Exhibit 10.37

 

AMENDMENT to the

 

AGREEMENT FOR WAFER PRODUCTION AND TESTING

 

Between

 

Advanced Power Technology

 

405 S.W. Columbia Street, Bend, Oregon, USA

 

and

 

Infineon Technologies Austria AG

 

Siemensstr. 2, 9500 Villach, Austria

 

This Amendment is effective as of the 1st day of July, 2005 and remains in
effect through June 30th, 2006.

 

WHEREAS, Advanced Power Technology (hereinafter “APT”) and Siemens
Aktiengesellschaft (hereinafter “Siemens”) entered into the Agreement for Wafer
Production and Testing on February 11,1998 (hereinafter “Basic Agreement”);

 

WHEREAS, the Basic Agreement was amended in the Amendment to the Agreement for
Wafer Production and Testing (hereinafter “Amendment”) between APT and Infineon
Technologies AG, Munich, Germany, the latter being the legal successor of
Siemens, on July 19, 2000 (both Agreements to be referred hereafter as
“Agreements”); The primary purpose of the amendment being to

 

•                 agree to a more formal set of communications for all matters
relative to these agreements.

 

•                 fix capacity by month committed to APT in terms of Wafer
Starts Per Week (wspw) thru September 2001.

 

•                 fix wafer/die pricing through September 2001 on a [ * ] wspw
basis and establish annual negotiations thereafter.

 

•                 express Infineon’s consent to have the amendment filed with
the US SEC.

 

WHEREAS, both Agreements were amended February 5, 2001 by an Extension Agreement
(also to be referred to hereafter as “Agreements”); The primary purpose of this
amendment being to

 

•                 extend the scope of the Agreement to include APT’s MOSVI and
MOSVII technologies and deliver wafers to APT based on these processes
accordingly;

 

WHEREAS, both Agreements were amended January 1, 2002

 

•                 revised wafer/die pricing for wafer/die shipments to APT
during Calendar Year (CY) 2002. (January 1, 2002 thru December 31, 2002)

 

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[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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•                 a minimum wspw volume guarantee by APT.

 

•                 an additional price reduction opportunity for APT in the form
of a rebate if the total number of wafers started in CY2002 meets or exceeds a
predetermined quantity.

 

WHEREAS, the previous agreements were amended on January 6, 2003 to

 

•                 extend the scope of the Agreements to include APT’s MosVII
IGET technology and deliver wafers processed to a mutually agreed upon process
flow to APT based on these processes accordingly

 

•                 agree that during the transfer period of the MosVII IGBT
process a cost of [ * ] will be shared [ * ] between APT and Infineon, billed to
APT on a monthly basis.

 

WHEREAS, the previous agreements and amendments are assigned from Infineon
Technologies AG, Munich, Germany, to lnfineon Technologies Austria AG
(hereinafter “lnfineon Austria”)

 

WHEREAS, the previous agreements were amended effective April 1, 2004 to

 

•                 agree on MosV die prices and Mos6&7 wafer prices.

 

•                 Re-establish APT start and Infineon capacity commitments

 

NOW, THEREAFTER, based on mutual promises contained herein and intending to be
legally bound, the parties agree to the following terms and conditions:

 

1.              Die prices for MosV technology effective July 6, 2005 are
reflected in Exhibit A.

 

2.              Die prices are established for Mos VII & Mos VII IGBT effective
July 6, 2005 as reflected in Exhibit A

 

3.              Requirement for [ * ] wafer starts per week for MOSVI/VII as
agreed in the amendment effective May 2001, section 3.1 is hereby waived. Total
start requirements for APT is defined in Section 4 below.

 

4.              The Minimum Volume Commitment of APT stays at [ * ] wspw and
start rules guided by the first week starts being fixed, the next 7 weeks
allowed delta being [ * ], the following 5 weeks allowed delta being [ * ], and
no limits to the % delta after that, apply.

 

5.              Infineon Austria will use commercially reasonable efforts to
support APT’s requirements in the event that a weekly capacity of more than [ *
] wspw is required within the rules of forecast changes defined in paragraph 4
above.

