Document:

EX-10.17.2

 

Exhibit 10.17.2

Dated 26 November 2007

 

CASCAL B.V. (1)

- and -

BIWATER PLC (2)

 

NAME LICENCE

 

 

 

THIS DEED OF AGREEMENT is made the 26 day of November 2007

BETWEEN :

	(1)	 	CASCAL B.V., a company incorporated in the Netherlands with number
34112761 of the Trade Register of the Chamber of Commerce
of Amsterdam with its registered office located at 1077 Z
X Amsterdam, Strawinskylaan 3105 (the “Licensor”). The Licensor is
intending to change its name to CASCAL N.V. within the next 30 days;
and
	 
	(2)	 	BIWATER PLC, a company incorporated in England and Wales with
registered number 929686, whose registered office is at Biwater House,
Station Approach, Dorking, Surrey RH4 1TZ (the “Licensee”);

WHEREAS :

	(A)	 	The Licensor is planning an initial public offering (the “IPO”) in the
United States of America within 30 days of this
Agreement. As a consequence of the
IPO, the Licensee will cease to be the indirect majority owner of the
Licensor.
	 
	(B)	 	The Licensee wishes to continue to use the Name and the Logo of the
Licensor in the Territory for the business carried on by it and its
subsidiaries for the time periods mentioned in this Agreement.
	 
	(C)	 	The Licensor will enter into an agreement with the Licensee on the
same terms and conditions as this Agreement as the Licensor wishes to
continue to use the name and the logo of the Licensee.

IT IS AGREED as follows :

	1	 	Definitions and Interpretation
	 
	1.1	 	In this Agreement the following expressions shall, unless the context
otherwise requires, have the following meanings :
	 
	 	 	“Associates” means any Person in whom the Licensee or any of its
Subsidiaries has directly or indirectly a Controlling Interest if
reference in the definition to “50” were to “25” which is
not a subsidiary, other than the Licensor;
	 
	 	 	“Brochures” means such brochures and promotional literature as the
Licensee or its Subsidiaries or Associates may use or intend to use
in connection with the Business;
	 
	 	 	“Business” means the business carried on by the Licensee and its
Subsidiaries or Associates as at the Commencement Date;

 

 

	 	 	“Commencement Date” means the date of the signing of the Agreement;
	 
	 	 	“Controlling Interest” means ownership and control of more than 50% of
the issued share capital;
	 
	 	 	“Logo” means logos and trade marks, representations of which are annexed to Appendix 1 of this Agreement
	 
	 	 	“Meaningful Interest” means, in relation to any Person, any of the following :

	 	(a)	 	ownership, whether direct or indirect, of 15 per cent or more of the issued shares or of
the share capital of that Person; or
	 
	 	(b)	 	ownership, whether direct or indirect, of shares or share capital of that
undertaking or other investment interests in that Person which confer more than 15 per cent
or more of the voting rights exercisable at all general meetings of that Person or which
confer the right to more than 15 per cent of the assets or distributable income of that
Person; or
	 
	 	(c)	 	the right, whether direct or indirect, to nominate directors who together hold 15 per cent
or more of the voting rights exercisable by the directors of that Person;

	 	 	“Name” means the name “Cascal” and the “Cascal 4i” font
	 
	 	 	“Party” or “Parties” means a party or the parties to this Agreement;
	 
	 	 	“Person” means any individual, corporation (including any non-profit corporation), general or limited partnership, limited
liability partnership, limited liability company, joint venture, estate, trust, association, organisation, labour union, or
other entity or governmental body;
	 
	 	 	“Products” means those goods which in the interest of the Business have been sold by the Licensee, its
Subsidiaries and Associates at the Commencement Date;
	 
	 	 	“Services” means those services which in the context of the Business have been supplied by the Licensee, its Subsidiaries
or Associates as at the Commencement Date;
	 
	 	 	“Stationery” means letterhead, compliment slips, invoices, order forms, business cards and other business stationery
required for or otherwise used in connection with the Business;
	 
	 	 	“Subsidiary” means any corporation or other Person in which the Licensee has directly or indirectly a
Controlling Interest;

 

 

	 	 	“Termination Date” means the date upon which this Agreement expires or is terminated;
	 
	 	 	“Territory” means worldwide;
	 
	 	 	“Year” means any period of one year commencing on the Commencement Date or on any anniversary thereof.
	 
	1.2	 	In this Agreement, save where the context otherwise requires :
	 
	1.2.1	 	a reference to a statute or statutory provision shall include a reference :

	 	(A)	 	to that statute or provision as from time to time
consolidated, modified, re-enacted or replaced by any
statute or statutory provision;
	 
	 	(B)	 	to any repealed statute or statutory provision which it
re-enacts (with or without modification); and
	 
	 	(C)	 	any subordinate legislation made under the relevant statute;

	1.2.2	 	words in the singular shall include the plural, and vice versa;
	 
	1.2.3	 	a reference to a person shall include a reference to a firm, a body corporate, an
unincorporated association or to a person’s executors or administrators;
	 
	1.2.4	 	reference to a clause, sub-clause or Schedule (other than to a schedule to a statutory provision) shall be a reference to a
clause, sub-clause or Schedule (as the case may be) of or to this Agreement;
	 
	1.2.5	 	if a period of time is specified and dates from a given day or the day of an act or event, it shall be
calculated exclusive of that day;
	 
	1.2.6	 	references to any English legal term for any action remedy, method or judicial proceeding, legal document,
legal status, court, official or any legal concept or things shall in respect of any jurisdiction other
than England be deemed to include what
most nearly approximates in that jurisdiction to the English legal
term;
	 
	1.2.7	 	the headings in this Agreement are for convenience only and shall not affect the
interpretation of any provision of this Agreement.
	 
