Document:

EXHIBIT 4.1

 Exhibit 4.1 
  
 EXECUTION COPY 
  

 MBNA CREDIT CARD MASTER NOTE TRUST 
  
 as Issuer 
  
 CLASS C(2004-2) TERMS DOCUMENT 
  
 dated as of July 1, 2004 
  
 to 
  
 MBNASERIES INDENTURE SUPPLEMENT 
  
 dated as of May 24, 2001 
  
 to

  
 INDENTURE 
  
 dated as of May 24, 2001 
  
 THE BANK OF NEW YORK 
  
 as Indenture Trustee 
  

					
	 TABLE OF CONTENTS
  
 ARTICLE I
 Definitions and Other Provisions of General Application
  
	  	 
	 	  	Page

			
	Section 1.01.	  	Definitions	  	1
			
	Section 1.02.	  	Governing Law; Submission to Jurisdiction; Agent for Service of Process	  	5
			
	Section 1.03.	  	Counterparts	  	6
			
	Section 1.04.	  	Ratification of Indenture and Indenture Supplement	  	6
		
	ARTICLE II	  	 
	The Class C(2004-2) Notes	  	 
			
	Section 2.01.	  	Creation and Designation	  	7
			
	Section 2.02.	  	Interest Payment	  	7
			
	Section 2.03.	  	Calculation Agent; Determination of LIBOR	  	7
			
	Section 2.04.	  	Payments of Interest and Principal	  	8
			
	Section 2.05.	  	Targeted Deposit to the Class C Reserve Account	  	8
			
	Section 2.06.	  	Form of Delivery of Class C(2004-2) Notes; Depository; Denominations	  	9
			
	Section 2.07.	  	Delivery and Payment for the Class C(2004-2) Notes	  	9
			
	Section 2.08.	  	Targeted Deposits to the Accumulation Reserve Account	  	9
		
	ARTICLE III	  	 
	REPRESENTATIONS AND WARRANTIES	  	 
			
	Section 3.01.	  	Issuer’s Representations and Warranties	  	10

  

 -i- 

 THIS CLASS C(2004-2) TERMS DOCUMENT (this “Terms Document”), by and between MBNA CREDIT
CARD MASTER NOTE TRUST, a statutory trust created under the laws of the State of Delaware (the “Issuer”), having its principal office at Rodney Square North, 1100 North Market Street, Wilmington, Delaware 19890, and THE BANK OF NEW
YORK, a New York banking corporation ( the “Indenture Trustee”), is made and entered into as of July 1, 2004. 
  
 Pursuant to this Terms Document, the Issuer and the Indenture Trustee shall create a new tranche of Class C Notes and shall specify the principal terms
thereof. 
  
 ARTICLE I 
  
 Definitions and Other Provisions of General Application 
  
 Section 1.01. Definitions. For all purposes of this Terms Document,
except as otherwise expressly provided or unless the context otherwise requires: 
  
 (1) the terms defined in this Article have the meanings assigned to them in this Article, and include the plural as well as the singular;

  
 (2) all other terms used herein which are
defined in the Indenture Supplement or the Indenture, either directly or by reference therein, have the meanings assigned to them therein; 
  
 (3) all accounting terms not otherwise defined herein have the meanings assigned to them in accordance with generally accepted accounting
principles and, except as otherwise herein expressly provided, the term “generally accepted accounting principles” with respect to any computation required or permitted hereunder means such accounting principles as are generally accepted
in the United States of America at the date of such computation; 
  
 (4) all references in this Terms Document to designated “Articles,” “Sections” and other subdivisions are to the designated Articles, Sections and other subdivisions of this Terms Document as
originally executed; 
  
 (5) the words
“herein,” “hereof” and “hereunder” and other words of similar import refer to this Terms Document as a whole and not to any particular Article, Section or other subdivision; 
  
 (6) in the event that any term or provision contained herein
shall conflict with or be inconsistent with any term or provision contained in the Indenture Supplement or the Indenture, the terms and provisions of this Terms Document shall be controlling; 
  
 (7) each capitalized term defined herein shall relate only
to the Class C(2004-2) Notes and no other tranche of Notes issued by the Issuer; and 

 (8) “including” and words of similar import will be deemed to be followed by
“without limitation.” 
  
 “Accumulation Reserve
Funding Period” shall mean, (a) if the Accumulation Period Length is determined to be one (1) month, there shall be no Accumulation Reserve Funding Period and (b) otherwise, the period (x) commencing on the earliest to occur of (i) the
Monthly Period beginning three (3) calendar months prior to the first Transfer Date for which a budgeted deposit is targeted to be made into the Principal Funding sub-Account of the Class C(2004-2) Notes pursuant to Section 3.10(b) of the
Indenture Supplement, (ii) the Monthly Period following the first Transfer Date following and including the May 2012 Transfer Date for which the Quarterly Excess Available Funds Percentage is less than 2%, but in such event the Accumulation Reserve
Funding Period shall not be required to commence earlier than 24 months prior to the Expected Principal Payment Date, (iii) the Monthly Period following the first Transfer Date following and including the November 2012 Transfer Date for which the
Quarterly Excess Available Funds Percentage is less than 3%, but in such event the Accumulation Reserve Funding Period shall not be required to commence earlier than 18 months prior to the Expected Principal Payment Date, and (iv) the Monthly Period
following the first Transfer Date following and including the January 2013 Transfer Date for which the Quarterly Excess Available Funds Percentage is less than 4%, but in such event the Accumulation Reserve Funding Period shall not be required to
commence earlier than 16 months prior to the Expected Principal Payment Date and (y) ending on the close of business on the last day of the Monthly Period preceding the earlier to occur of (i) the Expected Principal Payment Date for the Class
C(2004-2) Notes and (ii) the date on which the Class C(2004-2) Notes are paid in full. 
  
 “Base Rate” means, with respect to any Monthly Period, the sum of (i) the Weighted Average Interest Rates for the Outstanding MBNAseries Notes, (ii) the Net Servicing Fee Rate (as such term is defined
in the Series 2001-D Supplement) and (iii) so long as MBNA or The Bank of New York is the Servicer, the Servicer Interchange Rate, in each case, for such Monthly Period. 
  
 “Calculation Agent” is defined in Section 2.03(a). 
  
 “Class C Reserve Account Percentage” means, (i) zero, if the
Quarterly Excess Available Funds Percentage on such Transfer Date is greater than or equal to 4.50%, (ii) 1.25%, if the Quarterly Excess Available Funds Percentage on such Transfer Date is less than 4.50% and greater than or equal to 4.00%, (iii)
2.00%, if the Quarterly Excess Available Funds Percentage on such Transfer Date is less than 4.00% and greater than or equal to 3.50%, (iv) 2.75%, if the Quarterly Excess Available Funds Percentage is less than 3.50% and greater than or equal to
3.00%, (v) 3.50%, if the Quarterly Excess Available Funds Percentage on such Transfer Date is less than 3.00% and greater than or equal to 2.50%, (vi) 4.50%, if the Quarterly Excess Available Funds Percentage is less than 2.50% and greater than or
equal to 2.00%, and (vii) 6.00%, if the Quarterly Excess Available Funds Percentage on such Transfer Date is less than 2.00%. 
  
 “Class C(2004-2) Note” means any Note, substantially in the form set forth in Exhibit A-3 to the Indenture Supplement, designated
therein as a Class C(2004-2) Note and duly executed and authenticated in accordance with the Indenture. 
  

 2 

 “Class C(2004-2) Noteholder” means a Person in whose name a Class C(2004-2) Note is
registered in the Note Register. 
  
 “Class C(2004-2)
Termination Date” means the earliest to occur of (a) the Principal Payment Date on which the Outstanding Dollar Principal Amount of the Class C(2004-2) Notes is paid in full, (b) the Legal Maturity Date and (c) the date on which the
Indenture is discharged and satisfied pursuant to Article VI thereof. 
  
 “Controlled Accumulation Amount” means $22,916,666.67; provided, however, if the Accumulation Period Length is determined to be less than twelve (12) months pursuant to Section
3.10(b)(ii) of the Indenture Supplement, the Controlled Accumulation Amount shall be the amount specified in the definition of “Controlled Accumulation Amount” in the Indenture Supplement. 
  
 “Excess Available Funds Percentage” means, with respect to
any Transfer Date, the amount, if any, by which the Portfolio Yield for the preceding Monthly Period exceeds the Base Rate for such Monthly Period. 
  
 “Expected Principal Payment Date” means June 16, 2014. 
  
 “Initial Dollar Principal Amount” means $275,000,000. 
  
 “Interest Payment Date” means the fifteenth day of each
month commencing August 16, 2004, or if such fifteenth day is not a Business Day, the next succeeding Business Day. 
  
 “Interest Period” means, with respect to any Interest Payment Date, the period from and including the previous Interest Payment Date (or
in the case of the initial Interest Payment Date, from and including the Issuance Date) through the day preceding such Interest Payment Date. 
  
 “Issuance Date” means July 1, 2004. 
  
 “Legal Maturity Date” means November 15, 2016. 
  

“LIBOR” means, for any Interest Period, the London interbank offered rate for one-month United States dollar deposits determined by
the Calculation Agent on the LIBOR Determination Date for each Interest Period in accordance with the provisions of Section 2.03. 
  
 “LIBOR Determination Date” means (i) June 29, 2004 for the period from and including the Issuance Date to but excluding July 15, 2004,
(ii) July 13, 2004 for the period from and including July 15, 2004 to but excluding August 16, 2004 and (iii) for each Interest Period thereafter, the second London Business Day prior to the Interest Payment Date on which such Interest Period
commences. 
  

 3 

 “London Business Day” means any Business Day on which dealings in deposits in United
States Dollars are transacted in the London interbank market. 
  
 “MBNAseries Servicer Interchange” means, with respect to any Monthly Period, an amount equal to the product of (a) the Servicer Interchange (as such term is defined in the Series 2001-D Supplement) with respect to such
Monthly Period and (b) a fraction the numerator of which is the Weighted Average Available Funds Allocation Amount for the MBNAseries for such Monthly Period and the denominator of which is the Weighted Average Available Funds Allocation Amount for
all series of Notes for such Monthly Period. 
  
 “Note
Interest Rate” means a per annum rate equal to 0.90% in excess of LIBOR as determined by the Calculation Agent on the related LIBOR Determination Date with respect to each Interest Period. 
  
 “Paying Agent” means The Bank of New York. 
  
 “Portfolio Yield” means, with respect to any Monthly Period,
the annualized percentage equivalent of a fraction, the numerator of which is (a) the amount of Available Funds allocated to the MBNAseries pursuant to Section 501 of the Indenture, plus (b) any Interest Funding sub-Account Earnings on
the related Transfer Date, plus (c) any amounts to be treated as MBNAseries Available Funds pursuant to Sections 3.20(d) and 3.27(a) of the Indenture Supplement, plus (d) the MBNAseries Servicer Interchange for such
Monthly Period, minus (e) the excess, if any, of the sum of the PFA Prefunding Earnings Shortfall plus the PFA Accumulation Earnings Shortfall over the sum of the aggregate amount to be treated as MBNAseries Available Funds for such
Monthly Period pursuant to Sections 3.04(a)(ii) and 3.25(a) of the Indenture Supplement plus any other amounts applied to cover earnings shortfalls on amounts in the Principal Funding sub-Account for any tranche of MBNAseries
Notes for such Monthly Period, minus (f) the MBNAseries Investor Default Amount for such Monthly Period, and the denominator of which is the Weighted Average Available Funds Allocation Amount for the MBNAseries for such Monthly Period.