 

6.              Key Account Manager charges are terminated.

 

7.              In case no agreement can be achieved during the next annual
negotiation by the end of

 

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[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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June 2006 the prices and volumes based on the latest confirmed monthly forecast
will continue to apply. Prices then in existence are those in place at the time
of that annual negotiation, the volumes confirmed in the latest monthly forecast
define the maximum capacity commitment of Infineon to APT for the consecutive 6
months beginning July 1, 2006 and will be [ * ] wspw for following 6 months.
During this period APT agrees to start a minimum of [ * ] WSPW including wafers
started on a “risk basis” as defined in prior agreements.

 

MISCELLANEOUS

 

7.              Infineon Austria hereby expressly gives its consent to have this
agreement filed with the US SEC with the understanding that confidential
information such as that related to pricing, volume, and other special
arrangements be omitted.

 

S.             Except as otherwise explicitly amended in paragraphs 1 to 6
above, the terms and conditions of the Basic Agreement and its prior Amendments
shall remain in full force and effect.

 

 

ADVANCED POWER TECHNOLOGY

INFINEON TECHNOLOGIES Austria AG

 

 

By

Russell Crecraft

 

By

Andreas Urschitz

 

 

 

Date

 

 

Date

 

 

 

 

By

Jerry Williams

 

By

Monika Kircher Kohl

 

 

Date

 

 

Date

 

 

 

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[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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EXHIBIT A

 

DIE BASED PRICING

 

APT

 

 

 

Die Price

 

Die Price

 

MOS V

 

Infineon

 

effective

 

effective

 

Type

 

Type

 

1-Jun-04

 

6-Jul-05

 

515-040

 

C9000A00411

 

[ * ]

 

[ * ]

 

515-050

 

C9000A00511

 

[ * ]

 

[ * ]

 

515-060

 

C9000A00611

 

[ * ]

 

[ * ]

 

596-080

 

C9001A00811

 

[ * ]

 

[ * ]

 

566-040

 

C9002A00411

 

[ * ]

 

[ * ]

 

566-050

 

C9002A00511

 

[ * ]

 

[ * ]

 

566-060

 

C9002A00611

 

[ * ]

 

[ * ]

 

576-080

 

C9003A00811

 

[ * ]

 

[ * ]

 

576-100

 

C9003A01011

 

[ * ]

 

[ * ]

 

576-120

 

C9003A01211

 

[ * ]

 

[ * ]

 

5F6-010

 

C9004A00111

 

[ * ]

 

[ * ]

 

5F6-020

 

C9004A00211

 

[ * ]

 

[ * ]

 

5F6-030

 

C9004A00311

 

[ * ]

 

[ * ]

 

546-040

 

C9005A00411

 

[ * ]

 

[ * ]

 

546-050

 

C9005A00511

 

[ * ]

 

[ * ]

 

546-060

 

C9005A00611

 

[ * ]

 

[ * ]

 

5K6-010

 

C9006A00111

 

[ * ]

 

[ * ]

 

5K6-020

 

C9006A00211

 

[ * ]

 

[ * ]

 

5K6-030

 

C9006A00311

 

[ * ]

 

[ * ]

 

556-040

 

C9007A0041 1

 

[ * ]

 

[ * ]

 

556-050

 

C9007A00511

 

[ * ]

 

[ * ]

 

556-060

 

C9007A00611

 

[ * ]

 

[ * ]

 

586-080

 

C9008A00811

 

[ * ]

 

[ * ]

 

586-100

 

C9008A01011

 

[ * ]

 

[ * ]

 

586-110

 

C9008A01211

 

[ * ]

 

[ * ]

 

586-120

 

C9008A01211

 

[ * ]

 

[ * ]

 

5F7-040

 

C9009A00411

 

[ * ]

 

[ * ]

 

5F7-050

 

C9009A00511

 

[ * ]

 

[ * ]

 

5F7-060

 

C9009A00611

 

[ * ]

 

[ * ]

 

547-010

 

C9010A00111

 

