Document:

[***] CERTAIN CONFIDENTIAL INFORMATION CONTAINED IN THIS
DOCUMENT, MARKED BY BRACKETS, HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION PURSUANT TO RULE 406 OF THE SECURITIES ACT
OF 1933, AS AMENDED.

 

Exhibit 10.32

 

INTERNET
SERVICES AGREEMENT

 

This Internet Services Agreement (“Agreement”) is made this 18th
day of June, 2003 by and between YP Web Partners, L.L.C., d/b/a YPSolutions, a
Louisiana limited liability company with offices at 3445 North Causeway
Boulevard, Suite 401, Metairie, LA 70002 (“YPS”), and R.H. Donnelley Publishing
& Advertising, Inc., a Kansas corporation, with offices at 5454 West 110th
Street, Overland Park, Kansas 66211 (“Publisher”). YPS and Publisher are
sometimes referred to herein as the “Parties” and individually as a “Party.”

 

Recitals

 

A.           YPS
offers Internet services, including consulting, Internet yellow pages directory
infrastructure, portal design, content, hosting, web site building, traffic
optimization, and other services to telephone directory publishers.

 

B.           
Publisher compiles, publishes and distributes printed white and yellow pages
telephone directories in markets located in 18 states.

 

C.           
YPS and Publisher desire to enter into a business relationship pursuant to
which, among other things, (i) YPS will convert certain (as specified herein)
of Publisher’s printed telephone directories into a digital format accessible
on the Internet and build web sites for Publisher on which those digitized
directories will reside, (ii) YPS will host and promote Publisher’s web sites
on the Internet, including providing all hardware and software support
necessary to host Publisher’s web sites and display Publisher’s directories on
the Internet, (iii) YPS will provide Publisher with web-based listings
management software and other tools necessary to permit Publisher’s maintenance
and control of listings and graphic data on Publisher’s web sites, and (iv) YPS
will provide training and support to Publisher’s technical staff to enable them
to access and use YPS’s proprietary systems and software for the purpose of
supporting and maintaining Publisher’s web sites.

 

D.           YPS and
Publisher also desire to provide a framework for the addition of new products
and services, such as services that support web based commercial transactions,
which Publisher may elect to purchase from YPS during the term of this
Agreement.

 

E.           
This Agreement is intended to delineate the terms and conditions applicable to
the products and services to be provided by YPS to Publisher within the context
of the business relationship hereby established between the Parties.

 

Agreement

 

Now, therefore, in consideration of the mutual covenants set forth in
this Agreement, YPS and Publisher agree as follows:

 

 

1.            
Definitions. For the purposes of this Agreement, the following terms
will have the indicated meanings:

 

1.1          
“Beta Version” means the initial test system of each of Publisher’s Web Sites,
which is tested through the Internet by Publisher.

 

1.2          
“CityBoss Product” means YPS’s proprietary product that displays portal-based
interactive community pages containing content such as:  local weather,
headline news, maps/driving directions, event tickets, links to national Yellow
Pages, stock quotes, an apartment finder, and relocation tools to users.

 

1.3          
“Directory” or “Directories” means each and every issue of the printed white
and/or yellow pages telephone directories published and distributed by
Publisher that are individually or collectively subject to this Agreement by
virtue of having been identified in or pursuant to this Agreement or that are
added to this Agreement from time to time by Publisher in accordance with the
terms hereof. Each issue of the Directories covered by this Agreement shall
constitute a Directory for which the products and services contemplated in this
Agreement shall be provided.

 

1.4          
“Directory Content” means the white pages, yellow pages, and other sections and
components of each of the Directories (including without limitation listings,
display advertisements, in-column advertisements, extra lines, filler,
disclaimers, call-out boxes, data files, reports, galley file, HIP file, WADS
and CAPS files), which are delivered by or on behalf of Publisher to YPS.

 

1.5          
“Directory Infrastructure Systems” means YPS’s server computer(s) and other
hardware systems, and YPS’s ListBoss and PageBoss software programs and other
software programs utilized by YPS in providing Web Site development and Web
Site hosting services related to the Directories.

 

1.6          
“Domain Name” is the alpha-numeric name associated with a Web Site, Web Page or
Electronic Mail addressed to Publisher.

 

1.7          
“Effective Date” means the day and year first above written on this Agreement.

 

1.8          
“Electronic Mail” or “Email” means any communication transmitted via the
Internet that is stored in the recipient’s Email box.

 

1.9          
“Final Version” means the Beta Version of Publisher’s Directory that has been
fully tested, modified, and accepted by Publisher for use on the World Wide
Web.

 

 

1.10        
“General Web Site Specifications” means the general specifications and
requirements applicable to the Web Sites, which are set forth in Exhibit B to
this Agreement.

 

1.11        
“Hour” means 60 minutes spent by one developer.

 

1.12        
“HTML Code” means hypertext mark-up language which is the language commonly
used for developing the appearance of Web Sites.

 

1.13        
“Intellectual Property Rights” means (i) rights in any patent, copyright,
trademark, trade dress, and trade name, (ii) related registrations and
applications for registration, and (iii) trade secrets, moral rights and good
will.

 

1.14        
“Internet” means the global computer network comprising interconnected networks
using standard Protocols.

 

1.15        
“Internet Service Provider” or “ISP” means an entity that enables the uploading
and downloading of data between remote computers and the Internet.

 

1.16        
“ListBoss Product” means YPS’s proprietary product that displays yellow pages
listing information to users with a look and feel similar to that of popular
web based search engines.

 

1.17        
“Maintenance and Support Documentation” means and includes the organized
collection of records that describes the structure, purpose, operation,
maintenance, and data requirements for a computer program, operating system, or
hardware device.

 

1.18        
“PageBoss” means YPS’s proprietary product that displays yellow pages
information to users with a look and feel similar to that of the printed
Directories.

 

1.19        
“Project Manager” means one of each Party’s employees designated from time to
time by each Party who will act as a liaison between the Parties and as each
Party’s respective project manager.

 

1.20        
“Protocols” means a set of rules that regulate the way data is transmitted
between computers, more specifically the Internet standard TCP/IP protocols,
including standards for HTML Code.

 

1.21        
“Significant Security Breach” means any unauthorized third party access to the
Directory Infrastructure Systems or to YPS-protected data via an Internet
connection. Significant Security Breaches are further defined in the Web Hosting
Specifications attached to this Agreement as Exhibit C.

 

 

1.22        
“Web Page” means each individual screen display contained in a Web Site
consisting of information and data that is rendered by a web browser interface.

 

1.23        
“Web Portals” means interactive, Publisher-branded Web Pages included within
Web Sites that contain live links to web sites on the World Wide Web.

 

1.24        
“Web Site” means all Web Pages associated with Publisher’s uniform resource
locator (URL) that are stored on YPS’s Internet server computer.

 

1.25        
“Web Site Specifications” means the specifications developed by the Parties
pursuant to this Agreement that are specific to each Web Site. Unless otherwise
provided in the Web Site Specifications for a particular Web Site, the Web Site
Specifications shall be deemed to incorporate and include the General Web Site
Specifications.

 

1.26        
“Web Host” means an entity that stores third-party Web Sites on its Internet
server computer, receives or stores commands or data transmitted by Internet
users, transmits Web Page data to users’ Internet addresses, and performs
maintenance of the systems used in the performance of such services.

 

1.27        
“World Wide Web” or “WWW” is a subset of the Internet, and is a common system
for browsing Internet Web Sites.

 

2.           
Exhibits and Schedules. The following exhibits and schedules,
which are attached to this Agreement, are incorporated into, and made a part
of, this Agreement:

 

Exhibit / Schedule

 

Exhibit A – Directory
Conversion Schedule

Exhibit B – General Web Site
Specifications

Exhibit C – Web Hosting
Specifications

Exhibit D – Enhancements and
Upgrades Specifications

Exhibit E – Third Party
Software List

Exhibit F – Directories List

Exhibit G – Project
Compensation Schedule

Exhibit H – Form of
Preferred Escrow Agreement

 

3.            Conversion
of Directories. YPS will provide the following products and services to
Publisher to facilitate the conversion of the Directories into an
Internet-accessible format:

 

 

3.1          
Conversion. Upon delivery of the Directory Content for each Directory,
YPS will convert the Directory Content from Publisher’s publishing system
format into the data format utilized by YPS and fully compatible with the
Directory Infrastructure Systems (the “Internet Format”). The Directory Content
shall be delivered by Publisher in the format specified in the Directory
Conversion Schedule attached to this Agreement as Exhibit A.  The
conversion of the Directory Content shall be done by YPS in accordance with the
Directory Conversion Schedule.  The converted Directory Content shall
conform to, and function under, standard HTML Code conventions.

 

3.2          
Placement on Web Sites. Upon satisfactory conversion of a Directory’s
Directory Content, YPS will incorporate the Directory Content into the Web Site
developed for that Directory pursuant to this Agreement.  The parties
acknowledge and agree that the Directory Content for each publication issue of
a Directory covered by this Agreement will be incorporated into, and replace,
the Directory Content of the previous issue of that Directory that has been
incorporated into the Directory’s Web Site.

 

3.3          
Conversion Due Dates. For each Directory, Publisher will deliver the
Directory Content to YPS in accordance with the delivery schedule provided, or
to be provided, in the Directory Conversion Schedule. Upon written notice to
YPS, Publisher may modify the delivery schedule for any of the Directories,
provided that Publisher complies with the minimum lead time requirements set
forth in this Agreement.

 

3.4          
Conversion Programming. To facilitate the conversion of the Directory
Content to the Internet Format, YPS will develop one or more software
conversion programs (“Conversion Utilities”) and/or modify the software
programs utilized by the Directory Infrastructure Systems to permit the
conversion of data from the format used by Publisher’s publishing systems to
the Internet Format.  This conversion of the Directory Content, including
the Conversion Utilities, shall conform to the standards, and be completed
within the time deadlines, specified in the Directory Conversion Schedule.
 Upon timely and satisfactory completion of the Conversion Utilities, YPS
shall be entitled to bill Publisher for the one-time Initial Conversion Set-up
Fee specified in the Project Compensation Schedule attached to this Agreement
as Exhibit G.

 

3.5          
Designation of Directories.

 

3.5.1       
Initial Directories. The Parties agree that the July 2003 publication
issue of Publisher’s Las Vegas, Nevada Sprint Yellow Pages telephone directory
will be the first of the Directories subject to this Agreement. During the
first year of this Agreement’s term, Publisher at its discretion may from time
to time designate publication issues or other directories it publishes as
Directories subject to this Agreement; Publisher shall make its designation by
notifying YPS in writing of any such Directories. 

 

 

3.5.2       
IYP Plan. On or before the expiration of the first year of this Agreement’s
term, Publisher shall develop and provide to YPS an Internet Yellow Pages Plan
(the “IYP Plan”) consistent with the terms of this Agreement, which will
provide a comprehensive designation of the publication issues of directories it
publishes as Directories subject to this Agreement.  In developing the IYP
Plan, Publisher shall have the right to designate anywhere from none to all of
its directory publications as Directories subject to this Agreement. The
Directories designated in the IYP Plan shall include the Directories previously
designated as subject to this Agreement by Publisher; provided however that
Publisher may elect not to include any such Directories for which YPS has not
yet commenced providing the products and services contemplated herein.
Publisher shall commit to implementing the products and services provided for
in this Agreement that are identified in the IYP Plan for a minimum of two full
publication cycles of each Directory designated in the Plan (inclusive of any
publication cycles already commenced or completed with respect to Directories
previously made subject to this Agreement), subject to Publisher’s right to
substitute Directories as provided herein.

 

3.5.3       
Additional and Substitute Directories. After submission of the IYP Plan,
Publisher, at any time during the remaining term of this Agreement, may add
other directories published by Publisher to, or substitute any such directories
for one or more of, the Directories designated in the IYP Plan, provided the
substitution of Directories does not result in a material decrease in the
compensation payable to YPS pursuant to this Agreement. Publisher shall make
such additions or substitutions by providing YPS with written notification
thereof.

 

3.5.4       
Information Required; Limitations on Designations. Publisher will
provide YPS with the Print Delivery Start Date for each issue of each Directory
designated, added or substituted by Publisher pursuant to written notifications
provided by Publisher to YPS or as part of the IYP Plan submitted to YPS in
accordance with the foregoing provisions. The Print Delivery Start Dates and
other applicable production deadlines established by Publisher will be added to
the Directory Conversion Schedule and YPS thereafter shall be obligated to
provide the products and services contemplated by this Agreement with respect
to all such Directories. Notwithstanding the Publisher’s discretion to
designate, add and substitute Directories as subject to this Agreement, the
designation, addition or substitution of any Directory that in effect would
extend the term of this Agreement beyond December 31, 2006 may be made only
upon the mutual, written agreement of the Parties.

 

3.5.5       
Minimum Lead Time and Performance Deadlines. For each Directory, Publisher
shall provide YPS with the minimum lead times specified in this Section, and
YPS shall meet the performance deadlines required hereby and by other
provisions of this Agreement, unless otherwise agreed by the Parties.

 

 

The Parties shall cooperate
in good faith in making adjustments to the lead time and performance deadline
requirements for each Directory, as necessary to coordinate YPS’s delivery of
the Final Version of each Web Site with the printing and distribution schedules
of the corresponding Directory. The minimum lead time and performance deadlines
for each Directory are as follows:

 

(a)
Publisher will provide YPS with notification of the designation, addition or
substitution of any Directory made subject to this Agreement at least sixty (60)
days prior to the Directory’s Print Delivery Start Date, except for Directories
made subject to this Agreement pursuant to an exercise of Publisher’s First
Option Right in accordance with Section 10.8 of this Agreement;

 

(b)
Publisher will provide YPS with notification of any change in the Print
Delivery Start Date for each Directory at least fifteen (15) days prior to the
changed Print Delivery Start Date;

 

(c)
The Parties will use commercially reasonable efforts to complete the
development of Web Site Specifications for each Web Site at least thirty (30)
days prior to the applicable Print Delivery Start Date;

 

(d)
YPS will complete the conversion of each Directory and host the Beta Version of
the Web Site relating thereto within ten (10) days of Publisher’s delivery of
all of the Directory Content of such Directory.

 

4.            
Web Site Development and Delivery. YPS will provide the following
products and services to the Publisher to facilitate the placement of the
Directories on one or more Web Sites developed for publication by YPS:

 

4.1          
Web Site Development. YPS shall develop for Publisher a Web Site
dedicated to each of the Directories converted to the Internet Format. Each Web
Site shall be developed by YPS in accordance with the specifications and
requirements to be developed by the Parties for that Web Site, which among
other things shall graphically and textually illustrate the Web Pages to be
incorporated into the Web Site (including images and graphics) and the
functionality Publisher requires between (a) multiple Web Pages, (b) each Web
Page and Internet users, and (c) the Web Site and other Web Sites on the World
Wide Web (the “Web Site Specifications”). Without limiting the generality of
the forgoing, each Web Site will include, or incorporate the features of, the
PageBoss Product, and the ListBoss Product. The Web Site Specifications for
each Web Site shall be consistent with the general specifications and
requirements set forth in Exhibit B to the Agreement (the “General Web Site
Specifications”).

 

4.2          
Acceptance Testing and Acceptance. YPS shall host on its Internet server
a Beta Version of each Web Site for Publisher’s inspection and testing over

 

 

the Internet on or before
the Print Delivery Start Date for the Directory identified in the applicable
Web Site Specifications. The Beta Version shall conform to, and comply with,
the Web Site Specifications applicable to that Web Site. Access to the Beta
Version will be limited to Publisher and will be password protected. For each
Web Site, Publisher shall perform a complete inspection and testing of all
aspects of the Beta Version. Publisher shall indicate its acceptance of the
Beta Version in writing or Publisher shall request modifications to the Beta
Version which shall be consistent with the Web Site Specifications. YPS shall
incorporate Publisher’s requested modifications into the Web Site after
consultation with Publisher’s Project Manager. Upon the satisfactory
incorporation of Publisher’s requested modifications into the Web Site,
Publisher shall indicate its acceptance of the Beta Version in writing. The
Parties shall use commercially reasonable efforts to modify and complete
acceptance of the Beta Version within five (5) days after the initial hosting
thereof on YPS’s Internet server.

 

4.3          
Delivery. YPS’s delivery of Publisher’s Final Version of the Web Site
for each Directory shall consist of YPS’s posting of Publisher’s Web Site to
YPS’s Internet server for use on the World Wide Web. The delivery of the Final
Version shall be made and completed on or before the applicable Directory
Delivery Start Date. Upon delivery, YPS shall be entitled to bill Publisher for
the applicable Annual Directory Fee specified in the Project Compensation
Schedule.

 

4.4          
Duration. Each Web Site will be hosted pursuant to the terms of this
Agreement and will be available on the World Wide Web (referred to herein as
“duration”) throughout the publication cycle of the Directory to which the Web
Site relates. Accordingly, modifications to the Web Sites may be required
during their duration to correct or update live links to web sites of
Publisher’s advertising customers, live links within Web Portals, Directory
Content, and other content included in the Web Site. Publisher may make these
modifications through the use of the programs provided by YPS. Publisher also
may require certain Web Site modification services from YPS, which shall be
provided by YPS in accordance with the Modification Services Standards set
forth in the Web Site Specifications. These modification services will be
provided in consideration for the fees specified in the Project Compensation
Schedule.

 

5.            Development
and Support of Web Portals.

 

5.1          
Development. For each Web Site, YPS will create one or more Web Portals
(as directed by Publisher), the content of which will consist primarily of an
interactive community guide for the market area covered by the Directory to
which the Web Site relates. Each Web Portal will be branded with Publisher’s
brands and/or marks, including Publisher’s trade names, logos, color schemes,
and other trade dress, in accordance with the Web Site Specifications
established for each Web Site and with Publisher’s direction concerning the use
of its brands and marks. Publisher will review and approve the use of
Publisher’s brands and marks for each such Web Site as part of its review and
testing of the Beta Version

 

 

for that Web Site. Each Web
Portal shall function in accordance with the applicable functionality standards
set forth in the Web Site Specifications and will be submitted to Publisher for
inspection and testing as part of the Beta Version for the Web Site to which
the Web Portal relates. Without limiting the generality of the foregoing, each
Web Portal will include, or incorporate the features of, the CityBoss Product.

 

5.2          
YPS – Provided Content.
YPS will provide Basic Content for the Web Portals. The available items of
Basic Content, which are identified and described in the Web Site Specifications,
may be modified from time to time by the mutual agreement of the Parties.
Publisher shall select the Basic Content for each Web Portal in conjunction
with the development of Web Site Specifications for each Web Site. The Basic
Content will be provided to Publisher at no additional charge. YPS also will
make available to Publisher the Transactional Content and Additional Content
identified and described in the Web Site Specifications. The Additional Content
and Transactional Content will be provided upon the terms specified in the Web
Site Specifications and upon such other terms as are agreed to in writing by
the Parties. Each Party acknowledges that the specific terms and conditions
governing the provisioning of the Transactional Content will be negotiated
after the Effective Date of this Agreement. These terms and conditions shall be
expressed in a written addendum to this Agreement.

 

5.3          
Support. YPS shall maintain each Web Portal for the duration of the Web
Site to which the Web Portal relates. This maintenance will include, without
limitation, maintaining live links to other web sites on the World Wide Web
that are fully functional and content appropriate. YPS shall be responsible for
making any necessary arrangements with such other web sites for the display of
appropriate and timely Basic Content, Transactional Content, and Additional
Content included in the Web Portal. Publisher shall have no responsibility for,
or obligation arising from, any such arrangement to the extent it relates to
content provided by YPS.

 

5.4          
Publisher-Provided Content. Publisher shall have the right to add or
make changes to the content of any Web Site, including any Web Portal, and to
incorporate web features and products provided by other vendors into any of the
Web Sites and Web Portals, provided such changes and incorporated products are
compatible with the functionality standards applicable to that Web Portal. Any
such Publisher-provided content will be incorporated into the Web Portal by YPS
based on the fees, if any, specified in the Project Compensation Schedule.

 

5.5          
Nested Web Portals. Publisher shall have the right to require the
development of Web Portals that serve as the initial Web Page for more than one
Directory (the “Anchor Web Portal”) and secondary Web Portals for each such
Directory, which can be accessed through the Anchor Web Portal. Additionally,

 

 

Publisher may require that
YPS configure Web Portals for various Directories in other ways as Publisher
reasonably deems necessary or desirable.

 

6.            Web
Hosting. YPS shall provide comprehensive web hosting and related services
in support of each Web Site throughout the publication cycle of each Directory
to which the Web Site relates upon the following terms:

 

6.1          
YPS Internet Server. YPS shall store Publisher’s Web Sites on YPS’s
Internet servers or the Internet servers of YPS’s subcontractors (collectively,
“YPS’s Internet servers”). YPS’s Internet servers shall meet and be maintained
in accordance with the Internet Server and Connectivity Standards set forth in
the Web Hosting Specifications attached as Exhibit C to this Agreement.

 

6.2          
Connectivity. YPS will maintain, and cause its subcontractors and
affiliates to maintain, a dedicated, redundant connection to the Internet,
which will be capable of not less than a T1 transmission rate.

 

6.3          
Availability. YPS shall maintain the Directory Infrastructure Systems
and, except for regularly scheduled maintenance, shall keep them in continuous
operation. If the Directory Infrastructure Systems experience Downtime (as
defined in the Web Hosting Specifications) that has a continuous duration of
more than one (1) hour (each such occurrence of Downtime is referred to as a
“Significant Downtime Event”) or for more than a cumulative period of one hour
during any given calendar month and the Downtime is the result of a Directory
Infrastructure Systems failure, then YPS shall credit to Publisher [***] of the
Monthly Maintenance Fee for each Significant Downtime Event and for each hour
of cumulative Downtime. Any such credit shall be applied during the next
month’s billing cycle and shall not exceed the total amount of the Monthly
Maintenance Fee applicable to that billing cycle. This credit shall be in
addition to any remedies available to Publisher for a material breach of this
Agreement. YPS immediately shall report to Publisher any occurrence of Downtime
of which YPS becomes aware. Such reports shall be made by email and/or
telephone calls, as directed by Publisher.

 

6.4          
Security. YPS shall take commercially reasonable steps to prevent
security breaches in YPS’s Internet servers’ interaction with Publisher and in
YPS’s Internet servers’ interaction with resources or users outside of any
firewall that is implemented on YPS’s Internet servers. Such steps at a minimum
will include the security measures and systems specified in the Web Hosting
Specifications. YPS shall immediately notify Publisher of any Significant
Security Breach (as defined in the Web Hosting Specifications) and shall
implement remedial measures to alleviate Significant Security Breaches within
the time frames and in accordance with the requirements set forth in the Web
Hosting Specifications.

