Document:

nvro-ex101_161.htm

Exhibit 10.1

 

Nevro Corp.
2014 EQUITY Incentive Award PLAN 

PERFORMANCE STOCK UNIT AWARD GRANT NOTICE

Nevro Corp., a Delaware corporation, (the “Company”), pursuant to its 2014 Equity Incentive Award Plan, as amended from time to time (the “Plan”), granted to the holder listed below (the “Participant”) on the grant date set forth below (the “Grant Date”), an award of performance stock units (“Performance Stock Units” or “PSUs”).  Each vested PSU represents the contingent right to receive, in accordance with the Performance Stock Unit Award Agreement attached hereto as Exhibit A and the Performance Conditions attached hereto as Exhibit B (together, the “Agreement”), up to ____ shares of Common Stock (“Shares”).  This award of PSUs is subject to all of the terms and conditions set forth in the Agreement and the Plan, each of which are incorporated herein by reference.  Unless otherwise defined herein, the terms defined in the Plan shall have the same defined meanings in this Performance Stock Unit Award Grant Notice (the “Grant Notice”) and the Agreement.

		
	
Participant:
	
_____________________

	
Grant Date:
	
_____________________

	
Total Number of PSUs:
	
_____________________

	
Vesting and Settlement:
	
_____________________

	
 
	
 

By the Participant’s and the Company’s signatures below, the Participant agrees to be bound by the terms and conditions of the Plan, the Agreement and this Grant Notice.  Solely to the extent necessary, the Participant consents to the amendment of the PSUs as provided herein. The Participant has reviewed the Agreement, the Plan and this Grant Notice in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this Grant Notice and fully understands all provisions of this Grant Notice, the Agreement and the Plan.  By signing below, the Participant agrees that the Company, in its sole discretion, may satisfy any withholding obligations in accordance with Section 2.6(b) of the Agreement by (i) withholding Shares otherwise issuable to the Participant upon vesting of the PSUs having a Fair Market Value equal to the withholding obligation, (ii) instructing a broker on the Participant’s behalf to sell a number of Shares otherwise issuable to the Participant upon vesting of the PSUs having a Fair Market Value equal to the withholding obligation and remitting the proceeds of such sale to the Company, or (iii) using any other method permitted by Section 2.6(b) of the Agreement or the Plan.

				
	
NEVRO CORP.:

 
	
PARTICIPANT:

 

	
By:
	
 
	
By:
	
 

	
Print Name: 
	
 
	
Print Name:  
	
 

	
Title:
	
 
	
  
	
 

	
Address: 
	
 
	
Address: 
	
 

	
 
	
 
	
 
	
 

 

 

 

 

EXHIBIT A

TO PERFORMANCE STOCK UNIT AWARD GRANT NOTICE

PERFORMANCE STOCK UNIT AWARD AGREEMENT

Pursuant to the Performance Stock Unit Award Grant Notice (the “Grant Notice”) to which this Performance Stock Unit Award Agreement (together with Exhibit B to the Grant Notice, this “Agreement”) is attached, Nevro Corp., a Delaware corporation (the “Company”), has granted to the Participant the number of performance stock units (“Performance Stock Units” or “PSUs”) set forth in the Grant Notice under the Company’s 2014 Equity Incentive Award Plan, as amended from time to time (the “Plan”).  Each vested PSU represents the contingent right to receive up to ___ shares of Common Stock (“Shares”).  Capitalized terms not specifically defined herein shall have the meanings specified in the Plan and Grant Notice.

ARTICLE I.
GENERAL

1.1Incorporation of Terms of the Plan.  The PSUs are subject to the terms and conditions of the Plan, which is incorporated herein by reference.  In the event of any inconsistency between the Plan and this Agreement, the terms of the Plan shall control.