[ * ]

 

[ * ]

 

547-020

 

C9010A00211

 

[ * ]

 

[ * ]

 

547-030

 

C9010A00311

 

[ * ]

 

[ * ]

 

527-040

 

C9011A00411

 

[ * ]

 

[ * ]

 

527-050

 

C9011A00511

 

[ * ]

 

[ * ]

 

527-060

 

C9011A00611

 

[ * ]

 

[ * ]

 

557-080

 

C9012A00811

 

[ * ]

 

[ * ]

 

557-100

 

C9012A01011

 

[ * ]

 

[ * ]

 

557-120

 

C9012A01211

 

[ * ]

 

[ * ]

 

538-010

 

C9013A00111

 

[ * ]

 

[ * ]

 

538-020

 

C9013A00211

 

[ * ]

 

[ * ]

 

538-030

 

C9013A00311

 

[ * ]

 

[ * ]

 

528-040

 

C9014A00411

 

[ * ]

 

[ * ]

 

528-050

 

C9014A00511

 

[ * ]

 

[ * ]

 

528-060

 

C9014A00611

 

[ * ]

 

[ * ]

 

 

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

[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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

 

548-080

 

C9015A00811

 

[ * ]

 

[ * ]

 

548-100

 

C9015A01011

 

[ * ]

 

[ * ]

 

548-110

 

C9015A01111

 

[ * ]

 

[ * ]

 

548-120

 

C9015A01211

 

[ * ]

 

[ * ]

 

548-140

 

C9015A01411

 

[ * ]

 

[ * ]

 

577-040

 

C9016A00411

 

[ * ]

 

[ * ]

 

577-050

 

C9016A00S11

 

[ * ]

 

[ * ]

 

577-060

 

C9016A00611

 

[ * ]

 

[ * ]

 

5K7-010

 

C9017A00111

 

[ * ]

 

[ * ]

 

5K7-020

 

C9017A00211

 

[ * ]

 

[ * ]

 

5K7-030

 

C9017A00311

 

[ * ]

 

[ * ]

 

587-080

 

C9018A00811

 

[ * ]

 

[ * ]

 

587-100

 

C9018A01011

 

[ * ]

 

[ * ]

 

587-120

 

C9018A01211

 

[ * ]

 

[ * ]

 

558-040

 

C9019A00411

 

[ * ]

 

[ * ]

 

558-050

 

C9019A00511

 

[ * ]

 

[ * ]

 

558-060

 

C9019A00611

 

[ * ]

 

[ * ]

 

588-080

 

C9020A00811

 

[ * ]

 

[ * ]

 

588-100

 

C9020A01011

 

[ * ]

 

[ * ]

 

588-120

 

C9020A01211

 

[ * ]

 

[ * ]

 

 

WAFER BASED PRICING

 

MOS VI
Voltage

 

Wafer
Price
Effective
1-Jun-04

 

Wafer
Price
Effective
6-Jul-05

 

100

 

[ * ]

 

[ * ]

 

200

 

[ * ]

 

[ * ]

 

300

 

[ * ]

 

[ * ]

 

400

 

[ * ]

 

[ * ]

 

500

 

[ * ]

 

[ * ]

 

600

 

[ * ]

 

[ * ]

 

800

 

[ * ]

 

[ * ]

 

1000

 

[ * ]

 

[ * ]

 

1200

 

[ * ]

 

[ * ]

 

 

DIE BASED PRICING

 

APT
MOS VII
Type

 

Infineon Type

 

Die Price
effective
1-Jun-04

 

Die Price
effective
6-Jul-05

 

1015-020

 

C9200A00211

 

wafer

 

[ * ]

 

1015-040

 

C9200A00411

 

wafer

 

[ * ]

 

1015-050

 

C9200A00511

 

wafer

 

[ * ]

 

1015-055

 

C9200A05511

 

wafer

 

[ * ]

 

1015-060

 

C9200A00611

 

wafer

 

[ * ]

 

1027-010

 

C9211A00111

 

wafer

 

[ * ]

 

