Document:

ck0001368757-ex101_6.htm

 

Exhibit 10.1

FIFTH AMENDMENT TO Credit agreement

THIS FIFTH AMENDMENT TO CREDIT AGREEMENT (this “Amendment”), is made as of September 11, 2019, by and among GTJ REALTY, LP, a Delaware limited partnership (“Borrower”), GTJ REIT, INC., a Maryland corporation (“REIT”), GTJ GP, LLC, a Maryland limited liability company (“GP”), WU/LH 466 BRIDGEPORT L.L.C., a Delaware limited liability company (“Bridgeport”), GWL 20 EAST HALSEY, LLC, a Delaware limited liability company (“Halsey”; REIT, GP, Bridgeport and Halsey are hereinafter referred to individually and collectively as “Guarantor”), KEYBANK NATIONAL ASSOCIATION, a national banking association (“KeyBank”), the other lending institutions from time to time a party to the Credit Agreement described below (together with KeyBank, the “Lenders”) and KEYBANK NATIONAL ASSOCIATION, a national banking association, as Agent for the Lenders (the “Agent”).

W I T N E S S E T H:

WHEREAS, Borrower, KeyBank, Agent and the other Lenders are party to that certain Credit Agreement, dated as of December 2, 2015, as amended by that certain First Amendment to Credit Agreement dated as of June 30, 2016, that certain Second Amendment to Credit Agreement and Other Loan Documents dated as of July 27, 2017, that certain Third Amendment to Credit Agreement and Other Loan Documents dated as of February 27, 2018, and that certain Fourth Amendment to Credit Agreement and Other Loan Documents dated as of July 31, 2018  (as the same may be varied, extended, supplemented, consolidated, amended, replaced, renewed, modified or restated, the “Credit Agreement”); and

WHEREAS, Borrower and Guarantor have requested that the Lenders modify the Credit Agreement in certain respects; and

WHEREAS, in connection therewith, the parties hereto desire to amend the Credit Agreement as set forth herein.

WHEREAS, the Agent and the Lenders have agreed to modifications on the terms and conditions set forth below.

NOW, THEREFORE, for and in consideration of the sum of Ten and No/100 ($10.00), the mutual covenants, promises, and agreements set forth hereinbelow, and for other good and valuable consideration, the receipt, adequacy, and sufficiency of which are hereby acknowledged, the parties do hereby covenant and agree as follows:

1.Definitions.  Capitalized terms used in this Amendment, but which are not otherwise expressly defined in this Amendment, shall have the respective meanings given thereto in the Credit Agreement (as amended hereby).

2.Modifications of the Credit Agreement.  The Borrower, Agent and the Lenders do hereby modify and amend the Credit Agreement as follows:

1

 

 

(a)By deleting in their entirety the definitions of “Applicable Margin” and “Initial Maturity Date” appearing in §1.1 of the Credit Agreement, and inserting in lieu thereof the following:

“Applicable Margin.  On any date, the Applicable Margin for LIBOR Rate Loans and Base Rate Loans shall be a percentage per annum as set forth below based on the ratio of the Consolidated Total Indebtedness to Borrower’s Gross Asset Value:

	
Pricing Level
	
Ratio
	
Applicable Margin for 
LIBOR Rate Loans
	
Applicable Margin for 
Base Rate Loans

	
Pricing Level 1
	
Less than 55%
	
2.40%
	
1.40%

	
Pricing Level 2
	
Equal to or greater than 55% but less than 60%
	
2.65%
	
1.65%

	
Pricing Level 3
	
Equal to or greater than 60%
	
2.90%
	
1.90%

 

The Applicable Margin as of September 11, 2019 shall be at Pricing Level 2.  The Applicable Margin for each Base Rate Loan shall be determined by reference to the ratio of Consolidated Total Indebtedness to Gross Asset Value in effect from time to time, and the Applicable Margin for any Interest Period for all LIBOR Rate Loans comprising part of the same borrowing shall be determined by reference to the ratio of Consolidated Total Indebtedness to Gross Asset Value in effect on the first (1st) day of such Interest Period.  The Applicable Margin shall not be adjusted based upon such ratio, if at all, until the first (1st) day of the first (1st) month following the delivery by REIT to the Agent of the Compliance Certificate after the end of a calendar quarter.  In the event that REIT shall fail to deliver to the Agent a quarterly Compliance Certificate on or before the date required by §7.4(c), then without limiting any other rights of the Agent and the Lenders under this Agreement, the Applicable Margin for Loans shall be at Pricing Level 3 until such failure is cured within any applicable cure period, or waived in writing by the Required Lenders in which event the Applicable Margin shall adjust, if necessary, on the first (1st) day of the first (1st) month following receipt of such Compliance Certificate.

In the event that the Agent, REIT or the Borrower determine that any financial statements previously delivered were incorrect or inaccurate (regardless of whether this Agreement or the Commitments are in effect when such inaccuracy is discovered), and such inaccuracy, if corrected, would have led to the application of a higher Applicable Margin for any period (an “Applicable Period”) than the Applicable Margin applied for such Applicable Period, then (a) the Borrower shall as soon as practicable deliver to the Agent the corrected financial statements for such Applicable Period, (b) the Applicable Margin shall be determined as if the Pricing Level for such higher Applicable Margin were applicable for such Applicable Period, and (c) the Borrower shall within three (3) Business Days of demand thereof by the Agent pay to the Agent the accrued additional amount owing as a result of such increased Applicable Margin for such Applicable Period, which payment shall be promptly applied by the Agent in accordance with this Agreement.

Initial Maturity Date.  June 30, 2022.”

(b)By inserting the following definition in §1.1 of the Credit Agreement, in the appropriate alphabetical order: 

2

 

 

“LIBOR Termination Date” has the meaning set forth in §4.15.

(c)By inserting the following new §4.15 in to the Credit Agreement:

“§4.15Successor LIBOR Rate Index

.

 

(a)If the Agent determines (which determination shall be final and conclusive, absent manifest error) or the Required Lenders notify the Agent (with, in the case of the Required Lenders, a notice to Borrower) that the Required Lenders have reasonably determined either (i)(x) the circumstances set forth in §4.5 have arisen and are unlikely to be temporary, or (y) the circumstances set forth in §4.5 have not arisen but the applicable supervisor or administrator (if any) of LIBOR or a Governmental Authority having jurisdiction over the Agent has made a public statement identifying the specific date after which LIBOR shall no longer be used for determining interest rates for loans (either such date, a “LIBOR Termination Date”), or (ii) a rate other than LIBOR has become a widely recognized benchmark rate for newly originated loans in Dollars in the U.S. market, then the Agent may (in consultation with the Borrower) choose a replacement index for LIBOR and make adjustments to applicable margins and related amendments to this Agreement as referred to below such that, to the extent practicable, the all-in interest rate for the applicable Interest Period based on the replacement index will be generally equivalent to the all-in LIBOR based interest rate for the equivalent Interest Period in effect prior to its replacement.

(b)The Agent and the Borrower shall enter into an amendment to this Agreement to reflect the replacement index, the adjusted margins and such other related amendments as may be appropriate, in the reasonable discretion of the Agent and approved by the Borrower, for the implementation and administration of the replacement index-based rate.  Notwithstanding anything to the contrary in this Agreement or the other Loan Documents (including, without limitation, §27), such amendment shall become effective without any further action or consent of any other party to this Agreement at 5:00 p.m. (Cleveland, Ohio time) on the tenth (10th) Business Day after the date a draft of the amendment is provided to the Lenders, unless the Agent receives, on or before such tenth (10th) Business Day, a written notice from the Required Lenders stating that such Lenders object to such amendment.

(c)Selection of the replacement index, adjustments to the applicable margins, and amendments to this Agreement (i) will be determined with due consideration to the then-current market practices for determining and implementing a rate of interest for newly originated loans in the United States and loans converted from a LIBOR based rate to a replacement index-based rate, and (ii) may also reflect adjustments to account for (x) the effects of the transition from LIBOR to the replacement index and (y) yield or risk-based differences between LIBOR and the replacement index.

(d)Until an amendment reflecting a new replacement index in accordance with this §4.15 is effective, each advance, conversion and renewal of a LIBOR Rate Loan will continue to bear interest with reference to LIBOR; provided however, that if the Agent determines (which determination shall be final and conclusive, absent manifest error) or the Required Lenders notify the Agent (with, in the case of the Required Lenders, a notice to Borrower) that a LIBOR Termination Date has occurred, then following the LIBOR 

3

 

 

Termination Date, all LIBOR Rate Loans shall automatically be converted to Base Rate Loans until such time as an amendment reflecting a replacement index and related matters as described above is implemented.

(e)Notwithstanding anything to the contrary contained herein, if at any time the replacement index is less than zero, at such times, such index shall be deemed to be zero for purposes of this Agreement.”

3.References to Credit Agreement.  All references in the Loan Documents to the Credit Agreement shall be deemed a reference to the Credit Agreement as modified and amended herein or pursuant hereto.

4.Consent of Borrower and Guarantor.  By execution of this Amendment, Borrower and the Guarantor hereby expressly consent to the modifications and amendments relating to the Credit Agreement as set forth herein or contemplated hereby and each and every modification or amendment of the Credit Agreement, the Guaranty, the Mortgages, the Assignments of Leases and Rents and other Loan Documents prior to the date hereof, and Borrower and Guarantor hereby acknowledge, represent and agree that the Loan Documents, as expressly modified hereby and heretofore modified, and including without limitation the Guaranty, remain in full force and effect and constitute the valid and legally binding obligations of the Borrower and the Guarantor, respectively, enforceable against such Persons in accordance with their respective terms, except as enforceability is limited by bankruptcy, insolvency, reorganization, moratorium or other laws relating to or affecting generally the enforcement of creditors’  rights and general principles of equity, and that the Guaranty (as defined in the Credit Agreement) extends to and applies to the foregoing documents as modified and amended.