ARTICLE II.
GRANT OF PERFORMANCE STOCK UNITS

2.1Grant of PSUs.  Pursuant to the Grant Notice and upon the terms and conditions set forth in the Plan and this Agreement, effective as of the Grant Date set forth in the Grant Notice, the Company hereby grants to the Participant an award of PSUs under the Plan in consideration of the Participant’s past and/or continued employment with or service to the Company or any Affiliates and for other good and valuable consideration. 

2.2Unsecured Obligation.  Unless the Achievement Factor (as defined in Exhibit B) is greater than zero and unless and until the PSUs have vested in the manner set forth in Article II hereof, the Participant will have no right to receive Shares under any such PSUs.  Prior to actual payment of any vested PSUs, such PSUs will represent an unsecured obligation of the Company, payable (if at all) only from the general assets of the Company.  

2.3Vesting Schedule.  The PSUs shall vest and become nonforfeitable as set forth in the Grant Notice under “Vesting and Settlement”.  

2.4Consideration to the Company.  In consideration of the grant of the award of PSUs pursuant hereto, the Participant agrees to render services to the Company or any Affiliate.  

2.5Termination.  The PSUs shall terminate as set forth in the Grant Notice under “Vesting and Settlement”

2.6Issuance of Shares upon Vesting.  

(a)Shares shall be issued upon vesting of the PSUs as set forth in the Grant Notice under “Vesting and Settlement”.  Notwithstanding the foregoing, in the event Shares cannot be issued 

A-1

 

 

pursuant to Section 12.4 of the Plan, the Shares shall be issued pursuant to the preceding sentence as soon as administratively practicable after the Administrator determines that Shares can again be issued in accordance with such Section.

(b)As set forth in Section 12.2 of the Plan, the Company shall have the authority and the right to deduct or withhold, or to require the Participant to remit to the Company, an amount sufficient to satisfy all applicable federal, state and local taxes required by law to be withheld with respect to any taxable event arising in connection with the PSUs.  The Company shall not be obligated to deliver any new certificate representing Shares to the Participant or the Participant’s legal representative or enter such Shares in book entry form unless and until the Participant or the Participant’s legal representative shall have paid or otherwise satisfied in full the amount of all federal, state and local taxes applicable to the taxable income of the Participant resulting from the grant or vesting of the PSUs or the issuance of Shares. 

2.7Conditions to Delivery of Shares.  The Shares deliverable hereunder may be either previously authorized but unissued Shares, treasury Shares or issued Shares which have then been reacquired by the Company.  Such Shares shall be fully paid and nonassessable.  The Company shall not be required to issue or deliver any certificates or make any book entries evidencing Shares deliverable hereunder prior to fulfillment of the conditions set forth in Section 12.4 of the Plan.

2.8Rights as Stockholder.  The holder of the PSUs shall not be, nor have any of the rights or privileges of, a stockholder of the Company, including, without limitation, voting rights and rights to dividends, in respect of the PSUs and any Shares underlying the PSUs and deliverable hereunder unless and until such Shares shall have been issued by the Company and held of record by such holder (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company).  No adjustment shall be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 14.2 of the Plan.  

ARTICLE III.
OTHER PROVISIONS

3.1Administration.  The Administrator shall have the power to interpret the Plan and this Agreement and to adopt such rules for the administration, interpretation and application of the Plan as are consistent therewith and to interpret, amend or revoke any such rules.  No member of the Administrator or the Board shall be personally liable for any action, determination or interpretation made in good faith with respect to the Plan, this Agreement or the PSUs.  

3.2PSUs Not Transferable.  The PSUs shall be subject to the restrictions on transferability set forth in Section 12.3 of the Plan; provided, however, that this Section 3.2 notwithstanding, with the consent of the Administrator, the PSUs may be transferred to one or more Permitted Transferees, subject to and in accordance with Section 12.3 of the Plan.