 

 

6.5          
Backup. All data files associated with the core YPS product suite,
including ListBoss, PageBoss, and CityBoss products, shall be archived by YPS
every seven (7) days in their entirety. This does not include real-time data
provided by third-party vendors, including but not limited to weather,
horoscopes, stock quotes, etc. Incremental archives of Web Site data files
shall be completed every twenty-four (24) hours. YPS will use commercially
reasonable efforts to restore Web Site data files within six (6) hours from the
time YPS becomes aware or is notified of any Web Site data file corruption.
Each Party shall notify the other Party immediately upon becoming aware of a
Web Site data file corruption. In the event any Web Site experiences a Downtime
Event (as defined in the Web Hosting Specifications) caused by a Web Site data
file corruption, Publisher shall receive credit or credits against the Monthly
Maintenance Fee as specified in Section 6.3 of this Agreement.

 

6.6          
Disaster Recovery. YPS shall maintain a disaster recovery program for
the Directory Infrastructure Systems that is consistent with YPS’s current
Information Systems Contingency Plan attached to the Web Hosting
Specifications. Additionally, YPS shall maintain, or cause its subcontractors
to maintain, redundant Internet server sites as part of its disaster recovery
program.

 

6.7          
Data Archival. At Publisher’s option, YPS will work with Publisher to
develop a methodology for archiving the Web Sites or any portions thereof
designated by Publisher, and YPS will provide services in support of any such
archival. The Parties shall develop the methodology and standards for any such
archival consistent with commercially reasonable standards. YPS shall be
entitled to reimbursement for the reasonable costs associated with the
provision of services in support of the archival, as provided in the Project
Compensation Schedule. The archival methods, standards, and compensation shall
be documented in writing and signed by both Parties.

 

6.8          
Maintenance. YPS shall provide comprehensive, ongoing maintenance of
each Web Site throughout the publication cycle of the Directory to which the
Web Site relates, which shall include the maintenance services specified in the
Regular Maintenance/System Availability Requirements identified in the Web
Hosting Specifications. As part of ongoing maintenance, YPS shall correct, or
cause to be corrected, any defects in the Directory Infrastructure Systems that
negatively impact system availability or usability, including defects in the
Rendering Programs (as defined herein) and corruption of any data files related
to the Web Sites, in accordance with the Regular Maintenance/System
Availability Requirements. Additionally, YPS will provide technical support and
sales customer service support in accordance with the Regular
Maintenance/System Availability Requirements. Unless otherwise provided in the
Project Compensation Schedule, these maintenance services will be provided at
no additional charge to Publisher.

 

 

6.9          
Enhancements and Upgrades. Throughout the term of this Agreement, YPS
will make available and provide any enhancements and upgrades to the products
and services provided by YPS pursuant to this Agreement that are (i) required
by the Enhancement and Upgrade Specifications attached to this Agreement as
Exhibit D, or (ii) are made generally available to YPS’s customers. Upon thirty
(30) days notice from YPS, Publisher will be responsible for any necessary
acceptance testing of upgrades and enhancements prior to implementation by YPS.
The products and services for which such enhancements and upgrades will be
provided shall include, without limitation, the ListBoss Product, the PageBoss
Product and the CityBoss Product, as well as the Rendering Programs. The Parties
acknowledge that YPS’s listings manager software, which supports the ListBoss
Product, has not been fully developed for use with the PageBoss Product and
will not be offered to YPS’s customers until the summer of 2003. Until such
development is completed, YPS will promptly perform any list management changes
Publisher desires to make in the PageBoss Product at no additional charge to
Publisher. YPS shall provide this PageBoss Product functionality enhancement to
Publisher at the same time it is made available to YPS’s other customers, but
in no event later than October 1, 2003. Publisher acknowledges that
enhancements may not be made “retroactively” to existing online publications
but would be implemented during the next issue activation online.

 

6.10       
Periodic Reports and Reviews. YPS shall provide Publisher with periodic
reports relating to each Web Site, including the following:

 

6.10.1     
Monthly Systems Availability Report. YPS shall provide a Monthly Systems
Availability Report to Publisher on the first Tuesday of each calendar month,
which shall include the following information and data:

 

Daily
System Utilization (CPU, memory) and Availability (%)

Daily
Network (LAN/WAN) Utilization and Availability (%)

Identify
hardware and software upgrades

Identify
defects to software

Identify
and explain any system downtime

System
Intrusion Statistics

 

6.10.2     
Usage and Tracking Reports. The Directory Infrastructure Systems will
provide real-time, interactive Publisher access to tracking reports for Web
Site activity. The statistical package provided by YPS through this interactive
access will include the Web Site usage measures specified in the Web Hosting
Specifications. The Web Site usage measures will be provided in the format or
formats required by the Web Hosting Specifications and shall be accessible to
Publisher at all times during which the Directory Infrastructure Systems are
available for Internet access.

 

 

6.11       
Other Web Hosting Services. YPS shall provide and/or make available to
Publisher the following, additional web hosting services. To the extent such
services are provided at an additional charge, as specified in the Project
Compensation Schedule, Publisher will not be obligated to purchase these
additional web hosting services.

 

6.11.1     
Web Site Traffic Optimization. YPS will develop Publisher’s Web Sites
based on the most important HTML elements for basic web traffic optimization.
These include but are not limited to the “web page title”, “keyword meta-tag”,
and “description meta-tag” page elements. YPS will include the appropriate page
elements for each web page as mutually agreed upon by YPS and Publisher. YPS
will submit each of the Web Portals to leading Internet search engines,
including without limitation those Internet search engines identified in the
Web Hosting Specifications. YPS from time to time will make “pay for placement”
and other promotional programs available to Publisher for an additional charge.
These programs will be designed to maximize the number of users accessing the
Web Sites and are generally described in the Web Hosting Specifications.

 

6.11.2     
Mapping. For each Web Site, YPS will offer Publisher the option to
geo-code substantially all of the addresses in the white and yellow pages
listings in the Directory to which the Web Site relates. Upon completion of the
geo-coding, YPS’s software will allow users accessing the Web Site to “click
on” a specific address to activate a pop-up window which displays a map showing
the exact location of that listing within the Directory’s geographic coverage
area. This service will be provided in accordance with the Mapping
Specifications set forth in the Web Hosting Specifications and for the fees
specified in the Project Compensation Schedule. Publisher acknowledges that
geo-coding does not ensure that 100% of all addresses will be linked to a map.
For example, P.O. Boxes cannot be geo-coded.

 

6.11.3     
Directory Tabs. At Publisher’s option, each Directory will be presented
on the Web Site to which it relates with Web Pages that include (i) three large
tabs for white pages, yellow pages and an index, and (ii) an “A to Z” alpha tab
bar. These Web Page features will be made available to Publisher at no
additional charge in accordance with the Web Site Specifications. YPS shall
make available to Publisher additional tab designs and other, related design
features for an additional fee, as specified in the Project Compensation
Schedule.

 

6.11.4     
Hyper-Links and Iconic Buttons. At Publisher’s option, web site and
email links that appear in Directory Content will be made “live” permitting
users to click on such links to visit other web sites on the World Wide Web or
send email over the Internet. Additionally, cross

 

 

references and anchor
listings will be “hyper-linked” so that users can jump to other related
classifications and/or view display advertisements in a Publisher-branded
pop-up window in the PageBoss version. These options will be provided by YPS
for the fee specified in the Project Compensation Schedule and automatically
applied to the Directory Content. At Publisher’s direction, YPS will manually
enable or disable web and email links appearing in display or in-column
advertisements for an additional fee, which is specified in the Project
Compensation Schedule. Publisher shall have the right to exclude certain types
of advertising or certain headings from eligibility for live links or web
buttons. Publisher will provide excluded advertising category lists and
guidelines to YPS, which YPS will implement immediately. These lists and
guidelines may be modified by Publisher at any time during the term of this
Agreement.

 

6.11.5     
Coupons and Banner Ads. At Publisher’s option, YPS shall provide
Publisher with Internet access to YPS’s online coupon and banner advertising
management products for Publisher’s use in connection with the creation or
modification of any of the Web Sites. The software utilized to provide these
products shall be deemed a part of the software package provided by YPS. The
fees, if any, applicable to Publisher’s use of these products are specified in
the Project Compensation Schedule.

 

7.            
Training. At Publisher’s option, YPS shall provide on-site training
services to Publisher at a location designated by Publisher. YPS will provide
two days of on-site initial training per sales office for Publisher’s senior
managers, trainers, sales representatives, sales managers and marketing team at
no charge, other than direct expenses reasonably incurred by YPS in connection
with providing the training services (e.g., lowest cost airfare and reasonably
incurred hotel and meal expenses). The training services provided by YPS shall
include instruction and training materials for the following products and
services: the ListBoss Product, PageBoss Product, CityBoss Product; Internet
Yellow Pages infrastructure, functionality and available third-party products;
and preparation and presentation skills for Internet Yellow Pages products,
including role play and objection response. At Publisher’s option, YPS will
provide (i) additional training (both in-field and classroom training) for
Publisher’s personnel, including without limitation Publisher’s sales
representatives, and (ii) post training consulting services. These additional
services will be provided for the fees and charges listed in the Project
Compensation Schedule. To the extent YPS provides Publisher with any training
materials, such as training manuals, as part of the training services provided
by YPS, YPS hereby grants Publisher a non-exclusive, royalty-free license to
use those materials during the term of this Agreement. Publisher shall be
limited to incorporating the YPS-provided training materials into Publisher’s
internal training programs and materials relating to the products or services
provided under this Agreement. Publisher shall not distribute or make such
materials available to any person or entity other than the employees and
authorized contractors of Publisher or its affiliates, and Publisher will take
reasonable steps to protect those materials as the intellectual property of
YPS. YPS

 

 

represents
and warrants that those materials, and the use of them as contemplated by this
Agreement, will not infringe upon the rights of others, including without
limitation others’ Intellectual Property Rights.

 

8.            
Permitted Use of Software Programs and Utilities To Render Websites.

 

8.1          
License for Permitted Use. YPS hereby grants to Publisher a
non-exclusive, worldwide, royalty-free license to use YPS’s proprietary
software programs utilized to render the ListBoss Product, the PageBoss
Product, and the CityBoss Product, and all other software programs and
utilities used or necessary to render the Web Sites for the purpose of
accessing, rendering, testing, and modifying the Web Pages, Web Portals and the
Directory Content; provided, however, that Publisher’s exercise of this license
shall commence only upon the occurrence of one or more of the Triggering
Events, as defined below (the “Permitted Use”). These software programs and
utilities collectively are referred to in this Agreement as the “Rendering
Programs.” The license granted hereby shall end upon the expiration of the last
publishing cycle of the Directories that are published during the term of this
Agreement and may not be assigned or otherwise transferred to any party other
than the successors or assigns of Publisher under this Agreement that are
permitted hereby.

 

8.2          
Warranties. YPS represents and warrants that, upon delivery of the
Rendering Programs to Publisher, (i) the Rendering Programs will fully support
the then-existing and active Web Sites and the provision of the web hosting
services required by this Agreement to support those Web Sites, (ii) the
Rendering Programs and the Permitted Use of the Rendering Programs will not
infringe upon the rights of others, including without limitation their
Intellectual Property Rights, (iii) the Rendering Programs will be free from
programming errors and material defects in operational performance, and (iv)
the Rendering Programs will be free from authorization codes, viruses,
disabling programming codes, instructions, or other contaminants, including any
codes or instructions that can access, modify, damage or disable the computer
systems or data of Publisher or other parties that access the Web Sites for
their intended use.

 

8.3          
Third Party Software. If any part of the Rendering Programs (or any
updates, upgrades or revisions thereto) to be delivered or otherwise made
available to Publisher under this Agreement is licensed to YPS by a third party
software supplier, then, to the extent permitted by YPS’s third-party license,
Publisher hereby is granted a sublicense to the third party software for the
Permitted Use, subject to terms and restrictions consistent with those
contained in this Agreement that apply to the Rendering Programs. The license
granted hereby to Publisher shall end upon the expiration of the last
publishing cycle of the Directories that are published during the term of this
Agreement and may not be assigned or otherwise transferred to any party other
than the successors or assigns of Publisher under this Agreement that are
permitted hereby. To the extent YPS is not permitted to sublicense any such
software to Publisher, YPS and Publisher

 

 

will use commercially
reasonable efforts to secure a license for the Publisher’s use of that software
for the Permitted Use. All third party software and/or software licenses
necessary for the operation and use of the Web Sites and the products and
services provided by YPS pursuant to this Agreement are identified in the Third
Party Software List attached to this Agreement as Exhibit E.

 

8.4          
Software Escrow.

 

8.4.1       
Deposit of YPS Software Programs. Within ninety (90) days of the
Effective Date (or within thirty (30) days after completion of development of
the Rendering Programs that will not be developed or completed until a later
time) YPS will deposit the Rendering Programs with the independent escrow agent
Data Securities International, Inc. (“DSI”) pursuant to a written escrow
agreement signed by Publisher and YPS. The escrow agreement shall be negotiated
by the Parties in good faith, consistent with the terms of this Agreement and
the form of Preferred Escrow Agreement attached hereto as Exhibit H,  and signed and implemented no later than
sixty (60) days from the Effective Date. The cost of establishing and
implementing the escrow shall be borne equally by Publisher and YPS, provided
however that Publisher shall bear the cost of any optional, technical
verification testing of the Deposit Materials (as defined in the form of
Preferred Escrow Agreement) conducted by DSI. Additionally, YPS will
automatically deposit any updates, upgrades, or other revisions of the
Rendering Programs with such escrow agent pursuant to the escrow agreement
between the parties. The escrow agent will give Publisher written notice of any
deposit by YPS. At Publisher’s request and expense, the escrow agent will also
certify that the deposit meets the technical requirements set forth in the
escrow agreement, including tests of the deposited Rendering Programs. The
Rendering Programs and any updates, upgrades or revisions thereof delivered to
the escrow agent will be in a form suitable for reproduction by Publisher. Each
deposit will comprise: (i) the full source code and compiled version of the
Rendering Programs, (ii) the complete Rendering Programs’ Maintenance and
Support Documentation, (iii) all third-party software used in support and
maintenance or enhancement of the deposited Rendering Programs; and (iv) all
other data and materials necessary to allow a reasonably skilled third-party
programmer to maintain, modify, or enhance the deposited Rendering Programs
without the assistance of any other person or reference to any other material.

 

8.4.2       
Release of Deposit. The escrow agreement described in this Section will
provide that, upon the happening of any of the following events (the
“Triggering Events”), Publisher will give written notice to YPS and the escrow
agent, specifying the event, and YPS or the escrow agent will thereupon
promptly deliver to Publisher all deposited Rendering

 

 

Programs and related
escrowed materials: (a) YPS is unable or unwilling to correct, within thirty
(30) days of YPS’s receipt of notice thereof, any material breach of this
Agreement; (b) YPS is unable or unwilling to provide the updates, upgrades,
modifications, or revisions to the Rendering Programs or the other support
services required under this Agreement; (c) any sale, assignment, or other
transfer of YPS’s rights to the Rendering Programs without the prior written
consent of Publisher, if such transfer would prevent YPS from discharging its
obligations under this Agreement; or (d) YPS becomes insolvent, makes a general
assignment for the benefit of creditors, or becomes the subject of a voluntary
or involuntary petition in bankruptcy, or if a receiver, trustee, or custodian
is appointed for YPS’s business, or if YPS’s assets become subject to any
proceedings under any bankruptcy or insolvency law, or if YPS has wound up or
liquidated its business.

 

9.            
Payment Obligation and Price Increases.

 

9.1          
Payments. Publisher shall pay YPS for the products and services it
provides pursuant to this Agreement at the rates and at the times set forth in
this Agreement or the Project Compensation Schedule. Any payments for amounts
that are not disputed in good faith by Publisher and that are not made within
forty five (45) days of the date the invoice is received by Publisher will
incur a late charge of one percent (1%) per month, or the highest rate allowed
by applicable law, whichever is lower, from the due date until the amount is
paid. Publisher is responsible for any sales or use taxes upon the compensation
paid by Publisher for services. YPS will itemize any applicable sales or use
taxes separately on Publisher’s invoices. YPS is responsible for the payment of
all other taxes, duties and fees. Publisher is not obligated to make any
payment under this Agreement if YPS materially breaches this Agreement until
and unless YPS has cured the material breach in accordance with this Agreement
or Publisher has waived the breach.

 

9.2          
Price Increases. The Parties agree that all pricing and fees set forth
in this Agreement [***]. Thereafter, for each successive year of this Agreement
and with respect to each of the Directories published during that year, the
pricing and fees for the products and services provided hereunder shall be
adjusted to reflect any annual increase or decrease in the consumer price index
for the New Orleans, Louisiana greater metropolitan area for the last,
available reporting year, which increase or decrease shall not exceed [***].

 

9.3          
Effect of Late Performance, Etc. In the event YPS fails (through no
fault of Publisher) to host the Beta Version or deliver the Final Version of
any Web Site in a timely manner, which results in a delay in the implementation
of the Web Site, YPS shall not be entitled to the Monthly Maintenance Fee or
any other monthly fee relating to YPS’s support of the Web Site unless and
until the Web

 

 

Site is implemented and
becomes fully operational and available for access on the World Wide Web. If
any Web Site is implemented mid-month, the Monthly Web Hosting Fee and other
applicable monthly fees will be prorated to reflect only that portion of the
month during which the Web Site is available for access on the World Wide Web.

 

10.           Copyright
and Intellectual Property Ownership.

 

10.1        
Ownership of Web Sites. The Parties acknowledge and agree that YPS’s
work on the Web Sites, except for YPS’s Web Hosting Technology (as defined
hereinbelow), has been specially ordered and commissioned by Publisher as a
contribution to a collective work, supplemental work or such other category of
work as may be eligible, to the greatest extent available under the law, for
treatment as a “work made for hire.” Publisher shall be deemed the sole author
of the Web Sites, their content (including all Web Page data files), any work
embodying or derived from any portion of the Web Sites, and their attendant
Intellectual Property Rights. To the extent that the Web Sites are not properly
characterized as a “work made for hire,” then YPS hereby irrevocably grants, assigns
and otherwise transfers exclusively and in perpetuity to Publisher, its
successors and its assigns, all rights of YPS in the Web Sites whatsoever
(except for YPS’s Web Hosting Technology) now existing or hereafter discovered,
in all media and forms of expression. YPS will provide reasonable assistance to
Publisher to secure intellectual property protection, including without
limitation assistance in the preparation and filing of any copyright
registrations and the execution of all applications, assignments or other
instruments for perfection or protection of title. YPS will pay its employees
any compensation due in connection with the assignment to Publisher of any
intellectual property pursuant to this Agreement. YPS warrants to Publisher
that YPS’s employees are subject to agreements which will secure Publisher’s
rights under this section.

 

10.2        
Web Site Escrow. Within thirty (30) days after Publisher’s acceptance of
each Web Site, YPS shall deposit all data and software programs not already deposited
in escrow pursuant to the software escrow required hereby for the Rendering
Programs with the independent escrow agent Data Securities International, Inc.
(“DSI”) pursuant to a written escrow agreement signed by the Parties and
consistent with the terms of this Agreement. The Web Site components that must
be deposited in escrow are identified and described in the Web Site
Specifications, and will include all source materials, data, and programs
necessary to develop, access, render and modify each Web Site. The terms of
this escrow, including the release of the escrowed materials, data and programs
upon the occurrence of one or more Triggering Events and each Party’s
responsibility for the costs of the escrow, shall be consistent with the terms
of the software escrow for the Rendering Programs required by this Agreement.
Upon the release of the escrowed materials, data and programs to Publisher
pursuant to the terms of this Agreement and the escrow agreement, Publisher
shall have the right to use these materials, data and programs for the
Permitted Use through the expiration of

 

 

the last publishing cycle of
the Directories that are published during the term of this Agreement. Without
limiting the generality of the foregoing, Publisher shall have the right to
place the escrowed materials, data and programs on the Internet servers of a
third-party Web Host and to have the materials, data and programs serviced and
maintained by the Web Host in order to ensure continuing Internet access to
each Web Site on the World Wide Web.

 

10.3        
Publicity and Demonstration Rights of Publisher’s Works. Publisher
hereby grants to YPS, for the term of this Agreement, a non-exclusive right to
publicly display the Web Sites only for the purpose of YPS’s marketing and
advertising of its products and services. YPS shall not (i) represent to any
other party that Publisher endorses YPS or its products or services, or the YPS
is in any way affiliated with Publisher, or (ii) reproduce or publish
Publisher’s Domain Names, trademarks, service marks, trade names or the trade
dress of any of Publisher’s products, including without limitation the
Directories, apart from the Web Sites. YPS acknowledges that, apart from the
development and hosting of the Web Sites, no rights to the use of Publisher’s
marks, names, or the trade dress of any of Publisher’s products are being
granted to YPS pursuant to this Agreement. YPS shall not disclose to any other
party any usage or other, similar data related to the Web Sites that are identifiable
to Publisher, Publisher’s customers or any user of the Web Sites. Any such
information shall be considered Publisher’s Confidential Information. YPS may
aggregate user data from the Web Sites together with user data from other web
sites serviced by YPS for marketing and promotional purposes, provided such
aggregated data is not in any way identified or identifiable with Publisher,
Publisher’s customers or the users of the Web Sites and provided further that
any such use complies with Publisher’s privacy policies and with law.

 

10.4        
Works Created by Publisher. Publisher shall be deemed the author and
owner of Publisher’s Domain Names, uniform resource locators, if any,
Publisher’s marks and trade names, all graphics or data provided by Publisher that
are incorporated into the Web Sites (including without limitation the Directory
Content), and any other materials contributed by Publisher for inclusion in the
Web Sites.

 

10.5        
Ownership of Web Hosting Software and Technology. The term “Web Hosting
Technology,” as used in this Agreement, means any and all present or future
Software used to develop, render, maintain, enhance and update the Web Sites
and technology directly or indirectly connected or associated therewith,
developed by or for YPS, including without limitation technical expertise in
the development and design of web sites, software and technical processes and
formulas developed by YPS (including the Rendering Programs), and YPS’s
industry and market knowledge. All Web Hosting Technology developed or provided
by YPS under this Agreement, and any know-how, methodologies, equipment, or
processes used by YPS to provide products or services pursuant to this
Agreement, will remain the sole and exclusive property of YPS.

 

 

10.6        
Unique Technology Enhancements. Notwithstanding the foregoing
provisions  relating to YPS’s Web Hosting Technology, any software
programs or enhancements conceived by Publisher and developed by YPS at
Publisher’s expense that provide a unique end-user or advertiser functionality,
shall not be offered by YPS to other parties, or incorporated into or used by
YPS to support any electronic telephone directory product or service for other
parties, for a period of one (1) year after such programs or enhancements, or
the unique functionality provided by those programs or enhancements, is  introduced in support of the Directories
subject to this Agreement. Unless otherwise agreed by the Parties, any such
program or enhancement shall be deemed introduced in support of the Directories
only after it, or the unique functionality it supports, is implemented in
support of all of the Directories then subject to this Agreement. Prior to the
development and implementation of any such program or enhancement, Publisher
and YPS shall enter into a written addendum to this Agreement that fully
documents the development requirements and specifications applicable thereto,
as well as the pricing for each such program or enhancement.

