Document:

Microsoft Corporation/WebTV Shopping Insertion Order

 Exhibit 10.21 
  
 Microsoft Corporation/Web TV 
 Shopping Insertion Order 
  
 Account Executive: Adam
Bunshoft 
 Email: [ * ] 
  

	Advertiser:	  	 Proflowers
	  	                    Agency	 	 
	Contact:	  	 Mark Sottosanti 5005 Wateridge Vista Dr. San Diego, CA
 (858) 729-2720
 [*]
	  	Contact:	 	 None

	Site URL:	  	 www.proflowers.com
	  	Term:	 	 [ * ]

	 	  	 	  	Total Fees:	 	 [ * ]

  
 Order Summary (see attached
spreadsheet): 
  
 Subject to applicable Terms and Conditions
included with this order. 
  

	 Ad Elements
 Flowers, Gifts & Parties Dept.
	  	 Approximate
 Order Total
	  	Total Ad Requests
	 [ * ]
	  	[ * ]	  	 
			
	 	  	 	  	[ * ]
			
	 	  	 	  	[ * ]
			
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	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  
 Microsoft Confidential 
  

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	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  
 Microsoft Confidential 
  

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	MICROSOFT CORPORATION	  	ADVERTISER
	 One Microsoft Way
 Redmond, WA 98052-6399
	  	 Proflowers
 5005 Wateridge Vista Dr.
 San Diego, CA 92121

		
	 By (Sign)                /s/ Sam
Faillace
	  	 By (Sign)                /s/ William
Strauss

		
	 Name (Print)          Sam Faillace
	  	 Name (Print)          William Strauss

		
	 Title:                      Business Planning & Development
	  	 Title:                      CEO

		
	 Date:                      6/26/00
	  	 Date:                      6/19/00

  
 Microsoft Confidential

  

 Page 3 

 MICROSOFT CORPORATION NON-STANDARD TERMS AND CONDITIONS 
 MSN SHOPPING CHANNEL 
 WebTV SERVICE
SHOPPING CENTER 
  

	1.	 	Material Specifications: Specifications for the material elements that Advertiser must include in any link, advertisement or other submission to Microsoft Corporation
(“MS”) for MSN Shopping and WebTV Service Shopping Center (“WebTV”) will be distributed to Advertiser. All submissions to MS for MSN Shopping or WebTV hereunder will comply with all such applicable elements.

  

	2.	 	ORDERS FOR ADVERTISEMENTS: All orders or other requests for advertising from an advertiser (whether made by the advertiser directly, or through an agency)
(“Advertiser”) are governed by these Standard Terms and Conditions and the attached Insertion Order (the “IO”). No other conditions, provisions, or terms of any sort appearing in any writings or other communications made in
connection with such orders, including without limitation those contained on or accompanying checks or other forms of payment, shall be binding on MS, whether in conflict with or in addition to these Standard Terms and Conditions. MS reserves the
right to refuse advertising buys from third parties that require ads to be served from that third party’s servers. Except as otherwise specified by MS herein, all order provisions regarding positioning of advertisements shall be treated as
requests, which requests shall be fulfilled at MS’ sole discretion. 

  

	3.	 	ACCEPTANCE: MS’ offer to publish advertisements for Advertiser is made on these Standard Terms and Conditions and the attached IO, and the placement or other
communication of an order for advertising with MS shall constitute Advertiser’s unconditional acceptance of these Standard Terms and Conditions; no acceptance shall be effective until it is received by MS in Redmond, Washington. MS reserves the
right not to publish any advertisement at any time in its sole discretion. Failure by MS to publish any requested advertisement does not constitute a breach of contract or otherwise entitle Advertiser to any legal remedy. Upon acceptance, Advertiser
agrees to comply with all specifications for material elements required for the MSN Shopping Channel or WebTV as designated by MS. The content of each and every advertisement is subject to the approval of MS, in the sole discretion of MS, and will
be subject to such limitations as MS may deem appropriate. MS and its network service providers may elect to cache certain Advertiser pages on MS’ servers or other technologies, and Advertiser hereby consents to such caching for the Agreement
Term and subject to the provisions of this Agreement. 

  

	4.	 	FEES: 

  
 A. During the Term of this Agreement, Advertiser shall pay MS the following as itemized on the attached IO: (i) a [ * ] for placement in MSN Shopping or
WebTV, in [ * ]; and (ii) media for WebTV and/or for MSN.com or any of its affiliated channels. MS will invoice Advertiser for each installment at the end of the [ * ] of each respective [ * ], and Advertiser will pay such invoiced amounts within [
* ] after the date of such invoice. If MS fails to deliver the agreed upon number of ad requests during the agreed upon period pursuant to subsection (i) or (ii) above, and provided that MS delivers at least [ * ] of the agreed upon number of ad
requests for each placement, [ * ] until the agreed upon number of ad requests (or other ad requests as the parties may agree) are provided. MS agrees to deliver [ * ], or alternate dates agreed upon by the parties: [ * ]. If MS delivers less than [
* ] of the agreed upon number of ad requests during the agreed upon period pursuant to subsection (i) or (ii) above, the parties will mutually agree upon a remedy for such failure. 
  
 B. MS will invoice Advertiser on a [ * ] basis, in arrears, for all amounts owing to MS pursuant to Section 4. Advertiser
will pay each MS invoice pursuant to this paragraph within [ * ] after the date of such invoice, in readily available funds. All amounts are invoiced and payable in United States dollar currency. In addition to all other available rights and
remedies, MS may cancel and remove any advertisement which is not paid for on a timely basis. 
  
