LIFETIME PROGRAM CONTRACT*
BETWEEN GENERAL MOTORS CORPORATION
NORTH AMERICAN OPERATIONS ("BUYER") AND
AMERICAN AXLE & MANUFACTURING, INC. ("SELLER")
1. Purchase of Product
Seller agrees to sell, and Buyer agrees to purchase, 100% of Buyer's production
and service requirements for the following product (the "Product" or "Goods"):
Part Per Unit Annual Daily
Number Description Price Tool Capacity
------ ----------- ----- -------------
See Attached GMT-800 Schedule, Exhibit B
2. Term
The term of this Agreement is for the "life of the Product", which is defined
as the duration of the GMT-800 style presently projected to run from ***
through ***
3. Prices: Price Reduction
The per unit price of the Product is F.O.B. Seller's Plant. Price for model
year *** is subject to the following annual percentage reduction from the prior
years price:
See Attached GMT-800 Schedule, Exhibit B
Purchases of Productive Material by Buyer for Seller shall continue through
December 31, 2002, or such earlier date established by agreement of AAM and GM.
Thereafter, except for increases or decreases in Seller's cost by reason of
Seller's participation in Buyer's Steel Resale Program; Buyer's pricing
adjustment policy(ies) for non-ferrous metals; or permitted under Buyer's
Purchase Order Terms and Conditions no adjustments will be made hereunder for
increases or decreases in Seller's costs for materials. Except for the
increases or
--------
*/ Portions of this Exhibit 10.22(e) were omitted and filed separately
with the Securities and Exchange Commission (the "Commission")
pursuant to an application for confidential treatment filed with the
Commission pursuant to Rule 406 under the Securities Act of 1933, as
amended. Such portions are marked by the symbol "***".
decreases set forth above, no other pricing adjustments (e.g. labor or
overhead) will be made except by agreement between AAM and GM.
In addition, Buyer and Seller will use their best efforts to implement cost
savings and productivity improvements, as set forth in Exhibit A attached
hereto, in order to reduce Seller's costs, with the understanding that 50
percent (50%) of jointly achieved net savings (after deduction of expenditures
for development, applications, engineering tools, prototypes and financing)
will be applied to reduce the price of the Product to Buyer and the balance
will be for the benefit of Seller.
4. Supplier Development: Quality Control
Seller agrees to participate in Buyer's supplier quality and development
program(s). In addition, Seller shall comply with all quality requirements and
procedures specified by Buyer, as the same may be revised from time to time,
including those applicable to Seller as set forth in Quality Systems
Requirements QS-9000.
5. Right to Purchase from Others
5.1 Seller will assure that the Product remains competitive in terms of
technology, design, and quality with similar goods available to Buyer during
the term of this Agreement. If, in the reasonable opinion of Buyer, the Product
does not remain competitive, Buyer, to the extent it is free to do so, will
advise Seller in writing of the area(s) in which another product is more
competitive with respect to technology, design or quality. If, within 150 days,
Seller does not agree to immediately sell the Product with comparable
technology, design or quality, Buyer may give notice of termination of this
Agreement and after a period of one (1) year after such notice may purchase
from another supplier without liability to Seller.
5.2 It is agreed by the parties that nothing in this Paragraph 5 shall modify
or otherwise limit Buyer's right under Paragraph 12 ("Cancellation") of Buyer's
Purchase Order Terms and Conditions.
6. Technical Information: Waiver of Claims
6.1 Buyer and Seller will cooperate to create, maintain, update and share
technical information about the Product and its manufacture, without
restriction, as needed, and in compliance with Buyer's drafting and math data
standards.
6.2 In the event Buyer exercises its right to terminate or cancel this
Agreement, for reasons other than those set forth in Paragraph 5 above, and
then makes the Product or purchases the Product from another supplier, Seller
agrees not to bring any action or claim against Buyer, its suppliers, dealers,
or customers for any reason, excluding any claim for infringement of patents or
other proprietary rights, arising from the manufacture, use and sale of the
Product or use of the information furnished by Seller to Buyer under this
Agreement.
2
Seller will secure the necessary agreements with its employees and
sub-contractors to assure compliance with this Section 6.
7. Purchase Order Terms and Conditions
Buyer's Purchase Order Terms and Conditions (1986), a copy of which is
attached, are hereby incorporated into this Agreement by reference. It is
understood that Paragraph 13 TERMINATION will not be applicable with respect to
this contract. Any amendment to or revision of such Terms and Conditions shall
also become a part hereof, provided that: (i) Buyer provides Seller with a copy
of the Terms and Conditions as amended or revised; and (ii) Seller does not
object to said amendment or revised Terms and Conditions within thirty (30)
days after receipt. The Terms and Conditions and any amendment or revision made
a part thereof shall be construed, to the extent possible, as consistent with
the terms and conditions set forth herein and as cumulative; provided, however,
that if such construction is unreasonable, terms and conditions set forth
herein shall control.
This Agreement is effective upon its execution. The parties hereby agree that
this agreement supersedes the Component Supply Agreement between them, dated
February 28, 1994, as amended, as it relates to the subject matter contained
herein and removes any requirement with respect to components covered hereby
for GM to give notice of non-renewal under such agreement.
Seller Buyer
By: /s/ Xxxxx X. Xxxxx By: /s/ Xxxxxx X. Xxxxxxx
------------------ ---------------------
Title: Director, Sales, GM FST Programs Title: Director, Metallic Purchasing GMTG
-------------------------------- ----------------------------------
Date: May 1, 1998 Date: June 19, 1998
----------- -------------
3
Exhibit A
"LIFETIME CONTRACT COST SAVINGS"
--------------------------------
Some examples of Cost Savings which shall be shared equally
by the parties are set forth in (a), (b), and (c) below:
(a) AAM requests from GM Engineering a dimensional change in
an Existing Component that reduces scrap and improves efficiency. If granted,
the savings with respect to that Existing Component would be shared equally by
the two parties.
(b) GM and AAM are both working on deproliferation of
Existing Component Part Numbers by changing parts to commonize them. Savings
with respect to such Existing Components would be shared by the two parties.
(c) AAM and GM requests a material change applicable to a
particular Existing Component or Components that would improve efficiency or
reduce tool costs. These savings with respect to such Existing Components would
be shared equally by the two parties.
Improvements which are not attributable to specific
components and improvements in processing, operating conditions, labor
efficiency, scrap reduction, or any other area made by AAM as a result of its
management expertise and knowledge or contributions by AAM employees, without
any input from GM, are not included in the Cost Savings computation and are the
exclusive property of AAM.