 

10.7        
Exclusivity. Publisher acknowledges and agrees that YPS is in the
business of designing and hosting web sites and that YPS will have the right to
provide to third parties products and services that are the same or similar to
the products and services provided pursuant to this Agreement. 
Notwithstanding the foregoing, YPS will not be permitted to provide, during the
term of this Agreement, the same or similar products or services in support of
any classified directory (other than the Directories) distributed within the
geographic distribution area of the Directories.   In addition,
during the first year of this Agreement, YPS shall not provide the same or
similar products or services for, or in support of, any classified directory
(other than the Directories) distributed within the geographic distribution
areas (the “Exclusive Area”) of the classified directories of Publisher that
are identified as the Exclusive Area Directories in the Directories List
attached to this Agreement as Exhibit F, except as otherwise provided in the
Directories List.  A classified directory shall be deemed to be
distributed within the geographic distribution area of the Directories if (i)
more than ten percent (10%) of the classified directory’s total, primary
distribution is made within the Directories’ primary distribution areas, or
(ii) the classified directory’s primary distribution area covers more than ten
percent (10%) of the primary distribution area of any Directory.

 

10.8        
First Option. In the event YPS, at any time during the term of this Agreement,
receives one or more bona fide offers from another party to have YPS provide,
or support the provision of, a product or service offering similar to the
products or services provided by YPS hereunder within any portion of the [***],
YPS immediately thereafter shall notify Publisher of the offer(s). The
notification from YPS shall identify the portion of the [***] to which the
offer(s)

 

 

relates, contain a
description of the product and/or service to be provided, and (to the extent
not proscribed by any confidentiality agreement by which YPS is bound) disclose
the general terms and conditions upon which the product or service is proposed
to be provided. Publisher will have the right (Publisher’s “First Option
Right”) to expand the products and services provided under this Agreement to
include any of Publisher’s classified directories that are published and
distributed primarily within that portion of the [***] identified in YPS’s
notice, provided Publisher gives YPS notice of Publisher’s election to expand
the coverage of this Agreement and the products and services provided hereunder
to one or more of those directories within ten (10) business days of
Publisher’s receipt of YPS’s notice. If Publisher so notifies YPS, YPS will be
obligated to provide the products and services contemplated in this Agreement
for the directories identified by Publisher and those directories thereafter
shall be considered a part of, and included in, the Directories subject to this
Agreement. Those products and services will be provided by YPS in accordance
with the terms and conditions of this Agreement, including the price for such
services as specified in this Agreement. The terms contained in the third party
offer(s) will not apply to YPS’s provision of such products or services. To the
extent Publisher does not so elect to expand the scope of this Agreement, YPS
shall be permitted to accept the third party offer(s) identified in its notice
to Publisher.

 

11.           Representations
and Warranties.

 

11.1        
Mutual Representations and Warranties. Each Party represents and
warrants to the other Party that (i) it has taken all necessary action,
corporate or otherwise, to authorize the execution, delivery and performance of
this Agreement and the transactions contemplated hereby, (ii) this Agreement is
the valid and binding obligation of such party, enforceable in accordance with
its terms, subject to laws of general application relating to creditor’s
rights, bankruptcy, insolvency and the relief of debtors, and (iii) neither the
execution and delivery of this Agreement nor compliance with its respective
terms and provisions will violate, be prohibited by, conflict with, result in a
breach or termination of, or a default under any of the terms, conditions or
provisions of its corporate organizational documents; any statute, regulation,
judgment, order, decree, injunction, stay, restraining order or ruling to which
it is a party or subject; or any material agreement to which it is a party.

 

11.2        
YPS Representations and Warranties. In addition to the other
representations and warranties made by YPS in this Agreement, YPS represents
and warrants to Publisher as follows:

 

11.2.1  Functionality
of Web Sites. The Web Sites, including without limitation the Web Pages and
Web Portals, will function in accordance with the functionality requirements
set forth in this Agreement, including without limitation the Web Site
Specifications. YPS will repair any deliverable that does not meet this
warranty within a

 

 

24-hour time period, if the
defect affects the usability of any Web Site, and otherwise will repair the
defect within a 48-hour time period. Any such repairs will be made without
charge to Publisher. This representation and warranty shall not apply to any
loss of functionality caused by web links that change over time, Web Pages that
become obsolete over time, web content that becomes outdated over time, or
other changes that do not result from any error or performance failure on the
part of YPS.

 

11.2.2  Web
Hosting Services. The web hosting services provided by YPS, including
services such as interactive tracking reports, insertion of live links to other
web sites and web site maintenance services, will be provided in compliance
with, and where applicable will meet the functionality specifications set forth
in, this Agreement, including without limitation the Web Hosting
Specifications.

 

11.2.3  Workmanship.
All work done on, or work product prepared for, the Web Sites, including all
services provided in support of hosting the Web Sites, will be performed and
provided in a workmanlike manner and with professional diligence and skill,
will function under standard HTML conventions, and will conform to the
specifications and requirements set forth in this Agreement.

 

11.2.4  Non-infringement.
To the best of YPS’s knowledge, the Web Sites, including all components thereof
provided or contributed by YPS in connection with its performance of this
Agreement, and the use of the Web Sites by Publisher or other users on the
World Wide Web will not infringe upon the rights of others including without
limitation their Intellectual Property Rights. To the best of YPS’s knowledge,
its execution, delivery and performance of this Agreement does not require any
license to use the intellectual property of a third party, other than any
licenses currently held by YPS with the good faith belief that such licenses
will endure or are renewable and will be renewed by YPS for the full term of
this Agreement. Notwithstanding the foregoing, this representation and warranty
of non-infringement does not apply to the Directory Content or other materials
or data furnished by Publisher for inclusion in the Web Sites pursuant to this
Agreement.

 

11.2.5  Compliance
with Laws. YPS’s performance of its obligations contained in this Agreement
will be done in compliance with all applicable laws.

 

11.2.6  Existing
Agreements with Others. YPS is not a party to any agreement with other
parties, or bound by any commitment to such other parties, that impairs YPS’s
ability to provide the products and services contemplated in this Agreement to
Publisher in support of Publisher’s Directories, as identified in Exhibit F to
this Agreement.

 

 

Notwithstanding the
foregoing, the Parties acknowledge that YPS provides products and services
similar to those contemplated herein to other telephone directory publishers in
the geographic distribution areas of Publisher’s SE Kansas REG and Laughlin,
Nevada directories. So long as YPS continues to provide such products and
services to those other publishers on an uninterrupted basis, YPS shall not be
obligated to provide the products and services contemplated herein to Publisher
on an exclusive basis pursuant to Section 10.7 hereof. In the event YPS ceases
to provide those products and services to such other publishers and Publisher
adds such directories to the Directories subject to this Agreement, YPS
thereafter shall be obligated to provide to Publisher the products and services
contemplated herein in support of such directories on an exclusive basis
pursuant to Section 10.7.

 

11.3        
Publisher Representations and Warranties. In addition to the other
representations and warranties made by Publisher in this Agreement, Publisher
represents and warrants to YPS as follows:

 

11.3.1  Non-infringement.
To the best of Publisher’s knowledge, the incorporation of the Directory
Content and other materials and data furnished by Publisher into the Web Sites,
and the use of those materials and data on the World Wide Web as contemplated
by this Agreement, will not infringe upon the rights of others, including
without limitation their Intellectual Property Rights. To the best of
Publisher’s knowledge, its execution, delivery and performance of this
Agreement does not require any license to use the intellectual property of a
third party, other than any licenses currently held by a Publisher with the
good faith belief that such licenses will endure or are renewable and will be
renewed by Publisher for the full term of this Agreement.

 

11.3.2  Compliance
with Laws. Publisher’s performance of its obligations contained in this
Agreement will be done in compliance with all applicable laws.

 

12.           Confidential
Information. Each Party agrees that all information and materials disclosed
to a Party by the other Party, including the terms and conditions of this
Agreement, shall be considered “Confidential Information” of the disclosing
Party. The Confidential Information of Publisher shall include without
limitation all reports provided or made available to Publisher pursuant to this
Agreement and all of Publisher’s training materials and sales collateral
related to the products or services provided under this Agreement. Each Party
agrees to hold the disclosing Party’s Confidential Information in confidence
and, except as otherwise provided for in this Agreement, not to disclose such
information to others (other than on a need to know basis to the receiving
Party’s employees, authorized agents and contractors) without the prior written
consent of the disclosing Party. Each Party shall take reasonable precautions
to prevent any unauthorized disclosure, publication, dissemination or use of
the disclosing Party’s

 

 

Confidential
Information, including without limitation requiring agents and contractors to
execute a confidentiality agreement or covenant consistent with the receiving
Party’s obligations hereunder. The foregoing restrictions shall not apply to
any information that the receiving Party can demonstrate (a) is, as of the time
of its disclosure, or thereafter becomes part of the public domain through a
source other than the receiving Party, (b) was known to the receiving Party as
of the time of its disclosure, (c) is independently developed by the receiving
Party, or (d) is subsequently learned from a third party not under a
confidentiality obligation to the disclosing Party. The foregoing restrictions
on Confidential Information shall not apply to Confidential Information that is
required to be disclosed in connection with any lawsuit, action or other legal
or regulatory proceeding related to the Confidential Information or otherwise
required to be disclosed as a matter of law. The Parties consent to the
enjoining by any court of competent jurisdiction, without bond or other
security, any violation threatened or actual, of this covenant. This consent to
injunctive relief is in addition to any other legal or equitable remedies a
Party may have for breach of this covenant and is not a waiver of any such
remedies.

 

13.           Indemnification.

 

13.1        
YPS-provided Indemnification. Except as expressly provided in this
Agreement, YPS will indemnify, defend and hold harmless Publisher and its
officers, employees, agents and affiliates against and from all claims, losses,
expenses, liabilities, damages and costs including, without limitation,
reasonable attorneys’ fees, that may at any time be incurred by any of them in
connection with: (i) the provision of the products or services provided by YPS
pursuant to this Agreement; (ii) any allegation, investigation, claim, suit or
other proceeding threatened, made or brought against any of them related to any
false representation or warranty that is made by YPS under this Agreement;
(iii) the material breach of any covenant of YPS contained in this Agreement; (iv)
any allegation, investigation, claim, suit or other proceeding threatened, made
or brought against Publisher based on or arising from a claim that any
Intellectual Property Rights of YPS that are used by Publisher or incorporated
into the Web Sites pursuant to this Agreement infringe in any manner on any
Intellectual Property Rights of any third party; (v) injury to persons
(including libel and slander) or loss or damage to tangible or intangible
property, in either case, to the extent resulting from any act or omission of
YPS or its personnel, which includes YPS’s employees, agents and
subcontractors; and (vi) any allegation, investigation, claim, suit or other
proceeding threatened, made or brought against any of them based on or arising
from a claim that YPS used any information or data related to third parties
that access or use the Web Sites in violation of the applicable Privacy Policy
established by Publisher for such Web Sites.

 

13.2        
Publisher-provided Indemnification. Except as expressly provided in this
Agreement, Publisher will indemnify, defend and hold harmless YPS and its
officers, employees, agents and affiliates against and from all claims, losses,
expenses, liabilities, damages and costs including, without limitation,
reasonable attorneys’ fees, that may at any time be incurred by any of them in
connection

 

 

with: (i) the provision or
contribution of the Directory Content or other information or data to YPS
pursuant to this Agreement; (ii) any allegation, investigation, claim, suit or
other proceeding threatened, made or brought against any of them related to any
false representation or warranty that is made by Publisher under this
Agreement; (iii) the material breach of any covenant of Publisher contained in
this Agreement; (iv) any allegation, investigation, claim, suit or other
proceeding threatened, made or brought against YPS based on or arising from a
claim that any Intellectual Property Right of Publisher that is furnished to
YPS for incorporation into the Web Sites pursuant to this Agreement infringes
in any manner on any Intellectual Property Rights of any third party; (v)
injury to persons (including libel and slander) or loss or damage to tangible
or intangible property, in either case, to the extent resulting from any act or
omission of Publisher or its personnel, which includes Publisher’s employees,
agents and subcontractors; and (vi) any allegation, investigation, claim, suit
or other proceeding threatened, made or brought against any of them based on or
arising from a claim that Publisher used any information or data related to
third parties that access or use the Web Sites in violation of the applicable
Privacy Policy established by Publisher for such Web Sites.

 

13.3        
Infringement Claims. If the operation of all or any material component
of the Web Sites is enjoined in whole or in part because of an actual or
alleged infringement of the Intellectual Property Rights of others (a) by YPS,
(b) attributable to the technology, data or work provided by YPS pursuant to
this Agreement, YPS shall, at Publisher’s option and YPS’s expense, and in
addition to any other rights or remedies that Publisher may have: (i) procure
for Publisher the rights necessary to continue operating the Web Sites; (ii)
replace the infringing components of the Web Sites with non-infringing
components; (iii) modify, at Publisher’s option, the Web Sites so they become
non-infringing; or (iv) remove the infringing components and refund the price
paid by Publisher for, or otherwise attributable to, the components that are so
removed.

 

13.4        
Extent of Indemnification. Each Party’s indemnification obligations will
not apply to the extent that the liability or damages are caused by the actions
of the indemnified Party.

 

13.5        
Indemnification Procedure. Each Party will give prompt written notice to
the other Party of any claim for indemnification hereunder, specifying, to the
extent known, the amount and nature of the claim, and any matter which in the
opinion of such Party is likely to give rise to an indemnification claim. The
indemnifying Party will have the right to control the defense through counsel
of its choosing. The indemnified Party will have the right to the extent of its
interests to participate on its own behalf and at its own expense in such
matter or its settlement through counsel of its choosing. Notwithstanding
anything contained to the contrary herein, neither Party will settle any claim
that is subject to indemnification hereunder without the other Party’s prior
written consent, which consent will not be unreasonably withheld.

 

 

Publisher designates its
General Counsel and YPS designates Don Jones, its President, as the specific
contact person for purposes of this paragraph.

 

14.           Termination
and Renewal.

 

14.1        
Term. This Agreement will become effective on Effective Date and, except
as otherwise provided herein, will continue in effect through the expiration of
the publication cycles of the Directories that are subject to this Agreement.

 

14.2        
Early Termination Rights.

 

14.2.1     
Sale to Competitors. In the event YPS is sold to a Competitor (as
hereinafter defined) of Publisher, Publisher shall have the right to terminate
this Agreement without cause at any time after the sale is consummated. In the
event Publisher elects to exercise this early termination right, Publisher
shall provide a written notice of termination to YPS. YPS thereafter shall be
obligated to continue providing the products and services required by this
Agreement in support of any conversion of any Directory, the development of any
Web Site, and hosting and support of all active Web Sites that are in process
at the time of Publisher’s termination notice (the “work-in-process”). If
requested by Publisher, YPS shall provide those products and services until the
expiration of the publication cycle of the Directories to which the
work-in-process relates. The term “Competitor” means and includes any person or
entity engaged in publishing classified telephone directories in any format within
the United States. YPS shall be deemed sold to a Competitor if, as the result
of any transaction, YPS owns or controls, is owned or controlled by, or under
common ownership or control with, a Competitor. Ownership means the ownership
of more than five percent (5%) of YPS or the Competitor’s equity, and control
means the right to direct the management or business affairs of YPS or the
Competitor through any agreement or other arrangement.

 

14.2.2     
Material Breaches. Either Party may terminate this Agreement before the
normal expiration hereof in the event of a material breach by the other Party.
In order to terminate for material breach, the non-breaching Party must give
the breaching Party written notice identifying the purported breach in reasonable
detail and requesting that the breach be cured (the “Cure Notice”). If the
breaching Party fails to cure the breach within thirty (30) days of receipt of
the Cure Notice, the other Party shall have the right to terminate this
Agreement, effective upon seven (7) days prior written notice to the breaching
Party (the “Terminating Notice”); provided, however that if such breach cannot
reasonably be cured within thirty (30) days of receipt of the Cure Notice, the
same shall not constitute a failure to cure hereunder if, prior to the

 

 

delivery of the Terminating
Notice to the breaching Party, the Parties mutually agree upon a written plan
to cure the breach and the breaching Party continues to perform in accordance
with the written plan of cure.

 

14.4   
Survival. The provisions of this Agreement that expressly or by
implication are intended to survive the termination or expiration of this
Agreement will survive the termination or expiration of this Agreement.

 

14.5   
Operational Review. YPS and Publisher, by mutual agreement, will
periodically review and modify the exhibits to this Agreement as necessary or
appropriate to ensure that they are complete and accurate.

 

15.          
Notices. Notices to either Party under or relating to this Agreement
will be in writing to the address indicated below, and will be deemed effective
when received if sent by facsimile (receipt confirmed), commercial courier, or
personal delivery, or on the first business day following the date after
depositing the notice with a reputable, overnight delivery service:

 

	
   

  	
  Notices
  to YPS:

  	
   

  	
  Don
  Jones

  
	
   

  	
   

  	
   

  	
  President

  
	
   

  	
   

  	
   

  	
  YPSolutions

  
	
   

  	
   

  	
   

  	
  3445
  N. Causeway Blvd.

  
	
   

  	
   

  	
   

  	
  Suite
  401

  
	
   

  	
   

  	
   

  	
  Metairie,
  LA 70002

  
	
   

  	
   

  
	
   

  	
   

  	
  With
  a copy to:

  	
   

  	
  Joseph
  W. Looney

  
	
   

  	
   

  	
   

  	
  Adams
  and Reese

  
	
   

  	
   

  	
   

  	
  4500
  One Shell Square

  
	
   

  	
   

  	
   

  	
  New
  Orleans, LA 70139

  
	
   

  	
   

  
	
   

  	
  Notices
  to Publisher:

  	
   

  	
  George
  Bednarz

  
	
   

  	
   

  	
   

  	
  Vice
  President and General Manager – Publishing and

  
	
   

  	
   

  	
   

  	
  Information
  Services

  
	
   

  	
   

  	
   

  	
  R.H.
  Donnelley Inc.

  
	
   

  	
   

  	
   

  	
  6001
  Hospitality Ct.

  
	
   

  	
   

  	
   

  	
  Morrisville,
  NC 27560

  
	
   

  	
   

  
	
   

  	
   

  	
  With
  a copy to:

  	
   

  	
  Terry
  Hurley

  
	
   

  	
   

  	
   

  	
  Assistant
  General Counsel

  
	
   

  	
   

  	
   

  	
  R.H.
  Donnelley Inc.

  
	
   

  	
   

  	
   

  	
  5454
  West 110th Street

  
	
   

  	
   

  	
   

  	
  Overland
  Park, KS 66211

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

or to such other addresses
as may be stated by one party to the other in a notice given in the same manner
herein provided.

 

16.          
Dispute Resolution.

 

16.1   
Continuing Performance. Each Party will continue its performance under
this Agreement during the pendency of any dispute, unless this Agreement is
terminated in accordance with its terms.

 

16.2   
Waiver of Jury Trial. EACH PARTY WAIVES ITS RIGHT TO A JURY TRIAL IN ANY
COURT ACTION ARISING AMONG THE PARTIES, WHETHER UNDER THIS AGREEMENT OR
OTHERWISE RELATED TO THIS AGREEMENT, AND WHETHER MADE BY CLAIM, COUNTERCLAIM, THIRD
PARTY CLAIM OR OTHERWISE. If for any reason the jury waiver is held to be
unenforceable, the Parties agree to binding arbitration for any dispute arising
out of this Agreement or any claim arising under any federal, state or local
statutes, laws or regulations, under the applicable commercial rules of the
American Arbitration Association and 9 U.S.C. § 1, et. seq. The
agreement of each Party to waive its right to a jury trial will be binding on
its successors and assignees.

 

16.3   
Attorney’s Fees. The prevailing Party in any formal dispute will be
entitled to reasonable attorney’s fees and costs, including reasonable expert
fees and costs.

 

17.          
Liability Limitation. EXCEPT AS OTHERWISE EXPRESSLY PROVIDED HEREIN,
EACH PARTY’S LIABLITY HEREUNDER WILL BE LIMITED TO DIRECT DAMAGES, AND IN NO
EVENT WILL EITHER PARTY BE LIABLE TO THE OTHER PARTY FOR INDIRECT, INCIDENTAL,
CONSEQUENTIAL, SPECIAL, PUNITIVE OR EXEMPLARY DAMAGES (EVEN IF THAT PARTY HAS
BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES), SUCH AS, BUT NOT LIMITED TO,
LOSS OF REVENUE, PROFITS OR BUSINESS. THE EXCLUSIONS AND LIMITATIONS OF THIS
SECTION DO NOT APPLY  TO  ANY CLAIMS FOR WHICH A PARTY HAS AN
OBLIGATION OF INDEMNITY UNDER THIS AGREEMENT; ANY GROSSLY NEGLIGENT, WILLFUL OR
FRAUDULENT ACT OR OMISSION; BREACH OF OBLIGATIONS REGARDING CONFIDENTIALITY OR
INTELLECTUAL PROPERTY; OR LIABILITY ARISING FOR BODILY INJURY OF A PERSON, OR
IN STATES THAT PROHIBIT THE EXCLUSION OR LIMITATION OF INCIDENTAL OR
CONSEQUENTIAL DAMAGES OR LIMITATIONS OR THE DURATION OF AN IMPLIED WARRANTY.

 

18.          
Insurance.

 

18.1   
Required Insurance Coverage. YPS will obtain and keep in force during
the term of this Agreement not less than the following insurance:

 

 

(i) commercial general
liability insurance, including bodily injury, property damage, personal and
advertising injury liability, and contractual liability covering operations,
independent contractor and products/completed operations hazards, with limits
of not less than $1,000,000 combined single limit per occurrence and $2,000,000
annual aggregate, naming Publisher as an additional insured; (ii) workers’
compensation insurance as provided for in any jurisdiction where work is
performed by YPS personnel who are engaged in the performance of services under
this Agreement with an employer’s liability limit of not less than $1,000,000
for bodily injury by accident or disease; (iii) umbrella/excess liability
insurance with limits of not less than $2,000,000 combined single limit in
excess of the above-referenced commercial general liability and workers’
compensation insurance.

 

18.2   
Insurance Certificates. All required insurance policies must be taken
out with financially reputable insurers reasonably acceptable to Publisher and
licensed to do business in all jurisdictions where Services are provided under
this Agreement. YPS will provide Publisher with a certificate of insurance,
satisfactory in form and content to Publisher, evidencing that all the required
coverages are in force and have been endorsed to provide that no policy will be
canceled or materially altered without first giving Publisher 30 days’ prior
notice. Nothing contained in this Section limits YPS’s liability to Publisher
to the limits of insurance certified or carried.

