Document:

Exhibit 4.50

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

 

AGREEMENT NO. 006/14

 

Satellite Services Master Agreement through the Mexican Satellite System No. 006/14 entered by and between SATÉLITES MEXICANOS, S.A. DE C.V., hereinafter referred to as SATMEX and AMÉRICA MÓVIL PERÚ, S.A.C, hereinafter referred to as the CLIENT.

 

CLIENT’s Information: Legal Representative [***] / GENERAL MANAGER and [***]/ DIRECTOR ADMINISTRATION AND FINANCE

Address: [***]

Notices to: [***] Telephone number: [***]; E-mail: [***]

Billing contact: [***] Telephone number: [***]; E-mail: [***]

 

SATMEX’s information: Legal Representative: ING. PATRICIO ERNESTO NORTHLAND VERDEJO / DIRECTOR GENERAL

Address: Avenida Paseo de la Reforma 222, Torre de Oficinas, Piso 20, Colonia Juárez, Delegación Cuauhtémoc, C.P. 06600, México, D.F.

Notices to: Mario Alberto García Bernal / Sales Director; Telephone number: + (52 55) 2629 5837 E-mail: mario.garcia@satmex.com

Billing contact: Nallely Alejandra Rodríguez Díaz — Invoicing; Telephone number: +52 (55) 2629 5800 ext.716 E-mail: nallely.rodriguez@satmex.com

 

SATMEX and the CLIENT, are referred to individually as a “Party” and collectively as the “Parties” and hereby agree as follows:

 

CLAUSES

 

FIRST. Purpose. SATMEX shall provide Satellite Capacity Services as elected by the CLIENT to meet its requirements in any of the following categories: permanent service and/or occasional service and/or integral services, which will be provided by SATMEX through its satellite fleet.

 

The satellite services provided hereunder are: (i) Permanent Service, only includes uninterrupted satellite segment to be provided on a 24/7 basis for 30 or more calendar days; (ii) Occasional Service, includes the service to be eventually provided for a minimum of 15 minutes per broadcasting; (iii) Integral Service includes: (a) the provision of uninterrupted satellite segment and (b) the provision of broadcast equipment for the satellite signal conduction (the “Equipment”).

 

Notwithstanding the satellite segment category or Equipment, SATMEX shall provide the Service or the Equipment subject to availability and according to CLIENT ́s requirements.

 

CLIENT shall exclusively use the satellite segment contracted for: (i) its own benefit or (ii) as part of an integral service that the CLIENT provides or sells to its own customers, provided that the resale of satellite capacity without added value is strictly forbidden.

 

With regards to the Occasional Service, CIENT may request this service using the personal and non transferable code provided by SATMEX to access the internet booking system, in accordance to the guidelines contained in Exhibit 2 to book the corresponding Occasional Service segment and according to the applicable fees.

 

SECOND. Exhibits. The satellite segment will be rendered to CLIENT according to the terms and conditions herein provided, as well as the terms and conditions set forth in the Exhibit applicable to each category of segment as below described:

 

i) Permanent Service

 

a)             Exhibit 1 — Permanent Service Order

 

ii) Occasional Service

 

a)             Exhibit 2 — Occasional Service Order “Procedure to Book Occasional Service”

 

iii) Integral Service

 

a)             Exhibit 1 — Integral Service Order

b)             Exhibit 2 —Equipment Description

 

Hereinafter such Permanent, Occasional or Integral service orders will be jointly referred to as “Service Orders” and, each will be identified with the name of the Service contracted.

 

According to the satellite segment contracted, each Service Order shall set forth the technical specifications, term, price, and the particular applicable terms and conditions, which duly executed by Parties will form integral part of this Agreement.

 

In the event a conflict between this Agreement and a Service Order arises, the terms set forth in the Service Order will prevail.

 

THIRD. Services Orders, Confirmation and Renewal. During the term of this Agreement, the CLIENT may request Services to SATMEX. If SATMEX has available capacity, and once the Parties agree on the contracted capacity and fee per MHz, SATMEX shall prepare the corresponding Service Order to be subscribed between the Parties that shall govern the specific Services to be rendered and that will be attached hereto.

 

The Service Orders may be amended by the Parties, in writing, whenever the CLIENT requests capacity increases and/or modifications to the contracted Service or new Services.

 

If CLIENT wishes to renew or extend a Service, the CLIENT shall provide written notice to SATMEX at least [***] calendar days prior to the Service termination date in order to reserve the requested satellite capacity. Upon SATMEX’s receipt of the notice SATMEX will negotiate in good faith the new terms and conditions, including fees, that shall be set forth in the new Service Order.

 

If CLIENT fails to provide notice to renew or extend a Service, or if an agreement on the new Service is not reached within [***] calendar days prior to the applicable Service termination date, SATMEX, without any liability whatsoever on its part and once the term of the corresponding Service Order has expired, may assign such satellite capacity to any third party.

 

FOURTH. Use compliance. No later than [***] days prior to the commencement date of Service pursuant to the corresponding Service Order, CLIENT shall provide SATMEX with a “Broadcasting Plan” to operate CLIENT’s network. CLIENT shall

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

obtain SATMEX’s prior written approval for the Broadcasting Plan as a condition to begin Service, and will assign CLIENT, through electronic notice with sending acknowledgement addressed to the notice contact established in this Agreement, the satellite access frequencies and power to use the contracted bandwidth. Whether or not CLIENT has provided its Broadcasting Plan, for invoicing purposes, Service will be deemed to have started on the Service commencement date set forth in the corresponding Service Order.

 

If CLIENT needs to modify the Broadcasting Plan during the term of a Service Order, it shall provide an updated plan subject to SATMEX’s prior approval.

 

SATMEX is entitled to change, i.e., change beam pointing, move, replace, relocate or reconfigure, among others, the satellites, the Satellite Capacity or the Services, provided that no substantial degradation of any Service provided to CLIENT is caused.

 

SATMEX will make reasonable technical and commercial efforts to avoid relocations

 

SATMEX, at any time, shall notify CLIENT in writing through an electronic notice containing sending acknowledgement addressed to the notice contact established in this Agreement, about any change, informing the alternate assignments as well as the maximum date for the relocation, always procuring that coverage and performance are similar to the Service contracted. CLIENT shall perform the requested modifications to operate in the new assignment in the period set forth in the notice. SATMEX will use reasonable efforts to minimize disruptions of Service during such change

 

CLIENT ́s Earth Station(s) shall comply with the technical specifications and parameters required by SATMEX to operate according to the Mexican Satellite System as detailed in Satmex’s Standards which, are posted at: http://www.satmex.com/tools/estandares/Estandar-Tecnico-V1-final%20rev.pdf.

 

CLIENT’s designated technicians are responsible for the operation of the Earth Stations of its satellite network and shall observe that the Earth Stations do not exceed the nominal satellite access parameters assigned to the bandwidth, in accordance with each Service Order. When detecting an excess, SATMEX’s personnel at Communications Control Center (CCC), will immediately request to the CLIENT’s designated technician in charge of the Earth Station or to the CLIENT’s network’s manager to perform the corresponding corrections. In the event CLIENT does not perform the necessary adjustments or does not deactivate the carriers that operate beyond the nominal satellite access parameters assigned to the bandwidth, SATMEX will notify to CLIENT in writing, who, within 5 business days, shall pay an amount equal to the applicable fee contracted for the bandwidth and/or power in excess. Likewise, CLIENT shall pay documented damages against third parties, and, in its case, the economic compensations or Interruption Credits that SATMEX shall pay to any affected customer. The payment by CLIENT of such charges does not provide any kind of authorization to continue operating the Service beyond assigned power and bandwidth.

 

CLIENT agrees to supervise the operating status of the Earth Stations in order to ensure that it does not cause any interference with CLIENT’s own signals, signals of other customers of SATMEX or other satellites. At any time, during the term of this Agreement, at SATMEX’s prior request, CLIENT’s Earth Stations will be subject to short On-Off Testing when searching for sources of interference. Such tests shall be performed prior agreement between the Parties, within [***] hours from SATMEX’s request.

 

If any of CLIENT ́s Earth Station(s) produces interference to other signals during its operation, CLIENT shall cease its transmissions to the satellite until such interference is completely eliminated. If CLIENT does not suspend the broadcasting of the interference signal, SATMEX may suspend it immediately. The CLIENT agrees and acknowledges to be the exclusive responsible for repairs of interference from CLIENT’s Earth Stations, and SATMEX technical support to CLIENT is limited to recommendations to restore the Services, provided that CLIENT shall supply any and all necessary facilities that may allow, in conjunction with SATMEX’s CCC, to try to eliminate the interference. CLIENT and its final users shall be liable, at all times, before SATMEX of any interference of the Service, any other signals and/or satellites caused by CLIENT’s and/or its final users’ acts or omissions when operating Earth Stations through which the Service is provided.

 

FIFTH. Technical Scalation List.

 

CLIENT shall provide in writing to SATMEX, within 5 calendar days from the Execution Date, the name, title, telephone and fax numbers, and email addresses, of its designated technicians responsible of CLIENT’s network. In the event of changes to this information, CLIENT shall notify such modification in writing within 5 calendar days after such change occurs.

 

The CLIENT shall have, during the term of this Agreement, at least one designated technician available 24/7, to attend and solve any technical issue that may arise in connection with the Service or the Earth Stations.

 

SIXTH.  Provision of Services. If a Service Interruption occurs, SATMEX agrees to provide CLIENT an Interruption Credit to be applied against future payments for the Service, as provided in the applicable Service Order.

 

In case of a Service Interruption, CLIENT shall immediately notify SATMEX’s CCC. An Interruption Credit shall only be granted once CLIENT delivers SATMEX 2 or more tests or measurements demonstrating the anomaly in the provision of the services and that it is directly attributable to SATMEX. Such tests and measurements shall be reviewed and approved by SATMEX. The test measurements shall be conducted under conditions mutually agreed between the Parties. Interruption Credits shall be calculated considering the duration of the anomaly, beginning when CLIENT reports the interruption to the CCC and only for interruptions beyond 3 continuous hours.

