Common use of Incentives Obligations and Change Order Profit Component Clause in Contracts

Incentives Obligations and Change Order Profit Component. Subject to Section 6.3.2.3 through 6.3.2.6, Buyer shall be obligated to pay to Contractor the Incentives Obligation and any Change Order Profit Component (if applicable), as follows: Buyer shall pay Contractor equal monthly payments that, when summed on a net present value basis to the Commencement Date using the Incentives Interest Rate, equals the total amount of Incentives Obligations plus Change Order Profit Component due hereunder. For example, if the Galaxy VIII(i)R Spacecraft is a Successfully Injected Spacecraft and on the Commencement Date all Transponders on such Spacecraft are and continue to be Successfully Operating Transponders for fifteen (15) years, PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 17 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment. assuming the maximum [***] for the entire period, the monthly Incentives Obligations payment would be [***] (the "Nominal Payment"). If the Incentives Interest Rate is less than [***] per annum for any given month, the Incentives Obligations payment will be less than the Nominal Payment. In such circumstances, the amount of each month's payment will be calculated on a net present value basis to the date of the last month's payment using the remaining unpaid principal as the new principal, the Incentives Interest Rate, and a term equal to the number of months remaining in the Incentives period. In the event that a Spacecraft has multiple Payloads, the Incentives Obligations will be allocated among such Payloads in the same manner as the allocation in Buyer's policy for launch and in-orbit insurance for such Spacecraft on the date that is not less than 30 days prior to the Launch Date. The Incentives Obligations, identified above, shall be payable in equal and consecutive monthly installments over the Specified Operation Lifetime of the Spacecraft, except as may be adjusted as set forth herein. Except as provided in Paragraph 6.3.4, the first installment of each Incentives Obligations shall be paid on the Spacecraft's Commencement Date. A sample schedule matrix showing Incentives Obligations payments for fifteen years, assuming fully successful operation, and with a hypothetical interest rate will be attached to this Contract as Exhibit G. The foregoing notwithstanding: PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 18 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment.

Incentives Obligations and Change Order Profit Component. Subject to Section 6.3.2.3 6.4.2.3 through 6.3.2.66.4.2.6, Buyer shall be obligated to pay to [***] Filed separately with the Commission pursuant to a request for confidential treatment. Contractor the Incentives Obligation and any Change Order Profit Component (if applicable), as follows: Buyer shall pay Contractor an equal monthly payments payment that, when summed calculated on a net present value basis to the Commencement Date using the Incentives Interest Rate, equals the total amount of Incentives Obligations plus Change Order Profit Component due hereunder. For example, if the Galaxy VIII(i)R XIII Spacecraft is a Successfully Injected Spacecraft and on the Commencement Date all Transponders on such the Spacecraft are and continue to be Successfully Operating Transponders for fifteen (15) years, PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 17 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment. assuming the maximum [***] for the entire period, the monthly Incentives Obligations payment would be [***TBD] (the "Nominal Payment"). If the Incentives Interest Rate is less than [***] per annum for any given month, the Incentives Obligations payment will be less than the Nominal Payment. In such circumstances, the amount of each month's payment will be calculated on a net present value basis to the date of the last month's payment using the remaining unpaid principal as the new principal, the Incentives Interest Rate, and a term equal to the number of months remaining in the Incentives period. In The Parties shall agree in writing upon an appropriate allocation of the event that a Spacecraft has multiple Payloads, portion of the Incentives Incentive Obligations will which shall be allocated among such Payloads in the same manner as the allocation in Buyer's policy payable for launch and in-orbit insurance for such Spacecraft each Payload on the date that is not less than 30 days prior to the Launch DateSpacecraft. The Incentives Obligations, identified above, shall be payable in 180 equal and consecutive monthly installments over the Specified Operation Lifetime a fifteen (15) year life of the Spacecraft, except as may be adjusted as set forth herein. Except as provided in Paragraph 6.3.46.4.4, the first installment of each Incentives Obligations shall be paid on the Spacecraft's Commencement Date. A sample schedule matrix showing Incentives Obligations payments for fifteen years, assuming fully successful operation, and with a hypothetical interest rate will be attached to this Contract as Exhibit G. The foregoing notwithstanding: PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 18 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment.

Incentives Obligations and Change Order Profit Component. Subject to Section 6.3.2.3 through 6.3.2.6, Buyer shall be obligated to pay to Contractor the Incentives Obligation and any Change Order Profit Component (if applicable), as follows: Buyer shall pay Contractor equal monthly payments that, when summed on a net present value basis to the Commencement Date using the Incentives Interest Rate, equals the total amount of Incentives Obligations plus Change Order Profit Component due hereunder. For example, if the Galaxy VIII(i)R PAS 1R Spacecraft is a Successfully Injected Spacecraft and on the Commencement Date all Transponders on such Spacecraft are and continue to be Successfully Operating Transponders for fifteen (15) years, PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 17 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment. assuming the maximum [*****] for the entire period, the monthly Incentives Obligations payment would be [*****] for PAS 1R and [*****] for Galaxy IIIC (the "Nominal Payment"). If the Incentives Interest Rate is less than [*****] per annum for any given month, the Incentives Obligations payment will be less than Buyer _______ Contractor _______ the Nominal Payment. In such circumstances, the amount of each month's payment will be calculated on a net present value basis to the date of the last month's payment using the remaining unpaid principal as the new principal, the Incentives Interest Rate, and a term equal to the number of months remaining in the Incentives period. In The Parties shall agree in writing upon an appropriate allocation of the event that a Spacecraft has multiple Payloads, the Incentives portion of Incentive Obligations will which shall be allocated among such Payloads in the same manner as the allocation in Buyer's policy payable for launch and in-orbit insurance for such Spacecraft each Payload on the date that is not less than 30 days prior to the Launch DateSpacecraft. The Incentives Obligations, identified above, shall be payable in 180 equal and consecutive monthly installments over the Specified Operation Lifetime a fifteen (15) year life of the Spacecraft, except as may be adjusted as set forth herein. Except as provided in Paragraph 6.3.4, the first installment of each Incentives Obligations shall be paid on the Spacecraft's Commencement Date. A sample schedule matrix showing Incentives Obligations payments for fifteen years, assuming fully successful operation, and with a hypothetical interest rate will be attached to this Contract as Exhibit G. The foregoing notwithstanding: PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 18 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment.:

