TABLE OF CONTENTS

EXHIBIT 10.1

 

[ABB Logo]    Doc No.    610 BI 0016     

Rev. ind.

  

-

    

Date

  

2004-04-16

    

From

  

Lena Hammargren

    

Dept.

  

PT HV/HV/B

    

Phone

  

+46 240 783705

    

Fax

  

+46 240 782881

    

E-mail

  

lena hammargren@se.abb.com

 

To: Mr. Etienne Savary, Business Unit Manager HV Capacitors

 

Copy to:

 

 

 

 

 

 

Process Agreement

 

 

 

between

 

Maxwell Technologies SA

 

and

 

ABB Power Technologies AB

 

 

 

High Voltage Products/Circuit Breakers

 

 

 

ABB Power Technologies AB

 

--------------------------------------------------------------------------------

    Postadress / Postal adress:

    ABB Power Technologies AB

    High Voltage Products

    SE 771 80 LUDVIK.A

    Sweden

 

Besoksadress /

Visiting adress:

Lyviksvagen 4

  Ludvika

 

Ytelefon / telephone:

0240-78 20

+46 240 78 20 00

   Telefax
0240-78 32 20
+46 240 78 32 20    Bankgiro / Bank details
882-0912
Org nr/VAT No:
SE5560 18-0720

 

--------------------------------------------------------------------------------

TABLE OF CONTENTS

CONTENTS

 

1.      Parties and Purpose of the Supplier Process Agreement

   3

2.      Scope of Supply and Prices

   3

3.      Validity and Continuation

   3

4.      Designs and Technical Specifications

   4

5.      Co-operation and Supplier Rating

   4

6.      Stock-keeping / Responsibilities

   4

7.      Forecasting

   4

8.      Orders, Order Acknowledgement, Order Changes, and Order Cancellation

   5

9.      Delivery Time

   5

10.    Delivery Terms

   6

11.    Deliveries and Transportation

   6

12.    Accuracy of Delivery

   6

13.    Liquidated Damages for Delay in Delivery

   7

14.    Packing and Palletizing

   7

15.    Delivery Documents

   7

16.    Customs Clearance

   8

17.    Invoicing

   8

18.    Complaints and Complaint Handling Compensations

   8

19.    Export Control

   8

20.    Logistics Development Plan

   9

21.    Patents and other rights

   9

22.    Confidentiality

   9

23.    Termination — Breach of contract

   10

24.    Product liability

   10

25.    Choice of law and arbitration

   10

26.    Scope

   10

 

2

--------------------------------------------------------------------------------

TABLE OF CONTENTS

1. Parties and Purpose of the Supplier Process Agreement

 

This Agreement is entered into by Maxwell Technologies SA, CH-1728 Rossens,
Switzerland (hereinafter “Supplier”) and ABB Power Technologies AB, High Voltage
Products/Circuit Breakers (hereinafter ‘Buyer”). If other ABB companies join the
Supplier Process Agreement, all the Appendices should be updated to contain the
local Buyer specific information. A separate Supplier Process Development Plan
described in chapter 20. Supplier Process Development Plan should be made
separately for every company that is included in the agreement.

 

The purpose of this Agreement is to improve the transparency throughout the
whole supply chain, to raise the level of quality, to enhance the on time
delivery performance, to intensify the collaboration, and to build up industry
leading logistical practices.

 

These goals are achieved with a concrete action plan described in chapter 20.
Supplier Process Development Plan.

 

This Agreement is based on mutual trust and co-operation.

 

2. Scope of Supply and Prices

 

The Supplier undertakes to deliver to the Purchaser, during the Agreement
period, the items described in Enclosure 1 and in accordance with the technical
specification and the terms and conditions stated in this Agreement.

 

Prices agreed in appendix 1 are fixed during the validity of this agreement.
During the agreement period the parties shall work towards reduction in costs.
Reduction in costs can be achieved by, for example, change of methods of
production, simplified administration or increased productivity. Reduction of
costs shall lead to reduction the price payable by ABB.

 

It is suggested, if agreement should be renewed for a long-term period, to
discuss the pricing year 2007 in month 09 year 2006.

 

If the parties agree to include in this agreement products other than the items
described in Enclosure 1, the additional products shall be priced in accordance
with the intentions of this agreement. Pricing shall in such instances be based
on the price of equivalent items, adjusted with regard to any difference in
costs.