1027-020

 

C9211A00211

 

wafer

 

[ * ]

 

1027-030

 

C9211A00311

 

wafer

 

[ * ]

 

1027-040

 

C9211A00411

 

wafer

 

[ * ]

 

 

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

[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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

 

APT
MOS VII
Type

 

Infineon Type

 

Die Price
effective
1-Jun-04

 

Die Price
effective
6-Jul-05

 

1027-050

 

C9211A10511

 

wafer

 

[ * ]

 

1027-055

 

C9211A05511

 

wafer

 

[ * ]

 

1027-060

 

C9211A10611

 

wafer

 

[ * ]

 

1028-010

 

C9214A00111

 

wafer

 

[ * ]

 

1028-020

 

C9214A00211

 

wafer

 

[ * ]

 

1028-030

 

C9214A00311

 

wafer

 

[ * ]

 

1028-040

 

C9214A00411

 

wafer

 

[ * ]

 

1028-050

 

C9214A00511

 

wafer

 

[ * ]

 

1028-055

 

C9214A05511

 

wafer

 

[ * ]

 

1028-060

 

C9214A00611

 

wafer

 

[ * ]

 

1037-040

 

C9221A00411

 

wafer

 

[ * ]

 

1037-050

 

C9221A00511

 

wafer

 

[ * ]

 

1037-055

 

C9221A05511

 

wafer

 

[ * ]

 

1037-060

 

C9221A00611

 

wafer

 

[ * ]

 

1044-100

 

C9224A01011

 

wafer

 

[ * ]

 

1044-120

 

C9224A01211

 

wafer

 

[ * ]

 

1046-010

 

C9205A00111

 

wafer

 

[ * ]

 

1046-020

 

C9205A00211

 

wafer

 

[ * ]

 

1046-030

 

C9205A00311

 

wafer

 

[ * ]

 

1046-040

 

C9205A00411

 

wafer

 

[ * ]

 

1046-050

 

C9205A00511

 

wafer

 

[ * ]

 

1046-055

 

C9205A05511

 

wafer

 

[ * ]

 

1046-060

 

C9205A00611

 

wafer

 

[ * ]

 

1048-080

 

C9215A00811

 

wafer

 

[ * ]

 

1048-100

 

C9215A01011

 

wafer

 

[ * ]

 

1048-110

 

C9215A01111

 

wafer

 

[ * ]

 

1048-120

 

C9215A01211

 

wafer

 

[ * ]

 

1056-010

 

C9207A00111

 

wafer

 

[ * ]

 

1056-020

 

C9207A00211

 

wafer

 

[ * ]

 

1056-030

 

C9207A00311

 

wafer

 

[ * ]

 

1056-040

 

C9207A00411

 

wafer

 

[ * ]

 

1056-050

 

C9207A00511

 

wafer

 

[ * ]

 

1056-055

 

C9207A05511

 

wafer

 

[ * ]

 

1056-060

 

C9207A00611

 

wafer

 

[ * ]

 

1057-080

 

C9212A00811

 

wafer

 

[ * ]

 

1057-100

 

C9212A01011

 

wafer

 

[ * ]

 

1057-110

 

C9212A01111

 

wafer

 

[ * ]

 

1057-120

 

C9212A01211

 

wafer

 

[ * ]

 

1058-040

 

C9219A00411

 

wafer

 

[ * ]

 

1058-050

 

C9219A00511

 

wafer

 

[ * ]

 

1058-055

 

C9219A05511

 

wafer

 

[ * ]

 

1058-060

 

C9219A00611

 

wafer

 

[ * ]

 

1066-040

 

C9202A00411

 

wafer

 

[ * ]

 

1066-050

 

C9202A00511

 

wafer

 

[ * ]

 

1066-055

 

C9202A05511

 

wafer

 

[ * ]

 

1066-060

 

C9202A00611

 

wafer

 

[ * ]

 

 

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

[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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

 

APT
MOS VII
Type

 

Infineon Type

 

Die Price
effective
1-Jun-04

 

Die Price
effective
6-Jul-05

 