Incentives Obligations and Change Order Profit Component. Subject to Section 6.3.2.3 through 6.3.2.6, Buyer shall be obligated to pay to Contractor the Incentives Obligation and any Change Order Profit Component (if applicable), as follows: Buyer shall pay Contractor an equal monthly payments payment that, when summed calculated on a net present value basis to the Commencement Date using the Incentives Interest Rate, equals the total amount of Incentives Obligations plus Change Order Profit Component due hereunder. For example, if the Galaxy VIII(i)R Spacecraft is a Successfully Injected Spacecraft and on the Commencement Date all Transponders on such the Spacecraft are and continue to be Successfully Operating Transponders for fifteen (15) years, PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 17 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment. assuming the maximum [** ******************************] for the entire period, the monthly Incentives Obligations payment would be [**************] (the "Nominal Payment"). If the Incentives Interest Rate is less than [*** **********************] per annum for any given month, the Incentives Obligations payment will be less than the Nominal Payment. In such circumstances, the [***] Filed separately with the Commission pursuant to a request for confidential treatment. amount of each month's payment will be calculated on a net present value basis to the date of the last month's payment using the remaining unpaid principal as the new principal, the Incentives Interest Rate, and a term equal to the number of months remaining in the Incentives period. In The Parties shall agree in writing upon an appropriate allocation of the event that a Spacecraft has multiple Payloads, portion of the Incentives Incentive Obligations will which shall be allocated among such Payloads in the same manner as the allocation in Buyer's policy payable for launch and in-orbit insurance for such Spacecraft each Payload on the date that is not less than 30 days prior to the Launch DateSpacecraft. The Incentives Obligations, identified above, shall be payable in 180 equal and consecutive monthly installments over the Specified Operation Lifetime a fifteen (15) year life of the Spacecraft, except as may be adjusted as set forth herein. Except as provided in Paragraph 6.3.4, the first installment of each Incentives Obligations shall be paid on the Spacecraft's Commencement Date. A sample schedule matrix showing Incentives Obligations payments for fifteen years, assuming fully successful operation, and with a varying hypothetical interest rate interests rates will be attached to this Contract as Exhibit G. I. The foregoing notwithstanding: PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 18 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment.:

Incentives Obligations and Change Order Profit Component. Subject to Section 6.3.2.3 through 6.3.2.6, [***]FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT. PANAMSAT AND XXXXXX PROPRIETARY INFORMATION SUBJECT TO RESTRICTIONS ON CONTRACT TITLE PAGE Buyer shall be obligated to pay to Contractor the Incentives Obligation and any Change Order Profit Component (if applicable), as follows: Buyer shall pay Contractor equal monthly payments that, when summed on a net present value basis to the Commencement Date using the Incentives Interest Rate, equals the total amount of Incentives Obligations plus Change Order Profit Component due hereunder. For example, if the Galaxy VIII(i)R Domestic 1 Spacecraft is a Successfully Injected Spacecraft and on the Commencement Date all Transponders on such Spacecraft are and continue to be Successfully Operating Transponders for fifteen (15) years, PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 17 Buyer _____ Contractor _____ assuming the maximum [*****] Filed separately with the Commission pursuant to a request for confidential treatment. assuming the maximum [*********************] for the entire period, the monthly Incentives Obligations payment would be [***********] (the "Nominal Payment"). If the Incentives Interest Rate is less than [**********************] per annum for any given month, the Incentives Obligations payment will be less than the Nominal Payment. In such circumstances, the amount of each month's payment will be calculated on a net present value basis to the date of the last month's payment using the remaining unpaid principal as the new principal, the Incentives Interest Rate, and a term equal to the number of months remaining in the Incentives period. In [*******************] of the event that a Spacecraft has multiple Payloads, the total Incentives Obligations will shall be allocated among such Payloads in payable for the same manner as C-Band Payload, and [*******] [****] of the allocation in Buyer's policy total Incentives Obligations shall be payable for launch and inthe Ku-orbit insurance for such Spacecraft on the date that is not less than 30 days prior to the Launch DateBand Payload. The Incentives [***]FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT. PANAMSAT AND XXXXXX PROPRIETARY INFORMATION SUBJECT TO RESTRICTIONS ON CONTRACT TITLE PAGE Obligations, identified above, shall be payable in 180 equal and consecutive monthly installments over the Specified Operation Lifetime a fifteen (15) year life of the Spacecraft, except as may be adjusted as set forth herein. Except as provided in Paragraph 6.3.4, the first installment of each Incentives Obligations shall be paid on the Spacecraft's Commencement Date. A sample schedule matrix showing Incentives Obligations payments for fifteen years, assuming fully successful operation, and with a hypothetical interest rate will be attached to this Contract as Exhibit G. The foregoing notwithstanding: PanAmSat and Boeing Property Information Subject to restrictions on Contract title page 18 Buyer _____ Contractor _____ [***] Filed separately with the Commission pursuant to a request for confidential treatment.: