 Piece 318.51 1,592,550.00
NTEG17DA ANTENA (RTU)
CODIGO NORTEL: NTEG17DA
--------------------------------------------------------------- -------------- --------- ------------ ------------------
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
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Page 2/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046575/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00020 50003696 NTEG12FA 5,000 Piece 38.01 190,050.00
RPCU/FUENTE DE PODER NTEG12FA
RPCU/FUENTE DE PODER
CODIGO NORTEL: NTEG12FA
We require an order acknowledgment for this item
--------------------------------------------------------------- -------------- --------- ------------ ------------------
00030 50003699 A0636762 5,000 Piece 10.74 53,700.00
BATERIA P/RPCU YUASA ENERSYS NP2.3-12
RPCU BATTERY/BATERIA RPCU 12V
CODIGO NORTEL: A0636762
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00040 50003512 NTEG12CL 5,000 Piece 0.54 2,700.00
POWER CORD/CABLE FTE-PODER NTEG12CL
POWER CORD/CABLE FTE-PODER
No. PARTE NORTEL: NTEG12CL
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00050 50003513 UTPGRB 128SH42 5,000 Piece 242.98/50 24,298.00
CONECTOR MILITAR P/CABLE EXTERIOR
PLUG FOR ANTENNA DROP CABLE WITH RUBBER BOOT
(ASS'Y RUBBER BOOT WITH BAYO, AND FEMALE INSERT)
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
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Page 3/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046575/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00060 50003514 NTEG99CZ 50,000 Piece 48.44/500 4,844.00
PIN P/CONECTOR MILITAR FCI SC20ML1S6UK
PIN P/CONECTOR MILITAR
NUMERO DE PARTE: SC20ML1S6UK
MARCA: SOURIAU (FCI)
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00070 50003511 NTEG12FB 5,000 Piece 0.36 1,800.00
RPCU HANDBOOK/MANUAL RPCU NTEG12FB
RPCU HANDBOOK/MANUAL RPCU
CODIGO NORTEL: NTEG12FB
We require an order acknowledgment for this item
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
00080 50003515 NTEG99JE 200 Role 178.82 35,764.00
CABLE EXTERIOR NEGRO NORTEL NTEG99JE
DROP CABLE 500 METER ROL
Part No. NTEG99JE
We require an order acknowledgment for this item
Net Value without VAT USD 1,905,706.00
==================================================== ==================
--------------------------------------------------------------------------------
AXTEL S.A. de C.V. Purchasing Sign:
--------------------------------------------------------------------------------
Page 4/5
[LOGO]
SUPPLIER: 100515 Purchase Order/Date
NORTEL NETWORKS LIMITED 4500046575/MAR/19/03
▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇ ▇▇▇
▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
Contact: ▇▇▇▇▇ ▇▇▇▇▇▇
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
Material Qty.
Item Description Supplier Requested Unit Unit Price Total Value
------------ -------------------- ----------------------------- -------------- --------- ------------ ------------------
------------ -------------------- ------------------------------ ------------- --------- ------------- -----------------
PURCHASE ORDER CONDITIONS:
1.-The following issues: the Certificate the Origin, the packing list and the
Pro-form Invoice has to be deliver in the border to the broker. In case that we
(Axtel) pay the freight the Supplier has to send the freight ▇▇▇▇ too.
2.-The original Invoice has to be deliver by a courier to the following address:
AXTEL S.A. de C.V.
Central Purchasing Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
Central Account Payable Departament
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km 3.33 No. L-1, Unidad San ▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇. CP 66215
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AXTEL S.A. de C.V. Purchasing Sign:
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Page 5/5
Annex B
CHANGE ORDER PROCEDURES
ANNEX B
CHANGE ORDER PROCEDURES
The following procedure shall apply to the issuance of Change Orders under the
Agreement. Capitalized terms used and not defined herein have the meanings
attributed to them in the Agreement.
1. Change Order
Any changes made by Customer after the effective date of the Agreement,
resulting in adjustments to the content and/or specifications of the
Products, Services, process, job schedule or other requirements shall be
considered a change order ("Change Order"). The form of Change Order is
attached hereto.
1.1 Customer shall issue a written communication to the Nortel Networks
Account Manager detailing the nature of the modifications it wishes to
make.
1.2 The Nortel Networks Account Manager shall return to Customer with an
assessment of requirements to present a quotation.
1.3 Upon acceptance of Nortel Networks' quotation. Customer shall issue a
Change Order in the form attached hereto and deliver it to Nortel
Networks five (5) business days from receipt of Nortel Networks'
quotation.
2. Non-Billable Change Order
If changes to the content and specifications of the Products or Services
after the Start Date of the Agreement are deemed non-billable to Customer
by Nortel Networks, "Non-Billable" shall be checked off on the Change
Order.
3. Customer Information
In cases where the Change Order is not based on models or merchandise, the
Customer Information (CI) meeting shall be held and a related document
shall be completed by Customer with the assistance of the Nortel Networks'
Systems Application Engineer, capturing all network specifications.
Customer shall approve this document prior to each request for quotation
and subsequent Change Order.
Page 2
ANNEX B - ATTACHMENT 1
FORM OF CHANGE ORDER
Axtel, S.A. de C.V.
Re: Purchase and License Agreement dated ________
Change Order No.: _________
Circle One: Billable or Non-Billable
1. This Change Order is issued pursuant to Section 2 of the Purchase and
License Agreement, dated __________ (the "Agreement"), by and between
Axtel, S.A. de C.V. ("Customer") and Nortel Networks Limited and Nortel
Networks de Mexico, S.A. de C.V. (collectively, "Nortel Networks"). This
Change Order and the Products and Services to be supplied under this Change
Order shall be subject to all the terms and conditions set forth in the
Agreement.
2. This Change Order shall become effective upon execution by authorized
representatives of Nortel Networks and Customer. 3. Origin and Description
of Changes:
[insert narrative explaining reason for change]
[INSERT ONLY IF NON-BILLABLE: The purpose of this Change Order is to notify
you of some changes in the project as described below. Nortel Networks
deems these changes non-billable. Any reference to prices or value is for
informational purposes only. Nortel Networks requests your acknowledgement
below to the changes described in this Change Order. This Change Order
shall be deemed accepted if Nortel Networks has not received your express
rejection within thirty days from the date set forth above.]
4. Resulting Adjustment
[address addition, deletion or change in Products to be delivered, change in
Price, Schedule, Delivery Term, etc.]
In witness whereof, the Parties have executed this Change Order on the ____ day
of ____________, 200_.
AXTEL, S.A. DE C.V.
By:_______________________________
Print Name:_______________________
Title:____________________________
NORTEL NETWORKS LIMITED NORTEL NETWORKS DE MEXICO, S.A. DE C.V.
By:__________________________ By:____________________________________
Print Name:__________________ Print Name:____________________________
Title:_______________________ Title:_________________________________
Page 3
Annex C - Description of Products
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
Annex C
DESCRIPTION OF PRODUCTS
Annex C - Description of Products
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
Annex C
DESCRIPTION OF PRODUCTS
1. DOCUMENT SCOPE
1.1 Document Scope
This document details the definition of the FWA equipment to be supplied by
Nortel Networks to AXtel. Note that "Qty." refers to the quantity of a
component required for that configuration. Where the quantity of a
component required for a configuration differs from the unit of measure for
that component, the unit of measure is included in the description of that
component. Equipment can only be ordered in whole multiples of the
associated unit of measure.
2.1.1 FWA Description of Equipment
2.1.1.1 Intentionally Left in Blank
2.1.1.2 Customer Premise Equipment Kits.
An F2 RSS Kit is defined as follows:
-------------------- ------------------------------------------------ -------
PEC Description Qty.
-------------------- ------------------------------------------------ -------
NTEG17DA F2 ▇▇▇ ▇
-------------------- ------------------------------------------------ -------
NTEG12FA RPCU 1
-------------------- ------------------------------------------------ -------
A0636762 RPCU Battery 1
-------------------- ------------------------------------------------ -------
NTEG12CL RPCU Power Cord 1
-------------------- ------------------------------------------------ -------
NTEG12FB RPCU Safety Booklet 1
-------------------- ------------------------------------------------ -------
NTEG99JE Drop Cable (500M) 0.04
-------------------- ------------------------------------------------ -------
NTEG99GY Dual Jacket Drop Cable Connector (50) 0.02
-------------------- ------------------------------------------------ -------
NTEG99CZ Drop Cable Connector Pins (500) 0.02
-------------------- ------------------------------------------------ -------
An F5 RSS Kit is defined as follows:
-------------------- ------------------------------------------------ -------
PEC Description Qty.
-------------------- ------------------------------------------------ -------
NTEG18DA F5 ▇▇▇ ▇
-------------------- ------------------------------------------------ -------
NTEG18FA RDA Kit 1
-------------------- ------------------------------------------------ -------
NTEG12FA RPCU 1
-------------------- ------------------------------------------------ -------
A0636762 RPCU Battery 1
-------------------- ------------------------------------------------ -------
NTEG12CL RPCU Power Cord 1
-------------------- ------------------------------------------------ -------
NTEG12FB RPCU Safety Booklet 1
-------------------- ------------------------------------------------ -------
Page 2
Annex C - Description of Products
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
-------------------- ------------------------------------------------ -------
PEC Description Qty.
-------------------- ------------------------------------------------ -------
NTEG99JE Drop Cable (500m) 0.04
-------------------- ------------------------------------------------ -------
NTEG99GY Dual Drop Cable Connector (50) 0.02
-------------------- ------------------------------------------------ -------
NTEG99CZ Drop Cable Connector Pins (500) 0.02
-------------------- ------------------------------------------------ -------
2.1.1.3 Installation Brackets for F5 & F2 RSS.
Compact Mounting Bracket
-------------------- ------------------------------------------------ -------
PEC Description Qty.
-------------------- ------------------------------------------------ -------
NTEG19AJ Compact Mounting Bracket (10) 1
-------------------- ------------------------------------------------ -------
NTEG99DC Mounting Coach Screw (200) 0.015
-------------------- ------------------------------------------------ -------
NTEG99DD Washer M8 (200) 0.015
-------------------- ------------------------------------------------ -------
NTEG99DE Frame Fixing(200) 0.015
-------------------- ------------------------------------------------ -------
2.1.1.4 Radio Basestation Kits
Discrete Radio Basestation Configurations.
The following configurations are representative of a typical installation.
Specific installations may require variations on these definitions.
------------------- ------------------------------- -------------- --------------- -------------------
PEC Description 18b RBS 27b RBS 48b RBS
------------------- ------------------------------- -------------- --------------- -------------------
NTED4575 Transceiver Processor Module 5 7 12
------------------- ------------------------------- -------------- --------------- -------------------
NTEG72AD Transceiver Baseband Module 5 7 15
Combining Diversity
------------------- ------------------------------- -------------- --------------- -------------------
NTEG77EC Transceiver Masthead Unit Kit 6 9 18
------------------- ------------------------------- -------------- --------------- -------------------
NTEG97PC Antenna to TMU 4m Cable 6 9 18
------------------- ------------------------------- -------------- --------------- -------------------
NTEG94BD 1M Pre-Fit Cabinet 1 2 3
------------------- ------------------------------- -------------- --------------- -------------------
NTEG63AA Transceiver Timer Module 0 0 0
------------------- ------------------------------- -------------- --------------- -------------------
NTEG73AA Network Management Module 0 0 0
------------------- ------------------------------- -------------- --------------- -------------------
NTEG99CJ TMU to Cabinet IF1/2" cable 0.6 0.9 1.8
(500m)
------------------- ------------------------------- -------------- --------------- -------------------
NTEG91BA 1/2 " IF Cable Connector Kit 6 9 18
------------------- ------------------------------- -------------- --------------- -------------------
NTEG99CE TMU to Cabinet Power cable 0.6 0.9 1.8
(500m)
------------------- ------------------------------- -------------- --------------- -------------------
NTEG93AA Power Cable Connector Kit 6 9 18
------------------- ------------------------------- -------------- --------------- -------------------
NTEG99CA TMU to Cabinet Data Cable 0.6 0.9 1.8
(500m)
------------------- ------------------------------- -------------- --------------- -------------------
NTEG92AA Data Cable Connector Kit 6 9 18
------------------- ------------------------------- -------------- --------------- -------------------
Page 3
Annex C - Description of Products
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
------------------- ------------------------------- -------------- --------------- -------------------
PEC Description 18b RBS 27b RBS 48b RBS
------------------- ------------------------------- -------------- --------------- -------------------
NTEG97MF 120 Degree Horizontal Up to 6 Up to 9 Up to 6
Polarization Antenna
------------------- ------------------------------- -------------- --------------- -------------------
NTEG97ME 120 Degree Vertical Up to 6 Up to 9 Up to 6
Polarization Antenna
------------------- ------------------------------- -------------- --------------- -------------------
NTEG97NF 60 Degree Horizontal Up to 6 Up to 9 Up to 12
Polarization Antenna
------------------- ------------------------------- -------------- --------------- -------------------
NTEG97NE 60 Degree Vertical Up to 6 Up to 9 Up to 12
Polarization Antenna
------------------- ------------------------------- -------------- --------------- -------------------
NTEG97NG 40 Degree Vertical 0 0 Up to 12
Polarization Antenna
------------------- ------------------------------- -------------- --------------- -------------------
NTEG97NH 40 Degree Horizontal 0 0 Up to 12
Polarization Antenna
------------------- ------------------------------- -------------- --------------- -------------------
With regard to antennas for the various basestation configurations, the
quantities shown above reflect the maximum number of each antenna that could be
required in a specific installation. The combined total actual antenna
requirement for each configuration is:
18b - 6
27b - 9
48b - 18
For clarity, ▇▇▇▇▇▇▇▇ (▇▇ Pre-Fit Cabinet) and NTEG77EC (Transceiver Masthead
Unit Kit) are defined as follows:
------------------------------------------------------------------------------------------------------
▇▇▇▇▇▇▇▇ ▇▇ Pre-Fit Cabinet
------------------- -------------------------------------------------------------------------- -------
PEC Description Qty.
------------------- -------------------------------------------------------------------------- -------
NTED4575 Transceiver Processor Module 1
------------------- -------------------------------------------------------------------------- -------
NTEG63AA Transceiver Timer Module 2
------------------- -------------------------------------------------------------------------- -------
NTEG72AD Transceiver Baseband Module Combining Diversity 1
------------------- -------------------------------------------------------------------------- -------
NTEG73AA Network Management Module 1
------------------- -------------------------------------------------------------------------- -------
NTEG7662 CABINET CABLE SET TYPE 2 1
------------------- -------------------------------------------------------------------------- -------
NTEG74BA Over Voltage Protection Module 3
------------------- -------------------------------------------------------------------------- -------
NTEG76BA ITS Fan Tray Assembly 1
------------------- -------------------------------------------------------------------------- -------
NTEG76CC Secondary DC Breaker Rack Filtered 1
------------------- -------------------------------------------------------------------------- -------
NTEG76FB I.T.S Basestation Diversity Sub Rack 1
------------------- -------------------------------------------------------------------------- -------
NTEG76GA I.T.S U.K Maintenance Port Assembly 1
------------------- -------------------------------------------------------------------------- -------
NTEG94AN 1.0M Cabinet Floor Mounting Plinth 1
------------------- -------------------------------------------------------------------------- -------
NTEG94FA Alarm Connector Block 1
------------------- -------------------------------------------------------------------------- -------
NTEG94QA 1.0M Internal ITS Cabinet 1
------------------- -------------------------------------------------------------------------- -------
------------------------------------------------------------------------------------------------------
NTEG77EC Transceiver Masthead Unit Kit
------------------- -------------------------------------------------------------------------- -------
PEC Description Qty.