Exhibit B Page 1 of 6
LIFETIME PROGRAM CONTRACT
GMT-800
==============================================================================================================================
03/11/96 Model Year
Letter ***
02/21/96 Ramp Down Annual Daily
Current LO1-Per *Per Tool Capacity
LOI-P/N P/N Description Unit Price Unit Price
------------------------------------------------------------------------------------------------------------------------------
8.6" Rear Axles
15711501 15015678 GMT-800 Rear Axle - 3.08 Std. *** *** ***
15711512 15015679 GMT-800 Rear Axle - 3.42 Std. *** *** ***
15711514 15015680 GMT-800 Rear Axle - 3.42 L/D *** *** ***
15711578 15015681 GMT-800 Rear Axle - 3.73 Std. *** *** ***
15711580 15015682 GMT-800 Rear Axle - 3.73 L/D *** *** ***
15711584 15015683 GMT-800 Rear Axle - 4.10 Std. *** *** ***
15711585 15015684 GMT-800 Rear Axle - 4.10 L/D *** *** ***
15711509 15711509 GMT-800 Rear Axle - 3.42 Std. *** *** ***
15711510 15711510 GMT-800 Rear Axle - 3.42 L/D *** *** ***
15711575 15711575 GMT-800 Rear Axle - 3.73 Std. *** *** ***
15711577 15711577 GMT-800 Rear Axle - 3.73 L/D *** *** ***
15711590 15711590 GMT-800 Rear Axle - 4.10 Std. *** *** ***
15711591 15711591 GMT-800 Rear Axle - 4.10 L/D *** *** ***
------------------------------------------------------------------------------------------------------------------------------
9.5" Rear Axles
15711605 15034171 GMT-800 Rear Axle - 3.42 Std. *** *** ***
---- 15034168 GMT-800 Rear Axle - 3.42 L/D *** *** ***
15711558 15034174 GMT-800 Rear Axle - 3.73 Std. *** *** ***
15711559 15034175 GMT-800 Rear Axle - 3.73 L/D *** *** ***
15711588 15034178 GMT-800 Rear Axle - 4.10 Std.-HD *** *** ***
15711589 15034179 GMT-800 Rear Axle - 4.10 L/D-HD *** *** ***
15711562 15711562 GMT-800 Rear Axle - 3.73 Std.-HD *** *** ***
15711564 15711564 GMT-800 Rear Axle - 3.73 L/D *** *** ***
15711592 15711592 GMT-800 Rear Axle - 4.10 Std.-HD *** *** ***
15711594 15711594 GMT-800 Rear Axle - 4.10 L/D-HD *** *** ***
==============================================================================================================================
===============================================================================================================================
2004 2005 2006 2007 Years
*** *** *** *** 0.0%
Current
LOI-P/N P/N Description
-------------------------------------------------------------------------------------------------------------------------------
8.6" Rear Axles
15711501 15015678 GMT-800 Rear Axle - 3.08 Std. *** *** *** *** ***
15711512 15015679 GMT-800 Rear Axle - 3.42 Std. *** *** *** *** ***
15711514 15015680 GMT-800 Rear Axle - 3.42 L/D *** *** *** *** ***
15711578 15015681 GMT-800 Rear Axle - 3.73 Std. *** *** *** *** ***
15711580 15015682 GMT-800 Rear Axle - 3.73 L/D *** *** *** *** ***
15711584 15015683 GMT-800 Rear Axle - 4.10 Std. *** *** *** *** ***
15711585 15015684 GMT-800 Rear Axle - 4.10 L/D *** *** *** *** ***
15711509 15711509 GMT-800 Rear Axle - 3.42 Std. *** *** *** *** ***
15711510 15711510 GMT-800 Rear Axle - 3.42 L/D *** *** *** *** ***
15711575 15711575 GMT-800 Rear Axle - 3.73 Std. *** *** *** *** ***
15711577 15711577 GMT-800 Rear Axle - 3.73 L/D *** *** *** *** ***
15711590 15711590 GMT-800 Rear Axle - 4.10 Std. *** *** *** *** ***
15711591 15711591 GMT-800 Rear Axle - 4.10 L/D *** *** *** *** ***
-------------------------------------------------------------------------------------------------------------------------------
9.5" Rear Axles
15711605 15034171 GMT-800 Rear Axle - 3.42 Std. *** *** *** *** ***
---- 15034168 GMT-800 Rear Axle - 3.42 L/D *** *** *** *** ***
15711558 15034174 GMT-800 Rear Axle - 3.73 Std. *** *** *** *** ***
15711559 15034175 GMT-800 Rear Axle - 3.73 L/D *** *** *** *** ***
15711588 15034178 GMT-800 Rear Axle - 4.10 Std.-HD *** *** *** *** ***
15711589 15034179 GMT-800 Rear Axle - 4.10 L/D-HD *** *** *** *** ***
15711562 15711562 GMT-800 Rear Axle - 3.73 Std.-HD *** *** *** *** ***
15711564 15711564 GMT-800 Rear Axle - 3.73 L/D *** *** *** *** ***
15711592 15711592 GMT-800 Rear Axle - 4.10 Std.-HD *** *** *** *** ***
15711594 15711594 GMT-800 Rear Axle - 4.10 L/D-HD *** *** *** *** ***
===============================================================================================================================
* Unit Price is less brake components.
** Unit Price is less brake components and locking differential.
*** Program change pending engineering/commercial direction.
TBD pricing to be added upon commercial resolution.
Exhibit B Page 2 of 6
LIFETIME PROGRAM CONTRACT
GMT-800
================================================================================================================================
03/11/96
Letter Model Year
02/21/96 Ramp Down ***
Current LO1-Per *Per Annual Daily
LOI-P/N P/N Description Unit Price Unit Price Tool Capacity
--------------------------------------------------------------------------------------------------------------------------------
10.5" Rear Axles
15034170 GMT-800 Rear Axle - 3.42 SW-Std. *** *** ***
15034169 GMT-800 Rear Axle - 3.42 SW-L/D *** *** ***
15711565 15034172 GMT-800 Rear Axle - 3.73 SW-Std. *** *** ***
15711566 15034173 GMT-800 Rear Axle - 3.73 SW-L/D *** *** ***
15711595 15034176 GMT-800 Rear Axle - 4.10 SW-Std. *** *** ***
15711596 15034177 GMT-800 Rear Axle - 4.10 SW-L/D *** *** ***
15006686 GMT-800 Rear Axle - 3.42 SW-Std. *** *** ***
15006687 GMT-800 Rear Axle - 3.42 SW-L/D *** *** ***
15711567 15711567 GMT-800 Rear Axle - 3.73 SW-Std. *** *** ***
15711568 15711568 GMT-800 Rear Axle - 3.73 SW-L/D *** *** ***
15711597 15711597 GMT-800 Rear Axle - 4.10 SW-Std. *** *** ***
15711598 15711598 GMT-800 Rear Axle - 4.10 SW-L/D *** *** ***
15711599 15711599 GMT-800 Rear Axle - 4.10 DW-Std. *** *** ***
15711600 15711600 GMT-800 Rear Axle - 4.10 DW-L/D *** *** ***
15711601 15711601 GMT-800 Rear Axle - 4.10 DW-Std. *** *** ***
15711602 GMT-800 Rear Axle - 4.10 DW-L/D *** *** ***
15711603 15711603 GMT-800 Rear Axle - 4.10 DW-Std. *** *** ***
15711604 15711604 GMT-800 Rear Axle - 4.10 DW-L/D *** *** ***
15723486 GMT-800 Rear Axle - 4.10 SW-Std. *** *** ***
--------------------------------------------------------------------------------------------------------------------------------
8.25" Front Axles
26036554 15714577 GMT-800 Front Axle - 3.73 *** *** ***
26036556 15714579 GMT-800 Front Axle - 4.10 *** *** ***
26036556 15008264 GMT-800 Front Axle - 4.10 AWD *** *** ***
--------------------------------------------------------------------------------------------------------------------------------
9.25" Front Axles
26036557 15714576 GMT-800 Front Axle - 3.42 *** *** ***
26036558 15714578 GMT-800 Front Axle - 3.73 *** *** ***
26036559 15714580 GMT-800 Front Axle - 4.10 *** *** ***
15152106 GMT-800 Front Axle - 3.54 *** *** ***
15033002 GMT-800 Front Axle - 3.54 HD *** *** ***