 

19.          
No Solicitation. Each Party agrees that it will not, until the
expiration of one (1) year following the termination of this Agreement,
solicit, induce, or attempt to induce any employee of the other Party to leave
other Party’s employ or to hire any such employee. Notwithstanding the
foregoing, in the event the Rendering Programs and components of the Web Sites
are delivered out of escrow to Publisher pursuant to the terms of the escrow
arrangements established pursuant to this Agreement, Publisher shall have the
right to solicit for employment or otherwise to retain the services of YPS’s
employees as part of Publisher’s efforts to sustain the operation of the Web
Sites.

 

20.          
Relationship of Parties. The relationship between YPS and Publisher is
that of two independent contractors and not of partners, and no partnership
law, concepts or duties will apply to the relationship between YPS and
Publisher. Accordingly, the Parties will perform all of their duties under this
Agreement as independent contractors. Neither Party’s employees are deemed
employees of the other Party and will not be considered covered under any
relevant federal or state social security, unemployment, or similar
compensation acts, with respect to any payment made by Publisher to YPS under
this Agreement or otherwise. Nothing in this Agreement will be construed to
give either Party the power to direct or control the daily activities of the
other Party or the other Party’s employees, franchiser and franchisee,
partners, joint venturers, co-owners, or otherwise. Neither Party grants the
other Party the power or authority to make or give any agreement, statement,
representation, warranty, or other commitment on behalf of such Party, or to
enter into any contract or otherwise incur any liability or obligation, express

 

 

or
implied, on behalf of such Party, or to transfer, release, or waive any right,
title, or interest of such Party.

 

21.          
Press Releases and Public Announcements. Neither Party will issue any
press release or make any public announcement relating to the existence or
subject matter of this Agreement without the prior written approval of the
other Party; provided, however, that a Party may make any public disclosure it
believes in good faith is required by applicable law or listing requirements
(in which case the disclosing Party will use reasonable efforts to advise the
other Party prior to making the disclosure).

 

22.          
Assignment. Neither Party may assign this Agreement, in whole or part,
without the prior written consent of the other Party, which consent shall not
be unreasonably withheld. Notwithstanding the forgegoing, no consent shall be
required for (i) any assignment that occurs by operation of law as part of a
corporate reorganization, consolidation, merger, or sale of substantially all
of its assets, or (ii) an assignment by a Party to any of its affiliates. The
Parties acknowledge that affiliates of Publisher, including without limitation,
its pre-press publishing services function, may administer Publisher’s rights
and obligations under this Agreement, and that such administration shall not be
deemed an assignment of this Agreement. In addition, during the term hereof,
any affiliate of Publisher may secure the rights and benefits under this
Agreement by giving written notice to YPS and YPS and such affiliate shall
thereafter promptly negotiate in good faith to document their agreement under
which YPS’s products and services shall be provided to such affiliate; provided
however, that unless otherwise agreed by such affiliate, such agreement shall
be substantially identical in all material respects to this Agreement,
including the Project Compensation Schedule and other pricing provisions
hereof.

 

23.          
Successors and Assigns. This Agreement will be binding upon and inure to
the benefit of the Parties hereto, their respective successors and permitted
assigns. Nothing in this Agreement, except as is specifically provided in this
Agreement, is intended to confer upon any person, other than the Parties hereto
and their respective successors and permitted assigns, any rights, remedies,
obligations or liabilities under or by reason of this Agreement.

 

24.          
Entire Agreement; Amendment. This Agreement, including all attached
Exhibits, constitutes the entire agreement between the Parties with respect to
the subject matter hereof and supersedes all prior letters of intent,
arrangements, representations, warranties, statements, promises, information
and undertakings, whether oral or written, expressed or implied, with respect
to the subject matter of this Agreement. This Agreement may only be modified,
or any rights under it waived, by a written document executed by both Parties.

 

25.          
Legal Construction and Severability. In the event that any provision of
this Agreement is found by a court, arbitrator or other tribunal to be illegal,
invalid or unenforceable, then such provision will not be voided, but will be
enforced to the maximum extent permissible under applicable law, and the
remainder of this Agreement

 

 

will
remain in full force and effect and will in no way be affected, impaired or
invalidated, unless to so continue the Agreement would unjustly prejudice the
Parties hereto. In the event a conflict exists between the terms of this Agreement
and the terms of any of the exhibits or schedules incorporated herein,
including without limitation the Form of Preferred Escrow Agreement, the terms
of this Agreement shall govern.

 

26.          
Waiver. The remedies herein reserved will be cumulative and additional
to any other or further remedies provided at law or equity. No failure to
enforce or insist upon strict compliance with any provision of this Agreement
will be deemed to constitute a waiver of rights to demand strict compliance
with the terms hereof. No waiver of any term or condition of this Agreement
will be deemed or construed to be a waiver of such term or condition in the
future, or of any subsequent breach of said term or any other terms of this
Agreement.

 

27.          
Force Majeure. Neither Party shall be liable in damages or have the
right to terminate this Agreement for any delay or default in performing
hereunder if such delay or default is caused by some condition, failure, or
occurrence reasonably beyond its control including, but not limited to, Acts of
God; Government restrictions or regulations (including the denial or
cancellation of any necessary license); storm; flood; fire; war; terrorism;
civil disorder; insurrection; strike; curtailment of transportation or communications
facilities; power failure or surge; damage to, destruction of, or failure to
perform by the supplier of, a network facility (including telephone service,
the Internet, a wide area network or an ISP network or server), and/or any
other cause beyond the reasonable control of the Party whose performance is
affected. Notwithstanding the foregoing, a Party will be excused from
performance hereunder only if it is using commercially reasonable efforts to
work around the force majeure event. During the pendency of any such event and
while either Party’s performance obligations are consequently excused, the
other Party’s performance (including payment) obligations shall also be
excused.

 

28.          
Section Headings. The section headings contained in this Agreement are
for convenience and for reference purposes only, and will not be deemed to
constitute a substantive portion of this Agreement.

 

29.          
Counterparts. This Agreement may be executed in one or more
counterparts, each of which, when executed and delivered, will be an original,
and such counterparts will together constitute one and the same instrument.

 

30.          
Subcontracts. YPS may not subcontract any portion of the Services
without Publisher’s prior written approval, and will remain fully liable for
the work performed and for the acts and omissions of any approved
subcontractor. YPS will require any approved subcontractor to comply with the
applicable terms of this Agreement. Publisher will not be responsible for the
performance of any YPS subcontractor or for performing any of YPS’s obligations
to any such subcontractor. Any references in this Agreement to YPS’s products
or services shall mean and include the products and services provided on YPS’s
behalf by YPS’s subcontractors. The Parties

 

 

recognize
that YPS currently uses a third party vendor, US West, for web hosting services
to be provided hereunder and Publisher hereby consents to the use of this
subcontractor.

 

31.          
Time of the Essence. Time is of the essence in the performance of each
and every obligation of the Parties established by this Agreement.

 

IN
WITNESS WHEREOF, the Parties hereto have executed and delivered this Agreement
on the date first set forth above.

 

	
  YP WEB PARTNERS, L.L.C.

  	
  R.H. DONNELLEY

  
	
  d/b/a YPSolutions

  	
  PUBLISHING & ADVERTISING,

  
	
   

  	
  INC.

  
	
   

  	
   

  
	
  By:

  	
  /s/
  Bill Hammack

  	
   

  	
  By:

  	
  /s/
  Mike Boyce

  	
   

  
	
   

  	
   

  
	
  Print
  Name:

  	
  BILL
  HAMMACK

  	
   

  	
  Print
  Name:

  	
  Mike
  Boyce

  	
   

  
	
   

  	
   

  
	
  Title:

  	
  CEO

  	
   

  	
  Title:

  	
  VP
  MARKETING

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

Exhibit A

 

Directory Conversion Specifications

 

Las Vegas IYP Rollout

 

	
  Directory

  (6-month

  cycle)

  	
   

  	
  Issue

  	
   

  	
  Sales

  Canvass

  Start

  	
   

  	
  Specialty

  Pages

  	
   

  	
  White

  Page

  Extract

  	
   

  	
  Yellow

  Page

  Extract

  	
   

  	
  Publisher
  Ship

  to Printer

  	
   

  	
  Ship from

  Printer

  	
   

  	
  IYP

  Prototype

  Sales

  Training

  	
   

  	
  Print

  Delivery

  Start

  
	
  Las
  Vegas —Free PROTOTYPE

  	
   

  	
  Jul-03

  	
   

  	
  n/a

  	
   

  	
  5/16/03

  	
   

  	
  4/16/03

  	
   

  	
  5/8/03

  	
   

  	
  5/22/03 - 6/9/03

  	
   

  	
  6/12/03

  	
   

  	
  6/16/03

  	
   

  	
  6/18/03

  
	
  Las
  Vegas —Sold

  	
   

  	
  Jan 04

  	
   

  	
  5/24/03

  	
   

  	
  11/18/03

  	
   

  	
  10/17/04

  	
   

  	
  11/10/03

  	
   

  	
  11/18/03 -
  12/4/03

  	
   

  	
  12/13/03

  	
   

  	
  n/a

  	
   

  	
  12/19/03

  
	
  Las
  Vegas — Sold

  	
   

  	
  Jul-04

  	
   

  	
  12/9/03

  	
   

  	
  5/16/04

  	
   

  	
  4/16/04

  	
   

  	
  5/8/04

  	
   

  	
  5/15/04 - 6/2/04

  	
   

  	
  6/12/04

  	
   

  	
  n/a

  	
   

  	
  6/18/04

  

 

Note: Some of the above dates have yet to be
determined and have been estimated based on historical dates.

 

Production Timelines:

•                 
Publisher will deliver
Specialty Pages/Gov’t Pages: Specialty Pages Date + 3 days

•                 
Publisher will deliver
BFO File/WP listings: White Page Extract Date + 10 days

•                 
Ad, Galley, HIP files and
Coupon Pages: Yellow Pages Date + 5 days

•                 
On the last day of
Publisher Ship to Printer, Publisher will deliver:

1.              
All ads that have changed
since the initial extract

2.              
Revised Galley File

3.              
Revised HIP File

4.              
A file that consists of
the advertisers who purchased IYP1, IYP2 and have Opted Out.

Pages will be delivered
via FTP to YPS server unless the need exists for alternate delivery means.

 

1

 

Exhibit B

 

General Web Site Specifications

 

A.                                   
General Specifications

 

The overall design, layout
and functionality of the Web Sites shall be consistent with the prototype Web
Site developed and provided by YPS to Publisher, portions of which is attached
to this Exhibit in PDF file format. The attached PDF file does not capture
all of the features and functionality inherent in the HTML file format version
of the prototype Web Site. The design, layout and functionality of the Web
Sites also shall comply with the specifications contained in this
Exhibit and may be modified in accordance with the terms of the
Agreement.”

 

ListBoss

•                 
Users may chose to
see their search results with the ListBoss Product

•                 
Users may click to
access advertisements associated with the listings

•                 
Results should be ‘sorted
same as PageBoss section by seniority.

•                 
Users may click on
the addresses and a pop-up window will display a map of the location

•                 
For non-prototype books,
1YP1 Customers will have the following Icons: Ad, coupon and map icon

•                 
For non-prototype books,
lYP2 advertisers will have all of IYP1 and also have email and Web Site icons

•                 
Customers who have opted
out would fall alphabetically after advertisers

 

PageBoss Yellow Pages

•                 
Users may chose to
see their search results with the PageBoss Product

•                 
The search result will be
highlighted

•                 
Page background
color will be set to match that of the ads

•                 
All in-data hyperlinks to
be activated unless noted by Publisher

•                 
Software used to
automatically activate hyperlinks that are identifiable in data stream

•                 
Manual process to
activate hyperlinks which are not activated programmatically

•                 
Hyperlinks will be
represented as blue text

•                 
A popup menu with
additional navigation options will be activated when users mouse over an ad

•                 
For each Web Site, YPS
will offer Publisher the option to geo-code substantially all of the addresses
in the white and yellow pages listings in the Directory to which the Web
Site relates. Upon completion of the geo-coding, YPS’s software will allow users
accessing the Web Site to “click on” a specific address to activate a pop-up
window which displays a map showing the exact location of that listing within
the Directory’s geographic coverage area. This service will be provided in
accordance with the Mapping Specifications set forth in the Web Hosting
Specifications and for the fees specified in the Project Compensation Schedule.
Publisher acknowledges that geo-coding does not ensure that 100% of all
addresses will be linked to a map. For example, P.O. Boxes cannot be
geo-coded.

•                 
The interactive mapping
feature provided with the CityBoss portal for Las Vegas will include an area
map onto which is superimposed a grid representing populated coverage 

 

2

 

areas. Each of these grid
squares will “drill down” to a detail map which will be navigable, including
pan, zoom and the ability to search for a specific address.

 

CityBoss specifications are
covered in the Web Portal Design Specifications.

 

Directory Tabs within the
PageBoss product may include, but are not limited to the following:

PageBoss White Pages:

 

•

•                 
Residential White

•                 
Business White

•                 
Information Pages

•                 
Zip Code Guides

Civic/Gov’t:

•                 
Tabs similar to the White
Pages ensuring the following information is available:

•                 
Any guides

•                 
Government
Officials/Offices

•                 
U.S. Government Offices
(from the yellow binding)

•                 
Any other Gov’t
information from the white binding

 

Specialty Pages

•                 
Bright Idea Pages

 

Branding.

•                 
Each page displayed
to users will be branded with Publisher and /or Sprint Yellow Pages trade
names, logos and color schemes in the header and navigation or otherwise in the
pages as determined and approved by Publisher

 

YPS’s minimum client
computer hardware and software requirements.

 

Intel
Pentium 200 / Macintosh Power PC 200

800
x 600 Resolution

Must
be compatible and fully functional with Internet Explorer 5.5 or Netscape
Navigator 6.2 or higher

 

B.                                   
Web Portal Specifications

 

The City Boss Basic Content
includes, at a minimum, but not limited to, the items listed in 1) below:

 

1)                                    
Basic
Content:

 

a)             
Weather (current Weather,
5-day forecast, Radar)

b)            
Stock Quotes and
Financial News

c)             
Local, National
Government officials

d)            
World News

e)             
U.S. Headline News

 

3

 

f)               
Sports News

g)            
Financial News

h)            
Entertainment News

i)                
Concerts

j)                
Community Information,
including the subcategories: (not available in all cities)

i)                
Shopping

ii)             
Visiting the City

iii)          
Local Events

iv)         
Dining,
Drinking & Entertainment

v)            
Sport

vi)         
Destination Guides

vii)       Historical Background

viii)  
Recommended Tours

k)             
Horoscopes

1)             
Events Calendar

m)          
Apartment Finder

n)            
Event Tickets

 

2)                                    
Transactional
Content (Available at Publisher’s Option):

 

a)             
Hotel Reservations –
Allows users to book hotel reservations online.

b)            
Golf Tee Times – Allows
users to reserve Golf Tee Times online.

c)             
Car Rentals – Allows
users to book Cu Rentals online.

d)            
Apartment Finder – Allows
users to search for apartments based on a variety of specifications. Provides
user a list of apartments that meet the desired criteria and the ability to
develop a personal account based on these preferences. Powered by www.rent.com.

e)             
Event Tickets – Allows
users to purchase Event Tickets online.

f)               
Roommate Finder – Powered
by www.roommateservice.com.

g)            
Job Finder

 

YPS may, from time to time,
change vendors for these services. If current content providers make changes to
the fee structure offered YPS, Publisher and YPS will agree to adjust fees for
this service and/or cancel the service.

 

3)                                     
Additional
Content:

 

a)             
TV Listings

b)            
Movie Listings

c)             
Coupon Software

 

4

 

C.                                   
Modification Services Standards

 

For these purposes,
Modification Services will mean changes to the content of the web pages. This
does not include changes to software, hardware or to the connections to the
Internet.

 

There will be two types of
modifications services provided by YPS:

 

•                                         
Planned periodic
modification of the Web Site

Periodic modifications to
the Web Site will be aggregated and performed as deemed by Publisher.

•                                         
Emergency modification of
the Web Site

YPS will make emergency
modifications to the Web Site within 24 hours of Publisher’s request.

 

All changes shall be posted
to YPS’s staging server and approved by Publisher prior to being made available
to the public.

 

5

 

Exhibit C

 

Web Hosting Specifications

 

A.           
Internet
Server and Connectivity Standards

[YPS to provide]

 

Bandwidth utilization
statistics shall be included in the Monthly Systems Availability Report and be
provided on a daily basis.

 

B.           
Regular/Ongoing
Maintenance/System Availability

 

Systems shall be available
on a 24x7x365 basis, except as stipulated in the following. Good server and
software health is paramount to ensure system availability and is considered a
normal and expected activity.

 

Regular, consistent, and
ongoing maintenance, which does not require interruption of service, shall be
performed on all servers and software. This maintenance category does not
interrupt service nor involves significant changes to software operation;
therefore, the maintenance is performed on an as needed/on-going basis and does
not require the specific knowledge nor prior approval of RHD and is exempt from
reporting requirements stipulated in Section 6.10.1. Examples of
regular/ongoing maintenance include:

 

•                 
Viewing/trimming security
logs

•                 
Back up file deletions

•                 
Adding/deleting security
accounts

•                 
Adding/deleting
directories and temporary files

•                 
Other activities deemed
necessary by YPS server administrators

•                 
Installing updated
drivers or maintenance software

 

Regular maintenance, which
interrupts system availability via system reboots or pausing/stopping services,
is also understood to be normal and is expected
to be performed on a continual, yet planned, basis. This category of
maintenance will be performed, as needed, on the first and third Friday evening
of each month, between 11pm and 1 am, for durations not to exceed 1 hour. If
the projected down-time is expected to be less than 1 hour, within the 2 hour
window, the maintenance activity does not require the prior knowledge or
approval of RHD and is exempt from reporting defined in Section 6.10.1.
Maintenance where the projected time is expected to be over 1 hour or beyond
the 2 hour window shall be approved, in writing (e-mail is acceptable), by RHD
with at least 48 hours notice and shall be included in reporting stipulated in
Section 6.10.1. Because YPS uses redundant web servers, one server will
automatically pick up all traffic while the other is being maintained. If in
the rare instance both primary and redundant servers need to be maintained at
the same time, the user will receive a message stating:

 

6

 

“Servers being maintained.
Please return in 15 minutes”. Examples of maintenance in this category are:

 

•                 
Applying security
patches, as recommended by software manufacturers

(example: critical security patches for the Windows 2000 Advanced Server OS);

•                 
Replacing a hard drive,
system board, fan, or other hardware device;

•                 
Upgrading YPS developed
software; or

•                 
Other maintenance
activities deemed necessary by YPS server administrators/YPS software
developers.

 

C.                                   
Security

 

Access to YPS server
resources is delineated into two distinct categories:

 

1.              
Physical Security. The
security of the system from unauthorized physical access.

 

2.              
System Security. The
security of the system from unauthorized data access.

 

Physical security measures
are controlled by ViaWest Salt Lake City, UT. An attachment of the levels of
physical security is provided.

 

The YPS server/software
systems shall employ commercially reasonable safeguards which include, but are
not limited to:

 

•                 
Natted IPs through the
router

•                 
Firewall – VPN
protected/encrypted connections for data transfer and protection from denial of
service (DOS) attacks (for example: settings to prevent “the ping of death”,
settings to close pcAnywhere port scanning, etc...)

•                 
Serving public
information via virtual shares

•                 
Individual and verified
user level login and subsequent group access to resources to minimize administration

•                 
Disabled guest accounts

•                 
Disabled auto-play on all
devices

•                 
Disallowed blank
passwords

•                 
User accounts are only
created via approved and verified access lists

•                 
Disallowing anonymous
access to DCOM objects

•                 
Using URL scans to filter
URL based attacks

•                 
Employ Symantec’s Norton
Anti-Virus Enterprise Level virus protection

•                 
Drive, directory, and
file level security

•                 
Messenger services
disabled

•                 
Disabled logon as service
rights to other than administrators

•                 
Password expiration dates
w/criteria

•                 
And many other settings,
methods, policies, and procedures

 

7

 

“Significant Security
Breach” is defined as an unauthorized person or entity successfully gaining
physical access to the Directory Infrastructure Systems or access to YPS
protected data via internet connection. Attempts to gain unauthorized access is
a known hazard of running systems that serve information to the general public
(via D.O.S., worm, virus, and exploit attacks) and, therefore, attempted
security breaches will not be reported to Publisher unless the source of the
attempted breach of security originates from a connection owned or operated by
the Publisher.

 

D.           
Downtime
Events

 

Downtime is defined as any
event, within YPS control, which includes the physical facility and direct
internet connections of YPS facilities and contracted hosts, which prohibits
access for a period of time that is greater than 5 minutes, except as allowed
for in Exhibit C, paragraph B. An example of a non-YPS controlled event is
a Pacific Bell service interruption, which renders the entire internet backbone
inoperable, for 3 hours due to a switching station fire.

 

E.             
Disaster
Recovery Procedures

 

YPS and its subcontractors
should identify Disaster Recovery practices for each location (site) and
environment, including development, test, staging, and production platforms.
(See attached)

 

I.                
Mapping
Specifications

 

For each Web Site, YPS will
offer Publisher the option to geo-code substantially all of the addresses in
the white and yellow pages listings in the Directory to which the Web Site
relates. Upon completion of the geo-coding, YPS’s software will allow users
accessing the Web Site to “click on” a specific address to activate a pop-up
window which displays a map showing the exact location of that listing within
the Directory’s geographic coverage area. This service will be provided in
accordance with the Mapping Specifications set forth in the Web Hosting
Specifications and for the fees specified in the Project Compensation Schedule.
Publisher acknowledges that geo-coding does not ensure that 100% of all
addresses will be linked to a map. For example, P.O. Boxes cannot be
geo-coded.

 

J.             
Usage
and Tracking Reports

 

The Usage and Tracking
Reports, at a minimum, shall include the information and data described in the
Usage and Tracking Report presentation provided by YPS to Publisher, portions
of which are attached to this Exhibit in PDF file format. The attached PDF
file does not capture all of the features and functionality inherent in the
HTML file format version of the Usage and Tracking Report presentation. YPS
shall electronically transmit site usage data as required by Publisher.

 

K.           
Promotion
on Internet Search Engines

 

Promotion of Publishers Web
Portals will at a minimum be submitted to the following Search
Engines/Directories available on the World Wide Web:

 

Yahoo (free Submission)

 

8

 

Alta Vista

Ask Jeeves

Google

Inktomi

MSN

AOL

Hot Bot

Lycos

Netscape Search

Overture

Open Directory Project

Look Smart (free Submission)

 

L.            
Web
Site Optimization Program

 

YPS, for a fee, will also
provide a Web Traffic Optimization Program, which will assist the Publisher in
ranking higher on the leading Search Engines/Directories. Each of the major
search engines and directories uses a unique methodology or algorithm to
determine a site’s relevance to keyword queries that considers a variety of
HTML elements of a Web site. YPS will develop Publishers Web site based on the
most important HTML elements for Basic Web Traffic Optimization. These include
but are not limited to:

 

1.              
Page Title: This is
the most important element of site ranking and should be unique for every key
entry page.