------------------- -------------------------------------------------------------------------- -------
------------------- -------------------------------------------------------------------------- -------
NTEG77CA T.M.U./T.A.S. Ground Bond Kit 1
------------------- -------------------------------------------------------------------------- -------
------------------- -------------------------------------------------------------------------- -------
NTEG77DA Sun Shield Assembly 1
------------------- -------------------------------------------------------------------------- -------
------------------- -------------------------------------------------------------------------- -------
NTEG77GB T.M.U. Assemble BF Band (100MHz) 1
------------------- -------------------------------------------------------------------------- -------
------------------- -------------------------------------------------------------------------- -------
P0821020 U Bolt 61 C R S 2
------------------- -------------------------------------------------------------------------- -------
------------------- -------------------------------------------------------------------------- -------
P0821021 U Bolt 126 C R S 2
------------------- -------------------------------------------------------------------------- -------
------------------- -------------------------------------------------------------------------- -------
P0834843 T.M.U. Mounting Bracket V3 1
------------------- -------------------------------------------------------------------------- -------
Page 4
Annex C - Description of Products
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
2.1.1.5 Discrete Radio Basestation Upgrade Configurations.
The following configurations are representative of a typical installation,
eg. 45m cable runs assumed. Specific installations may require variations
on these definitions.
------------------- --------------------------- ---------------- ----------------- -------------------
PEC Description 18b to 27b 27b to 48b PDS Upgrade to
Upgrade Upgrade 18b ITS
------------------- --------------------------- ---------------- ----------------- -------------------
NTED4575 Transceiver Processor 2 5 0
Module
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG72AD Transceiver Baseband 2 8 0
Module Combining Diversity
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG77EC Transceiver Masthead Unit 3 9 0
Kit
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97PC Antenna to TMU 4m Cable 3 9 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG94BD 1M Pre-Fit Cabinet 1 1 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG63AA Transceiver Timer Module 0 0 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG73AA Network Management Module 0 0 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CJ TMU to Cabinet IF1/2" 0.3 1 0
cable (500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG91BA 1/2" IF Cable Connector 3 9 0
Kit
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CE TMU to Cabinet Power 0.3 1 0
cable (500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG93AA Power Cable Connector Kit 3 9 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CA TMU to Cabinet Data Cable 0.3 1 0
(500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG92AA Data Cable Connector Kit 3 9 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97MF 120 Degree Horizontal Up to 3 0 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97ME 120 Degree Vertical Up to 3 0 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97NF 60 Degree Horizontal Up to 3 Up to 12 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97NE 60 Degree Vertical Up to 3 Up to 12 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97NG 40 Degree Vertical 0 Up to 12 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97NH 40 Degree Horizontal 0 Up to 12 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG71HA Transceiver processor 0 0 2
Module - Packet Data
------------------- --------------------------- ---------------- ----------------- -------------------
N/A Packet Data Software 0 0 1
Activation Fee
------------------- --------------------------- ---------------- ----------------- -------------------
Page 5
Annex C - Description of Products
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
With regard to antennas for the various basestation upgrade
configurations, the quantities shown above reflect the maximum
number of each antenna that could be required in a specific
installation. The combined total actual antenna requirement
for each upgrade configuration is:
18b to 27b Upgrade - 3
27b to 48b Upgrade - 12
2.1.1.6 FWA Software.
------------ -------------------------------------------------------- ----------
PEC Description Qty.
------------ -------------------------------------------------------- ----------
N/A Basestation Packet Data Software Activation Fee 1
------------ -------------------------------------------------------- ----------
N/A F2 RSS 2nd Line Activation 1
------------ -------------------------------------------------------- ----------
N/A F5 RSS 2nd Line Activation 1
------------ -------------------------------------------------------- ----------
2.1.1.7 FWA OA&M Equipment.
Field Engineering Terminal (FET).
Choose one of the following.
------------ -------------------------------------------------------- ----------
PEC Description Qty.
------------ -------------------------------------------------------- ----------
NTEG30AN FET System Complete (LINUX)on Panasonic CF27 1
------------ -------------------------------------------------------- ----------
NTEG30AF LINUX FET Software Application Kit for Panasonic CF27 1
------------ -------------------------------------------------------- ----------
Residential Installation System (RIS).
Survey Kit
--------------- ------------------------------------------------------ ---------
PEC Description Qty.
--------------- ------------------------------------------------------ ---------
NTEG24BF 100 MHz Generic Survey Kit 1
--------------- ------------------------------------------------------ ---------
NTEG10DCBV RSS Installation Sub-Set Documentation 1
--------------- ------------------------------------------------------ ---------
P0872025 Large Belt 1
--------------- ------------------------------------------------------ ---------
NTEG24BE RTU SAK/Handle Pole Kit (5.5m extension kit) 1
--------------- ------------------------------------------------------ ---------
NTEG22EB RTU SAK/Handle Assembly 1
--------------- ------------------------------------------------------ ---------
A0734347 GPS 1
--------------- ------------------------------------------------------ ---------
A0658055 Linesman Phone U.S. 1
--------------- ------------------------------------------------------ ---------
Maintenance Kit
-------------- ---------------------------------------------------- ------------
PEC Description Qty.
-------------- ---------------------------------------------------- ------------
NTEG24AA 100MHz Generic Maintenance Kit 1
-------------- ---------------------------------------------------- ------------
NTEG21ND PSA Mains Adapter U.S. 1
-------------- ---------------------------------------------------- ------------
A0745625 RMT Mains Adapter U.S. 1
-------------- ---------------------------------------------------- ------------
A0657248 Modem 1
-------------- ---------------------------------------------------- ------------
A0655833 Multimeter 1
-------------- ---------------------------------------------------- ------------
NTEG21PB Vehicle charging Cable 1
-------------- ---------------------------------------------------- ------------
A0743766 RMT Docking Holster 1
-------------- ---------------------------------------------------- ------------
Pge 6
Annex C - Description of Products
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
Radio Element Manager (REM).
The following configurations are representative of a typical
installation. Specific installations may require variations on
these definitions.
------------- ------------------------------------------------------------ -----
PEC Description Qty.
------------- ------------------------------------------------------------ -----
NTEG43AC HP Unix Server 1
------------- ------------------------------------------------------------ -----
NTEG41GD REM Redundancy Upgrade Kit with Online Backup 1
------------- ------------------------------------------------------------ -----
NTEG41EG REM Processor Upgrade Kit 1
------------- ------------------------------------------------------------ -----
A0784688 HP 3.5" hot swappable drive for HP D-CAL 1
------------- ------------------------------------------------------------ -----
NTEG43AA HP Client Workstation 1
------------- ------------------------------------------------------------ -----
NTEJ40BK Radio Element Manager Software Platform 4.4.2 1
------------- ------------------------------------------------------------ -----
NTEG42CB Snmp Ethernet Network Mgt. Card Type 2 1
------------- ------------------------------------------------------------ -----
NTEG42BC Network Hub 16 Slot Chassis,Fantray, Hipernmc & Dual Psu 1
------------- ------------------------------------------------------------ -----
NTEG42FB 60 Channel Netserver Ethernet L A N Card 1
------------- ------------------------------------------------------------ -----
NTEG42GM Quad Modem Card With S/▇▇▇▇ Type 1 1
------------- ------------------------------------------------------------ -----
NTEG43AD Unix Server annual support 1
------------- ------------------------------------------------------------ -----
NTEG43AB Client Workstation annual support 1
------------- ------------------------------------------------------------ -----
NTEJ40GC Remedy ARS Support 1
------------- ------------------------------------------------------------ -----
NTEJ40JC Oracle RDBMS Support 1
------------- ------------------------------------------------------------ -----
A0743702 Openview SW Support 1
------------- ------------------------------------------------------------ -----
NTEG42KA Network Hub Annual SW Maintenance 1
------------- ------------------------------------------------------------ -----
A0743715 SW support ▇▇▇▇ 1
------------- ------------------------------------------------------------ -----
A0740374 Power cord grounded North America 0
------------- ------------------------------------------------------------ -----
NTEJ40AE REM Exceed SW 1
------------- ------------------------------------------------------------ -----
NTEG41HB 10 BASE-T SWITCHING HUB-24R 1
------------- ------------------------------------------------------------ -----
2.1.1.8 FWA Equipment Spares.
------------------- ------------------------------------------------- ----------
PEC Description Qty. Per
------------------- ------------------------------------------------- ----------
NTED4575 Transceiver Processor Module 1
------------------- ------------------------------------------------- ----------
NTEG72AD Transceiver Baseband Module Combining Diversity 1
------------------- ------------------------------------------------- ----------
NTEG77EC Transceiver Masthead Unit Kit 1
------------------- ------------------------------------------------- ----------
NTEG97PC Antenna to TMU 4m Cable 1
------------------- ------------------------------------------------- ----------
NTEG76BA ITS Fan Tray Assembly 1
------------------- ------------------------------------------------- ----------
NTEG76CC Secondary DC Breaker Rack Filtered 1
------------------- ------------------------------------------------- ----------
NTEG76FB I.T.S Basestation Diversity Sub Rack 1
------------------- ------------------------------------------------- ----------
NTEG76GA I.T.S U.K Maintenance Port Assembly 1
------------------- ------------------------------------------------- ----------
NTEG94QA 1.0M Internal ITS Cabinet 1
------------------- ------------------------------------------------- ----------
NTEG74BA Over Voltage Protection Module 3
------------------- ------------------------------------------------- ----------
NTEG63AA Transceiver Timer Module 1
------------------- ------------------------------------------------- ----------
NTEG73AA Network Management Module 1
------------------- ------------------------------------------------- ----------
NTEG99CJ TMU to Cabinet IF1/2"Cable 500m
------------------- ------------------------------------------------- ----------
NTEG91BA 1/2" IF Cable Connector Kit 1
------------------- ------------------------------------------------- ----------
NTEG99CE TMU to Cabinet Power Cable 500m
------------------- ------------------------------------------------- ----------
NTEG93AA Power Cable Connector Kit 1
------------------- ------------------------------------------------- ----------
NTEG99CA TMU to Cabinet Data Cable 500m
------------------- ------------------------------------------------- ----------
NTEG92AA Data Cable Connector Kit 1
------------------- ------------------------------------------------- ----------
NTEG97ME 120 Degree Vertical Polarization Antenna 1
------------------- ------------------------------------------------- ----------
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------------------- ----------------------------------------------- ------------
PEC Description Qty. Per
------------------- ----------------------------------------------- ------------
NTEG97MF 120 Degree Horizontal Polarization Antenna 1
------------------- ----------------------------------------------- ------------
NTEG97NE 60 Degree Vertical Polarization Antenna 1
------------------- ----------------------------------------------- ------------
NTEG97NF 60 Degree Horizontal Polarization Antenna 1
------------------- ----------------------------------------------- ------------
NTEG97NG 40 Degree Vertical Polarization Antenna 1
------------------- ----------------------------------------------- ------------
NTEG97NH 40 Degree Horizontal Polarization Antenna 1
------------------- ----------------------------------------------- ------------
NTEG71HA Transceiver Processor Module - Packet Data 1
------------------- ----------------------------------------------- ------------
NTEG18DA F5 ▇▇▇ ▇
------------------- ----------------------------------------------- ------------
NTEG18FA RDA Kit 1
------------------- ----------------------------------------------- ------------
NTEG12FA RPCU 1
------------------- ----------------------------------------------- ------------
A0636762 RPCU Battery 1
------------------- ----------------------------------------------- ------------
NTEG12CL RPCU Power Cord 1
------------------- ----------------------------------------------- ------------
NTEG12FB RPCU Safety Booklet 1
------------------- ----------------------------------------------- ------------
NTEG99JE Dual Jacket Drop Cable 500m
------------------- ----------------------------------------------- ------------
NTEG99GY Dual Jacket Drop Cable Connector 50
------------------- ----------------------------------------------- ------------
NTEG99CZ Drop Cable Connector Pins 500
------------------- ----------------------------------------------- ------------
NTEG17DA F2 ▇▇▇ ▇
------------------- ----------------------------------------------- ------------
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Annex D
Product Specifications
Annex D -Product Specifications
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
Annex D
Product Specifications
PLA FWA Contract
1. Scope
1.1 This section defines the essential performance characteristics of the
Nortel Networks Internet Fixed Wireless Access system (Internet FWA). The
scope of the section is confined to the airside equipment that supports
wireless transmission in the local loop, i.e. that part of the system from
the Base-station network interface to the subscriber premises terminal
interface (telephone socket), together with associated network management
operations systems in the element management layer. The specifications for
the switch, service gateway and other associated backhaul equipment are
therefore specifically excluded from this section.
2.1 General description
2.1.1 Intentionally Left in Blank
2.1.1.1 Purpose of Internet FWA
The Internet FWA system allows telecommunications operators to construct
high quality telephone access networks between customers' premises and
local exchanges. The system uses cellular point to multi-point wireless
technology as a replacement for traditional copper-based local loops. A
major advantage of FWA technology is that it allows operators to create new
access networks quickly and with minimum capital investment.
Each terminal in the Internet FWA system is capable of delivering PSTN
circuit-switched services through two standard analogue telephone lines. In
addition to the PSTN services, a packet-mode service may be used to deliver
`always-on' connections between one or more Internet Service Providers
(ISPs) and the computer equipment of subscribers.
The Internet FWA system provides a frequency division duplex radio link to
a subscriber transceiver system and operates in the 3.4 to 3.6 GHz band.
The air interface utilizes time division multiplex on the downlink and time
division multiple access on the uplink. The system comprises a network of
Radio Base-stations (RBS) arranged on a cellular plan and these are
connected to the PSTN or to the public Internet by a conventional back-haul
network. Each base-station consists of one or more Integrated Transceiver
Systems (ITSs).
2.1.2 Sub-systems
The Internet FWA system contains two Network elements (NEs):
o Remote Service System (RSS)
o Radio Base Station (RBS)
The Internet FWA system contains three Operations systems (OSs):
o Radio Element Manager (REM)
o RSS Installation System (RIS)
o Field Engineering Terminal (FET)
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The Remote Service System (RSS)
This system provides the subscriber with two independent analogue exchange
lines and optionally a packet data service interface. The system consists
of the RSS Terminal Unit (RTU), an RSS Power and Connection unit (RPCU) and
an RSS Data Adapter (RDA).
The RTU is mounted externally to the subscriber premises and contains a
directional antenna, radio electronics and the two analogue line interfaces
to carry PSTN services. The unit is powered from the RPCU indoor unit that
plugs into the subscribers mains supply. A `drop cable' connects the RTU to
the RPCU. The RPCU contains two sets of telephone sockets for connection to
the subscriber's telephone equipment. In order to provide the optional
packet data service, an RDA is supplied along with a special version of the
RTU that contains the required data interface. The packet data service
makes use of the HPNA standard to multiplex the data onto `line 0' of the
telephone wires. The RDA connects to the subscriber's personal computer.
