Supplier Managed Inventory Program Sample Clauses

Supplier Managed Inventory Program. The Parties acknowledge that SANMINA-SCI offers a Supplier Managed Inventory Program (“SMI Program”). If the Parties desire to use the SMI Program, the Parties will mutually agree on the terms of the SMI Program and amend or supplement this Agreement accordingly.

Supplier Managed Inventory Program. CUSTOMER acknowledges that the concept of “purchase commitments to a Vendor” (as used in Section 4.2(a) and elsewhere in this Agreement) includes not only SANMINA purchase orders issued to Vendors, but, subject to prior written approval by the CUSTOMER, also non-binding forecasts (which are based on CUSTOMER’s Forecasts) provided to Vendors in accordance with SANMINA’s Supplier Managed Inventory Program (“SMI Program”). Under the SMI Program, SANMINA provides Vendors with forecasts of anticipated Component requirements, and the Vendor is obligated to supply SANMINA with all forecasted Components, but SANMINA does not issue Vendor a purchase order until the Component is actually required by SANMINA for production. However, under the SMI Program, SANMINA is obligated to either consume a sufficient level of the forecasted Components or pay the Vendor for a certain level of unused Components. For the purpose of this Agreement, CUSTOMER’s Component Liability (pursuant to 4.2(f) above) shall include the cost of any required Vendor payments under the SMI Program as well as any Components actually ordered from the Vendors in accordance with this subsection (g) based on CUSTOMER’s Forecast.

Supplier Managed Inventory Program. CUSTOMER acknowledges that the concept of “purchase commitments to a Vendor” (as used in Section 4.2(a) and elsewhere in this Agreement) includes not only SANMINA-SCI purchase orders issued to Vendors, but also forecasts (which are based on CUSTOMER’s Forecasts) provided to Vendors in accordance with SANMINA-SCI’s Supplier Managed Inventory Program (“SMI Program”). Under the SMI Rev 2/10/09 CONFIDENTIAL [***] Confidential portions of the exhibit have been omitted and filed separately with the Securities and Exchange Commission. Program, SANMINA-SCI provides Vendors with forecasts of anticipated Component requirements, and the Vendor is obligated to supply SANMINA-SCI with all forecasted Components, but SANMINA-SCI does not issue Vendor a purchase order until the Component is actually required by SANMINA-SCI for production. However, under the SMI Program, SANMINA-SCI is obligated to either consume a sufficient level of the forecasted Components or pay the Vendor for a certain level of unused Components. For the purpose of this Agreement, CUSTOMER’s Component Liability (pursuant to 4.2(f) above) shall include the cost of any Components actually ordered from the Vendors based on CUSTOMER’s Forecast and in accordance with the terms of this Agreement.

Supplier Managed Inventory Program. UTS acknowledges that the concept of “purchase commitments to a Vendor” as used in this Agreement includes not only EMS purchase orders issued to Vendors, but also forecasts (which are based on UTS’ Forecasts) provided to Vendors in accordance with EMS’ Supplier Managed Inventory Program (“SMI Program”). Should UTS agree to implement the SMI Program, EMS provides Vendors with forecasts of anticipated Component requirements, and the Vendor is obligated to supply EMS with all forecasted Components, but EMS does not issue Vendor a purchase order until the Component is actually required by EMS for production. However, under the SMI Program, EMS is obligated to either consume a sufficient level of the forecasted Components or pay the Vendor for a certain level of unused Components. For the purpose of this Agreement, UTS’ Component Liability [pursuant to Section (c) above] shall include the cost of any required Vendor payments under the SMI Program as well as any Components actually ordered from the Vendors based on UTS’ Forecast.