5.Representations.  Borrower and Guarantor represent and warrant to Agent and the Lenders as follows:

(a)Authorization.  The execution, delivery and performance of this Amendment and the other documents contemplated hereby and the transactions contemplated hereby and thereby (i) are within the authority of such Borrower and Guarantor, (ii) have been duly authorized by all necessary proceedings on the part of such Borrower and Guarantor, (iii) do not and will not conflict with or result in any breach or contravention of any provision of law, statute, rule or regulation to which such Borrower or Guarantor is subject or any judgment, order, writ, injunction, license or permit applicable to such Borrower or Guarantor, (iv) do not and will not conflict with or constitute a default (whether with the passage of time or the giving of notice, or both) under any provision of the partnership agreement or certificate, certificate of formation, operating agreement, articles of formation or other charter documents or bylaws of, or any mortgage, indenture, agreement, contract or other instrument binding upon, such Borrower or Guarantor or any of its properties or to which such Borrower or Guarantor is subject, (v) do not and will not result in or require the imposition of any lien or other encumbrance on any of the properties, assets or rights of such Borrower or Guarantor other than the liens and encumbrances created by the Loan Documents as amended hereby.

(b)Enforceability.  This Amendment, the Revolving Credit Note and the other documents contemplated hereby are the valid and legally binding obligations of Borrower and Guarantor enforceable in accordance with the terms and provisions hereof, except as enforceability is limited by bankruptcy, insolvency, reorganization, moratorium or other laws relating to or 

4

 

 

affecting generally the enforcement of creditors’ rights and the effect of general principles of equity.

(c)Approvals.  The execution, delivery and performance of this Amendment and the other documents and the transactions contemplated hereby do not require the approval or consent of any Person or the authorization, consent, approval of or any license or permit issued by, or any filing or registration with, or the giving of any notice to, any court, department, board, commission or other governmental agency or authority other than those already obtained and the filing of UCC financing statements in the appropriate records office with respect hereto.

(d)Reaffirmation.  Borrower and Guarantor hereby repeat and reaffirm all representations and warranties made by Borrower and Guarantor to the Agent in the Loan Documents on and as of the date hereof with the same force and effect as if such representations and warranties were set forth in this Amendment in full.  Borrower and Guarantor further reaffirm, represent and agree that, as of the date hereof, each and every representation and warranty made by the Borrower and Guarantor in the Loan Documents is true and correct in all material respects as of the date hereof, except to the extent of changes in factual circumstances which are expressly and specifically permitted by the Loan Documents (it being understood and agreed that any representation or warranty which by its terms is made by Borrower as of a specified date shall be required to be true and correct only as of such specified date).  

6.No Default.  By execution hereof, Borrower and Guarantor certify that Borrower and Guarantor are and will be in compliance with all covenants under the Loan Documents after the execution and delivery of this Amendment, and that no Default or Event of Default has occurred and is continuing.

7.Waiver of Claims.  Each of the Borrower and each Guarantor acknowledges, represents and agrees that it has no defenses, setoffs, claims, counterclaims or causes of action of any kind or nature whatsoever with respect to the Loan Documents, the administration or funding of the Loan or with respect to any acts or omissions of Agent or any Lender, or any past or present officers, agents or employees of Agent or any Lender, and the Borrower does hereby expressly waive, release and relinquish any and all such defenses, setoffs, claims, counterclaims and causes of action, if any.

8.Ratification.  Except as hereinabove set forth, all terms, covenants and provisions of the Credit Agreement, the Guaranty and the other Loan Documents remain unaltered and in full force and effect, and the Credit Agreement as amended by this Amendment and the other documents executed and delivered in connection herewith, constitute the valid and legally binding obligation of the Borrower and Guarantor enforceable against Borrower and Guarantor in accordance with its respective terms.  The execution and delivery of this Amendment and the other documents executed in connection herewith does not constitute, and shall not be deemed to constitute, and there has not otherwise occurred or deemed to have occurred, a release, waiver, impairment or satisfaction of any Borrower’s or Guarantor’s obligations under the Loan Documents, and the parties hereto do hereby expressly ratify and confirm the Credit Agreement and their obligations thereunder as modified and amended herein.  Nothing in this Amendment or in the other documents executed in connection herewith shall be deemed or construed to constitute, and there has not otherwise occurred, a novation, cancellation, satisfaction, release, impairment, extinguishment or substitution of the Obligations or the obligations of Borrower or any Guarantor under the Loan Documents.

5

 

 

9.Amendment as Loan Document.  This Amendment shall constitute a Loan Document.

10.Counterparts.  This Amendment may be executed in any number of counterparts, all of which taken together shall constitute one and the same instrument, and any of the parties hereto may execute this Amendment by signing any such counterpart.

11.Governing Law.  THIS AMENDMENT SHALL BE DEEMED TO BE A CONTRACTUAL OBLIGATION UNDER, AND SHALL, PURSUANT TO NEW YORK GENERAL OBLIGATIONS LAW SECTION 5-1401, BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

12.Final Agreement.  This Amendment REPRESENTS THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES.  THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

13.Effective Date.  This Amendment shall be deemed effective and in full force and effect (the “Effective Date”) upon confirmation by the Agent of the satisfaction of the following conditions:

(a)the execution and delivery of this Amendment by Borrower, Guarantor, Agent and the Lenders;

(b)Borrower shall have paid to Agent for the account of the Lenders in immediately available funds a fee in the amount of $150,000.00 with respect to this Amendment and the extension of the Commitment; and

(c)delivery to Agent of a Compliance Certificate, adjusted to give pro forma effect to any advance of the Revolving Credit Loans to be made on or about the date thereof, and evidencing compliance with the covenants described in §7.4(c) of the Credit Agreement; 

(d)receipt by Agent of such other resolutions, certificates, documents, instruments and agreements as the Agent may reasonably request; and

(e)the Borrower shall have paid the fees and expenses of Agent in connection with this Amendment and the matters addressed herein.

14.Treatment of Accrued Interest.  All accrued and unpaid interest under the Credit Agreement for periods prior to the date hereof shall be due and payable on the applicable Interest Payment Date at the interest rate and spread applicable prior to the Effective Date of this Amendment. 

[Remainder of this page intentionally left blank]

 

6

 

 

IN WITNESS WHEREOF, the parties hereto, acting by and through their respective duly authorized officers and/or other representatives, have duly executed this Amendment, under seal, as of the day and year first above written.

BORROWER:

GTJ REALTY, LP, a Delaware limited partnership

By:     GTJ GP, LLC, a Maryland limited liability company, its general partner

By:       GTJ REIT, Inc., a Maryland corporation, its sole member

By: /s/ Paul Cooper
Name: Paul Cooper
Title: CEO

 

GUARANTOR:

GTJ GP, LLC, a Maryland limited liability company

By:     GTJ REIT, Inc., a Maryland corporation, its sole member

By: /s/ Paul Cooper
Name: Paul Cooper
Title: CEO

 

GTJ REIT, INC., a Maryland corporation 

By: /s/ Paul Cooper
Name: Paul Cooper
Title: CEO

 

[Signatures Continued on Next Page]

 

 

	
WU/LH 466 BRIDGEPORT L.L.C., a Delaware limited liability company

By:GTJ REALTY, LP, a Delaware limited partnership, its sole member and manager

By:GTJ GP, LLC, a Maryland limited liability company, its general partner

By:GTJ REIT, Inc., a Maryland corporation, its sole member

By: /s/ Paul Cooper

Name: Paul Cooper

Title: CEO

	
(SEAL)

GWL 20 EAST HALSEY, LLC, a Delaware limited liability company

By:GTJ REALTY, LP, a Delaware limited partnership, its sole member and manager

By:GTJ GP, LLC, a Maryland limited liability company, its general partner

By:GTJ REIT, Inc., a Maryland corporation, its sole member

By: /s/ Paul Cooper

Name: Paul Cooper

Title: CEO

 (SEAL)

[Signatures Continued on Next Page]

 

 

AGENT AND LENDERS:

KEYBANK NATIONAL ASSOCIATION, a national banking association, individually and as Agent

By: /s/ Jennifer L. Power

Name: Jennifer L. Power

Title: Vice PresidentExhibit 10.39

 

CERTAIN CONFIDENTIAL PORTIONS
HAVE BEEN REDACTED FROM THIS EXHIBIT BECAUSE THEY ARE BOTH (i) NOT MATERIAL AND (ii) WOULD BE COMPETITIVELY HARMFUL IF PUBLICLY
DISCLOSED. INFORMATION THAT HAS BEEN OMITTED HAS BEEN IDENTIFIED IN THIS DOCUMENT WITH A PLACEHOLDER IDENTIFIED BY THE MARK “[***]”.

 

 

CUSTOMER:

	Akoustis, Inc. 5450 Campus

                                                              Drive
	 
	CANANDAIGU NY  14424

                                                  U.S.A.
	
        QUOTATION NUMBER      20066744

        November 26, 2018

         

        Valid to December 26, 2018

SHIP TO ADDRESS:

Akoustis, Inc.

5450 Campus Drive

CANANDAIGU
NY 14424

U.S.A.

 

Dear Customer,

 

Thank you for your interest in ASML’s equipment
and related services. We are pleased to submit the following quotation for the REFURB LITE PAS 5500/100D RMS for your consideration.
Included in this quotation are Pricing, Technical Specifications, and Sales Terms and Conditions, which are made part of this quotation.

 

This quote is subject to system availability
of the REFURB LITE PAS 5500/100D RMS with used projection lens. Unavailability of such system could have an adverse impact on the
lead time for such system. Consequently, a quoted delivery date is always a target date and the delivery date is only final if
unconditionally confirmed in writing by ASML. ASML disclaims all liability resulting from a delay of delivery of a system as a
result of unavailability.