15033003 GMT-800 Front Axle - 4.10 HD *** *** ***
15033014 GMT-800 Front Axle - 3.73 HD *** *** ***
================================================================================================================================
===================================================================================================================================
Succeeding
2004 2005 2006 2007 Years
*** *** *** *** ***
Current
LOI-P/N P/N Description
-----------------------------------------------------------------------------------------------------------------------------------
10.5" Rear Axles
15034170 GMT-800 Rear Axle - 3.42 SW-Std. *** *** *** *** ***
15034169 GMT-800 Rear Axle - 3.42 SW-L/D *** *** *** *** ***
15711565 15034172 GMT-800 Rear Axle - 3.73 SW-Std. *** *** *** *** ***
15711566 15034173 GMT-800 Rear Axle - 3.73 SW-L/D *** *** *** *** ***
15711595 15034176 GMT-800 Rear Axle - 4.10 SW-Std. *** *** *** *** ***
15711596 15034177 GMT-800 Rear Axle - 4.10 SW-L/D *** *** *** *** ***
15006686 GMT-800 Rear Axle - 3.42 SW-Std. *** *** *** *** ***
15006687 GMT-800 Rear Axle - 3.42 SW-L/D *** *** *** *** ***
15711567 15711567 GMT-800 Rear Axle - 3.73 SW-Std. *** *** *** *** ***
15711568 15711568 GMT-800 Rear Axle - 3.73 SW-L/D *** *** *** *** ***
15711597 15711597 GMT-800 Rear Axle - 4.10 SW-Std. *** *** *** *** ***
15711598 15711598 GMT-800 Rear Axle - 4.10 SW-L/D *** *** *** *** ***
15711599 15711599 GMT-800 Rear Axle - 4.10 DW-Std. *** *** *** *** ***
15711600 15711600 GMT-800 Rear Axle - 4.10 DW-L/D *** *** *** *** ***
15711601 15711601 GMT-800 Rear Axle - 4.10 DW-Std. *** *** *** *** ***
15711602 GMT-800 Rear Axle - 4.10 DW-L/D *** *** *** *** ***
15711603 15711603 GMT-800 Rear Axle - 4.10 DW-Std. *** *** *** *** ***
15711604 15711604 GMT-800 Rear Axle - 4.10 DW-L/D *** *** *** *** ***
15723486 GMT-800 Rear Axle - 4.10 SW-Std. *** *** *** *** ***
-----------------------------------------------------------------------------------------------------------------------------------
8.25" Front Axles
26036554 15714577 GMT-800 Front Axle - 3.73 *** *** *** *** ***
26036556 15714579 GMT-800 Front Axle - 4.10 *** *** *** *** ***
26036556 15008264 GMT-800 Front Axle - 4.10 AWD *** *** *** *** ***
-----------------------------------------------------------------------------------------------------------------------------------
9.25" Front Axles
26036557 15714576 GMT-800 Front Axle - 3.42 *** *** *** *** ***
26036558 15714578 GMT-800 Front Axle - 3.73 *** *** *** *** ***
26036559 15714580 GMT-800 Front Axle - 4.10 *** *** *** *** ***
15152106 GMT-800 Front Axle - 3.54 *** *** *** *** ***
15033002 GMT-800 Front Axle - 3.54 HD *** *** *** *** ***
15033003 GMT-800 Front Axle - 4.10 HD *** *** *** *** ***
15033014 GMT-800 Front Axle - 3.73 HD *** *** *** *** ***
===================================================================================================================================
* Unit Price is less brake components.
** Unit Price is less brake components and locking differential.
*** Program change pending engineering/commercial direction.
TBD pricing to be added upon commercial resolution.
Exhibit B Page 3 of 6
LIFETIME PROGRAM CONTRACT
GMT-800
===================================================================================================================================
Model Year
04/03/97 ***
Part Number LO1-*Per Annual Daily
LOI-P/NCurrentP/N Description Unit Price Tool Capacity
-----------------------------------------------------------------------------------------------------------------------------------
15152107 15152107 GMT-800 Rear Axle - 3.54 SW-Std. *** ***
15152108 15152108 GMT-800 Rear Axle - 3.54 SW-L/D *** ***
15152115 15033006 GMT-800 Rear Axle - 4.10 SW-Std. *** ***
15152116 15033007 GMT-800 Rear Axle - 4.10 SW-L/D *** ***
15152109 15033004 GMT-800 Rear Axle - 3.54 DW-Std. *** ***
15152110 15033005 GMT-800 Rear Axle - 3.54 DW-L/D *** ***
15152117 15033008 GMT-800 Rear Axle - 4.10 DW-Std. *** ***
15152118 15033009 GMT-800 Rear Axle - 4.10 DW-L/D *** ***
15152111 15152111 GMT-800 Rear Axle - 3.54 DW-Std. *** ***
15152112 15152112 GMT-800 Rear Axle - 3.54 DW-L/D *** ***
15152113 15152113 GMT-800 Rear Axle - 3.54 DW-Std. *** ***
15152114 15152114 GMT-800 Rear Axle - 3.54 DW-L/D *** ***
15152119 15033010 GMT-800 Rear Axle - 4.10 DW-Std. *** ***
15152120 15033011 GMT-800 Rear Axle - 4.10 DW-L/D *** ***
15152121 15033012 GMT-800 Rear Axle - 4.10 DW-Std. *** ***
15152122 15033013 GMT-800 Rear Axle - 4.10 DW-L/D *** ***
15011604 15011604 GMT-800 Rear Axle - 3.73 DW-Std. *** ***
15011605 15011605 GMT-800 Rear Axle - 3.73 DW-L/D *** ***
15011606 15011606 GMT-800 Rear Axle - 3.73 DW-Std. *** ***
15011607 15011607 GMT-800 Rear Axle - 3.73 DW-L/D *** ***
===================================================================================================================================
===============================================================================================================================
Succeeding
2004 2005 2006 2007 Years
*** *** *** *** ***
Part Number
LOI-P/NCurrentP/N Description
-------------------------------------------------------------------------------------------------------------------------------
15152107 15152107 GMT-800 Rear Axle - 3.54 SW-Std. *** *** *** *** ***
15152108 15152108 GMT-800 Rear Axle - 3.54 SW-L/D *** *** *** *** ***
15152115 15033006 GMT-800 Rear Axle - 4.10 SW-Std. *** *** *** *** ***
15152116 15033007 GMT-800 Rear Axle - 4.10 SW-L/D *** *** *** *** ***
15152109 15033004 GMT-800 Rear Axle - 3.54 DW-Std. *** *** *** *** ***
15152110 15033005 GMT-800 Rear Axle - 3.54 DW-L/D *** *** *** *** ***
15152117 15033008 GMT-800 Rear Axle - 4.10 DW-Std. *** *** *** *** ***
15152118 15033009 GMT-800 Rear Axle - 4.10 DW-L/D *** *** *** *** ***
15152111 15152111 GMT-800 Rear Axle - 3.54 DW-Std. *** *** *** *** ***
15152112 15152112 GMT-800 Rear Axle - 3.54 DW-L/D *** *** *** *** ***
15152113 15152113 GMT-800 Rear Axle - 3.54 DW-Std. *** *** *** *** ***
15152114 15152114 GMT-800 Rear Axle - 3.54 DW-L/D *** *** *** *** ***
15152119 15033010 GMT-800 Rear Axle - 4.10 DW-Std. *** *** *** *** ***
15152120 15033011 GMT-800 Rear Axle - 4.10 DW-L/D *** *** *** *** ***
15152121 15033012 GMT-800 Rear Axle - 4.10 DW-Std. *** *** *** *** ***
15152122 15033013 GMT-800 Rear Axle - 4.10 DW-L/D *** *** *** *** ***
15011604 15011604 GMT-800 Rear Axle - 3.73 DW-Std. *** *** *** *** ***
15011605 15011605 GMT-800 Rear Axle - 3.73 DW-L/D *** *** *** *** ***
15011606 15011606 GMT-800 Rear Axle - 3.73 DW-Std. *** *** *** *** ***
15011607 15011607 GMT-800 Rear Axle - 3.73 DW-L/D *** *** *** *** ***
===============================================================================================================================
* Unit Price is less brake components.