  
 “Predecessor Note” means, with respect to any
particular Note, every previous Note evidencing all or a portion of the same debt as that evidenced by such particular Note; and, for the purpose of this definition, any Note authenticated and delivered under Section 306 of the Indenture in
lieu of a mutilated, lost, destroyed or stolen Note shall be deemed to evidence the same debt as the mutilated, lost, destroyed or stolen Note. 
  
 “Quarterly Excess Available Funds Percentage” means, with respect to the August 2004 Transfer Date and each Transfer Date thereafter, the
percentage equivalent of a fraction the numerator of which is the sum of the Excess Available Funds Percentages with respect to the immediately preceding three Monthly Periods and the denominator of which is three. 
  
 “Record Date” means, for any Transfer Date, the last
Business Day of the preceding Monthly Period. 
  

 4 

 “Reference Banks” means four major banks in the London interbank market selected by the
Beneficiary. 
  
 “Required Accumulation Reserve
sub-Account Amount” means, with respect to any Monthly Period during the Accumulation Reserve Funding Period, an amount equal to (i) 0.5% of the Outstanding Dollar Principal Amount of the Class C(2004-2) Notes as of the close of business on
the last day of the preceding Monthly Period or (ii) any other amount designated by the Issuer; provided, however, that if such designation is of a lesser amount, the Note Rating Agencies shall have provided prior written confirmation
that a Ratings Effect will not occur with respect to such change. 
  
 “Servicer Interchange Rate” means, for any Monthly Period, the percentage equivalent of a fraction, the numerator of which is the MBNAseries Servicer Interchange for such Monthly Period, and the denominator of which is the
Weighted Average Available Funds Allocation Amount for the MBNAseries for such Monthly Period. 
  
 “Stated Principal Amount” means $275,000,000. 
  
 “Telerate Page 3750” means the display page currently so designated on the Moneyline Telerate Service (or such other page as may replace that page on that service for the purpose of displaying
comparable rates or prices). 
  
 “Weighted Average
Interest Rates” means, with respect to any Outstanding Notes of a class or tranche of the MBNAseries, or of all of the Outstanding Notes of the MBNAseries, on any date, the weighted average (weighted based on the Outstanding Dollar
Principal Amount of the related Notes on such date) of the following rates of interest: 
  
 (a) in the case of a tranche of Dollar Interest-bearing Notes with no Derivative Agreement for interest, the rate of interest applicable to that tranche on that date; 
  
 (b) in the case of a tranche of Discount Notes, the rate of accretion
(converted to an accrual rate) of that tranche on that date; 
  
 (c) in the case of a tranche of Notes with a payment due under a Performing Derivative Agreement for interest, the rate at which payments by the Issuer to the applicable Derivative Counterparty accrue on that date (prior to the netting of
such payments, if applicable); and 
  
 (d) in the case of a
tranche of Notes with a non-Performing Derivative Agreement for interest, the rate specified for that date in the related terms document. 
  
 Section 1.02. Governing Law; Submission to Jurisdiction; Agent for Service of Process. This Terms Document shall be governed by and construed in
accordance with the laws of the State of Delaware, without regard to principles of conflict of laws. The parties hereto declare that it is their intention that this Terms Document shall be regarded as made under the laws of the State of Delaware and
that the laws of said State shall be applied in interpreting its provisions in all cases where legal interpretation shall be required. Each of the parties hereto 
  

 5 

 agrees (a) that this Terms Document involves at least $100,000.00, and (b) that this Terms Document has been entered into
by the parties hereto in express reliance upon 6 DEL. C. § 2708. Each of the parties hereto hereby irrevocably and unconditionally agrees (a) to be subject to the jurisdiction of the courts of the State of Delaware and of the federal
courts sitting in the State of Delaware, and (b)(1) to the extent such party is not otherwise subject to service of process in the State of Delaware, to appoint and maintain an agent in the State of Delaware as such party’s agent for acceptance
of legal process, and (2) that, to the fullest extent permitted by applicable law, service of process may also be made on such party by prepaid certified mail with a proof of mailing receipt validated by the United States Postal Service constituting
evidence of valid service, and that service made pursuant to (b)(1) or (2) above shall, to the fullest extent permitted by applicable law, have the same legal force and effect as if served upon such party personally within the State of Delaware.

  
 Section 1.03. Counterparts. This Terms Document may be
executed in any number of counterparts, each of which so executed will be deemed to be an original, but all such counterparts will together constitute but one and the same instrument. 
  
 Section 1.04. Ratification of Indenture and Indenture Supplement. As supplemented by this Terms Document, each of the
Indenture and the Indenture Supplement is in all respects ratified and confirmed and the Indenture as so supplemented by the Indenture Supplement as so supplemented and this Terms Document shall be read, taken and construed as one and the same
instrument. 
  
 [END OF ARTICLE I] 
  

 6 

 ARTICLE II 
  
 The Class C(2004-2) Notes 
  
 Section 2.01. Creation and Designation. There is hereby created a tranche of MBNAseries Class C Notes to be issued pursuant to the Indenture and
the MBNAseries Indenture Supplement to be known as the “MBNAseries Class C(2004-2) Notes.” 
  
 Section 2.02. Interest Payment. 
  
 (a) For each Interest Payment Date, the amount of interest due with respect to the Class C(2004-2) Notes shall be an amount equal to the product of (i)(A)
a fraction, the numerator of which is the actual number of days in the related Interest Period and the denominator of which is 360, times (B) the Note Interest Rate in effect with respect to the related Interest Period, times (ii) the
Outstanding Dollar Principal Amount of the Class C(2004-2) Notes determined as of the Record Date preceding the related Transfer Date. Interest on the Class C(2004-2) Notes will be calculated on the basis of the actual number of days in the related
Interest Period and a 360-day year. 
  
 (b) Pursuant to Section
3.03 of the Indenture Supplement, on each Transfer Date, the Indenture Trustee shall deposit into the Class C(2004-2) Interest Funding sub-Account the portion of MBNAseries Available Funds allocable to the Class C(2004-2) Notes. 
  
 Section 2.03. Calculation Agent; Determination of LIBOR. 

 
 (a) The Issuer hereby agrees that for so long as any Class C(2004-2)
Notes are Outstanding, there shall at all times be an agent appointed to calculate LIBOR for each Interest Period (the “Calculation Agent”). The Issuer hereby initially appoints the Indenture Trustee as the Calculation Agent for
purposes of determining LIBOR for each Interest Period. The Calculation Agent may be removed by the Issuer at any time. If the Calculation Agent is unable or unwilling to act as such or is removed by the Issuer, or if the Calculation Agent fails to
determine LIBOR for an Interest Period, the Issuer shall promptly appoint a replacement Calculation Agent that does not control or is not controlled by or under common control with the Issuer or its Affiliates. The Calculation Agent may not resign
its duties, and the Issuer may not remove the Calculation Agent, without a successor having been duly appointed. 
  
 (b) On each LIBOR Determination Date, the Calculation Agent shall determine LIBOR on the basis of the rate for deposits in United States dollars for a
one-month period which appears on Telerate Page 3750 as of 11:00 a.m., London time, on such date. If such rate does not appear on Telerate Page 3750, the rate for that LIBOR Determination Date shall be determined on the basis of the rates at which
deposits in United States dollars are offered by the Reference Banks at approximately 11:00 a.m., London time, on that day to prime banks in the London interbank market for a one-month period. The Calculation Agent shall request the principal London
office of each of the Reference Banks to provide a quotation of its rate. If at least two such quotations are provided, the rate for that LIBOR Determination Date shall be the arithmetic mean of the quotations. If fewer than two quotations are
provided as requested, the rate for that LIBOR Determination Date will be the arithmetic mean of the rates quoted by four 
  

 7 

 major banks in New York City, selected by the Beneficiary, at approximately 11:00 a.m., New York City time, on that day
for loans in United States dollars to leading European banks for a one-month period. 
  
 (c) The Note Interest Rate applicable to the then current and the immediately preceding Interest Periods may be obtained by telephoning the Indenture Trustee at its corporate trust office at (212) 815-3247 or such
other telephone number as shall be designated by the Indenture Trustee for such purpose by prior written notice by the Indenture Trustee to each Noteholder from time to time. 
  
 (d) On each LIBOR Determination Date, the Calculation Agent shall send to the Indenture Trustee and the Beneficiary, by
facsimile transmission, notification of LIBOR for the following Interest Period. 
  
 Section 2.04. Payments of Interest and Principal. 
  
 (a) Any installment of interest or principal, if any, payable on any Class C(2004-2) Note which is punctually paid or duly provided for by the Issuer and the Indenture Trustee on the applicable Interest Payment Date
or Principal Payment Date shall be paid by the Paying Agent to the Person in whose name such Class C(2004-2) Note (or one or more Predecessor Notes) is registered on the Record Date, by wire transfer of immediately available funds to such
Person’s account as has been designated by written instructions received by the Paying Agent from such Person not later than the close of business on the third Business Day preceding the date of payment or, if no such account has been so
designated, by check mailed first-class, postage prepaid to such Person’s address as it appears on the Note Register on such Record Date, except that with respect to Notes registered on the Record Date in the name of the nominee of Cede &
Co., payment shall be made by wire transfer in immediately available funds to the account designated by such nominee. 
  
 (b) The right of the Class C(2004-2) Noteholders to receive payments from the Issuer will terminate on the first Business Day following the Class
C(2004-2) Termination Date. 
  
 Section 2.05. Targeted Deposit
to the Class C Reserve Account. The deposit targeted to be made to the Class C Reserve sub-Account for the Class C(2004-2) Notes for any Transfer Date will be an amount equal to (i) to the product of (A) Class C Reserve Account Percentage for
the related Monthly Period times (B) the sum of the Initial Outstanding Dollar Principal Amounts of each tranche of Outstanding MBNAseries Notes as of the last day of the preceding Monthly Period times (C) a fraction, the numerator of
which is the Nominal Liquidation Amount of the Class C(2004-2) Notes as of the close of business on the last day of the preceding Monthly Period and the denominator of which is the Nominal Liquidation Amount of all Class C Notes in the MBNAseries as
of the close of business on the last day of the preceding Monthly Period, minus (ii) any amount previously on deposit in the Class C(2004-2) Reserve sub-Account prior to such targeted deposit; provided however, that if an Early
Redemption Event or Event of Default occurs with respect to the Class C(2004-2) Notes, the deposit targeted will be the Adjusted Outstanding Dollar Principal Amount of the Class C(2004-2) notes minus the amount then on deposit in such
sub-Account. 
  

 8 

 Section 2.06. Form of Delivery of Class C(2004-2) Notes; Depository; Denominations. 
  
 (a) The Class C(2004-2) Notes shall be delivered in the form of a global
Registered Note as provided in Sections 202 and 301(i) of the Indenture, respectively. 
  
 (b) The Depository for the Class C(2004-2) Notes shall be The Depository Trust Company, and the Class C(2004-2) Notes shall initially be registered in the
name of Cede & Co., its nominee. 
  
 (c) The Class C(2004-2)
Notes will be issued in minimum denominations of $5,000 and multiples of $1,000 in excess of that amount. 
  
 Section 2.07. Delivery and Payment for the Class C(2004-2) Notes. The Issuer shall execute and deliver the Class C(2004-2) Notes to the Indenture
Trustee for authentication, and the Indenture Trustee shall deliver the Class C(2004-2) Notes when authenticated, each in accordance with Section 303 of the Indenture. 
  