 

3. Validity and Continuation

 

This Agreement shall take effect from the time it is signed by both parties and
shall be valid for three years. If other companies join, it becomes effective to
them on the date they sign the agreement.

 

The main item of this Agreement, 20. Supplier Process Development Plan, shall be
reviewed minimum once per year to extend the development actions for an
additional year. Thus, the Supplier Process Development Plan will always cover
the next two years

 

3

--------------------------------------------------------------------------------

TABLE OF CONTENTS

In the event the Agreement is terminated, the Supplier is obliged to return to
the Buyer all property belonging the Buyer

 

This Agreement supersedes all other previous declarations on intent, oral or
written, insofar as they are within the scope of this Agreement.

 

4. Designs and Technical Specifications

 

The Supplier must have and maintain official technical drawings from every part
supplied, which are under the Supply Agreement, Enclosure 1. When the ABB
Extranet—tool “Documentation & Part List” on the Advanced Supply Chain
Collaboration—Internet pages is installed, this tool will be used for
transferring the necessary documentation.

 

The supplier must inform and get an written approval from ABB in good time
before proposed technical or other changes to the product, that may affect ABB’s
or the end customer’s utilisation of these.

 

5. Co-operation and Supplier Rating

 

The parties shall meet minimum once per year to follow up and to further develop
their co-operation. A recommended agenda for such meetings is presented in
Appendix 2.

 

6. Stock-keeping / Responsibilities

 

Buyer requires an on-time-delivery performance and availability of 100%.
Supplier is obliged to keep a stock level that guarantees the requirement. If
needed, buffer quantities can be agreed upon in Appendix 3.

 

The part quantities the Buyer is responsible for in cases that result in
obsolescent stock are listed in Appendix 3. If possible, an old revision is used
wholly before a newer is taken in use.

 

7. Forecasting

 

The Buyer shall provide the Supplier with a forecast. The Supplier shall visit
the Advanced Supply Chain Collaboration—internet pages for forecast instructions
and forecast information minimum once a week according to the to the
instructions found on the pages to run the online forecast report. It is
recommended to run the report frequently to stay updated about the demand
situation.

 

The Supplier has to check the sufficiency of its capacity, materials, and
buffers according to the forecast plus in Appendix 4 agreed flexibility taking
into account vacations and other production disruptions and either commit within
one week to the quantities or inform the Buyer about possible problems in
deliveries.

 

The Buyer shall not be obligated to place orders in accordance with any such
forecast. Unless otherwise agreed Supplier accepts and agrees that such
forecasts are for

 

4

--------------------------------------------------------------------------------

TABLE OF CONTENTS

estimating and scheduling purposes only and shall not be deemed a guarantee of
any minimum or maximum volume.

 

8. Orders, Order Acknowledgement, Order Changes, and Order Cancellation

 

The order and order acknowledgement procedure is defined in Appendix 5. The time
between 1.1 (Placing order) and 1.3 (Order acknowledgement) in Picture 1 is set
out in Appendix 5. Unless otherwise agreed in Appendix 5, an acknowledgement
time of two working days shall be used.

 

The Buyer has right to change the order. If the demand for change occurs after
the defined Order change time the solution has to be agreed by both parties. The
terms for order changing are defined in Appendix 5.

 

The Buyer has right to cancel the order. If the demand for cancellation occurs
after the defined Order cancellation time the solution has to be agreed by both
parties. The terms for order cancellation are defined in Appendix 5. In case a
better solution cannot be found, the supplier has the right to ask for a charge
on percentage of completion according to Equation 1.

 

             

cancellation compensation  =

  

*

--------------------------------------------------------------------------------

   x  *      *       

 

In case the Supplier acknowledges a delivery time longer than the agreed in
Appendix 6, the Supplier is obliged to contact the Buyer by phone and confirmed
facsimile with the acknowledgement information.

 

9. Delivery Time

 

The delivery process and delivery time are defined in Appendix 6. The delivery
time for each material or material group is defined as the time between 1.1
(Placing order) to 1.8 (Receiving goods), visualised in Picture 1.

 

Supplier shall notify Buyer in written form immediately of any deviations from
the acknowledged delivery time.

