Document:

Exhibit
10.34

 EXECUTION COPY

 

***TEXT
OMITTED AND SUBMITTED SEPARATELY

PURSUANT
TO CONFIDENTIAL TREATMENT REQUEST

UNDER 17 C.F.R. SECTIONS 200.80(b)(4) AND
230.406

 

 

 

EUROPEAN PRODUCT SALES AGREEMENT (PHASE I)

 

BY AND BETWEEN

 

BAYER BIOLOGICALS S.R.L.

 

MILAN, ITALY

 

AND

 

TALECRIS BIOTHERAPEUTICS, GMBH

 

FRANKFURT, GERMANY

 

TABLE OF CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  ARTICLE 1

  PURCHASE AND SALE

  	
  5

  
	
   

  	
   

  	
   

  
	
  1.1

  	
  General

  	
  5

  
	
  1.2

  	
  Clayton Facility

  	
  36

  
	
  1.3

  	
  Contact Persons

  	
  6

  
	
   

  	
   

  	
   

  
	
  ARTICLE 2

  PRICING

  	
  7

  
	
   

  	
   

  	
   

  
	
  2.1

  	
  Prices

  	
  7

  
	
  2.2

  	
  Invoices

  	
  7

  
	
  2.3

  	
  Transfer Price Calculation

  	
  7

  
	
  2.4

  	
  Legacy Products

  	
  7

  
	
  2.5

  	
  Other Costs

  	
  7

  
	
  2.6

  	
  Payment

  	
  8

  
	
  2.7

  	
  Payment Disputes

  	
  8

  
	
  2.8

  	
  Annual True-up

  	
  8

  
	
   

  	
   

  	
   

  
	
  ARTICLE 3

  SUPPLY CHAIN COORDINATION

  	
  8

  
	
   

  	
   

  	
   

  
	
  3.1

  	
  Forecasts

  	
  8

  
	
  3.2

  	
  Delivery of Finished Products

  	
  9

  
	
   

  	
   

  	
   

  
	
  ARTICLE 4

  PRODUCTS

  	
  9

  
	
   

  	
   

  	
   

  
	
  4.1

  	
  Purchase Orders

  	
  9

  
	
  4.2

  	
  Shipments

  	
  9

  
	
  4.3

  	
  Specification

  	
  9

  
	
  4.4

  	
  Acceptance and Rejection

  	
  10

  
	
  4.5

  	
  Title

  	
  11

  
	
   

  	
   

  	
   

  
	
  ARTICLE 5

  MANUFACTURING REQUIREMENTS

  	
  11

  
	
   

  	
   

  	
   

  
	
  5.1

  	
  Manufacturing Procedures

  	
  11

  
	
  5.2

  	
  Revisions to Manufacturing
  Procedures

  	
  12

  
	
  5.3

  	
  Revisions to Manufacturing
  Processes

  	
  12

  
	
  5.4

  	
  Batch Records

  	
  12

  
	
  5.5

  	
  Batch Sizes

  	
  12

  
	
  5.6

  	
  Deviation Report

  	
  13

  
	
  5.7

  	
  Records

  	
  13

  
	
   

  	
   

  	
   

  
	
  ARTICLE 6

  QUALITY ASSURANCE

  	
  13

  
	
   

  	
   

  	
   

  
	
  6.1

  	
  Quality Assurance

  	
  13

  
	
  6.2

  	
  Testing

  	
  14

  
	
  6.3

  	
  Labeling and Documentation

  	
  14

  
	
   

  	
   

  	
   

  
	
  ARTICLE 7

  REGULATORY REQUIREMENTS

  	
  15

  
	
   

  	
   

  	
   

  
	
  7.1

  	
  Compliance with Regulations

  	
  15

  
	
  7.2

  	
  Inspection of Facilities

  	
  15

  
				

 

 

2

 

 

	
  7.3

  	
  Regulatory Filings

  	
  16

  
	
  7.4

  	
  Regulatory Approvals

  	
  16

  
	
   

  	
   

  	
   

  
	
  ARTICLE 8

  DOCUMENTATION AND RESERVE SAMPLES

  	
  16

  
	
   

  	
   

  	
   

  
	
  ARTICLE 9

  RISK OF LOSS

  	
  17

  
	
   

  	
   

  	
   

  
	
  9.1

  	
  Storage

  	
  17

  
	
  9.2

  	
  Risk of Loss

  	
  17

  
	
   

  	
   

  	
   

  
	
  ARTICLE 10

  CONFIDENTIALITY

  	
  17

  
	
   

  	
   

  	
   

  
	
  10.1

  	
  General

  	
  17

  
	
  10.2

  	
  Exceptions

  	
  17

  
	
   

  	
   

  	
   

  
	
  ARTICLE 11

  INDEMNITY AND INSURANCE

  	
  18

  
	
   

  	
   

  	
   

  
	
  11.1

  	
  Indemnity

  	
  18

  
	
  11.2

  	
  Indemnification Process

  	
  18

  
	
  11.3

  	
  Insurance

  	
  19

  
	
  11.4

  	
  Insurance Recoveries

  	
  19

  
	
  11.5

  	
  Latent Defects

  	
  19

  
	
  11.6

  	
  Incentive Bonus

  	
  19

  
	
  11.7

  	
  Limitation on Damages

  	
  20

  
	
   

  	
   

  	
   

  
	
  ARTICLE 12

  NONCONFORMING PRODUCT AND RECALLS

  	
  20

  
	
   

  	
   

  	
   

  
	
  12.1

  	
  Nonconforming Product

  	
  20

  
	
  12.2

  	
  General Requirements

  	
  20

  
	
  12.3

  	
  Distribution and Use Records

  	
  20

  
	
  12.4

  	
  Adverse Events

  	
  21

  
	
  12.5

  	
  Customer Notification of
  Adverse Reactions

  	
  21

  
	
  12.6

  	
  Withdrawals and Recalls

  	
  21

  
	
  12.7

  	
  Complaints

  	
  22

  
	
   

  	
   

  	
   

  
	
  ARTICLE 13

  TERM AND TERMINATION

  	
  22

  
	
   

  	
   

  	
   

  
	
  13.1

  	
  Term

  	
  22

  
	
  13.2

  	
  Termination for Cause

  	
  22

  
	
  13.3

  	
  Termination for Force Majeure

  	
  22

  
	
  13.4

  	
  Termination for Insolvency

  	
  23

  
	
  13.5

  	
  Effect of Termination

  	
  23

  
	
  13.6

  	
  Remedies

  	
  24

  
	
  13.7

  	
  Special Assistance

  	
  24

  
	
   

  	
   

  	
   

  
	
  ARTICLE 14

  INTELLECTUAL PROPERTY

  	
  24

  
	
   

  	
   

  	
   

  
	
  14.1

  	
  Intellectual Property Rights

  	
  25

  
	
   

  	
   

  	
   

  
	
  ARTICLE 15

  REPRESENTATIONS AND WARRANTIES AND DISCLAIMER

  	
  25

  
	
   

  	
   

  	
   

  
	
  15.1

  	
  Debarmemt

  	
  25

  
	
  15.2

  	
  Compliance

  	
  25

  
	
  15.3

  	
  Representations and
  Warranties

  	
  25

  

 

 

3

 

 

	
  15.4

  	
  Disclaimer

  	
  27

  
	
   

  	
   

  	
   

  
	
  ARTICLE 16

  MISCELLANEOUS

  	
  27

  
	
   

  	
   

  	
   

  
	
  16.1

  	
  Governing Law

  	
  27

  
	
  16.2

  	
  Assignment

  	
  28

  
	
  16.3

  	
  Severability

  	
  28

  
	
  16.4

  	
  Waiver

  	
  28

  
	
  16.5

  	
  Entire Agreement

  	
  28

  
	
  16.6

  	
  Survival

  	
  28

  
	
  16.7

  	
  Force Majeure

  	
  29

  
	
  16.8

  	
  Notices

  	
  29

  
	
  16.9

  	
  Captions

  	
  30

  
	
  16.10

  	
  Dispute Resolution

  	
  30

  
	
  16.11

  	
  Independent Contractor

  	
  32

  
	
  16.12

  	
  English Language

  	
  32

  
	
  16.13

  	
  Set-Off

  	
  32

  
	
  16.14

  	
  Defined Terms

  	
  32

  
	
   

  	
   

  	
   

  
	
  EXHIBITS TO THE EUROPEAN PRODUCT SALES
  AGREEMENT (PHASE I)

  	
  34

  

 

 

4

 

 

AMENDED AND RESTATED

EUROPEAN PRODUCT SALES AGREEMENT (PHASE 1)

 

This AMENDED
AND RESTATED EUROPEAN PRODUCT SALES AGREEMENT (PHASE 1) (this “Agreement”) is
entered into as of April 1, 2007 (“Effective Date”), by and between Talecris
Biotherapeutics, GmbH, (“Talecris GmbH”) of Frankfurt, Germany and Bayer
Biologicals S.r.l., Viale Certosa 130, Milan, Italy, Companies Register
C.C.I.A.A. Milano n 1717/97 (“Rosia,” along with Talecris GmbH, the “Parties”).
This Agreement, unless terminated earlier pursuant to Article 13 of this
Agreement, will expire on December 31, 2008.

 

WHEREAS, as
part of Talecris Biotherapeutics Inc.’s (“Talecris Inc.”) purchase of the
designated assets of Bayer HealthCare LLC, Rosia agreed to continue to
purchase, import, test, package and distribution in Europe certain final
container Products that were originally manufactured, processed and tested by
Talecris Inc. at the Clayton, North Carolina facility (“Clayton Facility”) (the
“Rosia I Agreement”).

 

WHEREAS, after
April 2007 it was anticipated that Talecris Inc. would have an affiliate in
Europe who would become the authorized importer and manufacturer of the
Finished Products and Rosia would then enter a new agreement wherein its role
was to be limited to certain packaging, labeling and distribution services only
(the “Rosia II Agreement”);

 

WHEREAS, on
January 2006, Talecris GmbH was established but the conditions necessary for
implementation of the Rosia II Agreement were nevertheless not met and as a
consequence the Parties wish to extend the terms of the Rosia I Agreement with
some modifications including the replacement of Talecris Inc. with Talecris
GmbH to account for Talecris GmbH’s new responsibility for the importation and
distribution of Finished Products in Europe; and

 

WHEREAS, Rosia
has agreed to extend the terms of the Rosia I Agreement with some modifications
including the replacement of Talecris Inc. with Talecris GmbH to account for
Talecris GmbH’s new responsibility for the importation and distribution of
Finished Products in Europe; and

 

WHEREAS, it is
understood by the Parties that Talecris GmbH shall be responsible for the
performance obligations of Talecris Inc. hereunder.

 

NOW,
THEREFORE, in consideration of the premises and the mutual covenants contained
herein and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the Parties do hereby agree as follows:

 

ARTICLE 1

PURCHASE AND SALE

 

1.1           General. In
accordance with the terms and conditions of this Agreement, Talecris GmbH shall
deliver in a form ready for testing and packaging biological Products set forth
in Exhibit 1 attached hereto and incorporated herein by reference (“Contractual
Products”) 

 

5

 

to Rosia who shall purcahse such Contractual
Products and perform such testing and packaging and release as necessary to permit
the resale back to Talecris GmbH as released Finished Products for final
distribution in Europe as set forth in Exhibit 2 (“Finished Products,”
collectively with Contractual Products, “Products”). Exhibit 1 and Exhibit 2
may be amended from time to time by mutual written agreement of the Parties to
reflect additional Products developed by Talecris Inc. during the Term that the
Parties desire to become Contractual Products or Finished Products as
applicable.

 

1.2           Clayton Facility.
Talecris GmbH shall not ship any Contractual Products manufactured from any
location other than the Clayton Facility, including without limitation, any
other facility under the same manufacturing license as the Clayton Facility,
without the prior written consent of Rosia based on the registration documents,
such consent not to be unreasonably withheld. Talecris GmbH shall ensure that
Talecris Inc. maintains the manufacturing authorizations contemplated by
Section 7.1 to manufacture the Contractual Products at the Clayton Facility. Talecris
GmbH shall notify Rosia immediately of any limitation imposed on its
manufacturing authorizations for the Contractual Products.

 

1.3           Contact Person.
Talecris GmbH and Rosia shall appoint those persons listed in Exhibit 4, as may
be amended from time to time, as contact persons for all technical questions. Exhibit
4 also lists the Qualified Person as the responsible person of Rosia, in
accordance with ED directive 91/356, article 52 and Italian Law 219/06, and the
Qualified Person of Talecris GmbH responsible person for the importation in
accordance with the applicable German law, as each may be amended from time to
time, and any successor thereto. All changes and amendments to Exhibit 4 shall
be made in writing, giving sufficient advance notice to the other Party under
the circumstances.

 

1.4           Cooperation of
the Parties. In order to ensure supply and timely delivery, Talecris GmbH
shall inform Rosia immediately of any problems that may prevent Talecris GmbH
from providing timely deliveries of the Contractual Products and the Parties
shall cooperate in resolving such problems relating to the manufacture and
supply of the Contractual Products under this Agreement. In recognition of the
fact that Rosia’s business is dynamic and evolving based on market demand,
regulatory approvals and other factors, Talecris GmbH shall in good faith, but
subject to the terms of this Agreement, use commercially reasonable efforts to
seek to accommodate any reasonable request by Rosia to manufacture quantities
of the Contractual Products in excess of Talecris GmbH’s obligations hereunder;
provided, however, Talecris GmbH shall have no liability for any failure to
accommodate such request despite such efforts. The Parties shall use
commercially reasonably efforts to make temporary changes to the amount of
Contractual Products purchased and sold hereunder in order to accommodate
maintenance turnarounds at the Clayton Facility and unanticipated manufacturing
constraints and market commitments. For purposes of clarification, this Section
1.4 does not expand or diminish the Parties’ obligations to supply and
purchase, as applicable, the Contractual Products in accordance with the
Binding Forecast set forth in Section 3.1.

 

6

ARTICLE 2

PRICING

 

2.1           Prices.  Rosia shall purchase Contractual Products
from Talecris GmbH at the prices set forth in Exhibit 1 and sell Finished
Products back to Talecris GmbH at the prices set forth in Exhibit 2, or as
otherwise determined according to Section 2.3. 
the difference between the purchase price and the resale price for each
product shall be referred to as the “Contract Fee.”

 

2.2           Invoices. Following
delivery of Contractual Products to Rosia, Talecris GmbH shall issue a written
invoice to Rosia showing the type and amount of Contractual Products delivered,
and the prices thereof, as computed in accordance with this Article 2. Rosia
shall do the same with regards to Finished Product. The vials that are required
for testing and reference samples will be delivered free of charge. In Exhibit
1 are indicated the number of such vials.

 

2.3           Transfer Price
Calculation.  The initial prices
(effective August 1, 2007, the “Commencement Date”) of Contractual Product and
of Finished Product are listed in Exhibits 1 and 2.  The price at which Rosia purchases
Contractual Product from Talecris shall be referred to as the “Contractual Product Transfer Price”, and the initial prices
as at the Commencement Date are listed in Exhibit 1.  The price at with Rosia sells Finished
Product to Talecris GmbH shall be referred to as the “Finished
Product Transfer Price”, and the initial prices as at the
Commencement Date are listed in Exhibit 2. 
the parties acknowledge that the Contractual Product Transfer Price and
the Finished Product Transfer Price shall be established with the intended
result of providing Rosia with its Contract Fee as specified in Exhibits 5A and 5B.  Talecris shall be entitled to change the
Contractual Product Transfer Price and the Finished Product Transfer Price at
each of October 1, January 1, and April 1 during the term of this Agreement
upon 30 days’ advance written notice to Rosia.

 

2.4           Legacy Products.
Finished Products manufactured from Contractual Products purchased by Rosia
prior to the Commencement Date shall be referred to as “Legacy Products”. Talecris
GmbH shall ensure that Legacy Products are purchased by Talecris Inc. as and
when these Legacy Products are shipped to Talecris GmbH pursuant to a Binding
Forecast at the rate Rosia would have invoiced Bayer’s affiliated distributors
pursuant to the Rosia I Agreement before it was amended by this Agreement. For
example, a Legacy Product labeled for the Belgium market would be shipped to
Talecris GmbH, by  Talecris Inc. would be
invoiced the amount such product would have been invoiced to Bayer Belgium on
the same terms as were in effect during the unamended Rosia I Agreement.

 

2.5           Other Costs. Talecris
shall reimburse Rosia for the reasonably documented costs of the following
items; (i) the costs of any Contractual Product or Finished Product damaged
while stored by Rosia during the Term of this Agreement, provided that such
damage is not the result of Rosia’s negligence or willful misconduct; (ii) the
costs associated with packaging changes requested by Talecris or otherwise
required by law, including without limitation, the costs of residual packing
components; (iii) the costs associated with repackaging of Finished Product
which packaging has become damaged for reasons other than Rosia’s negligence or
willful misconduct; (iv) costs associated with packaging 

 

7

 

and/or testing of product for the excipient
business, or samples; (v) the costs associated with change management and the
packaging technology service, as follows:

 

(a)           Refer to Exhibit 5 for the amount to
be charged for each launch (launch of a new article specification), the costs
are charged in the quarter of the submission for review by the Marketing
Authorization Holder of the article specification; and

 

(b)           Refer to Exhibit 5 for the amount to
be charged every quarter for all the article specifications that are in the
approved status at the end of the previous quarters (Maintenance of an approved
article specification).

 

(c)           The cancellation of an approved
article is free of charges, in order to minimize the number of the active
article specifications.

 

The Parties agree that (i) the Pool Samples will be shipped from
Talecris Inc. to Talecris GmbH and then to PEI; (ii) The PEI fees will not be
charged to Rosia.

 

2.6           Payment. The
Parties shall pay the amount specified in invoices issued in accordance with
Section 2.2 above within forty-five (45) days of receipt thereof.

 

2.7           Payment Disputes.
All billing and payment disputes between the Parties shall be resolved in
accordance with Section 16.10 below.

 

2.8           Annual True-up.  Talecris GmbH shall try and set Transfer
Prices for Contractual Products and Finished Products, both initially and
quarterly thereafter, in accordance with the projected manufacturing activity
to be performed by Rosia in order to realize the economic results intended in Exhibits 5A and 5B.  However, in the event that actual
manufacturing activity differs from projected activity, and the Contract Fees
actually paid (i.e. the difference between Transfer Prices in and out of Rosia)
is incorrect as a result, then on December 31 of each year of this Agreement,
or as soon as practicable following early termination, the Parties will
calculate Contract Fees paid during the current year (or up to the point of
termination) versus the Contract Fee that should have been paid based on actual
services performed.  If after completing
this calculation it is determined that the Talecris GmbH paid too much during
the applicable period, then Rosia to either credit or pay to Talecris GmbH (as
Talecris GmbH may direct) the amount of any such overpayment.  In a similar manner, if it is determined that
Talecris GmbH underpaid then Talecris GmbH shall pay Rosia the amount of any
such underpayment.  Such debit or credit
note to be made within sixty (60) days after the applicable date of the
calculation.

 

ARTICLE 3

SUPPLY CHAIN COORDINATION

 

3.1           Forecasts. Starting
on the Commencement Date and then by the seventh day of each month during the
Term, Talecris GmbH shall deliver to Rosia a twelve (12) month rolling forecast
of required Finished Products for supply to Talecris GmbH. The required 

 

8

Finished Products identified for the first
three (3) months shall be considered to be firm orders (“Binding Forecast”)
and, upon acceptance of such Binding Forecast, Rosia shall be obligated to
purchase from Talecris GmbH the quantity of Contractual Products required to
meet those orders, and Talecris GmbH shall be obligated to purchase from Rosia
the quantity of Finished Products, identified in the Binding Forecast. Rosia
shall have no obligation to purchase any Contractual Products in amounts
greater than required in the forecast; provided, however, Rosia will
agree to work with Talecris GmbH in a commercially reasonably manner to permit
Talecris GmbH to meet orders in excess of the Binding Forecast.

 

3.2           Delivery of
Finished Products. Rosia shall use commercially reasonable efforts to
deliver Finished Products in a timely manner consistent with Talecris GmbH’s
purchase orders that are sent to Rosia two months before delivery month.

 

ARTICLE 4

PRODUCTS

 

4.1           Purchase Orders.
Upon acceptance of Talecris GmbH’s first forecast set forth in Article 3 above,
Rosia shall deliver to Talecris GmbH a purchase order for Contractual Products
in the total aggregate quantities set forth in the Binding Forecast approved by
both Parties as set forth in Article 3 above. Thereafter, Rosia shall deliver
purchase orders for Contractual Products reflecting the aggregate quantities
order for the third month in the Binding Forecast (in each case, a “Purchase
Order”). Talecris GmbH shall issue Purchase Orders in a similar manner for
Finished Products upon delivery of each Binding Forecast. Each Purchase Order
shall specify the quantity of the Contractual Products ordered and delivery
date consistent with normal lot sizes and consistent with past practice.

 

4.2           Shipments. Each
Party shall be responsible for making the necessary shipping arrangements for
their respective Products in conformance with the delivery dates set forth in
the Purchase Orders provided by the other Party. All shipments of Products
shall contain the applicable certificate of batch release and the risk of loss
shall be determined in accordance with the provisions of Section 9.2 below.

 

4.3           Specification.
Talecris GmbH shall, and to the extent appropriate, ensure that Talecris Inc.
shall, manufacture, process, store, distribute, transport, dispose, package,
inspect, test and otherwise handle, and Rosia shall store, package, inspect,
test, transport, dispose and otherwise handle, Contractual Products and
Finished Products, as applicable to their activities under this Agreement
respectively, at all times in compliance with current Good Manufacturing
Practices (“cGMPs”) and other applicable Regulations (as defined in Section 7.1
below), the specifications listed in Exhibit 6, and incorporated herein by
reference (the “Specifications”), the ED Dossier/registration formulae, the
European registrations listed on Exhibit 7 (“European Registrations”),
applicable SOPs (as defined in Section 7.2), and the Agreement on the
Manufacture under Contract between Talecris Biotherapeutics GmbH and Bayer
Biologicals S.r.1. effective as of the date of signing attached as Exhibit 8(A)
and following Talecris GmbH’s qualification as 

 

9

releaser, the Agreement on the Manufacture
Under Contract attached as Exhibit 8(B). Both such Agreements are referred to
in this Agreement as the “Manufacture Under Contract Agreement”. The initial
Specifications shall be the same as in effect as of the Commencement Date. Talecris
GmbH and Rosia shall not make any changes to the Specifications or the SOPs
without the prior written approval of the other Party, such approval not to be
unreasonably withheld. All Parties shall maintain all records as are necessary
and appropriate to demonstrate compliance with cGMPs, the Specifications, the
SOPs and Regulations. Any change by one Party to the Specifications or SOP’s
that could required a European regulatory submission or affect the available
supply of Contractual Products or Finished Products should be communicated in
writing to the other Party with copies sent to the following:

 

For Rosia:

 

	
  Head of QA/QC

  	
   

  	
  Dr. Joachim Leube

  	
   

  	
  +39 0577 571 205 

  +39 02 3978 4278 (Fax) 

  joachim.leube.jl@bayer-ag.de

  
	
  Regulatory Affairs

  	
   

  	
  Dr. Pasqualina Zammarrelli

  	
   

  	
  +39 0577 571 204 

  +39 02 3978 5906 (Fax) 

  pasqualina.zammarrelli.pz@bayer-ag.de

  

 

For Talecris GmbH:

 

	
  Head of Quality Assurance

  	
   

  	
  Dr. Cordula Schneider

  	
   

  	
  +49 69-660 593-391 

  +49 69-660 593-110 (Fax) 

  cordula.schneider@talecris.com

  
	
  Head of Regulatory Affairs

  	
   

  	
  Dr. Wolfgang Schulten

  	
   

  	
  +49 69-660 593-401 

  +49 69-660 593-110 (Fax) 

  wolfgang.schulten@talecris.com

  

 

For Talecris,
Inc.