** Unit Price is less brake components and locking differential.
*** Program change pending engineering/commercial direction.
TBD pricing to be added upon commercial resolution.
Exhibit B Page 4 of 6
LIFETIME PROGRAM CONTRACT
GMT-800
=================================================================================================================================
02/21/96 Model Year
Base LO1- ***
Part Number Per Annual Daily
LOI-P/NCurrentP/N Description Unit Price Tool Capacity
---------------------------------------------------------------------------------------------------------------------------------
GMT-800 K-Auxiliary Propshafts
15711973 15711973 GMT-800 Front Auxiliary Propshaft *** ***
15711975 15711975 GMT-800 Front Auxiliary Propshaft *** ***
15719954 15719954 GMT-800 Front Auxiliary Propshaft *** ***
15024434 15024434 GMT-800 Front Auxiliary Propshaft * TBD ***
15031215 15031215 GMT-800 Front Auxiliary Propshaft * TBD ***
---------------------------------------------------------------------------------------------------------------------------------
GMT-800 Propshafts
15711948 15711948 GMT-800 I Piece Propshaft *** ***
15711949 15711949 GMT-800 I Piece Propshaft *** ***
15711958 15711958 GMT-800 I Piece Propshaft *** ***
15711962 15711962 GMT-800 I Piece Propshaft *** ***
15711968 15711968 GMT-800 I Piece Propshaft *** ***
15711969 15711969 GMT-800 I Piece Propshaft *** ***
15711970 15711970 GMT-800 I Piece Propshaft *** ***
---------------------------------------------------------------------------------------------------------------------------------
GMT-800 Propshafts
15711978 15034170 GMT-800 2 Piece Propshafts *** ***
15711981 15034169 GMT-800 2 Piece Propshafts *** ***
15711984 15034172 GMT-800 2 Piece Propshafts *** ***
15711991 15034173 GMT-800 2 Piece Propshafts *** ***
15711992 15034176 GMT-800 2 Piece Propshafts *** ***
---------------------------------------------------------------------------------------------------------------------------------
GMT-810 Propshafts
15711959 15711959 GMT-810 1 Piece Propshaft *** ***
15713677 15713677 GMT-810 1 Piece Propshaft *** ***
---------------------------------------------------------------------------------------------------------------------------------
GMT-820 Propshafts
15711965 15711965 GMT-820 1 Piece Propshaft *** ***
15712400 15712400 GMT-820 1 Piece Propshaft *** ***
---------------------------------------------------------------------------------------------------------------------------------
GMT-830 Propshafts
15713680 15713680 GMT-830 1 Piece Propshaft *** ***
=================================================================================================================================
==========================================================================================================================
Succeeding
2004 2005 2006 2007 Years
*** *** *** *** ***
Part Number
LOI-P/NCurrentP/N Description
--------------------------------------------------------------------------------------------------------------------------
GMT-800 K-Auxiliary Propshafts
15711973 15711973 GMT-800 Front Auxiliary Propshaft *** *** *** *** ***
15711975 15711975 GMT-800 Front Auxiliary Propshaft *** *** *** *** ***
15719954 15719954 GMT-800 Front Auxiliary Propshaft *** *** *** *** ***
15024434 15024434 GMT-800 Front Auxiliary Propshaft
15031215 15031215 GMT-800 Front Auxiliary Propshaft
--------------------------------------------------------------------------------------------------------------------------
GMT-800 Propshafts
15711948 15711948 GMT-800 I Piece Propshaft *** *** *** *** ***
15711949 15711949 GMT-800 I Piece Propshaft *** *** *** *** ***
15711958 15711958 GMT-800 I Piece Propshaft *** *** *** *** ***
15711962 15711962 GMT-800 I Piece Propshaft *** *** *** *** ***
15711968 15711968 GMT-800 I Piece Propshaft *** *** *** *** ***
15711969 15711969 GMT-800 I Piece Propshaft *** *** *** *** ***
15711970 15711970 GMT-800 I Piece Propshaft *** *** *** *** ***
--------------------------------------------------------------------------------------------------------------------------
GMT-800 Propshafts
15711978 15034170 GMT-800 2 Piece Propshafts *** *** *** *** ***
15711981 15034169 GMT-800 2 Piece Propshafts *** *** *** *** ***
15711984 15034172 GMT-800 2 Piece Propshafts *** *** *** *** ***
15711991 15034173 GMT-800 2 Piece Propshafts *** *** *** *** ***
15711992 15034176 GMT-800 2 Piece Propshafts *** *** *** *** ***
--------------------------------------------------------------------------------------------------------------------------
GMT-810 Propshafts
15711959 15711959 GMT-810 1 Piece Propshaft *** *** *** *** ***
15713677 15713677 GMT-810 1 Piece Propshaft *** *** *** *** ***
--------------------------------------------------------------------------------------------------------------------------
GMT-820 Propshafts
15711965 15711965 GMT-820 1 Piece Propshaft *** *** *** *** ***
15712400 15712400 GMT-820 1 Piece Propshaft *** *** *** *** ***
--------------------------------------------------------------------------------------------------------------------------
GMT-830 Propshafts
15713680 15713680 GMT-830 1 Piece Propshaft *** *** *** *** ***
==========================================================================================================================
*Program change pending engineering/commercial direction.
TBD pricing to be added upon commercial resolution.