	1.3	 	The designations adopted in the recitals and introductory statements preceding this clause apply throughout this Agreement
and the Schedules.
	 
	2	 	Rights Granted and Territory
	 
	2.1	 	In consideration of acceptance by the Licensee of its obligations under this Agreement, the Licensor hereby grants
royalty-free to the Licensee 

 

 

	 	 	its Subsidiaries and its Associates at the date hereof.
	 
	2.1.1	 	A non-exclusive licence to continue to use the Name and/or the Logos in the Business in connection with the Services,
Products, Brochures and Stationery from the Commencement Date; and
	 
	2.1.2	 	A non-exclusive licence to continue to use the Name and/or the
Logos on any premises, vehicles, plant and machinery in existence
at the Commencement Date and used by the Licensee, in connection
with the Business from the Commencement Date.
	 
	2.2	 	The licences granted to the Licensee under clauses 2.1.1 and 2.1.2
above shall endure for so long as Biwater Plc or its Subsidiaries
holds a shareholding in the Licensor of at least 15% and shall
terminate immediately upon the sale by Biwater Plc or its
Subsidiaries or the issue by the Licensor of such number of shares
in the Licensor as would reduce Biwater Plc’s shareholding,
directly or indirectly to a figure below 15% of the issued share
capital of the Licensor (the “Cascal Dilution”).
	 
	2.3	 	Upon a Cascal Dilution, the Licensee shall undertake to take
reasonable steps to remove, erase or obliterate any reference to
the Name and/or the Logos on any Products remaining unsold or in
respect of which no order has been received by the Licensee on the
date of the Cascal Dilution and on any Stationery remaining unused
by the Licensee as soon as reasonably practicable following the
Cascal Dilution.
	 
	2.4	 	The Licensee may grant a sub-licence (a “Sub-Licence”) of the
licence granted to it under this Agreement as set out below :
	 
	2.4.1	 	A Sub-Licence may only be granted to a Subsidiary of the Licensee,
an Associate at the date hereof any other Associates
approved by the Licensor (a “Sub-Licensee”) and at least 7 days’
prior written notice of the Licensee‘s intention to
grant such Sub-Licence to a Subsidiary must be given to the
Licensee; Licensor consents to the granting
of a Sub-Licence to all the Licencees Subsidiaries and Associates
at the date hereof;
	 
	2.4.2	 	the Licensee shall procure that each Sub-Licensee shall enter into
a Sub-Licence on terms entirely consistent with
the terms of this Licence;
	 
	2.4.3	 	during the currency of any Sub-Licence the Licensee shall remain
primarily liable for any breaches of the terms of this Agreement by
the Sub-Licensee ;
	 
	2.4.4	 	upon a Sub-Licensee ceasing to be a Subsidiary or Associate
(as the case may be) of the Licensee, the Licensee
shall notify the Licensor in writing
of such event and any Sub-Licence granted to the

 

 

	 	 	Sub-Licensee of
the Trade Marks shall constitute a breach of this Agreement by the
Licensee and the Licensor shall hold the Licensee primarily
responsible for any such breach by the Sub-Licensee.
	 
	3	 	Duration
	 
	3.1	 	This Agreement shall commence on the Commencement Date and shall,
unless terminated in any of the circumstances of clause 7,
continue in force until the date of the Cascal
Dilution, save that provided that the Licensee takes those
reasonable steps referred to in clause 2.3 above, then it shall be
entitled to sell Products manufactured but
remaining unsold at the date of Cascal Dilution.
	 
	4	 	Obligations on the Licensee
	 
	4.1	 	The Licensee recognises that the Licensor is the owner of the Name
and Logos and agrees that all rights in the Name and Logos shall
remain vested in the Licensor both during the term of this
Agreement and thereafter and that the use by the Licensee is on
behalf of the Licensor as licensee under the Licensor‘s control.
	 
	4.2	 	The Licensee shall not make any representation or do any act which
may be taken to indicate that it shall have any right, title or
interest in or to the ownership or use of the Name and
Logos except under the terms of this Agreement and the Licensee
acknowledges that nothing contained in this Agreement shall give
them any right, title or interest in or to the Name or
Logos save as granted in this Agreement and the Licensee
acknowledges that any goodwill that may arise
from the use
of the Name and/or the Logos pursuant to this Agreement shall
ensure exclusively for the benefit of the Licensor.
	 
	4.3	 	The Licensee undertakes and shall ensure that all representations
of the Name and Logos (whether on products or services or any
advertising or other promotional material relating thereto) to be
created subsequent to the Commencement Date which the Licensee
intends to use shall first be submitted to the Licensor for its
prior written approval in all respects including design, colours,
size and placement, such written consent not to be
unreasonably withheld or delayed.
	 
	4.4	 	The Licensee undertakes to ensure that each and every
representation of the Name and Logos in any advertising or
other promotional material shall be accompanied by words making
clear that they are the property of the Licensor.
	 
	4.5	 	The use of the Name and Logos shall at all times be in keeping with
the reputation of the Name and Logos. The Licensee shall seek to
maintain the Logo’s distinctiveness in any use of the Logos.

 

 

	4.6	 	The Licensee shall not use in its business in the Territory in
relation to any of its products or services the Name or the Logos
or any other similar name or get-up that could cause confusion or
deception either during or after the term of this Agreement.
	 
	4.7	 	Save under clause 2.3, the Licensee agrees that, with the exception
of its permitted Sub-Licensees, it will not use or
permit any other person, firm or company to use the Name or Logos
on or in relation to any products or services.
	 