 

Talecris
Biotherapeutics, Inc.

Attn:  Anne Davis

8368 US 70
West

Clayton NC
27520

Phone:  1-919-359-7268

Email:
anne.davis@talecris.com

 

4.4           Acceptance and
Rejection. Subject to the rest of this Section 4.4, Rosia and Talecris GmbH
shall each have a period of sixty (60) days from the date of its receipt of a
shipment of Contractual Products or, as appropriate, Finished Product (the “Inspection
Period”) to inspect the delivered Contractual Products or Finished Products and
reject the corresponding shipment of Contractual Products or Finished Products
for nonconformity 

 

10

with the Specifications. If Rosia or, as
appropriate, Talecris GmbH, rejects such shipment or a portion thereof, it
shall promptly so notify the other Party, such rejected Contractually Products
or Finished Products shall be considered Nonconforming Products and the
provisions of Section 12.1 below shall apply. If after accepting a shipment of
the Contractual Products or Finished Products, Rosia or, in the case of
Finished Products, Talecris GmbH, subsequently discovers latent material
defects (including without limitation, nonconformance to the Specifications)
not reasonably discoverable during the Inspection Period, Rosia or Talecris
GmbH may revoke its acceptance of such shipment of the Contractual Products or
a portion thereof, or Finished Products or a portion thereof, by giving written
notice and disclosing the nature of any defects to Talecris GmbH or Rosia as soon
as practicable after discovering such defects. In such event, such rejected
Contractual Products or Finished Products shall be considered Nonconforming
Products to the extent such latent material defects in fact are present and the
provisions of Section 12.1 below shall apply.

 

4.5           Title. Title
to the Contractual Products will be deemed to pass to Rosia upon delivery to
Rosia by the common carrier at the Rosia facility in Rosia, Italy. In the event
that Rosia revokes its acceptance of any Contractual Products, title will
revert to Talecris GmbH. Title to Finished Products will be deemed to pass to
Talecris GmbH upon delivery to Talecris GmbH’s carrier at Rosia’s facility. In
the event that Talecris GmbH revokes its acceptance of any Finished Products,
title will revert to Rosia.

 

ARTICLE 5

MANUFACTURING REQUIREMENTS

 

5.1           Manufacturing
Procedures. If Rosia’s approval of Talecris Inc.’s manufacturing procedures
is required under applicable Regulations, Talecris GmbH shall provide Rosia
with a copy of the ED Dossier/registration that provides a detailed overview of
the manufacturing processes that have been implemented by Talecris Inc. Talecris
GmbH shall ensure that Talecris Inc. cooperates and provides reasonable
assistance to Rosia to facilitate Rosia’s compliance with all applicable
Regulations, including without limitation, those specified in E.D. directive
91/356, article 12, as may be amended from time to time, and any successor
directive thereto. Any change by one Party to the manufacturing procedures that
could require a European regulatory submission or affect the available supply
of Contractual Products or Finished Products should be communicated in writing
to the other Party with copies sent to the following:

 

For Rosia:

 

	
  Head of QA/QC

  	
   

  	
  Dr. Joachim Leube

  	
   

  	
  +39 0577 571 205 

  +39 02 3978 4278 (Fax) 

  joachim.leube.jl@bayer-ag.de

  
	
  Regulatory Affairs

  	
   

  	
  Dr. Pasqualina Zammarrelli

  	
   

  	
  +39 0577 571 204 

  +39 02 3978 5906 (Fax) 

  pasqualina.zammarrelli.pz@bayer-ag.de

  

 

For Talecris
Gmbh:

 

11

 

	
  Head of Quality Assurance

  	
   

  	
  Dr. Cordula Schneider

  	
   

  	
  +49 69-660 593-391 

  +49 69-660 593-110 (Fax) 

  cordula.schneider@talecris.com

  
	
  Head of Regulatory Affairs

  	
   

  	
  Dr. Wolfgang Schulten

  	
   

  	
  +49 69-660 593-401 

  +49 69-660 593-110 (Fax) 

  wolfgang.schulten@talecris.com

  

 

For Talecris,
Inc.

 

Talecris
Biotherapeutics, Inc.

Attn: Anne
Davis

8368 US 70
West

Clayton NC
27520

Phone:
1-919-359-7268

Email:
anne.davis@talecris.com

 

5.2           Revisions to
Manufacturing Procedures. If the Manufacturing procedures require changes
for any reason, they shall be revised in accordance with the Clayton Critical
Change procedures in effect on the Commencement Date or from time to time
thereafter, which shall be made available to Rosia for inspection at the
Clayton Facility upon request by Rosia. Talecris GmbH shall obtain Rosia’s
approval, which approval shall not be unreasonably withheld, prior to making
any change to Manufacturing procedures (including the Clayton Critical Change
procedures) that may affect any European Registrations. If such changes require
that Rosia incur expense or cost in order to comply with the requirement of
this Agreement, Talecris GmbH will reimburse Rosia such expense and cost.

 

5.3           Revisions to
Manufacturing Processes. If a Manufacturing process is changed, then the
new process shall be revalidated as required by the Clayton Critical Change
procedures in effect on the Commencement Date or from time to time thereafter,
with due regard to any critical parameters and documented according to the Clayton
Critical Change procedures then in effect, which shall contain details of the
place, extent and cost of the validation. If such changes require that Rosia
incur expense or cost to comply with the requirements of this Agreement
Talecris GmbH will reimburse Rosia such expense and cost.

 

5.4           Batch Records.
Talecris GmbH shall provide to Rosia a written report for each production batch
(each a “Manufacturing Record”) for
the purpose of complying with the registration and the documentation
requirements of applicable Regulations, including without limitation, ED GMP
Guidelines and of ED directive 91/356 article 9, as each may be amended from
time to time, and any successors thereto.

 

5.5           Batch Sizes. Batch
sizes shall be determined by Talecris GmbH based on process validation. Talecris
Inc. shall ensure that it manufacturers only validated batch sizes.

 

12

5.6           Deviation Report.

 

(i)            If
during the Manufacture of the Contractual Products by Talecris Inc. these arises
a result that is classified as either a Type I Incident or a Type II Incident,
then Talecris GmbH shall ensure that Talecris Inc. prepares within seven (7)
days following the discovery of such deviation a written report detailing such
deviation (a “Deviation Report”) and
promptly send to Rosia such Deviation Report prior to Talecris GmbH’s delivery
of the Contractual Products which are the subject of such report. If Rosia
rejects shipment of the Contractual Products based on a Deviation Report, it
shall promptly notify Talecris GmbH, such Contractual Products shall be
considered Nonconforming Products and the provisions of Section 12.1 shall
apply. For purposes of this Agreement, a “Type I Incident”
shall be defined as an unexpected result that has potential serious impact on
product safety, identity, strength, quality, purity, efficacy or
manufacturing/testing process. Examples of Type I Incidents include final
product sterility and stability failure, media fill failure, pyrogen
specification exceeded for bulk or final container and inadequate viral
inactivation process. For purposes of this Agreement, a “Type II
Incident” shall be defined as an unexpected result that has the
potential to affect product safety, identity, strength, quality, purity, efficacy,
or manufacturing/testing process performance. Examples of Type II Incidents
include clean steam exceeding action level for LAL and Pre sterile in-process
bioburden exceeding action level.

 

(ii)           If
during the processing, storage, distribution, testing, transport, disposal or
other handling, as applicable, of the Contractual Products by Rosia there
arises a result that is classified as either a Type I Incident or a Type II
Incident, then Rosia shall prepare within seven (7) days following the
discovery of such deviation a Deviation Report and promptly send to Talecris
GmbH such Deviation Report. As necessary to the extent the deviations and
incidents are due to the acts or omissions of Rosia, or its Affiliates acting
in furtherance of Rosia’s performance under this Agreement, Rosia will be
responsible, at no cost to Talecris GmbH, to implement the necessary corrective
action for such Type I or Type II Incidents, including the destruction of
Product if required.

 

5.7           Records. Both
Parties shall maintain production records and other records required by the ED
Dossier/registration formulae, European Registrations, Specification, SOPs,
cGMPs or Regulations. Each Party shall make such records available to the other
Party for inspection following a written request by the other Party; such
request shall not be unreasonably denied.

 

ARTICLE 6

QUALITY ASSURANCE

 

6.1           Quality Assurance.
The Parties shall perform their obligations in accordance with the Manufacture
Under Contract Agreement attached hereto as Exhibit
8A, or, as applicable, Exhibit 8B.
Exhibit 8A shall become effective on the Commencement Date and be valid through
December 31, 2007. Provide Talecris has obtained qualification as releaser
of the Finished Products under European applicable law from the competent
Regulatory Authorities by January 1, 2008, then on or before
January 1, 2008 Rosia shall sign a new Manufacturer Under Contract
Agreement attached Exhibit 8B
setting forth its reduced 

 

13

obligations with regards to final release of
Finished Product to the various marketing authorities. The Pharmaceutical
Duties and Responsibilities are defined in Appendix 3 of the Manufacture Under
Contract Agreement(s).

 

6.2           Testing. The
Parties shall conduct all testing of Contractual and Finished Products as
applicable in accordance with test procedures in effect as of the Commencement
Date (as may be amended from time to time) and all applicable Regulations and
Registrations. To the extent required by applicable Regulations, Rosia and
Talecris GmbH shall approve such test procedures. Talecris GmbH shall provide
Rosia with the test results for lots of Contractual Product tendered to Rosia
for acceptance or rejection pursuant to Section 4.4 and Rosia shall do the same
for Talecris GmbH with respect to Finished Products tendered. The Parties shall
act in a commercially reasonable manner in considering and adopting new test
procedures consistent with the prevailing state of scientific knowledge and
suitable for quality assessment.

 

6.3           Labeling and
Documentation.

 

(i)            Rosia
acknowledges and agrees that all right, title and interest in and to the
Talecris GmbH’s registered trademarks and related goodwill included in Talecris
GmbH’s trademarks, and all registrations of such Talecris GmbH trademarks, are
reserved to and belong exclusively to Talecris GmbH. All goodwill deriving from
the use of Talecris GmbH’s trademarks by Rosia pursuant to the terms of this
Agreement or arising out of this Agreement shall accrue solely and exclusively
to Talecris GmbH.

 

(ii)           Rosia
shall not challenge the validity of Talecris Inc.’s registered trademarks or
Talecris Inc.’s ownership thereof in any form or manner. Rosia shall not at any
time during or after the term of this Agreement, (a) knowingly use any of
Talecris Inc.’s trademarks in any way that would impair the validity of such
Talecris Inc. trademark as a proprietary trademark, service mark, trade name
and/or trade dress in any jurisdiction, (b) knowingly take any action which
would impair Talecris Inc.’s ownership of any of Talecris Inc.’s trademarks or
their legality or enforceability, (c) register, or cause to be registered, in
Rosia’s name or the name of another, any of Talecris Inc.’s trademarks or any
other trademarks, names, logos, color schemes, symbols, trade dress or designs
it knows to be confusingly similar to Talecris Inc.’s registered trademarks,(d) use,
display, advertise or promote any trademarks, names, logos, color schemes,
symbols trade dress or designs it knows to be confusingly similar to any of
Talecris Inc.’s registered trademarks in any jurisdiction, or (e) use any of
Talecris Inc.’s registered trademarks as part of a corporate or trade name of
any business organization.

 

(iii)          Rosia
shall submit to Talecris GmbH for its written approval before any use is made
thereof a reasonable number of samples of any packaging or labeling or other
materials produced, printed or manufactured by Rosia or its affiliates and on
which Talecris GmbH’s trademarks appear. Rosia shall label and package the
Finished Products in accordance with Talecris GmbH’s labeling, packaging and
quality standards set forth on Exhibit 9
attached hereto and incorporated hereto and incorporated herein by reference. All
packaging and labeling used by Rosia for the Finished Products shall bear such
packaging and labeling approved by Talecris GmbH, provided however that Rosia
will not be obligated to use such packaging and labeling approved by Talecris
GmbH where Rosia has a good faith belief that such use would violate Applicable
Law.

 

14

ARTICLE 7

REGULATORY REQUIREMENTS

 

7.1           Compliance with
Regulations. Talecris GmbH shall comply, and shall ensure that Talecris
Inc. complies, in all material respects with all laws, requirements,
regulations, registrations, guidelines, licenses and directives, including
those in any Regulatory Approval of any Regulatory Authority (including without
limitation, applicable cGMPs as defined in national and international accepted
GMP compendia including PIC/C and WHO GMP Guide) including all specifications
and procedures for plasma sourcing, plasma testing, and in process testing and
all regulations, specifications, and procedures contained therein, including,
without limitation, the regulations, the regulations set forth in Exhibit 10 (collectively, “Regulations”). Likewise, Rosia shall
comply in all material respects with Regulations applicable to the performance
of its obligations hereunder. Each Party shall comply with all Regulations that
become applicable to such Party effective after the Effective Date within the
timeframe required by such Regulation or applicable Regulatory Authority,
provided that the Parties will allocate the costs and expenses of any such
compliance on an equitable basis, taking into account the respective economic
benefit of this arrangement, and the remaining duration of this Agreement. Each
Party shall maintain all government approvals, permits and licenses necessary
or desirable in the performance of their respective obligations under this
Agreement. “Regulatory Approvals” shall
mean all licenses, approvals, permissions, or consents required for the
manufacture, processing, inspection, testing, packaging, storage, transport,
distribution or sale of the Contractual Products or Finished Products. “Regulatory Authority and Regulatory Authorities” shall mean
the U.S. Food and Drug Administration, the German Health Authority and any
successor agencies and all other local, state, federal, or foreign governmental
authorities with authority to grant or deny the necessary Regulatory Approvals
or to regulate the manner or means by which the Contractual Products or
Finished Products are manufactured, processed, tested, inspected, packaged,
stored, transported, distributed, or sold.

 

7.2           Inspection of
Facilities. Each Party shall have the right, on reasonable written advance
notice (to the extent practicable, not less than one (1) week advance notice),
and during normal business hours, to inspect and audit the other Party’s facilities
(including the Clayton Facility), standard operating procedures (as in effect
as of the Effective Date and amended from time to time upon mutual agreement of
the Parties, and any replacement or successor thereof, “SOPs”),
operations, testing, storage and books and records to confirm compliance with
Section 7.1 and the other Party’s compliance with the terms and conditions of
this Agreement, provided that what is being inspected is relevant to the
Contractual Products or Finished Products, as applicable, and that such
inspection does not unreasonably interfere with the conduct of business of such
other Party. Each Party shall use its commercially reasonable efforts to
accommodate any reasonable request made by the other Party to inspect such
facility. Each Party shall respond in writing to the other Party regarding any
items of noncompliance identified by the other Party during such inspections or
audits within fifteen (15) days of the other Party’s notice thereof, and each
Party shall develop a plan, reasonably satisfactory to such other Party, to
remedy 

 

15

any such items of noncompliance as soon as
practicable but in no event later than sixty (60) days of notice thereof, and
shall remedy such items of noncompliance as set forth in such plan, the failure
of which shall entitle the other Party to terminate this Agreement in
accordance with Section 13.2 hereof.

 

7.3           Regulatory
Filings. Each Party shall promptly accommodate all requests made by any
Regulatory Authority to audit such Party’s facilities that relate to the
Contractual Products or Finished Products, as the case may be. Both Parties
shall have the right to review, during the Term and for five (5) years
thereafter, all audit findings or notices of Regulatory Authorities as such
may, directly or indirectly, bear upon each Party’s obligations under this
Agreement. Each Party shall develop and provide to the other Party a plan,
reasonably satisfactory to the other Party, to remedy, and shall remedy, any
deficiencies identified as a result of such regulatory inspection in the time
frames mandated in the applicable inspection report or the applicable
Regulations. Each Party shall promptly notify the other Party (i) at the time
such Party becomes aware of any Regulatory Authority inspection of its facility
(including the Clayton Facility) and (ii) at the time such Party receives
notice from the Regulatory Authority of any observation or regulatory action,
such as a warning letter. Each Party shall promptly provide a copy of any audit
finding with such Party’s corrective action response to the other Party for
items that relate to the Contractual Products or Finished Products, as the case
may be.

 

7.4           Regulatory
Approvals. Talecris GmbH is solely responsible for obtaining all necessary
Regulatory Approvals, including Approvals by the European Regulatory
Authorities, to sell Contractual Products to Rosia and Finished Products in
Europe. Rosia shall upon request, at Talecris GmbH’s sole cost and expense, and
as reasonably necessary, provide Talecris GmbH with all information, including
but not limited to dossier, technical information and other information and
other information for obtaining Regulatory Approval in Europe. Rosia is solely
responsible for obtaining all necessary Regulatory Approvals, including by the
European Regulatory Authorities, to, test, package and release any Finished
Product to Talecris GmbH in Europe. Talecris GmbH shall upon request, at Rosia’s
sole cost and expense, and as reasonably necessary, provide Rosia with all
information, including but not limited to dossier, technical information and
other information for obtaining such Regulatory Approvals in Europe.

 

ARTICLE 8

DOCUMENTATION AND RESERVE SAMPLES

 

Each Party
shall maintain such reserve samples of product and packaging materials as
required by the Quality Assurance Standards attached as Exhibit 8.
Talecris GmbH shall provide to Rosia (at no cost to Rosia) sufficient
quantities of Contractual Products to permit Rosia to meet the Regulations for
reserve samples and packaging.

 

16

 

ARTICLE 9

RISK OF LOSS

 

9.1           Storage. Until
a Finished Product has been released by Rosia in accordance with applicable
Regulations, including but not limited to EU directive 91/356, article 21 (as
may be amended from time to time, and any successor thereto), storage shall be
subject to quarantine.

 

9.2           Risk of Loss.
Risk of loss for Contractual Product in transit to Rosia shall lie with
Talecris GmbH. The risk of loss for the Contractual Product due to casualty,
spoliage, loss, theft, fire, damage or destruction after the shipment of the
Contractual Product is delivered to Rosia by the common carrier at the Rosia
facility in Rosia, Italy shall be borne by Rosia. The risk of loss for Finished
Products shall pass to Talecris GmbH on delivery from Rosia to Talecris GmbH’s
carrier at Rosia’s facility.

 

ARTICLE 10

CONFIDENTIALITY

 

10.1         General. All
information provided by one Party to the other Party in connection with this
Agreement (including, without limitation, the Specifications and forecasts)
shall be maintained in strict confidence by the receiving Party being shared
only with affiliated companies, consultants, attorneys, and employees with a
need to know and who are bound by similar obligations of confidentiality. Such
information shall remain the property of the providing Party, and the receiving
Party shall not make use of any such information except for the purposes for
which it was provided. Provided, however, that such information may also be
shared with creditors, potential investors, or collaborators who have a need to
know and who are bound to maintain the confidentiality of such information. At
the termination of this Agreement, the receiving Party shall promptly return to
the providing Party any physical embodiments (including copies) of any such
information. Each Party agrees to keep confidential the existence of this
Agreement, as well as all of its terms and conditions; provided that if a
public announcement or disclosure is required by law, rule, regulation, court
order, subpoena, interrogatory or other discovery request (including without
limitation applicable securities laws or stock exchange regulations), and
subject to Section 10.2(v), the Party required to make the public announcement
or disclosure shall be permitted to make such disclosure and shall provide
prompt prior written notice of such requirement to the other Party, and the
Parties shall thereafter negotiate in good faith, to the extent appropriate and
feasible, the contents of the public announcement or disclosure.

 

10.2         Exceptions. The
covenants of the receiving Party contained in Section 10.1 shall not apply to
information which:  (i) is already in the
public domain at the time of disclosure; (ii) becomes part of the public domain
at the time of disclosure; (ii) becomes part of the public domain through no
action or omission of the receiving Party after disclosure to the receiving
Party; (iii) is already known to the receiving Party on a non-confidential
basis at the time of disclosure, as evidenced by the receiving Party’s written
records; (iv) has been or is disclosed to the receiving Party in good faith by
a third party who was or is not, at the time of disclosure, under any
obligation of confidence to 

 

17

the other Party hereto at the time the third
party disclosed such information; or (v) is required to be disclosed by law,
provided that the receiving Party shall cooperate with the disclosing Party (at
the disclosing Party’s expense) in obtaining any available protection for such
information to be disclosed.

 

ARTICLE 11

INDEMNITY AND INSURANCE

 

11.1         Indemnity. Talecris
GmbH hereby agrees to save, defend and hold Rosia and its affiliates and its
and their directors, officers, manages, employees, representatives,
consultants, stockholders, controlling persons and agents and each of the
heirs, executors, successors and assigns of any of the foregoing (together, the
“Rosia Group”) harmless from and
against any and all claims, suits, actions, liabilities, expenses and/or
losses, including punitive or exemplary damages and reasonable attorney’s fees
and expenses (“Claims”) asserted by a person
or entity other than a member of the Rosia Group arising from any material
breach of obligations under this Agreement by the Talecris GmbH Group (as
defined below), and/or the manufacture, use, development, marketing, sale,
commercialization, import, export, or offer the sale of Contractual Products
and/or Finished Products by Talecris GmbH, Talecris, Inc. or any third party,
except to the extent that Rosia is obligated to indemnify Talecris GmbH as
expressly stated in this Section 11.1. Rosia hereby agrees to save, defend and
hold Talecris GmbH and its affiliates and its and their directors, officers,
managers, employees, representatives, consultants, stockholders, controlling
persons and agents and each of the heirs, executors, successors and assigns of
any of the foregoing (together, the “Talecris GmbH Group”)
harmless from and against any and all Claims asserted by a person or entity
other than a member of the Talecris GmbH Group arising from any material breach
by Rosia of Section 7.1 of this Agreement.