 

We look forward to providing continued support
and meeting your capital equipment needs. If you have any questions, or require additional information, please do not hesitate
to contact your account manager. Sincerely,

 

	/s/ Jerry Drube	 
	Jerry Drube	 
	President, ASML US, LLC	 
	 	 
	Tel.      -	 
	Fax.      -	 

 

     

     

    

 

 

 

 

ASML US, LLC.,2650 W.
Geronimo Place,

Chandler, AZ 85224,
USA

 

	 	QUOTATION	 
	ASML
        US, LLC.

        2650
        W. Geronimo Pl.

        Chandler,
        AZ 85224 USA

        (480)
        696-2888, Fax (480) 214-7132
	QUOTATION
        NUMBER

        November
        26, 2018
	20066744
	 	Valid to December 26, 2018	 

 

REFURB LITE PAS 5500/100D RMS

 

I-line Wafer Stepper

 

 

AGREED AND ACCEPTED:

 

	ASML US, LLC	 	AKOUSTIS INC.
	 	 	 	 	 
	By:	                              	 	By:	                              
	 	 	 	 	 
	Name:	 	 	Name:	 
	 	 	 	 	 
	Its:	 	 	Its:	 
	 	 	 	 	 
	Date:	 	 	Date:	 

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 3 OF 18	 

 

	
        Customer

         

        Akoustis, Inc.

        5450 Campus Drive

        CANANDAIGU
        NY 14424

        U.S.A.

                                                                 

        Account Manager 

        Tom
        Lichtenberg
	Contents

                                              

	
        1.

        2.

        3.

        4.

        5.

        6.

        7.

        8.

        9.

        10.

        11.
	
        Pricing

        Configuration

        Technical Specifications

        Acceptance

        Facilities Requirements

        Installation & Warranty

        Field Upgrades

        Delivery

        Shipment

        Payment

        Terms & Conditions

Tel.

Fax.

E-mail      TOM.LICHTENBERG@ASML.COM

 

1. Pricing

 

This price is applicable to ASML’s standard
configuration, including: features, specifications, customer support and sales terms and conditions as referenced within the contents
of this quotation.

 

	ITEM	 	MATERIAL NUMBER	 	DESCRIPTION	 	QTY	 	 	UNIT PRICE	 	 	EXTENDED
 PRICE	 	 	TOTAL
 DISCOUNT PRICE	 
	 	 	Main System	 	 	 	 	 	 	EUR	 	 	EUR	 	 	EUR	 
	01	 	9428.999.60230-URL 	 	REFURB LITE PAS 5500/100D RMS	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	 	 	Field Upgr. & Access.	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	02	 	9428.999.52670	 	THIN-WAFER CAPABILITY STEPPER PACKAGE	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	03	 	9428.999.62010	 	FOUR CASSETTE INDEXERS (UF)	 	 	1	 	 	 	  [***]  	 	 	 	[***]	 	 	 	[***]	 
	04	 	9428.999.62100	 	PAS5500 SECS I and II INTERFACE UF	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	05	 	9428.999.62490	 	IMAGE QUALITY CONTROL /1XX /2XX UF	 	 	1	 	 	 	[***]	 	 	 	 [***] 	 	 	 	[***]	 
	06	 	9428.999.62630	 	FOCAL SOFTWARE UF	 	 	1	 	 	 	[***]	 	 	 	[***]	 		 	[***]	 
	07	 	9428.999.63220	 	RETICLE: RASTER 6”	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	      [***]      	 
	08	 	9428.999.63540	 	RETICLE: OVERLAY MATRIX 22/6”	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	09	 	9428.999.63550	 	RETICLE: RESOLVE-22	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	10	 	9428.999.63760	 	RETICLE: FOCAL-200	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	11	 	9428.999.64380 	 	RETICLE: COMBI-5X/DIFF	 	 	1	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	 	 	Service Products	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	12	 	SC_MISC 	 	1 YEAR EXTENDED OPTICS WARRANTY	 	 	365	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	 	 	Standard Warranty	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	13	 	WARR3 	 	MONTH(S) STANDARD WARRANTY	 	 	6	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	 	 	Additional Warranty	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	14	 	WAREXT_5X8_24RT 	 	EXTENDED WARRANTY_5X8_24RT	 	 	180	 	 	 	[***]	 	 	 	[***]	 	 	 	[***]	 
	 	 	Training	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	15	 	TRAINING 	 	TRAINING VALUE	 	 	1	 	 	 	[***]	 	 	 	[***] 	 	 	 	[***]	 
	 	 	Freight Costs	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	16	 	FREIGHT-CHARGE	 	FREIGHT, INSURANCE AND DUTIES CHARGES	 	 	1	 	 	 	[***]	 		 	[***]	 	 	 	[***]	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	TOTAL	 	 	 	GRAND TOTAL	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	EXTENDED	 	 	 	DISCOUNTED	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	PRICE	 	 	 	PRICE
 ([***]  %)
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	[***]	 	 	 	[***]	 

 

* Unless expressly stated otherwise herein,
ASML’s standard terms and conditions shall apply to all products and services described in this quotation, and all purchase orders
relating hereto.

** Lead-time is a non-binding estimate, which is conditional upon receipt of binding purchase order from customer
and will be subject to change by ASML. You will be notified of the anticipated delivery date once the purchase order is booked.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 4 OF 18	 

 

2. Configuration

 

Used Stepper

 

	Cassette (elevator) position	Cassette position 1,2,3 and 4
	Ethernet interface	Standard
	FAT Attendance	No (Data Review Only)
	Focal	Yes
	Four Cassette Indexers	Yes
	Hertz	60 Hertz
	Image quality control	Yes
	Optical Prealign (Mark Sensor)	Standard
	PEP1	Standard
	PEP2	Standard
	PEP4X (/100C TO /100D)	Standard
	Position of Signal Tower	Local
	Power	380 Volt
	Reticle Error Compensation	Standard
	SECS I and II Interface	Yes
	Software release	Sw rel. 8.9.0
	Thin Wafer Capability Package	Yes
	Valid ATP-document	Refurbishment Requirement Spec
	Wafer size	200 mm
	
        Wafer type

         

        Extended warranty

         
	Flat
	Emergency shipment fee	Included
	FCO Type 3 & 4 Parts	Included
	Machine Main Type	100
	Non consumable Parts	Included
	Periodic Maintenance Monthly	Included
	Periodic Maintenance Quarterly	Included
	Priority shipment fee	Included
	Response Time	<24H
	Telephone Support	Included
	Travel	Included

 

The above configuration reflects how your
system will be delivered provided that all the items in Section 1 of the Pricing table are purchased. If any changes are needed,
please contact your account manager.

 

3. Technical Specifications

 

Item 01 9428.999.60230-URL REFURB LITE
PAS 5500/100D RMS

HT: 8486200000

CoO: NL

Eccn: 3B991B2F

 

A REFURB LITE system from ASML includes the
following:

 

1. Refurbishment
at System Level

 

Refurbishment at System Level means the system
will meet agreed upon specifications as listed in referenced document: REFURBISHMENT REQUIREMENT SPECIFICATION (RRS). The RRS will
be agreed upon and signed by both parties.

 

2. Defined
System Configuration

 

The configuration of the system will be as
listed in the pricing section of this REFURB LITE quotation.

 

3. Warranty

 

The warranty for the system is as listed and
quantified in this quotation.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 5 OF 18	 

 

4. Operating
License

 

The Operating License legally permits the
use of the PAS software and therefore the use of the entire system. This includes the once only right to a software upgrade, free
of charge, within 2 months after the installation to the latest software release compatible with the hardware on the system.

 

5. Installation

 

This consists of labor hours, installation
materials, such as cables and hoses, and if applicable, beam delivery parts. Spare parts and labor hours for trouble shooting,
repair and upgrades during installation, to bring the system to agreed upon specifications are as listed in the RRS.

 

6. Consumables

 

One-time consumable items replacement is included
in URL. Laser consumables replacement, if applicable, are per RRS

 

7. System
Qualification

 

System Qualification as per ASML acceptance
test procedures according to the specifications as listed in the RRS.

 

8. Mandatory
Field Change Orders (FCO’s)

 

The system will be upgraded to the latest
mandatory safety related FCO level.

 

A REFURB LITE system from ASML does not include:

 

1. Customer/fab
specific parts (including but not limited to power conditioners, line conditioners, filter systems).

2. The
transportation and move-in of the system.

3. Any
transport insurance.

4. The
upgrade of any part, which is not included in the pricing section of this quotation.

5. The
upgrade to last revision of parts unless specified in the RRS.

6. The
manuals and or electronic documentation.

7. Training
and training credits.

 

The final configuration of the system is established
at customer site. Parts removed and/or replaced to create the customer configuration or to replace defect parts will be retained
by ASML.

 

Item 02 9428.999.52670 THIN-WAFER CAPABILITY
STEPPER PACKAGE

HT: 8486900000

CoO: NL

Eccn: 3B991B2F

 

The Thin-Wafer Capability Package provides
the ability to level and image 4,5,6 and 8-inch thin wafers and every thickness in the range of 150μm-1000μm. The package
contains a customized wafer table, a vacuum reduction valve and additional SW-embedded functionality to enable a broad thickness
range.

 

Installation of the package results in the
following modifications of the standard system:

 

- Installation of the thicker wafer
table.

 

The flatness specification for the customized
wafer table is 0.2 micron on a 20x20mm square field with a 10mm edge exclusion zone using wafers with a standard Semi thickness.
The pimple pitch for this wafer table has been reduced in order to limit the local sag between the pimples for extremely thin wafers
hereby securing image and focus budget.