The Integrated Transceiver System (ITS)
One or more ITSs form the basis of the radio base-station and have been
designed to serve an area of up to 5km radius in a typical urban
environment and up to 20km in a rural environment.
Voice band circuits from the ITS are connected to the switch by means of E1
links running a V5.2 protocol. The packet data service is also routed over
E1 links to the service gateway using L2TP (layer 2 tunnel protocol). The
ITS can route any slot from the `circuit' E1s to any slot on the airside
interface.
In principle, an ITS can be provisioned as a 3, 6, 9, 12, 15 or 18 bearer
configuration. RBS configurations specifically supported by installation
and maintenance processes provide tri-sectored configurations with 18 or
27(1) RF carriers, or a tri/hex-sectored RBS with 48 RF carriers. The
27-carrier configurations require the use of two ITSs, and the 48-carrier
configuration requires the use of three ITSs. The 48 bearer base-station is
designed to provide coverage in two `RF layers', the first layer allowing a
frequency re-use of one to be employed whilst a more conservative frequency
plan is used in the other layer. Service to the individual RSS can be
switched between these two layers depending on the interference environment
experienced at that RSS.
Radio Element Manager (REM)
The Radio Element Manger (REM) is a high performance, high capacity
management system and is used to perform the Operation, Administration,
Maintenance and Provisioning (OAM&P) procedures for the Internet FWA
network. One REM can manage up to 200 ITSs and 150,000lines. The REM is
primarily composed of a server platform, a client platform, additional user
PCs and a Network Communications Server. Their respective purposes are
described below. The REM supports a total of 4 expert and 4 standard user
sessions.
The REM server performs all provisioning related, object-related, event and
alarm related processing, together with some of the GUI processing.
Further, the server stores all object, event and alarm related data and
state. As such, the majority of REM software executes on the server. The
server also interfaces directly to a customer's High Level Management
System (HLMS) for subscriber provisioning.
----------
1 In the Axtel application, the 27 bearer base-stations generally provide
only 26 bearers due to limited availability of RF channels.
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The REM Client primarily acts as the host platform for the additional user
GUI screens. It provides some of the GUI processing, and acts as a platform
on which additional user scripts run.
PCs running Exceed software connect with the REM client to allow access for
additional users.
The Network Communication Server (NCS) is an integrated terminal server and
modem unit, which provides a connectivity solution from the REM to its
network of ITSs. It also provides connectivity to the Remote Maintenance
Terminal that is used during the subscriber hardware installation.
Field engineering terminal (FET)
The installing engineer will use this equipment during installation and
commissioning of Base-station equipment. The FET application runs on a PC
platform using a LINUX operating system. The FET is intended to connect
locally into an ITS and allows control of the ITS as well as access to
status information. Each FET requires a license key to enable operation and
these are available from Nortel Networks.
RSS Installation system (RIS)
The installing engineer will use this equipment to control the RSS during
installation, to aid antenna alignment to the Base Station, to measure the
performance of the RF link and to enable the connection. The primary
component of the RIS is the Remote Maintenance Terminal (RMT).
2.1.3 External interfaces
The physical layer external interfaces of the Internet FWA system are:
o Analogue line interface at the RSS
o Packet data interface at the RSS
o A.C. power interface at the RSS
o PCM (E1) interface at the RBS
o Packet data (E1) interface at the RBS
o D.C. power interface at the RBS
o External alarm interface at the RBS
o Analogue line interface at the RIS. This is used to connect the RMT to
the REM to download provisioning data.
o Analogue line interface at the REM
o Ethernet interface at the REM. This is used to connect the REM to
higher-layer operations systems.
2.2 Physical characteristics
2.2.1 RSS transceiver unit (RTU)
2.2.1.1 Mechanical
Length/width: 300 mm (octagonal, measured between flat faces)
Depth: 90 mm excluding mounting brackets
Mass: 2.5 kg.
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2.2.1.2 Environmental
Ambient temperature: -40 C to +50 C
Solar radiation: <= 1120 W/m2
Relative humidity: 5% to 100%
H2.2.2 RSS power and connection unit (RPCU)
2.2.2.1 Mechanical
Length: 210 mm
Width: 135 mm
Depth: 41 mm
Mass: 2.0 kg including battery
2.2.2.2 Electrical
Input voltage: 85 V to 270 V RMS
Input frequency: 45 Hz to 70 Hz
2.2.2.3 Environmental
Ambient temperature: -5 C to +45 C
Relative humidity 5% to 100%
2.2.3 RSS data adaptor (RDA)
2.2.3.1 Mechanical
Length: 165 mm
Width: 125 mm
Depth: 28 mm
Mass: 250 g
2.2.3.2 Environmental
Ambient temperature: -5C to +45C
Relative humidity: 5% to 100%
2.2.4 Integrated transceiver system (ITS) indoor equipment
2.2.4.1 Mechanical
Width: 600mm
Height and depth (1 metre cabinet): 1000 mm x 300 mm
2.2.4.2 Environmental
Ambient temperature: 0 C to +45 C
Solar radiation: <= 700 W/m2
Relative humidity: 5% to 95%
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2.2.5 Integrated transceiver system (ITS) masthead equipment
2.2.5.1 Mechanical (TMU)
Height: 600 mm
Width: 450 mm
Depth: 200 mm
Mass: <= 30 kg
2.2.5.2 Environmental
Ambient temperature: -40 C to +50 C
Solar radiation: <= 1120 W/m2
Relative humidity: 5% to 100%
2.3 Radio system
2.3.1 General description of the air interface
2.3.1.1 Physical layer
The physical layer of the Internet FWA air interface uses digital time
division multiplex/time division multiple access (TDM/TDMA) with a 10-slot
frame structure. Uplink and downlink carriers are paired, and separated by
a fixed duplex spacing of 99.84MHz. A TDM/TDMA channel (i.e. one time-slot
one on one RF carrier) is known as a physical channel. In the maximum
configuration, one ITS provides 18 pairs of RF carriers, and 180 physical
channels.
The uplink carriers are contained within the frequency band 3425 MHz to
3450 MHz, and the downlink carriers are contained within the frequency band
3525 MHz to 3550 MHz.
The modulation scheme for both the uplink and downlink direction is pi/4
shifted differential quadrature phase shift keying ((pi)/4DQPSK) with a
nominal symbol rate of 256,000 symbols/s. The gross data rate is 512
kbits/s per carrier.
Reserved channels are used to allow contention access by terminals. These
access channels are not available for carrying subscribers' voice or data
traffic.
2.3.1.2 Channel plan
The Internet FWA system operates over 78 RF channels, with a nominal
channel spacing of 307.2 kHz. The lowest uplink channel (Ch. 2) has a
nominal centre frequency of 3425.8944 MHz. The highest downlink channel
(Ch. 79) has a nominal centre frequency of 3549.3888 MHz. The fixed duplex
spacing is equivalent to 325 times the channel spacing.
2.3.1.3 MAC layer for PSTN traffic
One physical channel is capable of carrying a single 32 kbit/s ADPCM
circuit-switched connection, or one half of a 64 kbit/s PCM
circuit-switched connection.
2.3.1.4 MAC layer for the Packet data service
Physical channels can be allocated in groups of six to carry packet-mode
traffic. One group of six physical channels is described as a packet
channel.
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2.3.2 RF performance of the ITS equipment
2.3.2.1 Maximum transmit power
The maximum transmit power from the ITS is not less than 28 dBm for each
carrier, measured at the antenna port of the TMU.
2.3.2.2 Transmitter implementation loss
The transmitted signal from the ITS is a close approximation to an ideal
(pi)/4DQPSK signal. The additional carrier to noise margin required to
demodulate the practical transmitted signal, compared to an ideal signal is
less than 1 dB.
2.3.2.3 Spectrum due to modulation
The spectrum due to modulation at the output of the ITS is as follows:
---------------------- ----------------------------------------------------
Channel Mean power (dBc)
---------------------- ----------------------------------------------------
N 0 dBc (by definition)
N +/- 1 <= -24.5 dBc
N +/- 2 <= -40 dBc
N +/- 3 <= -50 dBc
Any other channel <= -60 dBc or -60 dBm (whichever is greater)
---------------------- ----------------------------------------------------
The mean power is measured using an ideal receiver with root-raised-cosine
filtering with transition factor ((alpha)) = 0.4, and with the receiver
tuned to the centre of the appropriate adjacent channel.
2.3.2.4 Minimum receiver sensitivity
The receiver sensitivity for the ITS is not greater than -101.5 dBm,
measured at the antenna port of the TMU, for a bit error ratio (BER) of
10-3 before forward error correction. This measurement assumes an ideal
transmitter.
2.3.2.5 Receiver selectivity
The ITS receiver selectivity is specified in terms of the level of
interfering signal consistent with a bit error ratio (BER) for the wanted
signal of less than 10-3 before FEC. The interfering signal is assumed to
be from a signal source with the ideal characteristics of the Internet FWA
radio system, centered on the applicable adjacent channel. The wanted
signal is assumed to be from a similar ideal source and set at a level 3 dB
greater than the level required for BER = 10-3 in the absence of
interference. The carrier to interference levels are as follows:
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---------------------- ---------------------------------------------------
Channel Carrier/Interference ratio for BER = 10-3
---------------------- ---------------------------------------------------
N <= 14.4 dB
N +/- 1 <= -15.5 dB
N +/- 2 <= -58.5 dB
Any other channel <= -84.5 dBc
---------------------- ---------------------------------------------------
2.3.3 RF performance of the RSS equipment
2.3.3.1 Maximum transmit power
The maximum transmit power from the RSS is not less than 44.5 dBm EIRP in
RF channels 8 to 73 inclusive, and not less than 41.5 dBm EIRP in the
remaining channels. This transmit power specification applies to the
complete RTU including the antenna.
2.3.3.2 Transmitter implementation loss
The transmitted signal from the RSS is a close approximation to an ideal
(pi)/4DQPSK signal. The additional carrier to noise margin required to
demodulate the practical transmitted signal, compared to an ideal signal is
less than 1 dB.
2.3.3.3 Spectrum due to modulation
The spectrum due to modulation at the output of the RSS is as follows:
-------------------------------- -------------------------------
Channel Mean power (dBc)
-------------------------------- -------------------------------
N 0 dBc (by definition)
N +/- 1 <= -24.5 dBc
N +/- 2 <= -40 dBc
N +/- 3 <= -50 dBc
Any other channel <= -60 dBc
-------------------------------- -------------------------------
The mean power is measured using an ideal receiver with root-raised-cosine
filtering with transition factor ((alpha)) = 0.4, and with the receiver
tuned to the centre of the appropriate adjacent channel. The measured power
is averaged over duration of the time-slot containing the uplink
transmission.
2.3.3.4 Minimum receiver sensitivity
The receiver sensitivity for the RSS is not greater than -102 dBm in RF
channels 8 to 73 inclusive, and not greater than -101.5 dBm in the
remaining channels. The received signal is
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measured at the connector of the RTU antenna, for a bit error ratio (BER)
of 10-3 before forward error correction. This measurement assumes an ideal
transmitter.
2.3.3.5 Receiver selectivity
The RSS receiver selectivity is specified in terms of the level of
interfering signal consistent with a bit error ratio (BER) for the wanted
signal of less than 10-3 before FEC. The interfering signal is assumed to
be from a signal source with the ideal characteristics of the Internet FWA
radio system, centered on the applicable adjacent channel. The wanted
signal is assumed to be from a similar ideal source and set at a level 3 dB
greater than the level required for BER = 10-3 in the absence of
interference. The carrier to interference levels are as follows:
--------------------------- -----------------------------------------------
Channel Carrier/Interference ratio for BER = 10-3
--------------------------- -----------------------------------------------
N <= 14.4 dB
N +/- 1 <= -10.2 dB
N +/- 2 <= -25.6 dB
N +/- 3 <= -32.6 dB
N +/- 4 <= -35.6 dB
N +/- 5 <= -58.6 dB
Any other channel Blocking specification applies
--------------------------- -----------------------------------------------
2.3.3.6 RSS receiver dynamic range
The dynamic range of the RSS receiver is from the limit of sensitivity to
-20 dBm, measured at the antenna connector of the RTU. Over this dynamic
range the BER of the received signal (measured before forward error
correction) is not greater than 10-3.
2.3.3.7 RSS antenna gain
The gain of the RSS antenna is between 18 dBi and 22 dBi at the peak of the
response. The nominal beamwidth is 14 degrees (i.e. +/- 7 degrees). The
rejection of cross-polar signals in the main antenna response is not less
than 20 dB compared to a co-polar signal of identical level. The maximum
level of side-lobe responses is 3 dBi, and this limit applies at azimuth
angles from 22 degrees to 338 degrees with respect to the peak response.
2.3.4 Automatic power control
To minimise interference in the network, the system incorporates automatic
uplink RF power control whereby the ITS attempts to maintain a constant
received signal strength (RSSI) of -80dBm for each active call or packet
connection. If the RSSI strays from this target, the ITS will send a
message to the appropriate RSS requesting an appropriate modification to
the uplink RF power. The ITS normally integrates the RSSI over a 30s period
before deciding whether an adjustment is required although there is a
faster attack period at the start of a call or packet connection. At the
end of a call or connection, the RSS calculates a new RF power that will be
used to initiate the next call or connection on the same RF channel.
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To maintain an appropriate initial uplink RF power level during extended
periods of call inactivity, network test calls are automatically scheduled
to each RSS on each of its operating channels. Just as is the case for
normal calls, the uplink RF power is adjusted appropriately at the end of a
network test call. The scheduling period is normally set to 23 hours.
2.3.5 Combining diversity
In ITS configurations with 2 or more TMUs per sector, the system is
configured to execute two-path maximum ratio combining in the uplink. The
implementation of this feature delivers the theoretical benefit of maximum
ratio combining with less than 1 dB implementation loss.
The TMU receiver is wideband and covers all of the uplink spectrum. This
means that the IF signals from 2 TMUs in the same sector differ only by
virtue of being received from 2 physically separated antennas. The two I.F
signals are fed to separate arms of each receiver pair of every TBM in the
sector. The TBM hosts three such receiver pairs where each pair is
configured to an appropriate channel. The maximum ratio combining algorithm
is executed independently on each receiver pair.
2.3.6 Dynamic carrier list management
Dynamic carrier list management feature allows each RSS to modify the
classification of individual RF carriers in response to periodic
measurements of the received (downlink) signal. Each RSS notifies the ITS
of changes in carrier classification, allowing the ITS to allocate channels
with a priority reflecting the recent quality of downlink carriers. This
feature has proven to be effective in combating the effects of static
frequency-selective fading, and minimizing the impact of downlink radio
interference from nearby RBSs in the same network. This feature is
extremely valuable in networks where tri-sector and tri/hex-sector RBSs are
built in adjacent or nearby cells.
2.4 Equipment configurations
2.4.1 RBS configurations
RBS configurations that can be constructed using SR14 consist of one, two
or three ITSs. The table below lists the configurations that can be used.