3.3Tax Consultation.  The Participant understands that the Participant may suffer adverse tax consequences in connection with the PSUs granted pursuant to this Agreement (and the Shares issuable with respect thereto).  The Participant represents that the Participant has consulted with any tax consultants the Participant deems advisable in connection with the PSUs and the issuance of Shares with respect thereto and that the Participant is not relying on the Company for any tax advice.

A-2

 

 

3.4Binding Agreement. Subject to the limitation on the transferability of the PSUs contained herein, this Agreement will be binding upon and inure to the benefit of the heirs, legatees, legal representatives, successors and assigns of the parties hereto.

3.5Adjustments Upon Specified Events.  The Administrator may accelerate the vesting of the PSUs in such circumstances as it, in its sole discretion, may determine.  The Participant acknowledges that the PSUs are subject to adjustment, modification and termination in certain events as provided in this Agreement and Section 14.2 of the Plan.

3.6Notices.  Any notice to be given under the terms of this Agreement to the Company shall be addressed to the Company in care of the Secretary of the Company at the Company’s principal office, and any notice to be given to the Participant shall be addressed to the Participant at the Participant’s last address reflected on the Company’s records.  By a notice given pursuant to this Section 3.6, either party may hereafter designate a different address for notices to be given to that party. Any notice shall be deemed duly given when sent via email or when sent by certified mail (return receipt requested) and deposited (with postage prepaid) in a post office or branch post office regularly maintained by the United States Postal Service.

3.7Participant’s Representations.  If the Shares issuable hereunder have not been registered under the Securities Act or any applicable state laws on an effective registration statement at the time of such issuance, the Participant shall, if required by the Company, concurrently with such issuance, make such written representations as are deemed necessary or appropriate by the Company and/or its counsel.

3.8Titles.  Titles are provided herein for convenience only and are not to serve as a basis for interpretation or construction of this Agreement.

3.9Governing Law.  The laws of the State of Delaware shall govern the interpretation, validity, administration, enforcement and performance of the terms of this Agreement regardless of the law that might be applied under principles of conflicts of laws.

3.10Conformity to Securities Laws.  The Participant acknowledges that the Plan and this Agreement are intended to conform to the extent necessary with all provisions of the Securities Act and the Exchange Act and any other Applicable Law.  Notwithstanding anything herein to the contrary, the Plan shall be administered, and the PSUs are granted, only in such a manner as to conform to Applicable Law.  To the extent permitted by Applicable Law, the Plan and this Agreement shall be deemed amended to the extent necessary to conform to such Applicable Law.

3.11Amendment, Suspension and Termination.  To the extent permitted by the Plan, this Agreement may be wholly or partially amended or otherwise modified, suspended or terminated at any time or from time to time by the Administrator or the Board; provided, however, that, except as may otherwise be provided by the Plan, no amendment, modification, suspension or termination of this Agreement shall adversely affect the PSUs in any material way without the prior written consent of the Participant.    

3.12Successors and Assigns.  The Company may assign any of its rights under this Agreement to single or multiple assignees, and this Agreement shall inure to the benefit of the successors and assigns of the Company.  Subject to the restrictions on transfer herein set forth in Section 3.2 hereof, this Agreement shall be binding upon the Participant and his or her heirs, executors, administrators, successors and assigns.

A-3

 

 

3.13Limitations Applicable to Section 16 Persons.  Notwithstanding any other provision of the Plan or this Agreement, if the Participant is subject to Section 16 of the Exchange Act, then the Plan, the PSUs and this Agreement shall be subject to any additional limitations set forth in any applicable exemptive rule under Section 16 of the Exchange Act (including any amendment to Rule 16b-3 of the Exchange Act) that are requirements for the application of such exemptive rule.  To the extent permitted by Applicable Law, this Agreement shall be deemed amended to the extent necessary to conform to such applicable exemptive rule.

