Catch-Up mechanisms Illustration Sample Clauses

Catch-Up mechanisms Illustration. This is an illustration of how the various catch-up mechanisms in the offer work. Year 1: - On-boarding period 1 or 2 o Scenario 1: Quarter 1< 75%, Quarter 2 > 75%, average of Quarter 1 and 2 >75% = All Pass, full discount o Scenario 2: Quarter 1 < 75%, Quarter 2 > 75%, average of Quarter 1 and 2 <75% = Q2 Pass, Q2 full discount, Q1 no discount o Scenario 3: Quarter 1 > 75%, Quarter 2 < 75%, average of Quarter 1 and 2 >75% = All Pass, full discount o Scenario 4: Quarter 1 > 75%, Quarter 2 < 75%, average of Quarter 1 and 2 <75% = Q1 Pass, Q1 full discount, Q2 no discount o Same logic applies for Quarters 3 and 4 in relation to the 80% threshold & target - End of Year catch-up o CP selects either ▪ a 12 months / 4 quarters catch-up – therefore CP will need to achieve a straight average of 77.5% across the preceding 4 quarterly periods ▪ or a 9 months / 3 quarters catch-up – therefore CP will need to achieve a straight average of 78.3% across the preceding 3 quarterly periods ▪ or a 6 months / 2 quarters catch-up – therefore CP will need to achieve a straight average of 80% across the preceding 2 quarterly periods o Any total discounts resulting from the catch-up option selected is subject to deductions for incorrect use of Order Journeys, any penalties for No Return to Copper instances and any discount already earned by the CP in previous periods o Scenarios: ▪ Scenario 1: Q1 = 70%, Q2 = 74%, Q3 = 86%, Q4 = 90% ; in this scenario, the CP has benefitted from discounts in Q3 and Q4 but not in Q1 and 2; over the 12 months / 4 quarters, the CP has achieved 80% ( above 77.5%) which means the CP will be eligible to receive the applicable discounts for Q1 and Q2, subject to all the deductions mentioned above ▪ Scenario 2: Q1 = 50%, Q2 = 74%, Q3 = 86%, Q4 = 90% ; in this scenario, the CP has benefitted from discounts in Q3 and Q4 but not in Q1 and 2; • over the 12 months / 4 quarters, the CP has achieved 75% (below 77.5%) which means the CP will not receive the applicable discounts for Q1 and Q2 • over the last 9 months / 3 quarters, the CP has achieved 83.3% (above 78.3%) which means the CP will be eligible to receive the applicable discounts for Q2, subject to all the deductions mentioned above ▪ Scenario 3: Q1 = 50%, Q2 = 70%, Q3 = 78%, Q4 = 84% ; in this scenario, the CP has benefitted from discounts in Q4 only but not in Q1, 2 and 3 • over the 12 months / 4 quarters, the CP has achieved 70.5% (below 77.5%) which means the CP will not receive any additional disc...
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