To: Francois Goelo who wrote (1507 ) 11/3/1999 2:42:00 PM From: StockDung Respond to of 1591
Just wanted to put in my .20 cents EXHIBIT B --------- ROYALTIES Sony shall pay to Licensor a royalty for the Program of $0.20 U.S. per unit. Royalty payments will be made by Sony to Licensor on a quarterly basis. Royalties will be calculated based upon the number of copies replicated by Sony and shipped by or for Sony to an end user customer or reseller with or for a Hardware Product. No royalties shall be due for copies of the Program made for testing or demonstration purposes. There will be no downstream revenue sharing for the Program under this Agreement. All royalty payments hereunder shall be made within thirty (30) days from the end of the quarter to which they relate, and shall be made in U.S. dollars, without any deduction for taxes, currency export charges, wire transfer or other fees of any kind. Sony will maintain complete records, during and for one (1) year after the termination or expiration of this Agreement (or as may otherwise be required by applicable law), regarding the distribution and sublicensing of the Programs. Within thirty (30) days after the close of each fiscal quarter of Sony, Sony will deliver to Licensor a report which will provide all information reasonably necessary for computation and confirmation of the royalty payments, if any, due or credited to Licensor for such quarterly period. An independent certified public accountant selected by Licensor and approved in writing by Sony (which approval shall not be unreasonably withheld), may, upon reasonable notice and during normal business hours, inspect the records of Sony on which such reports are based. The audit, and all information and reports obtained therefrom, shall be subject to the confidentiality obligations provided in section 9.9 of this Agreement. If, upon performing such audit, it is determined that Sony has underpaid Licensor by an amount greater than five percent (5%) of the payments due Licensor in the period being audited, Sony will bear all reasonable expenses and costs of such audit in addition to its obligation to make full payment of such underpayment. Page 10 of 15