	4.8	 	The Licensee agrees not to apply to register any mark, symbol,
device or name identical to or confusingly similar to
the Name or Logos in respect of the Business or any business
similar to the Business.
	 
	4.9	 	Nothing in this Agreement shall entitle the Licensee to use the
Name or Logos as part of any corporate business or trading name of
the Licensee or in any other manner whatsoever other than as used
at the date hereof. In addition, the Licensee shall neither apply
for nor use the Name and/or the Logos in any domain name, Internet
web address or e-mail address other than as used at the date
hereof.
	 
	4.10	 	The Licensee shall, on the request and at the cost of the Licensor,
give to the Licensor or its
authorised representative any information as to its use of the
Name and Logos which the Licensor may reasonably require and will
render any assistance reasonably required by the Licensor at the
Licensor‘s cost in making or maintaining any application to
register a trade mark or the Name or Logos whether in the UK
or elsewhere.
	 
	4.11	 	The Licensee undertakes not to do or permit to be done any act
which or is likely to jeopardise or invalidate any
registration of the Name or Logos nor to do any act which would or
is likely to assist or give rise to an application to remove either
the Name or the Logos from any registration of same anywhere within
the Territory or which would or is likely to prejudice the right or
title of the Licensor to the name or the Logos.
	 
	4.12	 	The Licensee shall not hold itself out as acting as the agent of
the Licensor and shall in all relevant correspondence and other
dealings relating directly or indirectly to the Business clearly
indicate that it is acting on its own behalf
as principal and shall in no circumstances expressly or impliedly
do any act or thing which is likely to cause any of
them to be taken by third parties to be an agent of the Licensor.
	 
	4.13	 	The Licensee shall at all times maintain the level of quality
expected of Products and of Services employed in the
Business in connection with which the Name and/or the Logos are
used.

 

 

	4.14	 	The Licensee shall not be in breach of clauses 4.2 to 4.5 above
in relation to any use by them of the Name and/or the
Logos where that use is equivalent to any use by the relevant
Licensee of the Name and/or the Logos in connection with the
Business prior to the Commencement Date.
	 
	5	 	Infringements
	 
	5.1	 	The Licensee shall as soon as it becomes aware thereof give the
Licensor in writing full particulars or any use or proposed use by
any other person, firm or company of a trade name, trade mark or
get-up of goods or mode of promotion or advertising which amounts
or is likely to amount to infringement of
the Licensor‘s rights in relation to the Name and/or the Logos or
to passing-off or to an actionable act of unfair competition of the
Name and/or the Logos.
	 
	5.2	 	If the Licensee becomes aware that any other person firm or company
alleges that the use of the Name and/or are Logos is invalid or
that use of the Name and/or the Logos infringes any rights of
another Party or that the Name
and/or the Logos are otherwise
attacked or attackable, the Licensee shall immediately give the
Licensor full particulars in writing thereof and shall make no
comment or admission to any third party in respect thereof.
	 
	5.3	 	The Licensor shall have sole conduct of the conduct of all
proceedings relating to the Name and the Logos and shall in its
sole discretion decide what action, if any, to take in respect of
any infringement or alleged infringement of the use of the Names
and/or the Logos or passing-off or any other claim or counterclaim
brought or threatened in respect of the use or registration of the
Name and/or the Logos. The Licensee shall not be entitled to bring
any action for infringement under s.30(2) and s.30(3) of the Trade
Marks Act 1994 and the Licensor shall not be obliged to bring or
defend any proceedings in relation to the Name and/or the Logos if
it decides in its sole discretion not to do so.
	 
	5.4	 	The Licensee will at the reasonable request of the Licensor give
full co-operation to the Licensor in any action,
claim or proceedings brought or threatened in respect of the Name
and/or the Logos and the Licensor shall meet any expenses incurred
by the Licensee in giving such assistance.
	 
	6	 	Indemnity
	 
	6.1	 	The Licensee shall be liable for and will indemnify the Licensor
(together with its officers, servants and agents) against any
and all liability, loss, damages, costs,
legal costs, professional and other expenses of any nature
whatsoever incurred or suffered by the Licensor, arising out of any
dispute or contractual, tortious or other claims

 

 

	 	 	or proceedings brought against the Licensor by a third party
claiming relief against the Licensor by reason of the use by the
Licensee of the Name and/or the Logos in connection with the
Business which is other than in accordance with the terms of this
Agreement.
	 
	6.2	 	The Licensee shall indemnify the Licensor in full in respect of any
material damage to the goodwill or reputation attaching to and/or
the value of the Name and/or the Logos caused by the Licensee‘s use
of the Name and/or the Logos in breach of the provisions of this
Agreement.
	 
	7	 	Termination
	 
	7.1	 	Any party (referred to in this clause as the “Terminating Party”)
may terminate this Agreement forthwith by notice
in writing to the other Party (referred to in this clause as the
“Other Party”) upon
the happening of one or more of the following
events :
	 
	7.1.1	 	if the Other Party shall commit any material breach of its
obligations hereunder and (in the case of a breach capable of being
remedied) shall fail to remedy such breach within 28 days after
written notice has been given to it by the Terminating
Party specifying the breach;
	 
	7.1.2	 	if an order is made, or a petition presented, or an effective
resolution is passed for the winding up of the Other
Party (except for the purposes of an amalgamation or
reconstruction, the terms of which have previously been notified to
and approved by the Terminating Party);
	 
	7.1.3	 	if an administration order is made, or a petition for such an order
is presented, in respect of the Other Party;
	 
	7.1.4	 	if a voluntary arrangement under Section 1 of the Insolvency Act
1986 is proposed in respect of the Other Party;
	 