 

The supplier has the objective to shorten the production lead times to be
shorter than the delivery time. Until this goal is met, the Supplier meets the
agreed delivery time and flexibility by keeping buffer stock.

 

 

 

 

 

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

5

--------------------------------------------------------------------------------

TABLE OF CONTENTS

10. Delivery Terms

 

The delivery term is specified per local Buyer in Appendix 7 according to
Incoterms 2000.

 

In case the Supplier is responsible for the transportation from Supplier to
Buyer location. Supplier is fully responsible for the deliveries to be exactly
on time. If the transportation provider fails to perform as agreed, Supplier is
required to take immediate corrective actions to minimise the harmful effects.
Supplier is responsible for all costs associated with the delay and must notify
Buyer immediately when delay is notified.

 

11. Deliveries and Transportation

 

Supplier shall use the Buyer’s forwarder for all deliveries. Supplier shall ask
the Buyer the needed forwarder information.

 

Partial deliveries are not allowed unless separately agreed upon in written.

 

The supplier shall agree procedures for express deliveries separately with Buyer
case by case. The express tracking number always has to be notified to the
Buyer. The Supplier is obliged to use the transportation contracts of Buyer in
case the transportation cost of the express delivery is agreed to be paid by
Buyer.

 

The Supplier shall deliver delayed deliveries in the fastest way according to
the Buyers time demand. Delayed deliveries are always at the Supplier’s expense.
In the event of delay, the Supplier shall when delay is noticed or upon Buyer
enquiry promptly by giving Buyer the first priority take such actions as are
satisfactory to the Buyer to enable the delivery. Actions should include but not
be limited to night work, over time, weekend work, work on religious holidays,
airfreight, taxi transportation, and postponing vacations.

 

The Supplier will always immediately inform the Buyer when delay is expected.
The Supplier shall check the late deliveries from the Advanced Supply Chain
Collaboration—Internet pages once a week according to the to the instructions
found on the pages.

 

12. Accuracy of Delivery

 

The Supplier is committed to 100% delivery reliability.

 

Both the Supplier and the Buyer shall monthly measure the Supplier’s delivery
reliability and report the measurements quarterly, with a quarter year summary.
The exact delivery deviations are measured against acknowledged delivery date.
The acknowledged delivery date shall not at any point be longer than the date
calculated by using the agreed delivery time as basis.

 

6

--------------------------------------------------------------------------------

TABLE OF CONTENTS

Delivery term FCA

 

Responsibility of Supplier

 

Supplier will measure the on time delivery on monthly base to Buyer according to
below:

 

The number of deliveries promptly made out of the total number of deliveries
during the period. Only complete deliveries and error free order items shall be
taken into account.

 

Deliveries within -7/+0 calendar days from the agreed delivery date shall be
considered to have been made on time.

 

If the delivery performance (OTD%) is below 98% in any month, the Supplier is
committed to make report of every delayed delivery including root cause analysis
and corrective actions and send it to the Buyer by the 15th of the successive
month. If Buyer requests monthly reporting, the Supplier shall report OTD% to
the Buyer by the 5th of the successive month.

 

Responsibility of Buyer

 

Buyer will measure the on time delivery with the current business information
system.

 

13. Liquidated Damages for Delay in Delivery

 

Penalty for delayed deliveries:

 

*% of delayed amount per working day, max *%.

 

14. Packing and Palletizing

 

The packing material shall be environmentally friendly according to ISO 14001
and appropriate for the purpose. The package material shall if required be of
anti-static type in order to avoid ESD damage of electronic components. The
containers or packing shall protect the material from damage in transit,
facilitate further handling at Buyer and maintain optimum costing in view of the
overall process. Closer information can be found on the Advanced Supply Chain
Collaboration—Internet site.

 

15. Delivery Documents

 

Each delivery must be identified with delivery document(s). The packing list
must include the despatch note number, order number, position number, Buyer’s
part number, part explanation, quantity, product line, destination, address, and
a bar code including the despatch note number, order number, position number,
and quantity. The packing list shall be attached to every separate pallet.
Closer information can be found on the Advanced Supply Chain
Collaboration—internet site. The supplier is responsible to provide the
transportation company with the necessary documentation.

