Common use of Purchase Plan Clause in Contracts

Purchase Plan. CCE agrees to purchase and place 1,200,174 cumulative units of cold drink equipment over the ten (10) year period 1999-2008, as provided on Exhibit D (the "Purchase Plan"), in the CCE territories identified in Exhibit A hereto. The territory descriptions set forth in Exhibit A shall be controlling for purposes of this Program, regardless of any subsequent CCE division realignment, and placements made outside of the territories described in Exhibit A shall not qualify for TCCC Support Funding set forth below. In addition to the requirements for the purchase and placement of equipment set forth herein, CCE agrees that it will place all excess units of cold drink equipment held in inventory as of the date of this Agreement by no later than December 31, 2001. · Failure to adhere to the minimum purchase requirements for either Venders or Manual Equipment specified above in any one year shall not be deemed to be a violation of this Agreement so long as (1) cumulative equipment purchases for that year meet the Purchase Plan minimums and (2) Vender purchases meet at least eighty percent (80%) of the minimum annual Vender Purchase Plan requirements for that year. · CCE agrees that only TCCC-authorized Cold Drink Equipment approved for program coverage will be eligible under this Program. · At least *** percent (***%) of all Venders purchased over the life of the program must be 20-oz. contour bottle venders, unless TCCC and CCE mutually agree otherwise based on market evaluation or other considerations. · Incremental purchases in any category (Venders, Manual or Cumulative Equipment Purchases) may be used to offset shortfalls in any subsequent year in the event that CCE does not request funding for such incremental purchases in the year of purchase. Units on which funding for incremental purchases has been paid cannot be used to offset subsequent shortfalls unless and except to the extent that CCE refunds any incremental funding attributable to such incremental purchases within forty-five (45) days after the close of the calendar year in which CCE seeks to use such units to offset shortfalls. · In the event CCE purchases and places TCCC-authorized glass front venders manufactured by The Maytag Company ("GFVs"), TCCC agrees that each GFV unit will be equivalent to 2 Vender units to be applied towards CCE's minimum Purchase Plan requirements under the Program. TCCC Support Funding: · For the period 1999-2001, TCCC will provide aggregate financial support to CCE of $509,648,226 ("Base Funding") based upon CCE's purchases of Venders and Manual Equipment which are placed in the CCE territories identified in Exhibit A hereto in accordance with the Purchase Plan set forth in Exhibit D to assist CCE in the construction of an infrastructure to support the increased rate of cold drink equipment placement. The Base Funding will be paid quarterly at the rates set forth in Exhibit E to CCE quarterly in arrears for any quarter in which both Vender and Cumulative Equipment purchases are in compliance with the Annual Plan on a cumulative basis and CCE is otherwise in compliance with this Agreement in all respects. · In addition to the foregoing, in 1999, 2000, and 2001, TCCC will provide additional financial support to CCE based on excess purchases of Venders or Manual Equipment if cumulative combined purchases of Venders and Manual Equipment by CCE for placement in the CCE territories identified in Exhibit A hereto are in excess of the cumulative Purchase Plan and CCE is otherwise in compliance with the requirements of the Program ("Incremental Funding"). Such Incremental Funding shall be paid annually in arrears, unless the parties agree that such funding may be advanced based on purchases in excess of the Purchase Plan in any quarter, and shall be calculated in accordance with mutually agreed-to criteria.