 

An applicable Interruption Credit shall be calculated according to the following procedure: (i) determination of the affected capacity and the total period of time of the fail based in the report of the CCC; (ii) the fee per MHz contained in the Service Order shall be divided between 720 hours. The result of such division shall be multiplied by the total period of time of the fail reported, including the corresponding fractions and the affected capacity according to the report of the CCC, and (iii) the Interruption Credit shall be applied to the following invoicing period after the Service Interruption occurred.

 

Interruption Credits shall not apply if the interruption is not directly attributable to SATMEX and if SATMEX’s CCC provides support to avoid prejudicial effects on the satellite communication, including but not limited to: (i) the authorization to use another frequency of other transponder and, (ii) the authorization to use additional frequencies to those set forth in the Service Order.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

SEVENTH. Intellectual Property. Under any circumstance,  CLIENT shall use the trademarks, patents, designs, rights and/or other intellectual property right of SATMEX’s property or any of its affiliates and subsidiaries. In case CLIENT wishes to use such property rights, it shall request SATMEX to execute a separate licensing agreement.

 

SATMEX may rescind this Agreement in case of breach of the provision described in this Clause Seventh, without prejudice of any other legal action or provision that may apply for the breach of any intellectual and/or industrial property rights. CLIENT agrees and acknowledges that the breach or non compliance of the provisions herein contained may be subject to the applicable laws for industry secrets and/or confidential information, or any other that may apply.

 

EIGHTH. Payment. CLIENT shall pay SATMEX for the Services, the amounts established in each Service Order plus the corresponding taxes, in advanced monthly payments, by wire transfer, at the following bank account:

 

Satélites Mexicanos, S.A. de C.V.

Account number: 36184091

ABA number: 021000089

Citibank, NY 111 Wall Street, Piso 21,

10043, New York, NY

 

CLIENT shall pay Occasional Services in accordance with the contracted satellite segment, the broadcasting time and the fees agreed by the Parties.

 

CLIENT shall pay no later than the 15th day of the month in which the Service is to be provided. If the due date is a non business day, CLIENT shall be entitled to pay the following business day. If CLIENT fails to pay one monthly statement, SATMEX is entitled to suspend the Service if, after a written notice from SATMEX, CLIENT does not cure its default within a 5 calendar day period; if CLIENT fails to cure its default, SATMEX is entitled to rescind this Agreement without the need of judicial intervention in accordance with Clause Fourteenth herein. CLIENT agrees and acknowledges that to reactivate the Service; it shall pay to SATMEX all outstanding balances and the interests accrued.

 

If CLIENT fails to comply with its payment obligations, late payment interests will be charged from the following day of the due date and until SATMEX receives full payment. Late payment interests shall be calculated over unpaid balances for each day of delay from the due date and until SATMEX receives full payment of the principal amount and the corresponding interests at the rate of [***] % per year over unpaid balances divided among [***] days per the proportion of payment delay days.

 

SATMEX will apply any CLIENT’s payment to the oldest overdue amounts derived from each Service Order.

 

NINTH. Invoicing. Invoices for the Services will be issued in accordance to each Service Order, on a monthly basis and in US dollars within [***] business days in advance to the month in which the Service is to be provided. SATMEX will provide the electronic monthly invoice to the CLIENT’s e-mail address stated herein for such purpose. The delay of an invoice will not affect CLIENT’s obligation to timely pay for the Services.

 

In case any dispute arises with respect to an invoice, CLIENT shall notify SATMEX in writing at least [***] days prior to the payment due date established in Clause Eighth of this Agreement.

 

TENTH. Guarantee. CLIENT agrees to guarantee SATMEX the fulfillment of its obligations under this Agreement, through a cash deposit for the amount agreed between the Parties in each Service Order, such deposit shall be done to the bank account established Clause Eighth above no later than the beginning date of the Service.

 

The deposit shall be increased when a Service Order is subscribed and CLIENT’s payment obligations are also increased, within the following [***] business days from the date on which the obligations are increased. Likewise, in case that CLIENT’s monthly payment obligations decrease, SATMEX will apply the deposit’s difference on CLIENT’s benefit against the invoice following the decrease.

 

The CLIENT agrees and acknowledges that in case it maintains overdue payments, the deposit may be applied to any overdue amounts for any Service, without judicial intervention whatsoever.  CLIENT shall hold SATMEX harmless for any liability derived from the application of the guarantee deposit as it is described on this paragraph, and shall release SATMEX, its subsidiaries, affiliates and/or representatives, agents, employees or associates from and against any and all claims or procedures arising from such application. SATMEX shall provide CLIENT written notice informing about the application of the deposit. CLIENT shall restate the guarantee deposit applied immediately upon notice pursuant this paragraph, and immediately pay any outstanding amount. Failure to fulfill the obligation stated in this clause, will entitle SATMEX to rescind this Agreement.

 

SATMEX shall return any remaining of the guarantee deposit, upon notice pursuant CLIENT’s written request, when all Services end and all debts of CLIENT are settled in a term not to exceed 30 days.

 

Once the term of this Agreement and of any and all Service Orders has expired, and all payment obligations of the CLIENT have been fulfilled, including any due interests, SATMEX shall return any remaining of the guarantee deposit as established in this clause, upon CLIENT’s written notice, in a term not to exceed 30 calendar days.

 

ELEVENTH. Taxes. The Parties agree that each of them shall pay any and all Taxes and fees applicable to such Party according to the legal ordinances in force in their respective countries. CLIENT agrees that the amount invoiced by SATMEX for the services rendered is an amount not including taxes, and in consequence, CLIENT shall pay the amounts established in the invoice free and clear of any withholding or deduction.

 

For purposes of this Agreement, “Taxes” means, without limitation, any tax, fee, duty, assessment, withholding, excise, managerial taxes, sales, value-added, gross-receipt, transfer and similar taxes, imposts, and levies that may be asserted by any government or tax authority, within the residence country of each Party or in the countries where its signal is received or emitted, that are in force at the Execution Date or that may be established after the Execution Date but that any Party shall be obligated to pay.

 

TWELFTH. Term. The term of this Agreement shall be 12 months starting on its Execution Date and shall be automatically renewed

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

for identical periods upon the same terms and conditions, unless any Party provides to the other Party written notice 90 days prior to the termination date, about its intention of not renewing this Agreement. Notwithstanding the foregoing, the terms and conditions of this Agreement and the Service Order(s) will continue to apply as long as they remain in effect.

 

The terms and conditions of this Agreement shall continue governing any Service Order signed before the termination date of this Agreement and until the termination date of such Service Order.

 

THIRTEENTH. Early Termination. Any Party may early terminate an affected Service Order, prior written notice to the other Party, in case a Satellite failure is confirmed and SATMEX does not restore the Service within: (a) 15 days from the failure date (except in case of a Force Majeure Event); or (b) within 60 days from the failure date in case a Force Majeure Event occurs; or (c) at any shorter period of time if SATMEX determines that restoration within the time frame stipulated in (a) or (b) is not reasonably achievable.

 

FOURTEENTH. Rescission. Any Party may rescind this Agreement without any liability whatsoever on its part and without further judicial declaration, if the other Party breaches any of its obligations set forth in this Agreement, Service Orders, and/or any future amendment, upon notice to the breaching Party, if such Party does not cure its default within 10 calendar day period after the non-breaching Party notifies to the breaching Party its default. If after such period the default has not been cured, the Agreement shall be rescinded without any further formality.

 

Upon termination of this Agreement or a particular Service Order for any cause, CLIENT shall immediately release the satellite capacity and SATMEX may reassign such capacity to a third party, without further liability whatsoever.

 

If upon the rescission or early termination of this Agreement, CLIENT does not deactivate the signals to the Satellite from the Earth Stations(s) through which the Service is rendered, the CLIENT shall pay SATMEX the double monthly price set forth in each Service Order.

 

In case of rescission of this Agreement or a particular Service Order, due to a CLIENT’s breach, CLIENT shall pay SATMEX all remaining and outstanding amounts so far the contracted Service’s termination date, plus collection costs and interests accrued. Additionally, SATMEX shall be entitled to retain the guarantee deposit described on Clause Tenth as deduction against such amount.

 

FIFTEENTH. Limitation of Liability. Except for the provisions of Clause Sixth, SATMEX shall not be liable for the warranties of the Service, including without limitation quality, suitability for any purpose or use, merchantability, non-infringement, title, course of dealing or usage of trade, are expressly disclaimed by SATMEX.

 

Neither Party shall be liable before the other Party for losses and/or damages due to the occurrence of a Force Majeure Event.

 

SATMEX shall not be responsible, under Mexican or any other country’s law, for losses or consequential damages suffered by the CLIENT or any third party.

 

SATMEX’s sole obligation before CLIENT is limited to those provided in Clauses Sixth (Interruption Credits) and Thirteenth (Early Termination).

 

SIXTEENTH. Indemnification. For purposes of this Clause and Clause Fifteenth, the term SATMEX includes any affiliate, subsidiary, and any director, officer, employee or agent of SATMEX or of its affiliates or subsidiaries.

 

CLIENT shall be liable for, and shall indemnify and hold SATMEX harmless against , any claim, action, or complaint of any third party before any authority in connection to the Services provided hereunder or any Service Order, due to any act attributable to the CLIENT and/or its final users, , and shall pay SATMEX all costs, expenses, losses, damages, and legal fees, for any concept, in connection to the provision of Services, including but not limited to, loss of profits or income, loss of distribution rights, property damages, expenses, injuries or death, no matter its cause, service interruptions, satellite or equipment anomalies or failures; unavailability, delay or interruption of the telecommunication services , as well as caused by:

 

(i) Any omission, negligence, or breach of CLIENT to this Agreement; (ii) CLIENT’s contravention of any applicable laws, rules, and regulations with regards to this Agreement and/or the Earth Stations; (iii) Any infringement by the CLIENT of any patent, copyright, trade secret or other industrial or intellectual property rights whatsoever of any other person, including using any equipment and/or systems of the CLIENT or its own customers, in connection to the Services, (v) any kind of warranty or representation that CLIENT and/or its final customers may make to a third party in connection to the Service, and (vi) claims submitted by any employee, client, contractor or agent of the CLIENT or any third party claiming any right derived from this Agreement and/or the relationship between the CLIENT and such third party.