 C. The fees, advances and other amounts owing to MS pursuant to these Standard Terms and Conditions and the attached IO do not include taxes or other governmental fees. Advertiser will pay all taxes and other
governmental fees arising out of or related to all transactions undertaken pursuant to this Agreement, other than taxes on MS income and revenue, and will provide MS with appropriate evidence of such payment upon request. 
  

	5.	 	AUDITS: Upon request, but no more frequently than once in any twelve (12) month period, MS will provide Advertiser with the most recent process audit conducted by an
independent auditing agency, pursuant to the then-current and applicable MS requirements. 

  

	6.	 	CANCELLATION: On [ * ] or thereafter, either party shall have the right to terminate these Standard Terms and Conditions and the attached IO upon sixty (60) days written
(email if followed by U.S. mail no later than the next business day) notice to the other party. If either MS or Advertiser defaults under this Agreement, the non-defaulting party will notify the other in writing. If the failure is not cured within
five (5) business days after written notice is received by the notified party, the non-defaulting party may, at any time prior to the default being cured, terminate this Agreement with no further obligation to the notified party; except for payment
of any amount properly due MS pursuant to Section 4. 

  

	7.	 	ADVERTISER REPORTING: Advertiser shall develop, implement and maintain the technology required to track usage of the Advertiser site by users linking to the Advertiser site
from the MSN Shopping Channel, WebTV and/or any other MS site, and will provide MS with monthly usage reports no later than [ * ] following the end of [ * ] of the Term. Such reports shall include [ * ] and [ * ] MSN Shopping Channel users.

  

	8.	 	WARRANTIES: Advertiser warrants, represents and agrees that all products and/or services offered, sold or otherwise provided as part of the Advertiser site, and all Product
Images (as defined in Section 11.C below): (a) are made, offered, sold or otherwise provided in compliance with applicable laws and will not infringe the copyrights, trademarks, service marks or any other proprietary, publicity or privacy right of
any third party; (b) shall not be libelous, defamatory, obscene or pornographic; and (c) shall not violate other civil or criminal laws, including those regulating the use and distribution of content on the Internet and protection of personal
privacy. Advertising further warrants, represents and agrees that: (d) the Advertiser site is controlled and operated by Advertiser and/or its independent contractors and will be functional and accessible [ * ] (other than during periods of routine
maintenance, which will be scheduled during periods of low usage); (e) except as specifically provided for in the IO or as otherwise agreed to in writing by the parties, Advertiser will not use in any manner any trade names, trademarks, logos or
product names of MS or its affiliated companies; (f) the Advertiser site and all actions occurring thereon are in compliance with all applicable laws; (g) the information technology, financial, operational, communication and other systems and
processes used by Advertiser in connection with the Advertiser site shall not be interrupted or adversely affected by the manipulation, processing, comparison, display or calculation of dates from, into and between the twentieth

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  
 Microsoft Confidential 
  

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and twenty-first centuries, including leap years and Advertiser agrees to cooperate with MS and provide all necessary information in a prompt manner should
MS have any inquiries regarding the Year 2000 readiness of Advertiser or any of the information or technology that is the subject of this Section 8(g); (h) Advertiser has the power and authority to enter into and perform its obligations under this
Agreement; (i) Advertiser maintains on Advertiser’s site a clear privacy statement setting forth the information gathering, dissemination, privacy protection and other practices employed by Advertiser with respect to information collected by
Advertiser from users, and Advertiser will adhere to all the provisions of such statement; and (j) Advertiser’s site uses secure technology to protect user data for all commercial transactions. 

  
 MS warrants, represents and agrees that: (k) the MSN Shopping Channel and
WebTV are in compliance with all applicable laws, and (l) MS has the power and authority to enter into and perform its obligations under this Agreement. Notwithstanding the foregoing, MS will not be responsible for third party content, products or
services offered on the MSN Shopping Channel, WebTV or any Internet site owned, controlled or operated by MS or any of its affiliated companies. 
  
 THIS SECTION AND SECTION 9 CONTAIN THE ONLY WARRANTIES, EXPRESS OR IMPLIED, MADE BY ADVERTISER AND MS. ANY AND ALL OTHER WARRANTIES, EXPRESS OR
IMPLIED, ARE EXPRESSLY EXCLUDED AND DECLINED. EACH PARTY DISCLAIMS ANY IMPLIED WARRANTIES, PROMISES AND CONDITIONS OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE AND/OR NON-INFRINGEMENT, WHETHER AS TO THE MSN SHOPPING CHANNEL, WEBTV,
THE ADVERTISER SITE, ANY SERVICES RENDERED BY MS AND/OR THE TECHNOLOGY DEPLOYED IN CONNECTION THEREWITH. 
  

	9.	 	LINKS TO INTERNET SITES: Advertiser and Agent each warrant and represent to MS that each Internet site identified by URLs in advertisements: (a) is controlled by Advertiser
and operated by Advertiser and/or its independent contractors; (b) will be functional and accessible at [ * ]; and (c) is in compliance with all applicable laws and regulations, and suitable in all respects to be linked to from the applicable site
containing the advertisement. MS may refuse to provide links from the MSN Shopping Channel or WebTV to any materials on the Advertiser’s site, or MS may reject any Advertiser content that, in MS’ reasonable judgment (d) are factually
inaccurate, misleading or deceptive; (e) infringe any third party intellectual property rights; (f) are libelous, defamatory, obscene or pornographic; (g) may violate other civil or criminal laws, including those regulating the use and distribution
of content on the Internet and protection of personal privacy; and/or (h) contain any programs, application, interfaces or other functions that, given the nature of the MSN Shopping Channel or WebTV system and in MS’ reasonable judgment would
have a deleterious effect on the MSN Shopping Channel or WebTV users’ experience. In determining whether any materials on the Advertiser’s site, or whether any Advertiser content would have a deleterious effect on the MSN Shopping Channel
or WebTV users’ experience, MS shall use standards consistent with those MS uses to determine quality standards for its other featured partners. MS may test Advertiser’s URLs, and in MS’ sole discretion may remove any URLs at any time
that fail to comply with the above requirements. 