------------------------------------------- ------------------ --------- ---------- ------------
Base station configuration ITS sector Circuit- Packet- Maximum
organisation switched switched number of
E1s E1s E1
connections
------------------------------------------- ------------------ --------- ---------- ------------
18-carrier, tri-sector, Type I 6.6.6 6 0, 2 8
------------------------------------------- ------------------ --------- ---------- ------------
26-carrier, tri-sector, Type II 6.6.5 6 0, 2 11
------------------------------------------- ------------------ --------- ---------- ------------
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------------------------------------------- ------------------ --------- ---------- ------------
Base station configuration ITS sector Circuit- Packet- Maximum
organisation switched switched number of
E1s E1s E1
connections
------------------------------------------- ------------------ --------- ---------- ------------
3.3.3 3 0
------------------------------------------- ------------------ --------- ---------- ------------
26-carrier, tri-sector, Type III 9.8 6 0, 2 13
------------------------------------------- ------------------ --------- ---------- ------------
9 3 0, 2
------------------------------------------- ------------------ --------- ---------- ------------
26-carrier, tri-sector, Type IV 9.9 6 0, 2 13
------------------------------------------- ------------------ --------- ---------- ------------
8 3 0, 2
------------------------------------------- ------------------ --------- ---------- ------------
27-carrier, tri-sector, Type I 6.6.6 6 0, 2 11
------------------------------------------- ------------------ --------- ---------- ------------
3.3.3 3 0
------------------------------------------- ------------------ --------- ---------- ------------
27-carrier, tri-sector, Type II 9.9 6 0, 2 13
------------------------------------------- ------------------ --------- ---------- ------------
9 3 0, 2
------------------------------------------- ------------------ --------- ---------- ------------
48-carrier, tri/hex-sector 6.6.4 5 0, 2 21
------------------------------------------- ------------------ --------- ---------- ------------
6.6.4 5 0, 2
------------------------------------------- ------------------ --------- ---------- ------------
6.6.4 5 0, 2
------------------------------------------- ------------------ --------- ---------- ------------
The column `ITS sector organization' denotes the number of RF carriers than
are enabled in each sector. No relationship is implied between the position
of the elements of this list and the numbering of ITS sectors; thus a
sector organization of 6.6.5 applies equally to configurations where the
five-carrier sector is ITS sector 1, 2 or 3.
The tri/hex configuration is described as 6.6.4. The six-carrier sectors
are associated with the hex-sectored antennas, and the four-carrier sector
is associated with the tri-sectored antennas. By default, the tri-sector is
ITS sector 1.
The following rules apply:
o Where PDS is required at an ITS, two TPM-PDs must be fitted.
o Each TPM requires one E1 connection between the ITS and the local
exchange.
o Each TPM-PD requires one E1 connection between the ITS and the service
gateway.
Some of the base station configurations make use of more than one ITS. PDS
can be enabled or disabled on a `per-ITS' basis, and so it is possible to
create a multi-ITS configuration where only one or two of the ITSs has PDS
enabled.
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2.4.2 PSTN traffic capacity
The PSTN traffic capacity of the supported RBS configurations is detailed
in the table below. Note these figures apply where PDS is not provided; the
PSTN capacity of an ITS with PDS is necessarily lower.
---------------------------------------------- -------------------------------------------------
Base station configuration Reference capacity (E)
---------------------------------------------- -------------------------------------------------
Soft sector = 0% Soft sector = 10%
---------------------------------------------- ----------------------- -------------------------
18-carrier, tri-sector, Type I 135.4 146.9
---------------------------------------------- ----------------------- -------------------------
26-carrier, tri-sector, Type III & IV 209.1 210.0
---------------------------------------------- ----------------------- -------------------------
27-carrier, tri-sector, Type II 218.4 220.0
---------------------------------------------- ----------------------- -------------------------
48-carrier, tri/hex-sector 376.0 376.0
---------------------------------------------- ----------------------- -------------------------
The reference capacity is defined as the capacity at 1% probability of
blocking for long ADPCM calls, with the optimum distribution of traffic
loading between ITS sectors.
The soft-sector capacity assumes that 10% of the traffic loading arises
from subscribers in the overlap regions between sectors, and that the
soft-sectored load is distributed evenly between three overlap regions
(3.3% of the total load in each overlap). In 26-carrier RBSs of type III
and IV, and 27-carrier RBSs of type II, there is only one overlap region
where a benefit is derived from soft sectoring; in these cases, the
capacity gain is relatively small. In the tri/hex-sectored ITS,
soft-sectoring is not enabled between hex-sectors.
One ITS with V5.2 interface can support a maximum of 2048 PSTN lines, and a
maximum of 2048 RSSs.
2.4.3 Packet data traffic capacity
2.4.3.1 Number of packet channels at an ITS
Packet channels at an ITS can be configured subject to the following rules:
o Packet data can be supported by ITSs with sector arrangement 6.6.6,
6.6.5, 8, 9, 9.8, 9.9, 6.6.4 (tri/hex)
o All packet channels consist of 6 physical channel pairs
o An ITS that supports PDS has two TPM-PDs
o One TPM-PD may support zero to four packet channels inclusive
o One ITS supports a maximum of 36 physical channels (i.e. six packet
channels)
o The largest packet partition allowed in one sector is three packet
channels
o In bi-sector or tri-sector ITSs, if the ITS provides PDS then each
sector must have at least one packet channel
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o In a tri-sector ITS, the sum of the number of packet channels in the
smallest two packet partitions must not exceed four. This ensures that
sectors will not be split across TPM-PDs.
2.4.3.2 Number of simultaneous PPP and MAC connections
The packet data service supports a maximum of:
o 700 packet data subscribers per ITS
o 700 simultaneous PPP connections per ITS
o 25 simultaneous active MAC connections per packet channel
o 60 simultaneous active MAC connections per TPM-PD
o 110 simultaneous active MAC connections per ITS
2.4.3.3 Traffic capacity of a packet channel
Each packet channel (consisting of six physical channels) provides a shared
channel with an aggregate capacity for users' packet data traffic of not
less than 192 kbps in the downlink direction, and not less than 84 kbps in
the uplink direction. PPP, TCP and IP headers applied at the users'
computers are assumed to form part of the useful throughput.
2.4.3.4 Peak throughput for a single PDS user
The peak throughput for a single user is approximately 96 kbps in the
downlink direction (using the USB interface) and approximately 92 kbps in
the downlink direction (using the RS-232 interface). The peak throughput
for a single user is approximately 42 kbps in the uplink direction.
Note that these are peak figures, and apply when the user has exclusive use
of three physical channels. In normal operation, the packet channel
capacity is shared between a number of users, and mean throughput figures
for individual users will be lower than these peak values. The operator
must ensure that sufficient packet channels are configured to offer
reasonable quality of service to packet data subscribers.
2.4.3.5 Reduction in PSTN capacity
The remaining PSTN traffic capacity at an RBS with packet data service is
defined in the following table. These figures assume that 10% of the
offered traffic is from soft-sectored terminals.
-------------------------------------- ------------------------------------
Base station configuration Reference capacity (E)
-------------------------------------- ------------------------------------
One packet channel in Two packet channels in
each sector each sector
-------------------------------------- ----------------------- ------------
26-carrier, tri-sector, Type III & IV 194.0 178.0
-------------------------------------- ----------------------- ------------
48-carrier, tri/hex-sector 327.0 279.0
-------------------------------------- ----------------------- ------------
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2.5 External interfaces
2.5.1 ITS to transmission system
The interface between the ITS and the transmission system is defined by
ITU-T G.703 11/2001, `Physical/electrical characteristics of hierarchical
digital interfaces'. Only the interface at 2048 kbit/s is supported in
Internet FWA.
As an additional requirement, Internet FWA requires that the long-term
frequency accuracy of the E1 signal from the transmission system is better
than 10-7 (0.1 ppm). Transmission equipment does not normally re-time
digital traffic, and so this frequency accuracy is usually dependent on
correct configuration of the local exchange (for PSTN connections) or the
packet data network.
Internet FWA complies with ITU-T G.823, `The control of jitter and wander
within digital networks which are based on the 2048 kbit/s hierarchy'.
2.5.2 ITS to local exchange
The framing structure of the signal between the ITS and the local exchange
is defined by ITU-T G.704 10/1998, `Synchronous frame structures used at
1544, 6312, 2048, 8448 and 44 736 kbit/s hierarchical levels', and ITU-T
G.706 04/1991, `Frame alignment and cyclic redundancy check (CRC)
procedures relating to basic frame structures defined in Recommendation
G.704'.
The voice coding for circuit-switched traffic complies with ITU-T G.711
11/1988, `Pulse code modulation (PCM) of voice frequencies'.
Signaling between the ITS and the local exchange uses the V5.2 protocol,
defined in the ETSI V5.1 Specification ETS 300 324-1, V 1.2.2,
`V-Interfaces at the digital local exchange (LE) - V5.1-Interface (based on
2048 kbit/s) for the support of access network (AN)', and ETSI V5.2
Specification ETS 300 347-1, V 2.1.2, `V-interfaces at the digital local
exchange (LE) - V5.2 interface (based on 2048 kbit/s) for the support of
access network (AN)'. Only requirements for PSTN services apply to Internet
FWA.
2.5.3 ITS to packet data network
Internet FWA requires that the E1 signal from the packet data network must
comply with the framing structure defined in ITU-T G.704 (see above for a
detailed reference). Time-slot zero contains a frame synchronization
signal, and the remaining 31 time-slots are joined together to provide a
connection with an aggregate capacity of 1984 kbit/s.
The layer-2 tunnel between the ITS and the packet data network uses a
protocol stack consisting of the point-to-point protocol (PPP), Internet
protocol (IP), user datagram protocol (UDP) and the layer-2 tunneling
protocol (L2TP). These protocols are defined as follows:
o PPP: Internet engineering task force (IETF) STD 51, `The point to
point protocol'
o IP: IETF RFC 791, `Internet protocol'
o UDP: IETF RFC 768, `User datagram protocol'
o L2TP: IETF ▇▇▇ ▇▇▇▇, `Layer two tunnelling protocol (L2TP)'
2.5.4 RDA to PC
The RDA provides a choice of two different serial data standards at the
PC-RDA interface:
Page 14
Annex D -Product Specifications
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
o Asynchronous serial interface (commonly known as RS-232) as defined in
ANSI/TIA/EIA-232-F-1997, Interface Between Data Terminal Equipment and
Data Circuit-Terminating Equipment Employing Serial Binary Data
Interchange, and
o Universal Serial Bus (USB), using the `full-speed' option, as defined
in Universal Serial Bus specification, Rev. 1.1 and USB class
definitions for communications devices, Rev. 1.0.
2.6 Additional Specifications
In addition to the Product's Specifications set forth in this Annex D, the
Parties agree to include as part of this Annex D the Product's
Specifications that will be set forth in the Compact Discs to be named as:
(i) Internet Fixed Wireless Access, MR 14.0.3 "Customer Documentation
Suite" and (ii) Internet Fixed Wireless Access, Maintenance Release MR
14.0.3 System Line Up that will be delivered with MR14.03 in February 2003.
Page 15
Annex E
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
Annex E
FWA Order Procedure
Annex E
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
ORDER PROCEDURE
1 Purchase Order Procedure for other than FWA Equipment Annual Minimum Order
Commitments
Nortel Networks and Axtel agree that a Purchase Order must be issued and
delivered in order to proceed with the supply of any Product or Service for the
purposes of this Agreement.
The Purchase Order will be issued either according to prices established in
Annex F- Prices of this Agreement or according to a specific quotation provided
by Nortel Networks for those cases in which the prices are not stated in such
Annex. Nortel Networks is not obliged to quote or deliver any service or
material not included in Annex C - Description of Products.
1.1 Request for Quotation
Applicable for Products and Services not included in Annex C - Description of
Products. Axtel will request the quotation in writing in a mutually agreed
format and containing the following minimum information:
a) Supplier Part or Service Number if available
b) Manufacturer Part Number if different to supplier
c) Part or Service Description d) Quantity
e) Unit of Measure
f) Requested Deliver Time or Date
g) Delivery Location when applicable
1.2 Delivery of quotation by supplier
Nortel Networks will deliver the quotation in accordance with the terms set
forth below.
The quotation will be submitted to Axtel's Purchasing Department and
Strategic Negotiations Department in writing within a reasonable period of time,
depending on the complexity of the quote referred, duly signed by Supplier Sales
Representative and containing the following information:
a) Supplier Quotation Number
b) Supplier Part or Service Number
c) Manufacturer Part Number if different to Supplier's
d) Part or Service Description
e) Quantities
f) Unit of Measure
g) Unit Price as defined in Annex F of the Agreement
Page 2
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--------------------------------------------------------------------------------
h) Extended Price
i) Warranty Terms and Conditions if applicable
j) Payment Terms
k) Expiration Date
l) Delivery Time per Item
m) Delivery Site or Delivery Location when applicable
n) Agreement Name
1.3 Submission of Purchase Orders - General
Customer will submit the Purchase Order in accordance with the terms set forth
below
Purchase Orders shall be submitted in a mutually agreed format or media to the
Nortel Commercial Representative, duly signed by an authorized Axtel
representative and containing the following minimum information:
a) Purchase Order Number
b) Purchase Order Date
c) Supplier Quotation Number if applicable
d) Requested Delivery Date per each item
e) Supplier Part or Service Number as per Annex C or quotation
f) Manufacturer Part Number if different to Supplier when applicable
g) Part or Service Description
h) Quantities per each item
i) Unit of Measure
j) Unit Price as defined in Annex F of the Agreement
k) Extended Price
l) Billing Instructions
m) Payment Terms as per signed Agreement
n) Shipping Instructions and Delivery Location
o) Agreement Name
p) Wording expressing "Purchase Order 100% binding and non-cancelable"
q) Wording referencing Terms and Conditions to Agreement signed
r) Special wording when applicable
Nortel shall acknowledge receipt in writing of the Purchase Order within five
(5) business days after received.
Nortel shall accept such Purchase Order in accordance with the terms set forth
in Section 2 of the Agreement.
Page 3
Annex E
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
1.4 Address and Times for Submission of Purchase Orders
Purchase Orders shall be submitted to Nortel Commercial Representative at the
following address:
Nortel Networks
▇▇. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇-▇
Col. Santa ▇▇▇▇▇▇▇▇
San ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇, N. L.
C.P. 66267
During the following hours:
Solely working weekdays (Monday to Friday) from 9:00hr to 13:00hr and
14:00hr to 17:00hrs local time
In the event of changing the address, Nortel will advise Axtel
2 FWA Product Lead Times
Product lead times are indicated in Annex J .
For Purchase Orders specifying CIP Incoterm conditions, Delivery will be at a
Nortel Networks location in Texas.
2.1 Product Delivery
Within three business days after Final Ship Date:
a) Customer's freight representative shall collect the products at the
Nortel Networks factory and shall sign the corresponding Freight ▇▇▇▇
which will constitute the sole Proof of Delivery (the "Product
Delivery").
b) If, for whatever reason, the customer's freight representative does
not collect the products within the aforementioned period of three
business days, Delivery of the products shall be deemed 100% complete
(the "Product Delivery"). In such case, Proof of Delivery shall be the
unsigned Freight ▇▇▇▇.