	7.1.5	 	if the Other Party convenes a meeting of or proposes or enters into
any arrangements or composition with its creditors;
	 
	7.1.6	 	if any distress, execution, sequestration or other process is
levied or enforced or sued out of upon or
against any of the assets of the Other Party and the
same is not discharged within 14 days;
	 
	7.1.7	 	if an encumbrancer takes possession or an administrative or other
receiver or manager is appointed of the whole or any part of the
assets of the Other Party in breach;
	 
	7.1.8	 	if the Other Party is unable to pay its debts within the meaning
of Section 123 of the Insolvency Act 1986;
	 
	7.1.9	 	if the Other Party shall stop or threaten to stop payment of its
debts generally or cease or threaten to cease to carry on its
business;

 

 

	7.1.10	 	if an event occurs in respect of the Other Party in any
jurisdiction outside England which is analogous to any of the
events referred to in the foregoing paragraphs.
	 
	7.2	 	The Licensor may terminate this Agreement forthwith by notice in
writing if the Licensee either alone or with others challenges the
validity of or the entitlement of the Licensor to
use the Name and/or the Logos.

	 
	7.3	 	The Licensor may terminate this Agreement forthwith by notice in
writing if the Licensee terminates the Name Licence dated 16
November 2007 under which the Licensee has granted the Licensor the
rights to use the name and logos of the Licensee.
	 
	7.4	 	Upon the expiry or termination of this Agreement for whatever reason
the Licensee shall forthwith cease to make any use of the Name and/or
the Logos and without prejudice to the provisions of clause 2.2. above
remove, erase or obliterate all existing references to the Name and/or
the Logos.
	 
	7.5	 	Clauses 1, 4, 6, 7, 17 and 18 and all accrued rights and liabilities
of the Parties hereto shall survive the termination, for
whatever reason, of this Agreement.
	 
	7.6	 	It is expressly agreed that the Licensor shall not be liable to pay
any severance payment or compensation to the Licensee for loss of
profits or loss of goodwill or for any other loss or
damage howsoever arising as a result of the expiry or
termination, for whatever reason of this Agreement.
	 
	8	 	Assignment
	 
	8.1	 	Save as provided for under clause 2.3, the rights and obligations of
the Licensee under this Agreement are personal and shall not be
assigned, sub-contacted, delegated, transferred, mortgaged, charged or
otherwise disposed of other than in accordance with the terms of this
Agreement without the previous written consent of the Licensor.
	 
	8.2	 	This Agreement shall be binding on and enure for the benefit of the
successors and agreed assigns of the Parties.
	 
	9	 	Restrictive Trade Practices Act
	 
	 	 	Unless this Agreement is a non-notifiable agreement pursuant
to Section 27A of the Restrictive Trade Practices Act 1976
(the “RTPA”) or Schedule 13, Paragraph 5 of the Competition Act 1998,
to the extent that any provision of this Agreement, or any other
arrangement of which it forms part, is a restriction or information
provision for the purposes of the RTPA by virtue of
which this Agreement or any such arrangement is registrable under the
RTPA, no such restriction or provision shall take effect until the day
after particulars of this Agreement or, as the case

 

 

	 	 	may be, that
arrangement, have been furnished to the Director General
of Fair Trading in accordance with the RTPA.
	 
	10	 	Severability
	 
	 	 	If any term or provision of this Agreement shall be found by a court
of competent jurisdiction to be invalid, illegal or
unenforceable, the same shall not affect the other
terms or provisions hereof or the whole of
this Agreement, but such term or provision shall be deemed modified to
the extent necessary in the court’s opinion to render such term or
provision enforceable, and the rights and obligations of the Parties
shall be construed and enforced accordingly, preserving to the fullest
permissible extent the intent and agreements of the Parties in this
Agreement.
	 
	11	 	Delay
	 
	 	 	No failure or delay or other indulgence on the part of either Party
to exercise any right or remedy under this Agreement shall be
construed or operate as a waiver thereof nor shall any single or partial
exercise of any right or remedy preclude the further exercise
of such right or remedy as the case may be. The rights and remedies
provided in this Agreement are cumulative and are not exclusive of any
rights or remedies by law.
	 
	12	 	Notices
	 
	12.1	 	A notice, approval, consent or other communication given under or
in connection with this Agreement (in this clause known as a “Notice”)
:
	 
	12.1.1	 	Must be in writing;
	 
	12.1.2	 	must be left at the address of the addressee or sent by pre-paid
first class post (airmail if posted to or from a place outside the
United Kingdom) to the address of the addressee or sent by facsimile to the
facsimile number of the addressee in each case which is specified in this
clause, and marked for the attention of the person so specified,
or to such other address in the United Kingdom or facsimile
number and/or marked for the attention of such other person as the relevant
Party may from time to time specify by Notice given in accordance with this
clause.
	 
	 	 	The relevant details of each Party at the date of this Agreement are :
	 
	 	 	The Licensee

	 	 	 	 	 
	 

	 	Address :
	 	Biwater House

Station Approach

Dorking

 

 

	 	 	 	 	 
	 

	 	 
	 	Surrey RH4 1TZ
	 
	 	 	 	 
	 

	 	Facsimile :
	 	+ 44 (0) 1306 885233
	 
	 	 	 	 
	 

	 	Attention :
	 	The Company Secretary

	 	 	The Licensor

	 	 	 	 	 
	 

	 	Address :
	 	1077 Z X Amsterdam

Strawinskylaan 3105
	 
	 	 	 	 
	 

	 	Facsimile :
	 	00 31 204 422384
	 
	 	 	 	 
	 

	 	Attention :
	 	The Company Secretary

	12.2	 	In the absence of evidence of earlier receipt, any Notice shall take effect
from the time that it is deemed to be received in accordance with
Clause 12.3 below.
	 