 

 

 

 

 

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

7

--------------------------------------------------------------------------------

TABLE OF CONTENTS

16. Customs Clearance

 

Supplier shall upon request prove the origin of goods and their customs code and
unit weight in accordance with the nomenclature used by the EU. The deliveries
have to comply with all applicable regulations e.g. US regulations, among
others, the Export Control Regulations and customs regulations.

 

17. Invoicing

 

Principally electronic means are used for invoicing. The invoices shall quote
Buyer’s order number, position, and price. Supplier shall invoice in currency
agreed in the Supply Agreement. Invoicing practice is defined in Appendix 8.

 

Terms of payment are 60 days net.

 

18. Complaints and Complaint Handling Compensations

 

In case the Supplier delivers a defective product or material, a replacement
shall be delivered in the most effective way according to the Buyers time
demand. The Buyer makes the decision whether a replacement shall be delivered.
Transportation costs for these deliveries are always at Supplier’s expense. The
Buyer may also choose to correct the defect itself. The Buyer is allowed to
compensation for costs that have been accumulated due to changing the defective
product or material to a faultless one or due to Buyer correction of the defect.
The Buyer may choose to receive a credit note as compensation for the defective
material.

 

By request of the Supplier, the defect material will be sent back to Supplier if
a replacement has taken place. Transportation costs for the returned parts or
materials are always at Supplier’s expense.

 

Buyer has the right to charge Supplier * EUR for every complaint made as a
complaint-handling fee.

 

Other compensations shall be determined according to the Supply Agreement
enclosure XX.

 

Complaint handling is defined in Appendix 9.

 

19. Export Control

 

Supplier has acquainted itself with the valid statutes on export and import
control concerning the deliveries for the Buyer and is committed to abide by
them or Buyer has to provide the Supplier with the needed documentation.

 

 

 

 

 

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

8

--------------------------------------------------------------------------------

TABLE OF CONTENTS

The Supplier shall upon demand by ABB provide, without charge to ABB,
certificates of origin and other documents in order to establish the origin of
the Products in accordance with relevant trade agreements

 

ABB Power Technology Products AB

   VAT NO:    SE 556012224301     

Maxwell Technologies AS

   VAT NO:    140746     

 

20. Logistics Development Plan

 

The Supplier Process Development Plan is a three-year development commitment
between the parties and is described in detail in Appendix 10.

 

21. Patents and other rights

 

The Supplier shall hold ABB harmless for all damage that may ensue from
disagreement concerning alleged or actual infringements of patents, copyright,
trademarks, trade names or other rights, through the utilization of the
Supplier’s Products, systems. programmes or documentation,

 

In case of infringement, the Supplier shall, for its own account, safeguard
ABB’s right to continue utilizing the Products, or alter the Products so that
there is no longer an infringement, or replace the Products with equivalent
products so that the utilization of which does not infringe.

 

Rights to ideas, inventions, know-how emanating from the parties’ cooperation
shall vest in the originator. Where the Supplier is the originator or author,
ABB shall be licensed to make use of the idea, invention, etc., in consideration
of the payment of reasonable fees.

 

22. Confidentiality

 

Technical or commercial information obtained by ABB from the Supplier, and vice
versa, in the course of their commercial relations, shall be treated in
confidence by the recipient party for five years thereafter

 

The duty of confidentiality shall not apply to information:

 

  a) already known to the recipient, when he took part thereof in the
circumstances above defined;

 

  b) properly provided by third party to the recipient; or,

 

  c) which is or becomes generally available through other means than breach of
this clause.

 

9

--------------------------------------------------------------------------------

TABLE OF CONTENTS

23. Termination – Breach of contract

 

The Supplier and ABB may immediately terminate this agreement or cancel any
binding order placed by giving written notice to the other party, if the other
party has:

 

  a) committed a fundamental breach of the agreement and in spite of a written
demand to remedy the breach no suitable measures have been taken to do so within
30 days of receipt of such demand;

 

  b) become unable to pay its debts or entered into compulsory or voluntary
liquidation;

 

  c) Prices agreed upon in Enclosure 1 are assumed to be competitive.
Unreasonably high prices, which the parties cannot agree upon, are also cause
for termination of this agreement.

 

24. Product liability

 

The Supplier shall take out necessary insurance’s to protect himself and ABB
against all claims and costs arising from faulty Products delivered by the
Supplier.