 

11.2         Indemnification
Process. Each party indemnified under the provisions of this Agreement,
upon receipt of written notice of any Claim or the service of a summons or
other initial legal process upon it in any action instituted against it for
which it may be entitled to indemnification pursuant to this Agreement, shall
promptly give written notice of such Claim, or the commencement of such action,
or threat thereof, to the Party from whom indemnity shall be sought hereunder,
provided, however, that the failure to provide such notice within a reasonable
period of time shall not relieve the indemnifying party of any of its
obligations hereunder except to the extent the indemnifying party if prejudiced
by such failure. Each indemnifying party shall be entitled as its own expense
to participate in the defense of such Claim or action, or, if it shall elect,
so long as it has acknowledged in writing to the indemnified party its
indemnification obligations hereunder, by written notice to the indemnified
party within twenty (20) days of receipt of notice of the Claim or action from
the indemnified party to assume such defense, in which event such defense shall
be conducted by counsel chosen by such indemnifying party (without prejudice to
the right of the indemnified party to fully participate at its own expense through
counsel of its own choosing) which counsel may be any counsel reasonably
satisfactory to the indemnified party against whom such Claim is asserted or
who shall be the defendant in such action, and such indemnified party shall
bear all fees and expenses of any additional counsel retained by it or them,
provided that the indemnifying party shall obtain the 

 

18

consent of the indemnified party (which
consent may be withheld in its sole discretion) before entering into any
settlement, adjustment or compromise of such Claims, provided further that the
indemnifying party may, without the consent of the indemnified party, settle or
compromise or consent to the entry of any judgment in any Claim or action
involving only the payment of money which includes as an unconditional term
thereof the delivery by the claimant or plaintiff to the indemnified party of a
duly executed written release of the indemnified party from all liability in
respect of such Claim or action which written release shall be reasonably
satisfactory in form and substance to the indemnified party. Notwithstanding
the immediately preceding sentence, if the named parties in such action
(including impleaded parties) include the indemnified and the indemnifying
parties, and the indemnified party shall have been advised by counsel that
there may be a conflict between the positions of the indemnifying party and the
indemnified party in conducting the defense of such action or that there are
legal defenses available to such indemnified party materially different from or
in addition to those available to the indemnifying party, then counsel for the
indemnified party, shall be entitled, if the indemnified party so elects, to
conduct the defense and, in such event, the reasonable fees and expenses of
such counsel shall be borne by the indemnifying party. If the indemnifying
party shall elect not to assume the defense of such Claim or action, such
indemnifying party shall reimburse such indemnified party for the reasonable
fees and expenses of any counsel retained by it, and shall be bound by the
results obtained by the indemnified party in respect of such Claim or action;
provided, however, that no such Claim or action shall be settled without the
written consent of the indemnifying party (which consent shall not be
unreasonably withheld or delayed).

 

11.3         Insurance. During
the Term (as defined below) of this Agreement and for a period of five (5)
years following the expiration or earlier termination of this Agreement, each
Party shall maintain, at its sole cost and expense, general liability insurance
including product liability coverage, with bodily injury, death and property
damage limits, in such amounts and with such scope of coverage as is consistent
with plasma industry standards and all applicable laws reulgations.

 

In addition to the
requirements set forth above, the following insurance coverage shall be
maintained by Rosia for the protection of Products:

 

(i)            All-risk
Property Policy, including flood and earthquake, to be maintained continuously
while Products are located in Rosia’s facility. Property insurance limits of no
less than ten million Euros (€10,000,000) each occurrence; and

 

(ii)           All-Risk
Cargo insurance with limits of no less than five million Euros (€5,000,000)
each occurrence.

 

11.4         Insurance
Recoveries. If and to the extent the indemnifying party has acquired
insurance in compliance with Section 11.3, and to the extent such coverage is
inadequate to cover all Claims asserted against Talecris GmbH and Rosia and if
and to the extent Talecris GmbH or Rosia, as the case may be, has its own
policy of insurance purporting to provide coverage for Claims against Talecris
GmbH or Rosia, as the case may be, Talecris GmbH or Rosia, as 

 

19

the case may be, shall not be entitled to
indemnification from the indemnifying party for such Claims under Section 11.1
until Talecris GmbH or Rosia, as the case may be, has utilized all commercially
reasonable means to recover such loss under its policy of insurance.

 

11.5         Limitation of
Damages. EXCEPT AS OTHERWISE SPECIFICALLY PROVIDED HEREIN, AND WITHOUT
LIMITING EITHER PARTY’S INDEMNIFICATION OBLIGATIONS UNDER SECTION 11.1, NO
PARTY SHALL BE LIABLE TO THE OTHER PARTY UNDER THIS AGREEMENT FOR ANY SPECIAL,
CONSEQUENTIAL, INCIDENTAL OR INDIRECT LOSSES (INCLUDING LOSS OF PROFITS OR
LIQUIDATED DAMAGES) ATTRIBUTABLE TO ITS PERFORMANCE UNDER THIS AGREEMENT OR TO
ANY OTHER MATTER ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT.

 

ARTICLE 12

NONCONFORMING PRODUCT AND RECALLS

 

12.1         Nonconforming
Product. In the event that Taleris GmbH provides Contractual Products or
Rosia provides Finished Product that do not meet the ED Dossier/registration
formulae, European Registrations or Regulations, do not conform to the
Specifications, contain latent defects, or have not been manufactured in
accordance with the EU Dossier/registration formulae, European Registrations,
Specifications, SOPs, cGMPs or Regulations (“Nonconforming
Product”), then the breaching Party will at no cost to the
other, and as soon as reasonably feasible, replace such Nonconforming Product
with an equivalent amount of conforming Contractual or Finished Product as
applicable. Either Party at the option of the other, shall destroy all
Nonconforming Product and promptly provide a certificate of destruction, or
return such Nonconforming Product. The breaching Party shall reimburse the
other for the reasonable direct costs incurred by the other related to the
destruction or return of such Nonconforming Product. Talecris GmbH shall
provide Rosia with the lot number and plasma unit identification number of any
Nonconforming Product delivered to Rosia.

 

12.2         General
Requirements. Rosia shall maintain accurate records of the quantities of
the Contractual Products received and Talecris GmbH shall do the same for Finished
Product received.

 

12.3         Distribution and
Use Records. Talecris GmbH maintain and give Rosia access, upon advance
notice and at reasonable times, to, for a period of not less than thirty (30)
years from production, donor records and test results with respect to each unit
of plasma included in the Contractual Products delivered to Rosia. Such records
and results shall be maintained in a manner that assures that they can rapidly
and unequivocally be accounted for and made available to Rosia no later than
fourteen (14) days from the date of request. Rosia shall maintain and give
Talecris GmbH access, upon advance notice and at reasonable times, to, for a
period of not less than thirty (30) years from the date of delivery, records
identifying the use of Contractual Products and sale to Talecris GmbH of the
Finished Products. Such records and results shall be maintained in a manner
that assures that they can rapidly and unequivocally be accounted for and made
available to Talecris GmbH no later than fourteen (14) days from the date of
request. Rosia shall assist Talecris GmbH in identifying, tracking and
controlling the use of any Contractual 

 

20

Products identified in post donation
information as contaminated or otherwise unsuitable for use. Notwithstanding
the foregoing, neither Party will destroy any such records and results without
first notifying the other Party.

 

12.4         Adverse Events.
Each Party shall record and investigate all reports of adverse events in which
the Contractual Products or the Finished Products have been implicated. If
either Party determines that the Contractual Products or the Finished Products
have caused adverse reactions, such Party shall immediately notify the
applicable Regulatory Authority as required by the Regulations, and shall
promptly notify the other Party. Each Party shall promptly notify the other of
any adverse event resulting in a market withdrawal or recall. The Parties shall
comply with Exhibit 11, as may be amended from
time to time, to assure the effective and efficient exchange of information
relating to safety matters.

 

12.5         Customer
Notification of Adverse Reactions. In the event that during the course of a
preliminary investigation related to a report of any adverse reaction
associated with any Contractual Product or Finished Product Talecris GmbH or
Rosia obtains preliminary evidence indicating that any Contractual Product or
Finished Product may have caused such specific adverse reaction, each Talecris
GmbH customer that received any such Contractual Product or Finished Product
shall be notified by Talecris GmbH and cautioned that any unused containers of
the suspect lots should be withheld from use, pending the outcome of more
definitive investigations and evaluations, with a copy of such notice to the
applicable Regulatory Authority if required. Talecris GmbH shall promptly
provide Rosia with a copy of such notice. Any and all of the foregoing actions
will be executed with the concurrence of the appropriate Regulatory
Authorities, to the extent required by Applicable Law (as defined below).

 

12.6         Withdrawals and
Recalls. Talecris GmbH shall make all contacts with the relevant Regulatory
Authorities and shall be responsible, at its sole cost and expense (except
where the recall is due to the negligence or willful default of Rosia), for
coordinating all activities in connection with any recall or withdrawal of any
Contractual or Finished Product. In the event that Rosia believes a recall or
withdrawal of a Contractual or Finished Product may be necessary or
appropriate, Rosia shall immediately notify Talecris GmbH in writing. In the
event that Talecris GmbH initiates a recall or withdrawal of a Contracutal or
Finished Product, Talecris GmbH shall so notify Rosia. Notwithstanding the
above, while Rosia remains the releaser of Finished Product:

 

(a)           if Rosia makes a determination that a
recall of a Contractual or Finished Product is necessary but Talecris GmbH
disagrees with such determination, Rosia may initiate a joint discussion by the
Parties of such issue with a mutually agreeable independent consultant and if
such consultant advises the Parties that it believes there should be a recall,
the Parties shall voluntarily implement a recall of the Contractual or Finished
Product;

 

(b)           if Rosia makes a determination that a
withdrawal of a Contractual or Finished Product is necessary for reasons of
safety and efficacy but Talecris GmbH disagrees with such determination, Rosia
shall have the right to discontinue its performance hereunder with respect to
such Contractual or Finished Product and all rights with respect to such
product, including, without limitation, under the licenses 

 

21

granted to Rosia under this Agreement with respect to
such product shall terminate and permanently revert to Talecris GmbH.

 

12.7         Complaints. Rosia
and Talecris GmbH will cooperate in the reporting, investigation and evaluation
of customer complaints, according to policies mutually determined by the Parties
in writing.

 

ARTICLE 13

TERM AND TERMINATION

 

13.1         Term. The term
of this Agreement (the “Term”)
shall commence as of the Effective Date and shall expire on December 31st,
2008 unless terminated early pursuant to this Article 13. Talecris GmbH may terminate
this Agreement without cause on serving notice of termination at least six (6)
months prior to the due date of termination. The modifications to the Rosia
Phase 1 Agreement become effective on the Commencement Date, and the wording of
this agreement will replace entirely the previous wording of the Rosia Phase I
Agreement.

 

13.2         Termination for
Cause. If either Party commits a substantial violation of the Agreement and
the other Party may, without prejudice to any other right or remedy, and after
giving the breaching Party sixty (60) days’ written notice of the breach,
terminate the Agreement. This Agreement shall not be so terminated if the
breaching Party  has cured the breach, or
submitted a plan for curing the breach reasonably acceptable to the non-breaching  Party within sixty (60) days after the
non-breaching Party’s notice. If the breaching Party fails to cure the breach
as set forth in the aforementioned plan and in accordance with the deadlines
set forth therein, the non-breaching Party may terminate this Agreement without
further notice. The non-breaching Party shall have the right to recover all
direct damages and losses arising as a result of any such material breach,
subject to the limitations contained in Section 11.5.

 

13.2.1      Rosia’s Right to Termination. If
Talecris fails to receive manufacturing authorization or otherwise is unable to
assume responsibility of release of Finished Product to the various Regulatory
Authorities, by January 1, 2008, then Rosia may treat such failure as a material
breach and terminate in accordance with Section 13.2.

 

13.3         Termination for
Force Majeure.

 

(i)            Talecris GmbH may terminate this
Agreement in its sole discretion upon thirty (30) days’ prior written notice in
the event of any failure or inability of Rosia to deliver Finished Products
hereunder due to Force Majeure extending beyond ninety (90) days. In the event
of termination under this Section 13.3(i), Rosia shall have no liability for
damages arising solely from such termination or otherwise excused by a Force
Majeure.

 

(ii)           Rosia may terminate this Agreement in
its sole discretion upon thirty (30) days’ prior written notice in the event of
any failure or inability of Talecris GmbH to provide Contractual Products
hereunder due to Force Majeure extending beyond ninety 

 

22

(90) days. In the event of termination under this
Section 13.3(ii), Talecris GmbH shall have no liability for damages arising
solely from such termination or otherwise excused by a Force Majeure.

 

13.4         Termination for
Insolvency. The Agreement may be terminated by Rosia, if Talecris GmbH, or
by Talecris GmbH, if Rosia:

 

(i)            admits
in writing that it is unable to pay its debts as they become due;

 

(ii)           starts
a proceeding, or indicates its acquiescence to a proceeding started by another,
relating to it under any bankruptcy, reorganization, rearrangement, insolvency,
readjustment of debt, dissolution, liquidation or similar law;

 

(iii)          makes
an assignment for the benefit of creditors;

 

(iv)          consents
to the appointment of a receiver, trustee or liquidator for a substantial part
of its property;

 

(v)           files,
or has filed against it, a petition in bankruptcy, reorganization,
rearrangement or insolvency which, if filed against it, is not dissolved or
dismissed within ninety (90) days after filing; or

 

(vi)          has
entered against it an order by a court of competent jurisdiction appointing a
receiver, trustee or liquidator for it or a substantial part of its property,
or approving its dissolution or termination, and if not consented to or
acquiesced in by such Party, such order is not vacated or set aside or stayed
within ninety (90) days.

 

Notwithstanding
anything to the contrary herein, no Party shall take or cause to be taken any
action relating to the voluntary liquidation or dissolution of such Party.

 

13.5         Effect of
Termination.

 

In the event
of termination of this Agreement the Parties shall cease all deliveries of
Products and performance of services. The Parties will prepare and submit final
invoices and the other Party shall pay such invoices in accordance with the
following:

 

(i)            Rosia
to pay any unpaid Transfer Price for Contractual Products in its care of
custody or in transit to Rosia;

 

(ii)           Talecris
to pay the Transfer Price for Finished Products which are subject to a Binding
Forecast in effect as of the date of termination, even if termination becomes
effective prior to the end of the period to which the Binding forecast relates
and Rosia to provide such Finished Product except to the extent not possible as
a result of Talecris’ early termination;

 

23

(iii)          Subject
to Section 2.5 above, Talecris to reimburse Rosia for the costs of any
packaging materials, water for injection (WFI) devices and medical devices
remaining unused at the termination of the Agreement, which were purchased by
Rosia for the processing of Contractual Products into Finished Products and
which reasonably reflect the forecasts provided by Talecris GmbH pursuant to
Section 3.1; and

 

(iv)          Each
Party shall promptly deliver to the other Party all books, records, and
confidential information owned by each Party and in the other Party’s
possession as of the termination date.

 

13.6         Remedies. The
rights of a Party to this Agreement to recover monetary damages from the other
Party to this Agreement with respect to termination of this Agreement are
exclusively set forth in this Article 13. Each Party shall have such
non-monetary rights and remedies provided under this Agreement or under law or
in equity for breaches of this Agreement, but only limited ot the remedy of
specific performance.

 

13.7         Special Assistance.
Prior to the termination of this Agreement and no later than the end of 2008,
Rosia agrees to use commercially reasonable efforts to provide Talecris GmbH or
any of its affiliates with information on regulatory requirements and license
information, regulatory trends, qualification status of Products, drug safety
studies on clinical trials, shipping and logistical information, packaging
requirements and practices used in the sale and distribution in Europe of the
Contractual Products and Finished Products. In addition, Rosia agrees to allow
Site visits by Talecris GmbH or any of its affiliates in order to gather “As-Is”
information and technical information on equipment.

 

Information
provided by Rosia shall include detailed process flows for the following:

 

(i)            Label
Development

 

(ii)           SAP
Master Data management

 

(iii)          Submission
of samples to PEI

 

(iv)          Stage
I/II Release of products

 

If Rosia’s
performance deteriorates, or material deficiencies or adverse trends are
discovered during (during site visit or otherwise) (“Performance
Deviaiton”). Rosia agrees to provide Talecris with assistance
and access reasonably necessary to correct the Performance Deviation. For
purposes of clarification, any delay in shipping product of more than fifteen
(15) days, or failing to ship at least eighty five percent (85%) of any
purchase order in saleable condition, shall be deemed a Performance Deviation.

 

ARTICLE 14

INTELLECTUAL PROPERTY

 

24

14.1         Intellectual
Property Rights. Talecris GmbH will obtain and maintain at its sole cost
and expense all third party intellectual property rights for the manufacture
and transport of Contractual Products and sale of Finished Products in Europe. Except
as set forth in Article 6 hereof, nothing in this Agreement shall act to grant
Rosia any rights or license to use any intellectual property of, or license by,
Talecris GmbH or Talecris Inc. Rosia agrees to maintain at its sole cost and
expense all licenses to third party intellectual property necessary or
appropriate for the testing, transport, storage, disposal and other handling of
the Contractual Products and Finished Products in Europe; provided, however,
such sole cost and expense shall be exclusively for those licenses which have
been granted to Rosia. Except as set forth in Article 6 hereof, nothing in this
Agreement shall act to grant Talecris GmbH or Talecris Inc. any rights or
license to use any intellectual property of, or licensed by, Rosia.

 

ARTICLE 15

REPRESENTATIONS AND WARRANTIES AND DISCLAIMER

 

15.1         Debarmemt. Each
Party certifies it will not, in connection with its obligations under this
Agreement, use in any capacity the services of any person, including any firm
or individual, that has been debarred or is subject to debarment under the
Generic Drug Enforcement Act of 1992, amending the Food Drug and Cosmetic Act
of 21 U.S.C. 335a (a) or (b), or any comparable requirement of any other
Regulation. Each Party agrees to notify the other Party promptly in the event
any person providing services to such Party under the scope of this Agreement
is debarred or becomes subject to debarment.

 

15.2         Compliance.

 

(i)            Rosia
represents and warrants that the distribution, inspection, transport, storage,
disposal and other handling of the Contractual Products and Finished Products
by Rosia shall (i) conform to applicable SOPs, the Specification, eGMPs and the
Regulations and (ii) be free from defects in material and workmanship and shall
not be adulterated or misbranded within the meaning of the applicable
Regulations.

 

(ii)           Talecris
GmbH represents and warrants on its own behalf and on behalf of Talecris, Inc.,
that the manufacture, processing, distribution, inspection, testing, transport,
storage, disposal and other handling of the Contractual Products by Talecris
GmbH and Talecris, Inc. shall (i) conform to applicable SOPs, the
Specifications, cGMPs and the Regulations and (ii) be free from defects in
materials and workmanship and shall not be adulterated or misbranded within the
meaning of the applicable Regulations.

 

15.3         Representations
and Warranties.

 

(a)           Rosia hereby represents and warrants
to Talecris GmbH that:

 

(i)            Due
Organization, Good Standing and Power. Rosia is a company duly organized,
validly existing and in good standing under the laws of Italy. Rosia has all
requisite corporate or other power and authority to own or lease and to operate
its assets and to conduct the business now being conducted by it. Rosia is duly
authorized, 

 

25

qualified or licensed to do business as a foreign
corporation or other organization in good standing in each of the jurisdictions
in which its ownership of property or the conduct of its business requires such
authorization, qualification or licensing, except where the failure to have
such authorization, qualification or licensing could not reasonably be expected
to have a material adverse effect on Rosia or on the consummation of the
transactions contemplated hereunder. Rosia has all requisite corporate power
and authority under Applicable Law and its Charter Documents to enter into this
Agreement and to perform its obligations hereunder and to consummate the
transactions contemplated hereby.

 

(ii)           Authorization
and Validity of Agreement. The execution and delivery of this Agreement by
Rosia and the consummation by it of the transactions contemplated hereby have
been duly authorized and approved by all necessary corporate action under
Applicable Law and the relevant Charter Documents on the part of Rosia and do
not require the approval of the stockholders of Rosia. This Agreement has been
duly executed and delivered by Rosia and constitutes the legal, valid and
binding obligation of Rosia enforceable against it in accordance with its
terms, except as that enforceability may be (i) limited by any applicable
bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the
enforcement of creditors’ rights generally, (ii) subject to general principles
of equity (regardless of whether that enforceability is considered in a
proceeding in equity or at law) and (iii) limited by general principles of
Applicable Law regarding the enforceability of arbitral awards and judicial
decisions.

 

(iii)          Lack
of Conflicts. Neither the execution and delivery of this Agreement by Rosia
or the consummation by it of the transactions contemplated hereby, does or will
(i) conflict with, or result in the breach of any provision of, the Charter
Documents of Rosia or (ii) violate any Applicable Law or any permit, order,
award, injunction, decree or judgment of any Governmental Authority applicable
to or binding upon Rosia or to which any of its properties or assets is
subject.

 

(iv)          No
Consents. The execution, delivery and performance of this Agreement by
Rosia and the consummation of the transactions contemplated by this Agreement
do not require any Governmental Approval. No consent (other than Governmental
Approvals) will be required to be obtained by Rosia for the consummation of the
transactions contemplated by this Agreement.

 

(b)           Talecris GmbH hereby represents and
warrants to Rosia that:

 

(i)            Due
Organization, Good Standing and Power. Talecirs GmbH is a corporation duly
organized, validly existing and in good standing under the laws of the state of
Delaware. Talecris GmbH has all requisite corporate or other power and
authority to own or lease and to operate its assets and to conduct the business
now being conducted by it. Talecris GmbH is duly authorized, qualified or
licensed to do business as a foreign corporation or other organization in good
standing in each of the jurisdictions in which its ownership of property or the
conduct of its business requires such authorization, qualification or
licensing, except where the failure to have such authorization, qualification
or licensing could not reasonably be expected to have a material adverse effect
on Talecris GmbH or on the consummation of the transactions contemplated 

 

26

hereunder. Talecris GmbH has all requisite corporate
power and authority under Applicable Law and its Charter Documents to enter
into this Agreement and to perform its obligations hereunder and to consummate
the transactions contemplated hereby.

 

(ii)           Authorization
and Validity of Agreement. The execution and delivery of this Agreement by
Talecris GmbH and the consummation by it of the transactions contemplated
hereby have been duly authorized and approved by all necessary corporate action
under Applicable Law and the relevant Charter Documents on the part of Talecris
GmbH and do not require the approval of the stockholders of Talecris GmbH. This
Agreement has been duly executed and delivered by Telecris GmbH and constitutes
the legal, valid and binding obligation of Talecris GmbH enforceable against it
in accordance with its terms, except as that enforceability may be (i) limited
by any applicable bankruptcy, insolvency, reorganization, moratorium or similar
laws affecting  the enforcement of
creditors’ rights generally, (ii) subject to general principles of equity
(regardless of whether that enforceability is considered in a proceeding in
equity or at law) and (iii) limited by general principles of Applicable Law
regarding the enforceability of arbitral awards and judicial decisions.