 

SEVENTEENTH. Force Majeure. Neither Party shall be liable for any breach or delay to comply with its obligations under this Agreement, Service Orders and/or Exhibits, due to any Force Majeure Event, understanding by Force Majeure Event any event beyond the control of the Parties, that implies lack of fault and consequently of liability or any event beyond the Parties’ willing and their control, exceeding their ability to respond and being impossible to avoid, including direct or indirect acts of authority that prevent the Parties to comply with their obligations hereunder.

 

Service’s interruption due to a permanent failure of the satellite is considered a Force Majeure Event.

 

If the Services are interrupted in whole or in part due to a Force Majeure Event, CLIENT shall not pay the Service during the existence of such Force Majeure Event; provided, however, that CLIENT shall remain liable for any outstanding payment obligation originated before the occurrence of the Force Majeure Event and, SATMEX will apply in the following invoice the debt amounts against the proportional interrupted time for the Service affected.

 

If due to a Force Majeure Event, SATMEX determines that restoration of the Service(s) within 60 continuous calendar day period is not reasonably achievable, either Party may terminate this Agreement and/or a Service without any liability whatsoever on its part and without further judicial declaration. For such effects the Parties agree to specifically consider if SATMEX is

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

unable to restore the Service in the period mentioned in this paragraph.

 

EIGHTEENTH.  Notices.  All notices to be given in connection to this Agreement must be in writing either: (i) personally with the corresponding acknowledgment of receipt; (ii) by courier or registered mail with acknowledgment of receipt of the persons mentioned in this Agreement; or (iii) by any electronic mean with acknowledgement of receipt, and shall contain the contact details established in this Agreement.

 

Each Party will notify the other in writing of any modification in its relevant contact information, within the following 5 business days of such change.

 

NINETEENTH. Licenses and Permits. The CLIENT acknowledges and agrees that SATMEX shall only provide the Service in the countries where SATMEX has obtained the corresponding permits and/or licenses to operate.

 

CLIENT shall use and require its final users to use any Service provided under this Agreement in compliance with any and all applicable laws of the territory in which CLIENT and/or any of its finals users use the same.

 

CLIENT shall be responsible for obtaining and maintaining all licenses, authorizations and permissions, to be issued by the corresponding regulatory entities, as well as for complying with the applicable laws to operate and use the Service where its Earth Stations are located.

 

In case CLIENT uses the Service within Mexican territory, it represents and warrants that it complies with the provisions of the Federal Telecommunications Law, particularly those set forth in article 11, section II or article 31 section II.

 

If CLIENT wishes to use the Services or part of them within Brazilian or Argentinean territories, CLIENT accepts and acknowledges that shall give SATMEX prior written notice with no less than 60 calendar days, to inform the procedure that must be followed by both Parties; once any and all procedures have been fulfilled, the satellite Service may be provided in such countries.

 

In case any authority imposes any fine or penalty to SATMEX due to any breach of the CLIENT, CLIENT shall immediately reimburse SATMEX such fine or penalty, including administrative and legal fees, in which SATMEX may incur.

 

TWENTIETH. Confidentiality. Each Party will use reasonable care to maintain the security and confidentiality of all information and documentation exchanged between them in connection with this Agreement and/or the Service (“Confidential Information”), during the term of this Agreement plus 5 additional years, except: (i) if Confidential Information is considered as public knowledge; (ii) in case Confidential Information is required to be disclosed by any competent authority and/or to comply with any law or legislation, and (iii) Confidential Information becomes available to the public domain.

 

The Parties may disclose Confidential Information only with the prior written consent of the other Party. Notwithstanding the foregoing, CLIENT authorizes SATMEX to disclose the Confidential Information in case of: (i) compliance with any legal requirement, (ii) a change of control or financial restructure, (iii) any legal or financial audit process, or (iv) notify a third party that CLIENT is SATMEX’s customer.

 

TWENTY FIRST. Privacy Notice. According to the Federal Law on the Protection of Personal Data held by Private Individuals and its regulations, SATMEX shall be responsible for gathering the personal data of the CLIENT and/or of those individuals representing the CLIENT (which, for purposes of this clause, are considered as the CLIENT), as well as for the use given to them and their protection (“Personal Information”).

 

The Parties agree that the Personal Information shall be used for: (i) identify the contact; (ii) provide the services contracted and related activities; (iii) inform about new services related to those contracted; (iv) comply with SATMEX’s obligations; (v) monitor and assess the services contracted, and (vi) for mail, electronic or telephonic contact for purposes of sharing news about the services contracted or new ones.

 

Personal information may be transferred and treated within and outside the country, to third parties. Accordingly, the Personal Information may be shared with affiliates of SATMEX and third parties, both in Mexico and abroad. CLIENT agrees that the Personal Information may be transferred for the purposes set forth in this clause

 

CLIENT is entitled to know the Personal Information gathered and rectify it. The parties agree that all requests will be subject to the privacy policy of SATMEX, posted on the website www.satmex.com, which establishes the requirements and applicable terms in each case. The parties agree that SATMEX may change at any time, at its own judgment, this privacy policy, without prior notice. Any amendment to this policy shall be published on the website mentioned above.

 

SATMEX agrees that the Personal Information will be protected under strict security, administrative, technical and physical measures, which have been implemented in order to protect such Personal Information against damage, loss, alteration, destruction or use, access or unauthorized treatment.

 

TWENTY SECOND. Assignment. SATMEX may assign this Agreement to any third party, prior written approval of the CLIENT, which shall not be unreasonably withheld.

 

TWENTY THIRD. Representations and Warranties.

Each Party represents and warrants that as of the execution date of this Agreement and any Service Order: (a) it has the right, power and authority to enter into and fully perform its obligations thereunder; (b) the execution and performance of this Agreement has been duly authorized by its corporate bodies; (c) this Agreement and any Service Order constitute legal, valid, and binding obligations; and (d) the fulfillment of its obligations will not constitute a material violation of any applicable law.

 

TWENTY FOURTH. Governing Law and Jurisdiction. If a dispute arises with respect to the compliance, content, construction and scope of the obligations contained in this agreement, the Parties agree to expressly submit to the laws in force in the Federal District and to the venue of the Federal Courts of Mexico City, waiving the jurisdiction that might correspond to them due to their present or future domicile or due to any other cause.

 

This agreement is executed in duplicate, keeping each Party one original counterpart, on January 19, 2014.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

	
The CLIENT
    	
 
    	
SATMEX
    
	
AMÉRICA MÓVIL PERÚ,   S.A.C.
    	
 
    	
SATÉLITES MEXICANOS,   S.A. DE C.V.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
[***]
    	
 
    	
[***]
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
[***]
    	
 
    	
 
    

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

EXHIBIT 1

SATELLITE CAPACITY SERVICE ORDER

PERMANENT SERVICE AND/OR INTEGRAL SERVICE

NO. 006/14

 

1.              CLIENT’S INFORMATION

	
Name
    	
AMÉRICA MÓVIL PERÚ, S.A.C.
    	
 
    	
 
    
	
Address
    	
[***]
    	
City
    	
[***]
    
	
State
    	
[***]
    	
Country
    	
[***]
    

 

2.              CLIENT’S CONTACT

NOTICES

	
 
    	
 
    	
 
    	
 
    
	
Name
    	
[***]
    	
Title
    	
[***]
    
	
Telephone
    	
[***]
    	
E-mail
    	
[***]
    
						

 

3.              SATELLITE SERVICE DETAILS

	
Category of Service Contracted
    	
Permanent Service  x   /   Integral Service
    
	
Bandwidth contracted (MHz):
    	
[***]
    
	
Satellite:
    	
[***]
    
	
Region:
    	
[***]
    
	
Band:
    	
[***]
    
	
Service   Commencement Date:
    	
[***]
    
	
Service   Termination Date:
    	
[***]
    

 

PAYMENT

 

4.              INVOICING

	
Invoicing   Period
    	
 
    	
[***]
    	
 
    
	
Monthly   fee per MHz:
    	
 
    	
[***]
    	
 
    
	
Monthly amount for the Service contracted:
    	
 
    	
[***]
    	
 
    
	
Total USD:       
    	
 
    	
[***]
    	
 
    

 

CLIENT recognizes that has satisfactorily conducted Access tests to the satellite in accordance to the operation parameters assigned by SATMEX.

 

5.                 CATEGORY OF SERVICE:                                                Preemptible Service o              Non Preemptible Service o

 

“Non-Preemptible Service” shall mean a service whose transponder has back-up amplifiers, subject to availability and is not interrupted to give priority to a protected service, but does not possess, in the event of interruption, with immediate protection in another transponder or satellite.

 

“Preemptible Service” is the one subject to be required at any time as it is designed to immediately protect a protected service and even a non-preemptible service, as these are considered priorities. In normal operation, the transponder has back-up amplifiers.