 

25. Choice of law and arbitration

 

The parties agree to submit to arbitration in accordance with the rules of
Arbitration Institute of the Stockholm Chamber of Commerce

 

This agreement shall be governed by Swedish law.

 

26. Scope

 

This Agreement supersedes all other previous declarations on intent, oral or
written, insofar as they are within the scope of this Agreement.

 

Appendixes to the Agreement:

 

Picture 1

   Order - delivery flow

Appendix 1

   Products, prices

Appendix 2

   Recommended agenda for seasonal meetings

Appendix 3

   Buffer quantities and stock responsibilities.

Appendix 4

   Forecast flexibility

Appendix 5

   Order, order acknowledgement, order change, and order cancellation procedure

Appendix 6

   Delivery time

Appendix 7

   Delivery terms

 

10

--------------------------------------------------------------------------------

TABLE OF CONTENTS

Appendix 8

   Invoicing

Appendix 9

   Complaint process

Appendix 10

   ASCC

 

11

--------------------------------------------------------------------------------

TABLE OF CONTENTS

This Agreement has been executed in two identical copies, one for both parties.

 

Ludvika, 2004-04-16

 

ABB Power Technologies       Maxwell Technologies SA High Voltage Products      
HV Capacitors

Circuit Breakers

       

/s/ Hans Linder

--------------------------------------------------------------------------------

Hans Linder

         

 

--------------------------------------------------------------------------------

Etienne Savary

Supply Chain Manager           Business Unit Manager

 

         

/s/ Lena Hammargren

--------------------------------------------------------------------------------

Lena Hammargren

            Supplier Manager            

 

12

--------------------------------------------------------------------------------

TABLE OF CONTENTS

        [ABB Logo]           

Process agreement

Appendix 1: Products, prices, qualification tests for jointed porcelain

Annexe 1 Mechanical test planned, Annexe 2 Electrical test planned in

RTH / Zurich CH

Department

  Issued by:   Date:   Approved by:   Page

PTHVP/BI

  Lena Hammargren   2004-04-16   Hans Linder   1(6)

 

13

--------------------------------------------------------------------------------

TABLE OF CONTENTS

[MAXWELL LOGO]   CONDIS

ABB Power Technologie Product AB, LUDVIKA

HV Product / Circuit breaker

  Price list HO-300551 mod.4

 

 

Standard
type

--------------------------------------------------------------------------------

  

Non-

standard
type

--------------------------------------------------------------------------------

   Make-
to-
order
product

--------------------------------------------------------------------------------

   Type CONDIS

--------------------------------------------------------------------------------

   Maxwell drawing

--------------------------------------------------------------------------------

   Type ABB
Ludvika

--------------------------------------------------------------------------------

   Voltage
[kV]

--------------------------------------------------------------------------------

   Capacitance
[pF]

--------------------------------------------------------------------------------

   Length
[mm]

--------------------------------------------------------------------------------

   Creepage
[mm]

--------------------------------------------------------------------------------

   Colour

--------------------------------------------------------------------------------

  

Price/unit
2004

--------------------------------------------------------------------------------

   Price/unit*
1st
July
‘004

--------------------------------------------------------------------------------

   Price/unit*
1st
Sept
2004

--------------------------------------------------------------------------------

   Price/unit
2005

--------------------------------------------------------------------------------

   Price/unit
2006

--------------------------------------------------------------------------------

     0-24         CDOR0028N30    T100C1480B284N30    5417030-10    100    4800
   1400    4525    brown    *    *    *    *    *      0-24         CDOR0029N80
   T100C1480B284N80    5417030-15    100    4800    1400    4525    grey    *   
*    *    *    *      0-24         CDOR0022N30    T100C1160B314N30    5417029-20
   110    1600    1400    4525    brown    *    *    *    *    *      0-24     
   CDOR0023N80    T100C1160B314N80    5417029-25    110    1600    1400    4525
   grey    *    *    *    *    *           x    CDOR0556N80    Q130C1160B714N80
   1HSB445417-8    130    1600    1785    5802    grey    *    *    *    *    *