 

(iii)          Lack
of Conflicts. Neither the executions and delivery of this Agreement by
Talecris GmbH nor the consummation by it of the transactions contemplated
hereby, does or will (i) conflict with, or result in the breach of any
provision of, the Charter Documents of Talecris GmbH or (ii) violate any
Applicable Law or any permit, order, award, injunction, decree or judgment of
any Governmental Authority applicable to or binding upon Talecris GmbH or to
which any of its properties or assets is subject.

 

(iv)          No
Consents. The execution, delivery and performance of this Agreement by
Talecris GmbH and the consummation of the transactions contemplated by this Agreement
do not require any Governmental Approval. No consent (other than Governmental
Approvals) will be required to be obtained by Talecris GmbH for the
consummation of the transactions contemplated by this Agreement.

 

15.4         Disclaimer. NEITHER
PARTY MAKES ANY REPRESENTATIONS OR WARRANTIES, EXPRESS OR IMPLIED, OTHER THAN
THOSE EXPRESSLY MADE IN THIS AGREEMENT. ALL OTHER WARRANTIES, EXPRESS OR
IMPLIED, INCLUDING, WITHOUT LIMITATION, THE IMPLIED WARRANTIES OF
MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, ARE HEREBY DISCLAIMED.

 

ARTICLE 16

MISCELLANEOUS

 

16.1         Governing Law.
Validity, construction and performance of this Agreement will be governed by
the laws of Italy regardless of the choice of law principles applicable in
Italy or in other jurisdictions. Application of the Aja Conventions on the
Uniform Law on the International Sale of Goods and on the Uniform Law in the
Formation of Contracts for the International Sale of Goods (both dated July 1st,
1964) and application of the UNICITRAL U.N. Agreement on the Sale of Goods
dated April 11th, 1980 are explicitly excluded.

 

27

16.2         Assignment. This
Agreement and all the provisions  hereof
shall be binding upon and inure to the benefit of the Parties hereto and their
respective successor and assigns, and it is not intended to confer upon any
other person any rights or remedies hereunder. Neither this Agreement nor any
of the rights, interests or obligations hereunder may be assigned by any of the
Parties without the prior written consent of the other Party hereto. Notwithstanding
the foregoing, Talecris GmbH may assign this Agreement and any or all rights or
obligations hereunder to (i) any affiliate of Talecris GmbH, (ii) any lender of
Talecris GmbH as collateral security or (iii) any successor in interest to
Talecris GmbH’s entire line of business to which the Agreement pertains
provided that any such successor becomes a party to this Agreement; provided
that no assignment under (i), (ii) or (iii) above shall relieve Talecris GmbH
from any obligation hereunder. Rosia may assign this Agreement and any or all
rights or obligations hereunder to (i) any affiliate of Rosia; or (ii) any
successor in interest to the entire business conducted by Rosia under this
Agreement provided that any such successor becomes a party to this Agreement;
provided that no assignment under (i) or (ii) above shall relieve Rosia from
any obligation hereunder. Any purported assignment in contravention of this
Section 16.2 shall be void. For the avoidance of doubt, and provided that it
complies with all of the relevant provisions of this Agreement, Rosia may
perform its obligations hereunder at any Rosia facility approved for such
activities by the applicable regulatory authorities.

 

16.3         Severability. Any
provision of this Agreement which is or may become prohibited or unenforceable,
as a matter of law or regulation, will be ineffective only to the extent of
such prohibition or unenforceability and shall not invalidate the remaining
provisions. The Parties agree to replace an invalid provision with a provision
that is as close as possible to the intended economic effect of the Agreement
and which meets legal requirements hereof if the essential purposes of this
Agreement may be given effect despite the prohibition or unenforceability of
the affected provision.

 

16.4         Waiver  Each of the Parties shall have the right at
all times to enforce the provisions of this Agreement in strict accordance with
the terms hereof notwithstanding any conduct or custom on its part in
refraining from doing so at any time. The failure of either Party at any time
to enforce its rights hereunder strictly in accordance with the same shall not
be construed as having created a custom contrary to the specific provisions
hereof or as having in any way modified or waived the same.

 

16.5         Entire Agreement.
This Agreement, together with the Exhibits, constitutes the whole and entire
agreement between the Parties with respect to this subject matter and
supersedes all prior understandings, written or oral. Notwithstanding the
foregoing, Talecris GmbH and Rosia have entered into that certain Manufacture
Under Contract Agreement. In the event that this Agreement conflicts with any
Exhibit hereto, the Manufacture Under Contract Agreement, Purchase Order,
invoice, or other written documents, the terms and conditions of this Agreement
shall apply. No amendment or modifications hereof shall be binding unless in
writing and duly executed by authorized representatives of both Parties.

 

16.6         Survival. In
the event of any termination of this Agreement, the provisions of Articles 8,
9, 10, 11, 12, 14 and 15, and Sections 2.5, 2.6, 2.7, 2.8, 4.3, 4.4, 4.5, 5.1,
5.4, 5.6, 5.7, 6.3(i), 6.3(ii), 7.1, 7.3, 7.4, 13.5, 13.6, 13.7, 16.1, 16.3,
16.4, 16.5, 16.6, 16.8, 16.9, 16.10, 

 

28

16.12, 16.13 and 16.14 shall survive any
termination or expiration of this Agreement in full force and effect
indefinitely, unless a shorter period of survival is provided therein.

 

16.7         Force Majeure.
For the purpose of this Agreement, “Force Majeure”
shall mean only (i) acts of God, acts of the public enemy, insurrections,
riots, sabotage, strike, work-stoppage or other labor dispute and natural
disasters; (ii) explosions, fires, flood, damage, or loss of electric power not
resulting from the negligence of the Party invoking Force Majeure; (iii)
regulatory actions not attributable to any violation of law after the date
hereof on the part of Talecris GmbH or Rosia, as the case may be, unless, in
the case of Talecris GmbH, Talecris GmbH is required as a result of any
statute, law, regulation, ordinance, rule, judgment, code, order, decree or
other requirement of a Regulatory Authority (“Applicable Law”), not initiated by Talecris GmbH,
to cease or materially curtail production primarily based upon (x) violation of
any Applicable Law which violation was in existence on the Effective Date or
(y) any condition in existence on the Effective Date or any condition alleged
in writing to have been in existence on or prior to the Effective Date by a
Regulatory Authority which condition remained outstanding on the Effective Date
and which condition constituted a violation or alleged violation of Applicable
Law or impacts the safety or efficacy of the Contractual Products; and (iv)
events, circumstances, conditions and actions outside of the control of
Talecris GmbH or Rosia that materially and adversely affect the plasma-derived
Products industry generally, including interruptions of supply of raw plasma
due to viral outbreaks, eruption of new viruses and similar events, that are
reasonably likely to be subject to action by any Regulatory Authority; any of
(i), (ii), (iii) or (iv) of which, in the case of the Talecris GmbH, prevents
Talecris GmbH from performing its obligations under this Agreement, or any of
(i), (ii), (iii) or (iv) of which, in the case of Rosia, prevents Talecris GmbH
from performing its obligations under this Agreement, provided that nothing in
clause (iii) or (iv) shall excuse Talecris GmbH from complying with cGMP or
excuse Talecris GmbH from remedying those matters which were capable of remedy
by Talecris GmbH through the application of commercially reasonable efforts
prior to the occurrence of the events identified in (iii) or (iv) preventing
Talecris GmbH from performing under the Agreement. Notwithstanding anything in
this Agreement to the contrary, except Article 10 and Article 16, the Party
experiencing the Force Majeure shall be excused from the performance of each of
its obligations under this Agreement upon a Force Majeure, but only to the
extent performance of any such obligation is necessarily prevented, hindered or
delayed thereby and only during the continuance of any such Force Majeure, and
shall have no liability for damages arising from non-performance of any
obligation excused by a Force Majeure. The Party suffering such Force Majeure
shall invoke this provision by promptly notifying the other Party in writing of
the nature and estimated duration of the suspension period, as well as the
extent to which it will be unable to fulfill its obligations under this
Agreement. Each Party shall be relieved of performance of its obligations under
this Agreement during the time when it is prevented from performing by the failure
of the other Party to perform its obligations or because of any event of Force
Majeure.

 

16.8         Notices. All
notices, requests, demands and other communications required or permitted
hereunder shall be in writing and if mailed by prepaid first class mail or
certified mail, return receipt requested, at any time other than during a
general discontinuance of postal service due to strike, lockout or otherwise,
shall be deemed to have been received on the earlier of the date shown on the
receipt or three (3) business days after the postmarked 

 

29

date thereof and, if telexed or telecopied,
the original notice shall be mailed by prepaid first class mail within
twenty-four (24) hours after sending such notice by telex or telecopy, and
shall be deemed to have been received on the next business day following
dispatch and acknowledgment of receipt by the recipient’s telex or telecopy
machine. In addition, notices hereunder may be delivered by hand, in which
event the notice shall be deemed effective when delivered, or by overnight
courier, in which event the notice shall be deemed to have been received on the
next business day following delivery to such courier. All notices and other
communications under this Agreement shall be given to the Parties hereto at the
following addresses:

 

If to Rosia:

 

Bayer
Biologicals S.r.l.

Viale Certosa
130, 20154 Milan, Italy

Attention:  General Director

 

With a copy to:

 

Vice
President, General Counsel and Secretary

Bayer
HealthCare, LLC

400 Morgan
Lane

West Haven,
CT  06516-4175

Fax:  (203) 812-2795

 

If to Talecris
GmbH:

 

Talecris
Biotherapeutiecs, GmbH

ATRICOM,
Lyoner Strasse 15

Frankfurt,
60528

 

With copies to:

 

Talecris
Biotherapeutics, Inc.

Attention:  Legal Department

79 TW Alexander
Drive

4101 Research
Commons

Research
Triangle Park

Raleigh,
NC  27709

Fax;  (919) 316-6677

 

Any Party
hereto may change its address specified for notices herein by designating a new
address by notice in accordance with this Section 16.8.

 

16.9         Captions. All
captions are inserted for convenience and will not affect any construction or
interpretation of this Agreement.

 

16.10       Dispute Resolution.

 

(i)            Resolution
by the Parties. The Parties shall attempt to resolve any dispute,
controversy, claim or difference arising out of, or in connection with, this
Agreement amicably and promptly by negotiations between executives who have
authority to settle the controversy. Either Party may give the other Party
written notice of any dispute not 

 

30

resolved in the normal course of business (“Notice of Dispute”). Within seven
(7) days after delivery of such Notice of Dispute, executives of the Party
shall agree to meet at a mutually acceptable time and place, and thereafter as
often as they reasonably deem necessary, to attempt to resolve the dispute. If
the matter has not been resolved within ten (10) days of the first meeting of
such executives (or if the Parties are unable to mutually agree upon an
acceptable time and place to meet, within ten (10) days of the disputing Party’s
Notice of Dispute), either Party may, by notice to the other Party (“Dispute Escalation Notice”), refer
the matter to the respective officers of the Parties designated below.

 

For Rosia:              General Director, Bayer
Biologicals S.r.l.

 

With a copy to:

 

Vice
President, General Counsel and Secretary

Bayer
HealthCare, LLC

400 Morgan
Lane

West Haven,
CT  06516-4175

Fax:  (203) 812-2795

 

For Talecris
GmbH:

 

Talecris
Biotherapeutiecs, GmbH

ATRICOM,
Lyoner Strasse 15

Frankfurt,
60528

 

Such officers
shall negotiate in good faith to resolve the matter in an amicable manner
within ten (10) days of the Dispute Escalation Notice. In the event the matter
is not resolved within such ten (10) days, either party may initiate
arbitration of the dispute as provided for in this Section 16.10.

 

(ii)           In
any event, if the dispute, other than with respect to Article 10, is not
resolved in accordance with this Section 16.10, within thirty (30) days of the
date in which such dispute arose, either party may submit the dispute to
binding arbitration by giving the other Party notice (the “Arbitration
Notice”). Such arbitration shall be conducted in accordance with
the Rules of Arbitration of the International Chamber of Commerce in effect as
of the Effective Date (the “Rules”). The arbitration shall take place in a
location which is mutually agreeable to the Parties and shall be held in the
English language. The arbitration will be conducted by one (1) arbitrator
knowledgeable in the subject matter that is at issue in the dispute and who is
selected by mutual agreement of the Parties or, failing such agreement by
thirty (30) days after the Arbitration Notice was given, will be selected
according to the Rules. Either Party reserves the right to object to any
individual arbitrator who shall be employed by or affiliated with a competing
organization. The arbitrator shall render a decision no later than ninety (90)
days from the date of such arbitrator’s selection. The award of the arbitrator
shall be final and binding on both Parties. Each Party hereby submits itself to
the jurisdiction of the courts of the place where arbitration is held, but only
for the entry of judgment with respect to the decision of the arbitrator
hereunder. Notwithstanding the foregoing, judgment upon the award may be
entered in any court in the state where the arbitration takes place, or any
court having jurisdiction over the Parties. In the event of any actual or
threatened breach or default which could give rise to irreparable harm, nothing
in this Agreement shall prevent either Party from seeking injunctive relief (or
any other provisional remedy or equitable relief) from any court having
jurisdiction over the Parties and the subject matter 

 

31

of this dispute to protect their respective rights
pending the outcome of the arbitration. The Parties bind themselves to carry
out the awards of the arbitrator. The fees and expenses of the arbitrator, the
fees and expenses of the court report and any expense for a hearing room, and
reasonable attorney’s fees may be awarded to the prevailing party by the
arbitrator, or if such award is not made, will be shared equally by the Parties.
The Parties will otherwise bear their respective expenses of arbitration.

 

16.11       Independent
Contractor. This Agreement does not create an employer-employee
relationship between the Parties, and is not an agency, joint venture or
partnership. Neither Party shall have the authority to act for the other or to
bind the other in any way, nor to sign the name or to represent that the other
is in any way responsible for the acts of omissions of the other. Rosia shall
maintain its status as an independent contractor engaged in the selling of the
Finished Products to Talecris GmbH.

 

16.12       English Language.
In the event that this Agreement is translated to any language other than
English, this English version of this Agreement shall prevail.

 

16.13       Set-Off. No
party to this Agreement shall have any right of set-off with respect to amounts
it has an obligation to pay hereunder.

 

16.14       Defined Terms. Defined
terms used but not otherwise defined in this Agreement shall have the meaning
ascribed to those terms in the Contribution Agreement.

 

(Remainder
of this page has been intentionally left blank)

 

32

 

IN WITNESS
WHEREOF, the Parties have caused this Agreement to be executed by their duly
authorized representatives as of the Effective Date.

 

	
  BAYER BIOLOGIALS S.R.L.

  	
  TALECRIS BIOTHERAPEUTICS, GMBH

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Authorized Signatory

  	
   

  	
  By:

  	
  /s/ Authorized Signatory

  	
   

  
	
  Name:

  	
  Authorized Signatory

  	
   

  	
  Name:

  	
  Authorized Signatory

  	
   

  
	
  Title:

  	
   

  	
   

  	
  Title:

  	
   

  	
   

  

 

 

EXHIBITS TO THE EUROPEAN PRODUCT SALES
AGREEMENT (PHASE I)

 

BY AND BETWEEN TALECRIS BIOTHERAPEUTICS, GMBH

 

AND BAYER BIOLOGICALS S.R.L.

 

	
  Exhibit 1

  	
   

  	
  List of Contractual Products and Prices

  
	
   

  	
   

  	
   

  
	
  Exhibit 2

  	
   

  	
  Finished Products and Prices

  
	
   

  	
   

  	
   

  
	
  Exhibit 3

  	
   

  	
  [Deliberately Left Blank]

  
	
   

  	
   

  	
   

  
	
  Exhibit 4

  	
   

  	
  Contacts and Responsible Persons

  
	
   

  	
   

  	
   

  
	
  Exhibit 5A

  	
   

  	
  Rosia Economic results

  
	
   

  	
   

  	
   

  
	
  Exhibit 5B

  	
   

  	
  Rosia Economic results

  
	
   

  	
   

  	
   

  
	
  Exhibit 6

  	
   

  	
  Specifications

  
	
   

  	
   

  	
   

  
	
  Exhibit 7

  	
   

  	
  European

  
	
   

  	
   

  	
   

  
	
  Exhibit 8A

  	
   

  	
  Agreement on Manufacture under Contract until Talecris becomes
  releaser

  
	
   

  	
   

  	
   

  
	
  Exhibit 8B

  	
   

  	
  Agreement on Manufacture under Contract after Talecris becomes
  releaser

  
	
   

  	
   

  	
   

  
	
  Exhibit 9

  	
   

  	
  Labeling and Packaging Specifications

  
	
   

  	
   

  	
   

  
	
  Exhibit 10

  	
   

  	
  Regulations

  
	
   

  	
   

  	
   

  
	
  Exhibit 11

  	
   

  	
  Exchange of Information Related to Safety Matters

  

 

 

 

34

 

 

	
  Exhibit
  1

  	
   

  	
  List
  of Contractual Products and Prices

  

 

	
  Rosia 

  	
   

  	
   

  	
   

  	
  Transfer

  	
   

  	
   

  
	
  Product

  	
   

  	
  FCP
  Prices from GmbH to Rosia

  	
   

  	
  Price

  	
   

  	
   

  
	
  Number

  	
   

  	
  Description

  	
   

  	
  (Euro/pcs)

  	
   

  	
  Terms

  
	
  05602335

  	
   

  	
  HUM.
  ALBUMIN N 20% 50ML BULK

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  05602343

  	
   

  	
  HUM.
  ALBUMIN N 20% 100ML BULK

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  05602351

  	
   

  	
  HUM.
  ALBUMIN N 25% 50ML BULK

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  05665213

  	
   

  	
  HUM.
  ALBUMIN N 25% 100ML BULK

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  05602467

  	
   

  	
  PROLASTION
  HS 1000 MG BULK

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  08967272

  	
   

  	
  IGIV-C
  10% 10ML FOR EUROPE

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  08967280

  	
   

  	
  IGIV-C
  10% 50ML FOR EUROPE

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  08967299

  	
   

  	
  IGIV-C
  10% 100ML FOR EUROPE

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  
	
  08967302

  	
   

  	
  IGIV-C
  10% 200ML FOR EUROPE

  	
   

  	
   

  	
  [***]

  	
   

  	
  [***] DAYS

  

 

Number of samples per lot

 

	
  Description

  	
   

  	
  Samples

  for

  testing

  	
   

  	
  Reference

  samples

  (FCP)

  	
   

  	
  Retention

  sample

  (FP)

  average

  	
   

  	
  Total samples

  	
   

  
	
  HUM.ALBUMIN N 20% 50ML BULK

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  HUM.ALBUMIN N 20% 100ML BULK

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  HUM.ALBUMIN N 25% 50ML BULK

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  HUM.ALBUMIN N 25% 100ML BULK

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  PROLASTIN HS 1000 MG BULK

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  IGIV-C 10% 10ML FOR EUROPE

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  IGIV-C 10% 50ML FOR EUROPE

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  IGIV-C 10% 100ML FOR EUROPE

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  IGIV-C 10% 200ML FOR EUROPE

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

 

35

 

 

Exhibit
2 Finished Products and Prices

 

	
  Rosia

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  TP OUT

  	
   

  	
  TP OUT

  
	
  Product

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  to INC.

  	
   

  	
  to GmbH

  
	
  Number

  	
   

  	
  Description

  	
   

  	
  Country

  	
   

  	
  (Euro/pcs)

  	
   

  	
  (Euro/pcs)

  
	
  3031652

  	
   

  	
  PROLASTIN
  HS 1000 MG O.W. 1 ST

  	
   

  	
  AUSTRIA

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2587222

  	
   

  	
  HUMAN
  ALBUMIN N 20% 50ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4492718

  	
   

  	
  HUMAN
  ALBUMIN N 20% 50ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2587206

  	
   

  	
  HUMAN
  ALBUMIN N 20% 100ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4492726

  	
   

  	
  HUMAN
  ALBUMIN N 20% 100ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567230

  	
   

  	
  HUMAN
  ALBUMIN N 25% 50ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2557265

  	
   

  	
  HUMAN
  ALBUMIN N 5% 250ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567664

  	
   

  	
  PROLASTIN
  HS 1000 MG O.W. 1 ST

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4329760

  	
   

  	
  PROLASTIN
  1000 MH +ACQUA 40ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4397464

  	
   

  	
  PROLASTIN
  1000 MH +ACQUA 40ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709485

  	
   

  	
  GAMUNEX
  10% 10ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709493

  	
   

  	
  GAMUNEX
  10% 50ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709612

  	
   

  	
  GAMUNEX
  10% 100ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709639

  	
   

  	
  GAMUNEX
  10% 200ML

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  3123824

  	
   

  	
  GAMUNEX
  10% 200ML K

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2789861

  	
   

  	
  GAMUNEX
  10% 50ML K

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2789888

  	
   

  	
  GAMUNEX
  10% 100ML K

  	
   

  	
  GERMANY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
  GERMANY-BHC
  AG

  	
   

  	
   

  	
   

  	
   

  
	
  2442462

  	
   

  	
  HUMAN
  ALBUMIN N 25% 60ML

  	
   

  	
  Leverkusen

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2442454

  	
   

  	
  HUMAN
  ALBUMIN N 25% 100ML

  	
   

  	
  GREECE

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2442462

  	
   

  	
  HUMAN
  ALBUMIN N 25% 50ML

  	
   

  	
  GREECE

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567540

  	
   

  	
  POLYGLOBIN
  10% 10ML ST

  	
   

  	
  GREECE

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567648

  	
   

  	
  POLYGLOBIN
  10% 50ML ST

  	
   

  	
  GREECE

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567621

  	
   

  	
  POLYGLOBIN
  10% 50ML K ST

  	
   

  	
  GREECE

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567684

  	
   

  	
  PROLASTIN
  HS 1000 MG O.W. 1 ST

  	
   

  	
  GREECE

  	
   

  	
  [***]

  	
   

  	
  [***]

  

 

Exhibit 2 Continued - Finished Products and Prices

 

	
  Rosia

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  TP OUT

  	
   

  	
  TP OUT

  
	
  Product

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  to INC.