 

6.                 SPECIAL PROVISIONS:

 

6.1          PAYMENT.

 

The parties agree to amend the Third Clause of the Agreement to read, as of the Execution date of this Service Order, as follows:

 

“CLIENT shall pay no later than the 30th day of the month in which the Service is to be provided. If the due date is a non business day, CLIENT shall be entitled to pay the following business day. If CLIENT fails to pay one monthly statement, SATMEX is entitled to suspend the Service if, after a written notice from SATMEX, CLIENT does not cure its default within a 5 calendar day period; if CLIENT fails to cure its default, SATMEX is entitled to rescind this Agreement without the need of judicial intervention in accordance with Clause Fourteenth herein. CLIENT agrees and acknowledges that to reactivate the Service; it shall pay to SATMEX all outstanding balances and the past due interests accrued”.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

6.2          GUARANTEE.

 

The Parties agree that the Guarantee Deposit set forth in Clause Tenth of the Agreement shall not be applicable for this Satellite Capacity Service Order, reason why, the CLIENT shall not comply with such obligation during the term of this Satellite Capacity Service Order.

 

6.3                                AMENDMENT TO CLAUSE SIXTEENTH.- The Parties agree to amend second paragraph of Clause Sixteenth of the Agreement to read, as of the Execution date of this Service Order, as follows:

 

“CLIENT shall be sole liable for, and shall indemnify and hold SATMEX harmless against , any claim, action, or complaint of any third party against SATMEX before any authority in connection to the Services provided hereunder or any Service Order, due to any act attributable to the CLIENT and/or its final users,  and shall pay SATMEX all costs, expenses, losses, damages, and legal fees, for any concept, arising from any complaint and/or claim submitted by third parties against it in connection to the provision of services, including but not limited to, [***], expenses, injuries or death, no matter its cause, service interruptions, satellite or equipment anomalies or failures; unavailability, delay or interruption of the telecommunication services caused by the abovementioned , as well as caused by: (i) Any omission, negligence, or breach of CLIENT to this Agreement; (ii) CLIENT’s contravention of any applicable laws, rules, and regulations with regards to this Agreement and/or the Earth Stations; (iii) Any infringement by the CLIENT of any patent, copyright, trade secret or other industrial or intellectual property rights whatsoever of any other person, including using any equipment and/or systems of the CLIENT , affiliates or its own customers, in connection to the Services, (v) any kind of warranty that CLIENT and/or its final customers may make to a third party in connection to the Service, and (vi) claims submitted by any employee, client, contractor or agent of the CLIENT or any third party claiming any right derived from this Agreement and/or the relationship between the CLIENT and such third party.”

 

6.4          [***]

 

6.5          PARTIAL MIGRATION TO SATMEX 5.

 

CLIENT hereby acknowledges that the [***] satellite is operating in inclined orbit and agrees to migrate the [***], in the terms and conditions established in this Satellite Capacity Service Order. Once this capacity has been migrated, the price referred to in paragraph 4 above for this satellite shall apply.

 

CLIENT will have [***] to migrate the [***]. If CLIENT does not complete migration within that period, it shall give SATMEX a [***] days notice in advance to confirm CLIENT availability on [***] satellite. If there is availability in the [***] satellite, service will continue for the capacity pending to migrate to such satellite at the price established in paragraph 4 above for [***].

 

6.6          [***]

 

6.7          [***]

 

6.8          [***]

 

6.9          [***]

 

This Satellite Capacity Service Order NO. 006/14 is executed in duplicate, keeping each Party one original counterpart, on January 18, 2014.

 

	
The CLIENT
    	
 
    	
SATMEX
    
	
AMÉRICA MÓVIL PERÚ,   S.A.C.
    	
 
    	
SATÉLITES MEXICANOS,   S.A. DE C.V.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
[***]
    	
 
    	
[***]
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
[***]
    	
 
    	
 
    

 

8Exhibit 4.57

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

Signature version

Oct. 25, 2013

 

PURCHASE AND SALE CONTRACT OF PARTNERSHIP SHARES (THE “CONTRACT”) HELD BY AND BETWEEN, SATELITES MEXICANOS, S.A. DE C.V. REPRESENTED HEREIN BY MR. PATRICIO E. NORTHLAND (“SATMEX”), HOLDSAT MEXICO, S.A.P.I. DE C.V., REPRESENTED HEREIN BY MR. ALEJANDRO SAINZ ORANTES (“HOLDSAT”) AND SMVS-ADMINISTRACION, S. DE R.L. DE C.V., REPRESENTED HEREIN BY MR. PATRICIO E. NORTHLAND (“SMVS”) (EACH OF THEM, EQUALLY, THE “SELLER” AND JOINTLY, THE “SELLERS”), AND AXESAT, S. A., REPRESENTED HEREIN BY MR. MAURICIO SEGOVIA OSPINA (“AXESAT”) AND INGUX, S.A., REPRESENTED HEREIN BY MR. MAURICIO SEGOVIA OSPINA (“INGUX”) (EACH OF THEM, EQUALLY, THE “BUYER” AND JOINTLY, THE “BUYERS”), AND ALSO, ENLACES INTEGRA, S. DE R. L. DE C. V., REPRESENTED HEREIN BY MR. VICTOR MANUEL FERNANDEZ MEILLON (“ENLACES”) (THEY BUYERS JOINTLY WITH THE SELLERS AND ENLACES, HEREINAFTER THE “PARTIES” AND ANY OF THEM INDIVIDUALLY, ONE “PARTY”) IN THE PRESENCE OF HPS CORPORATIVO, S. DE R. L. DE C.V., REPRESENTED HEREIN BY MR. VICTOR MANUEL FERNANDEZ MEILLON (“HPS”), UNDER THE FOLLOWING REPRESENTATIONS AND CLAUSES.

 

REPRESENTATIONS

 

A. SATMEX represents under oath, through its legal representative, that:

 

A.1. It is a legally incorporated trading company, existing as per the Mexican United States laws, as certified in public deed number 51,371 dated on June 26th, 1997, granted by Mr. Miguel Alessio Robles, Esq., Notary Public number 19 of Mexico City, whose first notarial certified copy was registered before the Public Registry of Commerce of Mexico City on July 1st, 1997, under commercial folio number 226,109.

 

A.2. In accordance with its corporate bylaws, it has full legal powers to hold this Contract and bind itself as per the terms provided herein.

 

A.3. On the date of signature of this Contract, it is the only and lawful owner, duly recorded in the corresponding Special Book of Partners, and it is legally the holder of 1 (one) Partnership Share of Enlaces capital stock, with a value of [***], from which: [***] correspond to variable stock, “A” series, and [***] correspond to fixed assets, [***].

 

A.4. SATMEX has not held any contract or agreement granting call options, underwriting options or other rights to any other person, for the acquisition of Partnership Shares or other kind of securities that may be converted into or referred to the Partnership Share held by SATMEX in Enlaces.

 

[Illegible signatures at the bottom and right-hand margin]

 

1

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

A.5. SATMEX’s Partnership Share in Enlaces, subject matter of this Contract, has been duly subscribed, paid and presented. On the Closing Date (as per the definition assigned below for such term), SATMEX’s Partnership Share in Enlaces shall be free from any encumbrances or ownership limitation.

 

A.6. It is its will to transfer to AXESAT, free form any encumbrances or ownership limitation, the Partnership Share of SATMEX in Enlaces, in exchange of the corresponding payment of the amount provided herein.

 

A.7. Except for the authorization stated in Clause Five of this Contract, it does not require any further permit or authorization, whether corporate, governmental or of any other nature, to hold and abide by the Contract herein, including, without being limited to, those of any creditor as per the Indenture dated on May 5th, 2011, from which is derived the Pledge Contract on the Partnership Share, entered into by SATMEX and Wells Fargo, National Association, on May 26th, 2011, and any amendment thereto, through which SATMEX pledged SATMEX’s Partnership Share in Enlaces (the “Pledge”).

 

A.8. Its legal representative holds enough powers and authority to enter this Contract into, as stated in public deed number 69,143, dated on October 16th, 2013, granted by Mr. Roberto Nuñez y Bandera, Esq., Notary Public number 1 of Mexico City. Such powers and authority have not been limited, modified or revoked in any way until the date on which this instrument is signed.

 

A.9. SATMEX’s representations detailed in the Contract herein are true upon the date of signature thereof and no information and/or documentation, that may influence AXESAT’s decision to acquire SATMEX’s Partnership Share in Enlaces, has been omitted by SATMEX, as SATMEX is aware of the fact that these representations are a decisive reason for AXESAT to purchase SATMEX’s Partnership Share in Enlaces.

 

A.10. The execution hereof does not violate, infringe or default in any other way: (a) any legal provisions and/or corporate bylaws of SATMEX; (b) any license, permit or authorization type granted to SATMEX; (c) any agreement or contract held by SATMEX; and (d) any third party’s right in relation to SATMEX. According to the hereinbefore, once signed by SATMEX, this Contract shall be valid, and once the Conditions Precedent (as such term is defined below) are updated, it shall be enforceable, and the execution of the Contract herein shall not mean the rescission or early termination of any legal actions or facts entered into by SATMEX.

 

A.11. It has the necessary and enough financial soundness to abide by the obligations derived from this Contract.

 

A.12. As far as it is known, derived from its performance as partner, whether direct or indirect, of Enlaces and HPS, respectively, and from the information to which it has had access because of the execution, with Enlaces, of the Contract for the Provision of Senior Management Services and Acknowledgement of Indebtedness, dated on December 27th, 2007 (and any amending agreement thereof) (the “Senior Management Contract”), those representations from Enlaces and HPS expressly stated in this Contract and its corresponding Attachments are right and true. SATMEX is aware of the fact that these

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

representations are a decisive reason for AXESAT to purchase SATMEX’s Partnership Share in Enlaces.

 

A.13. It is duly registered in the Federal Taxpayer Registry with tax identification number SME970626MK5.

 

B. HOLDSAT represents under oath, through its legal representative, that:

 

B.1. It is a legally incorporated trading company, existing as per the Mexican United States laws, as certified in public deed number 63,193 dated on December 20th, 2010, granted by Mr. Roberto Nuñez y Bandera, Esq., Notary Public number 1 of Mexico City, whose first notarial certified copy was registered before the Public Registry of Commerce of Mexico City on January 7th, 2011, under commercial folio number 430,976.

 

B.2. In accordance with its corporate bylaws, it has full legal powers to hold this Contract and bind itself as per the terms provided herein.