	12.3	 	Subject to Clause 12.4 below, a Notice is deemed to be received :
	 
	12.3.1	 	in the case of a Notice left at the address of the addressee, upon delivery
at that address;
	 
	12.3.2	 	in the case of a posted letter, on the third day after posting or,
if posted to or from a place outside the United Kingdom,
the seventh day after posting; and
	 
	12.3.3	 	In the case of a facsimile, on production of a transmission report from
the machine from which the facsimile was sent which indicates that
the facsimile was sent in its entirety to the facsimile number of
the recipient provided that a confirmatory copy of such facsimile shall
have been sent by post in accordance with sub-clause 1 within 24 hours
of such transmission.
	 
	12.4	 	A Notice received or deemed to be received in accordance with
sub-clause 3 on a day which is not a Business Day or after 5pm
on any Business Day according to local time in the place of
receipt shall be deemed to be received on the next following
Business Day.
	 
	12.5	 	For the purpose of this clause, “Business Day” shall mean a day
not being a Saturday or Sunday on which trading banks are generally
open for business in the place where the Notice is received.
	 
	12.6	 	Each Party undertakes to notify the other Parties by Notice served
in accordance with this clause if the address specified herein
is no longer an appropriate address for the service of
Notice.
	 
	13	 	No Partnership

 

 

	 	 	Nothing in this Agreement or any document referred to in it or any
arrangement contemplated by it shall constitute any Party as being
a partner of any other Party.
	 
	14	 	Entire Agreement and Severance
	 
	14.1	 	This Agreement represents the entire understanding and constitutes the
whole agreement in relation to its subject matter and supersedes any
previous agreement between the Parties with respect thereto and, without
prejudice to the generality of the foregoing, excludes any warranty,
condition or other undertaking implied at law or by custom.
	 
	14.2	 	Each Party confirms that, except as provided in this Agreement,
no Party has relied on any representation or warranty or
undertaking which is not contained in this Agreement and, without prejudice
to any liability for fraudulent misrepresentation, no Party shall be under
any liability or shall have any remedy in respect or misrepresentation
or untrue statement unless and to the extent that a claim lies
under this Agreement.
	 
	14.3	 	In the event that any provision of this Agreement shall be void
or unenforceable by reason of any applicable law, it shall be
deleted and the remaining provisions hereof shall continue in full force
and effect and if necessary, be so amended as shall be
necessary to give effect to the spirit of this Agreement
so far as possible.
	 
	15	 	Governing Law, Jurisdiction and Service of Process
	 
	15.1	 	This Agreement shall be governed by and construed in accordance
with English law.
	 
	15.2	 	Each Party irrevocably agrees that the courts of England shall have
non-exclusive jurisdiction in relation to any claim, dispute or
difference concerning this Agreement and any matter arising therefrom.
Each Party irrevocably waives any right that it may have to
object to any action being brought in those courts to
claim that the action has been brought in an inconvenient
forum or to claim that those courts do not have jurisdiction.
The Licensor hereby appoints Cascal Services
Limited to accept service on their behalf in the UK.
	 
	16	 	Compliance with Laws and Regulations
	 
	16.1	 	Each Party shall observe and abide by and shall require its
sub-contractors to observe and abide by all laws, regulations and
by laws as may apply in relation to the matters contemplated
by this Agreement. Neither Party shall do anything or omit to do anything
which will cause the other to be in breach of any applicable laws
or regulations of which it has been notified by the other Party.

 

 

	17	 	Variation and Waiver
	 
	17.1	 	No variation of this Agreement shall be effective unless it is in writing
and signed by the Parties.
	 
	17.2	 	No waiver of any term, provision or condition of this Agreement shall
be effective unless it is in writing and signed by the waiving Party.
	 
	17.3	 	No failure to exercise nor any delay in exercising any right or remedy
hereunder shall operate as a waiver thereof or of any other right
or remedy hereunder, nor shall any single or partial exercise of
any right or remedy prevent any further or other exercise thereof or the
exercise of any other right or remedy.
	 
	18	 	Counterparts
	 
	18.1	 	This Agreement may be executed in any number of counterparts and
by the Parties to it on separate counterparts, each of which when
so executed and delivered shall be an original but all the
counterparts shall together constitute one and the same instrument.

IN WITNESS of which the Parties have executed this Deed on the date first above written,

	 	 	 	 	 
	EXECUTED as a DEED For and on behalf of

	 	 	)	 
	BIWATER PLC by

	 	 	)   /s/ M.R.A. Duffy	 
	two directors/a director and the Company Secretary

	 	 	)   /s/ Signed	 
	 
	EXECUTED as a DEED For and on behalf of

	 	 	)	 
	CASCAL B.V. by

	 	 	)   /s/ Stephane Marcel Jean Richer	 
	one Managing Director

	 	 	)	 

 

 

Appendix 1

     Cascal Logos:

     1. Name Logo

a. Logo 1

b. Logo 2

 

 

     2. Curve Logo

Cascal 4i Font files:

1. Casc4bl_.ttf

2, Casc4bb_.ttf

3. Casc4b_.ttfEX-10.18

 

Exhibit 10.18

CASCAL N.V.