05/29/98
Exhibit B Page 5 of 6
LIFETIME PROGRAM CONTRACT
GMT-800
===================================================================================================================================
04/07/95 Model Year
Base LO1- ***
Part Number Per Annual Daily
LOI-P/NCurrentP/N Description Unit Price Tool Capacity
-----------------------------------------------------------------------------------------------------------------------------------
GMT-800 Linkage Assembly
15710260 15031788 GMT-800 Linkage Assembly *** ***
15710270 15031789 GMT-800 Linkage Assembly *** ***
15712360 15031790 GMT-800 Linkage Assembly *** ***
15712362 N/A GMT-800 Linkage Assembly *** ***
-----------------------------------------------------------------------------------------------------------------------------------
GMT-800 Idler Assembly
15710272 N/A GMT-800 Idler Assembly *** ***
15712363 N/A GMT-800 Idler Assembly *** ***
15712364 15712364 GMT-800 Idler Assembly *** ***
15712365 15712365 GMT-800 Idler Assembly *** ***
-----------------------------------------------------------------------------------------------------------------------------------
GMT-800 Xxxxxx Arm
15712439 26058799 GMT-800 Xxxxxx Arm *** ***
15712440 N/A GMT-800 Xxxxxx Arm *** ***
15712441 N/A GMT-800 Xxxxxx Arm *** ***
15712442 N/A GMT-800 Xxxxxx Arm *** ***
===================================================================================================================================
=================================================================================================================================
Succeeding
2004 2005 2006 2007 Years
*** *** *** *** ***
Part Number
LOI-P/NCurrentP/N Description
---------------------------------------------------------------------------------------------------------------------------------
GMT-800 Linkage Assembly
15710260 15031788 GMT-800 Linkage Assembly *** *** *** *** ***
15710270 15031789 GMT-800 Linkage Assembly *** *** *** *** ***
15712360 15031790 GMT-800 Linkage Assembly *** *** *** *** ***
15712362 N/A GMT-800 Linkage Assembly *** *** *** *** ***
---------------------------------------------------------------------------------------------------------------------------------
GMT-800 Idler Assembly
15710272 N/A GMT-800 Idler Assembly *** *** *** *** ***
15712363 N/A GMT-800 Idler Assembly *** *** *** *** ***
15712364 15712364 GMT-800 Idler Assembly *** *** *** *** ***
15712365 15712365 GMT-800 Idler Assembly *** *** *** *** ***
---------------------------------------------------------------------------------------------------------------------------------
GMT-800 Xxxxxx Arm
15712439 26058799 GMT-800 Xxxxxx Arm *** *** *** *** ***
15712440 N/A GMT-800 Xxxxxx Arm *** *** *** *** ***
15712441 N/A GMT-800 Xxxxxx Arm *** *** *** *** ***
15712442 N/A GMT-800 Xxxxxx Arm *** *** *** *** ***
=================================================================================================================================
* Pricing includes Idler Assy as part of Linkage Assy.
** Pricing is included in the above Linkage Assy due to Program direction to
attach Idler Assy to Linkage. Original LOI stated Linkage at *** and
Idler at ***. 05/29/98
Exhibit B Page 6 of 6
LIFETIME PROGRAM CONTRACT
GMT-800
==================================================================================================================================
05/02/95 Model Year
Base LO1- ***
Part Number Description Per Annual Daily
LOI-P/N Part Number Unit Price Tool Capacity
----------------------------------------------------------------------------------------------------------------------------------
GMT-800 Front Stabilizer Bars
15711021 15711021 GMT-800 Front Stabilizer Bar *** ***
15713265 15713265 GMT-800 Front Stabilizer Bar *** ***
15713264 15154185 GMT-800 Front Stabilizer Bar *** ***
----------------------------------------------------------------------------------------------------------------------------------
GMT-800 Rear Stabilizer Bars
15153314 15153314 GMT-800 Rear Stabilizer Bar *** ***
15153315 15153315 GMT-800 Rear Stabilizer Bar *** ***
15153316 15153316 GMT-800 Rear Stabilizer Bar *** ***
15713472 15713472 GMT-800 Rear Stabilizer Bar ***
==================================================================================================================================
================================================================================================================================
Succeeding
2004 2005 2006 2007 Years
*** *** *** *** ***
Part Number Description
LOI-P/N Part Number
--------------------------------------------------------------------------------------------------------------------------------
GMT-800 Front Stabilizer Bars ***
15711021 15711021 GMT-800 Front Stabilizer Bar *** *** *** *** ***
15713265 15713265 GMT-800 Front Stabilizer Bar *** *** *** *** ***
15713264 15154185 GMT-800 Front Stabilizer Bar *** *** *** *** ***
--------------------------------------------------------------------------------------------------------------------------------
GMT-800 Rear Stabilizer Bars
15153314 15153314 GMT-800 Rear Stabilizer Bar *** *** *** *** ***
15153315 15153315 GMT-800 Rear Stabilizer Bar *** *** *** *** ***
15153316 15153316 GMT-800 Rear Stabilizer Bar *** *** *** *** ***
15713472 15713472 GMT-800 Rear Stabilizer Bar *** *** *** *** ***
================================================================================================================================
*Program change pending engineering/commercial direction.
05/29/98
WORLDWIDE PURCHASING
GM TRUCK GROUP - 800
February 21, 1996
(Supersedes letter of
January 19, 1996)
American Axle Manufacturing
- Technical Center
Xxxx Xxxxx - Executive Director
Sales, Marketing & Planning
0000 Xxxxxxxxxx Xxxxx
Xxxxxxxxx Xxxxx, Xxxxxxxx 00000-0000
RE: GMT-800 Letter of Intent
------------------------
On behalf of the N.A.O. Worldwide Purchasing Organization, this letter is being
issued to inform you that American Axle Manufacturing (AAM) has been selected
as the Design/Development & Sole Production supplier for the subject parts for
GMT-800 Front & Rear Axle requirements as described below. This award is based
on the quoted piece price and tooling investment as submitted to GMTG by AAM on
*** (See Attachment - A)
- Prices do not include cost to pre-fill Axles with oil. (Optional cost
proposed by AAM)
- All rear axles prices include assembly of rear brake components, Park
Brake, splash shield, Rotor and caliper to the axle.
- Shipping racks and misc. packaging not included.
- *Rebillable tooling = ***
- Economics: Material established using *** economics (Paragraph 3.6 of
C.S.A.). All other economics (Labor, Burden, Sales & Profit
established at *** pricing.)
- SPO: Production price, plus *** (Pkg).
- Prototype cost: See below
PART (as defined by ring gear size, w/Disc. brake components)
Part Number definition - see attachment A.
Front Axle Proto. S Rear Axle Proto. S**
8.25" *** 8.6" ***
9.25" *** 9.5" ***
10.5" ***
February 21, 1996 Pg. 2
American Axle Manufacturing - Technical Center
*AAM will provide a detailed tooling breakdown identifying specific
tooling required by operation with capacity and cost information. AAM
will make available for audit if requested by GMTG. All prices are
subject to change based upon future engineering content.
**Prototype prices based upon a request for a new prototype axle with
disc brakes. Minor changes and/or modifications to exist designs with
the addition of disc brakes will reflect a lower price. AAM will
provide GMTG with a complete cost breakdown of prototype cost if
requested. Available for audit if requested by GMTG.
It is AAM's responsibility to aggressively pursue and strive to implement all
cost reduction ideas in accordance with "Article 3" of the Component Supply
Agreement to reduce final product cost to GMTG.
GMTG requests AAM to provide cost details which indicate the progression from a
current 1996 GMT-400 axle to a 1998 GMT-800 axle based on engineering changes
per the Component Supply Agreement, as requested by GMTG engineering.
You are requested to contact Xx. Xxx Xxxxx, Design release engineers to
commence your companies participation.