3 Purchase Order for FWA Equipment Annual Minimum Order Commitments
In the case of Purchase Orders for the annual minimum order amount (AMOA) as set
forth in Annex H Purchase Commitment for RSS Equipment and Base Station Units,
Purchaser shall submit, on or before December 15 of each year, and dated as of
the date of such submission, separate Purchase Orders relating to the minimum
order commitments for the succeeding calendar year. In the case of RSS's, the
Purchaser shall submit four (4) separate Purchase Orders, each for one fourth
(1/4) of the annual minimum commitment, relating to the four calendar quarters
of the succeeding calendar year. In the case of Base Stations, the Purchaser
shall submit one (1) Purchase
Page 4
Annex E
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--------------------------------------------------------------------------------
Order for the total annual minimum commitment for such calendar year. Vendor
shall accept such Purchase Orders within 10 business days after delivery thereof
if such Purchase Orders are in compliance with the FWA Equipment Agreement
(prices and descriptions), no additional terms and conditions have been imposed.
The payment terms for those Purchase Order are set forth in the Agreement.
4 Invoicing
4.1 Product Invoicing
Nortel Networks will submit the invoice in accordance with the terms set forth
in Section 5 of the Agreement.
Within the next five (5) business days after the delivery by Customer to Nortel
Networks of a Purchase Order which is in compliance with Section 2 of this
Contract, Nortel Networks shall deliver to Customer an invoice for one hundred
percent (100%) of the purchase price of such Order.
Nortel Networks' original invoices will be delivered to Axtel's Accounts Payable
department with a copy to the Axtel Purchasing representative. Axtel will
immediately acknowledge receipt of invoices by stamping a copy as "received" and
returning it to Nortel Networks.
4.2 Services Invoicing
Nortel Networks shall invoice Customer in accordance with section 5 of the
Agreement.
4.3 Invoicing General
All invoices shall be issued containing the following minimum information and
requirements:
a) Official name and address of Axtel as follows: Axtel S.A. de C.V.
Blvd. ▇▇▇▇ ▇▇▇▇▇ Km. 3.33 L-1 Col . Unidad San ▇▇▇▇▇ San ▇▇▇▇▇
▇▇▇▇▇ ▇▇▇▇▇▇, ▇.▇.
Mexico 66215
RFC: ▇▇▇-940727-FP8
b) Purchase Order Number (s)
c) Invoice Number
d) Invoice date
e) Supplier Quotation Number if applicable
f) Supplier Part or Service Number if applicable
g) Manufacturer Part Number if different to Supplier when applicable
Page 5
Annex E
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
h) Part or Service Description
i) Quantities per each item
j) Unit of Measure
k) Unit Price for Equipment or Services.
l) Extended Price for Equipment or Services.
m) Payment Terms
n) Delivery Location for Services when applicable
o) Agreement Name
p) Supplier Name and Address
q) Service Acceptance Number if applicable.
5 Equipment Shipping Instructions, Shipping Documents and Goods Receipt.
All shipments should be consigned according to the Purchase Order or Change
Order.
Nortel Networks should submit a copy of the following documentation via fax to
Axtel's Purchasing Department immediately after Delivery.
o Proof of Delivery
o Packing List including equipment serial number when applicable
o Certificate of Origin (NAFTA Certificate, if it applies)
o Copy of Original Invoice
For purposes of the Agreement, the Delivery Date of the products shall be deemed
the date on which Nortel Networks delivers via fax to Axtel the documents
mentioned above.
A copy of the following documentation should be attached to the shipment:
o Copy of Original Invoice
o Packing List with product serial number when applicable
o Certificate of Origin (NAFTA Certificate, if it applies)
During the following ten (10) days after Delivery Date, Axtel shall issue a
Goods Receipt document that shall contain at least the following information:
o Document Date
o Purchase Order Number (s)
o Invoice Number(s)
o Delivery Date
o Acceptance Note and Goods Receipt Number (if applicable)
o Refusal Note describing the reasons in writing (if applicable) in
accordance with the terms of the Agreement
If after ten (10) days from Delivery Date, Axtel has not delivered to Nortel
Networks such Goods Receipt document, it will be deemed that Axtel has accepted
the shipment and it will be deemed that there are no Non-Compliant products in
such shipment.
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--------------------------------------------------------------------------------
6 Services Acceptance
In the event of Services, during the following five (5) Business Days after
completion of the Services by Supplier, Axtel shall issue a Service Acceptance
Notification to Supplier that should contain at least the following information:
o Document Date
o Purchase Order Number
o Date of Service Completion
o Acceptance Note and Service Acceptance Number (if applicable)
o Refusal Note describing the reasons in writing (if applicable)
If after five (5) Business Days, Axtel has not delivered to Nortel Networks such
Service Acceptance Notification, it will be deemed that Axtel has accepted the
provided Services and Nortel Networks will invoice Axtel.
7 Payments Procedure
7.1 Product Payments
Axtel shall make the payment of the seventy percent (70%) of the purchase price
set forth in the corresponding Purchase Order and according with terms and
conditions established in Section 5 of the Agreement.
Payment of the remaining thirty percent (30%), shall be made by Axtel within ten
(10) days of the Delivery Date.
7.2 Services Payments
Amounts are due upon receipt of invoice and shall be paid by Axtel within thirty
(30) days after its receipt by Axtel.
Page 7
Annex F - Prices
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
Annex F
FWA Prices
Annex F - Prices
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
Annex F
FWA Prices
1.0 Document Scope.
This document details the definition and pricing of the FWA equipment to be
supplied by Nortel Networks to AXtel as per the "FWA Supply Agreement". All
prices are in US dollars. CIP for RSS & RIS are quoted as @ Nortel Networks
American consolidation warehouse for Mexico (currently Texas, USA). Ex-works
terms for RBS & FET are quoted @ Nortel Networks RBS manufacturing site
(currently Calgary, Canada) and Ex-works terms for REM are quoted @ Nortel
Networks REM integration site (currently Maidenhead, England).
2.0 Customer Premise Equipment Kits.
CPE quantities in excess of 35,000 units ordered within a calendar year will
benefit from a volume related price reduction of $25.00 per unit with respect to
this price list.
2.1 Customer Premise Equipment Kits (CPE).
An F2 RSS Kit is defined as follows:
-------------------- ------------------------------------------------ ------- -------------------
PEC Description Qty. Ext. Price CIP USD
-------------------- ------------------------------------------------ ------- -------------------
NTEG17DA F2 ▇▇▇ ▇
-------------------- ------------------------------------------------ ------- -------------------
NTEG12FA RPCU 1
-------------------- ------------------------------------------------ ------- -------------------
A0636762 RPCU Battery 1
-------------------- ------------------------------------------------ ------- -------------------
NTEG12CL RPCU Power Cord 1
-------------------- ------------------------------------------------ ------- -------------------
NTEG12FB RPCU Safety Booklet 1
-------------------- ------------------------------------------------ ------- -------------------
NTEG99JE Drop Cable (500M) 0.04
-------------------- ------------------------------------------------ ------- -------------------
NTEG99GR Drop Cable Connector (50) 0.02
-------------------- ------------------------------------------------ ------- -------------------
NTEG99CZ Drop Cable Connector Pins (500) 0.02
-------------------- ------------------------------------------------ ------- -------------------
$381.14
----------------------------------------------------------------------------- -------------------
An F5 RSS Kit is defined as follows:
-------------------- ------------------------------------------------ ------- -------------------
PEC Description Qty. Ext. Price CIP USD
-------------------- ------------------------------------------------ ------- -------------------
NTEG18DA F5 ▇▇▇ ▇
-------------------- ------------------------------------------------ ------- -------------------
NTEG18FA RDA Kit 1
-------------------- ------------------------------------------------ ------- -------------------
NTEG12FA RPCU 1
-------------------- ------------------------------------------------ ------- -------------------
A0636762 RPCU Battery 1
-------------------- ------------------------------------------------ ------- -------------------
NTEG12CL RPCU Power Cord 1
-------------------- ------------------------------------------------ ------- -------------------
NTEG12FB RPCU Safety Booklet 1
-------------------- ------------------------------------------------ ------- -------------------
NTEG99JE Drop Cable (500m) 0.04
-------------------- ------------------------------------------------ ------- -------------------
NTEG99GR Drop Cable Connector (50) 0.02
-------------------- ------------------------------------------------ ------- -------------------
NTEG99CZ Drop Cable Connector Pins (500) 0.02
----------------------------------------------------------------------------- -------------------
$570.77
----------------------------------------------------------------------------- -------------------
Page 2
Annex F - Prices
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
2.2 Installation Brackets for F5 & F2 RSS.
Compact Mounting Bracket
-------------------- ------------------------------------------------ ------- -------------------
PEC Description Qty. Ext. Price CIP USD
-------------------- ------------------------------------------------ ------- -------------------
NTEG19AJ Compact Mounting Bracket (10) 1
-------------------- ------------------------------------------------ -------
NTEG99DC Mounting Coach Screw (200) 0.015
-------------------- ------------------------------------------------ -------
NTEG99DD Washer M8 (200) 0.015
-------------------- ------------------------------------------------ -------
NTEG99DE Frame Fixing(200) 0.015
-------------------- ------------------------------------------------ ------- -------------------
$7.35
-------------------- ------------------------------------------------ ------- -------------------
3.0 Radio Basestation Kits
Discrete Radio Basestation Configurations.
The following configurations and the associated pricing are representative of a
typical installation. Specific installations may require variations on these
definitions for which the vendor will provide revised pricing quotations at that
time.
------------------- --------------------------- ---------------- ----------------- -------------------
PEC Description 18b RBS 27b RBS 48b RBS
------------------- --------------------------- ---------------- ----------------- -------------------
NTED4575 Transceiver Processor 5 7 12
Module
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG72AD Transceiver Baseband 5 7 15
Module Combining Diversity
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG77EC Transceiver Masthead Unit 6 9 18
Kit
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97PC Antenna to TMU 4m Cable 6 9 18
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG94BD 1M Pre-Fit Cabinet 1 2 3
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG63AA Transceiver Timer Module 0 0 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG73AA Network Management Module 0 0 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CJ TMU to Cabinet IF 1/2" 0.6 0.9 1.8
cable (500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG91BA 1/2" IF Cable Connector 6 9 18
Kit
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CE TMU to Cabinet Power 0.6 0.9 1.8
cable (500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG93AA Power Cable Connector Kit 6 9 18
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CA TMU to Cabinet Data Cable 0.6 0.9 1.8
(500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG92AA Data Cable Connector Kit 6 9 18
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97NE 60 Degree Vertical 0 0 12
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97ME 120 Degree Vertical 6 9 6
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
Ex-Works Price USD $137,136.62 $212,017.55 455,003.26
----------------------------------------------- ---------------- ----------------- -------------------
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Annex F - Prices
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
For clarity, ▇▇▇▇▇▇▇▇ (▇▇ Pre-Fit Cabinet) and NTEG77EC (Transceiver Masthead
Unit Kit) are defined as follows:
------------------------------------------------------------------------------------------------------
▇▇▇▇▇▇▇▇ ▇▇ Pre-Fit Cabinet
------------------- -------------------------------------------------------------- -------------------
PEC Description Qty.
------------------- -------------------------------------------------------------- -------------------
NTED4575 TRANSCEIVER PROCESSOR MODULE 1
------------------- -------------------------------------------------------------- -------------------
NTEG63AA TRANSCEIVER TIMER MODULE 2
------------------- -------------------------------------------------------------- -------------------
NTEG72AD TRANSCEIVER BASEBAND MODULE COMBINING DIVERSITY 1
------------------- -------------------------------------------------------------- -------------------
NTEG73AA NETWORK MANAGEMENT MODULE 1
------------------- -------------------------------------------------------------- -------------------
NTEG7762 CABINET CABLE SET TYPE 2 1
------------------- -------------------------------------------------------------- -------------------
NTEG74BA OVER-VOLTAGE PROTECTION MODULE 3
------------------- -------------------------------------------------------------- -------------------
NTEG76BA FRA-ITS FAN TRAY ASSEMBLY 1
------------------- -------------------------------------------------------------- -------------------
NTEG76CC SECONDARY DC BREAKER RACK FILTERED 1
------------------- -------------------------------------------------------------- -------------------
NTEG76FB I.T.S Basestation DIVERSITY SUB RACK 1
------------------- -------------------------------------------------------------- -------------------
NTEG76GA I.T.S U.K MAINTENANCE PORT ASSEMBLY 1
------------------- -------------------------------------------------------------- -------------------
NTEG94AN 1.0M CABINET FLOOR MOUNTING PLINTH 1
------------------- -------------------------------------------------------------- -------------------
NTEG94FA ALARM CONNECTOR BLOCK 1
------------------- -------------------------------------------------------------- -------------------
NTEG94QA 1.0M INTERNAL I.T.S. CABINET 1
------------------- -------------------------------------------------------------- -------------------
------------------------------------------------------------------------------------------------------
NTEG77EC Transceiver Masthead Unit Kit
------------------------------------------------------------------------------------------------------
PEC Description Qty.
------------------- -------------------------------------------------------------- -------------------
NTEG77CA T.M.U./T.A.S. GROUND BOND KIT 1
------------------- -------------------------------------------------------------- -------------------
NTEG77DA SUN SHIELD ASSEMBLY 1
------------------- -------------------------------------------------------------- -------------------
NTEG77GB T.M.U. ASSY BF-BAND (100MHz) 1
------------------- -------------------------------------------------------------- -------------------
P0821020 U BOLT 61 C R S 2
------------------- -------------------------------------------------------------- -------------------
P0821021 U BOLT 126 C R S 2
------------------- -------------------------------------------------------------- -------------------
P0834843 T.M.U. MOUNTING BRACKET V3 1
------------------- -------------------------------------------------------------- -------------------
3.1 Discrete Radio Basestation Upgrade Configurations.
The following configurations and the associated pricing are representative
of a typical installation, eg. 45m cable runs assumed. Specific
installations may require variations on these definitions for which the
vendor will provide revised pricing quotations at that time.
------------------- --------------------------- ---------------- ----------------- -------------------
PEC Description 18b to 27b 27b to 48b PDS Upgrade
Upgrade Upgrade
------------------- --------------------------- ---------------- ----------------- -------------------
NTED4575 Transceiver Processor 2 5 0
Module
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG72AD Transceiver Baseband 2 8 0
Module Combining Diversity
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG77EC Transceiver Masthead Unit 3 9 0
Kit
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97PC Antenna to TMU 4m Cable 3 9 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG94BD 1M Pre-Fit Cabinet 1 1 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG63AA Transceiver Timer Module 0 0 0
------------------- --------------------------- ---------------- ----------------- -------------------
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Annex F - Prices
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------------------- --------------------------- ---------------- ----------------- -------------------
PEC Description 18b to 27b 27b to 48b PDS Upgrade
Upgrade Upgrade
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG73AA Network Management Module 0 0 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CJ TMU to Cabinet IF 1/2" 0.3 1 0
cable (500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG91BA 1/2" IF Cable Connector 3 9 0
Kit
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CE TMU to Cabinet Power 0.3 1 0
cable (500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG93AA Power Cable Connector Kit 3 9 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG99CA TMU to Cabinet Data Cable 0.3 1 0
(500m)
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG92AA Data Cable Connector Kit 3 9 0
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97ME 120 Degree Vertical 3 0 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG97NG 40 Degree Vertical 0 12 0
Polarization Antenna
------------------- --------------------------- ---------------- ----------------- -------------------
NTEG71HA Transceiver processor 0 0 2
Module - Packet Data
------------------- --------------------------- ---------------- ----------------- -------------------
N/A Packet Data Software 0 0 1
Activation Fee
------------------- --------------------------- ---------------- ----------------- -------------------
Ex-Works Price USD $74,880.94 $249,265.91 $40,384.62
----------------------------------------------- ---------------- ----------------- -------------------
4.0 FWA Software.
------------ -------------------------------------------------------- ------------ ---------------------
PEC Description Qty. Ex-Works Price USD
------------ -------------------------------------------------------- ------------ ---------------------
N/A Cell Site Packet Data Software Activation Fee 1 $25,000.00
------------ -------------------------------------------------------- ------------ ---------------------
N/A F2 RSS 2nd Line Activation Fee 1 $50.00
------------ -------------------------------------------------------- ------------ ---------------------
N/A F5 RSS 2nd Line Activation Fee 1 $50.00
------------ -------------------------------------------------------- ------------ ---------------------
5.0 FWA OA&M Equipment.
5.1 Field Engineering Terminal (FET).
Choose one of the following.
