Document:

EXHIBIT 10.2

AMENDMENT TO THE

XBOXÔ PUBLISHER LICENSING AGREEMENT

(Tiered
Royalty Rate Structure and Xbox Platinum Hits Program)

 

This Amendment (“Amendment”) is entered into and effective as of
January 31, 2003 (the “Effective Date”) by and between Microsoft
Licensing, Inc.,  a
Nevada corporation (“Microsoft”), and THQ Inc. (“Licensee”),
and supplements the XboxÔ Publisher License
Agreement  between
the parties dated as of  March 20,
2001  (“PLA”), and as previously
amended.

 

RECITALS

 

A.                                    Whereas,
Microsoft and its affiliated companies develop and license a computer game
system, known as the XboxTM game system; and

 

B.                                    Whereas,
Licensee is an experienced publisher of software products and is developing and
publishing one or more software products to run on the XboxÔ
game system pursuant to the parties’ PLA; and

 

C.                                    Whereas,
the parties wish to amend the royalty rates set forth in the PLA in order to
provide a more flexible worldwide royalty scale for Licensee’s Xbox games.

 

Accordingly, for and in consideration of the mutual covenants and
conditions contained herein, and for other good and valuable consideration,
receipt of which each party hereby acknowledges, Microsoft and Licensee agree
as follows:

 

I.                                         DEFINITIONS;
INTERPRETATION

 

a.                                       Except
as expressly provided otherwise in this Amendment, capitalized terms shall have
the same meanings ascribed to them in the PLA.

 

b.                                       The
terms of the PLA are incorporated by reference, and except and to the extent
expressly modified by this Amendment or any previous amendments, the PLA shall
remain in full force and effect and is hereby ratified and confirmed.   The parties acknowledge that except as
expressly set forth herein, this Amendment supersedes any prior amendments to
the PLA related to manufactured Finished Product Unit (“FPU”) royalty rates and
payments.

 

c.                                     “European
Sales Territory” means for purposes of this Amendment the Territory
comprising Europe, Australia and New Zealand, and any other countries which may
be added by Microsoft at any time and from time to time following the date of
this Amendment, as such additions shall be set forth in the Xbox Guide.

 

d.                                     “North
American Sales Territory” means for purposes of this Amendment the
Territory comprising the United States, Canada and Mexico, and any other
countries which may be added by Microsoft at any time and from time to time
following the date of this Amendment, as such additions shall be set forth in
the Xbox Guide.

 

e.                                       “Asian
Sales Territory Excluding Japan” means for purposes of this Amendment the
Territory comprising Taiwan, Hong Kong, Singapore and Korea, and any other
countries which may be added by Microsoft at any time and from time to time
following the date of this Amendment, as such additions shall be set forth in
the Xbox Guide.

 

f.                                         “Japan
Sales Territory” means for purposes of this Amendment the country of Japan
and any other countries which may be added by Microsoft at any time and from
time to time following the date of this Amendment, as such additions shall be
set forth in the Xbox Guide.

 

g.                                      “Standard
FPU” means an FPU of a Software Title which is not a Platinum FPU.  The Commercial Release of a Software Title
may only consist of Standard FPUs.

 

h.                                      “Platinum
FPU” means an FPU of a Platinum Software Title, as such term is further
defined in Section [7].1.6 of this Amendment.

 

MICROSOFT CONFIDENTIAL

 

i.                                         “Release to
Manufacture” means the date when both parties (i.e., Microsoft and
Licensee) have authorized the Authorized Replicator in a specific Manufacturing
Region to begin replication of Standard and/or Platinum FPUs for distribution
to a specified Sales Territory.

 

j.                                         “Base
Royalty” means the licensing fee to be paid to Microsoft that is based on a
combination of:

i.            the
Wholesale Price (for North America and Europe) or the Suggested Retail Price
(for Japan) of an FPU;

ii.        the
Manufacturing Region (as defined in Section [7].1.4.1 of the Agreement, as
restated below); and

iii.    the
Sales Territory (as defined in Section [7].1.4.1 of the Agreement, as restated
below).

 

Base Royalty is further defined in Section [7].1.4.1.

 

k.                                     “Wholesale
Price” means the **** price which Licensee intends to charge retailers
and/or distributors in bona fide third party transactions for the right to
license the Software Title for resale, it being agreed that (i) ****; (ii) if
Licensee enters into an agreement with a third party providing the third party
with the exclusive right to distribute the Software Title in a Sales Territory,
the Wholesale Price shall be governed by the ****; and (iii) if the Wholesale
Price varies among countries in a single Sales Territory, the  for the Territory shall be used to determine
the Base Royalty for the entire Sales Territory.

 

II.                                     REVISED
ROYALTY RATES.   The section of
the PLA entitled “Royalties” (which may be either Section 6.1 or 7.1 of
Licensee’s PLA)  is amended and restated
in its entirety to read as follows:

 

[7].1                       Royalties.

 

[7].1.1           Royalty
Payments.  In accordance with
the terms of this Section [7], Licensee shall have the option of paying
the  Standard FPU royalties in US
Dollars, Japanese Yen or Euros. 
Licensee shall exercise its option by completing, signing and returning
to Microsoft the Xbox Publisher Royalty Selection Form annexed as Exhibit 1
hereto, and designating the appropriate box thereby selecting  to pay royalties on either a “Worldwide” or
“Regional” basis, it being agreed that, if Licensee does not complete and
return the Royalty Selection Form within **** days following the Effective Date
of this Amendment, then the Regional or Worldwide option that Licensee
designated prior to the Effective Date of this Amendment shall remain in
effect.    The royalty selection
designation shall be binding throughout the Term of this Agreement for all of
Licensee’s Software Titles.  If Licensee
elects to pay on a Worldwide basis, it shall pay royalties in US Dollars
regardless of where the Standard FPUs are distributed or manufactured.  If Licensee elects to pay on a Regional
basis, it shall pay royalties in US Dollars, Japanese Yen or Euros in
accordance with the table set forth in this Section [7].1 (“Royalty
Table”) and the following provisions.