  	
   

  	
  to GmbH

  
	
  Number

  	
   

  	
  Description

  	
   

  	
  Country

  	
   

  	
  (Euro/pcs)

  	
   

  	
  (Euro/pcs)

  
	
  2567684

  	
   

  	
  PROLASTIN
  HS 1000 MG O.W. 1 ST

  	
   

  	
  IPRT
  (GRECIA)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4329780

  	
   

  	
  PROLASTIN
  HS 1000 MG O.W. 1 ST

  	
   

  	
  IPRT
  (GRECIA)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709639

  	
   

  	
  GAMUNEX
  10% 200ML

  	
   

  	
  IPRT
  (GRECIA)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2790533

  	
   

  	
  PROLASTIN
  HS 1000 MG O.W. 1 ST

  	
   

  	
  ITALY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2807401

  	
   

  	
  PLASBUMIN
  20% 50ML CO

  	
   

  	
  ITALY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2807436

  	
   

  	
  PLASBUMIN
  20% 50ML

  	
   

  	
  ITALY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2807444

  	
   

  	
  PLASBUMIN
  20% 100ML CO

  	
   

  	
  ITALY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2807452

  	
   

  	
  PLASBUMIN
  20% 100ML

  	
   

  	
  ITALY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2442462

  	
   

  	
  HUMAN
  ALBUMIN N 25% 50ML

  	
   

  	
  ITALY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2442454

  	
   

  	
  HUMAN
  ALBUMIN N 25% 100ML

  	
   

  	
  ITALY

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2587664

  	
   

  	
  PROLASTIN
  HS 1000 MG O.W. 1 ST

  	
   

  	
  PORTUGAL

  	
   

  	
  [***]

  	
   

  	
  [***]

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

 

36

 

 

	
  4329760

  	
   

  	
  PROLASTIN 1000 MH +ACQUA 40ML

  	
   

  	
  PORTUGAL

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4397464

  	
   

  	
  PROLASTIN 1000 MH +ACQUA 40ML

  	
   

  	
  PORTUGAL

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2706117

  	
   

  	
  PLASBUMIN 20 100ML

  	
   

  	
  SPAIN

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2706133

  	
   

  	
  PLASBUMIN 20 50ML

  	
   

  	
  SPAIN

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2706141

  	
   

  	
  PROLASTIN HS 1000 MG O.W.
  1 ST

  	
   

  	
  SPAIN

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567648

  	
   

  	
  POLYGLOBIN 10% 50ML 1 ST

  	
   

  	
  SWEDEN (TAMRO)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567648

  	
   

  	
  POLYGLOBIN 10% 50ML 1 ST

  	
   

  	
  UNITED KINGDON

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567621

  	
   

  	
  POLYGLOBIN 10% 50ML K 1 ST

  	
   

  	
  UNITED KINGDON

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567648

  	
   

  	
  GAMUNEX 10% 50ML

  	
   

  	
  UNITED KINGDON

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567222

  	
   

  	
  HUMAN ALBUMIN N 20% 50ML

  	
   

  	
  WUPPERTAL/EBERFELD

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2567206

  	
   

  	
  HUMAN ALBUMIN N 20% 100ML

  	
   

  	
  WUPPERTAL/EBERFELD

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709493

  	
   

  	
  GAMUNEX 10% 50ML

  	
   

  	
  SWEDEN (TAMRO)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709612

  	
   

  	
  GAMUNEX 10% 100ML

  	
   

  	
  SWEDEN (TAMRO)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  2709639

  	
   

  	
  GAMUNEX 10% 200ML

  	
   

  	
  SWEDEN (TAMRO)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4329760

  	
   

  	
  PROLASTIN 1000 MH +ACQUA 40ML

  	
   

  	
  SWITZERLAND

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
  4388500

  	
   

  	
  PROLASTIN 1000 MH +ACQUA 40ML

  	
   

  	
  SWITZERLAND

  	
   

  	
  [***]

  	
   

  	
  [***]

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

37

 

Exhibit
3 [deliberately left blank]

 

38

 

Exhibit
4 Contacts and Responsible Persons

 

Bayer Biologicals Srl

 

	
  Responsibility

  	
   

  	
  Name

  	
   

  	
  Phone /
  Fax / e-mail

  
	
  Head of Customer  Service

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Head of QA/QC

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Regulatory Affairs

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Contact for Technical  Complants

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Head of QA Packaging

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Qualified Person as  referred to in Art. 48 ff. of EU Directive 2001/83

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  

 

Talecris Biotherapeutics GmbH

 

	
  Responsibility

  	
   

  	
  Name

  	
   

  	
  Phone /
  Fax / e-mail

  
	
  Managing
  Director

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Manager
  for Logistics

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Head
  of Regulatory  Affairs

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  German
  law person:  Stufenplanbeauf- tragter” (Pharma- kovigilanz, § 63a AMG), [Represents English translation of
  original in German]

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

39

 

Head
of Quality Assurance

 

	
  Qualified
  Person for importation as referred to .... (German Law)

  	
   

  	
  [***]

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

40

 

Exhibit 5A

Contract Fee Calculation

 

Compensation
shall be calculated as follows:

 

Bayer
Biologicals will buy the Contractual  Products  from
Talecris GmbH at the purchase prices defined in Exhibit 1;

 

Bayer
Biologicals will perform testing, packaging and releasing activities;

 

Bayer
Biologicals will sell the released products back to Talecris GmbH at the
selling prices defined in Exhibit 2;

 

The
difference between the purchase prices (Transfer Price- In) and the resale
price (Transfer Price-out) and those associated volumes shall be referred to as
the “Contract Fee”.

 

Definitions:

 

	
  •

  	
   

  	
  Contractual
  Product Cost shall
  be the total cost (Transfer Price In times associated volume) incurred by
  Rosia through the purchase of Contractual Product from Talecris GmbH.

  
	
  •

  	
   

  	
  Scheduled
  Costs shall be the
  costs related to the activities performed by Rosia and shall be determined
  through the use of Table 1A valid in 2007.

  
	
  •

  	
   

  	
  Total
  COGS shall be the
  sum of Contractual Product Cost and Scheduled Costs.

  
	
  •

  	
   

  	
  Finished
  Product Cost
  (Transfer Price Out time associated volume) shall be determined in the way to
  cover all costs included in Total COGS and to come to the agreed EBIT.

  
	
  •

  	
   

  	
  EBIT in any case shall not be less than [***]
  (minimum guaranteed EBIT to Rosia) for the period April 1, 2007 to
  December 31, 2007.

  
	
  •

  	
   

  	
  EBIT
  Reassessment  is the Annual True Up.

  

 

Summary
Calculation Criteria

 

	
   

  	
   

  	
  Amount

  	
   

  	
  Comments

  
	
  Contractual
  Product Cost

  	
   

  	
   

  	
   

  	
  TP-In
  times volume

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Samples
  (testing, retain and reference samples, PEI samples etc)

  	
   

  	
  [***]

  	
   

  	
  Number
  of samples per lot defined in exhibit 1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Scheduled
  Costs

  	
   

  	
  See Table 1A

  	
   

  	
  •

  	
  Including
  QA & Release

  
	
   

  	
   

  	
   

  	
   

  	
  •

  	
  Excluding
  transport, PEI, excipient business, Change Management and Packaging
  Technology  

  
	
   

  	
   

  	
   

  	
   

  	
  •

  	
  Refer
  to enclosed schedule

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Finished
  Product Cost

  	
   

  	
   

  	
   

  	
  TP-Out
  times volume

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EBIT
  Reassessment Process

  	
   

  	
  [***]

  	
   

  	
  •  1° reassessment agreed within Dec 15, 2007 and performed
  within Dec 31, 2007 

  
	
   

  	
   

  	
   

  	
   

  	
  •  Reassessment completion
  within Feb 15, 2007

  

 

 

Part 1:
Compensation Calculation

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

41

 

 

	
  •

  	
   

  	
  The
  tariffs applicable is 2007 for the activities performed by Rosia are reported
  in Table 1A here attached

  
	
  •

  	
   

  	
  The
  parties agree that at year and EBIT shall be reassessed applying [***] on the
  performed sales. The minimum amount of EBIT will be [***] for the associated
  period.

  
	
  •

  	
   

  	
  The
  reassessment will be calculated as follows:

  
	
   

  	
   

  	
  •

  	
  Prior
  to Dec, 15 2007 the parties will reassess the EBIT calculation as of November
  30, 2007 and will issue the accounting documents needed prior to December 31,
  2007;

  
	
   

  	
   

  	
  •

  	
  Prior
  to February 15, 2007 the parties will complete the reassessment including the
  month of December 2007.

  
	
  •

  	
   

  	
  The
  Risk mitigation clause (hereinafter reported in Part 2) has been agreed in
  addition to the Compensation calculation and is not to be included in the
  mentioned Compensation calculation.

  

 

Part 2:
Risk Mitigation Agreement

 

The
Parties agreed on the following reimbursements to be added to the remuneration
criteria reported in Part 1:

 

Unallocated
FCP and Finished Products: Talecris GmbH will always buy back the FCP and the
residual Finished Products

 

Unallocated
WFI and medical devices: Talecris GmbH will reimburse [***] per lot

 

Unallocated
packaging materials: Talecris GmbH will reimburse [***] every ten lots

 

Packaging material changes: Talecris GmbH will reimburse [***]
every ten lots

 

Product
damaged during storage or packaging: under circumstances where repackaging is
required, Talecris GmbH will reimburse Rosia to a maximum of [***]

 

Idle
cost: Talecris GmbH will reimburse [***] (about [***] of the direct testing and
packaging cost [***])

 

Undiscovered
packaging defects will be shared [***] per occurrence, with a [***] bonus at
end of the contractual period in case of non-occurrence

 

	
  BAYER
  BIOLOGICALS S.R.L.

  	
   

  	
  TALECRIS
  BIOTHERAPEUTICS, GMBH

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/
  Antonio Zambom

  	
   

  	
  By:

  	
  /s/ Authorized Signatory

  
	
   

  	
   

  	
   

  
	
  Name:

  	
  ANTONIO
  ZAMBOM

  	
   

  	
  Name:

  	
  Authorized Signatory

  
	
   

  	
   

  	
   

  
	
  Title:

  	
  MANAGING
  DIRECTOR

  	
   

  	
  Title:

  	
   

  
	
  09 August 2007

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  [SEAL]

  	
   

  	
   

  	
  [SEAL]

  
									

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

42

 

Table
1A

 

Exhibit
5A - Cost Schedule Apr 1 / Dec-31 2007

 

	
  Activity

  	
   

  	
   

  	
  Price
  Unit

  	
   

  	
   

  	
  Prices

  
	
  o   Sampling and testing of a
  lot of FCP (final container product). 

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
   

  
	
  o   Preparation of the
  document required by Acquirer-EU to apply by CABR (control authority batch
  release) and to perform the release of the FCP. 

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
    o   Testing is partially
  performs by two subcontractors. Testing performed according with the
  specifications as in the registration. Testing activity can be performed by a
  Bayer SpA Garbagnate Site, after approval of the variations 

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Human
  Albumin (all sizes) 

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Gamunex (all sizes) 

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Prolastin (all sizes) 

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Shipment of samples to CABR (FCP and FP)  

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Document and sample preparation per shipment 

  	
   

  	
   

  	
  €

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Shipment cost 

  	
   

  	
   

  	
  At cost

  	
   

  	
   

  	
   

  
	
  QA and Release activities per batch of FCP

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Planning (number of Packaging. Orders)

  	
   

  	
   

  	
  €/PO

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Packaging, in process
  control, preparation of the documents required by Acquirer-EU to apply by the
  local authorities and to perform the release of the FP (finished product).
  Packaging activity can be performed by a Bayer SpA Garbagnate Site after
  approval of the variations  

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Costs of the secondary
  packaging material are not included.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   Packaging
  cost per lot (for all lot size)  

  	
   

  	
   

  	
  €/lot  

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Packaging cost per vial 

  	
   

  	
   

  	
  €/pack  

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   packaging activities [***] 

  	
   

  	
   

  	
  fix. price

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  QA and Release activities per batch of FP         

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
  o   Cost of the secondary
  packaging materials including the storage costs, material handling and
  testing of the packaging materials  

  

  •Human Albumin (all sizes)

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
   

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

43

 

	
  •   Gamunex (all sizes)

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  
	
  •   Prolastin (all sizes)

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  
	
  total

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  [***]

  
	
  WFI and medical devices are delivered by the Acquirer-EU to Bayer.

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  
	
  Storage costs of the FCP, WFI and of the FP in cold cell if required,

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Including material handling.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   50 pallet places (cost per month)

  	
   

  	
   

  	
  €/month

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   75 pallet places (cost per month)

  	
   

  	
   

  	
  €/month

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   100 pallet places (cost per month)

  	
   

  	
   

  	
  €/month

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Obsolete and updated packaging materials and the costs to destroy the
  materials to be charged at cost.

  	
   

  	
   

  	
  at cost

  	
   

  	
   

  	
   

  
	
  Preparation of additional document (example Technical Registration
  Document), test and analysis (example in case of Technical Complaint),
  others.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Laboratory technician

  	
   

  	
   

  	
  €/day

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   QC Manager

  	
   

  	
   

  	
  €/day

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   QA Manager

  	
   

  	
   

  	
  €/day

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Change Management and
  Packaging Technology (activity performed by a subcontractor).

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***] for each launch (launch of a new article specification), the
  cost are charged in the quarter of the submission for review to MAH of the
  article specification.

  	
   

  	
   

  	
  € per launch

  	
   

  	
   

  	
  [***]

  
	
  [***] to be charged every quarter for all the article specifications
  that are in the approved status at the end of the previous quarters.
  (Maintenance of an approved article specification).

  	
   

  	
   

  	
  €/ per quarter

  	
   

  	
   

  	
  [***]

  
	
  The cancellation of an approved article is free of charges, in order
  to minimize the number of the active article specifications

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Artwork will be approved by the Marketing Authorization Holder

  Change of the design of the packaging materials to be determined

  case by case. Artwork will be approved by the Acquirer EU.

  	
   

  	
   

  	
  TBD

  	
   

  	
   

  	
   

  
	
  o   Shipment of the finished
  product to the warehouse of the clients.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Transport performed by a
  company approved by the Acquirer EU

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Preparation of the documents and material handling per shipment

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •Transport at
  cost

  	
   

  	
   

  	
  At cost

  	
   

  	
   

  	
  [***]

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

44

 

Exhibit 5B

Contract Fee Calculation

 

Contract Fee shall be the cost of the testing, packaging and packaging
technology cost, including [***] mark up

 

Definitions:

 

	
  •

  	
   

  	
  Rosia does not purchase any Products from Talocris GmbH.

  
	
  •

  	
   

  	
  Rosia provides only a service on contract manufacturing bases.

  
	
  •

  	
   

  	
  Service Costs shall be determined through the use table 1B valid in
  2007, every year the cost shall be recalculated base of the inflation rate.

  
	
  •

  	
   

  	
  Mark up shall be equal to [***] of service Costs.

  

 

Calculation Table 1B:

 

	
  euro

  	
   

  	
  Amount

  	
   

  	
  Comments

  
	
  Contractual Product Cost

  	
   

  	
  Zero value

  	
   

  	
  Performa invoice

  
	
  Service Costs

  	
   

  	
   

  	
   

  	
  •

  	
  Excluding QA & Release, transport, PEI, Change Management and Packaging
  Technology

  
	
   

  	
   

  	
   

  	
   

  	
  •

  	
  Refer to enclosed schedule

  
	
  Total COGS

  	
   

  	
  Zero value

  	
   

  	
   

  
	
  Mark up

  	
   

  	
   

  	
   

  	
  [***]
  included

  
	
  Finished Product cost

  	
   

  	
   

  	
   

  	
   

  

 

The Annual True-Up shall compare the Service Cost and the total revenue
realized by Rosia

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

45

 

Exhibit 5B — Cost Schedule Jan 1/Dec 31 2008

 

	
  Activity

  	
   

  	
   

  	
  Price unit

  	
   

  	
   

  	
  Price

  
	
  o   Sampling
  and testing of a lot of FCP (final container product).

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Preparation
  of the document required by Acquirer-EU to apply by CABR (control authority
  batch release) and to perform the release of the FCP.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Testing
  is partially performs by two subcontractors. Testing performed according with
  the specifications as in the registration. Testing activity can be performed
  by a Bayer SpA Garbagnate Site, after approval of the variations

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Human
  Albumin (all sizes)

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   gamunex
  (all sizes)

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Prolastin
  (all sizes)

  	
   

  	
   

  	
  €/batch

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Shipment of samples to CABR (FCP and FP)

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Document
  and sample preparation per shipment

  	
   

  	
   

  	
  €

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Shipment
  cost

  	
   

  	
   

  	
  At cost

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Planning
  (number of Packaging. Orders)

  	
   

  	
   

  	
  €/PO

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Packaging,
  in process control, preparation of the documents required by Acquirer-EU to
  apply by the local authorities and to perform the release of the FP (finished
  product), Packaging activity can be performed by a Bayer SpA Garbagnate Site
  after approval of the variations

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Costs
  of the secondary packaging material are not included. Packaging cost per lot
  (for all lot size)

  	
   

  	
   

  	
  €/lot

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Packaging
  cost per vial

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Example on lot of [***]

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  packaging activities ([***])

  	
   

  	
   

  	
  €

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Cost
  of the secondary packaging materials including the storage costs, material
  handling and testing of the packaging materials

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Human
  Albumin (all sizes)

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   gamunex
  (all sizes)

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

46

 

 

	
  •   Prolastin
  (all sizes)

  
 total

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  
	
  WFI and medical devices
  are delivered by the Acquirer-EU to Bayer.

  	
   

  	
   

  	
  €/pack.

  	
   

  	
   

  	
  [***]

  
	
  Storage costs of the FCP,
  WFI and of the FP in cold cell if required, including material handling.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   50 pallet places
  (cost per month)

  	
   

  	
   

  	
  €/month

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   75 pallet places
  (cost per month)

  	
   

  	
   

  	
  €/month

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   100 pallet places
  (cost per month)

  	
   

  	
   

  	
  €/month

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Obsolete and updated
  packaging materials and the costs to destroy the materials to be charged at
  cost.

  	
   

  	
   

  	
  at
  cost

  	
   

  	
   

  	
   

  
	
  Preparation of additional
  document (example Technical Registration Document), test and analysis
  (example in case of Technical Complaint), others.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Laboratory
  technician

  	
   

  	
   

  	
  €/day

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   QC Manager

  	
   

  	
   

  	
  €/day

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   QA Manager

  	
   

  	
   

  	
  €/day

  	
   

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Change Management and Packaging Technology
  (activity performed by a subcontractor).

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]
  for each launch (launch of a new article specification), the cost are charged
  in the quarter of the submission for review to MAH of the article
  specification.

  	
   

  	
   

  	
  €
  per launch

  	
   

  	
   

  	
  [***]

  
	
  [***]
  to be charged every quarter for all the article specifications that are in
  the approved status at the end of the previous quarters. (maintenance of an
  approved article 

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  specification).

  	
   

  	
   

  	
  €/per
  quarter

  	
   

  	
   

  	
  [***]

  
	
  The
  cancellation of an approved article is free of charges, in order to minimize
  the number of the active article specifications

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Artwork will be approved by the Marketing
  Authorization Holder

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Change of the design of the packaging
  materials to be determined case by case.

  	
   

  	
   

  	
  TBD

  	
   

  	
   

  	
   

  
	
  o   Shipment
  of the finished product to the warehouse of the clients.

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  o   Transport
  performed by a company approved by the Acquirer EU

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  •   Preparation of the
  documents and material handling per shipment

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  [***]

  
	
  •   Transport at cost

  	
   

  	
   

  	
  At
  cost

  	
   

  	
   

  	
   

  

 

***CONFIDENTIAL
TREATMENT REQUESTED

 

47

 

Exhibit 6 Specifications

 

The valid release
specifications are registered: reference to the registration dossier and the
approved variations.

 

Talecris GmbH shall inform
Rosia about the submission of the variations and the approved variations

 

2

 

Exhibit
7                 European Registrations

 

MARKETING AUTHORIZATION — 

PLASMA PRODUCTS

 

	
  Country

  	
   

  	
  Product

  	
   

  	
  Procedure

  	
   

  	
  Registration N*

  	
   

  	
  EU

  Manufacturer

  responsible

  for batch

  release

  	
   

  	
  MA Holder

  	
   

  
	
  Austria 

  	
   

  	
  Prolastin 1000 mg

  	
   

  	
  National Procedure

  	
   

  	
  2-00274

  	
   

  	
  Bayer Biologicals S.r.l 

  	
   

  	
  Bayer Austria Gm 

  	
   

  
	
   

  	
  Cytoglobin 5% 10, 50 ml (NOT MARKETED)*

  	
   

  	
  Mutual Recognition procedure

  	
   

  	
  2-00246

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Germany

  	
   

  	
  Human Albumin N 5% Bayer 50, 250, 500 ml (NOT MARKETED*)

  	
   

  	
  National Procedure

  	
   

  	
  4962.00.00

  	
   

  	
  Bayer Biologic als S.r.l  

  	
   

  	
  Talecris Bio Biotherapeutics GmBH

  	
   

  
	
   

  	
  Plasbumin 20, 50, 100 ml

  	
   

  	
  National Procedure

  	
   

  	
  4962.01.00

  	
   

  	
   

  	
   

  
	
   

  	
  Plasbumin 25, 50 ml, 100 ml

  	
   

  	
  National Procedure

  	
   

  	
  10537a/96

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Polyglobin 10% 10, 50, 100, 200 ml (NOT MARKETED) *

  	
   

  	
  National Procedure

  	
   

  	
  PEI.H.00650.01.1

  	
   

  	
   

  	
   

  
	
   

  	
  Prolastin 1000 mg (with Water)

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  12944.01.00

  	
   

  	
   

  	
   

  
	
   

  	
  Cytoglobin 5% 10, 50 ml (NOT MARKETED)*

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  185a/95

  	
   

  	
   

  	
   

  
	
   

  	
  gamunex 10% (10, 50, 100, 200 ml)

  	
   

  	
  Mutual Recognition procedure

  	
   

  	
  PEI.H.02726.01.1

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Greece 

  	
   

  	
  Human Albumin Bayer 25% 20 ml *

  	
   

  	
  National Procedure

  	
   

  	
  138490101

  	
   

  	
  Bayer Biologicals S.r.l 

  	
   

  	
  Bayer Helias S.A 

  	
   

  
	
   

  	
  Human Albumin Bayer 25% 50 ml

  	
   

  	
  National Procedure

  	
   

  	
  138490102

  	
   

  
	
   

  	
  Human Albumin Bayer 25% 100 ml

  	
   

  	
  National Procedure

  	
   

  	
  138490103

  	
   

  

 

3

 

	
  Italy

  	
   

  	
  Prolastina 1g/40 ml

  	
   

  	
  National Procedure

  	
   

  	
  .031480027

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer S.p..  

  	
   

  
	
   

  	
  Prolastina 500 mg/20 ml*

  	
   

  	
   

  	
   

  	
  .031480015

  	
   

  	
   

  	
   

  
	
   

  	
  Plasbumin 20% - 50 ml

  	
   

  	
  National Procedure

  	
   

  	
  .028989046

  	
   

  	
   

  	
   

  
	
   

  	
  Plasbumin 20% - 100 ml

  	
   

  	
   

  	
   

  	
  .028989059

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Spain  

  	
   

  	
  Plasbumin 20%, 100ml

  	
   

  	
  National Procedure

  	
   

  	
  61.500

  	
   

  	
  Bayer Biologicals S.r.l  

  	
   

  	
  Quimics Farmaceutic Bayer, S.A. 
  