 Section 2.08. Targeted Deposits to the Accumulation Reserve Account. The deposit targeted to be made to the
Accumulation Reserve Account for any Monthly Period during the Accumulation Reserve Funding Period will be an amount equal to the Required Accumulation Reserve sub-Account Amount. 
  
 [END OF ARTICLE II] 
  

 9 

 ARTICLE III 
  
 Representations and Warranties 
  
 Section 3.01. Issuer’s Representations and Warranties. The Issuer makes the following representations and warranties as to the Collateral
Certificate on which the Indenture Trustee is deemed to have relied in acquiring the Collateral Certificate. Such representations and warranties speak as of the execution and delivery of this Terms Document, but shall survive until the termination
of this Terms Document. Such representations and warranties shall not be waived by any of the parties to this Terms Document unless the Issuer has obtained written confirmation from each Note Rating Agency that there will be no Ratings Effect with
respect to such waiver. 
  
 (a) The Indenture creates a valid and
continuing security interest (as defined in the Delaware UCC) in the Collateral Certificate in favor of the Indenture Trustee, which security interest is prior to all other liens, and is enforceable as such as against creditors of and purchasers
from the Issuer. 
  
 (b) The Collateral Certificate constitutes
either an “account,” a “general intangible,” an “instrument,” or a “certificated security,” each within the meaning of the Delaware UCC. 
  
 (c) At the time of the transfer and assignment of the Collateral Certificate to the Indenture Trustee pursuant to the
Indenture, the Issuer owned and had good and marketable title to the Collateral Certificate free and clear of any lien, claim or encumbrance of any Person. 
  
 (d) The Issuer has caused, within ten days of the execution of the Indenture, the filing of all appropriate financing statements in the proper filing
office in the appropriate jurisdictions under applicable law in order to perfect the security interest in the Collateral Certificate granted to the Indenture Trustee pursuant to the Indenture. 
 (e) Other than the security interest granted to the Indenture Trustee pursuant to the Indenture, the Issuer has not pledged, assigned, sold, granted a
security interest in, or otherwise conveyed the Collateral Certificate. The Issuer has not authorized the filing of and is not aware of any financing statements against the Issuer that include a description of collateral covering the Collateral
Certificate other than any financing statement relating to the security interest granted to the Indenture Trustee pursuant to the Indenture or any financing statement that has been terminated. The Issuer is not aware of any judgment or tax lien
filings against the Issuer. 
  
 (f) All original executed copies
of the Collateral Certificate have been delivered to the Indenture Trustee. 
  

 10 

 (g) At the time of the transfer and assignment of the Collateral Certificate to the Indenture Trustee
pursuant to the Indenture, the Collateral Certificate had no marks or notations indicating that it has been pledged, assigned or otherwise conveyed to any Person other than the Indenture Trustee. 
  
 [END OF ARTICLE III] 
  

 11 

 IN WITNESS WHEREOF, the parties hereto have caused this Terms Document to be duly executed, all as of the
day and year first above written. 
  

			
	 MBNA CREDIT CARD MASTER NOTE TRUST,

	 by MBNA AMERICA BANK,

	 NATIONAL ASSOCIATION,

	 as Beneficiary and not in its individual capacity

		
	 By:
	 	 /s/ KEVIN F. SWEENEY

	 	 	Kevin F. Sweeney
	 	 	First Vice President

  

			
	 THE BANK OF NEW YORK, as Indenture Trustee

	 and not in its individual capacity

		
	 By:
	 	 /s/ DANIEL ROTHMAN

	 Name:
	 	 Daniel Rothman

	 Title:
	 	 Vice President

  
 [Signature Page
to the Class C(2004-2) Terms Document]License and Technology Transfer Agreement

 Exhibit 10.5 
  
 ***** Confidential Treatment Requested 
  
 LICENSE AND TECHNOLOGY TRANSFER AGREEMENT 
  
 This LICENSE AND TECHNOLOGY TRANSFER AGREEMENT (this “Agreement”), dated as of December 12, 2002 (the
“Effective Date”) and amended as of May 7, 2003, is made by and between Micron Technology, Inc., a Delaware corporation (“MTI”) and NetLogic Microsystems, Inc., a Delaware corporation (“NetLogic”), (each of NetLogic and
MTI, a “Party”; together the “Parties”). 
  
 RECITALS 
  
 A. NetLogic is in the business
of designing, among other things, TCAM products (as defined below); 
  
 B. MTI is in the business of designing and manufacturing, among other things, TCAM products; and 
  
 C. NetLogic and MTI desire to license certain technology to each other on the basis expressly set forth herein, for the purpose of designing and
manufacturing certain TCAM products, and to manufacture and supply each other with such TCAM products. 
  
 NOW, THEREFORE, in consideration of the premises and of the representations, warranties, covenants and conditions contained herein, the Parties, intending
to be legally bound, hereby agree as follows: 
  
 ARTICLE 1

 DEFINITIONS 
  
 1.1 Definitions. The following terms, as used herein, have the following meanings: 
  
 “Acceptance”, “Accepted” and “Accepts” means when MTI or NetLogic signs and returns the
acceptance form of Exhibit D within sixty (60) days of receipt of a complete Design Proposal (the “Acceptance Period”) from the other Party. Acceptance shall be effective as of the earlier of the date of deposit of the acceptance form with
the US Postal Service, Federal Express, or United Parcel Service (UPS) or transmission by facsimile, email or other electronic means. If a Design Proposal is not Accepted within the Acceptance Period, the Design Proposal shall be considered
rejected, and the non-accepting Party and its Affiliates shall not be granted any licenses under this Agreement with respect to the Covered Product identified in the Design Proposal unless another Design Proposal for the Covered Product is Accepted.

  
 “Affiliate” of a Party means any entity that is
directly or indirectly controlled by such Party. As used in this definition, “controlled by” means possession, directly or indirectly, of power to direct 

  

 -1- 

 
or cause the direction of management or policies (whether through beneficial ownership of securities or other ownership interests, by contract or otherwise).

  
 “Copyrights” means all copyrights, copyright
registrations and applications therefor and all other rights corresponding thereto throughout the world. 
  
 “Covered Products” means all products identified in Exhibit A and their Product Options developed by either Party during the term of this
Agreement, which Products and Product Options are GLTCAMs. 
  
 “Design Proposal” means the following information regarding a design or proposed design for a Covered Product: product brief, target specification, designated wafer fabrication facility, Manufacturing Cost estimates, target
applications, and a development schedule listing the estimated timing for Tape Out, customer samples, and commercial sale of 1,000 units, by either MTI, NetLogic or both. 
  
 “Designated Foundry” means any foundry designated by NetLogic for manufacture of Type I Products. 
  
 “Excess Waiver Period” means, with respect to a Covered Product,
the period beginning upon Acceptance of such Product and ending the point in time when the aggregate commercial sales of that product by MTI, NetLogic, or both, reaches [*****] units. 
  
 “GLTCAMs” means (i) a TCAM-based product that is pin and function compatible, in all material respects, to
NetLogic’s NSE4256GLQ product as specified in Exhibit G as modified from time to time; or (ii) a TCAM-based product that is compliant in all material respects with the LA-1 bus interface as defined by the Network Processor Forum
(“NPF”) and as modified from time to time by the NPF. 
  
 “[*****]” means the NetLogic Technology incorporated into NetLogic’s GLTCAMs NSE4256GLQ (as specified in Exhibit G attached to this Agreement) that implements an interface between Intel’s IXP2800 and NetLogic’s
TCAM-based devices. 
  
 “Intellectual Property” means
all ideas, concepts, Inventions (whether or not patentable), know-how, confidential information and trade secrets, whether or not the subject of any Intellectual Property Rights, which were and are hereafter originally conceived by either Party.

  
 “Intellectual Property Rights” means those legally
enforceable and recognized means of protecting Intellectual Property and which consists essentially of (i) Patents, (ii) Trade Secrets, (iii) Copyrights including Mask Works in some countries, (iv) Trademarks, and (v) corresponding and equivalent
means used by other countries anywhere else in the world to protect (i) through (iv) above. 
  
 “Invention” means any original discovery or finding, whether or not patentable. 
  
 ***** Confidential Treatment Requested 
  

 -2- 

 “Made” or “Make” shall mean, with respect to any Invention, an Invention which was
first conceived and/or reduced to practice during the Term of this Agreement. 
  
 “Manufacturing Cost” means the cost to manufacture a product, calculated using the same components of cost and methods of allocation as are used in the calculation of cost of goods sold as reported in
MTI’s public financial statements. 
  
 “Mask Works”
means a mask work as defined in 17 U.S.C. Chapter 9, Section 901(a)(2) and further includes all exclusive rights that vest in the owner of mask works as a matter of law, and therefore excluding any idea, process, procedure, system, method of
operation, concept, principle, or discovery, regardless of the form in which it is described, explained, illustrated, or embodied in such work. 
  
 “MTI IP” means MTI’s Intellectual Property and Intellectual Property Rights, excluding all MTI Intellectual Property and Intellectual
Property Rights related to TCAM [*****]. 
  
 “MTI
Facility” means a manufacturing facility owned or controlled by MTI or an Affiliate of MTI. 
  
 “MTI Technology” means the MTI information related to Covered Products set forth on Exhibit F. 
  
 “NetLogic IP” means NetLogic’s Intellectual Property and
Intellectual Property Rights excluding all NetLogic Intellectual Property and Intellectual Property Rights related to TCAM [*****]. 
  
 “NetLogic Technology” means the NetLogic information related to Covered Products set forth on Exhibit F. 
  
 “Patents” means all United States and foreign patents and utility
models, Invention registrations, and applications therefor and all reissues, divisions, renewals, extensions, provisionals, continuations and continuations-in-part thereof, and equivalent or similar rights anywhere in the world in Inventions and
discoveries. 
  
 “Process R&D Cost” means the cost
allocated to each wafer for research and development expenses using MTI’s standard research and development cost allocation process, excluding costs directly associated with products and/or processes not contemplated in this Agreement, and
excluding research and development costs separately addressed in this Agreement (such as design costs and mask costs). 
  
 “Product Option” means (i) a bug fix, yield enhancement, bonding option, or other option that does not require a change to the original mask
set, (ii) one or more metal mask options excluding, however, metal mask options that result in a product that does not satisfy the requirements of the LA-1 bus interface, as modified from time to time and defined by the NPF; and (iii) any other
mutually agreed to modifications. 
  
 ***** Confidential Treatment Requested

  

 -3- 

 “Royalty Schedule” means the royalty schedule for Covered Products set forth in Exhibit
B. 
  
 “Software” means all computer program
instruction code, whether in human-readable source code form, machine-readable binary form, firmware, scripts, interpretive text, or otherwise, along with any technical, user, or other documentation related thereto, and including any related data
files or data objects, and all media on which any of the foregoing is recorded. 
  
 “Supply Agreement” means the Sale and Purchase Agreement between the Parties that identifies the terms and conditions under which MTI will supply Accepted Type III Products to NetLogic. 
  
 “Tape Out” means the creation of an all mask layer layout database
(e.g., in GDSII format) of the design of a Covered Product. “Tape Out” shall be effective as of the first transmission, by electronic means or otherwise, of the all mask layer layout database to the Designated Foundry or an MTI Facility.

  
 “TCAM” means a ternary content addressable memory
semiconductor device. 
  
 “Trade Secrets” means in
whatever tangible or intangible form that they exist, all Inventions, invention disclosures, improvements, trade secrets, proprietary and confidential information, know how, technology, technical data and customer lists, including but not limited
to, all documentation embodying or evidencing any of the foregoing. 
  