150

             CDOR0024N10    T13001160B714N10    5417029-10    130    1600   
1800    5250    brown    *    *    *    *    *      24         CDOR0025N60   
T130C1160B714N60    5417029-15    130    1600    1800    5250    grey    *    *
   *    *    *      0-24         CDOR0026N30    T170C1160B864N30    5417029-30
   170    1600    1950    6315    brown    *    *    *    *    *           x   
CDORC557N80    Q170C1160C064N80    1HSB4454-17-7    170    1600    2135    7192
   grey    *    *    *    *    *

10001

             CDOR0032N30    T170C1160C064N30    5417032-20    170    1600   
2150    7180    brown    *    *    *    *    *                CDOR0032N31   
T170C1160C064N31    5417032-50    170    1600    2150    8250    brown    For
standardisation, will be replaced by CDOR0032N33 5417032-70 with creepage 8800mm
     30-150         CDOR0032N33    T170C1160C064N33    5417032-70    170    1600
   2180    8800    brown    *    *    *    *    *           x    CDOR0032N32   
T170C1160C064N32    5417032-60    170    1600    2180    8800    brown    *    *
   *    *    *      36         CDORC033N80    T170C1160C064N80    5417032-25   
170    1600    2150    7180    grey    *    *    *    *    *           x   
CDOR0558N80    Q130C0500B714N80    similar 5417029-10    130    500    1785   
5802    grey    *    *    *    *    *      0-24         CDOR0560N10   
T130C05008714N10    1HSB445417-1    130    500    1800    5250    brown    *   
*    *    *    *      0-24         CDOR0501N60    T130C05008714N60   
1HSB445417-2    130    500    1800    5250    grey    *    *    *    *    *     
0-24         CDOR0722N30    T170C05008864N30    1HSB445417-3    170    500   
1950    6315    brown    *    *    *    *    *      0-24         CDOR0723N80   
T170C05008864N80    1HSB445417-4    170    500    1950    6315    grey    *    *
   *    *    *           x    CDOR0559N80    Q170C0500C064N80    similar
5417032-20    170    500    2135    7192    grey    *    *    *    *    *     
0-24         CDOR0562N30    T170C0500C064N30    1HSB445417-5    170    500   
2150    7180    brown    *    *    *    *    *      0-24         CDOR0563N80   
T170C5500C064N80    1H58445417-6    170    500    2150    7100    grey    *    *
   *    *    *

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

14

--------------------------------------------------------------------------------

TABLE OF CONTENTS

[MAXWELL LOGO]   CONDIS

ABB Power Technologie Product AB, LUDVIKA

HV Product / Circuit breaker

  Price list HO-300551 mod.4

 

Over Cost for painting:

   *.—/capacitor

Delivery time:

   see table in contract

Min quantity per delivery:

   * pces

Delivery conditions:

   FCA, Rossens

Payment:

   30 days net (for 90 days: price increase *%)

Validity of the price list:

   From date of signature to December 2006 (order entry; delivery max march
2007)

Packaging:

   6pces per crates included

Treatment of the crates:

   NIMP 15 included

Identification at the crates:

  

•       acknowledgement nber (included in the crates nber)

•       Serial nber of capacitor

     A bar code will be introduced in the current 2004.

Delivery document:

   One Packing list per delivery

Acknowledgement time:

   4 days, for composite 10 days 14 days since 1.1.2005)

Penalties against delays in delivery:

   *% of delayed amount per working day, max *%.

 

Glueded porcelain will be accepted when the capacitor has passed the vibration
and electrical type tests according STC 12.0130 (dated: 15 march 2004)

 

Rossens, 15th March 2004

 

Etienne Savory

Maxwell technologies SA

Business Unit Manager

HV capacitors

 

Alain Riedo

Maxwell technologies SA

Managing Director

 

 

 

 

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

15

--------------------------------------------------------------------------------

TABLE OF CONTENTS

[MAXWELL LOGO]   CONDIS Qualification tests for jointed porcelain   STC12.0130

 

     Mecanical Tests

--------------------------------------------------------------------------------

   Electrical Test

--------------------------------------------------------------------------------

Reference Insulator

--------------------------------------------------------------------------------

  

MXWL

capacitor type

--------------------------------------------------------------------------------

   Insulator
Supplier

--------------------------------------------------------------------------------

        Bending load
test

--------------------------------------------------------------------------------

   Burst pressure
test

--------------------------------------------------------------------------------

  

Vibration

test

--------------------------------------------------------------------------------

  