  

	10.	 	REMOVAL OF LINK: If MS receives a claim of infringement concerning the Advertiser link or advertisement or a claim which alleges a breach of Section 8, 9, 11.D., 11.E and/or
11.F, the parties agree that MS may, in addition to any other remedies provided for herein, immediately remove the Advertiser link or advertisement from any and all MS site(s), pending receipt of a non-infringing replacement link or satisfactory
resolution of the claim, and any such removal shall not constitute a breach of this Agreement. Advertiser must provide a non-infringing replacement link or advertisement (as applicable), or resolve the claim to MS’ satisfaction, within [ * ] of
notification. Advertiser’s obligation to pay the fees in Section 4, if any, shall be suspended during any period that MS has removed the Advertiser link or advertisement from the MSN Shopping Channel or WebTV, as set forth in this section.

  

	11.	 	ADVERTISER OBLIGATIONS: 

  
 A. Advertiser will make regular updates of all pricing and Inventory information available to MS in a reasonable time interval and in a format agreed to
by the parties; 
  
 B. Advertiser shall provide MS with [ * ]
notice if it intends to modify the format in which it has provided pricing and inventory information; 
  
 C. Advertiser shall provide, to the extent such information exists, images for the products in its inventory in either gif or jpeg format (“Product
Images”). Advertiser grants MS a non-exclusive, royalty free right and license to use the Product Images in conjunction with promotion of the MSN Shopping channel or WebTV, or an alternate site as designated by MS. MS acknowledges that its
utilization of the Product Images will not create in it, nor will it represent it has, any right, title, or interest in or to such marks other than the licenses expressly granted herein; 
  
 D. Advertiser shall be solely responsible for customer service for users linking to the Advertiser site through the MS
Site(s), for product support, quality and availability of products and/or services made available at the Advertiser site, fulfillment of orders and returns; 
  
 E. Advertiser shall ensure that all users of the Advertiser’s site placing an order for product(s) and/or service(s) are timely advised of the status
of such purchase(s) including the timely confirmation of all orders via electronic mail; 
  
 F. Advertiser shall provide electronic mail capabilities between the user and Advertiser; and 
  
 G. Advertiser shall optimize the Advertiser site for WebTV users by providing a “WebTV-friendly environment” and emphasizing clear page layouts
designed for display on a television set, with a template that conforms to WebTV’s website design guidelines for the size, color and layout of text and graphics. 
  

	12.	 	INDEMNIFICATION: The parties agree to indemnify, defend, and hold each other harmless from any and all actions, causes of action, claims, demands, costs, liabilities,
expenses (including reasonable attorneys’ fees) and damages arising out of or in connection with any claim made by a third party that, if true, would be (a) a breach by Advertiser of Sections 11.D., 11.E. and/or 11.F; or (b) a breach by either
party of any representation or warranty set forth in this Agreement. If any action shall be brought against either party (“Claimant”) in respect to any allegation for which indemnity may be sought from the other party (“Indemnifying
Party”) pursuant to the provisions of Section 8 and/or 9, Claimant shall promptly notify Indemnifying Party in writing, specifying the nature of the action and the total monetary amount sought or other such relief as is sought therein. Claimant
shall not settle or otherwise compromise any claim without the written consent of Indemnifying Party. Claimant shall cooperate with Indemnifying Party at Indemnifying Party’s expense in all reasonable respects in connection with the defense of
any such action. Indemnifying Party 

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  
 Microsoft Confidential 
  

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may upon written notice to Claimant undertake to conduct all proceedings or negotiations in connection therewith, assume the defense thereof, and if it so
undertakes, it shall also undertake all other required steps or proceedings to settle or defend any such action, including the employment of counsel that shall be satisfactory to Claimant, and payment of all expenses. Claimant shall have the right
to employ separate counsel and participate in the defense at Claimant’s sole expense. Indemnifying Party shall reimburse Claimant upon demand for any payments made or loss suffered by it at any time after the date of tender, based upon the
judgment of any court of competent jurisdiction or pursuant to a bona tide compromise or settlement of claims, demands, or actions, in respect to any damages to which the foregoing relates. 

  

	13.	 	LIMITATION OF LIABILITY: EXCEPT TO THE EXTENT ARISING PURSUANT TO SECTION 12 OR A BREACH OF SECTION 14, IN NO EVENT SHALL EITHER PARTY BE LIABLE FOR ANY CONSEQUENTIAL, INDIRECT,
INCIDENTAL, SPECIAL OR EXEMPLARY DAMAGES WHATSOEVER, INCLUDING WITHOUT LIMITATION, DAMAGES FOR LOSS OF PROFITS, BUSINESS INTERRUPTION, LOSS OF OR UNAUTHORIZED ACCESS TO INFORMATION, AND THE LIKE, INCURRED BY THE OTHER PARTY ARISING OUT OF THIS
AGREEMENT (PROVIDED THAT THIS LIMITATION SHALL NOT LIMIT EITHER PARTY’S OBLIGATION TO INDEMNIFY THE OTHER PARTY FOR THIRD PARTY CLAIMS WHICH INCLUDE SUCH DAMAGES), EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. IN NO
EVENT WILL MS OR ANY OF ITS AFFILIATES BE LIABLE TO ADVERTISER FOR AN AMOUNT [ * ] FROM ADVERTISER FOR THE [ * ]. As a matter of clarity, MS’ affiliate, WebTV Networks, Inc., shall have no liability whatsoever to Advertiser.