 “Transfer” means, when used in the context of the NetLogic Technology or MTI Technology or Intellectual Property, the actual delivery of an embodiment of such Technology, but shall in no event be deemed to mean or include any
transfer of title or ownership, whether or not non-exclusive. 
  
 “Trademarks” means all trade names, logos, common law trademarks and service marks, trademark and service mark registrations and applications therefor and all goodwill associated therewith throughout the world. 
  
 “Type I Product” means the product listed in Exhibit A as a Type I
Product and Product Options of such product, which is solely designed by NetLogic and fabricated at a location other than an MTI Facility. 
  
 “Type III Product” means the products listed in Exhibit A as Type III Products and Product Options of such products, in both cases which have
been designed primarily or completely by MTI. 
  
 ARTICLE 2

 TECHNOLOGY COORDINATION AND SUPPORT 
  
 2.1 Technical Coordinator. Each Party shall appoint a “Technical Coordinator.” MTI’s initial Technical Coordinator shall be Tom
Arnold, and NetLogic’s initial Technical Coordinator shall be Niall Bartlett. Each Party may change its respective Technical Coordinator upon notice to the other Party. 
  

 -4- 

 2.2 Technical Coordinators’ Responsibilities. Each Technical Coordinator shall be responsible
for supervision of transmittal and receipt of all technical information hereunder and coordination of the training and consultation to be provided by each Party hereunder. All technical information transferred hereunder shall be transferred through
the Technical Coordinators. In addition to the obligations of the Technical Coordinators set forth above, the Technical Coordinators shall be responsible for: 
  

(a) coordination of any technical cooperation and exchange between the Parties in accordance with this Agreement; 
  
 (b) implementation and supervision of the respective
technology Transfers in accordance with this Agreement; 
  
 (c) certification of completion of each technology Transfer made hereunder; and 
  
 (d) other issues arising under this Agreement. 
  
 2.3 Travel. Each Party shall be responsible for its own costs, including travel and lodging costs, incurred in attending and participating in
meetings of the Technical Coordinators. 
  
 2.4 Technical
Assistance. Each Party shall provide commercially reasonable technical assistance to explain Intellectual Property transferred between the Parties. 
  
 2.5 Progress Reports. Upon written request of MTI, NetLogic shall provide MTI with progress reports on the development of the Type I Product, no
more often than on a monthly basis. 
  
 2.6 Technical Product
Support. Each Party shall provide commercially reasonable product support for Accepted Products to the other Party during the term of this Agreement. 
  
 ARTICLE 3 
 TYPE I PRODUCT 
  
 3.1 License. NetLogic grants MTI a personal, non-transferable,
revocable (as provided in Article 16), worldwide, royalty-bearing, limited license (with no right to sublicense) under all NetLogic IP to (a) have manufactured at a Designated Foundry the Type I Product using the same mask sets and process used for
NetLogic’s own production of the Type I Product; (b) have manufactured, tested and assembled at Type I Designated Facilities (as defined below) the Type I Product using the same test programs and integrated circuit packaging used for
NetLogic’s own production of the Type I Product; and (c) import, offer for sale and sell such Type I Product. MTI shall have the right to appoint sales representatives, resellers and distributors for the sale of such Type I Product. 

 
 3.2 Technology Transfer. After payment of the first installment
payment in Section 3.4(a)(i), and not until MTI provides written notice to NetLogic of its bona fide intent to purchase a Type I Product from a Designated Foundry or NetLogic under the terms of this Agreement, NetLogic shall 

  

 -5- 

 
provide to MTI, as it becomes available, the applicable materials set forth on Exhibit F identified under the heading “NetLogic Deliverables for Type I
Product and the NetLogic Product.” 
  
 3.3 Designated
Facilities. 
  
 (a) Designated Foundry. After MTI
provides written notice to NetLogic of its bona fide intent to purchase a Type I Product from a Designated Foundry, then (i) NetLogic will inform the Designated Foundry of MTI’s license rights under this Agreement within five (5) business days
after Tape Out of such Type I Product, in order for MTI to procure the Type I Product from such Designated Foundry; and (ii) NetLogic shall use commercially reasonable efforts to assist MTI so that MTI can obtain the Type I Product from the
Designated Foundry on terms similar to those obtained by NetLogic taking into account volumes of product purchased by each of the Parties, including jointly negotiating with the Designated Foundry to achieve optimal pricing taking into account total
respective volumes of products; however, if MTI cannot purchase the Accepted Type I Product from the Designated Foundry on terms similar to those obtained by NetLogic taking into account volumes, MTI may elect to procure such Product directly from
NetLogic as identified in Section 3.6 below. Once MTI has made such election, MTI shall only purchase such Type I Product pursuant to Section 3.6 unless mutually agreed otherwise. 
  
 (b) Designated Test and Assembly Facilities. After MTI provides written notice to NetLogic of its bona fide intent to
purchase a Type I Product from a Designated Foundry, then (i) NetLogic shall support and enable test and assembly of the Type I Product at facilities designated by NetLogic in the Design Proposal for the Type I Product (“Type I Designated
Facilities”); and (ii) the Parties shall jointly negotiate with the Type I Designated Facilities to achieve optimal pricing taking into account total respective volumes of products for such test and assembly services; however, the Parties may
also agree that one Party shall negotiate with the Type I Designated Facility, provided that the prices obtained by such Party shall apply to both Parties, taking into account total respective volumes of products for such test and assembly services.

  
 3.4 Design Fees and Royalties. 
  
 (a) 18Mb GLTCAM. Upon execution of this Agreement, MTI Accepts the
18Mb GLTCAM Type I Product and MTI shall be obligated to pay NetLogic royalties in accordance with the Royalty Schedule on MTI’s sales of the Type I Product manufactured for MTI under the license in Section 3.1, and a design fee of $[*****] on
the following installment basis: 
  

	 	(i)	$[*****] within thirty (30) days after the Effective Date; 

  

	 	(ii)	$[*****] payable in two (2) equal consecutive, quarterly installments commencing within thirty (30) days after Tape Out; 

  

	 	(iii)	$[*****] within thirty (30) days after the commercial sale of a working sample of the Product by either MTI, NetLogic or both; and 

  

	 	(iv)	$[*****] within thirty (30) days after commercial sale of 1,000 units by either MTI, NetLogic or both. 

  
 ***** Confidential Treatment Requested 
  

 -6- 

 (b) Exchange of Sales Data. The Parties will provide each other data regarding
units sold promptly solely to verify when sales that trigger a payment under Sections 3.4(a)(iii) or 3.4(a)(iv) have occurred. Such sales data shall only be provided to those with a need to know such data, and shall be deemed to be
“Confidential Information” as defined in Section 15.1. 
  
 3.5 Mask Fees. MTI shall reimburse NetLogic for [*****]% of NetLogic’s actual documented mask costs and costs of mask updates associated with a Product Option paid by NetLogic for the Type I Product. The masks for the Type I
Product shall be owned by NetLogic. 
  
 3.6 Supply of 18Mb Type
I Product by NetLogic. If MTI elects to purchase NetLogic’s 18Mb GLTCAM Type I Product under the conditions identified in Section 3.3(a), NetLogic shall supply to MTI finished devices of such Product (i.e., fully assembled and
tested, marked with MTI’s logo according to MTI’s marking specifications) at a purchase price equal to NetLogic’s actual manufacturing cost (i.e., the actual cost, net of any discounts, etc., paid by NetLogic to the
manufacturer) plus [*****]% (the “Cost Mark-Up”). All design fee installment payments shall continue to be due and payable as identified in Section 3.4; provided, however, that MTI shall be obligated to pay NetLogic only [*****]% of the
Cost Mark-Up on the non-MTI Excess units as identified in the Royalty Schedule until such time that the accumulation of the remaining [*****]% of the Cost Mark-Up on such units equals $[*****]. Additional supply terms for the 18Mb GLTCAM Type I
Product shall be set forth in a supply agreement to be negotiated in good faith and entered into by the Parties when MTI elects to purchase such Product from NetLogic under this Section 3.6. Notwithstanding any provision to the contrary herein, if
MTI purchases NetLogic’s 18Mb GLTCAM Type I Product pursuant to this Section 3.6, MTI shall pay no royalty, further mask costs or costs of mask updates on such product. 
  
 ARTICLE 4 
 RESERVED 
  
 ARTICLE 5 
 TYPE III PRODUCTS 
  
 5.1 Acceptance of Type III Products. After execution of the Supply Agreement, MTI shall deliver to NetLogic, Design Proposals for Type III Products
that MTI decides to design. MTI shall supplement the Design Proposal with such other information as NetLogic may reasonably request, provided that it is in MTI’s possession and control. Upon Acceptance of any such Type III Product Design
Proposal, MTI shall supply each Accepted Type III Product to NetLogic pursuant to Article 7. Type III Products Accepted by NetLogic shall be manufactured at an MTI Facility. 
  
 5.2 License. 
  
 (a) To NetLogic. After execution of the Supply Agreement, and upon Acceptance of a Design Proposal for a Type III Product, MTI
grants NetLogic a personal, non-transferable, revocable (as provided in Article 16), worldwide, royalty-bearing, limited license (with no right to sublicense) under all MTI IP to (i) have manufactured at MTI Facilities the Accepted Type III Product
using the same mask sets and process used for MTI’s own production at such MTI Facilities 
  
 ***** Confidential Treatment Requested 
  

 -7- 

 of the Accepted Type III Products; (ii) have manufactured, tested and assembled at Type III Designated
Facilities (as defined below) the Accepted Type III Product using the same test programs and integrated circuit packaging used for MTI’s own production at such Type III Designated Facilities of the Accepted Type III Product; and (iii) import,
offer for sale and sell such Accepted Type III Product. Notwithstanding the foregoing, NetLogic shall have the right to appoint sales representatives, resellers and distributors for the sale of such Accepted Type III Product. 
  
 (b) To MTI. Upon payment of the first installment of
the GLTCAM Fee (as defined in Article 8), NetLogic grants MTI a personal, non-transferable, revocable (as provided in Article 16), worldwide, royalty-bearing, limited license (with no right to sublicense) under all NetLogic IP solely to (i) design,
develop, manufacture, test and assemble any Type III Product; and (ii) to import, offer for sale and sell any Type III Product. Notwithstanding the foregoing, MTI shall have the right to appoint sales representatives, resellers and distributors for
the sale of such Type III Products. 
  
 5.3 Technology
Transfer. 
  
 (a) To MTI. After
payment of the first installment of the GLTCAM Fee, NetLogic shall provide to MTI, as it becomes available, the applicable materials set forth in Exhibit F under the heading “NetLogic Deliverables for Type III Products.” As of the First
Amendment Effective Date, MTI agrees that NetLogic has provided to MTI all such applicable materials set forth in Exhibit F under the heading “NetLogic Deliverables for Type III Products.” 
  
 (b) To NetLogic. After payment of the first
installment payment in Section 5.4(a)(i), MTI shall provide to NetLogic, as it becomes available, the applicable materials set forth in Exhibit F under the heading “MTI Deliverables for Type III Products”. 
  
 5.4 Design Fees and Royalties. 
  
 (a) To MTI. Upon NetLogic’s Acceptance of each
Type III Product, NetLogic shall be obligated to pay MTI a design fee of either (i) $[*****] for Accepted Type III Products that are memory capacity modifications of an existing Accepted Type III Product which are designed to be made with the same
process generation (for example, a .13um process) as an existing Accepted Type III Product, or (ii) $[*****] for all other Accepted Type III Products that are designed to be made with a different process generation (for example a .13um process as
compared to a .11um process) than a previously Accepted Type III Product on the following installment basis: 
  

	 	(i)	[*****] % within thirty (30) days after Acceptance of the Design Proposal; 

  

	 	(ii)	[*****] % within thirty (30) days after Tape Out; 

  

	 	(iii)	[*****] % within thirty (30) days after the commercial sale of a working sample of the Product by either MTI, NetLogic or both; and 

  

	 	(iv)	[*****] % within thirty (30) days after commercial sale of 1,000 units by either MTI, NetLogic or both. 