  	
   

  
	
   

  	
  Plasbumin 20%, 50ml

  	
   

  	
  National Procedure

  	
   

  	
  61.499

  	
   

  	
   

  	
   

  
	
   

  	
  Prolastina 500 mg*

  	
   

  	
  National Procedure

  	
   

  	
  59.382

  	
   

  	
   

  	
   

  
	
   

  	
  Prolastina 1000 mg

  	
   

  	
  National Procedure

  	
   

  	
  59.861

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Switzerland

  	
   

  	
  Prolastin 1000 mg + WFI

  	
   

  	
  National Procedure

  	
   

  	
  .00697

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer (Schw AG

  	
   

  
	
  Switzerland
  

  	
   

  	
  gamunex 10%*

  	
   

  	
  National Procedure

  	
   

  	
  .00668

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer (Schw AG

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  ILLEGIBLE

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Portugal

  	
   

  	
  Prolastin 1000 mg

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  5770581

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer Portugal S.A.

  	
   

  
	
  Belgium

  	
   

  	
  Pulmolast 1000 mg*

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  187 IS 376 F12

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer S.A. - Brussel

  	
   

  
	
  Spain

  	
   

  	
  Prolastina 1000 mg*

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  656186-7

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Quimica Farmaceutica Bayer S.A.-Barcelona

  	
   

  
	
  Netherlands

  	
   

  	
  Prolastin 1000 mg*

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  RVG 33396

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer Vital - Germany

  	
   

  
	
  Ireland

  	
   

  	
  Prolastin 1000 mg*

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  TBC

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  TBC

  	
   

  
	
  Sweden

  	
   

  	
  Prolastina 1000 mg*

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  23127

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer AB – Goteborg

  	
   

  
	
  Denmark

  	
   

  	
  Prolastina 1000 mg*

  	
   

  	
  Mutual Recognition Procedure

  	
   

  	
  38785

  	
   

  	
  Bayer Biologicals S.r.l

  	
   

  	
  Bayer A/S – Kgs. Lyngby

  	
   

  

 

4

 

GAMUNEX 10%-MRP-BAYER

	
  Portugal

  	
   

  	
  gamunex
  10% 10 ml*

  	
   

  	
  Mutual
  Recognition Procedure  

  	
   

  	
  5875885

  	
   

  	
  Bayer
  Biologicals S.r.l  

  	
   

  	
  Bayer
  Portugal S.A.  

  
	
   

  	
  gamunex
  10% 50 ml*

  	
   

  	
   

  	
  5875984

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 100 ml*

  	
   

  	
   

  	
  5876081

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 200 ml*

  	
   

  	
   

  	
  5876180

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Luxembourg

  	
   

  	
  gamunex
  10% 10 ml*

  	
   

  	
  Mutual
  Recognition Procedure

  	
   

  	
  437873

  	
   

  	
  Bayer
  Biologicals S.r.l  

  	
   

  	
  Bayer
  S.A.- Brussel

  
	
   

  	
  gamunex
  10% 50 ml*

  	
   

  	
   

  	
  437887

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 100 ml*

  	
   

  	
   

  	
  437891

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 200 ml*

  	
   

  	
   

  	
  437906

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Czech Republic

  	
   

  	
  gamunex
  10% 10 ml*

  	
   

  	
  Mutual
  Recognition Procedure  

  	
   

  	
  59/264/06-C
  (0006249)

  	
   

  	
  Bayer
  Biologicals S.r.l  

  	
   

  	
  Bayer
  HealthCare AG – Leverkuser  

  
	
   

  	
  gamunex
  10% 50 ml*

  	
   

  	
   

  	
  59/264/06-C
  (0006258)

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 100 ml*

  	
   

  	
   

  	
  59/264/06-C
  (0006270)

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 200 ml*

  	
   

  	
   

  	
  59/264/06-C
  (0006254)

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Finland

  	
   

  	
  gamunex
  10% 10 ml*

  	
   

  	
  Mutual
  Recognition Procedure  

  	
   

  	
  21978  

  	
   

  	
  Bayer
  Biologicals S.r.l  

  	
   

  	
  Bayer
  Oy – Espo (Finland)  

  
	
   

  	
  gamunex
  10% 50 ml*

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 100 ml*

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 200 ml*

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Hungary

  	
   

  	
  gamunex
  10% 10 ml*

  	
   

  	
  Mutual
  Recognition Procedure  

  	
   

  	
  OGYI-T-20203/01

  	
   

  	
  Bayer
  Biologicals S.r.l  

  	
   

  	
  Bayer
  Hungaria Kft-Budepest  

  
	
   

  	
  gamunex
  10% 50 ml*

  	
   

  	
   

  	
  OGYI-T-20203/02

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 100 ml*

  	
   

  	
   

  	
  OGYI-T-20203/03

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 200 ml*

  	
   

  	
   

  	
  OGYI-T-20203/04

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Ireland

  	
   

  	
  gamunex
  10% 10 ml*

  	
   

  	
  Mutual
  Recognition Procedure  

  	
   

  	
  TBC  

  	
   

  	
  Bayer
  Biologicals S.r.l  

  	
   

  	
  TBC

  
	
   

  	
  gamunex
  10% 50 ml*

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 100 ml*

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  gamunex
  10% 200 ml*

  	
   

  	
   

  	
   

  	
   

  

 

* not marketed product

 

5

 

Exhibit 8A              Manufacture Under Contract
Agreement (Through December 31, 2007)

 

6

 

Exhibit 8B              Manufacture Under Contract
Agreement (January 1, 2008 until December 31, 2008)

 

 

2

 

 

Exhibit 9 Labeling and Packaging Specifications

 

The valid labeling and
packaging specifications are registered: reference to the registration dossier
and the approved variation

 

The valid text (mock ups) is
the one approved by the marketing authorizing holder

 

Talecris GmbH shall inform
Rosia about the submission of the variations and the approved variations

 

Talecris GmbH shall inform
Packaging Technology Leverkusen about the text (mock ups) approved by the
marketing authorizing holder

 

 

Exhibit 10               Regulations

 

Parties are subject to the
provisions of the requirements of the Rules Governing Medicinal Products in the
European Union, European cGMP regulations of the manufacture and distribution
of medicines, the related implementation orders and other international
legislative directives relating to medicines. In particular these include:

 

•      Good Manufacturing Practice for Medicinal
Products for Human Use (2003/94/EC)

 

•      Directive 2001/83/EC

 

•      Commission Directive 2003/94/EC, of 8
October 2003 laying down the principles and guidelines of Good Manufacturing
Practice for Medicinal Products for Human Use.

 

•      Mutual Recognition Agreement between the
European Community and the Swiss Confederation (01.07.2002)

 

In addition, parties are
subject to the provisions and requirements of European cGDP regulations and
guidance on the distribution of medicines, In particular these include:

 

•      Wholesale Distribution of Medicinal
Product (Title VII of 2001/83/EC Articles 76-84; formerly the Council Directive
on the Wholesale Distribution of Medicinal Products for Human Use (92/25/EEC))

 

•      Guidelines on Good Distribution Practice
of Medicinal Products for Human Use (94/C63/03)

 

 

Exhibit 11               Exchange
of Information Related to Safety MattersExhibit 10.37

 

	
   

  	
  ***Text Omitted and

  
	
   

  	
  submitted

  
	
   

  	
  separately

  
	
   

  	
  pursuant to

  
	
   

  	
  confidential

  
	
   

  	
  treatment request

  
	
   

  	
  under 17 C.F.R.

  
	
   

  	
  Sections 200.80(b)(4)

  
	
   

  	
  and 230.406

  

 

MASTER
CONSULTING AND ADVISORY SERVICES AGREEMENT

 

THIS
MASTER CONSULTING AND ADVISORY SERVICES AGREEMENT
(the “Agreement”) is made and entered into effective as of this 18th day
of July, 2008  (the  “Effective
Date”), by and between CERBERUS OPERATIONS AND ADVISORY COMPANY LLC, a
Delaware limited liability company with offices at 299 Park Avenue, New York,
New York 10171  (“COAC”), and TALECRIS
BIOTHERAPEUTICS HOLDINGS CORP., a Delaware corporation, with offices at 4101
Research Commons, 79 T.W. Alexander Drive, Research Triangle Park, North
Carolina 27709, on behalf of itself and any of its wholly owned subsidiaries
which may sign and Engagement Letter as hereinafter defined (“Talecris”).  For purposes of this Agreement, COAC and
Talecris each may be referred to individually as a “Party” and together,
as the “Parties”.

 

RECITALS

 

A.            COAC
is a private consulting and advisory company that maintains a team of business
executives (the “Operations Executives”) who have significant knowledge,
experience, skills and training across a broad range of industries, companies
and functional areas of business activity;

 

B.            Talecris
is a global biotherapeutic and biotechnology company that discovers, develops
and produces critical care treatments for people with life-threatening
disorders in a variety of therapeutic areas;

 

C.            COAC
periodically makes the services of its Operations Executives available to its
direct parent company, Cerberus Capital Management, L.P. (“CCM”), as
well as to companies which CCM, or funds or accounts managed or controlled by
CCM or one or more of CCM’s management affiliates, holds investment interests
(each, a “Portfolio Company”, and collectively, the “Portfolio
Companies”), to help the Portfolio Companies address various business and
operations needs, including, among other things, company oversight and
management, leadership and/or staffing of special projects and/or significant
business activities, support for transactional due diligence and
acquisition/disposition planning, filling interim or full-time executive
officer and/or other positions within the Portfolio Companies and a wide
variety of other consulting and advisory services (collectively, the “Advisory
Services”); and

 

D.            Talecris
is a Portfolio Company and, with the approval of its Governance Board, has
previously retained, currently retains and in the future expects to continue to
retain the services of COAC and its Operations Executives to provide Talecris
with certain specific Advisory Services and COAC desires to continue to provide
such Advisory Services, in each case at the rates and upon the terms and
conditions set forth in this Agreement.

 

NOW,
THEREFORE, in consideration of the foregoing premises,
the mutual promises and undertakings set forth herein and other good and
valuable consideration the receipt and sufficiency of which is hereby
acknowledged, the Parties, intending to be legally bound, hereby covenant and
agree as follows:

 

 

ARTICLE II

DEFINITIONS AND CONSTRUCTION

 

Section 2.1.            Structure.  This Agreement includes Exhibit 1
which is annexed hereto and is hereby incorporated into this Agreement as part
hereof.

 

Section 2.2.            Defined Terms.  The following capitalized terms shall have
the meanings set forth in this Section 2.2:

 

“Account Manager”
shall have the meaning set forth in Section 5.1 hereto.

 

“Advisory Services”
shall have the meaning set forth in Recital C hereto.

 

“Affiliate”
means, with respect to a specified Person, any other Person that
directly, or indirectly through one or more intermediaries, controls, is
controlled by, or is under common control with, such specified Person.  For purposes of this Agreement, an Affiliate of COAC shall (x) include,
without limitation, any entity that is owned or controlled by funds or accounts
managed, directly or indirectly, by CCM or one of its management affiliates
under common control with CCM, and (y) exclude the Company and any other
Portfolio Company.

 

“Agreement”
shall have the meaning set forth in the preamble to this Agreement.

 

“Applicable Law” means any law, statute,
ordinance, rule, regulation, code, order, judgment, injunction or decree
enacted, issued, promulgated, enforced or entered by a governmental entity or
self-regulatory organization.

 

“Background IP”
shall have the meaning set forth in Section 11.2 hereto.

 

“Billing Dispute Notice”
shall have the meaning set forth in Section 6.4 hereto.

 

“Billing Disputed Amounts”
shall have the meaning set forth in Section 6.4 hereto.

 

“Billing/Payment
Coordinator” shall have the meaning set forth in Section 6.3
hereto.

 

“Business Advisory Services”
shall have the meaning set forth in Section 3.1 hereto.

 

“Business Day” means a day, other than a
Saturday, Sunday or other day on which commercial banks in New York, New York
are authorized or required by applicable law to close.

 

“CCM” shall have
the meaning set forth in Recital C hereto.

 

“CCM Entities”
shall have the meaning set forth in Section 8.4(a) hereto.

 

“COAC” shall
have the meaning set forth in the preamble to this Agreement.

 

“COAC Indemnified Claims”
shall have the meaning set forth in Section 13.1 hereto.

 

“COAC Indemnified Party”
shall have the meaning set forth in Section 13.1 hereto.

 

“Confidential Information” means (a) all
information, data, agreements, documents, reports, trade secrets, patent
applications, “know-how,” interpretations, plans, studies, forecasts,
projections and records (whether in oral or written form, electronically stored
or otherwise) containing or otherwise reflecting information concerning the
Disclosing Party, any of its Affiliates, their respective businesses or assets
and other information not available to the public generally, whether received
before or after the date of this Agreement, and (b) all memoranda, notes,
analyses, compilations, studies or other documents which were developed based
upon or which include any such Confidential Information (whether in written
form, electronically stored 

 

2

 

or otherwise), whether prepared by the Disclosing Party, the Receiving
Party or their respective Representatives or others which contain, reflect or
are based on any such Confidential Information. 
Notwithstanding the foregoing, the Parties understand and agree that the
term “Confidential Information” does not include (i) information which was
already in the possession of the Receiving Party or its Representatives prior
to the date of disclosure and which was not acquired or obtained from a source
that was known to the Receiving Party to be bound by a contractual, legal or
fiduciary obligation not to disclose the information to the Receiving Party, (ii) information
which is obtained  by the
Receiving Party or its Representatives from a source other than the Disclosing
Party or its Representatives unless such source is known to the Receiving Party
to be prohibited from transmitting the information to the Receiving Party or
its Representatives by a contractual, legal or fiduciary obligation to the
Disclosing Party, (iii) information which is or becomes generally
available to the public other than as a result of a disclosure by the Receiving
Party or its Representatives in violation of the provisions of this Agreement
or by disclosure by any other Person in violation of any contractual legal or
fiduciary obligation, or (iv) information developed independently by the
Receiving Party or its Representatives without use of Confidential Information.

 

“Conflict” shall
have the meaning set forth in Section 8.4(a) hereto.

 

“Copyright Act” means U.S. Copyright Act
of 1976, as amended.

 

“Corporate/Business Insurance” means,
with respect to a Person, any insurance products or services maintained by such
Person for the benefit of directors, officers, employees and other Persons
covered by such insurance in the ordinary course, including, for example, the
following kinds of coverage: professional liability, directors and officers
liability, employment practices liability, fiduciary and crime, fiduciary
liability, professional liability, and errors and omissions liability.

 

“Deliverables”
means all inventions, works or other materials or ideas created,
conceived or reduced to practice by COAC for the benefit of Talecris directly
in connection with the Advisory Services provided hereunder.

 

“Designated Representatives”
means the individuals selected by the Parties, respectively, to
resolve any Disputes, which such individuals shall have authority to settle Disputes
(such individuals may be or include, but need not be or include, the Account
Managers).

 

“Disclosing
Party” means Talecris with respect to the Confidential Information
delivered by or on behalf of Talecris and COAC with respect to Confidential Information
delivered by or on behalf of COAC.

 

“Dispute” shall
have the meaning set forth in Section 10.1 hereto.

 

“Dispute Notice”
shall have the meaning set forth in Section 10.1 hereto.

 

“Effective Date”
shall have the meaning set forth in the preamble to this Agreement.

 

“Engagement”
shall have the meaning set forth in Section 5.2(a) hereto.

 

“Engagement Letter”
shall have the meaning set forth in Section 5.2(a) hereto.

 

“Expenses” shall
have the meaning set forth in Section 4.2 hereto.

 

“Force Majeure Condition”
shall have the meaning set forth in Section 15.6 hereto.

 

3

 

“Governance Activities” means any
decision or action of any kind contemplated or taken by the Governance Board of
a Person in connection with the monitoring, oversight or management of the
property, business or affairs of such Person as required or permitted under
such Person’s Governance Documents or Applicable Law.

 

“Governance  Board”
means any board of directors, board of managers, supervisory board, executive
board or other similar entity that has overall responsibility for monitoring,
supervising and directing the property, business and affairs of a Person as set
forth in such Person’s Governance Documents.

 

“Governance Documents” means any articles
of incorporation, corporate by-laws, limited liability company operating
agreement, shareholder agreements, membership and partnership agreements and
other similar organizational documents of a Person, together with any
applicable charters, codes of conduct, governance guidelines and other similar
documents setting forth policies and practices relating to the management and
governance of such Person.

 

“Indemnification Coverage” means any
obligation of any kind to provide a Person with any sort of financial
protection against loss, damage or liability (whether actual or potential).

 

“Intellectual Property Rights” means all copyrights, trade secrets, mask
works, patents, patent applications and other intellectual property rights,
worldwide.

 

“Investment Activities”
means any decision or action of any kind relating to the outlay or receipt of
any money or other capital (whether tangible or intangible) to or from any
Person with respect to any investment transaction, including without
limitation, any release, waiver, modification, exercise or enforcement of any
right, claim or obligation arising from or relating to any investment
transaction under any verbal or written agreement or instrument or otherwise.

 

“Invoice” shall
have the meaning set forth in Section 6.1 hereto.

 

“New IP” shall
have the meaning set forth in Section 11.1 hereto.

 

“Notices” shall
have the meaning set forth in Section 15.8 hereto.

 

 “Operations Executive” shall have the meaning set forth in
Recital A hereto.

 

“Party” shall
have the meaning set forth in the preamble to this Agreement.

 

“Person” means any natural person and any
corporation (including any non-profit corporation), general or limited
partnership, limited liability company, joint venture, estate, trust,
association, organization, governmental body or other entity of any kind.

 

“Portfolio Company”
shall have the meaning set forth in Recital C hereto.

 

“Receiving Party” means Talecris with
respect to Confidential Information delivered by or on behalf of Talecris and
COAC with respect to Confidential Information delivered by or on behalf of
COAC.

 

“Representative” of the Disclosing Party
or the Receiving Party means their respective members, managers, partners,
directors, officers, employees, attorneys, advisors, representatives and
Affiliates.

 

“Response” shall
have the meaning set forth in Section 10.1 hereto.

 

“Senior Party
Representatives” shall have the meaning set forth in Section 10.2
hereto.

 

4

 

“Service Fees”
shall have the meaning set forth in Section 4.1 hereto.

 

“Talecris” shall
have the meaning set forth in the preamble to this Agreement.

 

Section 2.3.            Interpretation.

 

(a)           The definitions set
forth in this Agreement (including the Engagement Letter) shall apply equally
to both the singular and plural forms of the terms defined.  Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and neuter forms.  The words “include,” “includes” and “including”
shall be deemed to be followed by the phrase “without limitation”.  The words “will” and “shall” are used
interchangeably throughout this Agreement, and the use of either connotes a
mandatory requirement.  The use of one or
the other will not mean a different degree or right or obligation for either
Party.  Use of the word “or” means “and/or”.

 

(b)           References herein to
Articles, Sections and Exhibits shall be deemed to be references to Articles
and Sections of, and Exhibits to, this Agreement, unless the context shall
otherwise require.

 

(c)           The headings of the
Articles, Sections and Exhibits are inserted for convenience of reference only
and are not intended to be a part of or to affect the meaning or interpretation
of this Agreement.

 

(d)           Unless the context
otherwise requires, any reference to any agreement, appendix, schedule,
instrument, statute, rule or regulation shall be deemed to include such
agreement, appendix, schedule, instrument, statute, rule or regulation as
may be amended and supplemented from time-to-time (and, in the case of a
statute, rule or regulation, to any successor provision).

 

(e)           Unless the context
otherwise requires, references to this Agreement shall be deemed to include
references to any associated Engagement Letter.

 

ARTICLE III

SCOPE OF SERVICES

 

Section 3.1.            Services.  Subject to the terms and conditions of this
Agreement, COAC agrees to make its Operations Executives available to Talecris
for the purpose of providing the Advisory Services as Talecris may reasonably
request from time-to-time pursuant to the procedures set forth in Section 5.2
(Engagement Letters) below.  The specific
scope and nature of the Advisory Services may vary from time-to-time depending
on both the needs and interests of Talecris and the availability, experience
and skills of the Operations Executives at the time of the requested
services.  Generally, the Parties expect
that such Advisory Services will involve 
COAC making the Operations Executives available to provide a variety of
business-related advisory services (the “Business Advisory Services”),
including, among other things (i) guidance, direction and/or hands-on
operational support designed to help improve Talecris’ current and prospective
financial condition, performance and operations, including assistance relating
to specific business units, functions and/or activities; (ii) assistance
on specific projects designed to achieve particular business results, (iii) assistance
with respect to the identification,

 

5

 

assessment,
development and execution of strategic plans and initiatives and (iv) such
other guidance, assistance and support as the Parties may agree from
time-to-time as reflected in an applicable Engagement Letter.

 

ARTICLE IV

FEES AND EXPENSES

 

Section 4.1.            Service Fees.  In
consideration of the Advisory Services provided under this Agreement, Talecris
shall pay to COAC the service fees (the “Service Fees”) specified in the
Engagement Letter under which such Advisory Services are rendered.  Such Service Fees shall be set at (i) a
rate per hour for each of the Operations Executives assigned to the relevant
Engagement, which rates shall be computed based on COAC’s actual cost to
support the assigned Operations Executives or (ii) such other rate
structure or rates as the Parties may agree in the applicable Engagement
Letter.  All such fees (including any
applicable per hour rates) shall be identified in a Schedule that shall be
appended to the Engagement Letter to which such fees relate.

 

Section 4.2.            Expenses.  In addition to the Service Fees described in Section 4.1
above, Talecris shall reimburse COAC for all reasonable and customary expenses
incurred by COAC and its Operations Executives in the performance of the
Advisory Services (the “Expenses”) including, but not limited to,
reasonable travel expenses incurred by Operations Executives in connection with
the Advisory Services, subject to the delivery by COAC to Talecris of
reasonable documentation verifying such charges.

 

ARTICLE V

INITIATION OF WORK ACTIVITIES AND STAFFING

 

Section 5.1.            Account Management.  Upon the Effective Date, each Party shall
provide the other with the name and contact information of one or more
individuals (each, an “Account Manager”) who shall have primary
responsibility for managing the relationship between the Parties under this
Agreement and any applicable Engagement Letter. 
Among other things, the Account Managers shall be responsible for (i)
executing, modifying and terminating any Engagement Letters, (ii) periodically
conferring with one another to assess the status of individual Engagements,
(iii) making any adjustments, modifications or amendments to this Agreement or
an Engagement as may be desired by the Parties, in each case subject to and in
accordance with any applicable requirements under Talecris’ Governance
Documents, (iv) in conjunction with the Billing Coordinators, assisting with
the review and  resolution of any issues
relating to billing or payment under this Agreement or any Engagement Letter
and (v) addressing all such other matters under this Agreement or an applicable
Engagement Letter as the Parties may determine from time-to-time are necessary
and appropriate.  Each Party in its sole
discretion may change its designated Account Manager upon written notice to the
other Party.