 

(a)  If Licensee has chosen
regional billing and the Authorized Replicator manufacturing the Standard FPUs
is located in Japan, Singapore, Malaysia or Taiwan, Licensee shall pay its
royalty denominated in Japanese Yen as set forth in the Royalty Table for such
Standard FPUs.

 

(b)  If Licensee has chosen
regional billing and the Authorized Replicator manufacturing the Standard FPUs
is located within Europe, Licensee shall pay its royalty denominated in Euros
as set forth in the Royalty Table for such Standard FPUs.

 

(c)  If Licensee has chosen
regional billing and the Authorized Replicator manufacturing the Standard FPUs
is located in any other country or region of the world, Licensee shall pay its
royalty denominated in US Dollars as set forth in the Royalty Table for such
Standard FPUs.

 

[7].1.2             Notwithstanding
the foregoing, in the event the conversion ratio for either Yen or Euros to
Dollars, as described by the Reuters news service as set forth on “Reuters.com”
(as of 4:00 p.m. London, England time), falls outside the foreign exchange
trading range as set forth in the chart below, for a period of time greater
than **** consecutive days, Microsoft may then, in its good faith discretion
and according to its normal practices, readjust the royalty amounts set forth
in the Royalty Table for that currency. 
Microsoft shall provide Licensee with notice of any such changes in the
royalty amounts.

 

*  Confidential portion omitted and filed
separately with the Securities and Exchange Commission.

 

2

 

Yen/Euro to US
Dollar Trading Range

 

	
   

  	
   

  	
  Minimum

  	
   

  	
  Maximum

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Yen

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  
	
  Euros

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  

 

[7].1.3             Release to
Manufacture Within **** of Receipt of Executed Amendment.  With respect to the specific Sales
Territories in which Software Titles Release to Manufacture prior to or within
**** after the date that Microsoft receives executed copies of this Amendment
from Licensee (“Execution Date”), Licensee shall pay Microsoft nonrefundable
royalties, on a Software Title-by-Software Title basis, for each Standard FPU
manufactured during the Term of this Agreement, in accordance with the
following table:

 

	
  Standard
  FPUs Manufactured

  	
   

  	
  Royalty
  per

  Applicable Standard FPU

  US Dollars

  Yen

  Euros

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Units ****

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Units ****

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Units ****

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  
	
  Units **** and above

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  
	
   

  	
   

  	
  ****

  	
   

  

 

Notwithstanding
the foregoing, **** will be payable hereunder with respect to any Demo
Versions.

 

[7].1.4             Release
to Manufacture **** After Receipt of Executed Amendment 

 

[7].1.4.1                                                 Base
Royalties.  With respect to the
specific Sales Territories in which Software Titles Release to Manufacture at
least **** after the Execution Date, Licensee shall pay Microsoft nonrefundable
Base Royalties, on a Software Title-by-Software Title basis, for each Standard
FPU manufactured during the Term of this Agreement, in accordance with the Base
Royalty tables set forth in this Section [7].1.4 and the “Unit Discount” table
set forth in  Section [7].1.5.  If Licensee has chosen the Worldwide billing
option, (i) the applicable Base Royalty for Standard FPUs for Software Titles
intended for sale in the European and North American Sales Territories shall be
determined by the Wholesale Price of the Software Title, and for Software
Titles intended for sale in the Japan Sales Territory, the Base Royalty shall
be determined by the Suggested Retail Price; and (ii) the Base Royalty shall
always be payable in United States Dollars. 
If Licensee has chosen the Regional billing option, the applicable Base
Royalty for Standard FPUs for Software Titles intended for sale in the
European, Japan and North American Sales Territories shall be determined by:
(x) the Wholesale Price of the Software Title (for Japan, the Suggested Retail
Price); (y) the Territory in which the Standard FPUs are manufactured (the
“Manufacturing Region”); and (z) the Territory in which Licensee intends to
sell the Standard FPUs (the “Sales Territory”).  In addition, if Licensee has chosen the Regional billing option,
the applicable currency for payment of the Base Royalty shall be solely
determined by the Manufacturing Region of the applicable FPUs.  The applicable Base Royalty for Standard
FPUs for Software Titles intended for sale in the Asian

 

*  Confidential portion omitted and filed
separately with the Securities and Exchange Commission.

