Common use of MRC on Renewal Clause in Contracts

MRC on Renewal. This Clause 6.8 shall only be applicable if it is expressly stated to be applicable in a Service Schedule. If a Service Schedule is silent or does not state that this Clause is applicable, then for the avoidance of doubt, this Clause will not be applicable as between the Parties. The following are the terms applicable to revising the MRC on the renewal of the Initial Service Term: (a) On the start date of the Renewed Service Term, the MRC shall be increased to an amount (the “Adjusted Recurring Charge”) determined by multiplying the MRC (as at the end of the Initial Service Term) by a fraction, the numerator of which shall be the “SPPI,” as defined below, for the period just prior to commencement of the Renewed Service Term as published by the Malaysia Department of Statistics, and the denominator of which shall be the SPPI for the period 2010. In no event will the Adjusted Recurring Charge exceed ten percent (10%) of the MRC. (b) If the increase of the Adjusted Recurring Charge is 1% or less, than ALLO will not apply the Adjusted Recurring Charge and Customer will continue to pay the MRC that is specified in the Service Order. (c) If the result is that the Adjusted Recurring Charge is less than the MRC during the Initial Service Term, no downward adjustment shall be made, i.e., the MRC during the Initial Service Term shall continue to apply and be paid for the duration of the Renewed Service Term. (d) The Adjusted Recurring Charge shall commence from the anniversary of the SCD and apply until the expiry of the Renewed Service Term. (e) ALLO shall notify Customer of a SPPI increase pursuant to the above calculation by delivering a written statement setting forth the index for the base SPPI year, the index for the applicable comparison SPPI year, the percentage SPPI increase, and the Adjusted Recurring Charge payable by Customer. As used in this Paragraph, the term “SPPI” shall mean the Malaysia Department of Statistics, Services Producer Price Index for (sub-sector Information and Communications), 2010 = 100, available at xxx.xxxx.xxx.xx.

MRC on Renewal. This Clause 6.8 6.9 shall only be applicable if it is expressly stated to be applicable in a Service Schedule. If a Service Schedule is silent or does not state that this Clause is applicable, then for the avoidance of doubt, this Clause will not be applicable as between the Parties. The following are the terms applicable to revising the MRC on the renewal of the Initial Service Term: (a) On the start date of the Renewed Service Term, the MRC shall be increased to an amount (the “Adjusted Recurring Charge”) determined by multiplying the MRC (as at the end of the Initial Service Term) by a fraction, the numerator of which shall be the “SPPI,” as defined below, for the period just prior to commencement of the Renewed Service Term as published by the Malaysia Department of Statistics, and the denominator of which shall be the SPPI for the period 2010. In no event will the Adjusted Recurring Charge exceed ten percent (10%) of the MRC. (b) If the increase of the Adjusted Recurring Charge is 1% or less, than ALLO TIME will not apply the Adjusted Recurring Charge and Customer will continue to pay the MRC that is specified in the Service Order. (c) If the result is that the Adjusted Recurring Charge is less than the MRC during the Initial Service Term, no downward adjustment shall be made, i.e., the MRC during the Initial Service Term shall continue to apply and be paid for the duration of the Renewed Service Term. (d) The Adjusted Recurring Charge shall commence from the anniversary of the SCD and apply until the expiry of the Renewed Service Term. (e) ALLO TIME shall notify Customer of a SPPI increase pursuant to the above calculation by delivering a written statement setting forth the index for the base SPPI year, the index for the applicable comparison SPPI year, the percentage SPPI increase, and the Adjusted Recurring Charge payable by Customer. As used in this Paragraph, the term “SPPI” shall mean the Malaysia Department of Statistics, Services Producer Price Index for (sub-sector Information and Communications), 2010 = 100, available at xxx.xxxx.xxx.xx.