2008 LONG TERM INCENTIVE PLAN

ARTICLE 1

ESTABLISHMENT, OBJECTIVES AND DURATION

     1.1 ESTABLISHMENT OF THE PLAN. The Cascal 2008 Long Term Incentive Plan (the “Plan”)
as set forth in this document was adopted and approved (as applicable) on January 7, 2008 by the
management board, the supervisory board and the general meeting of shareholders of Cascal B.V., a
Dutch private company with limited liability to be converted to Cascal N.V., a Dutch public limited
company (the “Company”), subject to the amendment to the Company’s articles of association
whereby a one-tier board of directors is established, and effective as of the listing of common
shares of the Company on the New York Stock Exchange (the “Effective Date”). Under the
terms of the Plan, the Board of Directors, advised by and at the recommendation or proposal of the
Nomination and Compensation Committee of the Company, will establish performance criteria for
annual awards of conditional bonuses to Employees of the Company.

     1.2 OBJECTIVES OF THE PLAN. The objectives of the Plan are to optimize the profitability and
growth of the Company through incentives consistent with the Company’s targets and that link and
align the personal interests of Participants with the interests of shareholders over the longer
term. The Plan is further intended to provide flexibility to the Company in its ability to
motivate, attract, and retain the services of Participants who make significant contributions to
the Company’s success and to allow Participants to share in the success of the Company.

     1.3 DURATION OF THE PLAN. The Plan shall commence on the Effective Date, as described in
Section 1.1, and shall remain in effect, subject to the right of the Board of Directors to amend or
terminate the Plan at any time pursuant to Article 9.

ARTICLE 2

DEFINITIONS

     Whenever used in the Plan, the following terms shall have the meanings set forth below, and
when the meaning is intended, the initial letter of the word or words, as the case may be, shall be
capitalized:

 

 

     “Articles” shall mean the Articles of Association of the Company, as the same may be
amended from time to time.

     “Award” means, individually or collectively, an award under this Plan.

     “Biwater” shall mean Biwater Plc and its direct and indirect subsidiaries and joint
venture investments and excludes the Group.

     “Board” or “Board of Directors” means the Board of Directors of the Company.

     “Bonus” shall mean a payment pursuant to an Award.

     “Committee” means the Nomination and Compensation Committee of the Company.

     “Company” means Cascal N.V., a Dutch public limited company, as well as any successor
to the Company as provided in Article 12.

     “Disability” shall mean that the affected Participant is incapacitated by reason of a
physical or mental illness which is long-term in nature and which prevents the Participant from
performing the substantial and material duties of his employment with the Company or any other
member of the Group, provided that such incapacity can reasonably be expected to prevent
the Participant from working at least six consecutive months in any twelve month period. The
Company may require the Participant to have an examination at any time for the purpose of
determining whether the Participant has a long-term disability as described in the preceding
sentence, and the Participant agrees to submit to such examination upon the recommendation by the
Committee and approval by the Board, provided that the Company shall pay all costs and
expenses associated with such examination.

     “Employee” shall mean any employee of the Company or any other member of the Group.

     “Effective Date” shall have the meaning ascribed to such term in Section 1.1.

     “Group” shall mean the Company and its direct and indirect subsidiaries and joint
venture investments.

     “Participant” means an Employee who has outstanding an Award granted under the Plan.

     “Performance Period” means the time period during which performance targets must be
achieved with respect to an Award, as recommended by the Committee and approved by the Board.

     “Rules” shall mean the Board Rules of the Company as the same may be amended from time
to time.

     “Shares” shall mean the common shares of the Company.

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     “Termination Event” shall mean any one of the following: Disability, Death, redundancy
(within the meaning of the Employment Rights Act of 1996 (UK) or any equivalent legislation in the
relevant jurisdiction), retirement at contractual retirement age, retirement prior to contractual
retirement age (within the consent of the Participant’s employer), the Participant’s employer
ceasing to be a member of the Group, permanent transfer (i.e. not a temporary secondment) of a
Participant from one member of the Group to Biwater, or any other reason which the Committee, in
its sole discretion, proposes and the Board approves to treat as a Termination Event.

ARTICLE 3

ADMINISTRATION

     3.1 THE BOARD AND THE COMMITTEE. The Plan shall be administered by the Board, advised by and
at the recommendation or proposal of the Committee.

     Where in this Plan reference is made to an authority of the Board to determine, set or
establish, select, amend or adjust something (or similar wording to that effect), this shall mean
the Board, advised by and at the recommendation or proposal of the Committee.

     3.2 AUTHORITY OF THE BOARD. The Board shall have power to select Employees who receive
Awards under the Plan; determine the sizes and types of Awards; determine the terms and conditions
of Awards in a manner consistent with the Plan; construe and interpret the Plan and any Award
agreement or instrument entered into under the Plan; establish, amend or waive rules and
regulations for the Plan’s administration; and (subject to the provisions of Article 9) amend the
terms and conditions of any outstanding Award to the extent such terms and conditions are within
the discretion of the Board as provided in the Plan. Further, the Board shall make all other
determinations which may be necessary or advisable for the administration of the Plan.

     3.3 DECISIONS BINDING. All determinations and decisions made by the Board pursuant to the
provisions of the Plan and all related orders and resolutions of the Board shall be final,
conclusive and binding on all persons, including the Company, its stockholders, Employees,
Participants, and their estates and beneficiaries.

ARTICLE 4

ELIGIBILITY AND PARTICIPATION

     4.1 ELIGIBILITY. Persons eligible to participate in this Plan include all Employees of the
Company, as determined by the Board, but excluding non-executive directors of the Company.

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     4.2 ACTUAL PARTICIPATION. Subject to the provisions of the Plan, the Board may, from time to
time, select from all eligible Employees those to whom Awards shall be granted and shall determine
the nature and amount of each Award.