  
 ***** Confidential Treatment Requested 
  

 -8- 

 (b) MTI shall promptly provide all Product Options to NetLogic without payment of a new
design fee. 
  
 (c) MTI shall pay NetLogic
royalties on MTI’s sales of all Type III Products in accordance with the Royalty Schedule. 
  
 (d) The Parties will provide each other data regarding units sold promptly solely to verify when sales that trigger a payment under
Sections 5.4(a)(iii) or 5.4(a)(iv) have occurred. Such sales data shall only be provided to those with a need to know such data, and shall be deemed to be “Confidential Information” as defined in Section 15.1. 
  
 5.5 Mask Fees. NetLogic shall reimburse MTI for [*****]% of MTI’s
actual documented costs and costs of mask updates associated with a Product Option paid for Type III Products that are accepted by NetLogic. The masks for Type III Products shall be owned by MTI. 
  
 5.6 Wafer Pricing. In consideration for the license grants under
Section 5.2(b), MTI shall pay royalties identified in Section 5.4(c) and manufacture the Accepted Type III products for NetLogic pursuant to the terms of the Supply Agreement. The price for each fully processed wafer of such Accepted Type III
Product manufactured by MTI and purchased by NetLogic shall be as identified in Exhibit E. 
  
 5.7 Designated Test and Assembly Facilities. MTI shall support and enable the test and assembly of the Accepted Type III Product at facilities designated by MTI in the Design Proposal for the Accepted Type III
Product (“Type III Designated Facilities”). The Parties shall jointly negotiate with the Type III Designated Facilities to achieve optimal pricing taking into account total respective volumes of products for such test and assembly
services. The Parties may also agree that one Party shall negotiate with the Type III Designated Facility, provided that the prices obtained by such Party shall apply to both Parties, taking into account total respective volumes of products for such
test and assembly services. If the Type III Designated Facility is MTI, MTI shall provide the test and assembly services to NetLogic at a cost that is commercially competitive with third party facilities offering the same test and assembly services,
or have such test and assembly services performed by a third party’s Type III Designated Facility. 
  
 ARTICLE 6 
 INVENTIONS 
  
 6.1 Ownership of Inventions. Inventions Made solely by MTI’s employees or agents shall be solely owned by MTI,
and any Inventions Made solely by NetLogic’s employees or agents shall be solely owned by NetLogic. With regard to such solely owned Inventions, only the Party who owns the Invention shall be entitled to decide whether it shall attempt to
secure patent protection for its respective Inventions. The Mask Works of all Type I Covered Products shall be owned by NetLogic, and the Mask Works of all Type III Covered Products shall be owned by MTI. However, use of such Mask Works shall at all
times be subject to valid, existing, non-terminated license grants identified in this Agreement. Notwithstanding the foregoing, if an Invention embodies Confidential Information of either Party, the Party owning the Confidential Information shall
have the right to 
  
 ***** Confidential Treatment Requested 
  
  

 -9- 

 exclude such Confidential Information from a patent application for such Invention. Further, each Party shall exercise
reasonable care to assure that any patent application filed by that party does not result in public disclosure of Confidential Information of the other Party. To achieve that goal, the Technical Coordinator of a Party will communicate with
appropriate persons involved in the drafting, filing or prosecution of applications generally relating to the subject matter which is the substance of this Agreement. 
  
 6.2 Joint Inventions. In the event that, in performance of this Agreement, any employee or agent of NetLogic and any
employee or agent of MTI jointly Make an Invention (a “Joint Invention”), such inventors shall promptly make a complete written disclosure, signed by each, to their respective Technical Coordinators. The Technical Coordinators shall then
promptly coordinate a review of such disclosure to determine if MTI and NetLogic would like to attempt to secure patent protection. Joint Inventions shall be jointly owned, title to all patents issued thereon shall be joint, all expense incurred in
obtaining and maintaining such patents, except as provided herein, shall be equally shared, and each Party shall have the unrestricted right to license third parties thereunder without accounting to the other Party. However, when the Parties meet
and discuss matters relating to obtaining legal protection for Joint Inventions, if one Party does not want to pursue filing an application on the Joint Inventions in any country, the other Party may independently pursue such protection of the Joint
Inventions in such country on behalf of that Party only at the Party’s sole expense. The applicant Party in such country shall be the sole owner of any and all resulting patents or other intellectual property rights arising from the
application, and shall be entitled to all revenues derived by such Party relating to the issued patent or other protection; provided, however, that the other Party shall have a non-transferable, non-exclusive, royalty-free license under such patent
or other intellectual property protection within such country and for the full term of such patent or other legal protection, to make, have made, use, sell, offer for sale, import and market products or processes utilizing or embodying the subject
matter claimed therein. Notwithstanding the foregoing, if a Joint Invention embodies Confidential Information of either Party, the Party owning the Confidential Information shall have the right to exclude such Confidential Information from a patent
application for such Joint Invention. 
  
 6.3 Patents.
Subject to the foregoing and irrespective of whether either Party has elected not to incur the expense of pursuing patent protection on a Joint Invention, each Party shall nonetheless furnish reasonable assistance (in the form of inventor review and
consultation) in order to assist with the preparation, filing, and prosecution of the given patent application. In addition, each Party shall execute and cause its respective inventors to execute assignments and all other instruments and documents
as may be reasonably necessary or appropriate to carry out the intent of this Section 6. The Parties shall agree upon appropriate legal counsel to be used in the preparation and prosecution of each patent that the Parties agree to pursue jointly.
Otherwise, the Party prosecuting the patent shall have the right to select legal counsel for such prosecution. 
  
 6.4 No Implied License. Nothing contained in this Article 6 shall be deemed to grant, either directly or by implication, estoppel, or otherwise,
any license under any patents or patent applications arising out of any other Inventions of either Party. 
  

 -10- 

 ARTICLE 7 
 MANUFACTURE AND SUPPLY 
  
 All
Accepted Type III Products shall be supplied in wafer form to NetLogic pursuant to the terms of the Supply Agreement. MTI shall have no obligation to supply any Covered Products to NetLogic unless and until the Supply Agreement is executed by the
Parties. Neither Party shall have any obligation to negotiate a Supply Agreement with the other Party and either Party may cease any such negotiations at any time in its sole discretion. 
  
 ARTICLE 8 
 LICENSE FEE 
  
 For the license grants and technology
transfer set forth herein, subject to MTI’s continuing obligation to pay royalties pursuant to this Agreement, MTI shall pay NetLogic an initial, non-refundable, GLTCAM license fee of $[*****] (the “GLTCAM Fee”) due on the Effective
Date of this Agreement, and payable as follows: (i) $[*****] within five (5) business days after the Effective Date, (ii) $[*****] by March 31, 2003, and (iii) $[*****] within five (5) business days after the First Amendment Effective Date.

  
 ARTICLE 9 
 RESERVED 
  
 ARTICLE 10 
 EXCLUSIVITY 
  
 10.1 Exclusivity. During the Term of this Agreement and except as otherwise provided in this Agreement to carry out
the rights and obligations of this Agreement, MTI shall not license, assist or enable another entity to develop, make, have made, import, sell or offer for sale any Type III Product or any other product that has the same form, fit and function of
such Type III Product in all material respects (the “Exclusive Product”) as a discrete component, provided however that this Section 10.1 shall not preclude MTI from (x) selling such Exclusive Products through its direct sales force, sales
representatives, resellers or distributors; (y) licensing the right to make, have made, import or sell such product to customers that do not resell such Exclusive Product as a discrete component; or (z) granting any general license to Intellectual
Property Rights or Intellectual Property broadly applicable to products other than the Covered Products. 
  
 ARTICLE 11 
 ASSIGNMENT 
  
 11.1 General. This Agreement may not be assigned by MTI, directly or indirectly, whether by merger, acquisition or
otherwise, to any third party under any circumstances (including bankruptcy) without the prior written consent of NetLogic. 
  
 ***** Confidential Treatment Requested 
  

 -11- 

 ARTICLE 12 
 INDEMNIFICATION 
  
 12.1 Type I
Products. NetLogic shall defend, hold harmless and indemnify MTI and its directors, officers, and employees, at NetLogic’s expense, for any and all damages, losses and liabilities resulting from any claim, action, suit or other proceeding
against MTI asserting that any portion of the design of an Accepted Type I Product or, in the case of the NetLogic Product, processes used to make such product, infringes any third party’s Intellectual Property Rights. 
  
 12.2 Procedures for Indemnification. To qualify for indemnification
under this Article 12, the Party seeking indemnification (the “Indemnified Party”) must give the other Party (the “Indemnifying Party”) prompt written notice of any such claim or proceeding and related information and nonmonetary
assistance reasonably requested by the Indemnifying Party at the Indemnifying Party’s expense, and allow the Indemnifying Party sole control over the defense of such claim or proceeding and all related settlement negotiations. If the use of any
design is enjoined on account of a suit referred to above, the Indemnifying Party, at its own expense, shall use reasonable commercial efforts to procure on reasonable terms for the Indemnified Party the right to continue using the design, or
replace or modify the design so that the design is outside of the scope of the injunction, but substantially equivalent in functionality and performance. If neither of those actions is reasonably feasible using the Indemnifying Party’s
commercially reasonable efforts, the Indemnifying Party shall refund to the Indemnified Party the unamortized portion of the license fee paid to the Indemnifying Party by the Indemnified Party for such design, based upon a 3-year straight-line
depreciation schedule, with depreciation to commence on the Effective Date. 
  
 12.3 Limitations. The Indemnifying Party shall have no obligation under this Article 12 if, and to the extent that, such claim arises from: (i) modification of the design by any party other than the
Indemnifying Party, or (ii) the combination of the product with hardware or Software not provided by the Indemnifying Party, to the extent that the alleged infringement or misappropriation relates to such modification or combination. THE RIGHTS AND
REMEDIES SET FORTH IN THIS ARTICLE 12 CONSTITUTE THE ENTIRE OBLIGATION OF THE INDEMNIFYING PARTY AND THE SOLE AND EXCLUSIVE REMEDY OF THE INDEMNIFIED PARTY FOR CLAIMS OF INFRINGEMENT OF THIRD PARTY INTELLECTUAL PROPERTY RIGHTS. 
  
 ARTICLE 13 
 REVIEWS OF DATA 
  
 13.1 Review. NetLogic shall have the right to review, during reasonable business hours and with advance notice, at its expense, MTI’s calculations of its Manufacturing Cost, Process R&D Cost and ASP (as defined in Exhibit
B) on an annual basis by an external accounting firm reasonably acceptable to both Parties. The accounting firm shall execute a nondisclosure agreement with MTI and shall report to NetLogic only (a) overcharges or undercharges, in the case of
review of Manufacturing Cost and Process R&D Cost, and (b) overpayments or underpayments, in the case of ASP. NetLogic shall be entitled to rely upon the accountant’s opinion as to whether MTI’s accounting practices and procedures are
in accordance with good accounting practices. For the 
  

 -12- 

 purpose of determining “ASP” as defined in Exhibit B, prices for particular transactions shall not be
disclosed. Any amounts due either Party as a result of such audit shall be paid within thirty (30) days. 
  
