Xxxxx Inventory. Xxxxx agrees to sell and Drugstore agrees to buy Xxxxx Inventory to supply orders of goods made by customers of Drugstore on its internet based on-line shopping site during the term of this agreement upon the following terms:
Xxxxx Inventory. Inventory includes costs that are incurred, either directly or indirectly, to purchase or manufacture Inventory as well as to bring Inventory to a condition and location for sale calculated according to a standard costing system. No adjustment will be made to standard costs for the purposes of calculating the Closing Date Working Capital. Inventory is adjusted for the capitalization of manufacturing variances (which include volume, spending, efficiency, tooling, depreciation, material burden, other labor and overhead and material usage variance) and purchase price variances based upon the number of months of gross Inventory on hand. Inventory includes all Inventory items irrespective of whether they are expected to be consumed within the next twelve months.
Xxxxx Inventory. Contractor will procure, own, and deliver parts required for the operation and maintenance of all ODOT vehicles, including road service trucks, and all equipment maintained by ODOT. Contractor will make the goods and services set forth on Exhibit D available at each Parts Store. Parts must be available on a timely basis to minimize the down time of equipment and personnel. All Contractor Parts shall remain the property of Contractor until properly requisitioned by ODOT. All Contractor Parts and all services furnished by Contractor under this Agreement to ODOT and ODOT users shall be sold to ODOT and charged to ODOT’s operating cost centers at Contractor’s actual cost of procurement including any required shipping costs. ODOT will consult with Contractor throughout the term of this Agreement to determine the parts, supplies and equipment that Contractor will carry in inventory. Contractor is ultimately responsible for identifying, establishing and managing all necessary sources of supply and for placing, processing and tracking all orders with the various parts vendors. State law requires ODOT to purchase certain goods and services from specifically identified sources. ODOT will work with Contractor to identify any required sources during the term of this Agreement. ODOT may direct Contractor to restock inventory through existing ODOT contracts, in which case, Contractor will do so upon receipt of written confirmation from ODOT for such order. Contractor will not assume any such contracts. All invoices for such orders will be sent by the seller directly to Contractor, and Contractor shall re-xxxx ODOT for such orders on a weekly basis. Contractor shall be responsible for all costs associated with providing inventory, delivery of parts to the Parts Stores, transfers of parts between the Parts Stores, and all personnel costs and administrative overhead to operate the Parts Stores. Notwithstanding inspection and acceptance by ODOT, parts and supplies furnished under this Agreement will be warranted by Contractor. Contractor shall provide new, original equipment manufacturer (“OEM”) quality parts, supplies and equipment or the equivalent or better. All hydraulic equipment and parts must meet OEM quality, Joint Industrial Council specifications, and SAE specifications. ODOT reserves the right to establish additional specifications for goods and services purchased by Contractor on ODOT’s behalf and may reject items that do not meet the specifications contained he...