ARTICLE 5

AWARDS

     5.1 GRANT OF AWARDS. Subject to the terms of the Plan, Awards may be granted to Participants
in such amounts and upon such terms, and at any time and from time to time, as shall be determined
by the Board. Awards will take the form of conditional bonus awards and shall be determined by
reference to a fixed percentage of an Employee’s base salary. Except as otherwise determined by
the Board in exceptional circumstances, such fixed percentage shall not exceed one hundred percent
(100%).

     5.2 PERFORMANCE TARGETS. The Board shall set performance targets in its discretion which,
depending on the extent to which they are met, will determine the amount of the Bonus that will be
paid out to the Participant. The performance targets shall be based on the appreciation in the
share price of the Company’s common shares and the growth in earnings per share. The time period
during which the performance targets must be met is referred to as the “Performance
Period.” The performance targets applicable for the initial Awards under the Plan, which are
contemplated to be made in April 2008, will be based on:

     (i) for 75% of the Award, the appreciation in the share price of the Company’s common shares
over the Performance Period, as determined annually by reference to the average closing trading
price of the Company’s common shares for the last 20 trading days preceding the commencement of the
Performance Period as compared to the average closing trading price of the Company’s shares for the
last 20 trading days preceding the end of the annual period; and

     (ii) for 25% of the Award, the growth in earnings per share under Dutch GAAP as determined
annually by reference to the earnings per share for the annual period as compared to the earnings
per share at the start of the Performance Period for the year ending March 31, 2008 on a pro forma
basis as determined by the Board.

     The initial Awards are more fully described on Exhibit A. The Performance Period for
the initial Awards will be the three-year period commencing April 1, 2008 and ending March 31,
2011. Although performance targets for an Award will be established on an annual basis, if all of
the performance targets for the Performance Period to date are fully met at the end of any fiscal
year within the Performance Period, a Participant will be entitled to payment of the maximum Bonus
for the Performance Period to date, notwithstanding the failure of the Participant to achieve the
prior annual performance targets.

     5.3 EARNING OF BONUS. Subject to the terms of this Plan, after each year in the applicable
Performance Period has ended, the Participant shall be entitled to receive payout on the amount of
such Bonus earned by the Participant over the Performance Period (or portion

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thereof that has been completed), to be determined as a function of the extent to which the
corresponding performance targets have been achieved, as established by the Board.

     5.4 FORM AND TIMING OF PAYMENT OF BONUS. Subject to the terms of this Plan, a Participant
shall be paid in cash on an annual basis the amount of the Bonus earned during each year of the
Performance Period. Following the end of each year of a Performance Period, the Board will
determine the extent to which the performance targets have been achieved and will compute the
amount of the Bonus to be paid. Bonus amounts will be paid in cash, subject to all required
withholdings, provided that the Participant shall be given the option to elect to receive a portion
of the Bonus (not to exceed 25%) in the form of Shares, which, once issued, shall be
non-forfeitable; provided however, that the number of Shares subject to Award shall not exceed
120,000 Shares, which is also the maximum number of Shares that can be awarded to members of the
Board eligible to receive an Award under the Plan. Such Bonus shall be paid to the Participant
within thirty (30) days after the determination of the satisfaction of the related performance
target. The value of the Shares elected to be received shall be the average closing trading price
of the Company’s common shares for the twenty trading days preceding the confirmation of the
attainment of the performance targets, and the Participant’s election must be made within five
business days following the Participant’s receipt of notice of the attainment of the performance
target, or such other time period established by the Board upon the recommendation or proposal of
the Committee. If the Company shall not have sufficient Shares authorized to be issued under the
Plan to satisfy all elections to receive Shares in lieu of cash, then persons electing to receive
Shares shall have their allocation of Shares reduced pro rata. Any Bonus not paid in Shares will
be paid in cash.

     5.5 TERMINATION OF EMPLOYMENT DUE TO TERMINATION EVENT. Unless otherwise designated by the
Committee, in the event the employment of a Participant with a member of the Group is terminated
due to a Termination Event during a Performance Period, the Participant shall receive a prorated
payment in respect of any Bonus that has not yet been paid (if any) for the year in which the
Termination Event occurs. The prorated payout shall be determined by the Board, shall be based upon
the length of time that has elapsed during the Performance Period, and shall further be adjusted
based on the achievement of the preestablished performance targets. Payment of the pro-rated Bonus
shall be made in the manner provided in Section 5.4 hereof, provided that the Board in its
discretion, may determine to make any such payment earlier subject to the Board’s assessment of the
extent to which the performance targets have been satisfied.

     5.6 TERMINATION OF EMPLOYMENT FOR OTHER REASONS. In the event that a Participant’s employment
with a member of the Group terminates for any reason other than those reasons set forth in Section
5.5, all Awards shall be forfeited by the Participant unless determined otherwise by the Board.

     5.7 NONTRANSFERABILITY. An Award may not be sold, transferred, pledged, assigned, or
otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution.

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     5.8 CAPITAL RESTRUCTURE. In the event of a restructuring of the capital structure of the
Company, the Board will adjust the terms of any Award to provide, to the extent possible,
equivalent terms.

ARTICLE 6

BENEFICIARY DESIGNATION

     Each Participant under the Plan may, from time to time, name any beneficiary or beneficiaries
(who may be named contingently or successively) to whom any Bonus under the Plan is to be paid in
case of his or her death. Each such designation shall revoke all prior designations by the same
Participant, shall be in a form prescribed by the Board, and will be effective only when filed by
the Participant in writing with the Company during the Participant’s lifetime. In the absence of
any such designation, benefits remaining unpaid at the Participant’s death shall be paid to the
Participant’s estate.