------------------ ------------------------------------------------------ ---------- -------------------
PEC Description Qty. Ex-Works Price
USD
------------------ ------------------------------------------------------ ---------- -------------------
NTEG30AN FET System Complete (LINUX)on Panasonic CF27 1 $7,812.00
------------------ ------------------------------------------------------ ---------- -------------------
NTEG30AF LINUX FET Software Application Kit for Panasonic CF27 1 $3,600.00
------------------ ------------------------------------------------------ ---------- -------------------
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Annex F - Prices
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5.2 Residential Installation System (RIS). Survey & Maintenance Kit
-------------------- ------------------------------------------------------ -----------
PEC Description Qty.
-------------------- ------------------------------------------------------ -----------
NTEG24BF 100 MHz Generic Survey Kit 1
-------------------- ------------------------------------------------------ -----------
NTEG10DCBV RSS Installation Sub-Set Documentation 1
-------------------- ------------------------------------------------------ -----------
P0872025 Large Belt 1
-------------------- ------------------------------------------------------ -----------
NTEG24BE RTU SAK/Handle Pole Kit (5.5m extension kit) 1
-------------------- ------------------------------------------------------ -----------
NTEG22EB RTU SAK/Handle Assembly 1
-------------------- ------------------------------------------------------ -----------
A0734347 GPS 1
-------------------- ------------------------------------------------------ -----------
A0658055 Linesman Phone U.S. 1
-------------------- ------------------------------------------------------ -----------
▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇ Generic Maintenance Kit 1
-------------------- ------------------------------------------------------ -----------
NTEG21ND PSA Mains Adapter U.S. 1
-------------------- ------------------------------------------------------ -----------
A0745625 RMT Mains Adapter U.S. 1
-------------------- ------------------------------------------------------ -----------
A0657248 Modem 1
-------------------- ------------------------------------------------------ -----------
A0655833 Multimeter 1
-------------------- ------------------------------------------------------ -----------
NTEG21PB Vehicle charging Cable 1
-------------------- ------------------------------------------------------ -----------
A0743766 RMT Docking Holster 1
-------------------- ------------------------------------------------------ -----------
CIP Price USD $8,322.30
-------------------- ------------------------------------------------------ -----------
5.3 Radio Element Manager (REM).
The following configuration is based on the original Model 3 REM but includes
additional functionality upgrades that were introduced during the previous
contract.
-------------------- ----------------------------------------------------------------- -----------------
Description Qty.
-------------------- ----------------------------------------------------------------- -----------------
NTEG43AC HP Unix Server 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG41GD ▇▇▇▇ Functionality 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG41GE Dual Processor Functionality 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG43AA HP Client Workstation 1
-------------------- ----------------------------------------------------------------- -----------------
NTEJ40BN Radio Element Manager Software Platform 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG42BC ▇▇▇▇▇▇▇ ▇▇▇ ▇▇ ▇▇▇▇ ▇▇▇▇▇▇▇,▇▇▇▇▇▇▇,▇▇▇▇▇▇▇▇, Dual Psu 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG42FB HyperARC 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG42GM Quad Modem Card With S/▇▇▇▇ Type 1 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG43AD Unix Server annual support 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG43AB Client Workstation annual support 1
-------------------- ----------------------------------------------------------------- -----------------
NTEJ40GC Remedy ARS Support 1
-------------------- ----------------------------------------------------------------- -----------------
NTEJ40JC Oracle RDBMS Support 1
-------------------- ----------------------------------------------------------------- -----------------
A0743702 Openview SW Support 1
-------------------- ----------------------------------------------------------------- -----------------
NTEG42KA Network Hub Annual SW Maintenance 1
-------------------- ----------------------------------------------------------------- -----------------
A0743715 SW support ▇▇▇▇ 1
-------------------- ----------------------------------------------------------------- -----------------
Ext-Works Price USD $569,607.29
-------------------- ----------------------------------------------------------------- -----------------
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6.0 FWA Equipment Spares.
------------------ -------------------------------------------------- ------------ ---------------------
PEC Description Qty. Per Ex-Works Price USD
------------------ -------------------------------------------------- ------------ ---------------------
NTED4575 Transceiver Processor Module 1 $5,877.05
------------------ -------------------------------------------------- ------------ ---------------------
NTEG72AD Transceiver Baseband Module Combining Diversity 1 $2,843.62
------------------ -------------------------------------------------- ------------ ---------------------
NTEG77EC Transceiver Masthead Unit Kit 1 $9,910.94
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97PC Antenna to TMU 4m Cable 1 $94.45
------------------ -------------------------------------------------- ------------ ---------------------
NTEG76BA I.T.S. Fan Tray Assembly 1 $489.85
------------------ -------------------------------------------------- ------------ ---------------------
NTEG76CC Secondary DC Breaker Rack Filtered 1 $2,001.71
------------------ -------------------------------------------------- ------------ ---------------------
NTEG76FB I.T.S Basestation Diversity Sub Rack 1 $2,999.91
------------------ -------------------------------------------------- ------------ ---------------------
NTEG76GA I.T.S U.K. Maintenance Port Assembly 1 $82.56
------------------ -------------------------------------------------- ------------ ---------------------
------------------ -------------------------------------------------- ------------ ---------------------
NTEG94QA 1.0M Internal ITS Cabinet 1 $1,553.40
------------------ -------------------------------------------------- ------------ ---------------------
NTEG74BA Over Voltage Protection Module 1 $546.29
------------------ -------------------------------------------------- ------------ ---------------------
NTEG63AA Transceiver Timer Module 1 $1,528.64
------------------ -------------------------------------------------- ------------ ---------------------
NTEG73AA Network Management Module 1 $2,452.98
------------------ -------------------------------------------------- ------------ ---------------------
NTEG99CJ TMU to Cabinet IF1/2" Cable 500m $3,149.90
------------------ -------------------------------------------------- ------------ ---------------------
NTEG91BA 1/2" IF Cable Connector Kit 1 $78.86
------------------ -------------------------------------------------- ------------ ---------------------
NTEG99CE TMU to Cabinet Power Cable 500m $3,010.50
------------------ -------------------------------------------------- ------------ ---------------------
NTEG93AA Power Cable Connector Kit 1 $112.79
------------------ -------------------------------------------------- ------------ ---------------------
NTEG99CA TMU to Cabinet Data Cable 500m $746.40
------------------ -------------------------------------------------- ------------ ---------------------
NTEG92AA Data Cable Connector Kit 1 $97.20
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97ME 120 Degree Vertical Polarization Antenna 1 $1,800.00
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97MF 120 Degree Horizontal Polarization Antenna 1 $1,800.00
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97NE 60 Degree Vertical Polarization Antenna 1 $1,800.00
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97NF 60 Degree Horizontal Polarization Antenna 1 $1,800.00
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97NG 40 Degree Vertical Polarization Antenna (For 1 $3,625.00
orders of less than 120 units)
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97NH 40 Degree Horizontal Polarization Antenna (For 1 $3,625.00
orders of less than 120 units)
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97NG 40 Degree Vertical Polarization Antenna (For 1 $1626.00
orders of more than 120 units)
------------------ -------------------------------------------------- ------------ ---------------------
NTEG97NH 40 Degree Horizontal Polarization Antenna (For 1 $1626.00
orders of more than 120 units)
------------------ -------------------------------------------------- ------------ ---------------------
NTEG71HA Transceiver Processor Module - Packet Data 1 $9320.40
------------------ -------------------------------------------------- ------------ ---------------------
------------------ -------------------------------------------------- ------------ ---------------------
PEC Description Qty. Per Ext. Price CIP USD
------------------ -------------------------------------------------- ------------ ---------------------
NTEG18DA F5 ▇▇▇ ▇
$471.20
------------------ -------------------------------------------------- ------------ ---------------------
NTEG18FA RDA Kit 1
$107.11
------------------ -------------------------------------------------- ------------ ---------------------
NTEG12FA RPCU 1 $39.01
------------------ -------------------------------------------------- ------------ ---------------------
A0636762 RPCU Battery 1 $11.02
------------------ -------------------------------------------------- ------------ ---------------------
NTEG12CL RPCU Power Cord 1 $0.54
------------------ -------------------------------------------------- ------------ ---------------------
NTEG12FB RPCU Safety Booklet 1 $0.36
------------------ -------------------------------------------------- ------------ ---------------------
NTEG99JE Dual Jacket Drop Cable 500m $178.82
------------------ -------------------------------------------------- ------------ ---------------------
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Purchase and License Agreement for FWA Equipment
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------------------ -------------------------------------------------- ------------ ---------------------
PEC Description Qty. Per Ext. Price CIP USD
------------------ -------------------------------------------------- ------------ ---------------------
NTEG99GY Dual Jacket Drop Cable Connector 50 $242.98
------------------ -------------------------------------------------- ------------ ---------------------
NTEG99CZ Drop Cable Connector Pins 500 $48.44
------------------ -------------------------------------------------- ------------ ---------------------
NTEG17DA F2 ▇▇▇ ▇ $326.87
------------------ -------------------------------------------------- ------------ ---------------------
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ANNEX G
WARRANTY SERVICES
Annex G - Warranty Services
Purchase and License Agreement for Fwa Equipment
--------------------------------------------------------------------------------
Purchase and License Agreement for Fwa Equipment
Annex G - Warranty Services
1.0 SERVICES SUMMARY
For this 1-year Warranty, Nortel Networks will:
* Provide Remote Technical Assistance to assist Axtel in the diagnosis
of hardware failures during the warranty period for all Nortel
Networks' Hardware supplied by Nortel Networks under this Agreement.
* Repair or replace a defective Field Replaceable Unit (FRU). Target
times for repair/replacement are within 60 days following receipt of
the defective FRU.
Note: AXTEL will maintain its own stock of spares at levels sufficient
to cover requirements within timeframes consistent with AXTEL quality
of service objectives.
Nortel Networks will register and manage requests for Remote Technical
Assistance and for FRU replacement during normal business days and hours in
the location where the service is being performed.
Here follows a description of the warranty services to be provided by Nortel
Networks:
1.1 Technical Assistance Service during Warranty Period
1.1.1 Technical Assistance Service Deliverables
* Provide Remote Technical Assistance to assist Axtel in the diagnosis
of hardware failures during the warranty period.
To provide Technical Assistance, Nortel Networks technicians and engineers
will provide support primarily by remote means. In a collaborative effort
with Axtel's technical staff, these personnel will attempt to diagnose and
resolve issues related to the hardware supplied by Nortel Networks as
explained in this service description.
Where telephone support, remote diagnosis, and all other means of restoring
product operation have failed, Nortel Networks, upon Axtel's request, and
if Nortel Networks determines that on-site support is necessary and
appropriate, will dispatch a trained and qualified technical expert to
Axtel's premises to facilitate further diagnosis.
* Notwithstanding Nortel Networks' determination that on-site support
is not necessary, Axtel will nevertheless have the right to require on
site support from Nortel Networks, provided that such on site support
required by Axtel shall be at Axtel's cost unless it is agreed that it
was necessary for such support to be provided on site.
1.1.2 Axtel Responsibilities for Technical Assistance Service
For Remote Technical Assistance Axtel will be required to:
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* Confirm that the products have been installed & commissioned and are
used and maintained by knowledgeable and skilled people using Nortel
Procedures.
* Replace hardware components during diagnosis or as remedial actions.
* Generate performance/availability reports and associated trend
analysis.
* Gather data in a timely manner in support of Nortel Networks'
diagnostic process when reasonably within the technical competency of
AXtel.
* Identify issues requiring hardware replacement
* If applicable, use all reasonable efforts to maintain hardware and
software at the release or update level for supported hardware and
software. This maintenance will need to be in accordance with policies
and procedures published by Nortel Networks. Axtel will maintain
software levels at the then-current or immediately prior Software
Release level.
* Perform software upgrades and/or patch applications
* Provide connectivity in a timely manner to the product(s) for Nortel
Networks to establish a data link for use by Nortel Networks technical
support group in order to conduct remote diagnosis and maintenance
Note: Axtel and Nortel Networks technical personnel will agree on
the appropriate type of data link based on network equipment and
configuration as well as the appropriate security measures to
prevent unauthorized access. Axtel will be solely responsible for
security of the network. Nortel Networks will not connect to
Axtel's network without prior authorization and such connection
will be solely to provide technical support.
* Excuse Nortel Networks from fault resolution for a period equal to
such failure or delay, should Axtel fail or cause delay in providing
connectivity
* Designate and make available competent personnel to aid in problem
diagnosis and provide electronic access to the affected product(s) to
aid in problem investigation and resolution for all incidents. Axtel
personnel should be available to work together with Nortel Networks
technical expert during all the process.
* Axtel should provide their internal escalation process in order to
inform all the contacts to Nortel Networks.
* Maintain a support agreement(s) with the third-party supplier(s) for
such product(s), as Axtel sees fit.
* Axtel's in-house structure that performs first-line support will need
to exhaust internal troubleshooting processes. First-level Operations,
Administration, and Maintenance (OA&M) functions may include, but are
not limited to:
* Performing day-to-day maintenance and network operations
* Monitoring network and system alarms
* Performing diagnosis in accordance with instructions provided by
Nortel Networks and carrying out initial remedial actions,
including remote diagnosis
* Operating and controlling Axtel's internal help desk for logging
and tracking fault inquiries, prioritizing events, and
escalating, as required, to the Nortel Networks technical support
group
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* Providing local time templates and historical actions performed
on each event as reference information to the Nortel Networks
technical support group (NTS).
1.1.3 Technical Assistance Services Assumptions
For Remote Technical Assistance the following assumptions will apply:
Technical Support Services (2nd & 3rd Level) will be provided by Nortel
Networks at its cost and expense during warranty to the Hardware elements
covered by this warranty.
* In the event that Axtel fails to comply with the requirements
described in section 1.1.2 (Axtel Responsibilities for Technical
Assistance), Nortel Networks will advise Axtel of its non-compliance.
Nortel Networks and Axtel may then agree upon service to be provided
at the then-current time-and-materials basis published by Nortel
Networks plus any travel and living expenses incurred
* Nortel Services provided under this Annex G are warranted in
accordance with Section 6.3 of this Agreement.