 

2.              
Description Meta Tag: A
good description is critical so a page not only ranks well, but so
potential customers will actually click on your link. The Description tag is
the only meta tag supported by some engines.

 

3.              
Body text: Most engines
will spider the actual page content to look for consistent use of keywords
throughout the text, scanning the first 200 words on the page.

 

4.              
Search-engine friendly
content: Search engine spiders function most effectively on static HTML pages.
They have difficulty with Flash, frames, scripts, images, multimedia, etc.

 

A description of additional
services and fees is included in the Project Compensation Schedule.

 

9

 

(Attachment)

 

HAMMACK
JONES GROUP (HJG) / YPSOLUTIONS INFORMATION SYSTEMS (IS) CONTINGENCY PLAN (New
Orleans/Metairie Operations)

 

1.              
PRELIMINARY
PLANNING

 

a.              
PURPOSE AND OBJECTIVES.

 

(1)                                 
To provide a contingency
plan for the operation of critical automated information systems at an offsite
facility should our office building become partially/totally destroyed or
become unavailable for an extended period of time.

 

(2)                                 
To provide critical
support functions in the event of failure or total loss of HJG systems.
Critical systems will tolerate a down time of not more than two
(2) calendar days. Important and routine systems will tolerate reasonable
down time required to repair or replace the system.

 

(3)                                 
This plan provides for a
primary offsite facility at On Line Web Marketing located in St. George, Utah
where critical system operations can continue.

 

b.             
SCOPE. To ensure an effective plan exists, all
data (and some software programs/applications) must be categorized as critical,
important, or routine.

 

(1)                                 
Critical
Data – Data which HJG
could not function without.

 

(2)                                 
Important
Data – Data which has
taken a long time to develop or is one of a kind but would not stop support.
Also data /systems which would require activation if operations are curtailed
for a period over 30 days.

 

(3)                                 
Routine
Data. Data of a one time
nature that loses its value upon completion. Should it be discovered the data
is needed during the execution of this plan, it can be reprogrammed or
reconstructed within 10 man-work days.

 

c.              
ASSUMPTIONS.
This plan makes several
assumptions:

 

(1)                                 
On Line Web Marketing, on
24 hours notice, has LAN capability and can make 2 static IP’s available
for use.

 

(2)                                 
Employees of HJG have the
PC issued to them by HJG in their possession (at a minimum, the CPU).

 

(3)                                 
If evacuation is planned,
HJG will transport its servers via the most secure and expeditious manner
available to St. George, Utah.

 

2.                                      
EVENTS
INCLUDED. Many events
and situations (threats) can impact the operation of automated information
systems. These threats normally take the shape of environmental 

 

10

 

influences or internal
system abnormalities. Most emergency situations would be environmental in
nature such as fire or natural disaster. The primary concern is long-term power
outages caused by fire, water damage due to flooding or sprinkler systems, or
natural disasters resulting in damage which would require extensive restoration
(greater than one week [5 working days]).

 

a.              
The greatest potential
for damage by environmental means comes from Hurricanes which are prevalent in
this geographical area for nearly 6 months during the calendar year
(June to November). Because the physical location of HJG is below
sea-level and electrical power and telephone lines are primarily above ground,
these assumptions can be made about the aftermath of a hurricane:\

 

(1)         
Physical access to our
Building may be denied or limited for at least one week due to debris.
Access could also be denied because of hazardous material expelled from blown
transformers, leaking natural gas, or other sources.

 

(2)         
Electrical
power/telecommunications may not be restored for up to several months.

 

(3)         
Access may be
indefinitely denied in the event of levy breakage along the Mississippi river
in the New Orleans area.

 

b.             
The next threat is fire
(whether the damage occurs from fire, smoke, or water). These assumptions can
be made:

 

(1)         
Systems exposed directly
to fire or extreme heat will be damaged beyond repair and hard drives
may not be recoverable.

 

(2)         
Systems inadvertently
left powered-up during a fire evacuation or left with the power on after normal
working hours will be damaged beyond repair due to electrical arcing and hard
drives may not be recoverable.

 

(3)         
Systems not visibly
damaged will be inoperable during a two to three day dry out period if the
space was exposed to water.

 

(3)         
Depending on location,
intensity, duration and type of fire, access may be denied to working
spaces for several days due to: investigations; release of hazardous material;
or unavailability of electrical power.

 

c.              
The next threats are loss
of access to data due to system failure or introduction of a destructive virus,
worm, or time bomb.

 

(1)         
In the event of system
failure, the IT Director shall be notified to determine extent of failure.

 

(2)         
If failure is verified
and the system data cannot be recovered, the data storage unit shall be removed
and rendered inoperable by the IT Director if it contains sensitive data. If
data can be retrieved, the operator shall perform a routine backup as
stipulated in this plan and the storage device cleaned of all sensitive data.

 

11

 

(3)         
The operator shall
initiate steps to determine if the unit is currently covered by warranty or
service contract and directly arrange for the system to be repaired. If it is
determined the system is not under warranty, the IT Director shall be notified,
via a request for service, of the need for repair and ensure maintenance/repair
is scheduled and performed.

 

(4)         
If repair involves
replacement of the hard disc drive, it is the responsibility of the operator to
notify the IT Director. The IT Director will clean sensitive data and will be
verified clean by the IT Director. Once the new storage device is installed,
the IT Director or his/her designee(s) shall prepare the device to receive data
(install operating system and primary programs). The operator or IT Director
shall restore data files from the latest backup set.

 

(5)         
If failure of the system
is due to a destructive virus (or virus like phenomenon) the system will be
entirely cleaned by the responsible IT Director. All backup sets containing
data generated by the failed system shall be checked for viruses and cleaned as
necessary. The system will be certified clean by the 1T Director and if
necessary, reload operating system and primary programs.

 

3.             
EVENTS EXCLUDED.
Any unforeseen disaster or situation which would deny access for periods of
less than one week. These events include, but are not limited to: civil
disturbances, bomb threats, malicious activities by individuals or groups, and
other unforeseen events.

 

4.             
PRIORITIES. Continued
development/production/support with systems used to support YP Solutions.

 

a.
Short term priorities are
defined as projected operations from St. George, Utah for less than one month.
HJG priorities are to continue to:

 

(1)         
Provide access to HJG
mail by all its employees via the Internet;

 

(2)         
Process, track, and
provide feedback to outside staffs at St George on processing/coding/other
requests for producing online books;

 

b.             
Long
term priorities are
defined as projected operations from a location to be determined for more than
one month. Priorities in addition to short term priorities stated above, are to
continue to:

 

(1)         
Gather/report financial
information through Great Plains;

 

(2)         
Continue to update
information in the CRM, ACT, and on files designed to support Publisher sites.

 

(3)         
Manage/operate the pay,
finances, and logistics of HJG;

 

(4)         
Provide administrative
support such as domain renewals, updating and publishing directives, and other
routine admin functions.

 

12

 

5.             
DATA
CATEGORIES AND ASSIGNED RESPONSIBILITIES. Department Heads are responsible for:

 

a.              
Critical
Data – Data/programs
which HJG could not function without. The following is categorized as critical:

 

	
  DATA

  	
   

  	
  Responsible Department

  
	
  YP
  Solutions Development

  	
   

  	
  YP
  Development

  
	
  YP
  Production

  	
   

  	
  Production

  
	
  Current
  YP Solutions Data

  	
   

  	
  YP
  Dev/Production/IT

  
	
  Webboss
  Programming/Development Data

  	
   

  	
  Development/IT

  
	
  Mail
  System

  	
   

  	
  IT

  

 

b.             
Important
Data – Data which has
taken a long time to develop or is one of a kind but, if not readily available,
would not stop HJG operations. The Primary operator/originator of the data has
the responsibility to categorize data as Important because he/she is aware of
the time and effort spent to create the data and the effort it would take to
replace it. The Commander, HJG has determined the following data is IMPORTANT
and shall be subject to these provisions:

 

	
  DATA

  	
   

  	
  RESPONSIBLE DEPARTMENT

  
	
  Current
  Programs

  	
   

  	
  IT

  
	
  Current
  Inventory

  	
   

  	
  Finance/IT

  
	
  Current
  Budget and Finance Information

  	
   

  	
  Finance/IT

  
	
  Current
  Pay Information

  	
   

  	
  Finance/IT

  

 

c.              
Routine
Data. Data which is of a
one time nature that loses its value upon completion and can usually be reprogrammed
of reconstructed within 1-5 man-work days. Examples are: templates for word
processing documents, simple databases, etc...

 

6.             
Contingency
Plan Testing. A test of
this plan, at least annually, shall be performed at the discretion of the CEO.

 

7.             
Contingency
Plan Activation.
Activation of the HJG Contingency Plan will be at the verbal or written
communication of the CEO.

 

Applicability. Although this enclosure only directly applies to HJG stag, all HJG
subordinate affiliates will establish contingency plans.

 

13

 

4 January 2003

 

YPSOLUTIONS (YPS) INFORMATION
SYSTEMS (IS) CONTINGENCY(ViaWest Salt Lake

City, UT Facility /Via-SLC/)

 

1.                                     
PRELIMINARY PLANNING

 

a.              
PURPOSE
AND OBJECTIVES.

 

(1)         
To provide a written plan
for the operation of critical IS currently operating at Via-SLC at the OLWM (On
Line Web Marketing) facility in St. George, UT should the Via-SLC facility
become partially/totally inaccessible for an extended period of time.

 

(2)         
To provide critical
support functions in the event of failure or total loss of YPS Via-SLC systems.
Critical systems will tolerate a down time of not more than two(2) working
days or 16 man hours. Important and routine systems will tolerate reasonable
down time required to repair or replace the system.

 

(3)         
This plan provides for a
primary offsite facility at the offices of On Line Web Marketing (OLWM), St.
George, UT. where critical
system operations can continue within four (4) hours of said downtime.

 

b.             
SCOPE. To ensure an effective plan exists, all
data (and some software programs/applications) must be categorized as critical,
important, or routine.

 

(1)         
Critical
Data – Data which YPS
could not function without.

 

(2)         
Important
Data – Data which has
taken a long time to develop or is one of a kind but would not stop support.
Also data /systems which would require activation if operations are curtailed
for a period over 30 days.

 

(3)         
Routine
Data. Data of a one time
nature that loses its value upon completion. Should it be discovered the data
is needed during the execution of this plan, it can be reprogrammed or
reconstructed within 10 man-work days.

 

c.              
ASSUMPTIONS. This plan makes several assumptions:

 

(1)         
A complete step-by-step
plan is not currently necessary due to the small number of systems currently
covered under this plan.

 

(2)         
The personnel tasked with
completing this plan are thoroughly familiar with the system design and
software/hardware requirements and a complete step-by-step action plan is not
currently necessary. For example: Upon notification by competent authority
representing ViaWest Salt Lake City, UT, that the facility is inaccessible, YPS
personnel must change the YPSOLUTIONS.COM DNS records to reflect IP addresses
to within the OLWM facility, etc.

 

14

 

(3)         
The complexity of system
design and the number of systems will change. Therefore, a detailed testing and
audit of this plan shall be completed at least annually to ensure it’s
completeness and accuracy and to determine if detailed step-by-step planning is
necessary.

 

(4)         
The Via-SLC facility has
sustained damage to the extent that it is unusable for at least 7 working days.

 

(5)         
OLWM has LAN capability
and can make 8 static 1P’s available for use.

 

(6)         
OLWM has at least 2
servers (preferably 4) available for emergency restore of the back-up
information stored at OLWM.

 

(7)         
The event which causes
the Via-SLC Facility to become unavailable is localized to the Via-SLC facility
and does not hamper OLWM operations.

 

2.             
EVENTS INCLUDED.
Many events and situations (threats) can impact the operation of IS. These
threats normally take the shape of environmental influences or internal system
abnormalities. Most emergency situations would be environmental in nature, such
as: fire or natural disaster. The primary focus of this document is
long-term/sustained power outage and/or facility inaccessibility caused by
fire, water damage due to flooding or sprinkler systems, or natural disasters
resulting in damage which causes Via-SLC to cease operations for periods which
exceed 5 working days.

 

a.              
The greatest threat to
the Via-SLC facility is fire (whether the damage occurs from fire, smoke, or
water). These assumptions can be made:

 

(1)                                 
Systems exposed directly
to fire or extreme heat will be damaged beyond repair and hard drives
may not be recoverable.

 

(2)                                 
Systems inadvertently
left powered-up during a fire evacuation or left with the power on after normal
working hours will be damaged beyond repair due to electrical arcing and hard
drives may not be recoverable.

 

(3)                                 
Systems not visibly
damaged will be inoperable during a two to three day dry out period if the
space was exposed to water.

 

(3)                                 
Depending on location,
intensity, duration and type of fire, access may be denied for several
days due to: investigations; release of hazardous material; or unavailability
of electrical power.

 

b.             
The next threats are loss
of access to data due to system failure or introduction of a destructive virus,
worm, or time bomb.

 

(1)                                 
In the event of system
failure, the IT Director shall be notified to Determine extent of failure.

 

15

 

(2)                                 
If failure is verified
and the system data cannot be recovered, the data storage unit shall be removed
and rendered inoperable by the IT Director if it contains sensitive data. If
data can be retrieved, the operator shall perform a routine backup as
stipulated in this plan and the storage device cleaned of all sensitive data.

 

(3)                                 
The operator shall
initiate steps to determine if the unit is currently covered by warranty or
service contract and directly arrange for the system to be repaired. If it is
determined the system is not under warranty, the IT Director shall be notified,
via a request for service, of the need for repair and ensure maintenance/repair
is scheduled and performed.

 

(3)                                 
If repair involves
replacement of hard disc drives, it is the responsibility of the operator to
notify the IT Director. The IT Director will clean sensitive data and will be
verified clean by the IT Director. Once the new storage device is installed,
the IT Director or his/her designees) shall prepare the device to receive data
(install operating system and primary programs). The operator or IT Director
shall restore data files from the latest backup set.

 

(4)                                 
If failure of the system
is due to a destructive virus (or virus like phenomenon) the system will be
entirely cleaned by the responsible IT Director. All backup sets containing data
generated by the failed system shall be checked for viruses and cleaned as
necessary. The system will be certified clean by the IT Director and if
necessary, reload operating system and primary programs.

 

3.             
EVENTS EXCLUDED.
Any unforeseen disaster or situation reasonably beyond YPS’s control, which
would deny access for periods of less than 5 days. These events include, but
are not limited to: civil disturbances, bomb threats, malicious and unforeseen
activities by individuals or groups, and other unforeseen events for which YPS
reasonably could not prevent. The Via-SLC facility is responsible, by contract,
to provide access and connectivity, as stipulated by contract, for minor
interruptions.

 

4.             
PRIORITIES. Continued service to clients.

 

a.              
Short
term priorities are
defined as projected operations from OLWM for less than one month. YPS
priorities are to continue to:

 

(1)                                 
Provide access to
web-based information by the general public to the YPS online products
(ListBoss, TrafficBoss, PageBoss, Webboss) via the Internet;

 

(2)                                 
Process, track, and
provide feedback to outside staffs on processing/coding/other requests for
producing online books;

 

b.             
Long
term priorities are
defined as projected operations from a location to be determined for more than
one month. Priorities in addition to short term priorities stated above, are to
continue to:

 

(1)                                 
Provide for the complete
backup of system information and client data every 7 days;

 

16

 

(2)                                 
Provide for the
incremental backup of system information and client data on a daily basis;

 

(3)                                 
Provide administrative
support to YPS clients which may be originated through or information
provided via Via-SLC systems. For example: FTP access, database maintenance,
etc;

 

(3)                                 
Acquire the necessary
equipment and setup replication services for the purpose of load balancing.

 

(4)                                 
Re-establish reporting
procedures as defined in client service agreements.

 

5.             
DATA CATEGORIES AND ASSIGNED RESPONSIBILITIES.

 

a.              
Critical
Data – Data/programs
which YPS could not function without. The following is categorized as critical:

 

	
  DATA

  	
   

  	
  Responsible Department

  
	
  YPS
  Client Publication Information and Databases

  	
   

  	
  IT
  Dept

  
	
  YPS
  Proprietary Data and Programs

  	
   

  	
  Development

  

 

b.             
Important
Data – Data which has
taken a long time to develop or is one of a kind but, if not readily available,
would not stop YPS operations. The Primary operator/originator of the data has
the responsibility to categorize data as Important because he/she is aware of
the time and effort spent to create the data and the effort it would take to
replace it. The partners of YPS have determined the following data is IMPORTANT
and shall be subject to these provisions:

 

	
  DATA

  	
   

  	
  RESPONSIBLE Department

  
	
  Legacy
  Programs / Data

  	
   

  	
  Development

  
	
  Legacy Client Information

  	
   

  	
  IT

  
	
  Client information in the
  production process which may be stored at the Via- SLC facility

  	
   

  	
  Development\Production

  

 

c.              
Routine
Data. Data which is of a
one time nature that loses its value upon completion and can usually be
reprogrammed of reconstructed within 1-5 man-work days. Examples are: templates
for word processing documents, simple databases, etc...

 

6.              
Contingency
Plan Testing. A test of
this plan, at least annually, shall be performed at the discretion of the YPS
partners.

 

7.              
Contingency
Plan Activation.
Activation of the YPS Via-SLC Contingency Plan will be at the verbal or written
communication of the YPS partners.

 

8.              
Applicability. Although this enclosure only directly
applies to the YPS Via-SLC facility, all YPS entities will establish
contingency plans.

 

17

 

Exhibit D

 

Enhancements and Upgrades Specifications

 

The following is a list of
future product enhancements that have been discussed by YPS. The items in
section #1 below are expected for the live product launch in Las Vegas and
are to be completed on the timetable they have set forth. Section #2
consists of future enhancements that will be made available to the publisher
once they are developed. YPS will provide updates on an ongoing basis
concerning the progress of these enhancements.

 

1)             
Due in 90 - 120 days for
Live Product Launch in Las Vegas

a)             
Enhanced Searching /
Improved Search Interface

i)                
Support multiple formats
for names

ii)             
Present search results in
order of exact match, prefix match, substring match

b)            
Statistical Package

i)                
Modify to account for
Page query strings

ii)             
User-friendly
page names in statistical reports

iii)          
Add reporting for keyword
searches

c)             
Desktop Shortcut

d)            
Additional Browser Toolbar,
when downloaded, becomes a resident part of a user’s web browser

 

2)             
Future Tasks and Product
Enhancements (not listed in order of priority)

a)             
Enhanced Searching /
Improved Search Interface

i)                
Search for synonyms (I.e.
lawyer/attorney)

ii)             
Handle misspelled terms
and names

iii)          
Locate different word
forms (plumber / plumbing)

b)            
Selective “on/off’ for
URL’s, email

i)                
From unified editor, turn
on or off buttons, extra-lines across the product line

c)             
Extracting addresses from
in-column (EPS miner)

i)                
Implementing process to
extract addresses, Web Addresses, Brands, and potentially other attribute data

d)            
ListBoss Enhancements

i)                
Interactive Listing
Format Editing

ii)             
Enhanced Listing Controls

(1)         
On / Off dates

(2)         
Sort Order

iii)          
Cookie PageBoss/ListBoss
Selection - Remember Users

e)

f)               
Attribute Search

i)                
Based on data within a
Space, Display or Dynamic Ad allow end users an intuitive search mechanism

g)            
Brand Search

i)                
See Attribute Search

 

18

 

h)            
Dynamic Ad Program

i)                
Gives advertisers a tool
to both populate attributes, and have an editable one page web presence

i)                
PageBoss Wrapper Graphic
Interface Improvements

j)                
Continuing 3rd Party
application Integration (I.e. video buttons)

k)             
Proximity Searching

1)             
Point to Point driving
directions

m)          
CityBoss management
improvements

n)            
Transactional icons at
Listing Level

i) Book It button,
Schedule appointment, Buy Now

o)            
IMF automation

i)                
Given an SRT or SRT-like
database display only sold items, or turn to RL’s advertiser data where IMF not
sold

p)            
CD-ROM: Demo Complete

q)            
Modify Task manager to
allow client access

i)                
Service Order Feeds

ii)             
Change Requests

iii)          
Bug Reporting

r)               
“Satsuma”

i)                
A dynamic, fully
automated web pagination system

ii)             
Rules Based with
interactive data tagging (for when you need to break the rules)

iii)          
Table driven with
user-friendly interactive interfaces

iv)         
Powerful pagination
options

(1)         
Real-time Desktop
Application

(2)         
Real-time Web Application

(3)         
Instant repagination
after changes

(4)         
Run-time search specific
page builder

s)             
Back end editor for
PageBoss

 

19

 

Exhibit E

 

Third Party Software Utilized

 

Microsoft Office
Applications

Adobe Photoshop

Adobe Illustrator

Macromedia Freehand

Macromedia Fireworks

Macromedia Dreamweaver

Corel Draw

Ultra Edit

Visual Slick Edit

Photophilia

Librarian

Quark Express

Microsoft Interdev

Fox Pro

Yellow Magic Publishing
System

 

20

 

Exhibit F

 

Directories List

 

Publisher’s telephone
directories are identified in this Exhibit by directory publication name.
The geographic area of initial or primary distribution of each such directory
constitutes the geographic distribution area for that directory.

 

A.           
Exclusive
Area Directories (to be
completed by Publisher)

1.              
Las Vegas, NV

2.              
Central Florida North and
South Editions (Orlando/Winter Park, FL)

3.              
Naples-Collier County, FL

4.              
Punta Gorda-Port
Charlotte, FL

5.              
Ocala-Marion Countywide,
FL

6.              
Fayetteville-Cumberland
County, NC

7.              
Hunterdon Countywide, NJ

8.              
Tallahassee, FL

9.              
Charlottesville, VA

10.        
Ft. Walton Beach-Des, FL

11.        
Ft. Myers/Lee County, FL

 

B.           
Publisher’s
Directories

•                 
Issue dates are subject
to change.

•                 
List is sorted
alphabetically by State and then alphabetically by directory name.