 

B.3. On the date of signature of this Contract, it is the only and lawful owner, duly recorded in the corresponding Special Book of Partners, and it is legally the holder of [***]representative Partnership Share of Enlaces’ capital stock, with a value of [***] corresponding to variable stock, [***] (the “Partnership Share of HOLDSAT in Enlaces”).

 

B.4. HOLDSAT has not held any contract or agreement granting call options, underwriting options or other rights to any other person, for the acquisition of the Partnership Share of HOLDSAT in Enlaces or other kind of securities that may be converted into or referred to the Partnership Share held by SATMEX in Enlaces or through which a derivative or synthetic financial operation may be documented on the Partnership Share of HOLDSAT in Enlaces.

 

B.5. HOLDSAT Partnership Share in Enlaces, subject matter of this Contract, has been duly subscribed, paid and presented. On the Closing Date, HOLDSAT’s Partnership Share in Enlaces shall be free from any encumbrances or ownership limitation.

 

B.6. It is its will to transfer to INGUX, free form any encumbrances or ownership limitation, the Partnership Share of HOLDSAT in Enlaces, in exchange of the corresponding payment of the amount provided herein.

 

B.7. Except for the authorization stated in Clause Five of this Contract, for transferring the Partnership Share of HOLDSAT in Enlaces, it does not require any further authorization from its Shareholders’ Meeting or from its Management Board.

 

B.8. Its legal representative holds enough powers and authority to enter this Contract into, as stated in public deed number 69,147, dated on October 16th, 2013, granted by Mr. Roberto Nuñez y Bandera, Esq., Notary Public number 1 of Mexico City. Such powers and authority have not been limited, modified or revoked in any way until the date on which this instrument is signed.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

B.9. The execution hereof does not violate, infringe or default in any other way: (a) any legal provisions and/or corporate bylaws of HOLDSAT; (b) any license, permit or authorization type granted to HOLDSAT; (c) any agreement or contract held by HOLDSAT; and (d) any third party’s right in relation to HOLDSAT. According to the hereinbefore, once signed by HOLDSAT, this Contract shall be valid, and once the Conditions Precedent are updated, it shall be enforceable, and the execution of the Contract herein shall not mean the rescission or early termination of any legal actions or facts entered into by HOLDSAT.

 

B.10. It has the necessary and enough financial soundness to abide by the obligations derived from this Contract.

 

B.11. As far as it is known, derived from its performance as partner, whether direct or indirect, of Enlaces, those representations from Enlaces expressly stated in this Contract and its corresponding Attachments are right and true. HOLDSAT is aware of the fact that these representations are a decisive reason for INGUX to purchase HOLDSAT’s Partnership Share in Enlaces.

 

B.12. It is duly registered in the Federal Taxpayer Registry with tax identification number HME101220AU2.

 

C. SMVS represents under oath, through its legal representative, that:

 

C.1. It is a legally incorporated trading company, existing as per the Mexican United States laws, as certified in public deed number 36,579, dated on June 30th, 2006, granted by Mr. Erik Namur Campesino, Esq., Notary Public number 94 of Mexico City, whose first notarial certified copy was registered before the Public Registry of Commerce of Mexico City on October 19th, 2006, under commercial folio number 355,456.

 

C.2. In accordance with its corporate bylaws, it has full legal powers to hold this Contract and bind itself as per the terms provided herein.

 

C.3. On the date of signature of this Contract, it is the only and lawful owner, duly recorded in the corresponding Special Book of Partners, and it is legally the holder of [***] representative Partnership Share of HPS capital stock, with a value [***] corresponding to fixed assets (the “Partnership Share of SMVS in HPS”).

 

C.4. SMVS has not held any contract or agreement granting call options, underwriting options or other rights to any other person, for the acquisition of the Partnership Share of SMVS in HPS.

 

C.5. SMVS’s Partnership Share in HPS, subject matter of this Contract, is free from any encumbrances or ownership limitation and has been duly subscribed, paid and presented.

 

C.6. It is its will to transfer to AXESAT, free form any encumbrances or ownership limitation, the Partnership Share of SMVS in HPS, in exchange of the corresponding payment of the amount provided herein.

 

4

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

C.7. For the transfer of SMVS’s Partnership Share in HPS, no authorization is required from its Shareholders’ Meeting or Management Board.

 

C.8. Its legal representative holds enough powers and authority to enter this Contract into, as stated in public deed number 42,225, dated on July 16th, 2008, granted by Mr. Erik Namur Campesino, Esq., Notary Public number 94 of Mexico City, whose first notarial certified copy was registered before the Public Registry of Commerce of Mexico City on August 13th, 2008, under commercial folio number 355,456. Such powers and authority have not been limited, modified or revoked in any way until the date on which this instrument is signed.

 

C.9. The execution hereof does not violate, infringe or default in any other way: (a) any legal provisions and/or corporate bylaws of SMVS; (b) any license, permit or authorization type granted to SMVS; (c) any agreement or contract held by SMVS; and (d) any third party’s right in relation to SMVS. According to the hereinbefore, once signed by SMVS, this Contract shall be valid, and once the Conditions Precedent are updated, it shall be enforceable, and the execution of the Contract herein shall not mean the rescission or early termination of any legal actions or facts entered into by SMVS.

 

C.10. It has the necessary and enough financial soundness to abide by the obligations derived from this Contract.

 

C.11. As far as it is known, derived from its performance as partner, whether direct or indirect, of HPS, those representations from HPS expressly stated in this Contract and its corresponding Attachments are right and true. SMVS is aware of the fact that these representations are a decisive reason for AXESAT to purchase SMVS’s Partnership Share in HPS.

 

C.12. It is duly registered in the Federal Taxpayer Registry with tax identification number SMV060703PB2.

 

D. AXESAT represents under oath, through its legal representative, that:

 

D.1. It is a legally incorporated trading company, existing as per the Republic of Colombia laws, as certified in public deed number 732, dated on April 1st, 2003 , granted by Notary Public number 41 of Circulo Bogota, Capital District.

 

D.2. In accordance with its corporate bylaws, it has full legal powers to hold this Contract and bind itself as per the terms provided herein.

 

D.3. Its legal representative holds enough powers and authority to enter this Contract into, as stated in public deed number 732, dated on April 1st, 2003, granted by Notary Public number 41 of Circulo de Bogota, Capital District, and through the Certificate of existence and legal representation or registration of Documents R039280224, dated on September 2nd, 2013, issued by the Commerce Chamber of Bogota, which until the date of signature of this instrument have not been limited, modified or revoked in any way.

 

5

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

D.4 Its tax identification number or equivalent is number RUT 830119051-1 issued by the Regional Tax Department of Bogota, Ordinary Regime of the National Tax and Customs Department.

 

D.5. It does not require any partnership or corporate approval to enter into, close and fulfill this Contract.

 

D.6. The execution hereof does not violate, infringe or default in any other way: (a) any legal provisions and/or corporate bylaws of AXESAT; (b) any license, permit or authorization type granted to AXESAT; (c) any agreement or contract held by AXESAT; and (d) any third party’s right in relation to AXESAT. According to the hereinbefore, once signed by AXESAT, this Contract shall be valid, and once the Conditions Precedent are updated, it shall be enforceable, and the execution of the Contract herein shall not mean the rescission or early termination of any legal actions or facts entered into by AXESAT.

 

D.7. It has the necessary and enough financial soundness to abide by the obligations derived from this Contract.

 

D.8. It is its will to acquire, free form any encumbrances or ownership limitation, the Partnership Share of SATMEX in Enlaces and the Partnership Share of SMVS in HPS, as per the covenants provided herein.

 

E. INGUX represents under oath, through its legal representative, that:

 

E.1. It is a legally incorporated trading company, existing as per the Republic of Panama laws, as certified in Panama Public Registry Certification through sheet 809478, document No. 2432603, since July 25th, 2013.

 

E.2. In accordance with its corporate bylaws, it has full legal powers to hold this Contract and bind itself as per the terms provided herein.

 

E.3. Its legal representative for this action holds enough powers and authority to enter this Contract into, as stated in public deed number 5,233, dated on July 25th, 2013, granted by Mr. Guillermo Collado Ordoñez, Notary Public number 11 of Circuito de Panama, and until the date of signature of this instrument, those powers have not been limited, modified or revoked in any way.

 

E.4 Its tax identification number or equivalent is number NIT          issued by the General Income Department.

 

E.5. It does not require any partnership or corporate approval to enter into, close and fulfill this Contract.

 

E.6. The execution hereof does not violate, infringe or default in any other way: (a) any legal provisions and/or corporate bylaws of INGUX; (b) any license, permit or authorization type granted to INGUX; (c) any agreement or contract held by INGUX; and (d) any third party’s right in relation to INGUX. According to the hereinbefore, once signed by INGUX, this Contract shall be valid, and once the Conditions Precedent are updated, it shall be

 

6

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

enforceable, and the execution of the Contract herein shall not mean the rescission or early termination of any legal actions or facts entered into by INGUX.

 

E.7. It has the necessary and enough financial soundness to abide by the obligations derived from this Contract.

 

E.8. It is its will to acquire, free form any encumbrances or ownership limitation, the Partnership Share of HOLDSAT in Enlaces as per the covenants provided herein.

 

F. Enlaces represents under oath, through its legal representative, that:

 

F.1. It is a legally incorporated trading company, existing as per the Mexican United States laws, as certified in public deed number 20,345 dated on May 29th, 1998, granted by Mr. Jose Maria Morera Gonzalez, Esq., Notary Public number 102 of Mexico City, whose first notarial certified copy was registered before the Public Registry of Commerce of Mexico City on June 22nd, 1998, under commercial folio number 235,993.

 

F.2. In accordance with its corporate bylaws, it has full legal powers to hold this Contract and bound itself as per the terms provided herein.