Provided that AAM's participation in this design/development program is
satisfactory, and that your company is able to meet or exceed the agreed upon
terms for quality, technology, product pricing, tooling and timing, we intend
to issue one or more Purchase Orders for 100% of the previously described (8.6,
9.5, 10.5, 8.25, 9.25) production and service part requirements.
You will be contacted shortly by GMTG Purchasing to review any terms and
conditions additional to those of our RFQ and standard Purchase Order which
will apply to any of our purchases. At that time, GMTG will also review the
procedures which will be followed should the issuance of Purchase Order for
tooling, prototype or other items be determined by us necessary to support the
GMT-800 program. In this regard, please note that AAM will not be compensated
for it's participation in this program unless agreed to by and evidenced by a
Purchase or Purchase Orders with respect to rebillable tooling.
This Letter is being released upon agreement between GM & AAM to amend the
current original Component Supply Agreement to include previously negotiated
changes.
February 21, 1996 Pg. 3
American Axle Manufacturing - Technical Center
We appreciate the level of commitment which you have shown to date, and look
forward to your participation in the design/development program.
Best regards,
Xxxxxx X. Xxxx, Senior Buyer, A.P. Phone:(000) 000-0000
X.X.X.X., XXX-000 PGM Fax:(000) 000-0000
WORLDWIDE PURCHASING G.M.:(8) 366-
CC: (Less Attachment - A)
X. Xxxxxxx
S. Eckout
X. Xxxxxxx
X. Xxxx
X. Xxxxxx
X. Xxxxxxx
Axle file (w/Attach. - A)
AXLE LETTER OF INTENT- Attachment - A
FRONT 8.25"
26036553 ***
26036554 *** TO: AAM
26036556 *** Xxxx Xxxxx - Executive Director
9.25" (AAM Quote dated ***
26036557 ***
26036558 ***
26036559 ***
26036560 ***
REAR 8.6"
15711501 ***
15711512 ***
15711578 ***
15711514 ***
15711580 ***
15711509 ***
15711510 ***
15711575 ***
15711577 ***
15711584 ***
15711585 ***
15711590 ***
15711591 ***
15738746 ***
15738747 ***
15738748 ***
15738749 ***
9.5"
15711605 ***
15711558 ***
15711559 ***
15711588 ***
15711589 ***
15711562 ***
15711564 ***
15711592 ***
15711594 ***
15711507 ***
15711508 *** 10.5" 10.5"
10.5" 15711573 *** 15711567 ***
15711595 *** 15711603 *** 15711568 ***
15711566 *** 15711610 *** 15711597 ***
15711596 *** 15711574 *** 15711598 ***
15711571 *** 15711604 *** 15711565 ***
15711601 *** 15711611 ***
15711608 *** 15711607 ***
15711572 *** 15711599 ***
15711609 *** 15711600 ***
Page 1
American
Axle &
Manufacturing
----------------------------------------------
TECHNICAL CENTER
Xx. Xxxxxx Xxxx March 11, 1996
Senior Buyer
General Motors Truck Group
0000 Xxxxxxxxxx Xxxxx
Xxxx, Xxxxxxxx 00000-0000
Subject: Pricing Schedules in Support of the Agreement dated February 20, 1996
Dear Xxx:
Attached please find the part number level pricing detail to support the items
13, 14, and 15 from the subject agreement. These price schedules describe the
following:
1) A *** for propshafts, effective 1/1/96.
2) An axle pricing schedule, representing Exhibit #5 in the subject agreement.
3) A propshaft pricing schedule representing Exhibit #6 in the subject
agreement.
Based on our calculations, these price schedules accurately reflect the
respective graphs shown on Exhibit #5 and #6. We are available to assist in
explaining our calculations as you perform your analysis.
With respect to the agreed upon *** on current propshafts, we felt it was
proper to provide this to you vs. current product purchasing, in view of its
ties to the overall GMT 800 pricing agreement. If you have another preference,
please advise.
Please do not hesitate to contact me if you have any questions. As we conclude
the final details of the formal pricing arrangements, we appreciate the
confidence that GM has shown in AAM to deliver World Class products to support
the GMT 800 vehicle program.
Xxxxx Xxxxxxx
Director, GM Programs
0000 Xxxxxxxxxx Xxxxx Xxxxxxxxx Xxxxx, Xxxxxxxx 00000-0000 (000) 000-0000
*** ADJUSTMENT
PROPSHAFTS
1996
PROP PROP PRICE PRICE
1996 1996 *** VARIANCE
P/N PRICE
26014906 *** *** ***
26031004 *** *** ***
26055495 *** *** ***
26055487 *** *** ***
26055485 *** *** ***
26055494 *** *** ***
26055464 *** *** ***
26055488 *** *** ***
26032451 *** *** ***
26033684 *** *** ***
26055463 *** *** ***
26055461 *** *** ***
26055483 *** *** ***
26055462 *** *** ***
26055960 *** *** ***
26057962 *** *** ***
26057963 *** *** ***
26057959 *** *** ***
26057960 *** *** ***
26045215 *** *** ***
26045216 *** *** ***
26045217 *** *** ***
26045218 *** *** ***
26045219 *** *** ***
26045220 *** *** ***
26045221 *** *** ***
26049789 *** *** ***
26049790 *** *** ***
26050306 *** *** ***
26050308 *** *** ***
26056508 *** *** ***
26050311 *** *** ***
26050319 *** *** ***
26050322 *** *** ***
26050328 *** *** ***
PROP PROP PRICE PRICE
1996 1996 *** VARIANCE
P/N PRICE
26050329 *** *** ***
26056469 *** *** ***
26056467 *** *** ***
26056460 *** *** ***
26056465 *** *** ***
26050337 *** *** ***
26050343 *** *** ***
26050348 *** *** ***
26050377 *** *** ***
26056464 *** *** ***
26056466 *** *** ***
26051106 *** *** ***
26051107 *** *** ***
26051108 *** *** ***
26051109 *** *** ***
26051110 *** *** ***
26055461 *** *** ***
26055462 *** *** ***
26055463 *** *** ***
26055464 *** *** ***
26055483 *** *** ***
26055485 *** *** ***
26055487 *** *** ***
26055488 *** *** ***
26055494 *** *** ***
26055495 *** *** ***
26056508 *** *** ***
26057959 *** *** ***
26057960 *** *** ***
26057962 *** *** ***
26057963 *** *** ***
AAM PRICE *** SCHEDULE
AXLE
8.25 & 9.25 FRONT AXLE ASM
AAM CONFIDENTIAL
GMT 800 FRONT 1998 1999
1999 AXLE DEC PRICE PRICE PRICE
PART NUMBER SIZE QUOTED *** ***
----------- ---- ------
26036553 8.25 *** *** ***
26036554 8.25 *** *** ***
26036556 8.25 *** *** ***
26036557 9.25 *** *** ***
26036558 9.25 *** *** ***
26036559 9.25 *** *** ***
26036560 9.25 *** *** ***
May 25, May 25, May 25, May 25,