ARTICLE 7

RIGHTS OF COMPANY AND PARTICIPANTS

     7.1 EMPLOYMENT. Nothing in the Plan shall interfere with or limit in any way the right of the
Company or the relevant member of the Group to terminate any Participant’s employment at any time,
nor confer upon any Participant any right to continue in the employ of the Company or the relevant
member of the Group.

     7.2 PARTICIPATION. No Participant shall have the right to be selected to receive an Award
under this Plan or, having been so selected, to be selected to receive a future Award.

ARTICLE 8

CHANGE OF CONTROL

     If an offer is made to acquire all or a majority of the issued share capital of the Company,
and as a result of such offer, the offeror in fact acquires more than fifty percent (50%) of the
issued share capital of the Company, the Committee may determine that any unpaid Bonus relating to
an Award previously granted shall be calculated (on a pro-rata basis) effective as of the date of
the change of control of the Company. Any such pro-rata Bonus shall be paid to a Participant as
soon as practical after the date of the change of control, and in no event later than thirty (30)
days after such date.

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ARTICLE 9

AMENDMENT AND TERMINATION

     9.1 AMENDMENTS.

     The Board may at any time and from time to time amend this Plan in whole or in part;
provided, however, that if an amendment to this Plan (i) would materially increase
the benefits accruing to Participants under this Plan, (ii) would materially modify the
requirements for participation in this Plan or (iii) must otherwise be approved by the general
meeting of shareholders of the Company in order to comply with applicable law or the rules of the
principal securities exchange upon which the Shares are traded or quoted, then such amendment will
be subject to the approval of the general meeting of shareholders and will not be effective unless
and until such approval has been obtained.

     9.2 TERMINATION. The Board may, in its discretion, terminate this Plan at any time.

     9.3 AWARDS PREVIOUSLY GRANTED. No termination or amendment of the Plan shall adversely affect
in any material way any Award previously granted under the Plan, without the written consent of the
Participant holding such Award.

ARTICLE 10

WITHHOLDING

     The Company or the relevant member of the Group shall have the power and the right to deduct
or withhold, or require a Participant to remit to the Company or the relevant member of the Group,
an amount sufficient to satisfy any federal, state, and local income, employment, social security
or other taxes, domestic or foreign, required by law or regulation to be withheld with respect to
any taxable event arising as a result of this Plan.

ARTICLE 11

INDEMNIFICATION

     Each person who is or shall have been a member of the Board, shall be indemnified by the
Company against and from any loss, cost, liability or expense that may be imposed upon or
reasonably incurred by him or her in connection with or resulting from the defense of any claim,
action, suit or proceeding to which he or she may be a party or in which he or she may be involved
by reason of any action taken or failure to act under the Plan. Such person shall be indemnified by
the Company for all amounts paid by him or her in settlement thereof, with the Company’s approval,
or paid by him or her in satisfaction of any judgment in any such action, suit or proceeding
against him or her, provided he or she shall give the Company an opportunity,

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at its own expense, to handle and defend the same before he or she undertakes to handle and
defend it on his or her own behalf. The foregoing right of indemnification shall not be exclusive
of any other rights of indemnification to which such persons may be entitled under the Company’s
Articles or Rules, as a matter of law, or otherwise, or any power that the Company may have to
indemnify them or hold them harmless.

ARTICLE 12

SUCCESSORS

     Subject to the provisions of Article 8, all obligations of the Company under the Plan with
respect to Awards granted hereunder shall be binding on any successor to the Company arising as a
result of merger, consolidation, or otherwise.

ARTICLE 13

LEGAL CONSTRUCTION

     13.1 GENDER AND NUMBER. Except where otherwise indicated by the context, any masculine term
used herein shall also include the feminine, the plural shall include the singular, and the
singular shall include the plural.

     13.2 SEVERABILITY. In the event any provision of the Plan shall be held illegal or invalid
for any reason, the illegality or invalidity shall not affect the remaining parts of the Plan, and
the Plan shall be construed and enforced as if the illegal or invalid provision had not been
included.

     13.3 REQUIREMENTS OF LAW. The granting of Awards and the issuance of Shares under the Plan
shall be subject to all applicable laws, rules and regulations, and to such approvals by any
governmental agencies or national securities exchanges as may be required.

     13.4 GOVERNING LAW. The Plan, and all Awards and agreements hereunder, shall be construed in
accordance with and governed by the laws of the United Kingdom, without giving effect to the
conflict of laws principles thereof.

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EXHIBIT A

TERMS OF PROPOSED 2008 AWARDS

     1. Two performance conditions will apply. The first condition will be the appreciation in the
Company’s share price over the Performance Period, measured as described in the Plan, which will
apply to 75% of the Award. The second condition will be the growth in earnings per share over the
Performance Period, which will apply to 25% of the Award. Earnings per share will be defined as
adjusted earnings per share, calculated by reference to Dutch GAAP, as determined by the Committee.

     2. With respect to the conditions, the Bonus will be earned on a linear basis between
threshold and maximum performance for each year during the Performance Period. At the end of each
year, the cumulative amount of the Bonus that has been earned will be calculated by pro-rating for
performance the cumulative maximum amount of the portion of the Bonus attributable to each of the
conditions that could have been earned by the end of such year. The cumulative maximum amount of
the portion of the Bonus attributable to each condition that can be earned on an annual basis is as
follows:

	 	 	 	 	 
	End of Year 1
	 	 	25	%
	End of Year 2
	 	 	50	%
	End of Year 3
	 	 	100	%

     3. The maximum Awards shall be:

	 	 	 	 	 
	Chief Executive Officer

	 	–
	 	100% of base salary
	Senior Executives

	 	–
	 	60% of base salary
	Other Participants

	 	–
	 	30% of base salary

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