* Nortel Networks, or a skilled, qualified third-party authorized by
Nortel Networks, will furnish these Services.
1.1.4 Technical Assistance Services Exclusions
The following exclusions will govern the delivery of Remote Technical
Assistance:
* Software provided by Nortel under this Agreement has no warranty.
* Providing advice on how to detect and resolve network-related problems
* Diagnosing issues related to Nortel Networks products interfacing with
non-Nortel Networks products
* Analyzing trace / log / dump / Operational Measurement (OM)
information
* Emergency Recovery
* Nortel Networks is not responsible for supporting non-Nortel Networks
supplied third-party product(s). Axtel will be responsible for
maintaining support agreements with the OEM/third-party supplier for
such product(s).
* No warranty is provided for: (i) supply items normally consumed during
Product operation; (ii) failures caused by non-Nortel Networks
products; (iii) failures caused by a Product's inability to operate in
conjunction with other Customer hardware or software different from
the Third Party Vendor Items provided by Nortel Networks under this
Agreement ;or (iv) performance failures resulting from services not
performed by Nortel Networks or Customer's use of unauthorized parts
or components. Warranty will be voided by misuse, accident, damage,
alteration or modification, failure to maintain proper physical or
operating environment, use of unauthorized parts or components or
improper Customer maintenance. Software is not warranted to operate
uninterrupted or error free.
* Nortel Networks support obligations are expressly conditional upon the
products not being (i) subject to unusual mechanical stress or unusual
electrical or environmental conditions; (ii) subject to misuse,
accident or disaster including without limitation, fire, flood, water,
wind, lightning or other acts of God; or (iii) altered or modified
unless performed or authorized by Nortel Networks
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* Products which have not been installed and commissioned by
appropriately skilled and trained personnel using Nortel Procedures
are excluded from this warranty.
* Remote Technical Assistance will not be provided during installation
and/or commissioning process.
1.2 Return and Replace Service
Nortel Networks will register and manage requests for Return and Replace
service during Nortel Networks' normal business days and hours in the
location where the service is being performed.
Upon receiving AXTEL's request, Nortel Networks will allocate a part
request number (also known as a Return Material Authorization number) to
each FRU to be replaced and notify AXTEL of the relevant part request
number.
Following allocation of the part request number(s) Nortel Networks will
repair or replace the unit at its discretion and will use commercially
reasonable efforts to deliver the repaired unit or an equivalent to AXTEL
within 60 days.
1.2.1 Axtel Responsibilities for Repair Services
Axtel will be required to:
* Pay the expense of shipping the defective FRU to Nortel Networks
warehouse in Mexico City or the closest Nortel Networks' regional
logistics center.
* Use the specifically assigned part request number(s) provided by
Nortel Networks and include completed Nortel Networks Fault Report
Forms when returning any FRU
* Adhere to Nortel Networks' packing instructions (including anti-static
precautions) when returning the defective unit Note: The packing
instructions are included with the return instructions accompanying
the replacement FRU.
* Put the replacement FRU into service
Note: On-site repair and on-site replacement services are not included
with the Return and Replace Service.
1.2.2 Assumptions for Repair Services
The following assumption will govern the delivery of Warranty Repair
Services:
* Nortel Networks will incur the expense of shipping the repaired unit
or the replacement unit to AXTEL using a method and carrier selected
by Nortel Networks. Nortel Networks is responsible for loss of, or
damage to, an FRU while it is in Nortel Networks' possession or in
transit to AXTEL, as well as, to pay all applicable duties, taxes, and
other charges associated with the importation of the repaired or
replacement FRU into the country of destination.
* Unless required for operational reasons and agreed upon with Nortel
Networks, the replacement FRU will be at the then-current hardware and
firmware release levels as they are made Generally Available (GA) by
Nortel Networks. Upon a specific request of Customer for repair of a
quantity of RTU with a specific
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software release version, the parties will work together to define a
mutually agreeable process to satisfy such specific request, provided
that, such a process does not cause Nortel Networks to incur any out
of pocket expenses or material additional cost.
* Warranty on units repaired (FRU) by Nortel Networks to be limited to
ninety (90) days from delivery of repaired part or to the end of the
original warranty period, whichever is longer. * The defective FRU
returned to Nortel Networks becomes the property of Nortel Networks
and, subject to Nortel Networks' receipt of the defective FRU, its
replacement becomes AXTEL's property.
* Nortel Networks reserves the right to reject the return of any FRU
that does not clearly display the specific part request number [Return
Material Authorization (RMA) number] or does not include the
associated completed Nortel Networks fault report forms.
* Nortel Networks will from time to time assess products offered and
supported. The assessment will be based on technology, market
development, product deployment, and support requirements and may
identify certain products that will be discontinued. Nortel Networks
reserves the right to terminate any service purchased by AXTEL for
products that have been discontinued. Subject to the Nortel Networks
then-current policies, continued support for any discontinued products
beyond the effective date of discontinuance may be provided on a
reasonable basis, as determined by Nortel Networks.
* The service will be furnished by Nortel Networks or a party authorized
by Nortel Networks.
* As part of repair service, Nortel Networks will monitor all faulty
product returns for No Fault Found (NFF) from Axtel. All repair cases
resulting in "no fault found" will be charged to Axtel at 50% of
Nortel Networks full repair rates. In the event that such Product
presents again in the field within 120 days of return date the same
failures as noticed by Axtel, Nortel Networks shall repair or replace,
in a term no longer than 60 days, such Product at its cost and
expense.
* If, in the judgment of Nortel Networks, the returned FRU has been
damaged by misuse, accident, modification, failure to install and
commission as per Nortel Networks processes or maintain proper
physical or operating environment or improper maintenance by AXTEL,
then Nortel Networks will return the defective un-repaired FRU to
AXTEL at AXTEL's expense.
* It is critical that Axtel regularly ship all defective Equipment to
Nortel Networks, as defects are detected, to avoid the accumulation of
defectives that will impact Nortel's ability to meet the target
turnaround times.
1.2.3 Exclusions to Repair Services
The following exclusions will govern the delivery of Repair Services:
* Nortel Networks support obligations are expressly conditional upon the
products not being (i) subject to unusual mechanical stress or unusual
electrical or environmental conditions; (ii) subject to misuse,
accident or disaster including without limitation, fire, flood, water,
wind, lightning or other acts of God; or (iii) altered or modified
unless performed or authorized by Nortel Networks.
* Repair Services are not offered on Nortel Networks holidays observed
in the region where the service is being performed.
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* Additionally, Repair Services do not include Emergency Repair Support
(also known as Emergency Part Dispatch).
* Root-cause analysis, the provision of fault reports,
lead-time/performance metrics, or hardware upgrades
* Those exclusions identified in Section 6 of this agreement. For
further clarity of Section 6.5, supply items normally consumed during
Product operation include but are not limited to printer ribbons,
light bulbs, cables, batteries, fuses, filters, etc. Software is not
warranted to operate uninterrupted or error free.
* On-site repair or replacement, which are not offered as part of this
proposal.
* Products which have not been installed and commissioned by
appropriately skilled and trained personnel using Nortel Procedures.
2.0 GENERAL
2.1 Holidays Observed by Nortel Networks
Please refer to your local Nortel Networks representative to get
information of Local National Holidays observed at[N1] Customer's location.
2.2 Call Center Access for Technical Support
The Nortel Networks Call Center will function as a single point of contact
for the receipt of all support calls and inquiries. The remote support
effort will begin with a telephone call and will continue with the
appropriate actions to be taken according to Nortel Networks Case Severity
Classifications.
In accordance with Table 2-R below, the Call Center will register and
manage requests for Remote Technical Assistance during normal business days
(M-F) and hours (9:00-18:00 hrs), excluding holidays for Business Critical,
Major and Minor Severity Problems and for E1 and E2 Severity Problems the
Call Center will be available 24 hours a day, 365 days a year. General
provisions for accessing Technical Assistance services include:
* Nortel Networks may, where applicable, also provide a customer with
the ability to open, view, and modify cases directly within the Nortel
Networks case-tracking system via ▇▇▇.▇▇▇▇▇▇▇▇▇▇▇▇▇▇.▇▇▇. The customer
will bear telecommunication facility charges and/or long distance toll
charges associated with access to ▇▇▇.▇▇▇▇▇▇▇▇▇▇▇▇▇▇.▇▇▇
* Where toll-free +access is not available, the customer will bear
telecommunication facility charges and/or long distance toll charges
for access to the Call Center
* All cases are logged into a Nortel Networks case-tracking system. The
case is time-stamped and a case reference number allocated.
Furthermore, Nortel Networks will request that the customer agree to a
case priority level
* E1 and E2 priority cases are to be reported by telephone only
* The customer to escalate a case to higher levels of management within
Nortel Networks, shall be in accordance with the escalation table in
section 2.2.5.
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2.2.1 Nortel Networks Technical Support Services Call Process
When calling Nortel Networks for Technical Assistance or Emergency
Recovery, the customer's representative will be asked to provide the
following information:
1. Company name
2. Caller name and phone number
3. Personal Identification Number (PIN) or a unique Customer Purchase
Order number or credit card number, if a PIN has not been issued.
4. Site Location/Site ID
5. Product on which the problem is being reported
6. Problem description and severity
A Call Center agent will generate a Case Reference Number (CRN), which will
be provided to the customer for tracking the case. A Nortel Networks
technician will then team with the customer's representative to resolve the
reported issue.
2.2.2 Call Center Phone Numbers
Customer sites in Latin America will access the Nortel Networks technical
support organizations by calling:
Tel: (▇▇) ▇▇ ▇▇▇▇-▇▇▇▇, Fax. (▇▇) ▇▇ ▇▇▇▇-▇▇▇▇
Pager: ▇▇▇▇▇▇ (▇▇) 55 5227-7979
PIN: ▇▇▇▇▇▇▇ / Reach Me PIN: ▇▇ ▇▇▇▇▇▇▇
email: ▇▇▇@▇▇▇▇▇▇▇▇▇▇▇▇▇▇.▇▇▇
2.2.3 Technical Support Response Times
Once Axtel has opened a CRN at the Nortel Networks' Call Center and
depending on the Severity Classification, a Nortel Networks Technical
Support (NTS) Engineer will contact Axtel's representative as per the terms
set forth in Table 2-R below.
2.2.4 Technical Support Case Priority
The definitions in this Section 2.2.4 are generic and shall apply to the
limited extent that this Annex G covers Hardware warranty only. Problem
reports will be classified as set forth in the tables below.
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TL9000
Severity Nortel Networks Case
Classification Priority & Definition Examples
--------------------------------------------------------------------------------
Critical E1 > Total or partial network
element outage
Problems that severely
affect service, > A reduction in capacity or
capacity/traffic, traffic handling capability such
billing and maintenance that expected loads cannot be
capabilities and handled
require immediate
corrective action, > Failure resulting in dynamic
regardless of time of routing, switching capability or
day or day of the week. transport loss
> Any loss of safety or emergency
capability (e.g., emergency calls
such as 911 in North America)
> Loss of the system's ability to
perform automatic system
reconfiguration
> Inability to restart the system
> Loss of billing/accounting
capability
> Corruption of billing or system
databases that requires service
affecting corrective actions
> Other problems that severely
affect service, capacity/traffic
billing, and maintenance
capabilities or are jointly
viewed by Nortel Networks and the
customer as critical
--------------------------------------------------------------------------------
TL9000
Severity Nortel Networks Case
Classification Priority & Definition Examples
------------------------------------------------------------------------------
Major E2 > Loss of redundancy of critical
functions
Problems that result in
potential service > Loss of protection switching
degradation and/or capability
total outage. Serious
situation not involving > Short outages equivalent to system
service degradation in or subsystem outages not seriously
a live environment, but impacting service with accumulated
leading to a total or duration of greater than two
partial loss of minutes in any 24-hour period, or
redundancy. that continue to repeat during
longer periods
> A reduction in provisioned
capacity of 5% and for a cumulative
duration of more than 10 minutes
per 24 hours
> Repeated degradation of DS1/E1 or
higher rate spans or connections
> Loss of system's ability to
perform automatic system
reconfiguration
> Loss of access to maintenance or
recovery operations > Any loss of
functional visibility and/or
diagnostic capability
> Loss of system's ability to
provide any required system
critical/major alarms
> Total loss of access to
provisioning
-------------------------------------------------------------------------------
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TL9000
Severity Nortel Networks Case
Classification Priority & Definition Examples
------------------------------------------------------------------------------
Major Business Critical > The customer has been given a
work-around but the situation stilL
Problems that result in requires constant attention due to
a major degradation of the temporary nature of the
system or service work-around
performance that
impacts service quality > Software application/migration
or significantly issues that gate the introduction
impairs network of new services or functionality
operator control or
operational > Billing error rates that exceed
effectiveness. Overall specifications
network is degraded
resulting in severe > Corruption of system or billing
limitations to databases
operations or network
management software
product has major
feature that is not
working properly with
only difficult
workaround.
--------------------------------------------------------------------------------
TL9000
Severity Nortel Networks Case
Classification Priority & Definition Examples
------------------------------------------------------------------------------
Major Major > Degradation of any capacity/
traffic measurement function;
Problems that result in degradation of functional
conditions that visibility and/or diagnostic
seriously affect system capability
operation, maintenance
and administration, > Degradation of access for
etc. and require maintenance or recovery operations
immediate attention.
The urgency is less > Degradation of the system's
than in a Business ability to provide any required
Critical situation system critical/major alarms
because of a lesser
immediate or impending > Loss of access for routine
effect on system administrative activity
performance, customers,
and the customer's > Any system failure without direct
operation and revenue. immediate impact
> Intermittent degradation of
services; partial loss of access to
provisioning
> Software application/migration
issues that do not impact service
> Reduction in any capacity/traffic
measurement function
> Any loss of functional visibility
and/or diagnostic capability
> Any significant increase in
product-related customer trouble
reports
> Follow-up to E1 customer problems
> Other problems that disrupt or
prevent routine system activities,
or problems that are jointly viewed
as Major events by Nortel Networks
and the customer
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TL9000
Severity Nortel Networks Case
Classification Priority & Definition Examples
------------------------------------------------------------------------------
Minor Minor > Service analysis, recorded
announcements, operational
Problems do not measurements, maintenance program,
significantly impair or network management problems; or
the functioning of the system-related documentation
system and do not inaccuracies, that do not affect
significantly affect call processing
service to customers.
These problems are > Test equipment failures for which
tolerable during system a backup or manual alternative can
use. be employed
> Circuit pack testing problems
--------------------------------------------------------------------------------
2.2.5 Case Resolution Objectives and Escalation Procedures
The definitions in Table 2-R below are generic and shall apply to the
limited extent that this Annex G covers Hardware warranty only.