 

	
  Issue Date

  	
   

  	
  Directory Name

  	
   

  	
  State

  
	
  June-04

  	
   

  	
  BEVERLY
  HILLS

  	
   

  	
  FL

  
	
  September-04

  	
   

  	
  BONITA
  SPRINGS/N NAPLES

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  CAPE
  CORAL-N FT MYERS

  	
   

  	
  FL

  
	
  January-04

  	
   

  	
  Central
  Fla North

  	
   

  	
  FL

  
	
  January-04

  	
   

  	
  Central
  Fla South

  	
   

  	
  FL

  
	
  June-04

  	
   

  	
  CITRUS
  COUNTYWIDE

  	
   

  	
  FL

  
	
  April-04

  	
   

  	
  CLEWISTON-MOORE
  HAVEN

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  Crestview

  	
   

  	
  FL

  
	
  June-04

  	
   

  	
  CRYSTAL
  RIVER,FL

  	
   

  	
  FL

  
	
  June-04

  	
   

  	
  DADE
  CITY,FL

  	
   

  	
  FL

  
	
  January-04

  	
   

  	
  FL
  Orlando-WtrPk-Ctl FL

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  Ft
  Walton Beach

  	
   

  	
  FL

  
	
  September-04

  	
   

  	
  GOLDEN
  GATE,FL

  	
   

  	
  FL

  
	
  October-04

  	
   

  	
  GOLDEN
  TRIANGLE,FL

  	
   

  	
  FL

  
	
  April-04

  	
   

  	
  GREATER
  LK OKEE,FL

  	
   

  	
  FL

  
	
  September-04

  	
   

  	
  GULF
  SHORE AREA,FL

  	
   

  	
  FL

  
	
  November-04

  	
   

  	
  HIGHLANDS
  CNTYWIDE

  	
   

  	
  FL

  
	
  June-04

  	
   

  	
  INVERNESS,FL

  	
   

  	
  FL

  

 

21

 

	
  September-04

  	
   

  	
  Jackson-Holmes
  Cos

  	
   

  	
  FL

  
	
  April-04

  	
   

  	
  Kissimmee-Spanish

  	
   

  	
  FL

  
	
  April-04

  	
   

  	
  Kissimmee-St
  Cld

  	
   

  	
  FL

  
	
  April-04

  	
   

  	
  LABELLE/ALVA,FL

  	
   

  	
  FL

  
	
  August-04

  	
   

  	
  Lake
  County South, FL

  	
   

  	
  FL

  
	
  October-04

  	
   

  	
  LAKE
  COUNTY,FL

  	
   

  	
  FL

  
	
  November-04

  	
   

  	
  LAKE
  PLACID, FL

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  LEE
  CNTY AREA,CLASS

  	
   

  	
  FL

  
	
  March-04

  	
   

  	
  LEE
  CNTY AREA-ALPHA

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  LEHIGH
  ACRES, FL

  	
   

  	
  FL

  
	
  June-04

  	
   

  	
  Madison-Jefferson
  Cos

  	
   

  	
  FL

  
	
  September-04

  	
   

  	
  MARCO
  ISLAND,FL

  	
   

  	
  FL

  
	
  September-04

  	
   

  	
  NAPLES,FL-ALPHA

  	
   

  	
  FL

  
	
  September-04

  	
   

  	
  NAPLES,FL-CLASS

  	
   

  	
  FL

  
	
  March-04

  	
   

  	
  OCALA-MARION
  CNTYWIDE

  	
   

  	
  FL

  
	
  October-04

  	
   

  	
  PEACE
  RIVER VALLEY

  	
   

  	
  FL

  
	
  November-04

  	
   

  	
  PUNTA
  GORDA COM

  	
   

  	
  FL

  
	
  November-04

  	
   

  	
  PUNTA
  GORDA-PT CHARLOTTE

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  S.
  FORT MYERS,FL

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  SANIBEL-CAPTIVA
  ISL, FL

  	
   

  	
  FL

  
	
  June-04

  	
   

  	
  Starke

  	
   

  	
  FL

  
	
  October-04

  	
   

  	
  SUMTER
  CNTYWIDE,FL

  	
   

  	
  FL

  
	
  December-04

  	
   

  	
  Tallahassee

  	
   

  	
  FL

  
	
  December-04

  	
   

  	
  Tallahassee

  	
   

  	
  FL

  
	
  March-04

  	
   

  	
  TRI-COUNTY
  AREA,FL

  	
   

  	
  FL

  
	
  May-04

  	
   

  	
  Volusia
  Co West

  	
   

  	
  FL

  
	
  November-04

  	
   

  	
  WILLISTON,
  FL

  	
   

  	
  FL

  
	
  February-04

  	
   

  	
  ADAMS/WELLS
  CNTIES, IN

  	
   

  	
  IN

  
	
  August-04

  	
   

  	
  DENVER,
  IN

  	
   

  	
  IN

  
	
  August-04

  	
   

  	
  FLORA-ROSSVILLE,
  IN

  	
   

  	
  IN

  
	
  March-04

  	
   

  	
  HANCOCK-HENRY
  SUB

  	
   

  	
  IN

  
	
  April-04

  	
   

  	
  JAMESTOWN,
  IN

  	
   

  	
  IN

  
	
  November-04

  	
   

  	
  JASPER/NEWTON,
  IN

  	
   

  	
  IN

  
	
  March-04

  	
   

  	
  JAY
  COUNTY, IN

  	
   

  	
  IN

  
	
  June-04

  	
   

  	
  JOHNSON
  CNTY SUB

  	
   

  	
  IN

  
	
  July-04

  	
   

  	
  KOSCIUSKO
  CNTYWIDE

  	
   

  	
  IN

  
	
  August-04

  	
   

  	
  LAFONTAINE,
  IN

  	
   

  	
  IN

  
	
  September-04

  	
   

  	
  LAGRANGE
  CNTYWIDE

  	
   

  	
  IN

  
	
  April-04

  	
   

  	
  MARSHALL
  COUNTY, IN

  	
   

  	
  IN

  
	
  May-04

  	
   

  	
  NAPPANEE,
  IN

  	
   

  	
  IN

  
	
  April-04

  	
   

  	
  STARKE/PULASKI
  COUNTIES

  	
   

  	
  IN

  
	
  July-04

  	
   

  	
  THE
  LAKES AREA,IN

  	
   

  	
  IN

  
	
  July-04

  	
   

  	
  TRI-STATE
  REG,IN

  	
   

  	
  IN

  
	
  December-04

  	
   

  	
  TWIN
  LAKES REGION,IN

  	
   

  	
  IN

  

 

22

 

	
  January-04

  	
   

  	
  UNION
  CITY, IN

  	
   

  	
  IN.

  
	
  October-04

  	
   

  	
  WHITLEY
  CNTY, IN

  	
   

  	
  IN

  
	
  March-04

  	
   

  	
  BARTON/STAFFORD
  CNTY REG

  	
   

  	
  KS

  
	
  July-04

  	
   

  	
  BELLE
  PLAINE, KS

  	
   

  	
  KS

  
	
  December-04

  	
   

  	
  BURLINGTON/OSAGE
  CITY

  	
   

  	
  KS

  
	
  January-04

  	
   

  	
  CENTRAL
  KANSAS REG,KS

  	
   

  	
  KS

  
	
  July-04

  	
   

  	
  COURTLAND-CLYDE

  	
   

  	
  KS

  
	
  June-04

  	
   

  	
  E.CENTRAL
  KANSAS REG

  	
   

  	
  KS

  
	
  March-04

  	
   

  	
  JUNCTION
  CITY,KS

  	
   

  	
  KS

  
	
  December-04

  	
   

  	
  NE
  KANSAS REG, KS

  	
   

  	
  KS

  
	
  January-04

  	
   

  	
  RUSSELL-OSBORNE,
  KS

  	
   

  	
  KS

  
	
  October-04

  	
   

  	
  SE
  KANSAS REG, KS *

  	
   

  	
  KS *

  
	
  March-04

  	
   

  	
  TURKEY
  RED REG, KS

  	
   

  	
  KS.

  
	
  December-04

  	
   

  	
  AITKIN-CROSBY,
  MN

  	
   

  	
  MN

  
	
  February-04

  	
   

  	
  ALEXANDRIA,
  MN

  	
   

  	
  MN

  
	
  March-04

  	
   

  	
  BENSON,
  MN

  	
   

  	
  MN

  
	
  August-04

  	
   

  	
  BROOKLYN
  PARK, MN

  	
   

  	
  MN

  
	
  January-04

  	
   

  	
  CHASKA/WACONIA,
  MN

  	
   

  	
  MN

  
	
  April-04

  	
   

  	
  COKATO-DASSEL
  HOWARD LK

  	
   

  	
  MN

  
	
  April-04

  	
   

  	
  GLENCOE,
  MN

  	
   

  	
  MN

  
	
  June-04

  	
   

  	
  GRANITE
  FALLS, MN

  	
   

  	
  MN

  
	
  April-04

  	
   

  	
  HASTINGS,
  MN

  	
   

  	
  MN

  
	
  January-04

  	
   

  	
  Lake
  City-Plainview

  	
   

  	
  MN

  
	
  May-04

  	
   

  	
  Lewiston,
  MN

  	
   

  	
  MN

  
	
  January-04

  	
   

  	
  Long
  Prairie, MN

  	
   

  	
  MN

  
	
  December-04

  	
   

  	
  New
  Richland, MN

  	
   

  	
  MN

  
	
  June-04

  	
   

  	
  St.
  James, MN

  	
   

  	
  MN

  
	
  October-04

  	
   

  	
  CMSU
  Campus Dir, MO

  	
   

  	
  MO

  
	
  January-04

  	
   

  	
  Golden
  Valley, MO

  	
   

  	
  MO

  
	
  August-04

  	
   

  	
  Harrisonville-Butler
  Reg

  	
   

  	
  MO

  
	
  June-04

  	
   

  	
  Jefferson
  City Reg

  	
   

  	
  MO

  
	
  April-04

  	
   

  	
  KCI
  Regional, MO

  	
   

  	
  MO

  
	
  June-04

  	
   

  	
  King
  City, MO

  	
   

  	
  MO

  
	
  September-04

  	
   

  	
  Lebanon
  Regional

  	
   

  	
  MO

  
	
  January-04

  	
   

  	
  NW
  Missouri, MO

  	
   

  	
  MO

  
	
  October-04

  	
   

  	
  Odessa-Lexington
  Reg

  	
   

  	
  MO

  
	
  December-04

  	
   

  	
  Rolla
  Regional, MO

  	
   

  	
  MO

  
	
  February-04

  	
   

  	
  Warrensburg
  Reg

  	
   

  	
  MO

  
	
  August-04

  	
   

  	
  Ahoskie,
  NC

  	
   

  	
  NC

  
	
  July-04

  	
   

  	
  Albemarle
  Area, NC

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  Asheboro

  	
   

  	
  NC

  
	
  August-04

  	
   

  	
  Clinton,
  NC

  	
   

  	
  NC

  
	
  December-04

  	
   

  	
  Dunn,
  NC

  	
   

  	
  NC

  
	
  August-04

  	
   

  	
  Duplin
  Cnty, NC

  	
   

  	
  NC

  

 

23

 

	
  October-04

  	
   

  	
  Eden-Madison

  	
   

  	
  NC

  
	
  January-04

  	
   

  	
  Elkin

  	
   

  	
  NC

  
	
  June-04

  	
   

  	
  Fayetteville,
  NC

  	
   

  	
  NC

  
	
  February-04

  	
   

  	
  Fuquay-Varina,
  NC

  	
   

  	
  NC

  
	
  March-04

  	
   

  	
  Gibsonville,
  NC

  	
   

  	
  NC

  
	
  October-04

  	
   

  	
  Greenville,
  NC

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  Havelock,
  NC

  	
   

  	
  NC

  
	
  March-04

  	
   

  	
  Henderson/Wake
  Forest

  	
   

  	
  NC

  
	
  April-04

  	
   

  	
  Hickory

  	
   

  	
  NC

  
	
  June-04

  	
   

  	
  Hillsborough

  	
   

  	
  NC

  
	
  April-04

  	
   

  	
  Jacksonville,
  NC

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  Johnston
  County, NC

  	
   

  	
  NC

  
	
  August-04

  	
   

  	
  Kernersville,
  NC

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  Kinston,
  NC 

  	
   

  	
  NC

  
	
  January-04

  	
   

  	
  Maxton/Red
  Spgs, NC

  	
   

  	
  NC

  
	
  August-04

  	
   

  	
  Mocksville

  	
   

  	
  NC

  
	
  September-04

  	
   

  	
  Moore
  Cnty Areawide

  	
   

  	
  NC

  
	
  June-04

  	
   

  	
  Morehead
  City, NC

  	
   

  	
  NC

  
	
  January-04

  	
   

  	
  Mount
  Airy

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  New
  Bern, NC

  	
   

  	
  NC

  
	
  June-04

  	
   

  	
  North
  Wilkesboro

  	
   

  	
  NC

  
	
  June-04

  	
   

  	
  Outer
  Banks, NC

  	
   

  	
  NC

  
	
  January-04

  	
   

  	
  Pittsboro/Siler
  City

  	
   

  	
  NC

  
	
  August-04

  	
   

  	
  Roanoke
  Rapids, NC

  	
   

  	
  NC

  
	
  April-04

  	
   

  	
  Rocky
  Mount, NC

  	
   

  	
  NC

  
	
  September-04

  	
   

  	
  Roxboro

  	
   

  	
  NC

  
	
  December-04

  	
   

  	
  Tarboro,
  NC

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  Troy

  	
   

  	
  NC

  
	
  March-04

  	
   

  	
  Wake
  Forest, NC

  	
   

  	
  NC

  
	
  July-04

  	
   

  	
  Walkertown

  	
   

  	
  NC

  
	
  Much-04

  	
   

  	
  Washington,
  NC

  	
   

  	
  NC

  
	
  June-04

  	
   

  	
  West
  Jefferson

  	
   

  	
  NC

  
	
  December-04

  	
   

  	
  Whiteville,
  NC

  	
   

  	
  NC

  
	
  December-04

  	
   

  	
  Williamston,
  NC

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  Wilson
  Cnty Areawide

  	
   

  	
  NC

  
	
  March-04

  	
   

  	
  Yanceyville

  	
   

  	
  NC

  
	
  November-04

  	
   

  	
  North
  Platte Valley, NE

  	
   

  	
  NE

  
	
  September-04

  	
   

  	
  Belle
  Mead-Somerville

  	
   

  	
  NJ

  
	
  January-04

  	
   

  	
  Chester-Washington

  	
   

  	
  NJ

  
	
  February-04

  	
   

  	
  Hunterdon
  Cnty

  	
   

  	
  NJ

  
	
  July-04

  	
   

  	
  Sparta-Lk
  Mohawk Area

  	
   

  	
  NJ

  
	
  July-04

  	
   

  	
  Sussex
  Cntywide

  	
   

  	
  NJ

  
	
  January-04

  	
   

  	
  Tewksbury,
  NJ

  	
   

  	
  NJ

  
	
  March-04

  	
   

  	
  Warren
  Cntywide, NJ

  	
   

  	
  NJ

  

 

24

 

	
  September-04

  	
   

  	
  Boulder
  City

  	
   

  	
  NV

  
	
  September-04

  	
   

  	
  Henderson

  	
   

  	
  NV

  
	
  January-04

  	
   

  	
  Las
  Vegas

  	
   

  	
  NV

  
	
  July-04

  	
   

  	
  Las
  Vegas

  	
   

  	
  NV

  
	
  July-04

  	
   

  	
  Las
  Vegas

  	
   

  	
  NV

  
	
  September-04

  	
   

  	
  Las
  Vegas Valley West

  	
   

  	
  NV

  
	
  January-04

  	
   

  	
  Laughlin,
  NV*

  	
   

  	
  NV *

  
	
  February-04

  	
   

  	
  New
  Residents Guide

  	
   

  	
  NV

  
	
  September-04

  	
   

  	
  North
  Las Vegas

  	
   

  	
  NV

  
	
  October-04

  	
   

  	
  Ada,
  OH

  	
   

  	
  OH

  
	
  April-04

  	
   

  	
  Adamsville-Frazeyburg

  	
   

  	
  OH

  
	
  October-04

  	
   

  	
  Bluffton,
  OH

  	
   

  	
  OH

  
	
  February-04

  	
   

  	
  Bucyrus,
  OH

  	
   

  	
  OH

  
	
  December-04

  	
   

  	
  Darke
  Cntywide, OH

  	
   

  	
  OH

  
	
  May-04

  	
   

  	
  Defiance
  Areawide, OH

  	
   

  	
  OH

  
	
  November-04

  	
   

  	
  Delphos,
  OH

  	
   

  	
  OH

  
	
  April-04

  	
   

  	
  Fulton-Henry
  Cntywide

  	
   

  	
  OH

  
	
  January-04

  	
   

  	
  Green
  Springs, OH

  	
   

  	
  OH

  
	
  August-04

  	
   

  	
  Indian
  Lake, OH

  	
   

  	
  OH

  
	
  July-04

  	
   

  	
  Jefferson/Andover
  Area

  	
   

  	
  OH

  
	
  July-04

  	
   

  	
  Lake
  Milton, OH

  	
   

  	
  OH

  
	
  October-04

  	
   

  	
  Lima
  Areawide; OH

  	
   

  	
  OH

  
	
  August-04

  	
   

  	
  Logan
  Cntywide, OH

  	
   

  	
  OH

  
	
  January-04

  	
   

  	
  McConnelsville,
  OH

  	
   

  	
  OH

  
	
  December-04

  	
   

  	
  Morrow
  Cntywide, OH

  	
   

  	
  OH

  
	
  May-04

  	
   

  	
  Mount
  Vernon, OH

  	
   

  	
  OH

  
	
  January-04

  	
   

  	
  Mt.
  Sterling, OH

  	
   

  	
  OH

  
	
  July-04

  	
   

  	
  Newton
  Falls, OH

  	
   

  	
  OH

  
	
  November-04

  	
   

  	
  Ottawa

  	
   

  	
  OH

  
	
  June-04

  	
   

  	
  Pataskala

  	
   

  	
  OH

  
	
  December-04

  	
   

  	
  Preble
  Cntywide

  	
   

  	
  OH

  
	
  November-04

  	
   

  	
  Richland-Ashland

  	
   

  	
  OH

  
	
  October-04

  	
   

  	
  Shelby
  Cntywide

  	
   

  	
  OH

  
	
  November-04

  	
   

  	
  Shelby
  Comm

  	
   

  	
  OH

  
	
  January-04

  	
   

  	
  Stony
  Ridge

  	
   

  	
  OH

  
	
  July-04

  	
   

  	
  Trumbull
  Cntywide

  	
   

  	
  OH

  
	
  August-04

  	
   

  	
  Union
  Cntywide

  	
   

  	
  OH

  
	
  October-04

  	
   

  	
  Van
  Wert

  	
   

  	
  OH

  
	
  May-04

  	
   

  	
  Warren
  Cnty Areawide

  	
   

  	
  OH

  
	
  January-04

  	
   

  	
  Wayne-Holmes
  Cntywide

  	
   

  	
  OH

  
	
  November-04

  	
   

  	
  Cntrl &
  N Oregon Coast

  	
   

  	
  OR

  
	
  June-04

  	
   

  	
  Columbia
  Gorge

  	
   

  	
  OR

  
	
  October-04

  	
   

  	
  Sheridan-Carlton

  	
   

  	
  OR

  
	
  November-04

  	
   

  	
  Tillamook
  Cntywide

  	
   

  	
  OR

  

 

25

 

	
  September-04

  	
   

  	
  Upper
  Rogue

  	
   

  	
  OR

  
	
  October-04

  	
   

  	
  Bedford
  County

  	
   

  	
  PA

  
	
  August-04

  	
   

  	
  Beech
  Creek-Mill Hall

  	
   

  	
  PA

  
	
  December-04

  	
   

  	
  Butler
  Cntywide

  	
   

  	
  PA

  
	
  July-04

  	
   

  	
  Chambersburg

  	
   

  	
  PA

  
	
  December-04

  	
   

  	
  Cranberry/Wexford
  Area

  	
   

  	
  PA

  
	
  April-04

  	
   

  	
  Cumberland
  Cntywide

  	
   

  	
  PA

  
	
  November-04

  	
   

  	
  Elizabethtown

  	
   

  	
  PA

  
	
  September-04

  	
   

  	
  Gettysburg

  	
   

  	
  PA

  
	
  September-04

  	
   

  	
  Hanover

  	
   

  	
  PA

  
	
  May-04

  	
   

  	
  Juniata
  Valley Areawide

  	
   

  	
  PA

  
	
  May-04

  	
   

  	
  Perry
  Cnty

  	
   

  	
  PA

  
	
  December-04

  	
   

  	
  Slippery
  Rock

  	
   

  	
  PA

  
	
  October-04

  	
   

  	
  Southern
  Blair

  	
   

  	
  PA

  
	
  July-04

  	
   

  	
  Waynesboro

  	
   

  	
  PA

  
	
  July-04

  	
   

  	
  Beaufort

  	
   

  	
  SC

  
	
  February-04

  	
   

  	
  Greenwood
  Reg

  	
   

  	
  SC

  
	
  April-04

  	
   

  	
  Hampton-Estill

  	
   

  	
  SC

  
	
  July-04

  	
   

  	
  Holly
  Hill

  	
   

  	
  SC

  
	
  November-04

  	
   

  	
  Ridgeland

  	
   

  	
  SC

  
	
  January-04

  	
   

  	
  SALUDA,
  SC

  	
   

  	
  SC

  
	
  November-04

  	
   

  	
  EAST
  TENN STATE UNIV

  	
   

  	
  TN

  
	
  November-04

  	
   

  	
  ELIZABETHTON,
  TN

  	
   

  	
  TN

  
	
  September-04

  	
   

  	
  ERWIN-UNICOI
  CNTY

  	
   

  	
  TN

  
	
  June-04

  	
   

  	
  GREENEVILLE,
  TN

  	
   

  	
  TN

  
	
  October-04

  	
   

  	
  JONESBOROUGH,
  TN

  	
   

  	
  TN

  
	
  November-04

  	
   

  	
  MOUNTAIN
  CITY, TN

  	
   

  	
  TN

  
	
  February-04

  	
   

  	
  TRI-CITIES/BRISTOL

  	
   

  	
  TN

  
	
  October-04

  	
   

  	
  TRI-CITIES/JOHNSON
  CITY

  	
   

  	
  TN

  
	
  June-04

  	
   

  	
  TRI-CITIES/KINGSPORT

  	
   

  	
  TN

  
	
  January-04

  	
   

  	
  BULLARD,TX

  	
   

  	
  TX

  
	
  June-04

  	
   

  	
  CEDAR
  CREEK LAKE AREA

  	
   

  	
  TX

  
	
  January-04

  	
   

  	
  CLIFTON,
  TX

  	
   

  	
  TX

  
	
  December-04

  	
   

  	
  COMMERCE/COOPER

  	
   

  	
  TX

  
	
  September-04

  	
   

  	
  GATESVILLE-HAMIITON

  	
   

  	
  TX

  
	
  January-04

  	
   

  	
  GRIMES
  CNTY AREA, TX

  	
   

  	
  TX

  
	
  August-04

  	
   

  	
  GROESBECK
  AREA, TX

  	
   

  	
  TX

  
	
  June-04

  	
   

  	
  HENDERSON
  CNTY AREA

  	
   

  	
  TX

  
	
  January-04

  	
   

  	
  Humble,
  TX

  	
   

  	
  TX

  
	