 

3

 

Sales Territory Excluding Japan shall be, until
further notice from Microsoft, determined solely by the Manufacturing
Region.  Base Royalties per Sales
Territory for both the Worldwide and Regional billing options are set forth in
the following tables:

 

North American
Sales Territory 

 

	
   

  	
   

  	
  Wholesale Price

  	
   

  	
  North American

  Manufacturing

  Region

  	
   

  	
  European

  Manufacturing

  Region

  	
   

  	
  Asian

  Manufacturing

  Region

  	
   

  	
  Wordwide Billing

  Option

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Tier 1

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  
	
  Tier 2

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  
	
  Tier 3

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  

 

European Sales
Territory 

 

	
   

  	
   

  	
  Wholesale Price

  	
   

  	
  North American

  Manufacturing

  Region

  	
   

  	
  European

  Manufacturing

  Region

  	
   

  	
  Asian

  Manufacturing

  Region

  	
   

  	
  Worldwide Billing

  Option

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Tier 1

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  
	
  Tier 2

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  
	
  Tier 3

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  

 

Japan Sales
Territory 

 

	
   

  	
   

  	
  Suggested

  Retail Price

  	
   

  	
  North American

  Manufacturing

  Region

  	
   

  	
  European

  Manufacturing

  Region

  	
   

  	
  Asian

  Manufacturing

  Region

  	
   

  	
  Worldwide Billing

  Option

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Tier 1

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  
	
  Tier 2

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  
	
  Tier 3

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  

 

Asian Sales
Territory Excluding Japan

 

	
  North American  Manufacturing

  Region

  	
   

  	
  European Manufacturing

  Region

  	
   

  	
  Asian Manufacturing

  Region

  	
   

  	
  Worldwide Billing

  Option

  	
   

  
	
  ** **

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  

 

[7].1.4.2   Determination
of Base Royalty Tier.  Regardless
of whether Licensee has chosen the Worldwide or Regional billing option, in
order for the appropriate royalty tier to be applied to Licensee’s Standard
FPUs, Licensee shall submit a completed and signed Royalty Tier Selection Form
in the form attached hereto as Exhibit 2 for each Software Title’s Sales
Territory to Microsoft no later than forty-five (45) days prior to the date of
Licensee’s first submission to Microsoft of the final release version of such
Software Title for certification in each Sales Territory.  Notwithstanding the foregoing, if Licensee
chooses not to reveal a Software Title’s Wholesale Price range (or, in the case
of the Japan Territory, Suggested Retail Price range), it shall have no
obligation to submit a Royalty Tier Selection Form; provided, however, that in
such case, (i) the Base Royalty for such Software Title shall be the **** for
such Software Title, ****

 

*  Confidential portion omitted and filed
separately with the Securities and Exchange Commission.

 

4

 

of the actual Wholesale (or Suggested Retail) Price;
and (ii) unless notified otherwise by Licensee in writing, the Sales territory
for any FPUs for the Software Title shall be deemed to be the same as the
Manufacturing Region for such FPUs. 
Additionally, if Licensee, for any other reason, fails to submit a
Royalty Tier Selection Form for a Software Title within the time frame
specified above, (a) the Base Royalty will **** to the applicable ****, **** of
the actual Wholesale (or Suggested Retail) Price; and (b) unless notified
otherwise by Licensee in writing, the Sales territory for any FPUs for the
Software Title shall be deemed to be the same as the Manufacturing Region for
such FPUs.  Following the selection of a
Base Royalty by Licensee in accordance with this Section for a Software Title
in a Sales Territory, such Base Royalty shall be binding with respect to such
Software Title in such Sales Territory, even if the Wholesale (or Suggested
Retail) Price is reduced following the Software Title’s Commercial Release in
such Sales Territory.    Notwithstanding
the foregoing,**** will be payable hereunder with respect to any Demo Versions.

 

[7].1.5             Unit
Discounts.   Regardless of
whether Licensee has chosen the Worldwide or Regional Billing option, Licensee
shall be eligible for a discount (a “Unit Discount”) on the applicable Base
Royalty based on the **** of Standard FPUs that have been **** in each Sales
Territory, regardless of Manufacturing Region. 
The discount will be rounded up to the nearest Cent, Yen or hundreth of
a Euro.   The discount schedule will be
updated and revised  in the first
calendar quarter each year and will be effective starting the following
July.  The following discount grid is
the first of such discount schedules and will be effective immediately but only
for Software Titles that Commercially Release on or after ****.

 

	
  Unit Discount

  	
   

  	
  North
  American

  Sales Territory

  (Number of

  Standard FPUs

  Manufactured)

  	
   

  	
  European
  Sales

  Territory (Number

  of
  Standard FPUs

  Manufactured)

  	
   

  	
  Japan
  Sales

  Territory (Number

  of Standard FPUs

  Manufactured)

  	
   

  	
  Asian
  Sales Territory

  Excluding Japan

  (Number of Standard

  FPUs Manufactured)

  	
   

  
	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  * ****

  	
   

  
	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  *

  	
   

  
	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  *

  	
   

  
	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  *

  	
   

  
	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  *

  	
   

  

 

* ****

 

For purposes of the following examples, it is assumed
that Licensee has chosen the Regional billing option and has properly selected
the applicable Base Royalty in accordance with the provisions of this Section.

 

Example 1:   Licensee manufactures a Software Title in the North American
Manufacturing Region for sale in the North American Sales Territory with a
wholesale price between **** and **** and with an initial order quantity of
**** Standard FPUs.  Licensee
manufactures the same Software Title in the European Manufacturing Region for
sale in the European Sales Territory with a wholesale price between ** - ** and
with an initial order quantity of **** Standard FPUs.  
The actual applied royalty rates for this Software Title
would be:

 

i.                                          For
North American Sales Territory:

a.     **** for units **** through **** (****
discount)

b.              **** (i.e., **** x
****) for units **** through **** (**** discount)

ii.                                       For
European Sales Territory:

a.     € ****
for units **** through **** (**** discount)

 

Example 2:   Licensee manufactures a Software Title for sale in the North
American Sales Territory with a wholesale price between **** and **** and with
an initial order quantity of **** Standard FPUs manufactured in

 

*  Confidential portion omitted
and filed separately with the Securities and Exchange Commission.

