EXHIBIT 10.9B
August 10, 1993
Xx. Xxxxxx Xxxxx
Xxxxx-Xxxxx Industries, Inc.
00 Xxxxx Xxxxx Xxxx
Xxxxxxxxx, Xxxxxxxxxxx 00000
Dear Xxx:
This letter is to set forth our understanding on several matters relating
to the contracts ("Newsprint Contracts") between the parties dated May 19,
1978, and amended on April 1, 1987 and December 10, 1991.
1. The pricing formula in the Newsprint Contracts will be amended, as set
forth in the accompanying August 10, 1993 Amendment, to be effective in 1993
as of July 1, and in 1994. At the end of 1994 the partners will review the
formula to determine whether it fairly reflects competitive market pricing of
Eastern newsprint for volume levels similar to those in the Newsprint
Contracts. In the absence of agreement among the parties, pricing will not
revert to the formula that existed prior to this August 10, 1993 amendment of
the Newsprint Contracts.
2. The price paid by Xxx Xxxxx and The Washington Post for newsprint
purchased in the first half of 1993 shall not exceed the estimated prices paid
by Xxx Xxxxx and The Washington Post during the first half of 1993. During
1993 only, the "Partners' Price" under the Newsprint Contracts shall be
calculated separately for the first and second halves of the year based on the
average Net Transaction Price for the first and second halves of the year
respectively.
3. In order to reflect the current industry practice of premium discounts
in prices of lighter basis weight newsprint, during 1993 the list price for
45-gram basis weight newsprint will be converted into (or from) the list price
for 48.8 grant basis weight newsprint by dividing (or multiplying) the 45-gram
list price by 1.0715.
Sincerely,
DOW XXXXX & COMPANY, INC.
By: /s/ Xxxxx X. Xxxxx
------------------
Xxxxx X. Xxxxx
Agreed to and accepted: THE WASHINGTON POST
/s/ Xxxxxx Xxxxx By: /s/ Xxxxxx Xxxxx
------------------ ----------------
Xxxxxx Xxxxx
Xxxxx-Xxxxx Industries, Inc.
General Partner
August 10, 1993
Bear Island Paper Company
Route 000
Xxxxxxx, Xxxxxxxx 00000
Dear Sirs:
This Agreement will confirm that the newsprint purchase
contract between Bear Island and The Washington Post dated
May 19, 1978, and amended on April 1, 1987 and December 10, 1991 is
further amended as follows:
In the first sentence of Section 3, the words
"January 1, 1992" shall be deleted, and the words "July 1, 1993"
shall be substituted in place thereof.
The first sentence of Section 3(d) shall end after the
word "equally" and the remainder of the sentence ("such average
not...calendar year") shall be deleted.
In all other respects, the contract shall remain the
same.
If the foregoing accurately reflects our agreement,
please execute this letter agreement in the space provided below.
Very truly yours,
THE WASHINGTON POST COMPANY
By: /s/ Xxxxxx Xxxxx
_____________________________
Name: Xxxxxx Xxxxx
Accepted and agreed upon: Accepted and agreed upon for
BEAR ISLAND PAPER COMPANY purposes of providing and verifying
past prices:
By: Xxxxx-Xxxxx Industries, DOW XXXXX & COMPANY, Inc.
Inc.
General Partner
By: /s/ Xxxxxx Xxxxx By: /s/ Xxxxx X. Xxxxx
______________________ ____________________________
Name: Xxxxxx Xxxxx Name: Xxxxx X. Xxxxx