 

Section 5.2.            Engagement Letters.

 

(a)           All Advisory Services to be performed
by COAC and the Operations Executives under this Agreement shall be specified
in one or more engagement letters (each, an

 

6

 

“Engagement
Letter”), and all services and other work to be performed under a
particular Engagement Letter shall be referred to in this Agreement as an “Engagement”.

 

(b)           Each Engagement Letter shall
reference this Agreement and shall include, at a minimum, the following
information: (i) a unique set of tracking and billing codes to be provided by
COAC to Talecris, (ii) a general description of the project, any applicable
target dates or other milestones, and a short summary of any work-product to be
delivered in connection with the Engagement, as applicable, (iii) all fees and
charges applicable to such Engagement and (iv) contact information for the
individuals who will be serving as the primary contacts for each Party in
connection with such Engagement (if different from the Account Managers).

 

(c)           Attached to this Agreement as Exhibit
1 is the Engagement Letter to be entered into between COAC and
Talecris.  To the extent there is any
inconsistency between the terms of this Agreement and the terms of an Engagement
Letter (whether the Engagement Letter set forth as Exhibit 1 hereto or any
subsequent Engagement Letter), the terms of the applicable Engagement Letter
shall control.  Each Engagement Letter
shall be prepared initially by COAC for review and approval by Talecris.  If Talecris has any issues or concerns about
the format or substance of any Engagement Letter presented by COAC, the Parties
shall work together in good faith to promptly resolve such issues or concerns
in a manner satisfactory to both Parties.

 

Section 5.3.            Staffing of Engagements.  Upon
execution of an Engagement Letter (or such later time as the Parties may
agree in writing), COAC shall staff the Engagement with such Operations
Executives as COAC shall deem appropriate to satisfy the mutually agreed upon
objectives for the Engagement.  Unless an
Engagement Letter specifies specific Persons to provide Advisory Services
and/or specifies a specific period of time, COAC shall have the right, in its
sole discretion at any time and from time to time, to remove, substitute or
modify the Operations Executives who staff the Engagement and shall provide
advance notice of any such changes to Talecris. 
Unless otherwise specified in the Engagement Letter, COAC shall
periodically provide Talecris with a list of the Operations Executives assigned
to an Engagement.  If during the course
of an Engagement Talecris is objectively dissatisfied with the work performance
of an Operations Executive, Talecris will provide COAC with written notice of
such fact, directed to COAC’S designated Account Manager.  Promptly upon receipt of such notice, COAC
shall, at its option, either (i) establish a performance improvement plan
lasting no longer than thirty (30) calendar days after receipt of such
notification or (ii) remove the Operations Executive and provide a
replacement reasonably acceptable to Talecris. 
If, subsequent to the implementation of a performance improvement plan,
the relevant Operations Executive remains unacceptable to Talecris, COAC shall
remove such Operations Executive and provide a replacement reasonably
acceptable to Talecris.

 

ARTICLE VI

BILLING AND PAYMENT

 

Section 6.1.            Billing.  All Service Fees payable
under this Agreement shall be billed to Talecris on a monthly basis (each such
bill, an “Invoice”) at the rates and upon the terms and conditions set
forth in the applicable Engagement Letter.

 

7

 

Section 6.2.            Payment.  Except as provided in Section 6.4 below,
Talecris shall pay to COAC the amounts of each Invoice not later than thirty
(30) calendar days after the due date set forth on such Invoice.  All Service Fees and Expenses shall be paid
to COAC in U.S. dollars unless otherwise specified in an Engagement Letter.

 

Section 6.3.            Single Point of
Billing/Payment Contact. 
Promptly after the Effective Date of this Agreement, each Party shall
designate, in addition to the Account Manager, a single point of contact (each,
a “Billing/Payment Coordinator”) who shall have primary responsibility
on behalf of the designating Party for reviewing, responding to and resolving
any billing-related or payment-related inquiries that may arise during the
course of this Agreement or an Engagement, which such review, response and
resolution shall at all times be subject to and contingent upon the approval of
the Account Manager designated by the responding Party.  Each Party in its sole discretion may change
its designated Billing/Payment Coordinator upon written notice to the other
Party and either or both Parties may designate the same individual to serve as
both its Account Manager and its Billing/Payment Coordinator.

 

Section 6.4.            Billing/Payment Disputes.  If any portion of an amount due to COAC under
an Engagement Letter is subject to a bona fide dispute between the Parties,
Talecris shall, prior to the applicable date for payment, provide written
notice to COAC (the “Billing Dispute Notice”) of any amounts that Talecris
reasonably believes were not billed appropriately (such amounts, the “Billing
Disputed Amounts”) and shall include in such Billing Dispute Notice
specific detail regarding the basis for such dispute.  Talecris shall pay to COAC all undisputed
amounts as and when due, time being of the essence, and shall have the right to
withhold payment on any Billing Disputed Amounts.  If the Parties are unable to resolve the
issues related to a Billing Disputed Amount in the normal course of business
within ten (10) Business Days after delivery to COAC of the Billing
Dispute Notice (or such later date as the Parties may agree in writing), each
Party shall have the right to initiate the dispute resolution procedures set
forth in Article X (Dispute Resolution) below with respect to any Billing
Disputed Amounts.

 

ARTICLE VII

CONFIDENTIALITY

 

Section 7.1.            Restrictions on Disclosure
and Use of Confidential Information.

 

(a)           The Receiving Party shall treat the
Confidential Information as confidential and shall not, and shall cause its
Representatives not to, directly or indirectly, disclose, reveal, divulge,
publish or otherwise make known any of the Confidential Information of the
Disclosing Party to any other Person for any reason or purpose whatsoever,
except as provided in Section 7.1(c), Section 7.1(d) or Section 7.1(e) below.

 

(b)           The Receiving Party shall, and shall
cause its Representatives to, use the Confidential Information solely for the
purpose of providing or receiving the Advisory Services in accordance with the
terms of this Agreement.

 

(c)           Notwithstanding the provisions of Section 7.1(a) above,
the Receiving Party may disclose Confidential Information to its
Representatives who (i) need to know such 

 

8

 

information to permit the
Receiving Party to provide or receive Advisory Services in accordance with the
terms of this Agreement, (ii) are informed of the confidential nature of
the Confidential Information and (iii) agree to maintain the
confidentiality of the Confidential Information.  The Receiving Party shall be fully
responsible for any breach of the provisions of this Article VII by any of
its Representatives.

 

(d)           Notwithstanding the provisions of Section 7.1(a) above,
if the Receiving Party or any of its Representatives are required to disclose
any Confidential Information pursuant to Applicable Law, the Receiving Party
shall promptly notify the Disclosing Party in writing of any such requirement,
if legally permissible, so that the Disclosing Party may seek an appropriate
protective order or other appropriate remedy or waive compliance with the
provisions of this Agreement.  The
Receiving Party shall, and shall direct its Representatives to, reasonably
cooperate with the Disclosing Party to obtain such a protective order or other
remedy and if such order or other remedy is not obtained, or the Disclosing
Patty waives compliance with the provisions of this Agreement, the Receiving
Party and its Representatives shall disclose only that portion of the Confidential
Information which they are advised by counsel that they are legally required to
so disclose and will use good faith efforts to obtain reliable assurance that
confidential treatment will be accorded the information so disclosed.

 

(e)           Notwithstanding the provisions of Section 7.1(a) and
Section 7.1(b) above, nothing set forth in this Article VII
shall operate or be construed to operate as restricting in any manner the
rights or ability of (i) COAC or its Operations Executives to disclose
Confidential Information of the Disclosing Party to CCM or its Affiliates or (ii) CCM
or its Affiliates to use any Confidential Information of the Disclosing Party
in connection with any Governance Activities or Investment Activities,
regardless of whether or not such activities relate to Talecris or its
Affiliates; provided however, COAC acknowledges it is aware and that its
Representatives have been advised that the United States securities laws and
securities law of other jurisdictions prohibit any Person who has material
non-public information about a company from purchasing or selling securities of
such company on the basis of such information or from communicating such
information to any other Person under circumstances in which it is reasonably
foreseeable that such Person may purchase or sell such securities.

 

Section 7.2.            Return or Destruction of
Confidential Information. Promptly upon written request of the
Disclosing Party, the Receiving Party shall, and shall cause its
Representatives to, at the election of the Receiving Party, return to the
Disclosing Party or destroy all Confidential Information in tangible form
(whether in written form, electronically stored or otherwise), and neither the
Receiving Party nor any of its Representatives shall retain any copies or
extracts thereof.  To the extent that the
Receiving Party elects to destroy such Confidential Information pursuant to the
terms of this Section 7.2, such destruction shall be certified by the
Receiving Party to the Disclosing Party in writing if so requested by the
Disclosing Party.  Notwithstanding the
foregoing, nothing set forth in this Section 7.2 shall require the
Receiving Party to destroy Confidential Information to the extent that the
Receiving Party believes, in good faith, that such information is necessary or
appropriate for the purpose of exercising or performing the Receiving Party’s
rights, claims or obligations under (i) this Agreement or any Engagement
Letter, (ii) any Governance Activities or (iii) any Investment
Activities.

 

9

 

Section 7.3.            Specific Performance.  The Receiving Party hereby acknowledges and
agrees that the provisions set forth in this Article VII may be of a
special and unique nature, the loss of which may not be accurately compensated
for in damages by an action at law, and that the breach or threatened breach of
the provisions of this Agreement by the Receiving Party or any of its
Representatives may cause the Disclosing Party irreparable harm and that money
damages may not be an adequate remedy for any breach or threatened breach of
the provisions of this Agreement by the Receiving Party or any of its
Representatives.  The Receiving Party
hereby agrees on behalf of itself and its Representatives that the Disclosing
Party shall be entitled to seek equitable relief, including, without
limitation, an injunction or injunctions (without the requirement of posting a
bond, other security or any similar requirement or proving any actual damages),
to prevent breaches or threatened breaches of the confidentiality provisions
set forth in this Article VII by the Receiving Party or any of its
Representatives and to specifically enforce the confidentiality terms and
provisions of this Agreement, this remedy being in addition to any other remedy
to which the Disclosing Party may be entitled at law or in equity.

 

Section 7.4.            No Unintended Restrictions.  Notwithstanding the foregoing or any other
provision of this Agreement to the contrary, nothing set forth in this
Agreement or any Engagement Letter shall operate or be construed to operate to
release, waive, terminate, alter or in any way restrict in any manner any
rights, claims or benefits of CCM and/or its Affiliates under any Governance
Documents to which Talecris or its Affiliates are a party, including any right
or ability of CCM and/or its Affiliates to consider Confidential Information in
connection with any Governance Activities or Investment Activities, regardless
of whether or not such activities relate to Talecris or  its Affiliates; provided however, COAC
acknowledges it is aware and that its Representatives have been advised that
the United States securities laws and securities law of other jurisdictions
prohibit any Person who has material non-public information about a company from
purchasing or selling securities of such company on the basis of such
information or from communicating such information to any other Person under
circumstances in which it is reasonably foreseeable that such Person may
purchase or sell such securities.

 

ARTICLE VIII

ADDITIONAL UNDERSTANDINGS

 

Section 8.1.            Independent Contractor;
Benefits; Insurance.

 

(a)           (i) COAC and the Operations
Executives are acting solely as independent contractors in performing the
Advisory Services hereunder; (ii) neither COAC nor any Operations
Executive shall have the authority to act for, bind, or otherwise commit
Talecris or any of its Affiliates; and (iii) neither COAC nor any of its
Operations Executives shall hold itself or themselves out as having any such
authority, except in the case of items (ii) and (iii) above to
the extent that such authority has been granted to an Operations Executive by
Talecris.

 

(b)           COAC hereby acknowledges and agrees
that its employees and agents, including the Operations Executives (i) are
not, and shall not be by reason of this Agreement or any Engagement Letter,
employees or agents of Talecris, and (ii) except as provided in (c) below,
are not, and shall not be, entitled to compensation from, or employee benefits
of, Talecris in connection with the provision of any Advisory Services provided
hereunder.

 

10

 

(c)           Talecris shall not (i) pay any
contributions to Social Security, unemployment insurance, or federal or state
withholding taxes with respect to the Operations Executives or the Service Fees
paid to COAC pursuant to this Agreement or (ii) carry workers’
compensation or other accident insurance to cover the Operations Executives or
provide any other contributions or benefits to COAC or the Operations
Executives that might be expected in an employer-employee relationship, and
COAC and the Operations Executives expressly waive any right to such
participation or coverage. 
Notwithstanding the forgoing or any other provision of this Agreement to
the contrary, COAC and the Operations Executives shall be entitled to the
benefits and protections of any Corporate/Business Insurance maintained by
Talecris or its Affiliates and Indemnification Coverage to the extent that such
policies and benefits cover independent contractors to Talecris or its
Affiliates.

 

Section 8.2.            No Exclusivity.  The Advisory Services to be provided by COAC
and the Operations Executives hereunder are not and shall not be deemed to be
exclusive to Talecris or its Affiliates and COAC and the Operations Executives
are and shall remain free to render similar services to other Persons and to
engage in all such activities as COAC and the Operations Executives deem
appropriate, provided that in doing so COAC and 
the Operations Executives do not breach any covenants or obligations of
COAC expressly set forth in this Agreement.

 

Section 8.3.            Limited Duties.

 

(a)           At all times during the term of an Engagement, COAC shall use, and
shall cause the Operations Executives to use, commercially reasonable efforts
when providing Advisory Services to (i) provide the Advisory Services in a
timely, competent and professional manner, in material compliance with any
Applicable Laws relevant to such services, in material compliance with Talecris’
general procedures provided by Talecris to COAC in writing from time to time
and in material compliance with the reasonable directions as the Operations
Executives may receive from Talecris’ officers or other designated
representatives, (ii) when working on-site at a Talecris location, ensure
that the Operations Executives or other COAC representatives conduct themselves
in a manner that complies with applicable policies of the Talecris relating to
the conduct of contractors when working on site, in each case to the extent
that such policies have been communicated to COAC in writing prior to
commencement of such activities, and (iii) refrain from disparaging
Talecris, its employees, products or services.

 

(b)           To the extent that an Operations
Executive, in rendering Business Advisory Services, is to have a fiduciary or
other similar duty to Talecris or its Affiliates beyond the specific covenants
and agreements set forth herein, such fiduciary or other similar duties shall
be expressly set forth and referenced on the Engagement Letter.  In such event, the Parties agree that such
Operations Executive shall be directed to conduct himself or herself in a
manner consistent with his or her fiduciary duties to Talecris or its
Affiliates, notwithstanding any other obligation he or she may owe to COAC or
its Affiliates.  Moreover, if an
Operations Executive owes any fiduciary duties to Talecris or its Affiliates
that conflict with any duties or obligations owed by such individual to COAC or
its Affiliates, the duties owed by such Operations Executive to Talecris or its
Affiliates shall take precedence over the duties owed by such Operations
Executive to COAC or its Affiliates.

 

11

 

(c)           Nothing in this Agreement or any
Engagement Letter (or otherwise arising from the delivery or receipt of
Advisory Services) shall operate or be construed to operate to (i) create
any sort of fiduciary duties on the part of COAC or any Operations Executive to
Talecris unless expressly and specifically undertaken and set forth in an
Engagement Letter; (ii) create or expand the scope of any fiduciary duties
that may be applicable to COAC or the Operations Executives under Applicable
Law, legal agreement or otherwise or (iii) release, limit, alter or waive
any limitation on, disclaimer of, or protection against the creation,
acceptance or imposition of fiduciary duties or other obligations that may be
set forth in Talecris’ Governance Documents, all of which such limitations,
disclaimers and protections are expressly preserved.

 

Section 8.4.            Conflicts of Interest.

 

(a)           Talecris understands and agrees that (i) COAC
and the Operations Executives have a variety of corporate, business,
employment, investment and/or other relationships with CCM and its Affiliates
(the “CCM Entities”), including companies that may hold investment
interests in and/or do business with Talecris and its Affiliates or operate in
businesses and/or industries similar to or competitive with Talecris, and (ii) during
the course of an Engagement, COAC and/or various Operations Executives may
acquire information or knowledge about, or participate in, transactions,
business opportunities and/or other matters that could be of potential
relevance or interest to Talecris or its Affiliates, including matters that
could present an actual or potential conflict of interest (each, a “Conflict”)
between COAC and Talecris or its Affiliates. 
Talecris hereby acknowledges that COAC and its Operations Executives
intend to maintain these relationships, and that the mere existence of these
relationships alone does not present any actual or potential conflicts under
this Agreement or otherwise.

 

(b)           If during the term of an Engagement
either Party determines that either it or the other Party (or any person who
works for such Party) has an actual Conflict arising from or relating to the
delivery or receipt of Advisory Services under such Engagement, such
discovering Party shall disclose the fact of such Conflict to the other Party
and, in such event, the Parties shall work cooperatively to either (i) resolve
the Conflict in a manner satisfactory to both Parties, (ii) cease
providing or receiving the Advisory Services giving rise to such Conflict, or (iii) terminate
the Engagement giving rise to such Conflict.

 

(c)           Notwithstanding the foregoing or any
other provision of this Agreement to the contrary, neither COAC nor any of the
Operations Executives shall (i) have any duty or obligation to disclose to
Talecris or its Affiliates any confidential information that COAC or any
Operations Executive may acquire about the business, operations or activities
of any other Person, even if such information could be deemed material and
relevant information to Talecris or its Affiliates, (ii) have any
liability to Talecris or its Affiliates for breach of any duty or obligation by
reason of not disclosing such confidential information or (iii) have any
duty or obligation to communicate, offer or direct to Talecris or its
Affiliates any business opportunity of which COAC or an Operations Executive
may become aware, even if COAC or such Operations Executive has knowledge that
Talecris or its Affiliates might be interested in such business opportunity.

 

12

 

ARTICLE IX

TERM AND TERMINATION

 

Section 9.1.            Term.  This Agreement shall become effective as
of the Effective Date and shall continue thereafter until written notice from
either Party terminating this Agreement in its entirety is provided to the
other Party.  Such termination of this
Agreement shall be effective fifteen (15) Business Days after the delivery of
written notice to the other Party.

 

Section 9.2.            Termination.
 Unless otherwise provided in an
Engagement Letter, either Party may terminate one or more Engagements under
this Agreement upon ten (10) Business Days prior written notice to the
other Party, indicating the specific Advisory Services and or Engagements that
are no longer desired, or will no longer be provided, as applicable, provided
however, that any such termination of one or more specific Advisory
Services or Engagements will not, in itself, cause the termination of this
Agreement.

 

Section 9.3.            Effect of Termination.  Upon the termination of any Engagement or of
this Agreement, Talecris shall promptly pay to COAC all amounts due to COAC for
Advisory Services, and all other amounts due to COAC, with respect to such
Engagement or this Agreement, as applicable, through the date of such
termination.  The provisions of ARTICLES
I, III, V, VI, VII, VIII, IX, X, XI, XII, XIII and XIV of this Agreement
shall survive the termination of any Engagement and the termination of this
Agreement.

 

ARTICLE X

DISPUTE RESOLUTION

 

Section 10.1.          Dispute Notice and
Response.  Except as
otherwise provided herein, any dispute, claim or controversy (individually and
collectively, a “Dispute”) arising under or relating to this Agreement
(or any Engagement Letter) which has not been resolved during the ordinary
course of business between the Parties shall be resolved by such Party
providing to the other Party written notice (a “Dispute Notice”) setting
forth the position of the Party giving such Dispute Notice and a summary of
arguments supporting such position, as well as the name and title of such Party’s
Designated Representative.  Within
fifteen (15) calendar days after delivery of the Dispute Notice, the Party who
received the Dispute Notice shall submit to the other Party a written response
(the “Response”) setting forth the position of the Party responding to
such Dispute Notice and a summary of arguments supporting such position, as
well as the name and title of such Party’s Designated Representative.  Within fifteen (15) calendar days after the
delivery of the Response, the Designated Representatives of both Parties shall
meet at a mutually acceptable location and time, and thereafter as often as
they reasonably deem necessary, to attempt to resolve the Dispute through good
faith negotiation.  The Parties shall
cooperate in good faith with respect to any reasonable requests for exchanges
of information regarding the Dispute or a Response thereto.

 

Section 10.2.          Senior Party
Representatives.  If the
Dispute has not been resolved within sixty (60) calendar days after delivery of
the Dispute Notice, or if the Designated Representatives of each Party fail to
meet within fifteen (15) calendar days after delivery of the Response, the
Parties shall refer the Dispute to executives of each Party hereto who have

 

13

 

authority to settle the
Dispute and who are at a higher level of management than the Designated
Representatives (the “Senior Party Representatives”).  Within fifteen (15) calendar days after the
Parties have referred the Dispute to the Senior Party Representatives, the
Senior Party Representatives of both Parties shall meet at a mutually
acceptable time and place, and thereafter as often as they reasonably deem
necessary, to attempt to resolve the Dispute.

 

Section 10.3.          Legal Action.  If the Dispute has not been resolved within
thirty (30) calendar days after the Parties referred the Dispute to the Senior
Party Representatives, or if the Senior Party Representatives of each Party
fail to meet within fifteen (15) calendar days after such referral, either
Party may commence legal action with respect to the Dispute subject to the
terms of this Agreement.

 

Section 10.4.          Settlement Discussions.  All negotiations, conferences and discussions
pursuant to this Article X shall be confidential and shall be treated as
compromise and settlement negotiations. 
Nothing said or disclosed, nor any document produced, in the course of
such negotiations, conferences and discussions that is not otherwise
independently discoverable shall be offered or received as evidence or used for
impeachment or for any other purpose at trial or in any current or future
arbitration, mediation or other proceeding.

 

Section 10.5.          Equitable Remedies.  Notwithstanding the foregoing or any other
provision of this Agreement to the contrary, nothing set forth in this Article X
shall operate or be construed to operate to prevent either Party from seeking
temporary equitable remedies, including temporary restraining orders, if, in
such Party’s judgment, such action is necessary to avoid irreparable harm.  Despite any such action, the Parties will continue
to participate in good faith in the dispute resolution procedures described in
this Article X.