Nortel Networks Technical Support case resolution targets are based in
Nortel Networks best efforts and set according to the following TL9000 standard:
"Table 2 - R"
TL9000 Severity Actions Response Times Target Targets
Classification Business Non- Service Based on
Hours Business restorat- RQMs*
Hours tion time
---------------------------------------------------------------------------------------------------
E1 (*1) Worked continuously (7 x 24) 15 min 30 min 7 ▇▇ ▇▇ ▇▇
until resolution or workaround
is provided
E2 (*1) Worked continuously (7 x 24)
until resolution or workaround
is provided 15 min 30 min 8 Hr 10 Days
Business Critical
and Major (*2) Worked during normal business
days and business hours. 2 hrs Next Business 24 Hr 30 Days
Day
Minor (*2) Worked during normal business
days and business hours. Next Next Business 30 Days 180 days
Business Day
Day
---------------------------------------------------------------------------------------------------
(*1) This Service is provided 7 x 24
(*2) This Service is provided in Normal Business Hours
Note: The times set forth in Table 2 - R above, are subject to Nortel Networks
and Customer working together in conjunction on a reasonable efforts basis to
find a workaround for services restoration and resolution within the target
times. These times do not represent an obligation or performance indicator.
* RQMS - Reliability and Quality Measurements for Telecommunications Systems.
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"Nortel Networks Escalation Procedure"
Axtel's NOC
Call Center Nortel Networks
Nortel Networks Technical Support Engineer
Nortel Networks Technical Support Manager.
Nortel Networks Technical Support Sr. Mgr.
Nortel Networks Technical Nortel Networks Customer
Support Director Operation Leader
At Closing Date, Nortel Networks will provide Customer with the contact
information of the persons involved in this Escalation Procedures, as well
from time to time, the changes to such contact information will be provided
to Customer.
2.2.6 Case Progress Status
Nortel Networks Technical Support use the following status to differentiate the
case conditions during the evolution of the case investigation. A set of status,
its related meaning and its relationship with the case age, are defined in the
table below:
Status Description Nortel Clock
Newly Opened This status is the default. It signifies that
no work has been done on the case. Start
WIP Level 1 This status is used when a NTS Engineer is
actively working on the Case. Not Stopped
WIP Level 2 This status is used when a Second Level
Support Engineer is actively working a
case *
Second Level Support: Software Support,
Product Support. Not Stopped
Escalated To
Design This status is used when a Design Engineer
is actively working on the case Not Stopped
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Status Description Nortel Clock
--------------------------------------------------------------------------------
Answer From
Design Design Engineer has concluded its investigation
and has replied back to the NTS Engineer Not Stopped
With A
Customer During the course of conducting their research,
the NTS Engineer may need additional information
or activity from the Customer. The "With a Customer"
status is assigned when the NTS Engineer is
waiting on a Customer response in order to continue
investigation Stopped
Interim
Solution If a temporary solution is provided that
eliminates the customers pain until a permanent
solution can be delivered, RQMS requirements
allow the case to be set to an "IS" status during
this window of time if approved by the Customer. In
calculating case age, this interval will be
discounted if the permanent fix was delivered on
the negotiated commitment date. If the permanent
fix does not resolve the reported problem, case
status shall be changed to Work in Progress
(Level 1 or 2). If the case is returned to a Work
in Progress (Level 1 or 2) status after using the
IS, the IS time period will be added to the RQMS
age of the case. Stopped
Future
Deliverable Customer agrees to live with the problem
condition and that the fix will be delivered as
part of a future Nortel product release (software
release, maintenance release, documentation
release or hardware revision. Requirements to
use this status include Customer consent; fix
identification, and delivery commitment. This
status code does not add time to the RQMS age of
the case unless the solution fails and the case
is moved back to Work in Progress (Level 1 or 2)
status. If the case is returned to a Work in
Progress (Level 1 or 2) status after using the FD,
the FD time period will be added to the RQMS age
of the case. Stopped
Solution
Delivered Solution Delivered or available for testing
and verification. If the delivered solution does
not resolve the reported problem, the status will
be changed to Work in Progress (Level 1 or 2). If
the case is returned to a Work in Progress (Level
1 or 2) status after using the SD status, the SD
time period will be added to the RQMS age of
the case. Stopped
Pending OEM
Vendor The case has been handed over to an OEM Vendor
for resolution Not Stopped
--------------------------------------------------------------------------------
2.2.7 Case Resolutions Classifications
Nortel Networks Technical Support case resolutions, which shall be mutually
agreed for each case:
* Cannot Reproduce: After 60 days and a reasonable effort, a problem has
not been observed in the Network, is not reproducible or sufficient
information has not been provided to adequately troubleshoot the
problem and isolate the root cause
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* Customer Process: Human errors are present or the customer has failed
to follow procedures recommended and documented by Nortel Networks
* Design Intent: The functionality required by customer does not align
with the design specifications of the product set forth in Agreement,
in which case Nortel Networks shall make clear to Axtel which is such
design specification (i.e., the functionality is unsupported), and the
issue can only be resolved through new development efforts subject to
a separate product development agreement and charges.
* External Cause: Issue caused by non-Nortel Networks products
* Hardware Deficiency: A problem is isolated to defective hardware
materials or workmanship or substantial nonconformance to
specifications published by Nortel Networks
* Hardware Failure: A problem is caused by a hardware component failure
that falls within Mean Time Between Failure (MTBF) limitations
* Nortel Networks Literature: Required Nortel Networks technical
document does not exist or the contents of an existing document are in
error [for example, an incomplete Nortel Networks Technical
Publication (NTP)]
* Nortel Networks Process: A problem occurs as a result of a Nortel
Networks process deficiency
* Opened in Error: The case should not have been opened
* Scheduled Event: An outage occurs resulting from planned maintenance,
installation, or manual initialization, including such activities as
parameter loads, software/firmware changes, and other OA&M activities
* Software Deficiency: A problem is isolated to a software design
deficiency.
2.3 Axtel Order Process for FWA Repair Services
This process supports the delivery of Nortel Networks FWA Repair Services
for AXtel. Customers of Nortel Networks who request a hardware warranty
repair service should have the following required information ready when
placing a repair order with Nortel Networks:
1. Customer or distributor name
2. Customer ID (Project #, Site ID)
3. Requestor name, phone and fax number, and e-mail address
4. Customer ship to address
5. Part number (PEC or CPC or manufacturer's part number)
6. Quantity (quantity of one per serial number)
7. Serial number of the defective part(s) being returned (if applicable)
8. Warranty status
9. Confirmation of the availability of a fully completed Nortel Networks
fault report form for said product.
10. Any additional information about product (system type or software
release)
11. Any special shipping instructions
Upon receiving the customer's request and after any diagnostics assistance,
Nortel Networks will allocate a part request number to each FRU to be
repaired and notify the customer of the relevant part request number.
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Annex G - Warranty Services
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This part request number, also known as the Return Material Authorization
(RMA) number, is critical for tracking individual orders and must be
referenced on failure tags, shipping/packing lists, returned defectives,
and any correspondence or inquiries concerning the order.
The customer's representative can call in, fax or e-mail a Repair Service
order directly to Nortel Networks in Mexico using the following contact
means:
Office hours (Monday through Friday from 9:00 a.m. to 6:00 p.m. (Local
time) Phone number: (▇▇) ▇▇ ▇▇ ▇▇-▇▇▇▇, Fax: (▇▇) ▇▇ ▇▇▇▇ ▇▇▇▇,
▇▇▇▇▇▇▇@▇▇▇▇▇▇▇▇▇▇▇▇▇▇.▇▇▇
Faxes
All faxed orders will be processed and assigned an RMA# by the close of the next
business day. Faxed emergency orders must also be called in to verify receipt of
faxes. E-mail
To obtain a parts request form by e-mail, please send an e-mail
message to any of the above addresses and note "repair order form" in the
subject/title field. A form will be sent automatically.
Place the PO number in the subject/title field when e-maling a completed parts
request form back to Nortel Networks. For order confirmation, Nortel Networks
will respond with an RMA number to all e-mail orders by the next business day.
2.4.1 Method of Payment for Excluded Services
If AXTEL requests a service that is neither part of the scope of this
Warranty Service nor within the control or responsibility of Nortel
Networks under the Technical Assistance Support Services Agreement, then
Nortel Networks will charge additional fees to perform such services, in
the event that Nortel Networks agrees to perform them. Nortel Networks
reserves the right not to perform any Service not covered by this Warranty.
2.4.2 Package Labeling Instructions and Addresses for Returns
Circuit packs should be packed in anti-static containers designed
specifically for the circuit packs in order to avoid damage during
shipment. Other parts should be individually wrapped in either anti-static
packaging or packaging specifically designed for that product to avoid
damage during shipment. Nortel Networks will inform customers of any
improper packaging, which will void the warranty.
All materials should be returned pre-paid and sent to the appropriate
Nortel Networks repair facility. The customer should use discretion in
selecting shipping methods. Nortel Networks recommends that customers
insure all packages to cover possible loss or damage during shipping,
regardless of warranty status.
A completed Nortel Networks fault report must be filled out and attached to
each returned item to assist in failure assessment and problem tracking.
Fault reports are sent with each replacement shipment. Customers can obtain
additional supplies by contacting the Nortel Networks Customer Support
Center.
Nortel Networks will inform customers of any discrepancy in return
shipments. Any discrepancy, whether it is quantity (more or less), product
returned not matching what was ordered, inability to determine complete
order information, or non-suitable packaging, would be noted and addressed.
Page ▇▇
▇▇▇▇▇ ▇ - ▇▇▇▇▇▇▇▇ Services
Purchase and License Agreement for Fwa Equipment
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Defective Return Packing Slips
Defective return packing slips should be used to return all defective parts
to Nortel Networks. Nortel Networks will provide defective return packing
slips for use to return shipments. A copy of the defective return packing
slip should be placed in all the cartons and attached outside. This
duplication will aid in processes and proper identification of returned
material. The RMA number and the PO number should be clearly marked on the
outside of each box. If a customer supplies a packing slip, the following
information must be included on the shipping/packing list for proper
handling:
Item (Information Required)
1. From (Company name, return address, and telephone number)
2. Ship Date (Date parts are shipped from the customer)
3. Ship via (Carrier or Enterprise name)
4. Waybill number (Carrier or Enterprise tracking number
5. Number of Cartons (Number of cartons being sent on shipment)
6. Customer's PO# (Provided, if applicable)
7. Repair order number (RMA# issued by Call Center when order is
placed)
8. Site ID or Project number
9. Item Number
10. Quantity ordered
11. Quantity returned
12. Nortel Networks Part number
13. Description of item
14. Serial number (The serial number for each item in the shipment)
15. Shipment requested by (Signature of the customer's
representative)
Repair Facility Addresses
Nortel Networks de Mexico
Kilometro 42.5 ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇-▇▇▇▇▇▇▇▇▇
▇▇▇▇ # ▇
▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇ Cedros
Tepozotlan, ▇▇▇. ▇▇ ▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇
▇▇▇▇▇▇
Attn: Hardware Support Representative
This address may be modified from time to time by Nortel Networks.
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Annex H - Purchase Commitment
Purchase and License Agreement for FWA Equipment
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ANNEX H
PURCHASE COMMITMENT
Annex H - Purchase Commitment
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
ANNEX H
PURCHASE COMMITMENT
1. RSS Equipment:
a) Customer hereby irrevocably agrees to issue Orders for a Total Annual
Minimum Commitment of units in accordance with the table below, where a
unit is a complete F2 RSS or a complete F5 RSS including the RDA:
------------------ -------------------- --------------------------- ------------------------
Baseline Annual Additional Annual Minimum Total Annual Minimum
Minimum Commitment Commitment Commitment
------------------ -------------------- --------------------------- ------------------------
Year/ RSS type ▇▇▇▇▇▇ ▇▇ ▇▇ ▇▇▇ ▇▇ ▇▇▇ ▇▇▇▇▇ ▇▇▇ Units
or F5 Units Units (including
RDA) Units
------------------ -------------------- ----------- --------------- ------------------------
2003 20,000 5,000 25,000
2004 20,000 20,000
2005 20,000 5,000 25,000
2006 20,000 10,000 30,000
2007 20,000 15,000 35,000
------------------ -------------------- ----------- --------------- ------------------------
b) Orders for the 20,000 unit order amount for 2003 will be submitted on the
Closing Date.
c) An annual review of volume requirements for the following calendar year
shall be conducted in November of each year.
d) Minimum Order size shall be 5,000 units, with the following options: (i) at
least 5,000 F2 RSS, (ii) at least 5,000 F5 RSS, or (iii) at least 2,500 F2
RSS and at least 2,500 F5 RSS.
e) A surcharge of US$25 per unit shall be added to the price for the first
35,000 units ordered per year (the price per RSS set forth in Annex F of
the Contract, already includes the US$25.00 Dollar surcharge set forth in
this Section (e)). Nortel Networks will review options for reduction of
this surcharge conditional upon additional base station volume commitments.
f) Within the first thirty (30) months after Closing Date of the Agreement,
Customer hereby irrevocably agrees to issue Orders for an accumulative
quantity of compact bracket kits not less than 50,000. Bracket requirements
for the balance of the Term will be agreed between the Parties once the
above order has been completed.
Minimum Order quantity for such compact bracket kits shall be in multiples
of 5,000 units, unless otherwise agreed by the Parties.
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Annex H - Purchase Commitment
Purchase and License Agreement for FWA Equipment
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2. Base Station Units:
a) Full calendar year minimum order commitments as per the table below:
----------- ----------------------------
Base Stations "units"
----------- ----------------------------
2003 20
2004 30
2005 20
2006 20
2007 20
----------- ----------------------------
where a "unit" is counted as:
- An 18 bearer base station,
- An 18 to 27 bearer capacity upgrade,
- A 27 to 48 bearer upgrade, or
- A cell site Packet Data upgrade.
b) Order for the full calendar year minimum commitment to be placed on or
before December 15th of each year, except in 2003, where the order shall be
placed on Closing Date. Delivery to commence within six (6) months of order
acceptance and, except in the case of 2003, shall be completed within
twelve (12) months of order acceptance.
c) Minimum order quantity of ten (10) base station units shall apply.
Specifically in the case of cell site Packet Data Upgrades, where one (1)
cell site upgrade equals two (2) TPM-PDs and corresponding software
activation fees, this would mean a minimum order quantity of twenty (20)
TPM-PDs
d) Not withstanding the foregoing, in the event that AXtel identifies
additional requirements for base station units after placing the annual
purchase order as per Section 2 (b) above, such requirements will not be
subject to minimum order quantity restrictions if ordered within two (2)
months of the original order acceptance date and in accordance with the
Change Order Procedures as detailed in Annex B.
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INSERT ANNEX I
Annex J
Purchase and License Agreement for FWA Equipment
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Annex J
PLA FWA Delivery Times
Annex J
Purchase and License Agreement for FWA Equipment
--------------------------------------------------------------------------------
ANNEX J
DELIVERY TIMES
1.- RSS Equipment.
(i) Delivery of Product to commence within 6 (six) months of order
acceptance.
(ii) Partial RSS deliveries to be targeted to average 2,000 (two thousand)
per calendar month.
2.- RBS Equipment.
(i) Delivery of Product to commence within 6 (six) months of order
acceptance.
(ii) Except in the case of the year 2003, orders for the Annual Minimum
Order Requirements will be fulfilled within twelve (12) months of
order acceptance.
(iii) Except in the case of the year 2003, within two (2) months of
accepting the order for the Annual Minimum Requirement, Nortel will
provide a forecasted delivery schedule for order fulfillment and,
within a further four (4) months, a committed delivery schedule for
order fulfillment.
The Product Delivery Dates are defined in Annex E (Order Procedures) of the
Agreement.
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