 13.2 Sales Data. Each Party shall, on a quarterly basis, between thirty (30) and sixty (60) days after the applicable quarter, report to the other
Party its sales of Covered Products broken down by product type. Such sales data shall only be provided to those with a need to know such data and shall be deemed to be “Confidential Information” as defined in Section 15.1. Under no
circumstances shall such data be disclosed to individuals with price setting responsibilities. Each Party shall have the right, not more than once in a 12-month period, to have an accounting firm reasonably acceptable to both Parties solely to
confirm the other Party’s sales of Covered Products at the reviewing Party’s expense, and solely to confirm the sales of the Covered Product by product type and report overages and underages of such. The accounting firm shall execute
nondisclosure agreements with each Party that prevents any additional disclosure. 
  
 ARTICLE 14 
 LIMITATION OF LIABILITY 
  
 EXCEPT IN CONNECTION WITH ARTICLE 12 [INDEMNIFICATION] OR A BREACH OF ARTICLE 15 [CONFIDENTIALITY] OR SECTIONS 3.1 AND 5.2
[LICENSE GRANTS] OR ANY WILLFUL OR INTENTIONAL BREACH THAT WOULD CONSTITUTE AN UNFAIR BUSINESS PRACTICE UNDER NEW YORK LAW, IN NO EVENT SHALL EITHER PARTY BE LIABLE TO THE OTHER PARTY FOR ANY SPECIAL, CONSEQUENTIAL, INCIDENTAL OR INDIRECT DAMAGE OF
ANY KIND, (INCLUDING WITHOUT LIMITATION LOSS OF PROFIT OR DATA) WHETHER OR NOT ADVISED OF THE POSSIBILITY OF SUCH LOSS. WITH THE FOREGOING EXCEPTIONS, AND WITHOUT LIMITING EACH PARTY’S OBLIGATION TO PERFORM THEIR RESPECTIVE RESPONSIBILITIES, IN
NO EVENT WILL EITHER PARTY’S LIABILITY ARISING HEREUNDER EXCEED THE GREATER OF THE AGGREGATE OF LICENSE FEES, DESIGN FEES AND ROYALTIES PAID OR PAYABLE BY MTI TO NETLOGIC HEREUNDER OR THE AGGREGATE OF LICENSE FEES, DESIGN FEES AND ROYALTIES
PAID OR PAYABLE BY NETLOGIC TO MTI HEREUNDER. 
  
 ARTICLE 15

 CONFIDENTIALITY 
  
 15.1 Confidential Information. “Confidential Information” means (i) any information disclosed by one Party (the “Disclosing
Party”) to the other (the “Receiving Party”), which, if in written, graphic, machine-readable or other tangible form is marked as “Confidential” or “Proprietary”, or which, if disclosed orally or by demonstration,
is identified at the time of initial disclosure as confidential and reduced to a writing marked “Confidential” and delivered to the Receiving Party within 60 days of such disclosure. NetLogic agrees that MTI shall have the right to
disclose NetLogic’s Confidential Information to any Affiliate of MTI that is wholly-owned by MTI that has a need to know such Confidential Information. Notwithstanding the foregoing, the Receiving Party’s obligations hereunder shall in all
instances apply to whatever information, however characterized, which the Receiving Party receives, hears, observes or otherwise learns and 
  

 -13- 

 which the Receiving Party has reason to believe or should reasonably believe, is Confidential Information by virtue of
the nature of the specific information and/or the circumstances surrounding its access or receipt by the Receiving Party. This shall include, but shall not be limited to, all manner of information disclosed, exchanged and generated in connection
with the Technology Committee meetings. Except as set forth above, to the extent that any Confidential Information of either Party needs to be disclosed to any Affiliate of the other Party for the sole and limited purpose of assisting such other
Party in the performance of its obligations hereunder, such Affiliate of the Receiving Party shall enter into a Confidentiality Agreement directly with the Disclosing Party, before any such disclosure by any Party of the Disclosing Party’s
Confidential Information to such Affiliate. Confidential Information shall exclude information that the Receiving Party can demonstrate by documented evidence prior to any unauthorized use or disclosure: 
  
 (a) was independently developed by the Receiving Party
without any reference to, use or benefit of the Disclosing Party’s Confidential Information or by the Receiving Party’s employees (or independent contractors hired by the Receiving Party) who had no access to or benefit of the Disclosing
Party’s Confidential Information; 
  
 (b)
becomes known to the Receiving Party prior to its receipt from the Disclosing Party, without restriction, from a source other than the Disclosing Party without breach of this Agreement and that had a right to disclose it; 
  
 (c) was already in the public domain by printed publication
of general circulation at the time it was disclosed to the Receiving Party, or thereafter becomes part of the public domain on that same basis but through no act or omission of the Receiving Party, its Affiliates, or their respective officers,
directors, agents, employees, consultants, or subcontractors; or 
  
 (d) was already and rightfully known to the Receiving Party, without restriction, prior to its receipt from the Disclosing Party and from a source which was not directly or indirectly associated with such Disclosing
Party. 
  
 15.2 Compelled Disclosure. If a Receiving Party
believes that it will be compelled by a court or other authority to disclose Confidential Information of the Disclosing Party, it shall give the Disclosing Party prompt written notice so that the Disclosing Party may take steps to oppose such
disclosure. The Receiving Party shall not be entitled to disclose any of the Disclosing Party’s Confidential Information except to the extent, but only to the extent, that the Receiving Party is in fact compelled to do so pursuant to a valid
court order or subpoena compelling such disclosure. In any event, Confidential Information disclosed under such circumstances shall nonetheless be deemed to be and remain Confidential Information unless and to the extent, but only to the extent,
that it falls within any of the exemptions of Section 15.1 (a)-(d) at any future point in time. 
  
 15.3 Confidentiality Obligation. The Receiving Party shall keep such Confidential Information in strict confidence, and except as provided in
Section 15.1, shall not be entitled to disclose the Disclosing Party’s Confidential Information to anyone other than its own full-time employees who have a bona fide need to know for the sole and limited purpose of assisting the Receiving Party
in performing its license grant hereunder, but only if such employees have first 
  

 -14- 

 executed a binding and enforceable agreement with the Receiving Party which requires them to treat such Confidential
Information only in the same manner as the Receiving Party is obligated to do so hereunder. The Receiving Party agrees to enforce such agreements to the fullest extent that the law will permit, and shall be responsible and liable to the Disclosing
Party for any breach of the same, whether or not such individuals are employees of the Receiving Party at the time of such breach. On the Disclosing Party’s request, the Receiving Party shall provide the Disclosing Party with the names of all
past and present employees, who had access to the Disclosing Party’s Confidential Information. Receiving Party’s non-disclosure obligations shall endure with respect to each item of Confidential Information for so long as that item does
not fall within any of the exemptions set forth in Section 15.1 (a)-(d) above. However, the exemption of any given item of Confidential Information shall not affect any other item(s) of Confidential Information unless and until such other item(s) is
likewise exempted. 
  
 Receiving Party shall only be entitled to
use the Disclosing Party’s Confidential Information for the express and limited purpose of performing and exercising its license grant hereunder, but subject to the Receiving Party’s non-disclosure obligations. It is contemplated that the
Parties will need to disclose certain information obtained from the other Party to customers and potential customers for purposes of marketing, selling, supporting, and otherwise commercializing the Covered Products pursuant to this Agreement. The
Parties agree that such information may be disclosed to customers or potential customers as is reasonably necessary for the marketing, selling, supporting and commercializing of the Covered Products, only if such information is disclosed pursuant to
an appropriate non-disclosure agreement with such customer or potential customer that requires them to treat such Confidential Information in a manner consistent with the confidentiality provisions herein. 
  
 15.4 Confidentiality of Agreement. Each Party agrees that the terms
and conditions, but not the existence, of this Agreement shall be treated as the other’s Confidential Information and that no reference to the terms and conditions of this Agreement can be made in any form of public or commercial advertising
without the prior written consent of the other Party; provided, however, that each Party may disclose the terms and conditions of this Agreement: (i) as required by any court or other governmental body; (ii) as otherwise required by law; (iii) to
legal counsel of the Parties; (iv) in connection with the requirements of an initial public offering, secondary offering, or debt offering securities filing of the Parties; (v) in confidence, to accountants, banks, and financing sources and their
advisors; (vi) in confidence, in connection with the enforcement of this Agreement or rights under this Agreement; or (vii) in confidence, in connection with a merger or acquisition or proposed merger or acquisition, or the like. 
  
 15.5 Residuals. Notwithstanding anything to the contrary herein, each
Party and its personnel shall be free to use and employ its and their general skills, know-how and expertise, and to use, disclose and employ any generalized ideas, concepts, know-how, methods, techniques or skills gained or learned during the
course of performing this Agreement, so long as the information is retained in a non-tangible form and they acquire and apply such information without disclosure of any Confidential Information of the other Party. 
  

 -15- 

 15.6 Remedies. Unauthorized use or disclosure by a Party of the other Party’s Confidential
Information will seriously diminish or eliminate the value of such information. Therefore, if a Party breaches any of its obligations with respect to confidentiality or use of Confidential Information hereunder, the other Party shall be entitled to
seek an order for injunctive relief, and without proof of damages, to protect its interest therein, including money damages. For the avoidance of any doubt or dispute, both Parties acknowledge and agree that the sale of any products embodying
Technology which is the subject of this Agreement, shall not be deemed to result in disclosure of the Confidential Information content of the same for purposes of relieving either Party of its obligations relative to the same. 
  
 ARTICLE 16 
 TERM AND TERMINATION 
  
 16.1 Term. The term (the “Term”) of this Agreement commences on the Effective Date and will continue for four (4) years. Following the expiration of such 4-year period, if this Agreement has not been
terminated by either Party for material breach as provided below, then (x) the licenses granted herein to the designer of any Type III Products that are Accepted or for which a Design Proposal has been submitted to NetLogic at least sixty (60) days
before the end of the Term, or any Accepted Type I Product, and (y) the licenses granted herein to a Party which has Accepted a Design Proposal, shall survive but only to the extent that the GLTCAM Fee installments, applicable Design Fee
installments, and royalty payments continue as indicated herein. 
  
 16.2 Resolution of Disputes. It is the desire of the Parties that any dispute between them be resolved in an amicable manner to the fullest extent possible, and that any such resolution be reasonable. Subject to the provisions of
Section 16.3 below, if any dispute involves a material breach of this Agreement, the non-breaching Party shall invoke the following dispute resolution process: 
  

(a) Within seven (7) calendar days of the Non-Breaching Party’s Notice of Breach in accordance with the requirements of Section
18.9 below, a meeting of the Technical Coordinators shall be held for the purposes of resolving the matter. 
  
 (b) If, after meeting in accordance with Section 16.2(a), the Technical Coordinators are unable to resolve the dispute within an
additional seven (7) days (fourteen (14) days from the Notice of Breach), a meeting of Vice Presidents of each Party shall be held for further attempts at resolution. 
  
 (c) If, after meeting in accordance with Section 16.2(b), the Vice Presidents are unable to resolve the
dispute within an additional seven (7) days (twenty one (21) from the Notice of Breach), a meeting of the CEO of each Party shall be held for further attempts at resolution. 
  