 

ARTICLE XI

INTELLECTUAL PROPERTY

 

Section 11.1.          New IP.  Except as provided in Section 11.2 of
this Agreement, Talecris shall be the sole and exclusive owner of all
Deliverables and Intellectual Property Rights that are embodied therein
(collectively, the “New IP”). 
COAC shall not have any ownership, license or other interest in any New
IP.  COAC agrees and acknowledges that,
to the extent allowed under applicable law, all works created hereunder shall
be considered to be “works made for hire” as that phrase is defined in the
Copyright Act.  To the extent any
Intellectual Property Rights to such works or that are otherwise included in
the New IP would otherwise vest in COAC, COAC hereby assigns to Talecris all
right, title and interest in and to such Intellectual Property Rights.  Title to all New IP shall vest in Talecris
automatically upon creation.  To the
extent requested by Talecris, Operations Executive and/or COAC  shall sign, execute, and acknowledge or cause
to be signed, executed, and acknowledged without cost, but at the expense of
Talecris, any and all documents and shall perform such acts as may be necessary,
useful, or convenient for the purpose of securing to Talecris or its nominees,
patent, trademark, or copyright protection throughout the world upon all such
New IP.

 

Section 11.2.          COAC
Ownership.  COAC shall retain full, sole and exclusive
ownership of all inventions, works or other materials or ideas that have
been or are created, conceived or reduced to practice by COAC prior to, after
or independently of the services

 

14

 

 provided under this Agreement and all
Intellectual Property Rights that are embodied therein (collectively, the “Background
IP”).  To the extent any Background IP is incorporated into any Deliverable, COAC
hereby grants Talecris a non-transferable, non-exclusive, royalty-free,
worldwide license to such Background IP to use the Deliverable.  Unless COAC notifies Talecris in writing of
the incorporation of any Background IP in a Deliverable, neither Talecris nor
its assignees shall have any liability to COAC for use of such Background IP.

 

ARTICLE XII

REPRESENTATIONS AND WARRANTIES; DISCLAIMER

 

Section 12.1.          Representations and
Warranties.

 

(a)           Each Party hereby represents and
warrants that, as of the Effective Date and at all times thereafter (i) each
Party has the legal authority to execute and perform this Agreement, (ii) this
Agreement constitutes a valid and binding obligation enforceable against such
Party according to its terms and (iii) the execution and delivery of this
Agreement does not, and the performance by each Party of its respective
obligations hereunder shall not, with or without the giving of notice or the
passage of time, or both (x) violate any judgment, writ, injunction, or
order of any court, arbitrator, or governmental agency applicable to such
Party, (y) conflict with, result in the breach of any provisions of or the
termination of, or constitute a default under, any agreement (including,
without limitation, any confidentiality, non-solicitation, non-competition or
similar agreement) to which the representing Party is a party or by which it
may otherwise be bound or (z) violate or conflict with any of the
representing Party’s Governance Documents.

 

(b)           Talecris hereby represents and
warrants to COAC that, as of the Effective Date and at all times thereafter (i) the
execution and delivery of this Agreement and each Engagement Letter and the
performance of Talecris’ obligations hereunder and thereunder shall have been
approved in all respects by the independent members of Talecris’ Governance
Board or, in the absence of such independent members, by such other members of
Talecris’ Governance Board as have been charged with reviewing and approving
transactions between or among Talecris and Affiliated entities.

 

Section 12.2.          Disclaimer.
EXCEPT FOR THE EXPRESS WARRANTIES STATED IN THIS Article XII, THE ADVISORY
SERVICES ARE PROVIDED ON AN “AS IS” BASIS AND THE RECEIPT AND USE OF THE
ADVISORY SERVICES BY TALECRIS AND ITS AFFILIATES IS AT THEIR OWN RISK.  COAC DOES NOT MAKE, AND HEREBY DISCLAIMS, ANY
AND ALL OTHER WARRANTIES, WHETHER EXPRESS OR IMPLIED (BY OPERATION OF LAW OR
OTHERWISE) INCLUDING, WITHOUT LIMITATION, WARRANTIES OF MERCHANTABILITY,
FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT AND TITLE AND ANY WARRANTIES
ARISING FROM A COURSE OF DEALING, USAGE, OR TRADE PRACTICE.

 

15

 

ARTICLE XIII

INDEMNIFICATION

 

Section 13.1.          Indemnification of COAC
Parties.  Talecris shall
indemnify, defend and hold harmless COAC and its Affiliates and each of their
respective officers, directors, members, managers, employees, Operations
Executives and agents (each, a “COAC Indemnified Party”) from any and
all losses, suits, actions, judgments, penalties, fines, costs, damages,
liabilities or claims of any kind or nature, whether joint or several
(including, without limitation, reasonable legal and other expenses incurred by
a COAC Indemnified Party in connection with the preparation for or defense of
any action, claim or proceeding, whether or not resulting in any liability)(all
of the foregoing, the “COAC Indemnified Claims”) to which any COAC
Indemnified Party may become subject or liable or which may be incurred by or
assessed against any of the COAC Indemnified Parties under any statute, common
law, contract or otherwise, except to the extent that any such COAC Indemnified
Claim is directly caused by the gross negligence or intentional misconduct of
COAC or an Operations Executive.

 

Section 13.2.          Defense of Claims.  Promptly after receipt by COAC of notice of a
COAC Indemnified Claim, or any claim or the commencement of any action or
proceeding in respect of which indemnity may be sought against Talecris, COAC
shall notify Talecris in writing of the commencement thereof; provided, however,
that the failure of COAC to give timely notice hereunder shall not affect the
rights of the COAC Indemnified Parties to indemnification hereunder, except to
the extent that Talecris can demonstrate actual, material prejudice to Talecris
as a result of such failure.  COAC and
the COAC Indemnified Parties shall reasonably cooperate with appropriate
requests of Talecris with regard to the defense of any COAC Indemnified
Claim.  Talecris shall maintain authority
and control of the defense of any such Claim and the authority to settle or
otherwise dispose of any such COAC Indemnified Claim (provided that COAC shall
have the right to reasonably participate at its own expense in the defense or
settlement of any such COAC Indemnified Claim). 
In no event, however, may Talecris agree to any settlement of any COAC
Indemnified Claim that would affect any of COAC or any COAC Indemnified Party’s
rights or obligations, or that would constitute an admission of guilt or
liability on the part of the COAC or any COAC Indemnified Party, without COAC
or such COAC Indemnified Party’s, as applicable, express prior written consent.

 

Section 13.3.          Additional Rights.  The indemnity and expense reimbursement
agreements and obligations set forth herein shall be in addition to any other
rights, remedies or indemnification that the COAC Indemnified Parties may have
or be entitled to under Talecris’ Governance Documents or Corporate/Business
Insurance policies, at common law or otherwise, and shall remain operative and
in full force and effect regardless of any investigation made by or on behalf
of any of the COAC Indemnified Parties.

 

ARTICLE XIV

EXCLUSIONS AND LIMITATIONS OF LIABILITY

 

Section 14.1.          Exclusions.  Notwithstanding any other provision of this
Agreement to the contrary, other than in respect of indemnification as provided
in Article XIII for which this Article XIV shall not apply, neither
Party shall be liable to the other (or to any of the other Party’s Affiliates)
for any indirect, consequential, incidental, exemplary or special 

 

16

 

losses or damages, punitive
damages, lost profits, lost revenues or diminution in value including, but not
limited to, loss of goodwill, even if such Party is advised or otherwise aware
of the potential for such losses or damages.

 

Section 14.2.          Limitation
on Damages.  The liability
of either Party for actual damages resulting from performance or
non-performance under this Agreement or any Engagement Letter, regardless of
the form of action, and whether in contract, tort (including, without
limitation, negligence), warranty or other legal or equitable grounds, shall be
limited in the aggregate to the preceding twelve (12) month’s revenues actually
received by COAC under this Agreement. 
Notwithstanding the foregoing, this limitation shall not apply to (i) losses
by either Party for death or bodily injury, (ii) damages suffered by a
Party as a result of the gross negligence or willful misconduct of the other
Party (iii) any breach of confidentiality obligations contained in this
Agreement or (iv) in respect of indemnification as provided in Article XIII.

 

ARTICLE XV

MISCELLANEOUS

 

Section 15.1.          No
Waiver.  The forbearance,
delay, or failure of either Party to object to or take action with regard to
any breach or noncompliance with any provision of this Agreement, or to
exercise any right or remedy available to it, does not constitute and shall not
be construed as a waiver or modification of that or any other breach or
noncompliance, or a waiver of any right or remedy for the breach or
noncompliance or otherwise.

 

Section 15.2.          Severability.
 If any provision of this Agreement
is determined by any court of competent jurisdiction to be invalid, illegal, or
unenforceable in whole or in part, and such determination becomes final, such
provision or portion thereof shall be deemed to be severed or limited to the
extent required to render the remaining provisions and portions of this
Agreement valid, legal or enforceable, and the Agreement shall be enforced to
give effect to the intention of the Parties to the maximum extent possible.

 

Section 15.3.          Applicable
Law, Jurisdiction and Waiver of Jury Trial.  This Agreement and all related Engagement
Letters are made under and shall be construed and interpreted in accordance
with, and governed by, the internal laws of the State of New York without
regard to its conflicts of laws principles. 
The United States District Court for the Southern District of New York
shall have exclusive jurisdiction over any litigation arising out of this
Agreement (and any Engagement Letter) and the Parties agree to submit to the personal
jurisdiction of such court and all appellate courts having jurisdiction
thereover.  To the extent the United
States District Court for the Southern District of New York does not have
jurisdiction over any litigation arising out of this Agreement (and any
Engagement Letter), the Parties agree to submit any such claims to the personal
jurisdiction of the courts of the State of New York, located in Manhattan and
to all appellate courts having jurisdiction thereover.  EACH OF THE PARTIES HEREBY WAIVES ITS RIGHT
TO TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR COUNTERCLAIM BROUGHT BY OR ON
BEHALF OF A PARTY WITH RESPECT TO ANY MATTER RELATING TO OR ARISING OUT OF THE
ENGAGEMENT OR THE PERFORMANCE OR NON-PERFORMANCE OF THE PARTIES HEREUNDER.

 

17

 

Section 15.4.          Entire
Agreement.  Except as otherwise provided herein, this
Agreement and any related Engagement Letter, including any exhibits and
schedules thereto, contain the entire understanding of the Parties with respect
to its subject matter, and supersedes and replaces any prior agreements,
understandings or promises relating to the subject matter hereof and thereof.

 

Section 15.5.          Amendment.  This Agreement may be
supplemented or amended only upon mutual agreement of the Parties in a writing
signed by authorized representatives of both Parties.

 

Section 15.6.          Force
Majeure.  Neither COAC nor Talecris shall be liable for
any delay in performance or failure to perform any obligation under this
Agreement to the extent such delay is due to causes beyond its control and is
without its fault or negligence including, but not limited to, natural
disasters, governmental regulations or orders, civil disturbance, war
conditions, acts of terrorism or strikes, lock-outs or other labor disputes (a “Force
Majeure Condition”).  The performance
of any obligation suspended due to a Force Majeure Condition will resume as
soon as reasonably possible as and when such Force Majeure Condition subsides.

 

Section 15.7.          Successors
and Assigns.  This Agreement shall be binding upon and
inure to the benefit of the Parties and their respective permitted successors
and assigns.  Notwithstanding the
foregoing, neither Party may assign, delegate, or otherwise transfer any of its
rights or obligations under this Agreement, by operation of law or otherwise,
to any Person other than one of its direct or indirect Affiliates without the
written consent of the other Party, which consent shall not be unreasonably
withheld, delayed, conditioned or denied. 
Any assignment or transfer to any Affiliate shall not relieve the
assigning or transferring Party of its obligations under this Agreement.

 

Section 15.8.          Notices.  All notices, requests and
other communications to any Party hereunder (“Notices”) shall be in
writing (including facsimile or similar writing) and shall be given to such
Party at its address or facsimile number as set forth below, or such other
address or facsimile number as such Party may hereinafter specify for the
purpose of giving notice hereunder to the Party giving such Notice.  Each such Notice shall be deemed delivered (i) if
given by facsimile, when such facsimile is transmitted to the facsimile number
specified pursuant to this Section 15.8 and the appropriate facsimile
confirmation is received, (ii) if given by U.S. mail, three (3) days
after such Notice is deposited in the mail, certified mail, return receipt
requested, postage prepaid, addressed as set forth below, (iii) if given
by personal delivery, when personally delivered, (iv) if given by
nationally recognized overnight courier, on the Business Day after such notice
is delivered to such courier or (v) if given by any other means, when
delivered, at the address as follows:

 

If to Talecris:

 

Talecris Biotherapeutics, Inc.

4101 Research Commons

79 T.W. Alexander Drive

Research Triangle Park, NC 27709

Facsimile: 
253.390.6623

 

18

 

Attention: 
General Counsel

 

If to COAC:

 

Cerberus Operations and Advisory Company LLC

299 Park Avenue

New York, NY 10171

Facsimile: 
212.750.5212

Attention: 
Lisa Gray, Esq., General Counsel

 

Section 15.9.          Third-Party
Beneficiaries. 
Nothing in this Agreement, whether express or implied, confers upon any
Person, other than the Parties and their successors and permitted assigns, any
rights or remedies under or by reason of this Agreement, except as and to the
extent set forth in Article VIII (Additional Understandings), Article XIII
(Indemnification) and Article XIV (Exclusions and Limitations on
Liability), each of which such Articles shall inure to the benefit of CCM and
its Affiliates as third-party beneficiaries with rights to enforce the
provisions set forth thereunder.

 

Section 15.10.        Counterparts;
Facsimile or Electronic Signature.  This Agreement may be
executed in two or more counterparts, any of which may be signed and exchanged
by facsimile or e-mail, and all of which together shall constitute one and the
same agreement.

 

Section 15.11.        No Strict
Construction.  This Agreement is the joint work product of
COAC and Talecris and has been negotiated by the Parties and their respective
counsel and will be fairly interpreted in accordance with its terms.  In the event of any ambiguity regarding the
terms or intent of any provisions of this Agreement (or any Engagement Letter),
this Agreement (and such Engagement Letter) shall not be strictly construed
against, and no inferences shall be drawn against, any Party by reason of the
fact that such Party may have drafted such particular provision.

 

[remainder of
page intentionally left blank; signature page follows]

 

19

 

IN WITNESS WHEREOF, each of the Parties hereto
has caused this Master Consulting and Advisory Services Agreement to be
executed by its duly authorized officer as of the date first above written.

 

	
   

  	
  TALECRIS BIOTHERAPEUTICS HOLDINGS

  CORP.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Lawrence Stern

  
	
   

  	
   

  	
  Name:
  Lawrence Stern

  
	
   

  	
   

  	
  Title:
  Chairman and Chief Executive Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  CERBERUS
  OPERATIONS AND ADVISORY

  COMPANY, LLC

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Lisa Gray

  
	
   

  	
   

  	
  Name:
  Lisa Gray

  
	
   

  	
   

  	
  Title:
  General Counsel

  

 

20

 

EXHIBIT 1

 

Engagement
Letter

 

Billing Code:
[          ]

 

Tracking Code:
[            ]

 

This letter of engagement (the “Engagement Letter”)
is made and entered into effective as of this
       day of July, 2008 (the “Engagement Effective Date”), by and
between TALECRIS BIOTHERAPEUTICS, INC. (“Talecris”) and CERBERUS
OPERATIONS AND ADVISORY COMPANY LLC (“COAC”).

 

This Engagement Letter is entered into pursuant to that
certain Master Consulting and Advisory Services Agreement by and between
Talecris and COAC, dated as of July     , 2008 (the “Master
Agreement”), for the services provided herein (the “Engagement”).  Capitalized terms used but not otherwise
defined in this Engagement Letter shall have the meanings ascribed to such
terms in the Master Agreement.  To the
extent there exists any inconsistency between the terms of this Engagement
Letter and the terms of the Master Agreement, the terms of this Engagement
Letter shall control.

 

ADVISORY
SERVICES

 

Talecris has in the past retained, currently retains and
desires to continue to retain the services of COAC and its Operations
Executives with respect to, among other things,  (i) strategy
for the creation and implementation of operating improvements at its existing
plasma collection centers, (ii) strategy for the development of new plasma
collection centers, (iii) implementation of best practices for efficient
operation of its plasma collection centers, (iv) development of cost containment
and cost reduction plans and policies, (v) assessment of potential
acquisitions, divestitures and securities offerings, (vi) review and
analysis of existing and potential new technology, (vii) review, analysis
and implementation of human resource improvements and (viii) general
strategic development, guidance, consultative and advisory services.

 

The parties hereto understand and agree that the specific
scope and nature of the Advisory Services required for this Engagement may vary
from time-to-time depending on the needs and interests of Talecris and the
availability and skills of the Operations Executives at the time of the
requested services, as more particularly set forth in the Master Agreeement.

 

Attached hereto as Schedule A is the current list of
COAC Operations Executives tasked with providing the Advisory Services to
Talecris, the scope of their respective assignments, the expected time frame
for such assignments and the Daily Service Fees associated therewith.  Notwithstanding Section 5.3 of the
Master Agreement, COAC commits to providing the specific individuals listed in
Schedule A for the time periods indicated as long as such individuals are
employed by or affiliated with COAC.

 

21

 

ACCOUNT
MANAGEMENT

 

The name and contact information for each of the
Party’s respective Account Manager and Billing/Payment Coordinator is as
follows:

 

Talecris:

 

Account
Manager:
 Lawrence Stern

Chairman and Chief Executive Officer

4101 Research Commons

79 T.W. Alexander Drive

Research Triangle Park, NC 27709

919-316-9666

Lawrence.Stern@talecris.com

 

Billing/Payment
Coordinator:

 

Stella Laurella

Sr. Director Finance

4101 Research Commons

79 T.W. Alexander Drive

Research Triangle Park, NC 27709

919-316-6131

stella.laurella@talecris.com

 

COAC:

 

Account
Manager:

 

James Renna

299 Park Avenue, 22 Floor

New York, NY 10171

212-891-2100

jrenna@cerberusoperations.com

 

Billing/Payment
Coordinator:

 

James Renna

299 Park Avenue, 22 Floor

New York, NY 10171

212-891-2100

jrenna@cerberusoperations.com

 

This Engagement
shall commence as of the Effective Date and shall continue thereafter until
terminated by either Party upon ten (10) Business Days prior written
notice to the other Party, provided that upon termination of this Engagement
Letter, Talecris shall pay to COAC all amounts provided for through the
termination date, in accordance with the Master Agreement.  This Engagement Letter shall automatically
terminate upon the expiration or termination of the Master Agreement.

 

22

 

AMENDMENTS

 

This
Engagement Letter may be supplemented or amended only upon mutual agreement of
the Parties in a writing signed by both parties.

 

COUNTERPARTS

 

This Engagement Letter may be
executed in counterparts and such counterparts may be delivered in electronic
format (including facsimile).  The
execution and delivery of such counterparts shall be conclusive proof of the
intent to be bound hereby and each such counterpart and copies thereof shall
have the same effect as an original.

 

IN
WITNESS WHEREOF, the Parties have caused this Engagement Letter to
be executed by their duly authorized officers as of the date first above
written.

 

	
   

  	
  TALECRIS BIOTHERAPEUTICS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Lawrence Stern

  
	
   

  	
   

  	
  Name:
  Lawrence Stern

  	
   

  
	
   

  	
   

  	
  Title:
  Chairman and Chief Executive Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  CERBERUS
  OPERATIONS AND ADVISORY

  COMPANY, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Lisa Gray

  
	
   

  	
   

  	
  Name:
  Lisa Gray

  	
   

  
	
   

  	
   

  	
  Title:
  General Counsel

  	
   

  

 

23

 

Schedule A

 

Talecris - July 2008

 

	
  Last

  	
   

  	
  First

  	
   

  	
  Scope

  	
   

  	
  Timeframe

  	
   

  	
  Daily

  Service

  Fees

  	
   

  	
  Last

  Updated

  	
   

  	
  Status

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Process and capacity
  reengineering of plasma collection centers. Implementation of best practices
  for efficient running of centers. Improve customer experience and through put
  through technology enhancements. Estimated assignment end date: 10/08

  	
   

  	
  Through
  October of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Head Best Practices Team

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Responsible for process improvement
  and cost cutting for company expenses. Implementing cost containment, new
  policies, and technology to enhance current expense program. Estimated
  assignment end date 7/08

  	
   

  	
  Through
  July of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Cost Out / Support

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Responsible for new center
  development. New center development consists of; onboarding, training,
  compliance, recruiting, etc. After assignment in NCD, transition to SOP
  rollout and other project activities.

  	
   

  	
  Through
  March of 2009

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Managing New Center
  Development

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Responsible for new center
  development. New center development consists of; onboarding, training,
  compliance, recruiting, etc. Estimated assignment end date: 3/09

  	
   

  	
  Through
  March of 2009

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Head - New Center
  Development

  	
   

  

 

***         Confidential
Treatment Requested

 

 

 

	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Responsible for business
  development work. Work closely with CEO on potential acquisitions, securities
  offerings, and sales. Estimated assignment end date: 6/09

  	
   

  	
  Through
  June of 2009

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  PMO Alto Deal/IPO

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Process and capacity
  reengineering of plasma collection centers. Implementation of best practices
  for efficient running of centers. Improve customer experience and through put
  through technology enhancements. Estimated assignment end date: 10/08

  	
   

  	
  Through
  October of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Best Practices Team

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Process and capacity
  reengineering of plasma collection centers. Implementation of best practices
  for efficient running of centers. Improve customer experience and through put
  through technology enhancements. Estimated assignment end date: 12/08

  	
   

  	
  Through
  December of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Managing New Center
  Development

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Responsible for HR related
  improvements around new center development. New center development consists
  of onboarding, training, compliance, recruiting, etc. Estimated assignment
  end date: 7/08

  	
   

  	
  Through
  July of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  HR Support

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Process and capacity
  reengineering of plasma collection centers. Implementation of best practices
  for efficient running of centers. Improve customer experience and through put
  through technology enhancements. Wrapping up a roadmap and IT strategy for
  TPR. Estimated assignment end date: 12/08

  	
   

  	
  Through
  December of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  TPR Chief of Staff

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Responsible for donor
  matrix. Working on referral awards program for the collection centers.
  General level strategy development. Estimated assignment end date: 12/08 Full
  time through August 25-50% through December

  	
   

  	
  Through
  December of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Best Practices Team

  	
   

  

 

***         Confidential
Treatment Requested

 

 

	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Process and Supply
  reengineering of the Company’s Cold Chain. Implementation of best practices
  for efficient movement and storage of the Company’s Plasma. Estimated
  assignment end date: 10/08

  	
   

  	
  Through
  December of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Re Tooling Supply Chain

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  [***]

  	
   

  	
  [***]

  	
   

  	
  Process and capacity
  reengineering of plasma collection centers. Implementation of best practices
  for efficient running of centers. Improve customer experience and through put
  through technology enhancements. Estimated assignment end date: 10/08

  	
   

  	
  Through
  October of 2008

  	
   

  	
  $

  	
  [***]

  	
   

  	
  7/    /2008

  	
   

  	
  Best Practices Team

  	
   

  

 

***         Confidential
Treatment Requested

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00145-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00145-of-00352.parquet"}]]