  May-04

  	
   

  	
  Kaufman,
  TX

  	
   

  	
  TX

  
	
  May-04

  	
   

  	
  Killeen/Ft
  Hood Area

  	
   

  	
  TX

  
	
  July-04

  	
   

  	
  Overton/Troup
  Area

  	
   

  	
  TX

  
	
  September-04

  	
   

  	
  Palestine/Anderson
  Cnty

  	
   

  	
  TX

  
	
  December-04

  	
   

  	
  Palo
  Pinto County

  	
   

  	
  TX

  

 

26

 

	
  July-04

  	
   

  	
  Pettus,
  TX

  	
   

  	
  TX

  
	
  June-04

  	
   

  	
  Salado,
  TX

  	
   

  	
  TX

  
	
  December-04

  	
   

  	
  Stephenville
  Reg,

  	
   

  	
  TX

  
	
  December-04

  	
   

  	
  Stockdale,

  	
   

  	
  TX

  
	
  June-04

  	
   

  	
  West
  Columbia, TX

  	
   

  	
  TX

  
	
  July-04

  	
   

  	
  Wise
  Cnty Area, TX

  	
   

  	
  TX

  
	
  February-04

  	
   

  	
  Abingdon,
  VA

  	
   

  	
  VA

  
	
  May-04

  	
   

  	
  Altavista

  	
   

  	
  VA

  
	
  August-04

  	
   

  	
  Bachelors
  Hall

  	
   

  	
  VA

  
	
  August-04

  	
   

  	
  Brookneal

  	
   

  	
  VA

  
	
  December-04

  	
   

  	
  Charlottesville

  	
   

  	
  VA

  
	
  December-04

  	
   

  	
  Charlottesville

  	
   

  	
  VA

  
	
  December-04

  	
   

  	
  Farmville

  	
   

  	
  VA

  
	
  January-04

  	
   

  	
  Front
  Royal

  	
   

  	
  VA

  
	
  Feb-04

  	
   

  	
  Galax-Hillsville

  	
   

  	
  VA

  
	
  January-04

  	
   

  	
  Lexington

  	
   

  	
  VA

  
	
  August-04

  	
   

  	
  Luray

  	
   

  	
  VA

  
	
  April-04

  	
   

  	
  Marion,
  VA

  	
   

  	
  VA

  
	
  June-04

  	
   

  	
  Martinsville

  	
   

  	
  VA

  
	
  August-04

  	
   

  	
  Montpelier

  	
   

  	
  VA

  
	
  November-04

  	
   

  	
  Notwy
  Lunbrg Cty

  	
   

  	
  VA

  
	
  December-04

  	
   

  	
  Rocky
  Mount

  	
   

  	
  VA

  
	
  September-04

  	
   

  	
  South
  Boston

  	
   

  	
  VA

  
	
  January-04

  	
   

  	
  South
  Hill

  	
   

  	
  VA

  
	
  December-04

  	
   

  	
  Wythe
  Cnty-Bland Cnty

  	
   

  	
  VA

  
	
  March-04

  	
   

  	
  Lower
  Yakima Valley

  	
   

  	
  WA

  
	
  March-04

  	
   

  	
  Lower
  Yakima Vly Spanish

  	
   

  	
  WA

  
	
  August-04

  	
   

  	
  Poulsboro/Bainbridge
  Isl

  	
   

  	
  WA

  
	
  January-04

  	
   

  	
  Quilcene,
  WA

  	
   

  	
  WA

  

 

27

 

Exhibit G

 

Protect Compensation Schedule

 

	
  Service or Item Purchased

  	
   

  	
  Cost

  
	
  Initial
  Conversion Set-up Fee

  A one
  time programming fee for writing a conversion from the Publisher/Sprint
  publishing system to the data format utilized by ITS to produce “ListBoss “
  and “PageBoss”

  	
   

  	
  [***]
  for Yellow Pages

  [***]
  for White Pages

  
	
   

  	
   

  	
   

  
	
  Annual
  Fee per Directory

  This is
  an annual fee for publishing your book specific data in HTML in both the
  “ListBoss” and “PageBoss” formats. The fee covers all software and labor costs
  for provisioning and quality assurance proofing. The fee is per co-bound book

  	
   

  	
  [***]
  annually for each directory

  A
  directory is defined as a co-bound book If there are separate editions of
  white and yellow, there would be 2 provisioning fees for that market

  
	
   

  	
   

  	
   

  
	
  Portal
  Content Fee

  Includes
  Banner Management Software (CityBoss Product)

  	
   

  	
  [***]
  per month per portal 

  (Basic Package)

  
	
   

  	
   

  	
   

  
	
  Banner
  Advertising

  Banner
  Management Software is included in Portal Content Fee

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  
	
  Additional
  Portal Content

  Movie Listing

  T.V. Listing

  Coupon Software

  	
   

  	
   

  [***]
  per month per portal

  [***]
  per month per portal

  [***]
  per month per portal

  
	
   

  	
   

  	
   

  
	
  Cost
  to Add Content to “CityBoss” Product

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  
	
  Transactional
  Content

  This is
  a revenue sharing product

   

   

  Hotel Reservations

  Golf Tee Times

  Car Rentals

  Apartment Finder

  Event Tickets

  Room Mate Finder

  Job Finder

  	
   

  	
  [***]

  Revenue Shared - this will be negotiated prior to
  implementation of product, however the amounts below are the minimum that
  would be expected

  Publisher
  receives [***] of room rate

  [***]
  per round booked

  [***]
  per booking

  [***]
  split on profit

  [***]
  of booking price

  [***]
  split on profit

  [***]
  split on profit

  
	
   

  	
   

  	
   

  
	
  Developing
  Automation of Coupon Links within the directory advertisements

  	
   

  	
  One
  Time Charge of [***]

  

 

28

 

	
  Service or Item Purchased

  	
   

  	
  Cost

  
	
  Create
  YPS Standard Community Portal per Book

  This is
  creating the Community portal for each book based on the template that is
  developed by R.H. Donnelley marketing. 

  	
   

  	
  [***]

  •                 
  Assuming
  the format does not change dramatically from market to market, there is
  [***].

  •                 
  If
  excess work is required an hourly development rate of [***] will be charged.

  
	
   

  	
   

  	
   

  
	
  Monthly
  Maintenance Fee

  Includes
  Server Space, Bandwidth Server Maintenance, Data Storage and technical
  support and product enhancement, as they become available. This is a monthly
  fee.

  	
   

  	
  [***]
  per page yellow

  [***]
  per page community

  [***]
  per page coupon

  [***]
  per page white

  [***]
  per page government

  (any
  other pages will be negotiated with pricing based on graphic content)

  
	
   

  	
   

  	
   

  
	
  Standard
  Books Tabs

  (Base
  package includes 3 tabs per portal)

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  
	
  Additional
  Tabs

  	
   

  	
  [***]
  annually per tab

  
	
   

  	
   

  	
   

  
	
  Iconic
  buttons

  These
  are referred to as “Web Buttons”. They are located within the advertisers ad
  or listing

  	
   

  	
  Per
  Quote

  This
  product is currently not being considered.

  
	
   

  	
   

  	
   

  
	
  Pop
  Up Menus

  Located
  within the advertisers ad or listing and when “moused over” will produce a
  “pop-up” box that will allow the consumer to perform multiple functions
  such as linking to an advertisers Web Site or emailing an advertiser through
  the use of Iconic buttons.

  	
   

  	
  One
  Time Charge of [***]

  
	
   

  	
   

  	
   

  
	
  Mapping
  Set up Fee

  This is
  mapping for the “PageBoss” and “ListBoss “ product

  	
   

  	
  [***]
  per directory

  This is
  a one time charge per book

   

  
	
   

  	
   

  	
   

  
	
  Maps
  in Community pages/ Front of Book Setup Fees

  Mappoint.net
  technology

  	
   

  	
  [***]
  per grid

  This is a one time charge
  per book. A grid is defined as the on line version of the map

  
	
   

  	
   

  	
   

  
	
  Mapping

  	
   

  	
  [***]
  per draw

  Mapping
  will be purchased in groups of [***] draws or [***]  The pool of prepaid
  draws is for all directories.

  

 

29

 

	
  Service or Item Purchased

  	
   

  	
  Cost

  
	
  Manual
  linking

  If email address is
  embedded in graphic a manual process would need to occur to enable or disable
  the hyperlink as needed

  	
   

  	
  [***]
  per occurrence

  
	
   

  	
   

  	
   

  
	
  Correction
  of product errors

  These are errors in the
  on-line product which require correction. Corrections can require different
  levels of effort by YPS. More detailed pricing can be found in the Customer
  Service Matrix.

   

  Minimum Effort

  Major Effort

  	
   

  	
   

   

  

  

  

  

  [***] per occurrence

  Per Quote

  
	
   

  	
   

  	
   

  
	
  Customer
  Service Rate

  This is
  to provide technical customer service functions for either the customer or
  the company

  	
   

  	
  [***]

  Price is
  included in the Monthly Maintenance Fees

  
	
   

  	
   

  	
   

  
	
  Web
  Optimization Program

  Combination search engine
  optimization and “pay per placement” strategies.

   

  Web Optimization .

  •                 
  Submission of site with
  major search engines and online directories

  •                 
  Development of site
  through HTML elements to optimize traffic within search engines.

  •                 
  Pay for Placement
  analysis / recommendations

  •                 
  Keyword phrase for top,
  50 categories for each market

  	
   

  	
  Per
  Quote

  This
  product is currently not being considered.

   

   

   

  •                 
  [***]

   

  •                 
  [***]

   

  •                 
  Per Quote

  •                 
  [***] per phrase for
  Las Vegas Prototype only; future additional directories to be discussed based
  on results.

  
	
   

  	
   

  	
   

  
	
  Initial
  Sales Training

  Two days at no charge,
  however travel expenses are billed at actual cost incurred

  Training consists of:

  •                 
  Internet
  - Directory industry background

  •                 
  Introduction
  to Internet directory

  •                 
  Specific
  product training

  •                 
  ListBoss

  •                 
  PageBoss

  	
   

  	
  [***]
  for training

  Travel
  Expenses are billed as incurred

  

 

30

 

	
  Service or Item Purchased

  	
   

  	
  Cost

  
	
  •                 
  Portal
  (CityBoss)

  •                 
  Discussion
  of other IYP infrastructure functionality products, and any third party
  products now provisioned and as available

  •                 
  Intro
  to prep and presentation skills for Internet products

  •                 
  Role
  play

   

  NOTE: This is a one-time offer and is recommended for
  senior managers, trainers, sales managers, sales representatives and
  marketing team.

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Additional
  Sales Training

  1.                                      
  Classroom training
  per day:

  •                 
  For
  10 attendees

  •                 
  Additional
  attendees

  •                 
  Travel
  Expenses

  2.                                      
  Field Training

  •                 
  Base
  Fee

  •                 
  Travel
  expenses

  3.                                      
  Consulting (after
  Initial Training)

  •                 
  Phone
  Marketing and Sales Consulting

  •                 
  WebEx
  teleconferencing training

  •                 
  On
  location consulting

   

  NOTE: There is a one day minimum for the on-location sales
  training course and a three-day minimum for the field training

  	
   

  	
  Charges
  are detailed below by Service

   

  •                 
  [***] base fee

  •                 
  [***] per day per additional attendee

  •                 
  Travel
  Expenses are billed as incurred

   

  •                 
  [***] base fee

  •                 
  Travel
  Expenses are billed as incurred

   

  •                 
  [***] per hour

  •                 
  [***] per hour

  •                 
  [***] per day

   

  
	
   

  	
   

  	
   

  
	
  Initial
  Technical Training

   

  	
   

  	
  [***]

  Travel Expenses are billed as incurred

  
	
   

  	
   

  	
   

  
	
  Usage and Tracking
  Statistics Reporting Standard reports consist of but not limited too:

  Who’s On

  Session
  Per Hour

  Page Views
  by Hour

  Page Views
  by Page

  Page Views
  by State

  Top 50
  Cities

  Top 50
  Categories

  	
   

  	
  [***]

  
	
   

  	
   

  	
   

  
	
  Software
  Upgrades

  	
   

  	
  [***]

  Price is
  included in the Monthly

   

  

 

31

 

	
  Service or Item Purchased

  	
   

  	
  Cost

  
	
   

  	
   

  	
  Maintenance
  Fees

  
	
   

  	
   

  	
   

  
	
  Product
  Enhancements

  Offered
  by YPS

  	
   

  	
  [***]

  Price is
  included in the Monthly

  Maintenance
  Fees

  
	
   

  	
   

  	
   

  
	
  Product
  Enhancements

  Requested
  by R.H. Donnelley for 

  exclusive use

  	
   

  	
  Quoted
  Price

  
	
   

  	
   

  	
   

  
	
  Archiving
  Expenses

  Archived
  ListBoss and PageBoss 

  views

  	
   

  	
  [***]
  per back up

  [***]
  per Gigabyte of data accessed

  
	
   

  	
   

  	
   

  
	
  Development
  Fee

  For any
  development not part of

  Future
  Enhancements or new

  versions
  of software distributed by

  YPS

  	
   

  	
  [***]
  per hour

   

   

  
	
   

  	
   

  	
   

  
	
  Desktop
  Shortcut Development

  	
   

  	
  [***]

  Part of
  future enhancements that

  are
  being implemented

  
	
   

  	
   

  	
   

  
	
  Additional
  Browser Toolbar

  	
   

  	
  [***]

  Part of
  future enhancements that

  are
  being implemented

  
	
   

  	
   

  	
   

  
	
  Monthly
  System Availability Report

  	
   

  	
  [***]

  Included
  in standard CityBoss

  functionality

  

 

32

 

Exhibit H

 

Preferred Escrow Agreement

 

See attached.

 

33

 

PREFERRED ESCROW AGREEMENT

 

Deposit Account Number   25227

 

This agreement (“Agreement”)
is effective May 20, 2004 among DSI Technology Escrow Services, Inc.
(“DSI”), YP Web Partners, L.L.C,, d/b/a YPSolutions (“Depositor”) and R.H.
Donnelley Publishing & Advertising, Inc. (“Preferred
Beneficiary”), who collectively may be referred to in this Agreement as
the parties (“Parties”), or individually as a party (“Party”).

 

A.                                  
Depositor and Preferred
Beneficiary have entered or will enter into an Internet Services Agreement
dated June    , 2003 regarding certain proprietary
technology of Depositor (referred to in this Agreement as the “Internet
Services Agreement”).

 

B.                                    
Depositor desires to
avoid disclosure of its proprietary technology except under certain limited
circumstances.

 

C.                                    
The availability of the
proprietary technology of Depositor is critical to Preferred Beneficiary in the
conduct of its business and, therefore, Preferred Beneficiary needs access to
the proprietary technology under certain limited circumstances.

 

D.                                   
Depositor and Preferred
Beneficiary desire to establish an escrow with DSI to provide for the
retention, administration and controlled access of the proprietary technology
materials of Depositor.

 

E.                                     
The parties desire this
Agreement to be supplementary to the Internet Services Agreement pursuant to 11
United States [Bankruptcy] Code, Section 365(n).

 

ARTICLE 1 — DEPOSITS

 

1.1                                
Obligation to Make
Deposit. Upon the signing of
this Agreement by the parties, Depositor shall deliver to DSI the proprietary
technology and other materials (“Deposit Materials”) required to be deposited
by the Internet Services Agreement or, if the Internet Services Agreement does
not identify the materials to be deposited with DSI, then such materials will
be identified on Exhibit A to this Agreement. If Exhibit A is
applicable, it is to be prepared and signed by Depositor and Preferred Beneficiary.
DSI shall have no obligation to either of the other Parties with respect to the
preparation, accuracy, execution, signing, delivery or validity of
Exhibit A.

 

1.2                                
Identification of
Tangible Media. Prior to the
delivery of the Deposit Materials to DSI, Depositor shall conspicuously label
for identification each document, magnetic tape, disk, or other media upon
which the Deposit Materials are written or stored. Additionally, Depositor
shall complete Exhibit B to this Agreement by listing each such medium by
the item label description, the type of medium and the quantity. Exhibit B
shall be signed by Depositor and delivered to DSI with the Deposit Materials.
Unless and until Depositor makes the initial deposit with DSI, DSI shall have
no obligation with respect to this Agreement, except the obligation to notify
the Parties regarding the status of the account as required in Section 2.2
below.

 

 

1.3                                
Acceptance of Deposit. When DSI receives the Deposit Materials in
Exhibit B, DSI will conduct a visual deposit inspection. At completion of
the deposit inspection, if DSI determines that the labeling of the media
matches the item descriptions and quantity on Exhibit B, DSI will date and
sign Exhibit B and mail a copy thereof to Depositor and Preferred
Beneficiary. If DSI determines that the labeling does not match the item
descriptions or quantity on Exhibit B, DSI will (a) note the
discrepancies in writing on Exhibit B; (b) date and sign
Exhibit B with the exceptions noted; and (c) mail a copy of
Exhibit B to Depositor and Preferred Beneficiary. DSI’s acceptance of the
deposit occurs upon the signing of Exhibit B by DSI. Delivery of the
signed Exhibit B to Preferred Beneficiary is Preferred Beneficiary’s notice
that the Deposit Materials have been received and accepted by DSI. OTHER THAN
DSI’S INSPECTION OF THE DEPOSIT MATERIALS, AS DESCRIBED ABOVE, DSI SHALL HAVE
NO OBLIGATION REGARDING THE ACCURACY, COMPLETENESS, FUNCTIONALITY, PERFORMANCE
OR NON-PERFORMANCE OF THE DEPOSIT MATERIALS.

 

1.4                                
Depositor’s
Representations. During the
term of this Agreement, Depositor represents as follows:

 

a.                                      
Depositor lawfully
possesses all of the Deposit Materials deposited with DSI;

 

b.                                     
With respect to all of
the Deposit Materials and any materials provided solely for verification
pursuant to Section 1.5 of the Agreement (“Test Materials”), Depositor has
the right and authority to grant to DSI and Preferred Beneficiary the rights as
provided in this Agreement, provided further that DSI’s or its independent
contractor’s use of any Deposit Materials or Test Materials, pursuant to
Section 1.5 of this Agreement, is lawful and does not violate the rights
of any third parties;

 

c.                                      
As of the effective date
of this Agreement, the Deposit Materials are not the subject of any specific
liens or encumbrances, however, any liens or encumbrances made after the
execution of this Agreement will not prohibit, limit, or alter the rights and
obligations of DSI under this Agreement;

 

d.                                     
The Deposit Materials
consist of the proprietary technology and other materials identified either in
the Internet Services Agreement, Exhibit A, or Exhibit B, as the case
may be; and

 

e.                                      
The Deposit Materials are
readable and useable in their current form or, if any portion of the
Deposit Materials is encrypted, the decryption tools and decryption keys have
also been deposited.

 

1.5                                
Available Verification
Services. Upon receipt of a
written request from Preferred Beneficiary, DSI and Preferred Beneficiary
may enter into a separate proposal agreement (“Statement of Work”)
pursuant to which DSI will agree, upon certain terms and conditions, to inspect
the Deposit Materials consistent with one or several of the levels of
verification described in the attached Technical Verification Options.
Depositor consents to DSI’s performance of any level(s) of verification
described in the attached Technical Verification Options. Depositor shall
reasonably cooperate with DSI by providing its facilities, computer, software
systems, and 

 

 

technical support personal
for verification; however, it is understood that DSI will make reasonable
efforts not to create undue interference with Depositor’s personnel, work or
workplace. Depositor shall provide such cooperation under Level I and Level II
of the attached Technical Verification Options free of charge. Depositor shall
also provide assistance under Level III free of charge for up to five
(5) hours a week not to exceed an aggregate of 20 hours. Thereafter,
Preferred Beneficiary agrees to compensate Depositor for services to assist DSI
with its verification services at an hourly charge of $75. If a verification is
elected after the Deposit Materials have been delivered to DSI, then only DSI,
or, at DSI’s election, an independent contractor or company selected by DSI,
may perform the verification.

 

1.6                                
Deposit Updates. Depositor shall, every six months or within
30 days of a major software release, deposit updates to the Deposit Materials,
which updates shall contain updates, upgrades, or other revisions of the
portions of the Deposit Materials that have been put into service. Such updates
will be added to the existing deposit. All deposit updates shall be listed on a
new Exhibit B and Depositor shall sign the new Exhibit B. Each
Exhibit B will be held and maintained separately within the escrow
account. An independent record will be created by DSI which will document the
activity for each Exhibit B. Any deposit updates shall be held in
accordance with Sections 1.2 through 1.4 above. All references in this
Agreement to the Deposit Materials shall include the initial Deposit Materials
and any updates.

 

1.7                                
Removal of Deposit
Materials. The Deposit
Materials may be removed and/or exchanged only on written instructions
signed by Depositor and Preferred Beneficiary, or as otherwise provided in this
Agreement.

 

ARTICLE 2 — CONFIDENTIALITY AND RECORD KEEPING

 

2.1                                
Confidentiality. DSI shall have the obligation to reasonably
protect the confidentiality of the Deposit Materials. Except as provided in
this Agreement or any subsequent agreement between the Parties, including
without limitation Section 1.5, DSI shall not copy, disclose, transfer,
make available or use the Deposit Materials. DSI shall obtain Depositor’s
written consent before sharing any Deposit Materials with an independent
contractor; provided that if DSI has obtained the independent contractor’s
agreement thereto in writing, no additional consent shall be necessary. If DSI
receives a subpoena or any other order from a court or other judicial tribunal
pertaining to the disclosure or release of the Deposit Materials, DSI will
immediately notify the parties to this Agreement unless prohibited by law. It
shall be the responsibility of Depositor and/or Preferred Beneficiary to
challenge any such order; provided, however, that DSI does not waive its rights
to present its position with respect to any such order. DSI will not be
required to disobey any order from a court or other judicial tribunal,
including, but not limited to, notices delivered pursuant to Section 7.6
below.

 

2.2                                
Status Reports. DSI shall provide to Depositor and
Preferred Beneficiary a report profiling the account history semiannually.

 

ARTICLE 3 — RIGHT TO MAKE COMM

 

3.1                                
Right to Make Copies. DSI shall have the right to make copies of
the Deposit Materials as reasonably necessary to perform this Agreement.
DSI shall copy all copyright, nondisclosure, 

 

 

and other proprietary
notices and titles contained on the Deposit Materials onto any copies made by
DSI. With all Deposit Materials submitted to DSI, Depositor shall provide any
and all instructions as may be necessary to duplicate the Deposit
Materials, including, but not limited to, the hardware and/or software needed,
Any copying expenses incurred by DSI as a result of a request to copy will be
borne by the Party requesting the copies. Alternatively, DSI may notify Depositor
requiring its reasonable cooperation in promptly copying the Deposit Materials
in order for DSI to perform this Agreement.