 

F.3. Except for the authorization stated in Clause Five of this Contract, no further authorization is required for transferring the Partnership Shares issued by Enlaces.

 

F.4. According to its Special Book of Partners, SATMEX is the lawful owner and holder of the Partnership Share of SATMEX in Enlaces, and HOLDSAT is the lawful owner and holder of the Partnership Share of HOLDSAT in Enlaces.

 

F.5. It is the holder of a Concession to install, operate and use a public telecommunications network granted by the Department of Communication and Transportation on January 20th, 2000 (the “Concession”) and there are no material defaults on the obligations provided in the Concession.

 

F.6. Its legal representative for this action holds enough powers and authority to enter this Contract into, as stated in public deed number 28,468, dated on June 12th, 2012, granted by Mr. Fernando Perez Arredondo, Esq., Notary Public number 12 of Mexico City. Such powers and authority have not been limited, modified or revoked in any way until the date on which this instrument is signed.

 

F.7. Attachment “A” herein includes a description of the lease contract project to be held by and between Enlaces and SATMEX, including the location of the good.

 

F.8. Attachment “B” includes a list of every material asset property of Enlaces, shown in accounting sub-ledgers, or in its legal ownership, necessary for the operation of Enlaces business, including, without being limited to, fixed assets, intangible assets, furnishings as well as equipment, machinery and vehicles, and any other material personal property (hereinafter, the “Assets”).

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

F.9. Attachment “C” herein includes a list of every current general and special powers (including, without being limited to, any trading mandate and/or commission), granted by Enlaces to the date of signature of the Contract herein.

 

F.10. Except for what is set forth in Attachment “D”, up to the date of signature hereof, Enlaces has not been notified on the existence of lawsuits, claims, complaints, trials, subpoenas, disputes and/or judicial mandates, administrative or arbitration proceedings, pending orders, decrees or provisions issued by any Authority, that may be material, against Enlaces and/or involving Enlaces.

 

F.11. Attachment “E” herein includes the only professional services provision contract held with HPS or any other company, and Enlaces does not have its own staff nor did it enter into a collective bargaining agreement.

 

F.12. With regard to Management, Financial Statements and Accounting Ledgers:

 

i. Attachment “F” herein (hereinafter, the “Financial Statements”), substantially and reasonably reflects the current financial and accounting situation of Enlaces, as well as the results from the operations and the cash flow thereof, up to the date of their issuance, and they were prepared in accordance with financial information standards applied on a consistent basis.

 

ii. Except for what is provided in Attachment “G”, as from January 1st, 2013 and up to the date of signature of this Contract, Enlaces has not incurred in any action that has materially modified its Financial Statements in an adverse or negative way and/or in a way different from the ordinary course of business of Enlaces, based upon former practices.

 

F.13. Attachment “H” herein lists commercial name brands, software, Internet domain registers, and any further rights of Intellectual Property (hereinafter, the “Intellectual Property”).

 

F.14. Up to the date of this Contract, it has fulfilled its relevant obligations, derived from the contracts listed in Attachment “I” held by Enlaces and which are not included in any other attachments hereto.

 

F.15. With regard to insurance and bonds, Attachment “J” herein includes every bond, guarantee, security interest or personal guarantee that secure own or third-party obligations current up to the date, and any premiums or other payments enforceable under the aforementioned insurance policies have been paid in full and remain in force.

 

F.16. Up to the date of signature of this Contract, Attachment “K” includes a list of every in force bank account opened by Enlaces.

 

G. HPS represents under oath, through its legal representative, that:

 

G.1. It is a legally incorporated trading company, existing as per the Mexican United States laws, as certified in public deed number 35,956 dated on December 20th, 2007, granted by

 

8

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

Mr. Jesus Orlando Padilla Becerra, Esq., Notary Public number 30 of Mexico City, whose first notarial certified copy was registered before the Public Registry of Commerce of Mexico City on October 2nd, 2008, under commercial folio number 355,456.

 

G.2. In accordance with its corporate bylaws, it has full legal powers to hold this Contract and bind itself as per the terms provided herein.

 

G.3. Except for the authorization that corresponds to Enlaces as owner and holder of one Partnership Share of Enlaces in HPS, which represents the majority of the capital stock of the latter, no further authorization is required from the Shareholders’ Meeting or its Management Board for transferring the Partnership Share of SMVS in HPS.

 

G.4. According to its Special Book of Partners, SMVS is the lawful owner and holder of one Partnership Share of SMVS in HPS, and Enlaces is the lawful owner and holder of 1 (one) representative Partnership Share of HPS’s capital stock with a value of [***], corresponding to fixed assets (the “Partnership Share of Enlaces in HPS”).

 

G.5. HPS has not held any contract or agreement granting call options, underwriting options or other rights to any other person, for the acquisition of Partnership Shares or other kind of securities that may be converted into or referred to the Partnership Share of SMVS in HPS.

 

G.6. Its legal representative for this action holds enough powers and authority to enter this Contract into, as stated in public deed number 28,862, dated on August 27th, 2012, granted by Mr. Fernando Perez Arredondo, Esq., Notary Public number 12 of Mexico City. Such powers and authority have not been limited, modified or revoked in any way until the date on which this instrument is signed.

 

G.7. Attachment “A1” includes a list of every material asset property of HPS, shown in accounting sub-ledgers, necessary for the operation of HPS’s business, including, without being limited to, intangible assets and personal property (hereinafter, “HPS’s Assets”).

 

G.8. Attachment “B1” herein includes a list of every current general and special powers (including, without being limited to, any trading mandate and/or commission), granted by HPS to the date of signature of the Contract herein.

 

G.9. Except for what is set forth in Attachment “C1”, up to the date of signature hereof, it has not been notified on the existence of lawsuits, claims, complaints, trials, subpoenas, disputes and/or judicial mandates, administrative or arbitration proceedings, pending orders, decrees or provisions issued by any Authority, that may be material, against HPS and/or involving HPS.

 

G.10. It is not aware of any strike or notification of strike, labor conflicts, work stoppage or facilities blockage in HPS, derived from workers’  or any other person’s protests, and up to the date there are no material causes for the occurrence of any such situations.

 

G.11. No employer’s subrogation has been initiated and it is not aware of the possibility that any employer’s subrogation may be initiated.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

G.12. HPS is up to date with regard to the fulfillment of every material obligation related to labor matters and it has not been notified on any material breach to the legislation applicable to it.

 

G.13. With regard to Management, Financial Statements and Accounting Ledgers:

 

i. Attachment “D1” herein (hereinafter, “HPS’s Financial Statements”), substantially and reasonably reflects the current financial and accounting situation of HPS, as well as the results from the operations and the cash flow thereof, up to the date of their issuance, and they were prepared in accordance with financial information standards applied on a consistent basis.

 

ii. Except for what is provided in “Attachment E1”, as from January 1st, 2013 and up to the date of signature of this Contract, HPS has not incurred in any action that has materially modified its Financial Statements in an adverse or negative way, and/or in a way different from the ordinary course of business of HPS, based upon former practices.

 

H. The PARTIES and HPS jointly represent that:

 

H.1. They reciprocally acknowledge the personality they hold in the Contract herein.

 

H.2. There is no error, deceit, malice, violence or any other defect of consent that may have an impact on its validity; thus, they agree to bind themselves as per the provisions of the following

 

CLAUSES

 

Clause 1. Definitions. Capitalized terms or terms with initial capital letter used along this Contract and its corresponding attachments, as applicable, shall bear the meaning granted herein and in the corresponding attachments, and they shall be used indistinctly in singular or plural form.

 

Clause 2. Purpose of the Contract. Subject to the compliance with the Conditions Precedent set forth in the Contract herein and as per the covenants provided therein, up to the Closing Date, the Sellers sell and transfer to the Buyers, in exchange of the payment of the amount established in this Contract, and the Buyers buy and acquire for themselves, de facto and de jure, free from any encumbrance and ownership limitation, SATMEX’s Partnership Share in Enlaces, HOLDSAT’s Partnership Share in Enlaces and SMVS’s Partnership Share in HPS (hereinafter, jointly, the “Partnership Shares”), as follows:

 

·                  SATMEX transfers to AXESAT, SATMEX’s Partnership Share in Enlaces

·                  HOLDSAT transfers to INGUX, HOLDSAT’s Partnership Share in Enlaces

·                  SMVS transfers to AXESAT, SMVS’s Partnership Share in HPS

 

Clause 3. Price. The Buyers bind themselves to pay to the Sellers [***] (the “Price”).

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

The Price shall be paid to the Sellers in the way and as per the terms agreed in writing by the Sellers and the Buyers.

 

In order to guarantee the Price payment, AXESAT herein subscribes and delivers a promissory note, [***].

 

Clause 4. Additional Agreements.

 

4.1 Enlaces and HPS hereby bind themselves to the existence (a) on the Closing Date or (b) [***], whatever may occur first, of a joint and accrued equity of [***], which shall be available as from such date. In case of letter (b) of the paragraph herein, such amount shall only be used for the ordinary course of business of Enlaces and HPS. The cash balance to the Closing Date shall remain in Enlaces and HPS, as applicable.

 

For the purposes of the above, ordinary course of business shall be understood as the working capital required for the efficient operation of Enlaces and HPS, as may correspond. The hereinbefore includes, without being limited to, the payment of wedges, payments to suppliers of any input (including the satellite segment), payment of services (water, energy, telephone), taxes or any other payment required in general by the authorities, as well as other activities required for the operation of Enlaces’ and HPS’s business, as per former practices.

 

4.2 As from the Closing Date, Enlaces (or its assignees) does accept, acknowledge and bind itself to hire from SATMEX (or its assignees) during the following [***], any additional satellite capacity necessary in accordance with its requirements and which Enlace will not acquire or receive by means of the satellite capacity hired by AXESAT from SATMEX, as follows:

 

(a) Enlaces shall notify in writing to SATMEX, at least [***] in advance to the date when the provision of the satellite capacity is required to initiate, on the best proposal received from any third party with regard to the capacity required. Such proposal shall include at least the price quotation, the satellite that shall provide the capacity and the contracting term (the “Notification”).