 (d) If, after meeting in accordance with Section 16(2)(c), the CEOs are unable to resolve the dispute within
an additional seven (7) days (twenty eight (28) days from the Notice of Breach), either Party may submit the matter for resolution in court pursuant to Article 17. In the event either Party fails to comply with the requirements of this Section 16.2
at any stage with respect 
  

 -16- 

 to a dispute subject to this Section 16.2, from and after such non-compliance, the other Party shall no
longer be obligated to comply with the provisions of this Section 16.2 with respect to such dispute and may submit the matter for resolution in court pursuant to Article 17. 
  
 16.3 Breach, Cure and Termination. If either Party (the “Breaching Party”) shall at any time breach this
Agreement by failing to perform a material provision of this Agreement, the Non-Breaching Party shall provide the Breaching Party with written notice of breach (“Notice of Breach”) pursuant to Section 18.9 to the Breaching Party specifying
in detail the nature of the alleged breach. The Non-Breaching Party shall invoke the dispute resolution process in such Notice of Breach in accordance with Section 16.2. For the avoidance of doubt, proceeding in accordance with Section 16.2 will not
constitute a waiver of any damages or claim for damages. If any breach is not cured by the end of the dispute resolution process in Section 16.2, the Non-Breaching Party shall have the right to commence court proceedings pursuant to Section 18.9 to
seek all remedies available at law or in equity. The Non-Breaching Party may seek equitable relief during the pendency of any dispute being resolved in accordance with Section 16.2. 
  
 16.4 Court Remedy. This Agreement will survive and remain in effect for its term, and the provisions that survive
termination shall remain in effect, unless a court of final determination decides that all or part of this Agreement or such surviving provisions must terminate in order to provide the Non-Breaching Party with an appropriate remedy. 
  
 16.5 Notice of Breach. Notice of Breach or Notice other than in strict
accordance with Section 18.9 will not be effective. 
  
 16.6
Effect of Termination. Termination of this Agreement by the Non-Breaching Party pursuant to Section 16.2 will not relieve the Breaching Party of liability for such breach, nor will it relieve either Party of liability for any prior breach of
this Agreement or of any future breach of any term or condition of this Agreement that survives such termination. Accordingly, termination of this Agreement by either Party will be without prejudice to any other rights and remedies of that Party or
the other Party provided at law or in equity, and will be in addition to the rights and remedies set forth in this Agreement. Following termination of this Agreement pursuant to Section 16.2 and 16.4: 
  
 (a) At the option of the Non-Breaching Party, any licenses
granted to the Breaching Party may be terminated immediately upon written notice, and all licenses granted to the Non-Breaching Party will survive for the remainder of the original 4-year term only with respect to Covered Products for which a Design
Proposal has been Accepted prior to such termination. 
  
 (b) In the event of termination for NetLogic’s breach, the royalty rates in the Royalty Schedule will become [*****]% of ASP (as defined in the Royalty Schedule) for all volumes of Type I Products, and [*****]% of ASP for Type III
Products. For clarification, the royalty due on any sales of such Covered Products would be [*****]% of ASP for Type I Products and [*****]% for Type III Products, regardless of volume, and no additional or different royalties and fees would be due
with respect to any MTI Excess or Excess Royalty (as defined in the Royalty Schedule). 
  
 ***** Confidential Treatment Requested 
  
  

 -17- 

 (c) In the event of termination for MTI’s breach, the Supply Agreement shall, at
NetLogic’s sole option, continue in force (provided the Supply Agreement is in effect and does not terminate pursuant to its own terms) for Accepted Type III Products for the remaining 4-year term of this Agreement, and the price for such
Accepted Type III Products shall be the Type III Wafer Price, and the Elevated Type III Wafer Price, as appropriate respectively. 
  
 (d) Except as otherwise provided in this Article 16, all obligations and duties of the Parties shall immediately terminate upon expiration
or termination of this Agreement. 
  
 16.7 Survival. The
following provisions of this Agreement shall survive any expiration or termination of this Agreement in accordance with the terms of such provisions: 1, 3.5, 5.5, 6, 7, 12, 13 (to the extent applicable) 14, 15, 16.1, 16.6, 16.7, 17 and 18. Sections
3.1 and 5.2 shall also survive expiration or termination of this Agreement to the extent provided in Section 16.1. 
  
 ARTICLE 17 
 GOVERNING LAW AND JURISDICTION 
  
 The validity, interpretation and performance of this Agreement shall not be
governed by the United Nations Convention on Contracts for the International Sale of Goods, as amended or replaced; rather, such rights and obligations shall be governed by and construed in accordance with the laws of New York without reference to
conflict of laws rules. The Parties hereby consent to the personal jurisdiction of the courts of New York for any dispute arising out of this Agreement, and any action arising out of this Agreement shall be venued in New York. 
  
 ARTICLE 18 
 GENERAL PROVISIONS 
  
 18.1 Licensor Bankruptcy. All rights and licenses granted to a Party pursuant to this Agreement are, and shall otherwise be deemed to be, for purposes of Section 365(n) of Title 11 of the United States Code (the “Bankruptcy
Code”), licenses to rights of “intellectual property” as defined thereunder. Notwithstanding any provision contained herein to the contrary, if the licensing Party is under any proceeding under the Bankruptcy Code and the trustee in
bankruptcy of the licensing Party, or the licensing Party as a debtor in possession, rightfully elects to reject this Agreement, the licensee may, pursuant to Sections 365(n)(1) and (2) of the Bankruptcy Code, retain any and all of the
licensee’s rights hereunder, to the maximum extent permitted by law, provided however, that such rights shall be subject to the licensee’s performance of all obligations associated therewith, including but not limited to, the obligation to
pay royalties pursuant to the express terms of this Agreement. 
  
 18.2 Independent Contractors. MTI and NetLogic are independent contractors. Nothing contained herein or done pursuant to this Agreement shall constitute either Party the agent of the other Party for any purpose or in any sense
whatsoever, or result in MTI and NetLogic being deemed to be partners, joint venturers, representative, or a franchisor-franchisee of the other. 
  

 -18- 

 18.3 Force Majeure. Neither Party shall be liable to the other Party for failure to perform its
obligations under this Agreement if such failure is caused by any event or condition not within the control of the affected Party, including, without limitation, by fire, flood, typhoon, earthquake, explosion, strike, labor trouble or other
industrial disturbance, unavoidable accident, war (declared or undeclared), act of terrorism, sabotage, embargo, riot, or any other similar cause or event beyond the control of the Parties, provided that the affected Party promptly notifies the
other Party of the occurrence of such event or condition and takes all reasonable steps necessary to resume performance of its obligations so interfered with. For the avoidance of doubt, and for purposes of emphasis only and not intending to limit
the purpose or intent of this provision, both Parties acknowledge and agree that any change in economic conditions and/or any manner of organizational changes and/or changes in policies, practices and procedures, shall not be deemed a Force Majeure
event and hence shall not excuse, waive or suspend the affected Party from performing and complying with its obligations hereunder. 
  
 18.4 Waiver. Any waiver of any kind by a party of a breach of this Agreement must be in writing, shall be effective only to the extent set forth in
such writing and shall not operate or be construed as a waiver of any subsequent breach. Any delay or omission in exercising any right, power or remedy pursuant to a breach or default by a Party shall not impair any right, power or remedy which
either Party may have with respect to a future breach or default. 
  
 18.5 Severability. If it is determined by a court of competent jurisdiction as part of a final nonappealable ruling, government action or binding arbitration, that any provision of this Agreement (or part thereof) is invalid,
illegal, or otherwise unenforceable in any jurisdiction, such provision shall be enforced in such jurisdiction as nearly as possible in accordance with the stated intention of the Parties, while the remainder of this Agreement shall remain in full
force and effect and bind the Parties according to its terms, and any such determination shall not invalidate or render unenforceable such provision in any other jurisdiction. To the extent any provision (or part thereof) cannot be enforced in
accordance with the stated intentions of the Parties, such provision (or part thereof) shall be deemed not to be a part of this Agreement; provided that in such event the Parties shall use their best efforts to negotiate, in good faith, a
substitute, valid and enforceable provision which most nearly effects the Parties’ intent in entering into this Agreement. 
  
 18.6 No Third Party Beneficiary. Nothing herein, expressed or implied, is intended to or shall be construed to confer upon or give to any Party or
person other than MTI and NetLogic and their successors or permitted assigns any rights or remedies under or by reason of this Agreement. 
  
 18.7 Modification; Amendment. No modification of, or amendment to, this Agreement shall be effective unless in writing signed by both Parties. This
Agreement shall not be supplemented or modified by any course of dealing or other trade usage. 
  
 18.8 Integration. This Agreement together with the exhibits hereto sets forth the entire agreement and understanding of the Parties relating to the subject matter hereof and merges and supersedes all prior
understandings (whether written, verbal or implied) with respect thereto. The Parties agree that the terms and conditions of this Agreement shall prevail, notwithstanding any 
  

 -19- 

 contrary or additional terms in any of the parties’ preprinted documents, unless explicitly agreed to in writing by
the Parties. 
  
 18.9 Notices. All notices and other
communications hereunder shall be in writing, and shall be deemed given (i) on the date of delivery if delivered personally, or (ii) by facsimile, upon confirmation of receipt, provided that any such notice so given is also mailed or sent as
provided in clause (iv) below, (iii) on the first business day following the date of dispatch by a recognized next-day courier service, or (iv) on the tenth business day following the date of mailing if delivered by registered or certified mail,
return receipt requested, postage prepaid. All notices hereunder shall be delivered as set forth below, or pursuant to such other instructions as may be designated in writing to the Party to receive such notice: 
  
 (a) if to MTI: 
  
 Micron Technology, Inc. 
 8000 South Federal Way 
 Boise, Idaho 83707 
 Attention: General Counsel 
 Facsimile: (208) 368-4540 
  
 with a copy to: 
  
 Wilson Sonsini Goodrich & Rosati 
 Professional Corporation 
 One Market 
 Spear Tower, Suite 3300 
 San Francisco, California 94105 
 Attention: Michael Okada, Esq. 
 Facsimile: (415) 947-2105 
  
 (b) if to NetLogic: 
  
 NetLogic Microsystems, Inc. 
 450 National Avenue 
 Mountain View, California 94043 
 Attention: General Counsel 
 Facsimile: (650) 961-1092 
  
 with a copy to: 
  
 Bingham McCutchen, LLP 
 1900 University Avenue 
 East Palo Alto, California 94043 
 Attention: Alan Kalin 
 Facsimile: (650) 849-4800 
  
  

 -20- 

 18.10 Interpretation. The words “include,” “includes” and
“including” when used herein shall be deemed in each case to be followed by the words “without limitation.” The table of contents and Section headings of this Agreement are for reference purposes only and are to be given no
effect in the construction or interpretation of this Agreement. All references herein to Articles, Sections, Schedules and Exhibits, unless otherwise identified, are to Articles and Sections of, and Schedules and Exhibits to, this Agreement.

  
 18.11 Warranty Disclaimer. EXCEPT AS PROVIDED HEREIN,
ALL TECHNOLOGY EXCHANGED HEREUNDER AND ALL INTELLECTUAL PROPERTY RIGHTS LICENSED HEREUNDER ARE PROVIDED “AS IS” WITHOUT WARRANTY OF ANY KIND, EXPRESS OR IMPLIED, AND EACH PARTY HEREBY DISCLAIMS ANY IMPLIED WARRANTIES OF MERCHANTABILITY,
FITNESS FOR PARTICULAR PURPOSE AND NON-INFRINGEMENT. 
  
 18.12
Fees and Expenses. Except as otherwise set forth herein, all costs and expenses, including all fees and expenses of attorneys, investment bankers, lenders, financial advisors and accountants, in connection with the negotiations, preparation,
execution and delivery of this Agreement, and the consummation of the transactions contemplated hereby and thereby, shall be paid by the Party incurring such costs and expenses. 
  