 

- A reduction valve is installed to set
vacuum pressure from typically 0.6 bar to typically 0.4 bar

 

- The software key THICK_SUBSTRATES
increases the range of thicknesses that can be handled when using a thicker wafer table from 150μm-600μm
to150μm-1000μm.

 

Disclaimers

 

Wafer flatness in e-pins area may not be sufficient
for critical CDs Support of 3-inch wafers with thickness in the range of 150μm-1000μm requires the commercial option
known as “3-Inch Wafer Handling Capability” (9428.999.67050)

 

Installation and support

 

On-site process availability, SEM & Track
availability are prerequisite during installation and qualification

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 6 OF 18	 

 

Audit and qualifications

 

Standard e-chuck flatness test is performed
on 6” or 8” wafers to qualify the wafer table and hardware. Cycling of 15 thin wafers (150μm-1000μm), supplied
by customer, is shown. Single machine overlay performance is measured.

 

Prerequisite:

 

- Software release 8.9.0

 

- System must meet ATP specifications
and relevant sub-system performance specifications prior to upgrade General Upgrade Statement:

 

Buyer to ensure the system meets all prerequisites
prior to the start of the upgrade including providing sufficient time to assess the system configuration and performance, and to
perform all necessary work to meet the prerequisites. Procurement of services and parts, necessary to fulfil all prerequisites,
is the responsibility of the Buyer.

 

Remark:

 

Any part removed from the Equipment as part
of the Upgrade will be retained by the Seller.

 

Item 03 9428.999.62010 FOUR CASSETTE
INDEXERS (UF)

HT: 8486900000

CoO: NL

Eccn: EAR99

 

Four wafer cassette indexers are fit into
the wafer transport system for stand-alone operation of the PAS 5500 system.

 

Prerequisite: System must meet ATP specifications
and relevant sub-system performance specifications prior to upgrade

 

General Upgrade Statement:

 

Buyer to ensure the system meets all prerequisites
prior to the start of the upgrade including providing sufficient time to assess the system configuration and performance, and to
perform all necessary work to meet the prerequisites. Procurement of services and parts, necessary to fulfil all prerequisites,
is the responsibility of the Buyer.

 

Remark:

 

Any part removed from the Equipment as part
of the Upgrade will be retained by the Seller.

 

Item 04 9428.999.62100 PAS5500 SECS I
and II INTERFACE UF

HT: 8523809000

CoO: NL

Eccn: 3D991

 

The SECS Interface allows communication
between a fab host computer and PAS 5500 steppers/scanners or Stand-Alone Workstations. This production automation yields a wide
range of important benefits, including reduced cycle times, lowered contamination, less operator involvement, and reduced rework
due to human errors. The SECS process equipment communications link is the essential first step in factory automation. Equipment
can be monitored with several parameters. For example, the host computer can automatically notify steppers/scanners of process
anomalies and inhibit further processing steps. Also, process programs can be easily managed by the host and transferred to the
steppers/scanners. In addition, the host can perform numerous remote control functions. ASML’s SECS Interface provides process
control and flexibility that enables semiconductor manufacturers to improve productivity and enhance competitiveness in the decades
ahead.

 

Item 05 9428.999.62490 IMAGE QUALITY
CONTROL /1XX /2XX UF

HT: 9027500000

CoO: NL

Eccn: 3B991B2F

 

The main function of ASML’s image sensor and
Image Quality ControlTM (IQC) software option is to enhance stepper productivity by minimizing time-consuming off-line performance
measurements. The image sensor and IQC software are designed to support automatic Statistical Process Control (SPC) of PAS 5500
i-Line and Deep UV steppers.

 

The image sensor automatically verifies stepper
focus and alignment performance by measuring the aerial image quality of grating patterns. The patterns are measured on the reticle
scanned across image sensor grating artifacts mounted on the stage. By monitoring these aerial image properties, the image sensor
can provide an automatic quick verification of focus and alignment performance relative to a calibrated reference state. These
Image Sensor measurements can be displayed as trend data enabling the operator to make a quick visual analysis confirming stable
stepper operation.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 7 OF 18	 

 

The image sensor measures three points of
the image field simultaneously. It then provides output data verifying control of image tilt, magnification, translation, rotation,
and focus. With the image sensor, the time required for a complete focus and alignment verification measurement is reduced to less
than 60 seconds.

 

These automatic performance measurements can
greatly improve stepper use for manufacturing by speeding up lithographic process control and minimizing stepper test time.

 

Key features
and Benefits

 

Automatic Image Measurement 

 

- Increases
stepper productivity

 

- Supports automatic SPC

 

Reflective Differential Measurement

 

- Ensures measurement accuracy and stability

 

Simultaneous
3-point Measurement

 

- Eliminates stage error from
measurement

 

- Enables tilt, rotation,
magnification, leveling measurements

 

Image Quality ControlTM (IQC) Software

 

- Provides graphical trend data
output

 

Technical
Specifications

 

	Focus Repeatability (3sigma)	< 50 nm
	Image Tilt Repeatability (3sigma)	< 2.0 μrad
	Translation Repeatability (3sigma)	< 20 nm
	Magnification Repeatability (3sigma)	< 2 ppm
	Die Rotation Repeatability (3sigma)	< 2 μrad
	Machine Focus:	± 0.1 μm per month
	Image Calibration Cycle Time: Focus Calibration	< 60 seconds
	Cycle Time:	< 30 seconds

 

Prerequisite: System must meet ATP specifications
and relevant sub-system performance specifications prior to upgrade

 

General Upgrade Statement:

 

Buyer to ensure the system meets all prerequisites
prior to the start of the upgrade including providing sufficient time to assess the system configuration and performance, and to
perform all necessary work to meet the prerequisites. Procurement of services and parts, necessary to fulfil all prerequisites,
is the responsibility of the Buyer.

 

Remark:

 

Any part removed from the Equipment as part
of the Upgrade will be retained by the Seller.

 

Item 06 9428.999.62630 FOCAL SOFTWARE
UF

HT: 8523809000

CoO: NL

Eccn: 3D991

 

FOCAL (FOcus Calibration using the ALignment
System of the Stepper) is an automatic focus measurement technique where focus offsets are transformed into apparent mark shifts,
which can then be measured using the TTL Alignment System in the Stepper.

 

A special FOCAL Reticle containing
specially designed alignment marks is required to perform this measurement. Part of each 8 μm line of which the mark is
composed, is divided into smaller, so-called ‘chopped lines and spaces’ at the resolution limit of the stepper model. Under
conditions of defocus these small lines will not be resolved and so the image of the specially designed alignment mark
appears to be similar to the standard PM mark using only 8 μm lines and spaces. When in focus, the ‘chopped’ lines are
resolved inducing an asymmetry in the alignment mark and a resultant shift in the aligned position.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 8 OF 18	 

 

Once calibrated the alignment shift can be
used as a measure of focus offset to provide fast and accurate daily monitoring focus drift of the Stepper. This quick FOCAL test
provides lens information on Astigmatism (AST) and Focal Plane Deviation (FPD).

 

Please note that this FOCAL option is not
specified, nor is it designed for lens qualification purposes. It is designed for focus calibration only and can be used to monitor
the lens status.

 

Specifications

 

The FOCAL software provides the capability
Compute Focal Plane Adjustment Parameters. The parameters are computed from the data obtained from the FOCAL experiment. The system
can be saved in an optimized state using the procedure Save System Optimized State using the computed parameters for best system
performance.

 

The FOCAL test has certain constraints with
respect to required exposure area. The FOCAL test can be performed using either 8-inch or 6-inch wafers.

 

Prerequisites

 

- FOCAL requires software release 6.2.3
or higher.

 

- A Software Package Upgrade can be
ordered per site

 

- A Software Configuration Key is
needed and can be ordered per stepper

 

- System must meet ATP specifications
and relevant sub-system performance specifications prior to upgrade

 

General Upgrade Statement:

 

Buyer to ensure the system meets all prerequisites
prior to the start of the upgrade including providing sufficient time to assess the system configuration and performance, and to
perform all necessary work to meet the prerequisites. Procurement of services and parts, necessary to fulfil all prerequisites,
is the responsibility of the Buyer.

 

Remark:

 

Any part removed from the Equipment as part
of the Upgrade will be retained by the Seller.

 

Item 07 9428.999.63220 RETICLE: RASTER
6”

HT: 8486900000

CoO: NL

Eccn: EAR99

 

The Raster reticle is used to qualify both
accuracy and half shadow on reticle masking blades. The patterned area of the reticle contains a square grid (with linewidths of
50, 20 and 10μm at wafer level) to aid analysis and interpretation.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 9 OF 18	 

 

Item 08 9428.999.63540 RETICLE: OVERLAY
MATRIX 22/6”

HT: 8486900000

CoO: US

Eccn: EAR99

 

Overlay and Matching reticles consist of an
array of alignment marks. These marks allow automatic stepper overlay and matching metrology. The location of each overlay module
is labeled with a position indicator to assist in inspection and data interpretation.

 

Item 09 9428.999.63550 RETICLE: RESOLVE-22

HT: 8486900000

CoO: NL

Eccn: EAR99

 

The Reticle Resolve-22 constits of resolutions
test structures with measuring stepper resolution linearity and depth of focus.

 

Item 10 9428.999.63760 RETICLE: FOCAL-200

HT: 8486900000

CoO: NL

Eccn: EAR99

 

The Focal reticle is used to automatically
measure the focus offsets within an image field. This reticle consists of an array of special focal alignment marks. The aligned
position of the focal marks depends on the focus value of the specific position within the image field. Using ASML’s special PAS
focal modeling software, the relative best focus position can be determined quickly and to an extremely high level of accuracy.

 

ASML’s Focal reticles can be used for both
image plane setup, and qualifying astigmatism and Focal Plane Deviation (FPD) for steppers or Image Plane Deviation (IPD) for Step
& Scan systems.