 

(b) SATMEX shall have up to [***] as from the reception of the Notification to confirm if it is willing to provide the satellite capacity in tis satellites and equal the total cost for the satellite capacity, as stated in the corresponding Notification (the “Acceptance”). Once SATMEX notifies Enlaces in writing on the Acceptance, any covenants specified in the Acceptance notification shall be understood as agreed and shall become binding for both, Enlaces and SATMEX. Should SATMEX fail to grant a confirmation notification within the [***] tenure mentioned before, it shall be understood that SATMEX will not equal the total cost for the satellite capacity of the corresponding Notification; thus, it shall have no obligation to provide the satellite capacity as per such Notification, and Enlaces may be able to hire such satellite capacity from any third party without any further responsibility.

 

Clause 5. Conditions Precedent. The Parties do hereby agree on and bind themselves to the total execution of the effects herein so that the Conditions Precedent are fulfilled as follows (the “Conditions Precedent”):

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

(a) The operation shall be approved and not controverted by the Federal Telecommunications Institute (“IFETEL”) (i) with regard to the Concession related to the disposal of partnership shares, and (ii) with regard to the Federal Economic Competition Act (or any other applicable law), as it may correspond.

 

(b) The Sellers shall be granted in writing with the necessary partnership and corporate authorization, if applicable.

 

Clause 6. Other approvals. As from the date of signature of this instrument, the Parties shall perform any necessary actions to be granted with a favorable resolution of the Federal Communications Commission of the United States of America or of any other authority that may succeed or substitute such Commission on this power, as may be required, if applicable. Obtaining any such approval shall not constitute a Condition Precedent.

 

Clause 7. Confirmations. The Parties do hereby confirm that up to the date of signature of this Contract every representation made by each Party and by HPS in the Representations chapter is valid, correct and enforceable, and that the content therein is a decisive reason for the Parties to execute the operation referred to in this instrument.

 

Clause 8. Closing Date. The enforceability, i.e., the closing and fulfillment of this Contract and, consequently, the rights and obligations provided herein, shall be performed within [***] following the day when the Parties, through written notifications provided as set forth in this Contract, expressly confirm that every previously provided Conditions Precedent have been fulfilled (the “Closing Date”).

 

The Contract closing shall be carried out on the Closing Date at [***].

 

The parties do hereby agree that, should the Conditions Precedent set forth in the Contract herein fail to be complied within a term of [***] as from the day following to the date of signature thereupon, any Party may terminate this Contract with a written notification issued within the following [***]. Any confidentiality obligations shall prevail as agreed in the Contract.

 

The Parties may, in any given moment, renegotiate any posterior date for the fulfillment of such Conditions Precedent.

 

8.1 Obligations posterior to the Signature. The Parties agree on carrying out any reasonably necessary actions to perform or instruct the performance of every necessary and convenient action addressed to fulfill the purchase and sale operation provided in the Contract herein, including the preparation, presentation and answering, as soon as feasible, of every documentation corresponding to permits, applications, registrations, notifications, requests, statements, requirements of additional information and other documents necessary to be presented before any authority or person.

 

8.2 Rescission. The Sellers and/or the Buyers may rescind this Contract without any further need to present a judicial statement as determined in the following instances:

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

(a) By the Sellers in the event that the Buyers, individually or jointly, have incurred in an omission, deceit, concealment or any non-fulfillment, inaccurate information or misrepresentation of any of its representations, confirmations and further obligations contained herein, provided that any such non-fulfillment, inaccurate information or misrepresentation, if amendable, had not been amended by the Buyers within a term of [***] as from the date of reception of the notification sent thereto by the Sellers.

 

The hereinbefore is applicable with the understanding that in case of lack of payment of any enforceable obligation, default interests shall result at a rate of [***], as from the date when the corresponding non-fulfillment is notified for being written-off, if applicable.

 

(b)  By the Buyers in the event that the Sellers, individually or jointly, have incurred in an omission, deceit, concealment or any non-fulfillment, inaccurate information or misrepresentation of any of its representations, confirmations and further obligations contained herein, provided that any such non-fulfillment, inaccurate information or misrepresentation, if amendable, had not been amended by the Sellers within a term of [***] as from the date of reception of the notification sent thereto by the Buyers.

 

The hereinbefore is applicable with the understanding that in case of lack of payment of any enforceable obligation, default interests shall result at a rate of [***], as from the date when the corresponding non-fulfillment is notified for being written-off, if applicable.

 

Clause 9. Indemnification.

 

9.1 Indemnification by SATMEX. SATMEX (or its assignees) agrees and accepts indemnifying the Buyers (or their assignees) according to the procedure set forth in paragraph 9.3 herein, for any damages caused to the Buyers (or their assignees), as well as to hold them harmless on its own account (SATMEX), from any claim, action, procedure, process or lawsuit, sanction and/or penalty, whether administrative, judicial or extrajudicial, derived from actions previous to the signature of this instrument, as per the following terms:

 

(i) For any omission, deceit, concealment, inaccurate information or false statement in SATMEX’s representations.

 

(ii) For the knowledge of any omission, deceit, concealment, inaccurate information or false statement in Enlaces’ and HPS’s representations, respectively, including its Attachments, expressly stated in this Contract, because of its performance as partner, direct or indirect, of Enlaces and HPS, respectively, and in the information to which it has had access because of the execution of the Senior Management Contract.

 

(iii) For any controversies and/or litigations listed in Attachment “D”.

 

(iv) For damages caused to the Buyers (or their assignees) derived from facts unknown by SATMEX, by Enlaces and/or by HPS and for which Enlaces and/or HPS are responsible, and up to the amount of the Price.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

(v) For any non-fulfillment in relation to the obligations that correspond to any of the Sellers as per this Contract, different from those provided in paragraphs (i) through (iv) herein, up to the amount of the Price.

 

The Parties do hereby agree and acknowledge that the indemnification referred to in the Clause herein shall become applicable only for those amounts which, in aggregate, exceed [***].

 

9.2 Indemnification by the Buyers. The Buyers (or their assignees) agree and accept indemnifying the Sellers (or their assignees) according to the procedure set forth in paragraph 9.3 herein, for any damages caused to the Sellers (or their assignees), as well as to hold them harmless on the account of the Buyers, from any claim, action, procedure, process or lawsuit, sanction and/or penalty, whether administrative, judicial or extrajudicial, derived from actions previous to the signature of this instrument, for any (i) deceit, concealment, inaccurate information or false statement in the Buyers’ representations, including, without being limited to, those representations from any of the Buyers, and (ii) non-fulfillment in relation to the obligations that correspond to any of the Buyers as per this Contract, up to the amount of the Price.

 

The Parties do hereby agree and acknowledge that the indemnification referred to in the Clause herein shall become applicable only for those amounts which, in aggregate, exceed [***].

 

9.3 Indemnification Enforceability Procedure. Any of the Sellers and/or of the Buyers that may deem it shall be indemnified, including their assignees, as per this Clause (hereinafter and jointly the “Indemnitee”), shall notify its claim to the Party that upon its consideration shall be responsible for indemnifying it (hereinafter, the “Indemnitor”). The notification writing shall specify the nature, purpose and rationale for the indemnification claim, according to what is provided herein, the amount payable and the concept of any such indemnification, as well as the bank account number for the deposit of the enforceable amount. The aforementioned notification shall be attached with any documentation required to evaluate the claim therein.

 

Within the following [***] as from the date of reception of the aforementioned notification, the Indemnitor shall notify the Indemnitee on its acceptance or objection with regard to the allegations of the Indemnitee, contained in the claim notification received from the latter, with the understanding that the Indemnitor shall pay the enforceable indemnification within [***] from the maturity of the term set forth in this paragraph, in case that the Indemnitor agrees on the allegation made by the Indemnitee.

 

Should the Indemnitor notify the Indemnitee its total or partial objection to the allegations of the Indemnitee, contained in the claim notification received from the latter, or else, should the Indemnitor fail to notify the Indemnitee on its agreement or objection within the term hereinbefore, it shall then be understood that the allegations contained in the Indemnitee’s notification have been challenged and, consequently, that the corresponding indemnification may only be applied when determined by a final judicial decision.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

9.4 Claims by third parties. Should any Indemnitee receive a notification or demand, sanction and/or penalty, whether administrative, judicial or extrajudicial, promoted by a third party, the Indemnitee shall inform the Indemnitor within a term that, in any case, shall not exceed [***], and the same procedure as the one stated for any claims by the Parties shall be followed.

 

In any case, the Parties bind themselves to cooperate among each other in a timely and duly manner, for promoting the adequate defense of any procedures presented by third parties, and they shall mutually provide the information, records and documents required to promote any convenient actions or exceptions during such procedures. Also, they bind themselves to attend any required conferences, summons and hearings.

 

9.5 Continuity. The right of each of the Buyers and/or Sellers to demand an indemnification from the other Party for the damages caused as per this Clause shall end once the statute of limitations has expired in accordance with the applicable provisions, as may correspond to its nature, purpose or rationale.

 

Clause 10. Confidential Information. Confidential Information shall be understood as the written, oral and/or graphic information contained in written, electronic or electromagnetic means, whether it is clearly or not clearly identified as confidential by the Parties or its subsidiaries and affiliates. Any such information includes, without being limited to, legal, technical, financial and trading information related to customers’ names or potential partners’ names; business proposals and strategies, organizational structure, composition of the partnership and the company; reports, plans, market forecasts, data and any further industrial and/or corporate information, together with formulas, mechanisms, patterns, methods, techniques, labor processes, compilations, comparisons, studies and other documents prepared and kept as confidential by the Parties or its affiliates and subsidiaries.