  

	14.	 	CONFIDENTIALITY: Advertiser acknowledges that it has entered into a MS Non-Disclosure Agreement dated 5/25/00, and the terms of such agreement shall be deemed incorporated
herein, and further, that all terms and conditions of this Agreement shall be deemed Confidential Information as defined therein. 

  

	15.	 	PRESS RELEASES: Neither party will issue any press release or make any public announcement(s) relating in any way whatsoever to this Agreement or the relationship established
by this Agreement without the express prior written consent of the other party, which consent shall not be unreasonably withheld, provided that MS may make informational references to MSN Shopping and/or WebTV Service Shopping Center, and
Advertiser’s participation therein in publicity and press releases without obtaining Advertiser’s consent. 

  

	16.	 	GENERAL PROVISIONS: These terms and conditions are governed by the laws of the State of Washington, USA. All capitalized terms used herein shall have the same meaning as in
the IO. Advertiser hereby irrevocably consents to the personal jurisdiction of, and exclusive venue for any legal proceedings or actions undertaken by or on behalf of Advertiser in, the state and federal courts located in King County, Washington.
The prevailing party in any dispute concerning the subject matter hereof shall be entitled to recover its reasonable attorneys’ fees and costs. The parties agree that this Agreement is deemed to have been made in the State of Washington, USA.
No joint venture, partnership, employment, or agency relationship exists between Advertiser and MS. MS shall not be deemed to have waived or modified any of these terms and conditions except by a writing signed by its duly authorized representative.
Advertiser may not assign its rights hereunder to any third party unless MS expressly consents to such assignment in writing. Any attempted assignment, sub-license, transfer, encumbrance or other disposal without such consent shall be void and shall
constitute a material default and breach of this Agreement. If any provision of these Standard Terms and Conditions is found invalid or unenforceable pursuant to judicial decree or decision, the remaining provisions shall remain valid and
enforceable, and the unenforceable provisions shall be deemed modified to the extent necessary to make them enforceable. Unless specifically stated otherwise, the applicable territory for the advertising shall be the United States and Canada. All
notices to MS relating to any legal claims or matters must be made in writing to Microsoft Corporation, One Microsoft Way, Redmond, WA 98052-6399, attn. US Legal Group, Law & Corporate Affairs. attn: Ad Sales Attorney and will be deemed given as
of the day they are received either by messenger, delivery service, or in the United States of America mails, postage prepaid, certified or registered, return receipt requested, and addressed to the party signing this Agreement. This Agreement
constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements or communications. This Agreement shall not be modified except by a written agreement dated
subsequent to the date of this Agreement and signed on behalf of Advertiser and MS by their respective duly authorized representatives. This Agreement does not constitute an offer by MS and it shall not be effective until signed by both parties.
Sections 5 (Audits), 7 (Advertiser Reporting), 8 (Warranties), 10 (Removal of Link), 12 (Indemnification), 13 (Limitation of Liability), 14 (Confidentiality) and 16 (General Provisions) shall survive any termination of this Agreement and will remain
in full force, together with all rights and causes of action that may have accrued prior to termination, and any other provisions that might reasonably be deemed to survive such termination. 

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

Microsoft Confidential 
  

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 ANCHOR FLOWERS MERCHANT PACKAGE 
 [ * ] Contract Term: [*] 

	Overall Value (net)	  	 	  	 [ * ]
	  	 
				
	 Sections

	  	 Ad Elements

	  	 Contract
 Impressions
 (Mill) estimates

	  	 Total Value

	 [ * ]
	  	 	  	 	  	 
	 	  	 	  	[ * ]	  	 
	 	  	 	  	 	  	[ * ]
	 	  	 	  	 	  	[ * ]
	 	  	 	  	 	  	[ * ]
	 	  	 	  	 	  	[ * ]
	 	  	 	  	 	  	[ * ]
	 	  	 	  	 	  	[ * ]
	 Total Package
	  	 	  	[ * ]	  	[ * ]

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  
 Microsoft Confidential, Subject to NDA 

 Proflowers.com 
  

	 	    	 [ * ]
	  	 	  	 
	 	    	 Keyword

	  	 Price
 thru [ * ]

	  	 Estimated
 Impressions

	 1
	    	 [ * ]
	  	[ * ]	  	[ * ]
	 2
	    	 [ * ]
	  	[ * ]	  	[ * ]
	 3
	    	 [ * ]
	  	[ * ]	  	[ * ]
	 4
	    	 [ * ]
	  	[ * ]	  	[ * ]
	 5
	    	 [ * ]
	  	[ * ]	  	[ * ]
	 	    	 	  	     [ * ] TOTAL [ * ]

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

 Hotmail [ * ] Schedule 
  

	Start Date	  	 	 	End Date	  	 	  	 Impressions

	 	  	[ * ]	 	 	  	[*]	  	     [*]

					
	 	  	 	 	        [ * ]	  	 	  	 

	*	 	Material has been omitted pursuant to a request for confidential treatment.Amendment to Microsoft Corporation/WebTV Shopping Insertion Order

 Exhibit 10.22 
  
 AMENDMENT TO 
 MICROSOFT
CORPORATION/WEBTV SHOPPING INSERTION ORDER 
  
 This Amendment is made pursuant
to that certain Microsoft Corporation/WebTV Shopping Insertion Order and the attached Microsoft Corporation Non-Standard Terms and Conditions (the “Agreement”) dated June 26, 2000 by and between Microsoft Corporation
(“Microsoft”) and Proflowers (“Company”) and confirms the terms pursuant to which Company will participate in the MSN Shopping Channel (“eShop”) and WebTV Service Shopping Center (“WebTV”). 
  