 

Item 11 9428.999.64380 RETICLE: COMBI-5X/DIFF

HT: 8486900000

CoO: NL

Eccn: EAR99

 

ASML’s Combi-5 reticles are used for system
set-up and printing all alignment marks. They contain all standard and new mark designs currently in use (large global alignment
marks, primary marks and Extended Pattern Area (XPA)), including scribeline marks and special designs for CMP applications. Combi-5
reticles also contain a simple clear area, specifically sized to allow clear-out exposures if desired.

 

Item 12 SC_MISC 1 YEAR EXTENDED OPTICS
WARRANTY

 

HT:

CoO:

Eccn:

 

For a more detailed specification of this
item please contact your local ASML account manager.

 

Item 13 WARR3 MONTH(S) STANDARD WARRANTY

HT:

CoO:

Eccn:

 

Parts and Labor Warranty Period (Qty,
as described in the section Pricing of this quotation) specifies in number of months the time period for the warranty defined
in Section 13.1 of the Terms of Sale below applicable for each item under this Quotation. For the avoidance of doubt, the
warranty for “Refurbished Capital Equipment” applies to the listed main system (REFURB LITE PAS 500/100D RMS),
and the warranty for HARDWARE UPGRADE/OPTION applies to each item listed above “Field Upgr. & Access”. System
performance according ATP specification (excluding optics, excluding FAT only items); Parts coverage (excluding consumables
and Optics) for litho system and light source, labor coverage for litho system and light source; during regular business
hours, Monday through Friday with a 24 hours response time; ASML holidays are excluded. The start of the warranty period is
determined by the Site Acceptance date, the shipment date, or first use of the Equipment as described in the terms and
conditions of sale.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 10 OF 18	 

 

The warranty is subject to, and based on,
customer’s continuing compliance with the general warranty conditions set forth in the warranty section of the Terms and Conditions
of this quotation. OPTICS as mentioned in the above are defined as the Zoom Axicon (or FlexRay equivalent), the Rod module (or
the FLG/FDE for immersion systems), the REMA objective and the projection lens only, and explicitly excludes consumables and non-consumables.
Warranty is conditioned upon the user’s full compliance with the requirements in the IRM (Installation Requirement Manual), the
MRM (Maintenance Requirements Manual) and the PMM (Preventive Maintenance Manual) for Optics Warranty of the system.

 

Item 14 WAREXT_5X8_24RT EXTENDED WARRANTY_5X8_24RT

HT:

CoO:

Eccn:

 

Extended Parts and Labor Warranty (beyond
WARR3). Period (Qty, as described in the section Pricing of this quotation) is specified in number of days. Extended Warranty is
sold as an additional warranty (as defined in Section 13.1 of the Terms of Sale below) for each item under this Quotation after
WARR3 expires.

 

Extended Warranty applies to labor and parts
coverage (excluding consumables and Optics) for the litho system only and does not apply to the light source.

 

The labor coverage of this Extended Warranty
is 5x8, during regular business hours, Monday through Friday with a 24 hours response time; ASML holidays are excluded.

 

System performance according ATP specification
(excluding optics, excluding FAT only items). Optics are defined in the section entitled WARR3 of this document.

 

The warranty is subject to, and based
on, customer’s continuing compliance with the general warranty conditions set forth in the warranty section of the Terms and
Conditions of this quotation. Warranty is conditioned upon the user’s full compliance with the requirements in the IRM
(Installation Requirement Manual), the MRM (Maintenance Requirements Manual) and the PMM (Preventive Maintenance Manual) for
Optics Warranty of the system.

 

Item 15 TRAINING TRAINING VALUE

HT:

CoO:

Eccn:

 

Please see the ASML internet site:

http://www.asml.com/asml/show.do?lang=EN&ctx=5839&rid=1048

 

Item 16 FREIGHT-CHARGE FREIGHT CHARGES

 

HT:

CoO:

Eccn:

 

For a more detailed specification of this
item please contact your local ASML account manager.

 

4. Acceptance

 

Testing of system and/or options/accessories
if appropriate, to the specifications for acceptance at our facility (and at source inspection, if requested) will be conducted
using standard ASML Acceptance Test Procedures document, then in effect at the time of shipment. Verification of the system performance
to these specifications constitutes the sole criterion for system acceptance (and authorisation for shipment in case of source
inspection).

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 11 OF 18	 

 

5. Facilities Requirements

 

Installation condition information, including
ASML’s pre-installation conditions, will be provided by your account manager. Buyer is responsible for satisfying ASML’ pre-installation
conditions.

 

6. Installation & Warranty

 

Price of the system includes installation
and standard warranty. Standard Warranty coverage is described in the chapter Technical specifications of this quotation. The price
quoted assumes the timely return by Buyer of ASML’s transportation containers and other materials used in transporting the system.
ASML will charge Buyer for the cost of such containers and materials if they are not returned to ASML in a timely manner. Any part
removed from the system during installation and the warranty period or as part of an extended warranty service contract for replacement
will be retained by ASML.

 

7. Field Upgrades

 

Prior to any field upgrade, it is Buyer’s
responsibility to ensure that the system to be upgraded meets the original ATP specifications (the “Specifications”).
Upon request, Buyer shall provide documentation evidencing the compliance with the Specifications, and ASML reserves the right
to examine the system to ensure its compliance with the Specifications. Systems that fail to meet the Specifications must have
the performance restored to meet the Specifications prior to accomplishing the upgrade. Upon request from Buyer, ASML Customer
Service shall provide system restoration services based on normal time and material schedules or under warranty or extended service
contract coverage. Any part removed from the system during the installation of the Field Upgrade will be retained by ASML.

 

8. Training

 

Not applicable

 

9. Delivery

 

All quoted deliveries are subject to prior
sales, please contact your account manager for more details. Note: Delivery date is confirmed upon ASML acceptance of purchase
order.

 

10. Shipment

 

DAP, Customer Dock

 

11. Payment

 

All payments are due as follows:

 

50% due upon order placement

40% due upon shipment, net 30 days

10% due upon acceptance, net 30 days or no
later than 90 days after shipment, whichever occurs first.

 

12. TERMS AND CONDITIONS

 

1. TERMS OF SALE. UNLESS
OTHERWISE AGREED UPON BY BOTH PARTIES IN WRITING, ACCEPTANCE OF CUSTOMER’S ORDER IS EXPRESSLY MADE CONDITIONAL ON CUSTOMER’S
ASSENT TO ASML’S STANDARD TERMS AND CONDITIONS OF SALE SET FORTH HEREIN (THE “TERMS AND CONDITIONS”), AND ASML
AGREES ONLY UPON THESE TERMS AND CONDITIONS TO (A) FURNISH THE CAPITAL EQUIPMENT AND/OR HARDWARE UPGRADE/OPTIONS
(COLLECTIVELY, THE “EQUIPMENT”), (B) LICENSE SOFTWARE UPGRADES/OPTIONS RELATED TO THE EQUIPMENT (THE
“SOFTWARE”) AND/OR (C) PROVIDE SERVICES RELATED TO THE INSTALLATION, ACCEPTANCE TESTING, AND ORIGINAL WARRANTY ON
THE EQUIPMENT OR THE SOFWARE (THE “SERVICES”) DESCRIBED IN CUSTOMER’S ORDER. Notwithstanding anything to the
contrary, any post warranty services shall not be covered by the Terms and Conditions but will be covered by separate service
terms and conditions. Any terms or conditions of CUSTOMER’s order (or of CUSTOMER’s other purchase documents and
correspondences) inconsistent with or in addition to these Terms and Conditions hereof shall not be binding on ASML and are
expressly rejected by ASML. No waiver, alteration, or modification of any of these Terms and Conditions shall be binding on
ASML unless made in writing and signed by an authorized representative of ASML.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 12 OF 18	 

 

2. TERMS
OF SHIPMENT. All shipments are made DAP, according to Incoterms (2010). Shipments are made in a commercially reasonable manner
as determined by ASML. Risk of loss or damage shall pass to CUSTOMER at the CUSTOMER loading dock. Partial and/or installment shipments
are authorized and shall be paid for when due. Shipment schedules are approximate, and ASML will use commercially reasonable efforts
to complete shipment as indicated.

 

3. PAYMENT.
Payments are due in EURO unless the parties specifically agree otherwise in writing. ASML reserves the right to require an
irrevocable letter of credit from a bank which it designates. Notwithstanding anything to the contrary, for the computational lithography
products, including time-based usage in Asia (excluding Japan ), ASML Netherlands, B.V. (“ASML NL”), not ASML Hong Kong,
Ltd. (“ASML HK”), shall be the proprietary rights owner of record and the contracting party to transactions. For such
transactions, ASML HK will serve only as a collecting agent for ASML NL. As the collecting agent, ASML HK’s exclusive purpose is
to issue quotations for the computational lithography products, receive purchase orders, collect payments, and transfer such payments
to ASML NL.

 

4. PRICES.
For all Buyers not located in the People’s Republic of China (the “PRC”), all prices are exclusive of sales, use, import,
VAT, or similar taxes or duties whether imposed currently or in the future. Such taxes shall be borne by CUSTOMER in addition to
the prices quoted or invoiced. In the event ASML is required to pay any such taxes, CUSTOMER shall reimburse ASML therefor. Unless
otherwise explicitly indicated, prices quoted assume the timely return by CUSTOMER of ASML’s transportation containers and other
materials, including lockings and servicing tools and accessories, used in transporting, and installation of, the Equipment. ASML
is entitled to charge CUSTOMER for the cost of such containers and materials if these are not returned to ASML in a timely manner.

 

For Buyers located in the PRC, all prices
quoted are exclusive of customs duty, VAT (or similar tax), surtaxes and any withholding tax based on invoice amounts, whether
imposed currently or in the future. Such taxes shall be borne by Buyer in addition to the prices quoted or invoiced. In the event
ASML is required to pay any such taxes, or the Buyer are obliged to withhold on any payments to ASML, the Buyer shall reimburse
ASML therefor.