GMT 800 FRONT 2000 2001 2002 2003
1999 AXLE DEC PRICE PRICE PRICE PRICE PRICE
PART NUMBER SIZE QUOTED *** *** *** ***
----------- ---- ------
26036553 8.25 *** *** *** *** ***
26036554 8.25 *** *** *** *** ***
26036556 8.25 *** *** *** *** ***
26036557 9.25 *** *** *** *** ***
26036558 9.25 *** *** *** *** ***
26036559 9.25 *** *** *** *** ***
26036560 9.25 *** *** *** *** ***
AAM PRICE *** SCHEDULE
AXLE
8.6 REAR AXLE ASM
AAM CONFIDENTIAL
GMT 800 1998 1999
1999 AXLE DEC PRICE PRICE PRICE
PART TYPE QUOTED *** ***
---- ---- ------
NUMBER
------
15711501 LEAF SPRING *** *** ***
15711512 LEAF SPRING *** *** ***
15711578 LEAF SPRING *** *** ***
15711514 LEAF SPRING *** *** ***
15711580 LEAF SPRING *** *** ***
15711509 MULTI-LINK *** *** ***
15711510 MULTI-LINK *** *** ***
15711575 MULTI-LINK *** *** ***
15711577 MULTI-LINK *** *** ***
15711584 K-15703 *** *** ***
15711585 K-15703 *** *** ***
15711590 C-15906 *** *** ***
15711591 C-15906 *** *** ***
15738746 *** *** ***
15738747 *** *** ***
15738748 *** *** ***
15738749 *** *** ***
May 25, May 25, May 25, May 25,
GMT 800 2000 2001 2002 2003
1999 AXLE DEC PRICE PRICE PRICE PRICE PRICE
PART TYPE QUOTED *** *** *** ***
---- ---- ------
NUMBER
------
15711501 LEAF SPRING *** *** *** *** ***
15711512 LEAF SPRING *** *** *** *** ***
15711578 LEAF SPRING *** *** *** *** ***
15711514 LEAF SPRING *** *** *** *** ***
15711580 LEAF SPRING *** *** *** *** ***
15711509 MULTI-LINK *** *** *** *** ***
15711510 MULTI-LINK *** *** *** *** ***
15711575 MULTI-LINK *** *** *** *** ***
15711577 MULTI-LINK *** *** *** *** ***
15711584 K-15703 *** *** *** *** ***
15711585 K-15703 *** *** *** *** ***
15711590 C-15906 *** *** *** *** ***
15711591 C-15906 *** *** *** *** ***
15738746 *** *** *** *** ***
15738747 *** *** *** *** ***
15738748 *** *** *** *** ***
15738749 *** *** *** *** ***
AAM PRICE *** SCHEDULE
AXLE
9.5 REAR AXLE ASM
AAM CONFIDENTIAL
GMT 800 1998 1999
1999 AXLE DEC QUOTED PRICE PRICE
PART NUMBER TYPE PRICE *** ***
----------- ---- -----
15711605(O) *** *** ***
15711558(O) *** *** ***
15711559(L) *** *** ***
15711588(O) H.D. *** *** ***
15711589(L) H.D. *** *** ***
15711562(O) H.D. *** *** ***
15711564(L) *** *** ***
15711592(O) H.D. *** *** ***
15711594(L) H.D. *** *** ***
15711507(O) *** *** ***
May 25, May 25, May 25, May 25,
GMT 800 2000 2001 2002 2003
1999 AXLE DEC QUOTED PRICE PRICE PRICE PRICE
PART NUMBER TYPE PRICE *** *** *** ***
----------- ---- -----
15711605(O) *** *** *** *** ***
15711558(O) *** *** *** *** ***
15711559(L) *** *** *** *** ***
15711588(O) H.D. *** *** *** *** ***
15711589(L) H.D. *** *** *** *** ***
15711562(O) H.D. *** *** *** *** ***
15711564(L) *** *** *** *** ***
15711592(O) H.D. *** *** *** *** ***
15711594(L) H.D. *** *** *** *** ***
15711507(O) *** *** *** *** ***
AAM PRICE *** SCHEDULE
AXLE
10.5 REAR AXLE ASM
AAM CONFIDENTIAL
GMT 800 1998 1999
1999 AXLE DEC QUOTED PRICE PRICE
PART NUMBER TYPE PRICE *** ***
----------- ---- -----
15711565(O) single *** *** ***
15711595(O) single *** *** ***
15711566(L) single *** *** ***
15711596(L) single *** *** ***
15711571(O) dual *** *** ***
15711601(O) dual *** *** ***
15711608(O) dual *** *** ***
15711572(L) dual *** *** ***
15711602(L) dual *** *** ***
15711609(L) dual *** *** ***
15711573(L) dual *** *** ***
15711603(O) dual *** *** ***
15711610 dual *** *** ***
15711574(L) dual *** *** ***
15711604(L) dual *** *** ***
15711611(L) dual *** *** ***
15711607(L) dual *** *** ***
15711599(O) single *** *** ***
1571160O(L) single *** *** ***
15711567(O) single *** *** ***
15711568(L) single *** *** ***
15711597(O) single *** *** ***
15711598 single *** *** ***
May 25, May 25, May 25, May 25,
GMT 800 2000 2001 2002 2003
1999 AXLE DEC QUOTED PRICE PRICE PRICE PRICE
PART NUMBER TYPE PRICE *** *** *** ***
----------- ---- -----
15711565(O) single *** *** *** *** ***
15711595(O) single *** *** *** *** ***
15711566(L) single *** *** *** *** ***
15711596(L) single *** *** *** *** ***
15711571(O) dual *** *** *** *** ***
15711601(O) dual *** *** *** *** ***
15711608(O) dual *** *** *** *** ***
15711572(L) dual *** *** *** *** ***
15711602(L) dual *** *** *** *** ***
15711609(L) dual *** *** *** *** ***
15711573(L) dual *** *** *** *** ***
15711603(O) dual *** *** *** *** ***
15711610 dual *** *** *** *** ***
15711574(L) dual *** *** *** *** ***
15711604(L) dual *** *** *** *** ***
15711611(L) dual *** *** *** *** ***
15711607(L) dual *** *** *** *** ***
15711599(O) single *** *** *** *** ***
1571160O(L) single *** *** *** *** ***
15711567(O) single *** *** *** *** ***
15711568(L) single *** *** *** *** ***
15711597(O) single *** *** *** *** ***
15711598 single *** *** *** *** ***
GM
Worldwide Purchasing
April 3, 1997
Xx. Xxxxxxx X. Xxxxx
President & CEO
American Axle & Manufacturing, Inc.
0000 Xxxxxxxx Xxxxxx
Xxxxxxx, Xxxxxxxx 00000-0000
Dear Dick:
My Sourcing Committee met on March 27, 1997 and, subject to the conditions, set
forth below, American Axle has been selected as the supplier for (i) the 11.5"
axle business for our GMT800 Program and (ii) the additional volume
requirements of our GMT800 and other programs ***.
1. The pricing for the 11.5" axle business is that set forth in the
attachment to your letter to me of March 25. Since this product is
a "new component", our purchase will be governed by the terms and
conditions of our standard agreements and not necessarily the
terms and conditions of the Component Supply Agreement.
2. The pricing for the additional volumes required under *** shall be
as set forth in the attached schedule to this letter. These prices
shall be firm for the duration of the purchase period and not
subject to adjustment except for changes in the price(s) of
productive material(s) sold by General Motors to AAM and, when
appropriate, adjustments for engineering changes and cost
reduction/savings pursuant to Article 3 of the component supply
agreement as amended.