 Microsoft and Company hereby agree to modify the Agreement as follows, effective immediately:

  

	1.	 	All references to “MS” and “Advertiser” in the Agreement shall be deemed deleted, and the words “Microsoft” and “Company” shall respectively
be deemed inserted therein. 

  

	2.	 	The parties agree that the Term, Total Fees and Order Summary outlined in the Agreement shall be deemed deleted, and such elements shall be amended and deemed inserted as set forth
below: 

  
 Account Executive: 
 Email: 
  

	Company:	  	 Proflowers
	  	Agency	  	 
	Contact:	  	 Mark Irace
 5005 Wateridge Vista Dr.
 San Diego, CA 92121
 [*]
	  	Contact:	  	 
	Site URL:	  	 www.proflowers.com
	  	Term:	  	[*]
	 	  	 	  	Total Fees:	  	See Exhibit 1-B

  
 Order Summary (see
Exhibit 1-A attached): 
  

	 Ad Elements

	  	 Order Total

	  	 [*]

	  	 Total ad requests

	 eShop placements
 [*]
	  	 See Exhibit 1-B
	  	See Exhibit 1-B	  	See Exhibit 1-B
	Additional Placements	  	 See Exhibit 1-B
	  	See Exhibit 1-B	  	See Exhibit 1-A

  

	3.	 	FEES: The parties agree that Section 4 of the Agreement shall be deemed deleted, and the following shall be deemed inserted therein: 

  
 4. A. Microsoft will invoice Company on a [*] basis for all amounts owing to
Microsoft under this Agreement. Company will pay each Microsoft invoice pursuant to this paragraph within [*] after the date of such invoice, in readily available funds. All amounts are invoiced and payable in United States dollar currency. In
addition to all other available rights and remedies, Microsoft may cancel and remove any advertisement which is not paid for on a timely basis. 
  
 4. B. The fees, advances and other amounts, if any, owing to Microsoft pursuant to this Agreement do not include taxes or other governmental fees. Company
will pay all taxes and other governmental fees arising out of or related to all transactions undertaken pursuant to this Agreement, other than taxes on Microsoft income and revenue, and will provide Microsoft with appropriate evidence of such
payment upon request. 
  

	4.	 	AUDITS: The parties agree that the paragraph in Section 5 of the Agreement shall be renumbered as Section 5.A, and the following shall be deemed inserted as Section 5.B:

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 1 of 10 

 Microsoft will maintain during the Term and for at least twelve (12) months thereafter all of its regular
books of account relating to its obligations hereunder. If Company believes in good faith Microsoft has materially breached its obligations herein or that Microsoft has charged Company in excess of amounts actually owing pursuant to Section 4,
Company will have the right at Company’s sole expense to audit such books of account, subject to the following: (a) Company will provide Microsoft with at least thirty (30) days’ prior written notice of such audits; (b) audits may occur
only during Microsoft’s regular business hours, and at the location where such books of account are maintained by Microsoft or such other location reasonably specified by Microsoft; (c) Company will cooperate with Microsoft in good faith to
avoid and limit any disruption of such audits to Microsoft’s business and operations; (d) such audit will be conducted by an independent accounting firm, acceptable to Microsoft, compensated in a manner that is not affected by the outcome of
the audit (e.g., no contingency fees); (e) the auditors provide Microsoft with all results and other communications Company related to the audit promptly after communicating the same to Company; (f) audits may not occur more than once in any twelve
(12) month period, and must be limited to the twelve (12) months immediately proceeding the date on which such audit will occur; (g) the auditors will provide their final conclusions of the audit to Company and Microsoft simultaneously and within
thirty (30) days after the last day of the audit. No audit may occur more than twelve (12) months after the last day of this Agreement. Any information disclosed to or otherwise learned by Company or its auditors in connection with an audit
conducted pursuant to this paragraph constitutes Confidential Information of Microsoft and is subject to the limitations on use set forth in the NDA. If an audit reveals that Microsoft has over-charged Company by [*] or more of the amounts due for
any audited period of time, Microsoft will refund such fees to Company within [*] following conclusion of the audit, and will pay Company all reasonable costs and expenses incurred by Company in conducting such audit. If the audit reveals that
Microsoft has charged Company in excess of amounts actually owing and Company has tendered such amounts, Microsoft shall reimburse Company for any such overpayments. 
  

