Product Sourcing Agreement by and between NeoMagic International Corporation, a Cayman Island company, with offices c/o Caledonian Bank & Trust Ltd., Ground Floor, Caledonian House, Mary Street, P.O. Box 1043, Georgetown, Grand Cayman, B.W.I....Neomagic Corp • April 20th, 2001 • Semiconductors & related devices
Infineon has developed and markets embedded DRAM Products. NMI is interested in the long-term procurement of supply with approximately 50.000 processed wafers from August 2001 through February 2004. Infineon is willing to make investments, to adapt its process to the specific requirements of NMI and to reserve capacity for NMI. Parties intend to share the risks connected with such investment efforts and for this purpose NMI intends to contribute to the funding of Infineon's investment by way of an irrevocable Standby Letter of Credit with the Bank of America in the name of Infineon in the amount of US $15.000.000 on which Infineon may draw on February, 27, 2004 if NMI has ordered less than 50.000 wafers.
