Actual First Profit-Sharing Amount Sample Clauses

Actual First Profit-Sharing Amount. In addition to the Actual First Earnout Amount, if the Company’s revenues and pre-tax profits in calendar year 2006 exceed the 2006 revenue and pre-tax profit target amounts set forth in the Baseline Budget and, subject to Section 1.3(g) hereof, the Baseline Cap Production Requirement is satisfied for such year, the Stockholders shall be entitled to receive, subject to Section 1.3(c) and Purchaser’s rights of set-off set forth in Section 8.3 hereof, an amount equal to the sum of (I) 40% of the pre-tax profits in excess of the pre-tax profit target in the Baseline Budget attributable to sales of Company Developed Products in calendar year 2006 plus (II) 20% of the pre-tax profits in excess of the pre-tax profit target in the Baseline Budget attributable to sales or cost reductions of Jointly Developed Products in calendar year 2006 (such sum, the “Actual First Profit-Sharing Amount” and together with the Actual First Earnout Amount, the “Total First Earnout Amount”).