	5.	 	CANCELLATION: The parties agree that Section 6 of the Agreement shall be deemed deleted, and the following shall be deemed inserted therein: 

  
 If either Microsoft or Company defaults under this Agreement, the
non-defaulting party will notify the other in writing. If the failure is not cured within ten (10) business days after written notice is received by the notified party, the non-defaulting party may terminate this Agreement immediately with no
further obligation to the notified party. Upon expiration of this Agreement, or if Microsoft terminates this Agreement due to Company’s willful and/or intentional breach (including, but not limited to, Company’s failure to pay Microsoft),
Company will immediately pay any amounts of the Total Fees not yet paid. If Microsoft terminates this Agreement due to an unintentional breach by Company: (a) prior to [*], Company shall be obligated to render payment of unpaid fees, which shall not
exceed seventy-five percent [*] due to Microsoft; or (b) after [*], Company shall be obligated to render payment of any amounts of the Total Fees not yet paid. For example, if Company unintentionally breached this Agreement on [*] and Microsoft has
not provided [*] to Company’s site, Company will owe Microsoft [*], less any fees already rendered to Microsoft. Conversely, if Company unintentionally breached this Agreement on [*] Microsoft has delivered [*] to Company’s site, Company
will owe Microsoft [*], plus any [*] due under Section B(ii) of Exhibit 1-B, less any fees already rendered to Microsoft. If Company terminates due to an uncured default by Microsoft, Company will be obligated to render payments to Microsoft through
the effective date of the termination. If Microsoft terminates due to an uncured default by Company, Microsoft will be obligated to serve Company’s advertisements through the effective date of the termination. 
  

	6.	 	COMPANY REPORTING: In addition to the obligations set forth in Section 7 of the Agreement, Company agrees to the following: 

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 2 of 10 

 If Company participates in a seasonal or other Microsoft promotion during the Term, Company shall
develop, implement and maintain the technology required to track usage of the Company site by users linking to the Company site from eShop, WebTV and/or any other Microsoft site, and will provide Microsoft with reports detailing the qualifying
transaction activity, including but not limited to, the total number of qualifying transactions per customer check-out, and the URL for the corresponding order confirmation page on Company’s site. Company agrees to keep all usual and accurate
records necessary to verify such promotion reporting under this section. 
  

	7.	 	USE OF NAME OR MARKS: Except as set forth in this Agreement, nothing shall grant either party any right, title, interest, or license in or to the other’s names, logos,
logotypes, trade dress, designs, or other trademarks. Each party may, however, make descriptive references to the other party’s trademarks as provided under applicable law and in the manner contemplated by this Agreement. Company must use
Microsoft’s trademarks and the logo identified in Section 6 below in accordance with Microsoft’s guidelines set forth at http://www.microsoft.com/trademarks/t-mark/MS-Guide.htm and the guidelines in the attached Exhibit 1-C, as such
guidelines may be updated by Microsoft from time to time. Company shall provide Company logos in accordance with the logo specifications required by Microsoft. 

  

	8.	 	WARRANTIES: The parties agree that Section 8 subpart (d) of the Agreement shall be deemed deleted, and the following shall be deemed inserted therein:

  
 “the Company Site is controlled and
operated by Company and/or its independent contractors and will be functional and accessible at least [*] of the time (other than during periods of routine maintenance, which will be scheduled during periods of low usage)” 
  

	9.	 	LINKS TO INTERNET SITES: The parties agree that Section 9 subpart (b) of the Agreement shall be deemed deleted, and the following shall be deemed inserted therein:

  
 “will be functional and accessible at
least [*] of the time (other than during periods of routine maintenance, which will be scheduled during periods of low usage)” 
  
 The parties agree that the second to last sentence of Section 9 of the Agreement shall be deemed deleted, and the following shall be deemed inserted
therein: 
  
 In determining whether any materials on the
Company’s site, or whether any Company content would have a deleterious effect on the MSN Shopping Channel or WebTV users’ experience, such as the presence of a worm or virus, Microsoft shall use standards consistent with those Microsoft
uses to determine quality standards for its other featured partners. 
  

	10.	 	COMPANY OBLIGATIONS: In addition to the obligations set forth in Section 11 of the Agreement, Company agrees to the following: 

  

	 	A.	 	Microsoft acknowledges [*]. Company will make commercially reasonable efforts to enter into the standard Microsoft Passport SDK License and Single Sign-In Service Agreement promptly
following the execution of this Agreement. Company agrees to deploy such Microsoft Passport services. If Company has not deployed such Microsoft Passport services prior to implementing another third party wallet technology on Company’s site,
Microsoft Passport services will, upon deployment, receive a location and size at least as prominent as such third party wallet technology; 

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 3 of 10 

	 	B.	 	For each category in which Company has placement (i.e., the “Desktop” category of the Hardware sub-department), Company will provide Microsoft with a minimum of [*] offers
for MSN users (“Offers”) throughout the Term. Offers may include, but not be limited to, Company’s products or other compelling offers to increase MSN user response and Company’s sales; 

  

	 	C.	 	Company will provide Microsoft with a minimum of [*] optimized, exclusive offers for MSN Users (“Exclusive Offers”) throughout the Term. Exclusive Offers may include, but
not be limited to: (i) pervasive merchant discounts (i.e., dollar or percentage discounts off Company’s entire inventory, a specific category or any large set of products); (ii) offer-specific discounts (i.e., an exclusive discount of a
specific sku for MSN users); (iii): channel specific offers (i.e., offers exclusive to MSN users during the entire offer period or presented to MSN users in advance of an offering via another portal or channel); and/or (iv) bundled offers (i.e.,
offers tied to the purchase of another item [buy a 32” TV and receive a discount on a DSS receiver]); 

  

	 	D.	 	During sessions generated by users accessing Company’s site from MSN, Company will maintain a Microsoft frame (“Frame”). Such Frame will: (i) be in a format
designated by Microsoft; (ii) include links back to eShop, MSN or any page therein deemed appropriate by Microsoft; and (iii) be subject to change in Microsoft’s sole discretion. Notwithstanding the foregoing, Microsoft agrees that Company may
employ technology that will remove the Frame solely upon the user’s entry into the final “confirm transaction” page of Company’s check-out procedure. Company will host and reinstate the Frame on the order confirmation page, and
such reinstated Frame will meet the format designated by Microsoft. Company shall not make any changes to the Frame provided by Microsoft. Microsoft retains all right, title, and interest in and to the Frame; 