3.14Not a Contract of Service Relationship.  Nothing in this Agreement or in the Plan shall confer upon the Participant any right to continue to serve as an employee or other service provider of the Company or any of its Affiliates or interfere with or restrict in any way with the right of the Company or any of its Affiliates, which rights are hereby expressly reserved, to discharge or to terminate for any reason whatsoever, with or without cause, the services of the Participant’s at any time.

3.15Entire Agreement.  The Plan, the Grant Notice and this Agreement (including all Exhibits thereto, if any) constitute the entire agreement of the parties and supersede in their entirety all prior undertakings and agreements of the Company and the Participant with respect to the subject matter hereof. 

3.16Section 409A.  This Award is not intended to constitute “nonqualified deferred compensation” within the meaning of Section 409A of the Code (together with any Department of Treasury regulations and other interpretive guidance issued thereunder, including without limitation any such regulations or other guidance that may be issued after the date hereof, “Section 409A”).  However, notwithstanding any other provision of the Plan, the Grant Notice or this Agreement, if at any time the Administrator determines that this Award (or any portion thereof) may be subject to Section 409A, the Administrator shall have the right in its sole discretion (without any obligation to do so or to indemnify the Participant or any other person for failure to do so) to adopt such amendments to the Plan, the Grant Notice or this Agreement, or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, as the Administrator determines are necessary or appropriate for this Award either to be exempt from the application of Section 409A or to comply with the requirements of Section 409A. 

3.17Limitation on the Participant’s Rights.  Participation in the Plan confers no rights or interests other than as herein provided.  This Agreement creates only a contractual obligation on the part of the Company as to amounts payable and shall not be construed as creating a trust.  Neither the Plan nor any underlying program, in and of itself, has any assets.  The Participant shall have only the rights of a general unsecured creditor of the Company and its Affiliates with respect to amounts credited and benefits payable, if any, with respect to the PSUs, and rights no greater than the right to receive the Shares as a general unsecured creditor with respect to PSUs, as and when payable hereunder.  

 

A-4

 

 

EXHIBIT B

TO PERFORMANCE STOCK UNIT AWARD GRANT NOTICE

 

PERFORMANCE CONDITIONS

 

B-1

 

US-DOCS\106737282.1nvro-ex1010_280.htm

Exhibit 10.10

[***] Certain information in this document has been excluded pursuant to Regulation S-K, Item 601(b)(10).  Such excluded information is not material and would likely cause competitive harm to the registrant if publicly disclosed.

ASSIGNMENT, ASSUMPTION AND AMENDMENT AGREEMENT

 

This Assignment, Assumption and Amendment Agreement (this “Agreement”) is effective as of December 31, 2019 (the “Agreement Effective Date”), by and among Nevro Corp., having a mailing address of 1800 Bridge Parkway, Redwood City, CA 94065 (“Nevro”), Greatbatch Ltd., having a mailing address of 10000 Wehrle Drive, Clarence, New York, 14031, ("GB"), and Centro De Construccion De Cardioestimuladores Del Uruguay S.A., having an address at General Paz 1371, Montevideo, Uruguay, CP 11400 (“CCC”).

 

WHEREAS, Nevro and CCC are parties to that certain Supply Agreement, dated effective as of November 11, 2016, as amended by that certain First Amendment to the Supply Agreement, dated effective as of April 30, 2019 (the “Supply Agreement”), whereby CCC provides certain services as described therein; 

 

WHEREAS, GB and Nevro are parties to that certain Guaranty Agreement (“Guaranty”), dated as of November 11, 2016.

 

WHEREAS, GB is the indirect parent company of CCC;

 

WHEREAS, CCC desires to assign all of its rights and obligations under the Supply Agreement to GB and GB desires to assume all of CCC’s rights and obligations under the Supply Agreement; and 

 

WHEREAS, the parties wish to amend the Supply Agreement, as further set forth below; and 

 

WHEREAS, Nevro and GB desires to terminate the Guaranty. 