 

5

 

the North American Manufacturing Region, and a
subsequent order quantity of **** Standard FPUs manufactured in the European
Manufacturing Region for sale in the North American Sales Territory.  Licensee manufactures the same Software
Title in the European Manufacturing Region for sale in the Japan Sales
Territory at a suggested retail price below **** and with an initial order
quantity of **** Standard FPUs.   The
actual applied royalty rates for this Software Title would be:

 

i.                                          For
North American Sales Territory:

a.     **** for units **** thru **** (****
discount)

b.     **** for units **** through **** (****
discount)

c.    **** (i.e., **** x ****) for units ****
through **** (**** discount)

ii.                                       For
Japan Sales Territory:

a.    **** for
units **** through **** (**** discount)

 

[7].1.6             Royalty Rates for Platinum Program
Software Titles.      If
Licensee elects to publish a Software Title under the “Xbox Platinum Hits
Program” (as such program has been established in the North American Sales
Territory and the European Sales Territory) (such Software Title being referred
to herein as a “Platinum Software Title”), Licensee shall pay to Microsoft the
nonrefundable royalties set forth below, in lieu of the royalties otherwise
specified in this Section [7], for each Platinum FPU manufactured during the
Term of this Agreement.  Software Titles
shall be eligible for the Xbox Platinum Hits Program commencing **** in the
North American Sales Territory and commencing on **** in the European Sales
Territory.  If and when Microsoft
establishes a comparable program in the Japan and/or the Asian Sales Territory
Excluding Japan (which decision shall be in Microsoft’s sole discretion),
Microsoft shall provide Licensee with advance notice thereof, it being agreed
that the per unit royalty to be paid by Licensee in connection with the
Platinum Hits (or comparable) program in Japan shall be as set forth below.

 

	
   

  	
   

  	
  Royalty Per Platinum FPU Manufactured

  	
   

  
	
  Sales Territory

  	
   

  	
  North American

  Manufacturing Region

  	
   

  	
  European Manufacturing

  Region

  	
   

  	
  Japan Manufacturing

  Region

  	
   

  
	
  All

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  	
  ****

  	
   

  

 

Notwithstanding the foregoing, **** will be payable
hereunder with respect to any Demo Versions.

 

[7].1.6.1       Qualifying
Software Titles.    In order for a
Software Title to qualify as a Platinum Software Title in a Sales Territory,
all of the following conditions must be satisfied:

 

(i)  The Software Title must have been
Commercially Released and commercially available as a Standard FPU in the
applicable Sales Territory for at least **** **** months;

 

(ii)  The following minimum Standard FPU
manufacturing quantity for the applicable Sales Territory must have been met:

 

(a)                                For
a Platinum FPU Commercial Release date between **** for the applicable Sales
Territory:

 

•                                           ****
Standard FPUs must have been manufactured for the North American Sales
Territory.

•                                           ****
Standard FPUs must have been manufactured for the European Sales Territory.

•                                           ****
Standard FPUs (or such other minimum quantity as may be determined by
Microsoft) must have manufactured for the Japan Sales Territory.

 

(b)                                 For
a Platinum FPU  Commercial Release date
between **** for the applicable Sales Territory:

 

*  Confidential portion omitted
and filed separately with the Securities and Exchange Commission.

 

6

 

•                                           ****
Standard FPUs must have been manufactured for the North American Sales
Territory.

•                                           ****
Standard FPUs must have been manufactured for the European Sales Territory.

•                                           ****
Standard FPUs (or such other minimum quantity as determined by Microsoft) must
have manufactured for the Japan Sales Territory.

 

(c)                                  For
a Platinum FPU Commercial Release date **** for the applicable Sales Territory,
quantities as determined by Microsoft

 

(iii)                              Wholesale
Price per Platinum FPU must not exceed **** in the North American Sales
Territory or **** in the European Sales Territory; and the suggested retail
price must be less than **** in the Japan Sales Territory.

 

(iv)                             All
Marketing Materials for a Platinum Software Title must clearly indicate that
the Software Title is an Xbox Platinum Hit (or such other title that Microsoft
designates for a comparable program in applicable Territories), and Licensee
shall submit all such Marketing Materials to Microsoft for its approval in
accordance with Section 2.3.4 of the PLA. 
Branding and other requirements for Platinum Software Title Marketing
Materials shall be set forth in the Xbox Guide.

 

(v)                                The
Platinum FPU version of the Software Title must be the same or substantially
equivalent to the Standard FPU version of the Software Title. Notwithstanding
the foregoing, all known material bugs or errors in the Standard FPU version
shall be corrected in the Platinum FPU version, and Licensee acknowledges that
any such corrections may require the Software Title to be re-Certified at
Licensee’s expense.  Licensee may modify
or add additional content or features to the Platinum FPU version of the
Software Title (e.g., demos or game play changes) subject to Microsoft’s review
and approval, which approval shall not be unreasonably withheld, and Licensee
acknowledges that any such modifications or additions may also require the
Software Title to be re-Certified at Licensee’s expense.

 

Provided that all of the foregoing conditions have been satisfied with
respect to a Software Title in a particular Sales Territory and Licensee
provides Microsoft with a completed Platinum Hits Program Publication Form in
the form annexed hereto as Exhibit 3  no later than **** days prior to the
targeted Commercial Release of the Platinum Software Title, Licensee shall be
authorized to manufacture and distribute Platinum FPUs in such Sales Territory.