  

	 	E.	 	Company will meet with Microsoft on a [*] basis to review orders and revenue generated from MSN re-directs and from transactions concluded via phone where MSN was identified as the
lead source; 

  

	 	F.	 	Company will make commercially reasonable efforts to maintain the “on MSN” logo and URL provided by Microsoft under this Agreement on e-mail communications to its
customers and Company’s catalogs and packing materials in shipped boxes per Microsoft specifications, including without limitation the guidelines in the attached Exhibit 1-C; and 

  

	 	G.	 	Company shall not implement and/or use technology which prohibits users from using the “Back” button on such user’s browser to return to the prior site and/or any
Microsoft site. 

  

	11.	 	INDEMNIFICATION: The parties agree that the first sentence of Section 12 of the Agreement shall be deemed deleted, and the following shall be deemed inserted therein:

  
 The parties agree to indemnify, defend, and hold each other
harmless from any and all actions, causes of action, claims, demands, costs, liabilities, expenses (including reasonable attorneys’ fees) and damages arising out of any claim made by a third party that, if true, would be a breach by Company of
Sections 11.D., 11.E. and/or 11.F; or (b) a breach by either party of any representation or warranty set forth in this Agreement. 
  

	12.	 	LIMITATION OF LIABILITY: The parties agree that Section 13 of the Agreement shall be deemed deleted, and the following shall be deemed inserted therein:

  
 EXCEPT TO THE EXTENT PURSUANT TO SECTION 12 OR A BREACH OF
SECTION 14, IN NO EVENT SHALL EITHER PARTY BE LIABLE FOR ANY CONSEQUENTIAL, INDIRECT, INCIDENTAL, SPECIAL OR EXEMPLARY DAMAGES WHATSOEVER, INCLUDING WITHOUT LIMITATION, DAMAGES FOR LOSS OF PROFITS, BUSINESS INTERRUPTION, LOSS OF OR UNAUTHORIZED
ACCESS TO INFORMATION, AND THE LIKE, INCURRED BY THE OTHER PARTY ARISING OUT OF THIS 
  

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 4 of 10 

 
AGREEMENT (PROVIDED THAT THIS LIMITATION SHALL NOT LIMIT EITHER PARTY’S OBLIGATION TO INDEMNIFY THE OTHER PARTY FOR THIRD PARTY CLAIMS WHICH INCLUDE
SUCH DAMAGES), EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. IN NO EVENT WILL EITHER PARTY OR ANY OF ITS AFFILIATES BE LIABLE TO THE OTHER PARTY FOR AN AMOUNT [*] FROM COMPANY FOR THE ADVERTISEMENT(S) AT ISSUE. As a matter
of clarity, Microsoft’s affiliate, WebTV networks, Inc. shall have no liability whatsoever to Company. 
  

	13.	 	GENERAL PROVISIONS: The parties agree that the eighth and ninth sentences of Section 16 of the Agreement shall be deemed deleted, and the following shall be deemed inserted
therein: 

  
 Neither this Agreement nor any rights, interests or
obligations hereunder shall be assigned in whole or in part by a party (whether by operation of law or otherwise) without the prior written consent of the other party (which consent shall not unreasonably be conditioned or withheld); provided that
no consent shall be required in the event of a merger, sale of substantially all of the stock or assets or other corporate reorganization of a party in which more than fifty percent (50%) of the voting securities of such party is transferred, as
long as the successor agrees in writing to be bound by the terms of this Agreement. 
  
 This Schedule shall be attached to and incorporated into the Agreement, and is subject to all the terms and conditions of the Agreement. Whereby the parties enter into this Schedule as of the later of the two dates below. 
  

	 Microsoft
	 	 Company

	MICROSOFT CORPORATION	 	PROFLOWERS
	 One Microsoft Way
	 	 5005 Wateridge Vista Drive

	 Redmond, WA 98052-6399
	 	 San Diego, CA 92121

				
	 By
	 	 /s/ Samuel Faillace

	 	 By
	 	 /s/ William Strauss

	 (Sign)
	 	 (Sign)

		
	 Samuel Faillace

	 	 William Strauss

	 Name (Print)
	 	 Name (Print)

		
	 Product Unit Manager

	 	 CEO

	 Title
	 	 Title

		
	 9/7/2001

	 	 9/6/2001

	 Date
	 	 Date

  
 Program Contact: See Account
Executive above 

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 5 of 10 

 EXHIBIT 1-A 
  

	 	  	 Ad Elements

	  	 Proj
 Impressions
 (000,000)

	  	 Estimated
 Click Rate

	  	 Projected
 Consumer
 Sessions

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

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 6 of 9 

	 	  	 Ad Elements

	  	 Proj
 Impressions
 (000,000)

	  	 Estimated
 Click Rate

	  	 Projected
 Consumer
 Sessions

	 [*]
	  	[*]	  	[*]	  	[*]	  	[*]
					
	 	  	 Ad Elements

	  	 Proj
 Impressions
 (000,000)

	  	 Estimated
 Click Rate

	  	 Projected
 Consumer
 Sessions

	 [*]
	  	[*]	  	[*]	  	[*]	  	[*]
					
	 	  	 Ad Elements

	  	 Proj
 Impressions
 (000,000)

	  	 Estimated
 Click Rate

	  	 Projected
 Consumer
 Sessions

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

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 7 of 9 

 eShop network merchandising (including mini-eShop, inline and incontext) ad requests are estimates for each site. The
actual ad request deliveries per MSN channel may differ from estimates, however, the total number of ad requests are guaranteed. 
  