 

NOW, THEREFORE, in consideration of the mutual promises, covenants and agreements set forth, the parties agree:

 

SECTION 1: Assignment and Assumption

 

	
 
	
(a)
	
CCC hereby conveys, transfers and assigns to GB all of CCC’s rights and Obligations under the Supply Agreement (the “Assignment”). GB hereby assumes the rights and agrees to perform and assume all of the Obligations of CCC under the Supply Agreement, as hereby amended. The term "Obligations" includes any obligations, claims, or liability arising in the past, now existing or hereafter incurred or created, whether voluntary or involuntary, absolute or contingent, liquidated or unliquidated, determined or undetermined, and whether GB or CCC may be liable individually or jointly with others (including without limit GB's or CCC’s performance obligations, indemnification obligations, liability and specific performance requirements with respect to any breach, 

 

 

 

	
 
		
and GB's or CCC’s obligation to pay damages or any other amounts owing from GB or CCC to Nevro), in connection with the Supply Agreement.

 

 

	
 
	
(b)
	
Nevro hereby consents to the Assignment.

 

	
 
	
(c)
	
All references to CCC within the Supply Agreement shall be deemed to be replaced with a reference to GB.

 

SECTION 2: Amendment to the Supply Agreement

 

	
 
	
(a)
	
Replace Section 1.21 of the Supply Agreement in its entirety with the following:

 

1.21“Manufacturing Facility” shall mean the facility located at (i) General Paz 1371, 11400 Montevideo, Uruguay, (ii) Calle 5 Norte #511, Ciudad Industrial Nueva Tijuana, Tijuana, B.C. 22444 Mexico, and (iii) any other facility approved by Nevro in accordance with Section 5.2(b) and that has been Qualified to manufacture the Products.   

	
 
	
(b)
	
Replace Section 3.6(a) of the Supply Agreement in its entirety with the following:

 

3.6Subcontractors.  (a) Use of Subcontractors.  GB will not use any Subcontractor for any supply of Components or services related to the Product other than Centro De Construccion De Cardioestimuladores Del Uruguay S.A. (“CCC”) without the prior written consent of Nevro.  If Nevro consents to the use of a Subcontractor, Nevro may specify change control procedures applicable to the provision of services by such Subcontractor in addition to the terms of Section 5. 

	
 
	
(c)
	
 Replace Section 12.3 of the Supply Agreement in its entirety with the following:

 

12.3Grant of License.  Subject to the last sentence of this Section 12.3, to the extent that any Resulting Property or any materials, goods or services to be delivered or provided by GB to Nevro under this Agreement (“Deliverables”) incorporate in any manner any of the Pre-Existing Property of GB or any improvements to or derivatives of the Pre-Existing Property of GB (the “Incorporated GB Property”), GB hereby grants to Nevro and its Affiliates and successors and assigns a perpetual, irrevocable, fully paid, worldwide, sublicensable, non-exclusive license under the Incorporated GB Property and all Intellectual Property Rights therein to make, use, sell, offer for sale, and import the Incorporated GB Property and all Intellectual Property Rights therein, in connection with such Resulting Property or Deliverables purchased from GB and any improvements, derivatives or successor works of or to such Resulting Property and Deliverables as 

2

 

 

 

Nevro considers appropriate, including to use, manufacture, sell, offer for sale, import, display, copy, perform, modify, alter and support the Incorporated GB Property incorporated within a product or service purchased from GB. The license granted to Nevro includes the rights to future improvements to or derivatives of the Incorporated GB Property to the extent such improvements or derivatives are utilized in connection with a Deliverable purchased from GB, but it does not require GB to take any actions or perform any activity to incorporate such improvement or derivative into any deliverable in connection with the Resulting Property or Deliverables, or any improvements, derivatives or successor works thereof or thereto. Nothing in this Agreement will be deemed to grant Nevro the right to market, sub-license or otherwise use the Pre-Existing Property of GB other than in connection with the Deliverables or the Resulting Property purchased from GB and products or services purchased from GB in which they are incorporated. Notwithstanding anything in this Agreement to the contrary, nothing in this Agreement will be deemed to grant Nevro the right to make or have made any of GB’s feedthroughs, batteries or shields component technology.  