3. Representatives of our Treasurer's Office and GMTG will meet with
AAM personnel next week to review verify for the reasons set forth
on the next paragraphs, and audit AAM's capability to deliver on
your commitments. Periodic follow-up audits should be anticipated.
***
***
April 3, 1997
Page 2
Xxxx X. Xxxxxx
Executive Director - Metallic
/Attach.
Attachment - A
FRONT CONTRACT PRICE
7.25 ***
8.25 ***
9.25 ***
REAR
7.625 ***
8.6L ***
8.6M ***
9.5 ***
10.5 ***
LINKAGES ***
PROPSHAFTS Same as fully *** pricing schedule from Xxxxx Xxxxxxx to Xxx Xxxx.
*Adjusted accordingly for approved engineering changes as approved by
GMTG
**Pricing will remain as previously agreed to based on award of 11.5"
business.
American
Axle &
Manufacturing
Xxxxxxx X. Xxxxx
Chief Executive Officer
President
March 25, 1997
Xx. Xxxx X. Xxxxxx
Executive Director - Metallic
GM Worldwide Purchasing
NAO Headquarters
00000 Xxxxx Xxxx 0-0
Xxx 0000
Xxxxxx, Xxxxxxxx 00000
Dear Xxxx:
To further clarify my letter of March 21, 1997, referencing the GMT 800 11.5"
axle and the *** volume requirements, we agree as follows:
1. 11.5" axle prices as stated by Xxxxxx Xxxxxxx to Xxxxx Xxxxx in their
telephone conversation today and as defined on the attachment hereto;
2. *** GMT 800 prices are as contained in the February 20, 1996,
Agreement between GM and AAM, and as detailed in the subsequent
pricing schedule from Xxxxxx Xxxxxxx to Xxx Xxxx, dated March 11,
1996. The balance of components contained in *** volume requirements
are already priced per the Component Supply Agreement as amended.
Please do not hesitate to contact me if you have any questions.
Sincerely,
Xxxxxxx X. Xxxxx
cc: X. X. Xxxxxx
X. X. Xxxxxxx
D. J. Demos
0000 Xxxxxxxx Xxxxxx - Xxxxxxx, Xxxxxxxx 00000-0000 -
Phone (313) 974-276 - Fax (000) 000-0000
Attachment to letter to Xxxx X. Xxxxxx
March 25, 1997
11.5 Axle Pricing and Terms
---------------------------
(as provided to D. J. Demos by X. Xxxxxxx on March 25, 1997)
SINGLE (open) DUAL (open)
------------- -----------
Axle, bare spindle *** ***
Hubs & bearings by AAM *** ***
Consigned brake components
at 3/25/97 design levels *** ***
Axle assembly price *** ***
Rebillable tooling: ***
*** material and labor economics
Volume: ***
Locker differential pricing to be established upon completion of design/
component sourcing.
WORLDWIDE PURCHASING
X.X.X.X., XXX-000 PROGRAM
April 7th, 1995
Page 1 of 2
American Axle Manufacturing, Inc.
000 Xxxxx Xxxxxxxxxx
Xxxxxxx, XX 00000-0000
Mr. Xxxx Xxxx - Program Manager
RE: GMT-800 Steering Components
Dear Xx. Xxxx,
On behalf of the North American Operations Advance Purchasing Activity, I am
pleased to inform you that American Axle Manufacturing, Inc. has been selected
as the design/development supplier based on the following agreed to information
provided to G.M.T.G.
Linkage Assy. Idler Assy. Xxxxxx Arm
15710260 @ *** 15710272 @ *** 15712439 @ ***
15710270 @ *** 15712364 @ *** 15712440 @ ***
15712362 @ *** 15712363 @ *** 15712441 @ ***
15712360 @ *** 15712365 @ *** 15712442 @ ***
Prod. Tooling *** *** ***
Prototypes: (Each) *** *** ***
Proto. Tooling: *** *** ***
****
You are requested to contact Xx. Xxx Xxxxxxxxx at your earliest convenience to
commence your companies participation.
Provided that American Axle Manufacturing's participation in this
design/development program is satisfactory, and that your company is able to
meet or exceed the agreed upon terms for quality, technology, price,
investment/tooling (if any) and timing, it is G.M.T.G.'s intention to issue one
or more Purchase Orders for approximately *** of our production and service
part requirements.
You will be contracted shortly by G.M.T.G. Purchasing to review with you any
terms and conditions additional to those of our RFQ and standard Purchase Order
which will apply to any of our purchases. At that time G.M.T.G. will also
review with you the procedures which will be followed should the issuance of a
Purchase Order for tooling, prototypes or other
items be determined by us to be necessary. In this regard, please note that
American Axle Manufacturing will not be compensated for it's participation in
this process unless agreed to by the GMT-800 Program and evidenced by a
Purchase Order or Orders.
WORLDWIDE PURCHASING
GMT-800 PLATFORM, G.M.T.G.
May 2, 1995
American Axle Mfg.
Attn: Xxxx Xxxx - Program Manager
000 Xxxxx Xxxxxxxxxx
Xxxxxxx, XX 00000-0000
Subject: Letter of Intent - GMT-800 Stabilizer Bars. ("C" Series.)
Xxx,
On behalf of the N.A.O. Worldwide Purchasing Organization, I am pleased to
inform you that American Axle Manufacturing (AAM) has been selected as the
Design/Development supplier for the subject parts for *** of GMT-800 Stabilizer
bar "C" truck application requirements. This award is based on the negotiated
piece price, tooling investment and terms listed below:
PART P.N. PRICE INVESTMENT
Stabilizer Bar 15711021 *** ***
15713265 *** ***
15716481 *** ***
15716482 *** ***
- ***
- Prototype cost: ***
- *** PPM Quality Commitment.
You are requested to contact Xx. Xxx Xxxxxx & Xxxxx Xxxxxxx, GMT-800 Design
release engineers to commence your companies participation.
Provided that AAM's participation in this design/development program is
satisfactory, and that your company is able to meet or exceed the agreed upon
terms for quality, technology, price, investment/tooling (if any) and timing,
we intend to issue one or more Purchase Orders for approximately *** of the
previously described production and service part requirements.
You will be contacted shortly by GMTG Purchasing to review any terms and
conditions additional to those of our RFQ and standard Purchase Order which
will apply to any of our purchases. At that time, GMTG will also review the
procedures which will be followed should the issuance of a Purchase Order for
tooling, prototype or other items be determined by us necessary to support the
GMT-800 program.
May 2, 1992 Letter of Intent Page 2
AAM
Attn: Xxxx Xxxx - Program Manager
In this regard, please note that AAM will not be compensated for it's
participation in this program unless agreed to by GMTG and evidenced by a
Purchase Order or Orders.
We appreciate the level of commitment which you have shown to date, and look
forward to your participation in the design/development program.
Best regards,
XXXXXX X. XXXX - Senior Buyer, A.P. Phone: (000) 000-0000
X.X.X.X., XXX-000 PGM Fax: (000) 000-0000
WORLDWIDE PURCHASING G.M.: (8) 366-
Faxed 5-2-95 / 7pm
CC:
X. Xxxxxxx
X. Xxxxx
X. Xxxxxxx
X. Xxxxxxxxxx
X. Xxxxxxx
X. Xxxx
X. Xxxxxx
X. Xxxxx