Type

Test

--------------------------------------------------------------------------------

*

*

*

   CDOR0455N40    A    Date    March 2004    March 2004    April 04    April
2004          Place    Supplier A    Supplier A         ETH Zurich         

Test Report

                             Requested Value    *    *    See Annexe 1   
See Annexe 2          Result                    

*

*

*

   CDOR0024N10    B    Date    Covered
by insulator
17.14021-01    Covered
by insulator
17.14021-01    Covered
by insulator
17.14021-01    Covered
by insulator
17.14021-01          Place                     

Test Report

                     Requested Value                      Result               
    

*

*

*

   CDOR0032N30    B    Date    May 2004    May 2004    June 2004    June 2004   
      Place    Supplier B    Supplier B         ETH Zürich         

Test Report

                             Requested Value    *    *    See Annexe 1   
See Annexe 2          Result                    

 

15th march 2004

 

E. Savary

 

 

 

 

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

16

--------------------------------------------------------------------------------

TABLE OF CONTENTS

[MAXWELL LOGO]   CONDIS Annexe 1   STC12.0130

 

Mechanical test planned

 

1.      Vibration Test

   Frequence:    *                Increasing rate:    *                Nb of
sweeps:    *                Temperature:    *          

2.      Vibration Test

   Frequence:    *                Deplacement:    *                Nb of axe:   
*                Nb of sweeps:    *                Temperature:    *          

3.      Mechanical shocks

   Shocks:    *                Duration    *                Nb of shocks:    *
               Nb of axe:    *                Temperature:    *                 
              

4.      Mechanical shocks

   Shocks:    *        

Acceptance criteria

according customer’s

specifications (as good as

experience made on one

piece porcelain)

     Duration:    *              Nb of shocks:    *              Nb of axe    *
             Temperature    *                            

5.      Mechanical shocks

   Shocks    *              Duration    *              Nb of shocks:    *     
        Nb of axe:    *              Temperature:    *        

Repetition of routine test (*% of test voltage)

                                    

4.      Mechanical shocks

   Shocks    *                Duration    *                Nb of shocks:    *   
            Nb of axe:    *                Temperature:    *          

Repetition of routine test *% of test voltage)

                                    

5.      Mechanical shocks

   Shocks    *        

Test for information (took

for the limits)

     Duration    *              Nb of shocks:    *                Nb of axe:   
*                Temperature:    *          

Repetition of routine test (*% of test voltage)

              

 

15th march 2004 / SaE

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

17

--------------------------------------------------------------------------------

TABLE OF CONTENTS

[MAXWELL LOGO]   CONDIS Annexe 2   STC12.0130

 

Electrical test planned in ETH / Zurich CH

 

1.      C, Loss factor measurement

   *     

2.      PD measurement

   *     

3.      Test Voltage

   *     

4.      PD measurement

   *     

5.      C. Loss factor measurement

   *     

6.      Switching impulse Sil *

   *     

7.      Lightning impulse BIL *

   *     

8.      Chopped lightning impulse *

   *     

9.      Lightning impulse BIL *

   *     

10.    C, Loss factor measurement

   *     

11.    PD measurement

   *     

12.    Test Voltage

   *     

13.    PD measurement

   *     

14.    C, Loss factor measurement

   *     

 

15th march 2004 / SaE

 

 

 

 

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

18

--------------------------------------------------------------------------------

TABLE OF CONTENTS

        [ABB Logo]           

Process agreement

Appendix 2: Recommended agenda for seasonal meetings

Department

  Issued by:   Date:   Approved by:   Page

PTHVP/BI

  Lena Hammargren   2004-04-16   Hans Linder   1(1)

 

The Buyer has the right to have regular meetings with the Supplier, where the
suggested agenda would be the following:

 

Action Items

 

Target review

 

  • Process plan items

 

  – flexibility

 

  – lead times

 

  – OTD

 

  – advanced transactions (EDI, kanban, VMI etc.)