Purchase Plan. CCE CCBC agrees to commit to an annual development program ("Plan") developed jointly with CCL which includes: quarterly purchases and placement of new automatic vending machines used to sell or merchandise cold drink products ("Vendors") and manual equipment, including but not limited to glass door merchandisers and fast lane merchandisers, used to sell or merchandise cold drink products ("Manual Equipment"); agreed upon minimum purchase schedules for Vendors and Manual Equipment and a "Flavour Set Standard" during each of the eleven years of the Term. The Plan will be developed at the beginning of each year, but may be modified as agreed by the parties based on market place developments during the course of the year, material currency exchange issues, mutual assessment and agreement relative to the continuing availability of profitable placement opportunities and continuing participation in the annual CCBC/CCL market planning process. · As part of the Plan CCBC agrees to purchase and place 1,200,174 place, at a minimum, 242,665 cumulative units of cold drink equipment in the Division over the ten eleven (1011) year period 1999-2008, from and including 1998 to 2008 (as provided on Exhibit D (the "Purchase Plan"), in the CCE territories identified in Exhibit A hereto. The territory descriptions set forth in Exhibit A shall be controlling for purposes of this Program, regardless of any subsequent CCE division realignment, and placements made outside of the territories described in Exhibit A shall not qualify for TCCC Support Funding set forth below. In addition to the requirements for the purchase and placement of equipment set forth herein, CCE agrees that it will place all excess units of cold drink equipment held in inventory as of the date of this Agreement by no later than December 31, 2001B). · Failure to adhere to the minimum purchase and placement requirements for either Venders Vendors or Manual Equipment specified above in any one year shall not be deemed to be a violation of this Agreement so long as as: (1i) cumulative equipment purchases for that year meet the Purchase Plan minimums minimums; (ii) Vendor purchases meet the combined minimum Vendor purchase requirements over the applicable two-year period; and (2iii) Vender Vendor and Manual Equipment purchases meet at least eighty percent (80%) of the minimum annual Vender Purchase Plan requirements for that year. · CCE agrees that only TCCC-authorized Cold Drink Equipment approved for program coverage will be eligible under this Program. · At least *** percent (***%) of all Venders purchased over the life of Term each meet the program must be 20-ozindividual Vendor and Manual Equipment requirements. contour bottle vendersNotwithstanding the foregoing, unless TCCC and CCE mutually agree otherwise based on market evaluation or other considerations. · Incremental excess purchases in any category (VendersVendors, Manual or Cumulative Equipment PurchasesCumulative) may be used to offset shortfalls in any subsequent year in during the event that CCE does not request funding for such incremental purchases in the year of purchase. Units on which funding for incremental purchases has been paid cannot be used to offset subsequent shortfalls unless and except to the extent that CCE refunds any incremental funding attributable to such incremental purchases within forty-five (45) days after the close of the calendar year in which CCE seeks to use such units to offset shortfalls. · In the event CCE purchases and places TCCC-authorized glass front venders manufactured by The Maytag Company ("GFVs"), TCCC agrees that each GFV unit will be equivalent to 2 Vender units to be applied towards CCE's minimum Purchase Plan requirements under the Program. TCCC Support Funding: · For the period 1999-2001, TCCC will provide aggregate financial support to CCE of $509,648,226 ("Base Funding") based upon CCE's purchases of Venders and Manual Equipment which are placed in the CCE territories identified in Exhibit A hereto in accordance with the Purchase Plan set forth in Exhibit D to assist CCE in the construction of an infrastructure to support the increased rate of cold drink equipment placement. The Base Funding will be paid quarterly at the rates set forth in Exhibit E to CCE quarterly in arrears for any quarter in which both Vender and Cumulative Equipment purchases are in compliance with the Annual Plan on a cumulative basis and CCE is otherwise in compliance with this Agreement in all respects. · In addition to the foregoing, in 1999, 2000, and 2001, TCCC will provide additional financial support to CCE based on excess purchases of Venders or Manual Equipment if cumulative combined purchases of Venders and Manual Equipment by CCE for placement in the CCE territories identified in Exhibit A hereto are in excess of the cumulative Purchase Plan and CCE is otherwise in compliance with the requirements of the Program ("Incremental Funding"). Such Incremental Funding shall be paid annually in arrears, unless the parties agree that such funding may be advanced based on purchases in excess of the Purchase Plan in any quarter, and shall be calculated in accordance with mutually agreed-to criteriaTerm.