1076-080

 

C9203A00811

 

wafer

 

[ * ]

 

1076-100

 

C9203A01011

 

wafer

 

[ * ]

 

1076-110

 

C9203A01111

 

wafer

 

[ * ]

 

1076-120

 

C9203A01211

 

wafer

 

[ * ]

 

1077-010

 

C9216A00111

 

wafer

 

[ * ]

 

1077-020

 

C9216A00211

 

wafer

 

[ * ]

 

1077-030

 

C9216A00311

 

wafer

 

[ * ]

 

1077-040

 

C9216A00411

 

wafer

 

[ * ]

 

1077-050

 

C9216A00511

 

wafer

 

[ * ]

 

1077-055

 

C9216A05511

 

wafer

 

[ * ]

 

1077-060

 

C9216A00611

 

wafer

 

[ * ]

 

1086-080

 

C9208A00811

 

wafer

 

[ * ]

 

1086-100

 

C9208A01011

 

wafer

 

[ * ]

 

1086-110

 

C9208A01111

 

wafer

 

[ * ]

 

1086-120

 

C9208A01211

 

wafer

 

[ * ]

 

1087-080

 

C9218A00811

 

wafer

 

[ * ]

 

1087-100

 

C9218A01011

 

wafer

 

[ * ]

 

1087-110

 

C9218A01111

 

wafer

 

[ * ]

 

1087-120

 

C9218A01211

 

wafer

 

[ * ]

 

1087-080

 

C9220A00811

 

wafer

 

[ * ]

 

1087-100

 

C9220A01011

 

wafer

 

[ * ]

 

1087-120

 

C9220A01211

 

wafer

 

[ * ]

 

 

DIE BASED PRICING

 

APT
MOS VII
IGBT
Type

 

Infineon Type

 

Die Price
effective
1-Jun-04

 

Die Price
effective
6-Jul-05

 

1303-030

 

C9325A00311

 

wafer

 

[ * ]

 

1303-060

 

C9325A00611

 

wafer

 

[ * ]

 

1315-030

 

C9300A00311

 

wafer

 

[ * ]

 

1315-060

 

C9300A00611

 

wafer

 

[ * ]

 

1327-030

 

C9311A00311

 

wafer

 

[ * ]

 

1327-060

 

C9311A00611

 

wafer

 

[ * ]

 

1327-120

 

C9311A01211

 

wafer

 

[ * ]

 

1334-030

 

C9322A00311

 

wafer

 

[ * ]

 

1334-060

 

C9322A00611

 

wafer

 

[ * ]

 

1334-120

 

C9322A01211

 

wafer

 

[ * ]

 

1335-090

 

C9323A00911

 

wafer

 

[ * ]

 

1335-120

 

C9323A01211

 

wafer

 

[ * ]

 

1337-030

 

C9321A00311

 

wafer

 

[ * ]

 

1337-060

 

C9321A00611

 

wafer

 

[ * ]

 

1344-090

 

C9324A00911

 

wafer

 

[ * ]

 

1344-120

 

C9324A01211

 

wafer

 

[ * ]

 

 

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

[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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

 

APT
MOS VII
IGBT
Type

 

Infineon Type

 

Die Price
effective
1-Jun-04

 

Die Price
effective
6-Jul-05

 

1346-030

 

C9305A00311

 

wafer

 

[ * ]

 

1346-060

 

C9305A00611

 

wafer

 

[ * ]

 

1356-030

 

C9307A00311

 

wafer

 

[ * ]

 

1356-060

 

C9307A00611

 

wafer

 

[ * ]

 

1357-120

 

C9312A01211

 

wafer

 

[ * ]

 

1376-090

 

C9303A00911

 

wafer

 

[ * ]

 

1376-120

 

C9303A01211

 

wafer

 

[ * ]

 

1377-060

 

C9316A00611

 

wafer

 

[ * ]

 

1386-120

 

C9308A01211

 

wafer

 

[ * ]

 

 

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

[ * ] = CONFIDENTIAL TREATMENT REQUESTED

 

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