 

5. CHANGES.
ASML reserves the right to modify or change the Equipment in whole or in part, at any time prior to delivery thereof, in order
to include therein electrical or mechanical refinements deemed appropriate by ASML, but without incurring any liability to modify
or change any product previously delivered, or to supply new products in accordance with earlier specifications. If CUSTOMER requests
changes in the configuration of the Equipment, subject to ASML’s acceptance, CUSTOMER shall pay for the reasonable cost for rework
and rescheduling of the Equipment. Any deleted feature, option, or accessory, including the Software, shall be subject to the cancellation
fee shown in Section 11. All requested changes must be made by revised order in writing to ASML, subject to ASML’s express acceptance.
ASML shall inform CUSTOMER of the new delivery date and additional costs via a new order acknowledgment.

 

6. DELIVERY
DELAY. CUSTOMER can delay delivery of the Equipment or the Software one-time only up to thirty (30) days beyond the scheduled
shipment date by providing written notice to ASML, provided that written notice of CUSTOMER’s delay request is received by ASML
at least ninety (90) days prior to the originally scheduled shipment date and provided that such delay does not result in the Equipment
or the Software being scheduled for delivery during ASML’s subsequent financial quarter. If the CUSTOMER requested delay exceeds
thirty (30) days, or if the CUSTOMERs request for delay is received by ASML less than ninety (90) days prior to the scheduled shipment
date, or if such delay results in the Equipment or the Software being re-scheduled for delivery in a subsequent financial quarter
to that originally agreed, subject to ASML’s written agreement to such delay, for the purpose of payment of the purchase price,
shipment shall be deemed to have occurred on the scheduled shipment date and the Site Acceptance Date (as defined in Section 10)
shall be deemed to have occurred thirty (30) days thereafter. CUSTOMER shall be responsible for any and all costs associated with
any such delay, including storage, maintenance and retesting costs.

 

7. INSPECTION.
CUSTOMER shall visually examine the Equipment promptly upon receipt thereof. Within ten (10) days of such receipt, CUSTOMER
shall notify ASML in writing of any complaint which CUSTOMER may have concerning the Equipment delivered hereunder, including but
not limited to any claimed shortages, defects, delivery errors or any other problems.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 13 OF 18	 

 

8. PREINSTALLATION. CUSTOMER is
responsible for the following: (a) ensure the Equipment installation site’s compatibility with ASML’s shipment crates; (b)
provide environmentally adequate storage space for the Equipment or the Software upon its arrival at CUSTOMER’s facility and
prior to installation, provide access to the facility to ASML’s employees for pre-installation surveys, unpacking, and
installation of each system; (c) make available CUSTOMERs personnel in sufficient numbers and of adequate capabilities on
site to assist ASML during pre-installation, unpacking, and installation; (d) use ASML approved equipment, rigging, or other
services to transport the Equipment or the Software, either assembled or in parts, to the place of installation; (e)
establish and maintain additional site conditions as indicated pursuant to ASML’s then current installation requirements; and
(f) provide any other support or assistance as requested by ASML (collectively, the “Pre-Installation Conditions”).
If, as a result of CUSTOMER’s failure to comply with the Pre-Installation Conditions, ASML is unable to complete an
installation as scheduled, CUSTOMER shall be responsible for such delays and compensate ASML for any additional costs or
expenses incurred, including the cost of subsequent or extended visits necessary to complete the installation.

 

9. INSTALLATION. The Equipment
or the Software shall be installed by ASML, provided that all the Pre-Installation Conditions stated in Section 8 have been
met by CUSTOMER. In the event installation cannot be completed within thirty (30) days of the delivery of the Equipment or
the Software due to causes other than ASML’s fault, including CUSTOMER’s failure to comply with the Pre-Installation
Conditions, installation shall be deemed completed and the SAT (as defined in Section 10) shall be deemed satisfied and met
within thirty (30) days of shipment. Any unpaid balance of the purchase price shall thereupon become due, and the warranty
period shall commence to start thirty (30) days after shipment.

 

10. ACCEPTANCE TEST. Prior to
shipment, the Capital Equipment will be subjected to ASML’s standard factory-acceptance test at ASML’s factory (the
“Factory Acceptance Test” or, alternatively, “FAT”). The FAT shall be performed in compliance with ASML’s
then-current standard procedure and specifications (“Acceptance Test Procedure”, or, alternatively,
“ATP”) as defined by ASML. CUSTOMER will be invited to attend the FAT at CUSTOMER’s expense. ASML shall provide
CUSTOMER with written verification of the Capital Equipment’s performance to the ATP. Upon delivery of such verification,
ASML is authorized to proceed with shipment of the Capital Equipment. After onsite installation at CUSTOMER’s premises, the
Capital Equipment will be subjected to ASML’s then standard onsite acceptance test (the “Site Acceptance Test” or,
alternatively, “SAT”). CUSTOMER will be invited to attend the SAT. At such time as the Capital Equipment meets the
SAT, the installation shall be deemed to be completed (the “Site Acceptance Date”, or, alternatively, “Final
Acceptance Date”). Notwithstanding anything to the contrary in these Terms and Conditions, the Site Acceptance Date, or,
alternatively, the Final Acceptance Date shall be the earlier of: (a) such time as the Capital Equipment meets the SAT, (b)
such time CUSTOMER uses the Capital Equipment for any purpose, including production or R&D, prior to completion of the
SAT, and (c) ninety (90) days from shipment if acceptance or use has been delayed through no fault of ASML. Any unpaid
balance of the purchase price shall thereupon become due and payable within ten (10) days after the Final Acceptance Date,
and the warranty period shall start from the Final Acceptance Date. Minor deviations from specifications or
acceptance criteria, which do not affect CUSTOMER’s ability to use the Capital Equipment shall not be grounds for delayed
acceptance, but shall be remedied under the terms of the applicable warranty.

 

11. CANCELLATION.
CUSTOMER agrees that in the event of cancellation by CUSTOMER of the order or any part thereof prior to the scheduled shipment
date, CUSTOMER shall pay ASML as liquidated damages, and not as penalty, a percentage of the price for such items cancelled as
based on the following schedule:

 

* >151
days before scheduled shipment date 10% of the purchase price;

* 150-121
days before scheduled shipment date 20% of the purchase price;

* 120-90
days before scheduled shipment date 30% of the purchase price;

* 60-89
days before scheduled shipment date 40% of the purchase price;

* 30-59
days before scheduled shipment date 50% of the purchase price; * < 29 days before scheduled shipment date 60% of the purchase
price.

 

This section shall not be deemed to create
any right of cancellation in CUSTOMER and only reflects the parties agreement as to the fair and reasonable damages to which ASML
shall be entitled in the event of cancellation by CUSTOMER taking into account relevant factors, including without limitation,
the customized nature of the Equipment or the Software and the limited number of potential customers for the Equipment or the Software.

 

12. RETURNS.
CUSTOMER shall have no right to return the Equipment or the Software or any part thereof, and no Equipment or the Software may
be returned without ASML’s written consent, which may be withheld, in ASML’s sole discretion. ASML assumes no responsibility for
unauthorized returns. All expenses for returned Equipment or the Software shall be borne by CUSTOMER.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 14 OF 18	 

 

13. WARRANTY.

 

13.1

 

NEW, REMANUFACTURED or REFURBISHED
CAPITAL EQUIPMENT - ASML warrants that for a period of one (1) year after the
Site Acceptance Date or fifteen (15) months after shipment, whichever occurs earlier (or such other warranty period specified
in Section 1 of the Quotation), that a NEW, REMANUFACTURED or REFURBISHED CAPITAL EQUIPMENT (including the listed main system
identified as REFURB LITE PAS 500/100D RMS), used under normal operating conditions, shall be free of material defects in
materials and workmanship and shall perform in all material respects in accordance with its specifications and
documentation.

 

SOFTWARE UPGRADE/OPTION - ASML warrants
that for a period of three (3) months after shipment (or such other warranty period specified in Section 1 of the Quotation), THE
SOFTWARE UPGRADE/OPTION, used under normal operating conditions, shall perform in all material respects in accordance with standard
documentation provided with the SOFTWARE UPGRADE/OPTION. Notwithstanding anything to the contrary, ASML does not warrant operation
of the SOFTWARE UPGRADE/OPTION shall be uninterrupted or error free.

 

HARDWARE UPGRADE/OPTION - ASML warrants
for a period of three (3) months after shipment (or such other warranty period specified in Section 1 of the Quotation), the HARDWARE
UPGRADE/OPTION (including each item listed above in Section 1 of the Quotation as “Field Upgr. & Access”), used
under normal operating conditions, shall be free of material defects in materials and workmanship and shall perform in all material
respects in accordance with its specifications and documentation.

 

SERVICES - ASML warrants that the Services
(including items listed as “Service Products”) shall be performed in a workmanlike manner by qualified professionals
using due care and skill.

 

CUSTOMER acknowledges and agrees that ASML
may use new or as new parts in the Equipment and when providing warranty services hereunder. “As new” parts shall mean
used parts that have been restored and refurbished by ASML and/or its supplier to have the same specifications, performance and
warranty as new parts.

 

Capital Equipment sold hereunder may include
additional warranty terms and conditions for systems and components. Such additional warranty terms and conditions, if any, shall
be stated in the body of the quotation.

 

Each part or spare part or out-of-warranty
repair is warranted within the scope of the original applicable warranty for a period of ninety (90) days after shipment or after
such repair service has been rendered.