 

  • Quality

 

  • Other

 

Rating

 

  • Rating of previous quarter(s)

 

Last minute of meeting

 

  • Open issues from the last meeting

 

Availability

 

  • OTD reports by Buyers’ Plants measured by Buyer and Supplier

 

  • The accuracy and development of forecasts

 

  • Volumes, rolling forecast for coming 12 months

 

Quality

 

  • Quality data of supplier products

 

  • Quality data of supplier process

 

  • The status of complaints

 

Cost

 

  • Raw material price development, availability, possible problems

 

  • Activities to reduce cost

 

Processes

 

  • Advanced transactions

 

  • Review of logistics and transportation

 

  • etc.

 

Other

 

  • New possibilities of improvements

 

  • Qualification and timing of new goals

 

  • Obsolete material

 

  • Next meeting

 

19

--------------------------------------------------------------------------------

TABLE OF CONTENTS

        [ABB Logo]           

Process agreement

Appendix 3: Buffer quantities

Appendix 4: Forecast flexibility

Department

  Issued by:   Date:   Approved by:   Page

PTHVP/BI

  Lena Hammargren   2004-04-16   Hans Linder   1(2)

 

20

--------------------------------------------------------------------------------

TABLE OF CONTENTS

[MAXWELL LOGO]   CONDIS Appendix 3    

 

Article number

--------------------------------------------------------------------------------

   Description

--------------------------------------------------------------------------------

   Batch
size

--------------------------------------------------------------------------------

   Buffer
quantity

--------------------------------------------------------------------------------

   Delivery
time

--------------------------------------------------------------------------------

   Transportation
time

--------------------------------------------------------------------------------

   Total
delivery
time

--------------------------------------------------------------------------------

 

21

--------------------------------------------------------------------------------

TABLE OF CONTENTS

[MAXWELL LOGO]   CONDIS Appendix 5    

 

Local Buyer

--------------------------------------------------------------------------------

   Buyer order
process

--------------------------------------------------------------------------------

   Order
methode

--------------------------------------------------------------------------------

   Order
acknowledgement
method

--------------------------------------------------------------------------------

   Product time

--------------------------------------------------------------------------------

   Order
acknowledgment
working days

--------------------------------------------------------------------------------

   Order change
time working
days

--------------------------------------------------------------------------------

   Order
cancellation
time working
days

--------------------------------------------------------------------------------

ABB PT HV/HV/B

   771 80 Ludvika    ASCC    ASCC    Std product    4    15    25

ABB PT HV/HV/B

   771 80 Ludvika    ASCC    ASCC    Non std product    4    20    35

ABB PT HV/HV/B

   771 80 Ludvika    ASCC    ASCC    Make to order
product    10    25    40

 

Appendix 6

 

     Delivery time

--------------------------------------------------------------------------------

Local Buyer

--------------------------------------------------------------------------------

   Delivery adresse

--------------------------------------------------------------------------------

   Order
methode

--------------------------------------------------------------------------------

   Product time

--------------------------------------------------------------------------------

   Delivery time
excl.
Transport.-
time working
days

--------------------------------------------------------------------------------

   Transport.-
time
working
days

--------------------------------------------------------------------------------

   Total
Delivery
time
working
days

--------------------------------------------------------------------------------

ABB PT HV/HV/B

   ABB Power
Technologies
Brytarterminalen Torg
62 771 80 LUDVIKA    ASCC    Std product    25    5    30

ABB PT HV/HV/B

   ABB Power
Technologies
Brytarterminalen Torg
62 771 80 LUDVIKA    ASCC    Non std product    50    5    55

ABB PT HV/HV/B

   ABB Power
Technologies
Brytarterminalen Torg
62 771 80 LUDVIKA    ASCC    Make to order
product    70    5    75

 

22

--------------------------------------------------------------------------------

TABLE OF CONTENTS

        [ABB Logo]           

Process agreement

Appendix 7: Delivery terms

Department

  Issued by:   Date:   Approved by:   Page

PTHVP/BI

  Lena Hammargren   2004-04-16   Hans Linder   1(2)

 

23

--------------------------------------------------------------------------------

TABLE OF CONTENTS

        [ABB Logo]           

Process agreement

Appendix 10: ASCC

Department

  Issued by:   Date:   Checked/approved:   Page

PTHVP/BI

  Lena Hammargren   2004-04-16   Hans Linder   1(1)

 

Webbadress

   *     

Log in

   *     

Password

   *     

Login intervall for Transactions:

   *     

Login interval for Forecast:

   *     

 

 

 

 

--------------------------------------------------------------------------------

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

 

24