 

Additionally, so long as the conditions described in subsections (iii),
(iv) and (v) above have been met, Licensee may select one additional Software
Title as a Platinum Software Title in each Sales Territory so long as: (a) the
applicable Software Title has been commercially available as a Standard FPU in
the applicable Sales Territory for at least **** **** months; and (b) a
comparable version of the Software Title has been commercially released in the
applicable Sales Territory for another game console platform as of **** as part
of a program comparable to the Xbox Platinum Hits Program.

 

III.                                 The
section of the PLA entitled “Royalty Payments” (which may be either Section 6.2
or 7.2 of Licensee’s PLA) is hereby deleted in its entirety.

 

IN WITNESS WHEREOF, the
parties hereto have caused this Amendment to be executed as of the Effective
Date on the dates indicated below.

 

	
  MICROSOFT
  LICENSING, INC.

  	
  [PUBLISHER’S
  NAME]

  
	
   

  	
   

  
	
  /s/ Roxanne V.
  Spring

  	
   

  	
  /s/ Tim Walsh

  	
   

  
	
  By (sign)

  	
  By (sign)

  
	
  Roxanne V.
  Spring

  	
   

  	
  Tim Walsh

  	
   

  
	
  Name (Print)

  	
  Name (Print)

  
	
  CPM

  	
   

  	
  Senior VP,
  International Publishing & Wireless

  	
   

  
	
  Title

  	
  Title

  
	
  12-Mar-2007

  	
   

  	
  March 11, 2003

  	
   

  
	
  Date

  	
  Date

  

 

*  Confidential portion omitted
and filed separately with the Securities and Exchange Commission.

 

7

 

EXHIBIT 1

 

XBOX PUBLISHER ROYALTY SELECTION FORM

 

PLEASE
COMPLETE THE BELOW INFORMATION, SIGN THE FORM, AND FAX IT TO MICROSOFT
LICENSING, INC. (“MSLI”) AT (775) 826-0506.  
UPON RECEIPT OF THE COMPLETED AND SIGNED FORM, MSLI SHALL ACKNOWLEDGE
RECEIPT  WHERE INDICATED BELOW AND
RETURN A FULLY EXECUTED COPY OF THE FORM TO THE PUBLISHER AT THE FAX NUMBER
INDICATED BY THE PUBLISHER BELOW.  THIS
FORM SHALL BE BINDING ON THE PARTIES UPON FULL EXECUTION.

 

•                  PUBLISHER
SHALL CHOOSE ONE OF THE ROYALTY OPTIONS SET FORTH BELOW WHICH SHALL APPLY TO
ALL OF PUBLISHER’S SOFTWARE TITLES DURING THE TERM OF THE AGREEMENT.

•                  IF PUBLISHER
DOES NOT WISH TO CHANGE ITS CURRENT ROYALTY OPTION, PUBLISHER DOES NOT  NEED TO COMPLETE THIS FORM.

•                  IF THIS FORM
IS RETURNED ON OR BEFORE  **** THE EFFECTIVE DATE OF THE ROYALTY
CHANGE WILL ALSO BE ****.  IF THIS FORM
IS RETURNED AFTER ****, THE ROYALTY CHANGE WILL NOT BE EFFECTIVE UNTIL THE 1ST
DAY OF THE FOLLOWING MONTH.

 

 

Publisher name:      THQ
Inc.                                                                                                                                              

 

	
  ****

  	
  Worldwide

  	
   

  	
  ****   (initials)

  	
   

  
	
  ****

  	
  Regional

  	
   

  	
  ****   (initials)

  	
   

  

 

(Choose
only one of the above)

 

The undersigned represents that he/she has authority
to submit this form on behalf of the above publisher, and that the information
contained herein is true and accurate.

 

	
   

  	
  /s/ Tim Walsh

  	
   

  
	
   

  	
  By (sign)

  
	
   

  	
  Tim Walsh

  	
   

  
	
   

  	
  Name (Print)

  
	
   

  	
  SVP, International
  Publishing & Wireless

  	
   

  
	
   

  	
  Title

  
	
   

  	
  818-871-7400

  	
   

  
	
   

  	
  Fax number

  
	
   

  	
  3/11/03

  	
   

  
	
   

  	
  Date

  

 

RECEIVED
AND ACKNOWLEDGED:

 

MICROSOFT LICENSING, INC.

 

	
  /s/ Roxanne V.
  Spring

  	
   

  
	
  By (sign)

  	
   

  
	
  Roxanne V.
  Spring

  	
   

  
	
  Name (Print)

  	
   

  
	
  GPM

  	
   

  
	
  Title

  	
   

  
	
  12-Mar-2003

  	
   

  
	
  Date

  	
   

  

 

*  Confidential portion omitted
and filed separately with the Securities and Exchange Commission.

 

8

 

EXHIBIT 2

 

XBOXÔ PUBLISHER LICENSING ROYALTY TIER SELECTION FORM

 

PLEASE
COMPLETE THE BELOW INFORMATION, SIGN THE FORM, AND FAX IT TO MICROSOFT
LICENSING, INC. (“MSLI”) AT (425) 936-7329 TO THE ATTENTION OF
MSLIXASG@MICROSOFT.COM.  UPON
RECEIPT OF THE THE COMPLETED AND SIGNED FORM, MSLI SHALL E-MAIL AN
ACKNOWLEDGEMENT OF RECEIPT TO THE PUBLISHER AT THE E-MAIL ADDRESS SPECIFIED BY
THE PUBLISHER BELOW.  THIS FORM SHALL BE
BINDING ONLY UPON PUBLISHER’S RECEIPT OF THE E-MAIL ACKNOWLEDGEMENT.