 

This warranty is extended solely to
CUSTOMER and is not transferable to subsequent entities or users, and is conditioned upon CUSTOMER maintaining and operating
the Equipment and the Software in accordance with ASML’s then current specifications. If ASML finds the Equipment and the
Software or any part of it, after notice from CUSTOMER and appropriate tests and inspection, to have any defect covered by
this warranty, ASML will, at its discretion and as its sole liability, and CUSTOMER’s sole and exclusive remedy, either
repair the same or install a replacement. Any parts removed from the Capital Equipment for replacement will be retained by
ASML. Warranty services shall be provided during normal business hours 8:00 a.m. to 5:00 p.m., Monday through Friday based on
the location of (the nearest ASML repair facility). LIABILITY FOR THE WARRANTY MADE HEREIN SHALL IN NO EVENT EXCEED THE COST
OF CORRECTING DEFECTS OR, AT ASML’S OPTION, OF REPLACING THE DEFECTIVE ITEM.

 

13.2 With respect to any Services performed
by ASML, ASML’s sole liability, and CUSTOMER’s sole and exclusive remedy, for any defect therein shall be to perform again such
Services at ASML’s expense. Parts furnished in the Services shall be new or rebuilt parts, at the option of ASML, but shall be
as good as new parts.

 

13.3 THE FOREGOING ARE THE SOLE AND
EXCLUSIVE WARRANTIES PROVIDED BY ASML TO CUSTOMER, AND ASML HEREBY DISCLAIMS.ALL OTHER WARRANTIES WHETHER WRITTEN OR ORAL, OR
WHETHER EXPRESS, IMPLIED, OR STATUTORY, INCLUDING BUT NOT LIMITED, ANY IMPLIED WARRANTIES OR CONDITIONS OF MERCHANTABILITY,
NON-INFRINGEMENT, TITLE OR FITNESS FOR A PARTICULAR PURPOSE OR ARISING FROM COURSE OF DEALING OR USAGE OF TRADE , IN
CONNECTION WITH THE DESIGN, SALE, INSTALLATION, SERVICE OR ANY USE OF THE EQUIPMENT, THE SOFTWARE, THE SERVICE, ANY PART
THEREOF , OR ANY OTHER SERVICES OR MATERIALS PROVIDED UNDER THESE TERMS AND CONDITIONS.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 15 OF 18	 

 

13.4 WITHOUT LIMITING THE GENERALITY OF THE
FOREGOING, ASML’S WARRANTY DOES NOT COVER AND NO WARRANTY IS MADE WITH RESPECT TO:

 

- Failures discovered but not reported
within the warranty period specified.

 

- Accessories, attachments or other
devices not furnished by ASML.

 

- Failure of the Equipment, caused by
other than normal wear and tear or by, conditions not controllable by ASML, including without limitation thereto: (a)
attempts by other than ASML personnel to install, modify, repair or maintain the Equipment without ASML’s specific prior
written authorization, (b) improper use or misuse or lack of use of the Equipment, (c) fluctuations of line voltage, current,
vacuum, gas, humidity, temperature or other factors which exceed those limits as indicated in the then current Installation
conditions manual, (d) damage by fire, water, vandalism, riots, civil unrest or acts of God, or (e) strikes, lockouts,
embargoes, insurrection, inability to obtain shipping space or materials, or government acts, restrictions, or
limitations.

 

- Damage in shipment or otherwise not
caused by faulty packing or crating, whether or not ASML selected the means of shipment and/or carrier.

 

- Such parts, which by their nature in
normal use in accordance with ASML’s specifications therefor, have a life expectancy shorter than the applicable warranty period,
commonly referred to as “consumable.”

 

13.5 As a condition of ASML’s obligations
under this warranty, CUSTOMER shall (a) notify ASML promptly of any claimed failure of the Equipment, the Software, or the Services,
(b) allow ASML’s service personnel prompt, full and free access to the Equipment, the Software, or the Services and the premises
on which it is located, (c) other than the requirement to provide a Certificate of Insurance and execute non-disclosure agreements,
not impose a waiver of liability or other restriction on ASML’s service personnel as a site access requirement, (d) ensure that
at least one (1) of CUSTOMER’s employees shall be on the premises during the performance by ASML of any Services, and (e) provide
free of charge to ASML service personnel performing the Services a reasonable and secure space for documentation, tools, test equipment,
etc. Furthermore, CUSTOMER agrees to permit ASML to implement remote, automatic means of collecting data from the Equipment. Such
data may relate to the use of the Equipment, including tool and process parameters, environmental conditions, and interconnections
with other equipment. ASML will use such data solely for purposes of fulfilling its obligations under this Section, supporting
the use of the Equipment, providing maintenance and repair services, analyzing Equipment problems or underperformance, providing
preventative maintenance monitoring, developing recommendations for use of the Equipment, performing tuning and performance enhancement,
and developing new features and improved performance. Such data shall be deemed CUSTOMER’s Confidential Information, and ASML will
protect the data in accordance with Section 19: Confidentiality. CUSTOMER agrees to permit ASML to continue the data collection
processes for so long as it owns or operates the Equipment.

 

14. LIMITATION OF LIABILITY. EXCEPT
FOR (i) LIABILITY UNDER THE NDA (AS DEFINED IN SECTION 19, AND (ii) ASML’S OBLIGATIONS UNDER SECTION 20, EACH PARTY’S
TOTAL AGGREGATE LIABILITY TO THE OTHER PARTY UNDER THIS AGREEMENT FOR ANY AND ALL DAMAGES OF ANY NATURE TO THE OTHER PARTY OR ANY
OTHER PERSON OR ENTITY WHETHER IN CONTRACT, TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY), OR OTHERWISE, SHALL IN NO CASE EXCEED
THE PRICE ALLOCABLE TO THE SERVICES, THE EQUIPMENT, THE SOFTWARE OR PART THEREOF WHICH GIVES RISE TO THE CLAIM. IN NO EVENT WILL
EITHER PARTY BE LIABLE TO THE OTHER PARTY UNDER THIS AGREEMENT FOR ANY LOSS OF PRODUCTION,LOSS OF PROFITS, LOSS OF USE, BUSINESS
INTERRUPTION, COST OF COVER, OR FOR ANY SPECIAL, INDIRECT, EXLEMPLARY, PUNATIVE, INCIDENTAL, CONSEQUENTIAL OR CONTINGENT DAMAGES,
HOWSOEVER CAUSED, INCLUDING ANY SUCH DAMAGES CAUSED IN CONNECTION WITH, OR ARISING OUT OF, OR RESULTING FROM THE PROVISION OF THE
SERVICES OR FROM THE DESIGN, MANUFACTURE, SALE, DELIVERY, RESALE, INSPECTION, REPAIR, MAINTENANCE, OPERATION, OR USE OF ANY EQUIPMENT,
THE SOFTWARE, OR PARTS THEREOF, EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. ASML AND CUSTOMER HAVE
AGREED THAT THESE LIMITATIONS WILL SURVIVE AND APPLY EVEN IF ANY LIMITED REMEDY SPECIFIED IN THESE TERMS AND CONDITIONS IS FOUND
TO HAVE FAILED OF ITS ESSENTIAL PURPOSE.

 

15. DOCUMENTATION.
ASML shall furnish with each Equipment or Software one (1) copy (except as otherwise quoted) of the manuals as stated in the effective
quotation from which the Equipment or the Software was purchased. CUSTOMER shall not make copies of such documents for any purpose
other than for its own internal use, and all such copies shall bear any ASML copyright notice which appears on the original.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 16 OF 18	 

 

16. DEFAULT
IN PAYMENT. Failure by CUSTOMER to make any payment promptly when due shall be default by CUSTOMER and shall entitle ASML,
in addition to such remedies as are provided by law, including but without limitation thereto to suspending all business activities,
warranty service, and post warranty service with respect to CUSTOMER, to collect interest on overdue amounts equal to one and one
half (1 1/2%) per month or at maximum rate permitted by law, and/or to repossess any Equipment as to which any payment or partial
payment has not been made in full when due at the sole discretion of ASML. CUSTOMER shall reimburse ASML for any and all collection
fees incurred.

 

17. SECURITY
INTEREST.

 

17.1
For sales involving Equipment used or to be used in the United States, ASML retains, and CUSTOMER hereby grants, a security interest
in the Equipment (including modification and replacements) delivered hereunder and in the proceeds from the sale, exchange, collection,
or disposition thereof to secure the full and timely payment of the purchase price of such Equipment . This Section serves as
a security agreement, and CUSTOMER authorizes ASML to file any financing statements deemed appropriate by ASML for purposes of
perfecting the security interest granted herein. Without limiting the foregoing, CUSTOMER, shall upon request by ASML, provide
all information and signatures required by ASML to perfect such security interest. ASML reserves all rights granted to a secured
creditor under the Arizona and other applicable Uniform Commercial Codes including but not limited to the right upon demand, to
repossess the Equipment delivered hereunder if CUSTOMER fails to make timely payments. To simplify such possession, ASML may require
the CUSTOMER to assemble the collateral and make it available to ASML at a place reasonably convenient to both parties and designated
by ASML.

 

17.2
For sales involving Equipment used or to be used in Asia or Europe, Buyer explicitly accepts that Seller shall retain title of
the Equipment until full payment has been received of all amounts due in accordance with the transaction and Buyer shall only
sell, pledge or alienate the Equipment in Buyers ordinary course of business and Buyer shall take all measures to protect the
Equipment and to ensure that Seller’s right to the Equipment is in no way prejudiced. For the avoidance of doubt parties agree
that the only rights that Seller retains with the title are those enabling recovery of the Equipment in the event of Buyers default
on payment. Buyer shall be obliged to insure the Equipment at its own expense for the time the equipment is not paid for in full
by the Buyer. Buyer shall give Seller any assistance in taking any measures required to protect Seller’s rights in Equipment not
fully paid. If Buyer fails to make any payments to Seller when due, the Buyer shall, upon Seller’s first notice, be obliged to
return to Seller, at Buyer’s risk and expense, any Equipment that is subject to the retention of title. The retention and the
shipping back of Equipment shall not in any way affect any other rights of compensation Seller may have under this Agreement or
applicable law.

