CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT. THE
CONFIDENTIAL PORTIONS HAVE BEEN REDACTED AND ARE DENOTED BY [*]. THE
CONFIDENTIAL PORTIONS HAVE BEEN SEPARATELY FILED WITH THE SECURITIES AND
EXCHANGE COMMISSION.
USA DETERGENTS/XXXXX-XXXXXXXX PLASTICS
WEST COAST SUPPLY AGREEMENT
USA Detergents and Xxxxx-Xxxxxxxx Plastic Products will enter into an agreement
to have USA Detergents lease BC-3 machine on the West Coast and Xxxxx-Xxxxxxxx
install an agreed-upon number of machines to supply [*] of USA Detergents DBS
package requirements.
BC-3Y DBS INITIATIVE FOR THE WEST COAST:
Xxxxx-Xxxxxxxx will initially install for USA Detergents [*] machine to
supply the USA Detergents West Coast operations (or contract filler).
1. PRICE:
o USA Detergents will commit for a minimum 5 years, commencing
March 1, 1996 thru February 28, 2001, to lease the use of
dedicated machines per the following schedule:
TIMING LEASE/BUY CONVERSION VALUE
------ --------- ----------------
XTRA NICE N FLUFFY
---- -------------
Machine #1
March 1, 1996 [*] [*] [*]
December 1, 1996 [*] [*] [*]
Machine #2 [*] [*] [*]
Machine #3 [*] [*] [*]
Machine #4 [*] [*] [*]
Cup [*]
Label per price schedule
o Pricing for machine start up period March 1, 1996 to December
1, 1996, will be at the implied lease pricing plus conversion
value [*] and purchased on a bottles per thousand basis per
schedule 1 attached.
West Coast Supply Agreement
Page 2
2. TERMS:
Commencing March 1, 1996, and concluding February 28, 2001. Renewable
for consecutive four-year periods upon mutual written agreement by both
parties. Upon termination after initial five-year period or four-year
extension periods.
3. F.O.B. POINT:
[*] shipments will be plant of manufacture with no freight prepaid or
absorbed.
4. Due to warehousing constraints in Xxxxx-Xxxxxxxx'x La Mirada plant, all
bottles will be make and ship.
5. With above noted exceptions, all other terms and conditions of our
supply agreement of November 29, 1994, will apply.
USA DETERGENTS XXXXX-XXXXXXXX PLASTICS
Accepted by /s/ Xxxxx Xxxxxx Accepted by /s/ Xxxxx X. Xxxxxxxxxx
------------------ -----------------------
Title President and COO Title V.P. Sales Manager
------------------------- -----------------------------
Date December 7, 1995 Date November 17, 1995
------------------------- ------------------------------
Schedule 1
WEST COAST START-UP PRICING
MOLD 2435, X-TRA GALLON/WHITE
West Coast [*]
[*]
Lease/Year/Machine [*]
Lease/Day (340 Days) [*]
Estimated Pcs/Day [*]
Annual Capacity/Mach [*] West Coast Proposal Assumptions:
Bottle Weight [*]
Spout Weight [*] - Minimum five (5) year commitment from startup.
Bottle (Conv) 10/6 (White) [*] - Inflation escalators consistent with current contract.
"Implied" Lease/M [*]
Total Bottle [*]
Spout [*] - Inventory will be make and ship due to warehouse
Total Spouted Bottle [*] constraints.
* Bottle conversion price on yellow would be [*]
MOLD 21180, NICE 'N FLUFFY GALLON/BLUE
West Coast [*]
[*]
Lease/Year/Machine [*]
Lease/Day (340 Days) [*]
Estimated Pcs/Day [*]
Annual Capacity/Mach [*] West Coast Proposal Assumptions:
Bottle Weight [*]
Spout Weight [*] - Minimum five (5) year commitment from startup.
Bottle (Conv) 10/6 (Blue) [*] - Inflation escalators consistent with current contract.
"Implied" Lease/M [*]
Total Bottle [*]
Spout [*] - Inventory will be make and ship due to warehouse
Total Spouted Bottle [*] constraints.
* Bottle conversion price on green would be [*]