 

Except for the provisions of this Clause and except for any disclosure of such Confidential Information made on a need-to-know basis, the Parties shall not disclose or reveal to anyone, in whole or in part, the Confidential Information provided, directly or indirectly, by any other Party, its affiliates or its subsidiaries, without the previous written consent from the counterparty. In this case, the Party receiving the relevant authorization shall strictly abide by the terms of the authorization granted by the other Party, its affiliates or its subsidiaries that delivered the information.

 

The Parties are not bound to keep the confidentiality of the information referred to in this Contract in any of the following instances:

 

a) When any of the Parties had knowledge of such information before its disclosure, as per the corresponding evidence thereof.

 

b) When the information is legally received, free from restrictions, from other source entitled to disclose such information.

 

c) When the information is or becomes part of the public domain, without any of the Parties failing to comply with this agreement.

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

d) When the information is provided by a third party and such disclosure does not break or violate any confidentiality obligation.

 

Should an authority request from any of the Parties the disclosure of the Confidential Information, the Party receiving the request shall immediately notify the counterparty so that the latter may take any measures it may deem convenient, including the enforceability of rights to which it may be entitled.

 

Likewise, the Parties bind themselves to provide only the information requested, making their best effort to determine the scope of the information requested, whenever the requesting authority fails to delimit the information required, so that the impact on the Confidential Information may be as little as feasible.

 

In case of controversy between the Parties or else, of claim, action or lawsuit, judicial or extrajudicial, before third parties, the Parties involved may present the Confidential Information directly related to the corresponding legal action and which is necessary to be presented for the duly accreditation of its allegations and/or defense before the authorities hearing or that shall hear on the specific case, with the understanding that, in any case, such Party shall request that said Confidential Information presented be kept as confidential when the applicable law provides for such possibility.

 

The Parties may disclose the Confidential Information in case of (i) compliance with any legal requirement, (ii) financial restructure processes or control changes performed, and (iii) compliance with legal or financial audits, provided that, in any instance, the recipients of the Confidential Information have a confidential agreement in place, duly signed, with terms at least as restrictive as the ones provided herein.

 

Clause 11. Waivers to Rights of First Refusal.

 

Subject to the compliance with the Conditions Precedent for the closing of this Contract, the Sellers, Enlaces and HPS, by mutual agreement, do hereby waive the provisions of Article 66 of the current General Corporation and Partnership Act, therefore stating that there is no deceit, bad faith or defect of consent for such waiver, as follows:

 

·                  SATMEX, as partner of Enlaces, expressly waives its preemptive rights with regard to the transfer, in favor of AXESAT, of the Partnership Share of SATMEX in Enlaces.

 

·                  HOLDSAT, as partner of Enlaces, expressly waives its preemptive rights with regard to the transfer, in favor of AXESAT, of the Partnership Share of SATMEX in Enlaces.

 

·                  Enlaces, as partner of HPS, expressly waives its preemptive rights with regard to the transfer, in favor of AXESAT, of the Partnership Share of SMVS in HPS.

 

16

 

FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

Clause 12. Deliverables upon the Closing Date.

 

The Parties do hereby agree and bind themselves to the delivery of the following documents on the Closing Date:

 

12.1 Enlaces, through the Secretary of its Management Board or through the person designated by Enlaces, shall present its original Special Book of Partners containing the entry where the transfer of SATMEX’s Partnership Share in Enlaces and of HOLDSAT’s Partnership Share in Enlaces is stated, therefore reflecting the new partners as per this Contract, and where the Pledge existing on Enlaces’ Partnership Shares is cancelled.

 

12.2 Enlaces and SMVS, through the Secretary of HPS’s Management Board or through the person designated by HPS, shall present the original Special Book of Partners containing the entry where the transfer of SMVS’s Partnership Share in HPS is stated, therefore reflecting the new partners as per this Contract.

 

12.3 The applicable Parties are bound to present the New Satellite Capacity Provision Contract, duly signed, based upon the terms of the Contract herein.

 

12.4 SATMEX and HOLDSAT bound themselves to present a copy of the corresponding resolution of the Shareholders’ Meeting of Enlaces, approving, among other things that may result, the amendment to the corporate bylaws of Enlaces to allow the direct foreign investment share in the capital stock of Enlaces up to [***], as set forth in Transitory Article Five of the Decree where diverse provisions are reformed and added to Articles 6th, 7th, 27, 28, 73, 78, 94 and 105 of the United Mexican States Constitution, in relation to Telecommunications, published in the Federal Official Gazette on [***].

 

12.5 Enlaces and SMVS bound themselves to present the corresponding resolution of the Shareholders’ Meeting of HPS, approving, among other things that may be relevant, the amendment to the corporate bylaws of HPS to allow the direct foreign investment share in the capital stock of HPS up [***].

 

12.6 As per Article 33, last paragraph, of the Foreign Investment Act, and Article 38, Section I, of the Foreign Investment Act Regulations, the Buyers shall notify in writing the National Foreign Investment Registry on the transfer of Partnership Shares subject matter of this Contract, within a term of [***] following the date when any such amendments enter into force.

 

12.7 As per Condition 4.4.5 of the Concession, Enlaces shall inform IFETEL on the amendments to the corporate bylaws approved on the Closing Date, within a term of [***] after such date, pursuant to Section 12.4 of this Clause.

 

12.8 Enlaces shall deliver the original of the Concession title as well as every document related thereto.

 

Clause 13. Notifications. For the purposes of any notification or communication derived from or related to this Contract, each Party does hereby state as its elected domicile the following:

 

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FOIA CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO CERTAIN INFORMATION IN THIS AGREEMENT. THIS INFORMATION HAS BEEN REDACTED AND DENOTED BY ASTERISKS [***].

 

13.1 The Sellers:

 

Satelites Mexicanos, S.A. de C.V.

Paseo de la Reforma #222 Piso 20

Colonia Juarez

Delegacion Cuauhtemoc

Mexico City

Federal District

Zip Code 06600

Mexico

Addressed to: [***]

With copy to: [***]

 

Holdsat Mexico, S.A.P.I. de C.V.

Paseo de la Reforma #222 Piso 20

Colonia Juarez

Delegacion Cuauhtemoc

Mexico City

 

18

 

SIGNATURE SHEET

 

The Seller

Satelites Mexicanos, S.A. de C.V.

 

[Illegible signature]

 

Patricio E. Northland

Legal Representative

 

[Illegible text]

 

The signature sheet herein (1 of 4) corresponds to the Purchase and Sale Contract of Partnership Shares held by and between Satelites Mexicanos, S.A. de C.V., Holdsat Mexico, S.A.P.I. de C.V. and SMVS Administracion, S. de R.L. de C.V. as Sellers, and Axesat, S.A. and Ingux, S.A. as Buyers, with the presence of Enlaces Integra, S. de R.L. de C.V. and HPS Corporativo, S. de R.L. de C.V., dated on October 25th, 2013.

 

[Illegible signatures at the bottom]

 

 

SIGNATURE SHEET

 

The Seller

Holdsat Mexico, S.A.P.I. de C.V.

 

[Illegible signature]

 

Alejandro Sainz Orantes

Legal Representative

 

The signature sheet herein (2 of 4) corresponds to the Purchase and Sale Contract of Partnership Shares held by and between Satelites Mexicanos, S.A. de C.V., Holdsat Mexico, S.A.P.I. de C.V. and SMVS Administracion, S. de R.L. de C.V. as Sellers, and Axesat, S.A. and Ingux, S.A. as Buyers, with the presence of Enlaces Integra, S. de R.L. de C.V. and HPS Corporativo, S. de R.L. de C.V., dated on October 25th, 2013.

 

 

SIGNATURE SHEET

 

The Seller

SMVS Administracion, S. de R.L. de C.V.

 

[Illegible signature]

 

Patricio E. Northland

Legal Representative

 

[Illegible text]

 

The signature sheet herein (3 of 4) corresponds to the Purchase and Sale Contract of Partnership Shares held by and between Satelites Mexicanos, S.A. de C.V., Holdsat Mexico, S.A.P.I. de C.V. and SMVS Administracion, S. de R.L. de C.V. as Sellers, and Axesat, S.A. and Ingux, S.A. as Buyers, with the presence of Enlaces Integra, S. de R.L. de C.V. and HPS Corporativo, S. de R.L. de C.V., dated on October 25th, 2013.

 

 

SIGNATURE SHEET

 

The Buyer

Axesat, S.A.

 

[Illegible signature]

 

Mauricio Segovia

Legal Representative

 

The Buyer

Ingux, S.A.

 

[Illegible signature]

 

Mauricio Segovia

Legal Representative

 

The signature sheet herein (4 of 4) corresponds to the Purchase and Sale Contract of Partnership Shares held by and between Satelites Mexicanos, S.A. de C.V., Holdsat Mexico, S.A.P.I. de C.V. and SMVS Administracion, S. de R.L. de C.V. as Sellers, and Axesat, S.A. and Ingux, S.A. as Buyers, with the presence of Enlaces Integra, S. de R.L. de C.V. and HPS Corporativo, S. de R.L. de C.V., dated on October 25th, 2013.

 

 

SIGNATURE SHEET

 

Attending Party

Enlaces Integra, S. de R.L. de C.V.

 

[Illegible signature]

 

Victor Manuel Fernandez Meillon

Legal Representative

[Illegible text]

 

Attending Party

HPS Corporativo, S. de R.L. de C.V.

 

[Illegible signature]

 

Victor Manuel Fernandez Meillon

Legal Representative

[Illegible text]

 

The signature sheet herein corresponds to the Purchase and Sale Contract of Partnership Shares held by and between Satelites Mexicanos, S.A. de C.V., Holdsat Mexico, S.A.P.I. de C.V. and SMVS Administracion, S. de R.L. de C.V. as Sellers, and Axesat, S.A. and Ingux, S.A. as Buyers, with the presence of Enlaces Integra, S. de R.L. de C.V. and HPS Corporativo, S. de R.L. de C.V., dated on October 25th, 2013.

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