 18.13 Payments. All dollar amounts herein are in United States Dollars. Payments hereunder must be made via wire
transfer of immediately available funds to the bank account designated by the recipient Party. All payments provided for in this Agreement shall be made without deduction of taxes; provided, however, that in the event any withholding income tax is
imposed by tax authorities on an amount payable hereunder, the payer may withhold such income tax and shall without undue delay, obtain and send to the other Party tax certificates evidencing the tax amount withheld and paid. On any amounts not paid
within 7 days of the due date the Party receiving payment may, in its sole discretion, charge interest on such overdue amount, from the due date of such past-due payment through the date of payment, at a rate not in excess of 1.5% per month (18% per
annum) unless a lower rate is required under applicable law, in which event Seller may charge such lower rate. In addition, the Party owing the payment shall pay all costs of collection, including costs of litigation and reasonable attorneys’
fees unless the payment is ultimately waived or not deemed due. In no event, however, shall either Party be entitled to assess interest against any amount due hereunder which is the subject of a bona fide dispute provided, however, that the
undisputed portions of such amounts are paid in accordance with the requirements of this Agreement, and further provided that the Party disputing the amount payable fully and continuously cooperates with the other Party to resolve the dispute as
promptly as is reasonably possible. 
  
 18.14 Counterparts.
This Agreement may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument. This Agreement shall become effective when each Party shall
have received a counterpart hereof signed by the other Party. 
  
 18.15 Publicity. So long as this Agreement is in effect, the Parties shall promptly advise, consult and cooperate with the other prior to issuing, or permitting any of their Subsidiaries, 
  

 -21- 

 Affiliates, directors, officers, employees or agents to issue, any press release or other statement to the press or any
third party with respect to this Agreement, or the transactions contemplated hereby. 
  
 18.16 Export. Neither NetLogic nor MTI shall export or re-export, directly or indirectly, any technical information disclosed hereunder or direct product thereof to any destination prohibited or restricted by
the export control regulations of the United States, including the U.S. Export Administration Regulations, without the prior authorization from the appropriate governmental authorities. 
  
 18.17 Headings. All section headings herein are for convenience only and are in no way to be construed as part of
this Agreement or as a limitation of the scope of the particular sections to which they refer. 
  

 -22- 

 IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed in duplicate, as of the date
first above written. 
  

									
	 NetLogic Microsystems, Inc.
	 	 	 	Micron Technology, Inc.
					
	By:	 	/s/    RON JANKOV	 	 	 	By:	 	/s/    JAN DU PREEZ
	 	 	
	 	 	 	 	 	

					
	Name:	 	Ron Jankov	 	 	 	Name:	 	Jan du Preez
	 	 	
	 	 	 	 	 	

					
	Title:	 	CEO	 	 	 	Title:	 	Vice President of Networking and Communications
	 	 	
	 	 	 	 	 	

			
	 Date: May 7, 2003
	 	 	 	 Date: May 7, 2003

  
  
  
  
  

 -23- 

 Exhibit A 
  

	

	

					
	 Product Type

	 	 Product Description

	 	 Designated Foundry

			
	 Type I
	 	18Mb GLTCAM 130nm	 	TSMC
			
	 Type III
	 	[*****]	 	MTI
			
	 Type III
	 	18Mb GLTCAM 130nm	 	MTI
			
	 Type III
	 	36Mb GLTCAM 130nm	 	MTI

  
 ***** Confidential Treatment Requested

  

 -24- 

 Exhibit B 
  
 Royalty Schedule 
  
 Type I Products: 
  
 MTI shall pay a quarterly royalty to NetLogic of [*****]% of MTI’s average selling price during such quarter (“ASP”) of each Accepted Type I Product sold by MTI and its Affiliates to customers other
than NetLogic; provided that if MTI, during any MTI fiscal quarter, sells greater than [*****]% of MTI and NetLogic’s aggregated sales of Accepted Type I Products (by product volume), the royalty due to NetLogic on such excess quantity (the
“MTI Excess”) shall be [*****]% of MTI’s ASP for such quarter for such product sold by MTI and its Affiliates to customers other than NetLogic. Payments shall be made within 30 days after the end of each MTI fiscal quarter provided,
however, that payments with respect to the MTI Excess, if any, shall be due and payable 90 days after the end of each MTI fiscal quarter. 
  
 In addition, if over any [*****] period (rolling, not calendar) following the payment in Section 3.4(a)(iii) of a specific Accepted Type I Product, NetLogic sells less
than [*****]% of the combined sales of MTI and NetLogic of that specific Accepted Type I Product, from the end of that [*****] rolling period forward, the royalty due NetLogic shall be [*****]% of MTI’s ASP and the MTI Excess shall not be due
with respect to such Type I Product. If NetLogic’s sales of such Accepted Type I Product subsequently equal or exceed [*****]% of such combined sales in any quarter after such [*****] period, then such royalty due NetLogic with respect to the
MTI Excess will be reinstated for such quarter. 
  
 Type III Products:

  
 MTI shall pay the following quarterly Type III Base Royalty to NetLogic for
each Type III Product within 30 days after the completion of each MTI fiscal quarter: 
  
 Type III Base Royalty = [*****] 
  
 Where: 
  
 [*****] 
 [*****] 
 and where: 
  
  
  
  
 ***** Confidential Treatment Requested 
  

 -25- 

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

 
 For each past-due payment hereunder, an interest charge at the rate of 1.5% per month (or
a lower rate as required by applicable law) shall be applied from the due date of such past-due payment through the date of actual payment. 
  
 Exhibit C 
  
 RESERVED 
  
 ***** Confidential Treatment Requested 
  

 -26- 

 Exhibit D 
  
 Acceptance Form 
  
 [DATE] 
  
 [NAME] 
 [ADDRESS] 
 [ADDRESS] 
  
 Dear [NAME]: 
  
 [COMPANY] hereby accepts the Design Proposal for the [PRODUCT] pursuant to the terms and conditions of the License and Technology Transfer Agreement dated [DATE].

  
 Sincerely, 
  
 [NAME] 
  

 -27- 

 Exhibit E 
  
 Wafer Pricing 
  
  
 Type III Products. 
  
 (A) Accepted [*****] GLTCAM Type III Product and Accepted 18Mb GLTCAM Type III Products. The price for each fully processed wafer of
an Accepted [*****] GLTCAM Type III Product and Accepted 18Mb GLTCAM Type III Product manufactured by MTI and purchased by NetLogic shall be the “Type III Product Wafer Price” determined as follows: 
  
 Type III Wafer Price = [*****] 
  
 The Type III Wafer Price is due to MTI net 45 days from the date of invoice ,
which shall not be issued until such Accepted Type III Product wafers are shipped to NetLogic. 
  
 In addition to the Type III Wafer Price, and only after the Excess Waiver Period, NetLogic shall pay MTI a quarterly “[*****] Payment” for the particular [*****] GLTCAM Type III Product and Accepted 18Mb
GLTCAM Type III Product as follows: 
  
 [*****] 
  
 Where: 
  
 [*****] 
  
 The [*****] Payment is due and payable to MTI within 90 days after the end of the Sales Quarter; provided, however, if MTI sells less than [*****]% of the
aggregate sales volume of both MTI and NetLogic for the [*****] GLTCAM Type III Product or the Accepted 18Mb GLTCAM Type III Product over any [*****] period (rolling, not calendar) commencing with the payment for such product in Section 5.4(a)(iii),
then the [*****] Payment for the respective product for each subsequent quarter shall not become due and payable unless MTI sells more than [*****]% of the aggregate sales volume of both MTI and NetLogic for the [*****] GLTCAM Type III Product or
the Accepted 18Mb GLTCAM Type III Product in such subsequent quarter. 
  
 (B)
Other Accepted Type III Products. The price for each fully processed wafer of an Accepted Type III Product other than the [*****] GLTCAM Type III Product and the 18 Mb GLTCAM Type III 
  

 -28- 

 Product manufactured by MTI and purchased by NetLogic shall be the “[*****] Product Wafer Price” determined as
follows: 
  
 [*****] 
  
 The [*****] Wafer Price is due MTI net 45 days from the date of invoice,
which shall not be issued until such Accepted Type III Product wafers are shipped to NetLogic. 
  
 In addition to the [*****] Wafer Price, and only after the Excess Waiver Period, NetLogic shall pay MTI a quarterly “[*****] Payment” for the Accepted Type III Product (other than the [*****] GLTCAM Type III
Product and the 18Mb GLTCAM Type III Product) as follows: 
  
 [*****] 
  
 The [*****] Payment is due and payable to MTI
within 90 days after the end of the Sales Quarter; provided, however, if MTI sells less than [*****]% of the aggregate sales volume of both MTI and NetLogic for a particular Accepted Type III Product over any [*****] period (rolling, not calendar)
commencing with the payment for such product in Section 5.4(a)(iii), then the [*****] Payment for such Accepted Type III Product for each subsequent quarter shall not become due and payable unless MTI sells more than [*****]% of the aggregate sales
volume of both MTI and NetLogic for such particular Accepted Type III Product for such subsequent quarter. 
  
 For each past-due payment hereunder, an interest charge at the rate of 1.5% per month (or a lower rate as required by applicable law) shall be applied
from the due date of such past-due payment through the date of actual payment. 
  
 ***** Confidential Treatment Requested 
  

 -29- 

 Exhibit F 
 Technology Transfers 
  
 NetLogic Deliverables for Type I Product and the NetLogic Product: 
  
 Design Engineering Deliverables: 
 Customer Encrypted, Behavorial Verilog and C
Models & Release Notes 
 I/O IBIS Models & Release Notes 
 BSDL Files & Release Notes 
 Package characteristics 
 Board Design Layout Guidelines 
 Product characterization and qualification data 
  

Product mechanical: 
 Shipping/Process Tray drawings 
  
 Marketing
Deliverables: 
 Datasheet 
 Application notes 
 Evaluation board design 
 Evaluation platform software source code 
  
 System Engineering Deliverables: 
 Intel IXP2800 and IXP2400 foreign object models 
 Intel IXP2800 and IXP2400 platform
validation test suites 
 Intel IXP2800 and IXP2400 platform validation results and bug fixes 
  
 MTI Deliverables for Type III Products: 
  
 Design Engineering Deliverables: 
 Customer Encrypted, Behavioral Verilog and C Models & Release Notes 
 I/O IBIS Models & Release Notes 
 BSDL Files & Release Notes 
 Package characteristics 
 Board Design Layout Guidelines 
 Product characterization and qualification data 
  
 Product mechanical: 
 Shipping/Process Tray drawings 
  
 Marketing Deliverables: 
 Datasheet 
 Application notes 
 Evaluation board design 
 Evaluation platform software source code 
  
 System Engineering Deliverables: 
 Intel foreign object models 
 Intel platform validation test suites 
 Intel platform validation results and bug fixes 
  

NetLogic Deliverables for Type III Products: 
  
 The following [*****] Deliverables: 
  
 Verilog RTL code 
 Custom macro specification and model 
 Test bench 
 Test vectors 
 C Model 
 Synthesis script for Ambit 
  
 The deliverables shall include other materials that are reasonably available and that the Parties mutually agree are
reasonably required by the receiving Party to satisfy its obligations under this Agreement. 
  
 ***** Confidential Treatment Requested 
  

 -30- 

 Exhibit G 
  
 GLTCAM NSE4256GLQ 
  
 [The first two pages are attached] 
  
 ***** Confidential Treatment Requested 
  

 -31-

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