Contract
Exhibit 10.2
AGREEMENT made the 5th day of September 2003 BETWEEN the INDUSTRIAL DEVELOPMENT AGENCY (IRELAND) having its principal office at Xxxxxx Xxxx Xxxxx, Xxxxxx Xxxxx, Xxxxxx 2 (“XXX”) of the first part, ARTESYN INTERNATIONAL LIMITED having its registered office at Youghal, Co. Cork (“the Company”) of the second part, ARTESYN TECHNOLOGIES, INC. (having replaced Xxxx Electronics Group, Inc. as Promoters) having its registered offices at 0 Xxxxx xx xx Xxxxxxx Xxxxxxxxxx, Xxxxxx of the third part (“the Promoters”) SUPPLEMENTAL to the Grant Agreements dated 26th day of October 1994 and the 5th day of December 1997 (“the Principal Agreements”)
WHEREAS:
| A. | Under the terms and conditions of the Principal Agreements XXX agreed to make certain grants available to the Company towards the costs of carrying on an undertaking for the provision of power supplies (“the Undertaking”) and for the creation of employment for 134 persons over a base of 168 and 251 persons over, a base of 302 respectively; |
| B. | The Company has reduced employment to 70 persons and under the terms and conditions of the Principal Agreements is liable to repay grants in an amount of €2,474,402 to XXX in respect of this employment reduction; |
| C. | The Grantees and the Promoters have applied to XXX for its consent to: |
| a. | The Company being permitted to retain grants in the amount of €1,274,402 for the maintenance of 70 higher value functions in Cork |
NOW IT IS HEREBY WITNESSED that in consideration of the Company continuing to carry on the Undertaking in accordance with the terms of the Principal Agreements XXX hereby consents to the request at Recital C SUBJECT ALWAYS to the following terms and conditions:-
| 1. | That the liability period under the Principal Agreements is hereby extended to the 31st day of December 2009; |
| 2. | That the company will repay to XXX a total of €1,200,000 in four equal instalments as outlined in the schedule below: |
| Year of Repayment |
Amount to be repaid | |
| 5th January 2005 |
€300,000 | |
| 5th January 2006 |
€300,000 | |
| 5th January 2007 |
€300,000 | |
| 5th January 2008 |
€300,000 |
| 3. | That the Company shall maintain 70 jobs in the Undertaking for the duration of the Principal Agreements as outlined at Clause 1 above; |
| 4. | Should the Company reduce employment below 70 during the term of this Agreement, the Company and/or the Promoters shall repay to XXX on demand €18,206 for each and every job which reduces below 70 and in default of such repayment such sums shall be recoverable by XXX from the Company and/or the Promoters as a joint and several simple contract debt; |
| 5. | The cancellation of all grant balances as outline in the Schedule attached hereto; |
| 6. | That the terms and conditions of the Principal Agreement save insofar as same require to be altered or extended by the provisions hereof are hereby confirmed and shall remain in full force and effect. |
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SCHEDULE
The; following grant balances are hereby withdrawn and cancelled.
| Grant Type |
Date of Agreement/Acceptance |
Amount Approved |
Amount Paid |
Balance Cancelled | ||||
| Employment |
26 October 1994 | 1,701,449 | 1,668,752 | 32,697 | ||||
| Employment |
5 December 1997 | 2,390,282 | 785,650 | 1,604,632 | ||||
| R&D |
1 July 1997 | 571,382 | 546,125 | 25,257 | ||||
| R&D |
21 September 1993 | 340,925 | 323,242 | 17,683 | ||||
| Total |
1,680,269 |
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IN WITNESS WHEREOF of the parties hereto have caused their respective Seals to be affixed hereto the day and year first herein written,
PRESENT when the Seal of the
INDUSTRIAL DEVELOPMENT AGENCY (IRELAND)
was affixed hereto:-
| /s/ Xxxxxxx Xxxxx |
| AUTHORISED OFFICER |
| /s/ Xxxxxx Xxxxxxxx |
| AUTHORISED OFFICER |
PRESENT when the Seal of the
ARTESYN INTERNATIONAL LIMITED
was affixed hereto:-
| /s/ Xxx X’Xxxxxxxxx |
| DIRECTOR |
| /s/ Xxxxxx Xxxxxx |
| DIRECTOR |
PRESENT when the Seal of the
ARTESYN TECHNOLOGIES, INC.
was affixedhereto:-
| /s/ Xxxxxxx X. Xxxxxxxx |
| DIRECTOR |
| /s/ Xxxxxx X. X’Xxxxxxx |
| DIRECTOR |
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| Dated the 5th day of September 2003 |
| INDUSTRIAL DEVELOPMENT AGENCY (IRELAND) |
| First part |
| ARTESYN INTERNATIONAL LIMITED |
| Second Part |
| ARTESYN TECHNOLOGIES, INC. |
| Third Part |
| Industrial Development Agency (Ireland) Xxxxxx Xxxx Xxxxx Xxxxxx Xxxxx Xxxxxx 0 |
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