 

18. SOFTWARE
LICENSE. All operating software, revisions of operating software, source code, and other software, including the Software,
furnished by ASML shall remain the property of ASML or its suppliers, whichever is applicable, and title thereto is not being sold
or transferred to CUSTOMER. ASML reserves all rights and licenses in and to the Software not expressly granted to CUSTOMER under
this Agreement. ASML hereby grants to CUSTOMER a personal (revocable only in the event of default by CUSTOMER), nonexclusive, paid-up,
site-specific, nontransferable license to use all such software contained in the Equipment for the purpose of operating the Equipment
for its intended purposes or using the Software in connection with the Equipment. CUSTOMER may not make copies (other than backup
and archive copies, which are permitted) of the software or may not transfer or export the software or the right to make copies
thereof to any third party without ASML’s prior written consent. CUSTOMER acknowledges that the Software contains trade secrets
of ASML, and, in order to protect such trade secrets, CUSTOMER agrees not to disassemble, decompile or reverse engineer the Software
nor permit any third party to do so, except to the extent such restrictions are prohibited by law. Notwithstanding anything to
the contrary, where the license being purchased by CUSTOMER is for a specified period of time then such license will be deemed
to have commenced upon delivery of the Software.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 17 OF 18	 

 

19. CONFIDENTIALITY.
Confidentiality shall be governed by the Non-Disclosure Agreement between the parties dated effective as of May 3, 2018 (the “NDA”).
Customer may disclose the terms of this Agreement if Customer determines in its sole discretion that such disclosure is required
by law, rule, regulation, or an order from a court, regulatory agency or other governmental authority, or the rules of any stock
exchange on which Customer’s shares are listed or quoted.  In such event, Customer will provide to ASML a copy of the
agreement proposed to be disclosed so that ASML may consent to the disclosure of this agreement, including any redactions thereto
proposed by ASML, such consent not to be unreasonably withheld. Customer agrees to submit a request to the SEC or the applicable
governing body that ASML’s redactions receive confidential treatment under the laws, rules and regulations of the SEC or otherwise
be held in confidence to the fullest extent permitted under the laws, rules or regulations of the applicable governing body.

 

20. PATENT,
TRADEMARK, COPYRIGHT INFRINGEMENT INDEMNITY.

 

20.1.1 ASML
shall, at its own sole cost and expense, defend CUSTOMER in a third party suit based upon an assertion that the sale or use of
the Capital Equipment hereunder (for the avoidance of doubt, including Upgrades, Software and all other items listed in Section
1 of this Quotation), as such, hereinafter collectively referred to as the Relevant System, directly infringes a third party U.S.
patent, trademark, or copyright issued by the country into which the Relevant System has been initially sold, hereinafter referred
to as Third Party Right, and indemnify CUSTOMER against any final award (including reasonable cost and any compensatory damages)
in such suit subject to other provisions in Section 20, including Section 20.3.

 

20.1.2 Such
defense and indemnity are each strictly conditioned upon CUSTOMER providing to ASML prompt and written notice of such suit of infringement,
and of a claim for infringement, and of a request for defense or indemnity, with full authority at ASML’s discretion to conduct
such defense, or to settle such suit or claim (provided such settlement does not include payment or admission of liability or infringement
by CUSTOMER without prior written consent of CUSTOMER), and full assistance and co-operation in such conduct or settlement as ASML
may request.

 

20.1.3 In
the event of such suit or claim, ASML may, at its own sole cost and expense, and at its own sole discretion, either obtain adequate
license to such Third Party Right, or modify the Relevant System so that it becomes non-infringing, or replace the Relevant System,
or repurchase the Relevant System by repayment to CUSTOMER of the sales price of the Relevant System, paid by CUSTOMER to ASML
hereunder, less straight-line depreciation as provided in Section 20.3.

 

20.1.4 ASML
shall not be liable for any cost or expense of defense incurred by CUSTOMER in connection with any such suit or claim, without
ASML’s prior and specific authorization and consent.

 

20.1.5 Notwithstanding
any other section herein, ASML shall not be obligated to defend against, and shall not be obligated to indemnify for, (a) infringement
of any claim of a patent that covers the use of a System in combination with other equipment or materials not furnished or recommended
by ASML and where liability results solely from such combination; (b) infringement resulting from modification of any System or
component thereof, which modification is not authorized by ASML, but only to the extent that the infringement liability results
from such unauthorized modification; (c) infringement resulting from compliance with designs, specifications or working drawings
furnished by CUSTOMER, but only to the extent that the infringement results from ASML’s compliance with such designs, specifications
or working drawings; and (d) infringement of any process or method claims of any third party patent unless such System cannot be
used as designed other than in an infringement of such claim.

 

20.1.6 Notwithstanding
any other clause herein, ASML shall not be liable for any suit or claim against CUSTOMER by any future purchaser or user of the
Relevant System, without ASML’s prior and specific consent.

 

20.1.7 ASML’s
aggregate liability and obligation under this Section 20 shall be limited to a suit formally commenced within a term of five years
starting on the shipment date of the Relevant System subject to such suit, and a maximum amount not to exceed one and a half times
the sales price of the Relevant System, paid by CUSTOMER to ASML hereunder, less straight-line depreciation over said five years.

 

20.1.8 The
foregoing states ASML’s entire liability and obligation in connection with any suit or claim for infringement or misappropriation
of any intellectual property or other proprietary right, and, except as expressly stated in this SECTION 20, ASML makes no warranty,
express or implied, regarding non-infringement of any Third Party Right. Furthermore, ASML shall not under any circumstances be
liable to CUSTOMER or any other party for any other loss or damage whatsoever not explicitly provided for herein, including without
limitation, consequential, enhanced, exemplary, incidental, punitive, or special damages, or for any claim by CUSTOMER or any other
party for loss of data, profits, revenue, savings, or use of the Relevant System, however caused, or under any theory of liability.

 

     

     

    

 

		QUOTATION NUMBER	20066744
	November 26, 2018	 
	PAGE 18 OF 18	 

 

21. GENERAL.

 

21.1 GOVERNING
LAW; JURISDICTION.

 

21.1.1 For
sales involving the Equipment or the Software used or to be used outside of United States, this Agreement shall be governed by
and construed according to the laws of the Netherlands. The parties consent to the jurisdiction of the competent court residing
in the juridical district of Rotterdam for any action involving this agreement. The parties expressly exclude the application of
the United Nations Convention on Contracts for the International Sale of Goods in its entirety. No action by CUSTOMER may be brought
more than twelve (12) months after the facts occurred upon which the cause of action arose.

 

21.1.2 For
sales involving the Equipment or the Software used or to be used in the United States, this Agreement shall be governed by and
construed according to the laws of the State of Arizona. The parties consent to the jurisdiction of the federal and state courts
in Maricopa County, Arizona for any actions involving this Agreement. The parties expressly exclude the application of the United
Nations Convention on Contracts for the International Sale of Goods in its entirety. No action by CUSTOMER may be brought more
than twelve (12) months after the facts occurred upon which the cause of action arose.

 

21.2 FORCE
MAJEURE ASML shall not be liable in any manner for failure to deliver or delays occasioned by causes beyond ASML’s reasonable control,
to include without restriction, strikes, lockout, fires, embargoes, war, riots, insurrection, acts of God, accidents, delays of
carriers, subcontractors or suppliers, inability to obtain shipping space or materials, and governmental acts and regulations.
If such delays occur, the time for performance shall be extended for such time as may be reasonably necessary to enable ASML to
perform. If, due to any such contingency, ASMLs supplies of the Equipment, the Software, or the Services covered hereby are limited,
ASML shall have the right to allocate and prorate the available supply in such a manner as it, in its sole discretion, determines.

 

21.3 COMPLIANCE
WITH LAW. In the performance of its obligations under this Agreement, each party shall at all times strictly comply with all applicable
laws, regulations and orders, including export control laws and regulations of any country having proper jurisdiction. CUSTOMER
specifically acknowledges that the Equipment, the Software, and other information, including technical data, technology, and software
(the “Controlled Matter”) related to the Equipment or the Software may be subject to export control laws and regulations,
including the U.S. Export Administration Regulations and U.S. trade embargo regulations as well as to the European export control
regulations. Without limiting the generality of this provision, CUSTOMER agrees that no Controlled Matter supplied will be: (a)
re-exported, released or in any way transmitted to countries other than the United States except as may be authorized under U.S.
law and with the prior written authorization of ASML, or (b) re-exported, released or in any way transmitted to any other person
outside of the U.S. if such a re-export, release or transmission would violate U.S. law. ASML agrees to provide accurate export
classification information for the Controlled Matter promptly upon request from CUSTOMER.

 

21.4 ASSIGNMENT.
Neither party shall assign or delegate its rights and obligations hereunder without the prior written consent of the other party,
which shall not be unreasonably withheld. Any attempted assignment or delegation by a party without the prior consent of the other
party shall be void or of no effect.

 

21.5 MISCELLANEOUS.
This document constitutes the entire agreement between CUSTOMER and ASML with respect to the subject matter hereof and supersedes
all prior representations, negotiations and agreements, whether written or oral. No term or provision hereof shall be waived or
modified or deemed waived or modified by either party unless such waiver or consent to modify is in writing signed on behalf of
the party against whom it is asserted. All communications required or permitted hereunder shall be in writing. No consent by either
party to, or waiver of, a breach by either party will constitute a consent to, waiver of, or excuse of any other, different, or
subsequent breach by either party. If any provision of the Terms and Conditions is held unenforceable, ineffective or illegal for
any reason, such decision shall not affect the validity or enforcement of any or all of the remaining portion of the Terms and
Conditions.

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