 Failure by Microsoft to meet [*] ad request guarantees, a particular cost per acquisition and/or a certain return on investment metric shall not be deemed a breach of
this Schedule or entitle Company to any legal remedy. 
  
 Microsoft will make
reasonable efforts to deliver ad requests and [*] from the distribution areas above in substantially the same percentages as projected (i.e., [*]), unless otherwise agreed upon by the parties. 

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 8 of 9 

 EXHIBIT 1-B 
 TOTAL FEES 
  
 The Total Fees shall be
comprised of the following elements: 
  

	 	A.	 	Fee. Company will pay Microsoft [*] (the “Fee”) in consideration for the elements set forth in Exhibit 1-A. The Fee is a guaranteed payment to Microsoft, except as
set forth in Section 3 of this Amendment. The Fee will be rendered to Microsoft in [*]. The [*] payment hereunder is due when [*]. Microsoft will invoice Company for the [*], and Company will pay such invoiced amounts within [*] following the date
of such invoice. 

  

	 	B.	 	[*]. 

  

	 	(i)	 	During the Term, Microsoft will provide [*] to Company, except as set forth in Section B(ii) below. If Microsoft fails to provide [*] by the end of the Term, [*] until such ad
requests (or other ad requests as the parties may agree) are provided. 

  

	 	(ii)	 	During the Term, Microsoft will make reasonable efforts to deliver [*] to Company’s site. If Microsoft provides [*] to Company’s site: (a) Microsoft will be relieved of
any obligation to provide a certain number of [*] to Company; and (b) Company will pay Microsoft the placement [*] below: 

  

	 PLACEMENT

	 	 [*]

	 [*]
	 	 [*]

  

	 	(iii)	 	[*] will be delivered from the placements set forth in Exhibit 1-A, editorial placements on the MSN home page and other elements mutually agreed upon by the parties.

  

	 	(iv)	 	Company agrees that Microsoft’s reporting will be the basis for [*] billing. Microsoft will bill Company for [*], if any, on [*] basis, and Company will pay such invoiced
amounts within [*] following the date of such invoice. 

  

	 	(v)	 	The parties will meet on a [*] basis during the Term to monitor and manage [*]. Following each such meeting, the parties may revise the placements in an effort to optimize [*].

  

	 	(vi)	 	Company will be billed for [*] by Microsoft, however, Microsoft will not be required to refund or otherwise return to Company any portion of the Fee if such [*] set forth in Section
B. (ii) are not delivered. Failure by Microsoft to deliver the [*] set forth above in Section B. (ii), shall not be deemed a breach of this Agreement or entitle Company to any legal remedy. Microsoft is not obligated to deliver [*] evenly throughout
the Term. 

	*	 	Material has been omitted pursuant to a request for confidential treatment. 

  

 MICROSOFT CONFIDENTIAL 
 Page 9 of 9 

 EXHIBIT 1-C 
 GuideLines for use of “on MSN” Logo 
  

	 	•	 	Company may use the Logo provided by Microsoft under this Agreement solely during the Term, on Company’s Web site, and in marketing materials and email communications where
Company advertises products available on eShop and WebTV. When used online, the Logo shall always be an active link to MSN eShop at http://eshop.msn.com/. 

  

	 	•	 	Company’s name, logo, or trademark must appear on any materials where the Logo is used and must be larger and more prominent than the Logo. 

  

	 	•	 	The Logo may not be used in any manner that expresses or might imply Microsoft’s affiliation, sponsorship, endorsement, certification, or approval, other than as contemplated
by this Agreement. 

  

	 	•	 	Company shall not use the Logo in a manner that might suggest co-branding or otherwise create potential confusion as to source or sponsorship of Company’s products, services,
Web site, or advertising materials, or confusion as to ownership of the Logo. Company may not use the Logo in any manner that suggests that Company’s products or services are Microsoft products or services. 

  

	 	•	 	“MSN” or the Logo may not be included in any non-Microsoft trade name, business name, domain name, product or service name, logo, trade dress, design, slogan, or other
trademark. 

  

	 	•	 	Company may use the Logo only as provided by Microsoft. Except for size subject to the restrictions herein, the Logo may not be altered in any manner, including proportions, colors,
elements, etc., or animated, morphed, or otherwise distorted in perspective or dimensional appearance. 

  

	 	•	 	The Logo may not be combined with any other symbols, including words, logos, icons, graphics, photos, slogans, numbers, or other design elements. 

  

	 	•	 	The Logo may not be imitated or used as a design feature in any materials. 

  

	 	•	 	The Logo must stand alone. A minimum amount of empty space must surround the Logo separating it from any other object, such as type, photography, borders, edges, etc. The required
area of empty space around the Logo must be 1/2x, where x equals the height of the Logo. 

  

	 	•	 	The integrity of all elements of the Logo must be maintained. For example, the type and trademark notations must be readable; in no event may the Logo appear so small that these
conditions are not met. 

  

	 	•	 	Use of the Logo in printed marketing materials must include the notice: “MSN and the MSN Logo are registered trademarks or trademarks of Microsoft Corporation in the United
States and/or other countries and are used under license from Microsoft”. 

  

 MICROSOFT CONFIDENTIAL 
 Page 10 of 9

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