 

NOTES:

•                                 THIS
FORM MUST BE SUBMITTED AT LEAST **** DAYS PRIOR TO THE SOFTWARE TITLE’S FIRST
SUBMISSION OF THE FINAL RELEASE VERSION OF THE SOFTWARE TITLE TO MICROSOFT FOR
CERTIFICATION FOR EACH RESPECTIVE SALES TERRITORY.  IF THIS FORM HAS NOT BEEN SUBMITTED WITHIN THIS TIME FRAME THEN
THE ROYALTY RATE DEFAULTS TO THE TIER 1 ROYALTY RATE FOR THE APPLICABLE SALES
TERRITORY.

•                                 ONCE
THE ROYALTY TIER HAS BEEN SELECTED IT IS BINDING FOR THE LIFE OF THE SOFTWARE
PRODUCT IN THE SPECIFIED SALES TERRITORY.

•                                 A
SEPARATE FORM MUST BE SUBMITTED FOR EACH SALES TERRITORY.

 

1.               Publisher
name:                                                                                                                                        

2.               Xbox Software Title
Name:                                                                                                                                        

 

3.               XMID Number:

                                                        North
American

                                                        Japan

                                                        Europe

 

4.               Manufacturing
Region (check one):

                                                        North
America

                                                        Japan

                                                        Europe

 

5.               Sales Territory
(check one):

                                                        North
American Sales Territory

                                                        Japan
Sales Territory

                                                        European
Sales Territory

 

6.               Final Certification
Date:

                                                                    North
American Sales Territory

                                                                    Japan
Sales Territory

                                                                    European
Sales Territory

 

7.               Select Royalty
Tier: (check one):

                                                        Tier
1

                                                        Tier
2

                                                        Tier
3

 

The undersigned represents that he/she has authority to submit this
form on behalf of the above publisher, and that the information contained
herein is true and accurate.

 

	
   

  	
   

  	
   

  
	
   

  	
  By (sign)

  
	
   

  	
   

  	
   

  
	
   

  	
  Name (Print)

  
	
   

  	
   

  	
   

  
	
   

  	
  Title

  
	
   

  	
   

  	
   

  
	
   

  	
  E-Mail Address (for confirmation)

  
	
   

  	
   

  	
   

  
	
   

  	
  Date

  

 

 

*  Confidential portion omitted
and filed separately with the Securities and Exchange Commission.

 

9

 

EXHIBIT 3

 

XBOXÔ PLATINUM HITS PROGRAM PUBLICATION FORM

 

PLEASE
COMPLETE THE BELOW INFORMATION, SIGN THE FORM, AND FAX IT TO MICROSOFT
LICENSING, INC. (“MSLI”) AT (425) 936-7329 TO THE ATTENTION OF
MSLIXASG@MICROSOFT.COM WITH A COPY SENT TO PUBLISHER’S XBOX ACCOUNT
MANAGER.  UPON RECEIPT OF THE COMPLETED
AND SIGNED FORM, MSLI SHALL E-MAIL AN ACKNOWLEDGEMENT OF RECEIPT TO THE
PUBLISHER AT THE E-MAIL ADDRESS SPECIFIED BY THE PUBLISHER BELOW.  THIS FORM WILL BE BINDING ONLY UPON
PUBLISHER’S RECEIPT OF THE E-MAIL ACKNOWLEDGEMENT.

 

NOTES:

•                  THIS FORM
MUST BE SUBMITTED BY A PUBLISHER IN ORDER TO PUBLISH A SOFTWARE TITLE AS PART
OF THE XBOX PLATINUM HITS PROGRAM (OR OTHER COMPARABLE PROGRAM) IN ANY SALES
TERRITORY.

•                  A
SEPARATE FORM MUST BE SUBMITTED FOR EACH SALES TERRITORY IN WHICH THE PUBLISHER
WISHES TO PUBLISH A SOFTWARE TITLE AS PART OF THE PROGRAM.

 

1.           Publisher
name:                                                                                                                                          

1)              Xbox Software Title
Name:                                                                                                                        

 

2)              XMID Number:
                                                                                                                                          

 

3)              Sales Territory for
which Publisher wants to publish the Software Title as a Platinum Hit (check
one):

                                                        North
American Sales Territory

                                                        Japan
Sales Territory

                                                        European
Sales Territory

 

4)              Date of Commercial
Release of Software Title in applicable Sales Territory:
                                 

 

5)              Number of Standard
FPUs manufactured to date for the Software Title for the applicable Sales
Territory:
                 

 

6)              Projected Commercial
Release date of Software Title in the applicable Sales Territory as part of
Platinum Hits Program: 

                             

 

7)              Manufacturing Region
for Platinum Hits FPUs (check one)

                                                        North
America

                                                        Japan

                                                        Europe

 

*  Confidential portion omitted
and filed separately with the Securities and Exchange Commission.

 

10

 

The undersigned represents that he/she has authority to submit this
form on behalf of the above publisher, and that the information contained
herein is true and accurate.

 

	
   

  	
   

  	
   

  
	
   

  	
  By (sign)

  
	
   

  	
   

  	
   

  
	
   

  	
  Name (Print)

  
	
   

  	
   

  	
   

  
	
   

  	
  Title

  
	
   

  	
   

  	
   

  
	
   

  	
  E-Mail Address (for confirmation)

  
	
   

  	
   

  	
   

  
	
   

  	
  Date

  

 

*  Confidential portion omitted
and filed separately with the Securities and Exchange Commission.

