Common use of Non-Specialty Wafers Clause in Contracts

Non-Specialty Wafers. During Segments 1 through 24, except to the extent that it has any preexisting obligations as of the Effective Date to purchase Non-Specialty Wafers from third parties, (and, only during Segments 18 through 24, upon the additional condition that Company is competitive on cost, service, yield and technology for those Non-Specialty Wafers), Conexant shall submit all requirements for Non-Specialty Wafers that are in excess of the Wafer Volume Commitment to Company, which, provided that it has sufficient Uncommitted Available Capacity, shall be obligated to produce such Wafers, and Conexant shall be obligated to purchase such Wafers at the Contract Price, except during Segments 13 through 24. During Segment 13 and the first month of Segment 14 (“Quarter 9”), Conexant will purchase such Wafers at a price equal to the sum of the Contract Price and […***…] of the difference between the Contract Price and the Basic Price. During the second month of Segment 14 and Segment 15 (“Quarter 10”), Conexant will purchase such Wafers at a price equal to the sum of the Contract Price and […***…] of the difference between the Contract Price and the Basic Price. During Segment 16 and the first month of Segment 17 (“Quarter 11”), Conexant will purchase such Wafers at a price equal to the sum of the Contract Price and […***…] of the difference between the Contract Price and the Basic Price (in each of Quarters 9, 10, and 11, the prices described for each respective Quarter shall be referred to as the “Stepped Price”). During Segments 18 through 24, Conexant will purchase such Wafers at the Basic Price.