	
 
	
(d)
	
Exhibit A of the Agreement is hereby amended by replacing it in its entirety with Appendix I attached hereto. 

 

	
 
	
(e)
	
Exhibit E of the Agreement is hereby amended by replacing it in its entirety with Appendix II attached hereto. 

 

	
 
	
(f)
	
Exhibit F of the Agreement is hereby amended by replacing it in its entirety with Appendix III attached hereto. 

 

SECTION 3: Confirmation of the Supply Agreement 

 

	
 
	
(a)
	
Except as set forth in this Agreement, this Agreement shall not by implication or otherwise, limit, impair, constitute a waiver of, or otherwise affect the rights, remedies, duties and obligations of Nevro or GB under the Supply Agreement.

 

SECTION 4: Termination of Guaranty

 

	
 
	
(a)
	
Nevro and GB hereby agree to terminate the Guaranty effective as of the Effective Date.

 

 

SECTION 5: Miscellaneous

 

3

 

 

 

	
 
	
(a)
	
Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original and all of which shall constitute the same instrument.

 

	
 
	
(b)
	
Entire Agreement. Regarding the subject matter above, this Agreement shall supersede anything to the contrary in the Supply Agreement. 

 

	
 
	
(c)
	
Terms Not Defined. Terms not defined herein shall have the meaning assigned to them in the Supply Agreement.

 

[Remainder of page left intentionally blank.]

 

 

4

 

 

 

IN WITNESS WHEREOF, the parties have caused this Amendment to be executed by their duly authorized representatives as of the date first written above.

 

	
 
	
 
	
 
	
 

	
 
	
Nevro Corp.
	
 
	
Centro De Construccion de

	
 
	
 
	
 
	
Cardioestimuladores Del Uruguay S.A.

	
 
	
 
	
 
	
 

	
 
	
/s/ Andrew Galligan
	
 
	
/s/ Joel Becker

	
 
	
Signature
	
 
	
Signature

	
 
	
 
	
 
	
 

	
 
	
Andrew Galligan
	
 
	
Joel Becker

	
 
	
Name
	
 
	
Name

	
 
	
 
	
 
	
 

	
 
	
Chief Financial Officer
	
 
	
President, CRMN

	
 
	
Title
	
 
	
Title

	
 
	
 
	
 
	
 

	
 
	
3/6/2020
	
 
	
February 27, 2020

	
 
	
Date
	
 
	
Date

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Greatbatch Ltd.

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
/s/ Joel Becker

	
 
	
 
	
 
	
Signature

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Joel Becker

	
 
	
 
	
 
	
Name

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
President, CRMN

	
 
	
 
	
 
	
Title

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
February 27, 2020

	
 
	
 
	
 
	
Date

 

 

 

 

APPENDIX I

 

Exhibit A

Products

For IPG 1500, IPG 2000 and IPG 2500:

			
	
PRODUCTS
	
Minimum Purchase Thresholds
	
Lead Time

	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]

[***]

 

US-DOCS\115721061.1

 

Pricing For IPG Model 1500:

		
	
IPG Model 1500

 

	
Product Unit Year
	
Price

	
[***]
	
[***]

	
[***]
	
[***]

	
[***]
	
[***]

	
[***]
	
[***]

	
[***]
	
[***]

	
[***]
	
[***]

 

The prices in the table above reflect incremental volume pricing (for example, the price for the first [***] units in a Contract Year is [***] per unit and the price for the next [***] units is [***] per unit in that Contract Year). The IPG volumes above are measured by the volumes of units ordered during a Contract Year.