 

11Exhibit
10.11b

 

 

2002
AMENDED AND RESTATED SECURED PROMISSORY NOTE

 

	
  $1,722,417.00

  	
   

  	
  Irvine, CA

  
	
   

  	
   

  	
  December 27, 2002

  

 

WHEREAS, Wireless Billing
Systems, a California corporation (“Wireless Billing”;  “Maker”), executed that certain Secured
Promissory Note on May 26, 1999, in the principal amount of Two Million Two
Hundred Thirty-Eight Thousand Two Hundred Forty-Two Dollars ($2,238,242.00)
(the “Original Note”) in favor of Corsair Communications, Inc. (“Corsair”); and

 

WHEREAS, Wireless Billing
executed that certain Note Agreement on January 1, 2001 (the “Note Agreement”)
and that certain Amended and Restated Secured Promissory Note on January 1,
2001, in the principal amount of One Million Six Hundred Ninety-Six Thousand,
Three Hundred Ninety-Four Dollars and Eighteen Cents ($1,696,394.18) (the
“January 2001 Amended Note”) in favor of Corsair; and

 

WHEREAS, Wireless Billing and
Corsair executed a letter agreement to revise the terms of the January 2001
Amended Note on December 20, 2001.  The
January 2001 Amended Note, as amended by said letter agreement, shall be
referred to herein as the “December 2001 Amended Note”; and

 

WHEREAS, Lightbridge, Inc.
(“Holder”) has succeeded to the assets and liabilities of Corsair by way of
merger; and

 

WHEREAS, Maker and Holder
desire to amend and restate the December 2001 Amended Note as provided herein;

 

NOW THEREFORE:

 

FOR VALUE RECEIVED, Maker
hereby promises to pay to the order of Holder, at 67 South Bedford Street,
Burlington, Massachusetts 01803, or at such other place as Holder may designate
from time to time in writing, in lawful money of the United States of America
and in immediately available funds, the principal amount of One Million Seven
Hundred Twenty-Two Thousand Four Hundred Seventeen Dollars ($1,722,417.00), together
with interest accrued on the unpaid principal amount hereof from December 27,
2002 at the rate of eight percent (8%) per annum, compounded annually, payable
as follows:

 

(i)                                     Twenty-four
monthly installments of Twenty-Five Thousand Dollars ($25,000.00) each,
commencing on January 26, 2003 and ending on December 26, 2004; and

 

(ii)                                  Lump
sum payment of One Million Three Hundred Seventy-One Thousand Eight Hundred
Seventy-Two Dollars and Thirty-Seven Cents 

 

 

($1,371,872.37) on December 26, 2004, all in accordance with the
amortization schedule attached hereto as Exhibit A.

 

Upon payment in full of the
outstanding principal and all accrued but unpaid interest thereon, this 2002
Amended and Restated Secured Promissory Note (“2002 Amended Note”) shall be
surrendered to Maker for cancellation.

 

All payments on this 2002
Amended Note shall be applied first against accrued and unpaid interest and
then against the outstanding principal. 
Maker shall have the right to prepay all or any portion of the principal
obligation hereunder without penalty at any time or from time to time.

 

Maker hereby waives
presentment, demand for payment, notice, protest and all other demands and
notices in connection with the delivery, acceptance, performance, default or
enforcement of this 2002 Amended Note. 
Maker hereby promises to pay on demand all reasonable legal fees and
other costs and expenses paid or incurred by the holder hereof in enforcing or
collecting this 2002 Amended Note.

 

The occurrence of any of the
following events is an “Event of Default” hereunder:

 

(a)          Maker
fails to pay when due any payments under this 2002 Amended Note, which failure
remains unremedied for five (5) business days following Maker’s mailing of
notice from the Holder of any such non-payment(s).

 

(b)         Without
the application or consent of Maker (i) a receiver, trustee, custodian or
similar officer is appointed for Maker or for any substantial part of Maker’s
property, or (ii) any bankruptcy, insolvency, reorganization or liquidation
proceedings or other proceedings for relief under any bankruptcy law or any law
for the relief of debtors under the laws of any jurisdiction is instituted (by
petition, application, or otherwise) against Maker and such appointment or
proceedings remains unstayed or undismissed for a period of ninety (90) days.

 

(c)          In
a transaction or a series of related transactions, (i) the sale of all or
substantially all of the assets of Maker, or (ii) any merger, consolidation,
reorganization or recapitalization of Maker; provided, however,
that such a merger, consolidation, reorganization or recapitalization of Maker
whereby Primal Solutions, Inc. (“Primal”), a Delaware corporation, continues to
own  66 2/3%  or more of the voting power in the surviving company following
such transaction or transactions and the tangible net worth (as determined in
accordance with generally accepted accounting principles consistently applied)
of Maker following such transaction or transactions is not less than the
tangible net worth of Maker immediately prior to such transaction or
transactions shall not be deemed to be an Event of Default.

 

(d)         Any
sale of the then outstanding common stock of Maker that results in Primal
holding less than a 66 2/3% equity or voting interest in Maker.

 

(e)          Maker
(i) admits in writing Maker’s inability to pay Maker’s debts when due, (ii)
makes an assignment for the benefit of creditors, (iii) applies for or consents
to 

 

2

 

the appointment of any receiver, trustee, custodian or similar officer
for Maker or for any substantial part of Maker’s property, or (iv) institutes
(by petition, application, or otherwise) or consents to any bankruptcy,
insolvency, reorganization or liquidation proceedings or other proceedings from
relief under any bankruptcy law or any law for the relief of debtors under the
laws of any jurisdiction against Maker.

 

Upon the occurrence of any
Event of Default, all obligations hereunder shall become immediately due and
payable.

 

In case any Event of Default
shall have occurred, Holder may proceed to protect and enforce its rights
hereunder by suit in equity, action at law or any other appropriate proceeding.

 

Neither any course of dealing
by Holder nor any failure or delay by Holder to exercise any right, power or
privilege hereunder shall operate as a waiver hereunder, and any single or
partial exercise of any such right, power or privilege shall not preclude any
later exercise thereof or any exercise of any other right, power or privilege
hereunder.  No covenant, obligation or
other provision hereof may be waived by Holder and no consent contemplated
hereby may be given by Holder other than in a writing signed by Holder
explicitly waiving such covenant, obligation or provision or giving such
consent.  If at any time any applicable
usury law would ever render usurious any amounts called for hereunder, then it
is Holder’s and Maker’s express intention that Maker shall not be required to
pay interest on this 2002 Amended Note at a rate in excess of the maximum
lawful rate, that the provisions of this paragraph shall control over all other
provisions of this 2002 Amended Note which may be in apparent conflict
hereunder, that such excess amount shall be immediately credited on the
principal balance of this 2002 Amended Note (or, if this 2002 Amended Note has
been fully paid, refunded by Holder to Maker), and the provisions hereof shall
be immediately reformed and the amounts thereafter collectible under this 2002
Amended Note reduced, without the necessity of the execution of any further
documents, so as to comply with the then-applicable law, but so as to permit
the recovery of the fullest amount otherwise called for hereunder.  Any such crediting or refund shall not cure or
waive any default by Maker under this 2002 Amended Note. If at any time
following any reduction in the interest rate payable by Maker there remains
unpaid any principal amount under this 2002 Amended Note and the maximum
interest rate allowed by applicable law is increased or eliminated, then the
interest rate payable under this 2002 Amended Note shall be readjusted, to the
extent not prohibited by applicable law, so that the total dollar amount of
interest payable hereunder shall be equal to the dollar amount of interest
which would have been paid by Maker without giving effect to the reduction in
interest resulting from compliance with applicable usury laws.

 

This 2002 Amended Note amends
and restates (and does not constitute an extinguishment or novation of) the
Original Note and the December 2001 Amended Note, a copy of each of which is
attached hereto as Exhibit B and hereby acknowledged by Maker as a true,
correct, and complete copy of the original. This 2002 Amended Note amends and
restates the Original Note and the December 2001 Amended Note and does not
evidence or effect a refinancing of all or any portion of the indebtedness
evidenced thereby, a release or relinquishment of the priority of the security
interest of Holder in any assets (real and personal) of Maker, including
without limitation pursuant to the Security Agreement (as hereinafter defined),
or a waiver of Maker’s

 

3

 

obligation to reimburse Holder for any
amounts previously evidenced by the Original Note and the December 2001 Amended
Note.

 

This 2002 Amended Note may not
be changed, modified, amended or terminated except in a writing signed by
Holder.  The covenants and agreements
contained in this 2002 Amended Note shall bind Maker, and the rights hereunder
shall inure to the benefit of the respective successors and assigns of
Holder.  This 2002 Amended Note shall
not be transferred or assigned to any third party, except:

 

(1)  By Holder upon the prior written consent of Maker, which consent
shall not be unreasonably withheld;

 

(2)  By Holder pursuant to (i) the sale of more than 33 1/3% of the
then outstanding common stock of Holder, (ii) the sale of all or substantially
all of the assets of Holder, or (iii) any merger, consolidation, reorganization
or recapitalization of Holder, exclusive of any merger, consolidation,
reorganization or recapitalization whereby stockholders prior to such
transactions continue to own more than 66 2/3% of the voting power in the
surviving company following such transactions; and

 

(3)  By Holder to any of its affiliates;

 

Provided, however,
in no event shall Holder transfer or assign this 2002 Amended Note to any
person or entity engaging
in any business which is or may be competitive with the business of Maker or
any of its affiliates. 
For the purposes hereof, the “business of Maker or any its affiliates”
shall mean (i) the development, licensing, rental, marketing or selling of
software that performs mediation, rating or billing functions for communication
service providers, and (ii) upon Maker’s written notice to Holder, such other
business(es) as Maker or any of its affiliates may engage in from time to
time.  In the event that Holder
transfers or assigns this 2002 Amended Note pursuant to paragraphs (2) or (3)
above, Holder shall provide Maker with prompt written notice of such transfer
or assignment.

 

This 2002 Amended Note shall be
governed by, interpreted under, and construed and enforced in accordance with,
the laws of the State of California.

 

The indebtedness evidenced by
this 2002 Amended Note is secured pursuant to that certain Security Agreement,
dated as of May 26, 1999, between Wireless Billing and Corsair (the “Security
Agreement”).

 

4

 

IN WITNESS WHEREOF, the undersigned has
executed this 2002 Amended Note as an instrument under seal.

 

	
   

  	
  WIRELESS BILLING SYSTEMS

  
	
   

  	
   

  
	
   

  	
  /s/ Joseph
  R. Simrell

  	
   

  
	
   

  	
  Joseph R. Simrell, President

  

 

5

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