 

 

7

 

 

 

Pricing For IPG Model 2000 and IPG Model 2500:

Subject to the terms and conditions of the Agreement, Nevro commits to a Minimum Purchase Threshold of [***]% of the IPG Model 2000 and IPG Model 2500 worldwide requirements through the term of the Agreement.  Nevro’s Forecast provided on or about December 31 of each year shall include Nevro’s projected volume of Products and share commitment for the IPG Model 2000 and IPG Model 2500 Product for the following Contract Year.  Nevro’s price per Product for each IPG Model 2000 and IPG Model 2500 Product for such Contract Year shall be determined based upon such projected volume and share commitment in accordance with the following tables:

 

				
	
Annual Units of Product

(Year [***]) 
	
[***]% share
commitment
	
[***]% share

commitment
	
[***]% share 
commitment

	
PRICE

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

 

For [***] only, Nevro will purchase the first [***] units of IPG Model 2000 at [***] Unit Volume Price (ref. $[***]) and the remainder of the IPG Model 2000 and Model 2500 units shipped in [***] will be at the [***] pricing tier (ref. $[***]).  Volumes considered above are the combination of IPG Model 2000 and Model 2500.  The [***] prices include a [***]% yield factor for [***] only.  

 

 

US-DOCS\115721061.1

 

For year [***] and thereafter through the Term, the following tables will be used to determine IPG Model 2000 and Model 2500 pricing. Note, the pricing is different for each part number for each of the Products due to the GB-sourced components in part numbers [***] and [***].

 

IPG Model 2000 and Model 2500:

 

				
	
Annual Units of Product

(Year [***]+) 
	
[***]% share
commitment
	
[***]% share

commitment
	
[***]% share 
commitment

	
PRICE

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

 

 

IPG Model 2000 (part number [***]) and Model 2500 (part number [***]):

 

				
	
Annual Units of Product

(Year [***]+) 
	
[***]% share
commitment
	
[***]% share

commitment
	
[***]% share 
commitment

	
PRICE

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

	
[***]
	
[***]
	
[***]
	
[***]

 

Volumes considered above are the combination of IPG Model 2000 and Model 2500.

 

On or about September 1 of each Contract Year, the parties shall meet to review the next Contract Year Forecast and Nevro commitment and the per unit price for the Products for the next Contract Year will be determined using the initial forecasted volume’s price per the 

 

 

 

US-DOCS\115721061.1

 

appropriate pricing tier set out above. If the forecasted volume is within [***]% of Products of the next tier’s volume break, the parties agree to set the initial pricing at the higher price (i.e., lower volume) and review such pricing twice per year for any material changes in the Forecast. A credit will be issued to Nevro immediately and the per unit price will be reset once shipments scheduled for delivery during the binding portion of the Forecast (pursuant to Section 2.1) exceed the current volume/pricing tier and subsequent Purchase Orders scheduled for delivery during the same Contract Year would be placed at the lower price (i.e., higher volume pricing tier).  In the event that Nevro purchases in any Contract Year an amount of Products which is less than the initial Forecast for such Contract Year and the total amount of Products purchased during such Contract Year is in a higher price tier than the price tier offered based on the initial Forecast for such Contract Year, Nevro shall make a payment to CCC, by the end of such Contract Year, an amount equal to [***].

Certain Price Adjustments.  If Nevro agrees to purchase from GB or any of its Affiliates a minimum of [***] percent ([***]%) of its finished leads products in a Contract Year, Nevro shall receive an additional [***] percent ([***]%) reduction in price for each IPG Model 2000 Product and IPG 2500 Product ordered in accordance with such Forecast.  

 

 

 

US-DOCS\115721061.1

 

APPENDIX II

 

Exhibit E

Approved Facilities

 

 

[***]

 

 

 

US-DOCS\115721061.1

 

APPENDIX III

 

Exhibit F

Bill of Materials

[***]

 

US-DOCS\115721061.1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00308-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00308-of-00352.parquet"}]]