 

ARTICLE 4 — RELEASE OF DEPOSIT

 

4.1                                
Release Conditions.

 

On the happening of any
Release Condition, Preferred Beneficiary will give written notice to DSI with a
copy to Depositor, specifying the event, and Depositor or the escrow agent will
thereupon and pursuant to sections 4.2, 4.3 and 4.4, promptly deliver to
Preferred Beneficiary the Deposit Materials, including without limitation all
deposited Rendering Programs (as defined in the Internet Services Agreement)
source code and related escrowed materials.

 

As used in this Agreement,
“Release Condition” shall mean the following:

 

(i)                                    
Depositor is unable or
unwilling to correct, within thirty (30) days of Depositor’s receipt of notice
thereof, any material breach of this Agreement or the Internet Services
Agreement;

 

(ii)                                 
Depositor is unable or
unwilling to provide the updates, upgrades, modifications, or revisions to the
Rendering Programs that have been put into service by Depositor, or the other
support services required under the Internet Services Agreement;

 

(iii)                              
Any sale, assignment, or
other transfer of Depositor’s rights to the Depositor Rendering Programs,
without the prior written consent of Preferred Beneficiary, if such transfer
would prevent Depositor from discharging its obligations under this Agreement
or the Internet Services Agreement;

 

(iv)                             
Depositor becomes
insolvent, makes a general assignment for the benefit of creditors, or becomes
the subject of a voluntary or involuntary petition in bankruptcy, or if a receiver,
trustee, or custodian is appointed for Depositor’s business, or if Depositor’s
assets become subject to any proceedings under any bankruptcy or insolvency
law, or if Depositor has wound up or liquidated its business; or

 

(v)                                
Joint written
instructions from Depositor and Preferred Beneficiary.

 

4.2                                
Filing For Release. If Preferred Beneficiary believes in good
faith that a Release Condition has occurred, Preferred Beneficiary
may provide to DSI written notice of the occurrence of the Release
Condition, stating therein the particular Release Condition that occurred, and
a request for the release of the Deposit Materials. Such notice shall be signed
by the Preferred Beneficiary and on company letterhead. Unless DSI acknowledges
or discovers 

 

 

independently, or through
the Parties, its need for additional documentation or information in order to
comply with this Section, DSI shall promptly provide a copy of the notice to
Depositor by commercial express mail. Such need for additional documentation or
information may extend the time period for DSI’s performance under this
Section.

 

4.3                                
Contrary Instructions. From the date DSI mails the notice
requesting release of the Deposit Materials, Depositor shall have five
(5) business days to deliver to DSI contrary instructions (“Contrary
Instructions”). Contrary Instructions shall mean the written representation by
Depositor that a Release Condition has not occurred or has been cured. Contrary
Instructions shall be signed by Depositor and on company letterhead. Upon
receipt of Contrary Instructions, DSI shall promptly send a copy to Preferred
Beneficiary by commercial express mail. Additionally, DSI shall notify both
Depositor and Preferred Beneficiary that there is a dispute to be resolved
pursuant to Section 7.4 of this Agreement. Subject to Section 5.2 of
this Agreement, DSI will continue to store the Deposit Materials without
release pending (a) joint instructions from Depositor and Preferred
Beneficiary; (b) dispute resolution pursuant to Section 7.4; or
(c) an order from a court of competent jurisdiction.

 

4.4                                
Release of Deposit. If DSI does not receive Contrary
Instructions from the Depositor, DSI is authorized to release the Deposit
Materials to the Preferred Beneficiary or, if more than one beneficiary is
registered to the deposit, to release a copy of the Deposit Materials to the
Preferred Beneficiary. However, DSI is entitled to receive any fees due DSI
before making the release. Any copying expenses will be chargeable to Preferred
Beneficiary. This Agreement will terminate upon the release of the Deposit
Materials held by DSI.

 

4.5                                
Right to Use Deposit Materials. Preferred Beneficiary shall have the right
to use the Deposit Materials only for the Permitted Use thereof, as provided in
the Internet Services Agreement. Preferred Beneficiary shall be obligated to
maintain the confidentiality of the released Deposit Materials.

 

ARTICLE 5 — TERM AND TERMINATION

 

5.1                                
Term of Agreement. The initial term of this Agreement is for a
period of one year. Thereafter, this Agreement shall automatically renew from
year to year unless (a) Depositor and Preferred Beneficiary jointly
instruct DSI in writing that the Agreement is terminated; (b) DSI
instructs Depositor and Preferred Beneficiary in writing after its renewal date
that the Agreement is terminated for nonpayment in accordance with Section 5.2;
or (c) DSI reserves the right to terminate this Agreement, for any reason,
other than for nonpayment, by providing Depositor and Preferred Beneficiary
sixty (60) days written notice of its intent to terminate this Agreement. If
the Deposit Materials are subject to another escrow agreement with DSI, DSI
reserves the right, after the initial one year term, to adjust the anniversary
date of this Agreement to match the then prevailing anniversary date of such
other escrow arrangements.

 

5.2                                
Termination for
Nonpayment . In the event of
the nonpayment of fees owed to DSI, DSI shall provide written notice of
delinquency to all parties to this Agreement. Any party to this Agreement shall
have the right to make the payment to DSI to cure the default. If the past due
payment is not received in full by DSI within one (1) month of the date of
such notice, then DSI shall have the right to terminate this Agreement at any
time thereafter by sending written notice 

 

 

of termination to all
parties. DSI shall have no obligation to take any action under this Agreement
so long as any payment due to DSI remains unpaid.

 

5.3                                
Disposition of Deposit
Materials Upon Termination.
Subject to the foregoing termination provisions, and upon termination of this
Agreement, DSI shall destroy, return, or otherwise deliver the Deposit
Materials in accordance with Depositor’s instructions. If there are no
instructions from Depositor after DSI’s notice of intent to terminate, DSI may,
at its sole discretion, destroy the deposit materials or return them to
Depositor. DSI shall have no obligation to destroy or return the Deposit
Materials if the Deposit Materials are subject to another escrow agreement with
DSI or have been released to the Preferred Beneficiary in accordance with
Section 4.4.

 

5.4                                
Survival of Terms
Following Termination. Upon
termination of this Agreement, the following provisions of this Agreement shall
survive:

 

a.                                      
The obligations of
confidentiality with respect to the Deposit Materials;

 

b.                                     
The obligation to pay DSI
any fees and expenses due;

 

c.                                      
The provisions of Article 7;
and

 

d.                                     
Any provisions in this
Agreement which specifically state they survive the termination of this
Agreement.

 

ARTICLE 6 — DSI’S FEES

 

6.1                                
Fee Schedule. DSI is entitled to be paid its standard
fees and expenses applicable to the services provided. DSI shall notify the
party responsible for payment of DSI’s fees at least sixty (60) days prior to
any increase in fees. For any service not listed on DSI’s standard fee schedule,
DSI will provide a quote prior to rendering the service, if requested.

 

6.2                                
Payment Terms. DSI shall not be required to
perform any service, including release of any Deposit Materials under
Article 4, unless the payment for such service and any outstanding
balances owed to DSI are paid in full. Initial fees are due upon receipt of a
signed contract or receipt of the Deposit Materials whichever is earliest.
Payments on all renewal and services invoices are due net thirty (30) days from
date of invoice. If invoiced fees are not paid, DSI may terminate this
Agreement in accordance with Section 5.2.

 

ARTICLE 7 — LIABILITY AND DISPUTES

 

7.1                                
Right to Rely on
Instructions. DSI
may act in reliance upon any instruction, instrument, or signature
reasonably believed by DSI to be genuine. Depositor and Preferred Beneficiary
shall each provide DSI the name of their respective employees who have
authority to give instruction of instruments to DSI in the form of a
completed Exhibit C, at time of the execution of this Agreement. DSI will
not be required to inquire into the truth or evaluate the merit of any
statement or representation contained in any notice or document. DSI shall not
be responsible for failure to act as a result of causes beyond the reasonable
control of DSI.

 

 

7.2                                
Indemnification. Depositor and Preferred Beneficiary agree
to indemnify, defend and hold harmless DSI from any and all claims, actions,
damages, arbitration fees and expenses, costs, attorney fees and other
liabilities (“Liabilities”) incurred by DSI relating in any way to this escrow
agreement, except where and to the extent that DSI is adjudged to have acted
negligently, or with gross negligence or willful misconduct. The rights and
duties of protection, defense and indemnification as between Preferred
Beneficiary and Depositor shall be controlled by the Internet Services
Agreement and neither Depositor nor Preferred Beneficiary shall assert their respective
rights and obligations under the Internet Services Agreement as a defense to
their joint and several liability under this Agreement to DSI. DSI agrees to
indemnify, defend and hold harmless Depositor and Preferred Beneficiary from
any and all Liabilities incurred by Depositor or Preferred Beneficiary relating
to its performance under this escrow agreement or statement(s) of work executed
in connection therewith.

 

7.3                                
Limitation of
Liability. In no event will
DSI be liable for incidental, indirect, special, exemplary, punitive or
consequential damages, including, but not limited to, damages (including loss
of data, revenue and/or profits), costs or expenses (including legal fees and
expenses), whether or not foreseen or foreseeable, arising out of, resulting
from, related to or connected directly or indirectly with this Agreement, and
in no event shall the collective liability of DSI in the aggregate exceed ten
times the fees paid under this Agreement. The foregoing limitation of liability
does not apply with respect to gross negligence or personal injury claims,
property damage claims (excluding the Deposit), or intellectual property
infringement. In no event will Depositor and/or Preferred Beneficiary be liable
for incidental, indirect, special, exemplary, punitive or consequential
damages, including, but not limited to, damages (including loss of data,
revenue and/or profits), costs or expenses (including legal fees and expenses),
whether or not foreseen or foreseeable, arising out of, resulting from, related
to or connected directly or indirectly with this Agreement, and in no event
shall the collective liability of Depositor and Preferred Liability in the
aggregate exceed $100,000 or ten times the fees paid under this Agreement
(whichever is greater). The foregoing limitation of liability does not apply
with respect to gross negligence or personal injury claims, property damage
claims, or intellectual property infringement. The liabilities between
Depositor and Preferred Beneficiary and the remedies of each against the other,
and any limitations thereon, shall be controlled by the Internet Services
Agreement and neither Depositor nor Preferred Beneficiary shall assert their
respective rights and obligations under the Internet Services Agreement as a
defense to their joint and several liability under this Agreement to DSI.

 

7.4                                
Dispute Resolution. Any dispute, difference or question
relating to or arising among any of the Parties concerning the construction,
meaning, effect or implementation of this Agreement or any part hereof
may be submitted to, and settled by, arbitration in which case the dispute
shall be decided by a single arbitrator chosen by the San Diego Regional Office
of the American Arbitration Association in accordance with the Commercial
Rules of the American Arbitration Association. The arbitrator shall apply
California law. Unless otherwise agreed by Depositor and Preferred Beneficiary,
any arbitration will take place in San Diego, California, U.S.A. Any court
having jurisdiction over the matter may enter judgment on the award of the
arbitrator. Service of a petition to confirm the arbitration award may be
made by First Class mail or by commercial express mail, to the attorney for
the Party or, if unrepresented, to the Party at the last known business
address. If, however, Depositor and/or Preferred Beneficiary refuses to submit
to arbitration, the matter shall not he submitted to arbitration and DSI
may submit the matter to 

 

 

any court of competent
jurisdiction for an interpleader or similar action. Unless adjudged otherwise,
any costs of arbitration incurred by DSI, including reasonable attorney’s fees
and costs, shall be divided equally and paid by Depositor and Preferred Beneficiary.

 

7.5                                
Controlling Law. This Agreement is to be governed and
construed in accordance with the laws of the State of California, without
regard to its conflict of law provisions.

 

7.6                                
Notice of Requested
Order. If any Party intends
to obtain an order from the arbitrator or any court of competent jurisdiction
which may direct DSI to take, or refrain from taking, any action, that
Party shall:

 

a.                                      
Give DST at least five
(5) business days prior notice of the hearing;

 

b.                                     
Include in any such order
that, as a precondition to DSI’s obligation, DSI be paid in full for any past
due fees and be paid for the reasonable value of the services to be rendered
pursuant to such order; and

 

c.                                      
Ensure that DSI not be
required to deliver the original (as opposed to a copy) of the Deposit
Materials if DSI may need to retain the original in its possession to
fulfill any of its other duties,

 

ARTICLE 8 — GENERAL PROVISIONS

 

8.1                                
Entire Agreement. This Agreement, which includes Exhibits
described herein, embodies the entire understanding among the Parties with
respect to its subject matter and supersedes all previous communications,
representations or understandings, either oral or written. DSI is not a party
to the Internet Services Agreement between Depositor and Preferred Beneficiary
and has no knowledge of any of the terms or provisions of any such Internet
Services Agreement. DSI’s only obligations to Depositor or Preferred
Beneficiary are as set forth in this Agreement. No amendment or modification of
this Agreement shall be valid or binding unless signed by all the Parties
hereto, except that Exhibit A need not be signed by DSI, Exhibit B
need not be signed by Preferred Beneficiary, Exhibit C need not be signed,
and the Statement of Work need only be executed by DSI and Preferred
Beneficiary.

 

8.2                                
Notices and
Correspondence. All notices
regarding Articles 4 and 5 and any Deposit Materials shall be sent by
commercial express or certified mail, return receipt requested. All other
correspondence, including invoices, payments, and other documents and
communications, shall be sent First Class U.S. Mail and given to the
Parties at the addresses specified in the attached Exhibit C. It shall be
the responsibility of the Parties to notify each other as provided in this
Section in the event of a change of physical and e-mail addresses. The
Parties shall have the right to rely on the last known address of the other
Parties. Any correctly addressed notice or last known address of the other
parties that is relied on herein that is refused, unclaimed, or undeliverable
because of an act or omission of the party to be notified as provided herein
shall be deemed effective as of the first date that said notice was refused,
unclaimed, or deemed undeliverable by the postal authorities by mail, through
messenger or commercial express delivery services.

 

 

8.3                                
Severability. In the event any provision of this
Agreement is found to be invalid or unenforceable, the Parties agree that
unless it materially affects the entire intent and purpose of this Agreement,
such invalidity or unenforceability shall affect neither the validity of this
Agreement nor the remaining provisions herein, and the provision in question
shall be deemed to be replaced with a valid and enforceable provision most
closely reflecting the intent and purpose of the original provision.

 

8.4                                
Successors and Assigns. This Agreement shall be binding upon and
shall inure to the benefit of the successors and assigns of the Parties.
However, DSI shall have no obligation in performing this Agreement to recognize
any successor or assign of Depositor or Preferred Beneficiary unless DSI
receives clear, authoritative and conclusive written evidence of the change of
Parties.

 

8.5                                
Waiver. Any term of this Agreement may be
waived by the Party entitled to the benefits thereof, provided that any such
waiver must be in writing and signed by the Party against whom the enforcement
of the waiver is sought. No waiver of any condition, or breach of any provision
of this Agreement, in any one or more instances, shall be deemed to be a
further or continuing waiver of such condition or breach. Delay or failure to
exercise any right or remedy shall not be deemed the waiver of that right or
remedy.

 

8.6                                
Regulations. Depositor and Preferred Beneficiary are
responsible for and warrant compliance with all applicable laws, rules and
regulations, including but not limited to customs laws, import, export, and re-export
laws and government regulations of any country from or to which the Deposit
Materials may be delivered in accordance with the provisions of this
Agreement.

 

8.7                                
[Deleted].

 

8.8                                
No Third Parry Rights. This Agreement is made solely for the
benefit of the Parties to this Agreement and their respective permitted
successors and assigns, and no other person or entity shall have or acquire any
right by virtue of this Agreement unless otherwise agreed to by all the Parties
hereto.

 

8.9                                
Authority to Sign. Each of the Parties herein represents and
warrants that the execution, delivery, and performance of this Agreement has
been duly authorized and signed by a person who meets statutory or other
binding approval to sign on behalf of its business organization as named in
this Agreement. DSI will be able to perform its obligations under this
agreement once DSI has received a fully executed agreement.

 

 

8.10                          
Counterpart. This Agreement may be executed in any
number of counterparts, each of which shall be an original, but all of which
together shall constitute one instrument.

 

 

	
  YP
  Web Partners LLC

  	
   

  	
  R.H.
  Donnelly Publishing & Advertising, Inc.

  
	
  Depositor

  	
   

  	
  Preferred
  Beneficiary

  
	
  By:

  	
  /s/
  William W. Scott

  	
   

  	
  By:

  	
  /s/
  Terry L. Hurley

  
	
   

  	
   

  	
   

  
	
  Name:

  	
  William
  W. Scott

  	
   

  	
  Name:

  	
  Terry
  L. Hurley

  
	
   

  	
   

  	
   

  
	
  Title:

  	
  VP
  Business Dev

  	
   

  	
  Title:

  	
  AVP &
  Asst General Counsel

  
	
   

  	
   

  	
   

  
	
  Date:

  	
  May 13,
  2004

  	
   

  	
  Date:

  	
  April 29,
  2004

  

 

 

	
   

  	
  DSI
  Technology Escrow Services, Inc

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Grant Jones

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Grant
  Jones

  	
   

  
	
   

  	
   

  
	
   

  	
  Title:

  	
  Regional
  Sales Manager

  	
   

  
	
   

  	
   

  
	
   

  	
  Date:

  	
  5/20/04

  	
   

  

 

 

FIRST
AMENDMENT TO

INTERNET SERVICES AGREEMENT

 

THIS
FIRST AMENDMENT TO INTERNET SERVICES AGREEMENT (this “Amendment”) is made as of December 13, 2006,
between LOCAL MATTERS, INC.,
(“LMI”), and R. H. DONNELLEY
PUBLISHING & ADVERTISING, INC. (the “Publisher”).

RECITALS

WHEREAS, on June 18, 2003 (“Effective Date”), YP
Web Partners, L.L.C. d/b/a YPSolutions and Publisher executed an Internet
Services Agreement (the “Agreement”);

WHEREAS, LMI purchased certain assets of YP Web
Partners, L.L.C. d/b/a YPSolutions, including its rights and obligations under
the Agreement;

WHEREAS, the LMI and Publisher desire to modify
the certain terms and conditions of the Agreement;

NOW,
THEREFORE, in
consideration of the mutual promises and covenants of the parties, and for
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the LMI and Publisher hereto agree as follows:

1.             Definitions. Capitalized terms in this Amendment not
expressly defined in this Amendment will have the meaning given to them in the
Agreement.

2.             Amendments.

                A.
The parties hereby delete Section 14.1 of the Agreement in its entirety and
insert the following:

                “Term. This Agreement will become
effective on the Effective Date and, except as otherwise provided herein, will
continue in effect through December 31, 2007. Thereafter, unless terminated as
provided herein, this Agreement shall be automatically renewed for additional
one (1) year terms unless either party provides written notice, sixty (60) days
prior to the expiration of the then-current term, to the other party of its
intention not to renew.”

 

                B. The parties
hereby delete Sections 10.7 and 10.8 of the Agreement in their entirety.

 

                3.             Additional
Terms. 
Notwithstanding anything to the contrary in the Agreement, Publisher may
cancel LMI’s conversion of additional Directories effective on or after April
1, 2007 by providing LMI with at least 30 days prior written notice of the
cancellation date. (“Cancellation Right”).  If Publisher exercises the Cancellation
Right, LMI will continue to host Directories and Directory Content published on
the Web Sites as of the effective date of the cancellation (“Cancellation Date”) for a period of one year from the
Cancellation Date pursuant to the terms and conditions of the Agreement.  Without limiting the foregoing, if Publisher

 

 

exercises the Cancellation
Right, LMI will have no obligation to perform any acts required by Sections 3.1
— 3.4, 3.5.3 after the Cancellation Date.

 

                4.             Miscellaneous.  Except as amended as set forth above, the
Agreement be and shall continue in full force and effect.  In the case of conflict between the terms and
conditions of this Amendment and the terms and conditions of the Agreement, the
terms and conditions of  this Amendment
shall prevail and govern.  This Amendment
may be executed in one or more counterparts, any of which need not contain the
signatures of both parties, but all signed counterparts taken together will
constitute one and the same agreement.  A
facsimile signature will be deemed as valid as an original signature.

 

 

                IN
WITNESS WHEREOF, the parties hereto have executed this Amendment as
of the Amendment Effective Date set forth in the first paragraph hereof.

 

 

	
   

  	
  LOCAL MATTERS, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Perry Evans

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Perry Evans

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  CEO

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  R.H. DONNELLEY PUBLISHING &
  ADVERTISING, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Margaret LeBeau

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Margaret LeBeau

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Chief Marketing Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  12/13/06[***] CERTAIN CONFIDENTIAL INFORMATION CONTAINED IN THIS
DOCUMENT, MARKED BY BRACKETS, HAS BEEN OMITTED AND FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION PURSUANT TO RULE 406 OF THE SECURITIES ACT
OF 1933, AS AMENDED.

 

Exhibit 10.34

 

SERVICES AGREEMENT

Commercial Terms

 

	
  1.

  	
   

  	
  Consultant

  	
   

  	
  Aptas,
  Inc.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  1899
  Wynkoop, Suite 600

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Denver,
  CO 80202

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  2.

  	
   

  	
  Services

  	
   

  	
  The
  Consultant will provide the Services and Deliverables as outlined in Schedule
  1.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.

  	
   

  	
  Timetable

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Commencement
  Date (Pilot Project)

  	
   

  	
  3 October 2003

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Completion
  Date (Pilot Project)

  	
   

  	
  18 November 2003

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Commencement
  Date (Initial Cycle)

  	
   

  	
  19 November 2003

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Completion
  Date (Initial Cycle)

  	
   

  	
  (i) Metro – 21 November 2003

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  (ii) Regional – 23 June 2004

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Commencement
  Date (Ongoing Phase)

  	
   

  	
  To be advised by Sensis

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Completion
  Date (Ongoing Phase)

  	
   

  	
  To be agreed between the parties

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Project
  Plan

  	
   

  	
  As
  described in Schedule 1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.

  	
   

  	
  Fees and Payment Plan

  	
   

  	
  As
  described in paragraph 1 of Schedule 2

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  5.

  	
   

  	
  Special Conditions

  	
   

  	
  Deliverables
  will be subject to acceptance testing by Sensis as described in Schedule 3.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  6.

  	
   

  	
  Notices

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Sensis Pty Ltd

  	
   

  	
  Address:

  	
   

  	
  181-189
  Victoria Pde

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Collingwood

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Victoria
  3066, Australia

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Fax:

  	
   

  	
  (613)
  9201 4914

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Phone:

  	
   

  	
  011
  613-9201-47   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Attn:

  	
   

  	
  Amanda
  Whelan

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Consultant

  	
   

  	
  Address:

  	
   

  	
  1899
  Wynkoop, Suite 600

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Denver,
  CO 80202

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Fax:

  	
   

  	
  303.308.3219

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Attn:

  	
   

  	
  Curtis
  Fletcher

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  7.

  	
   

  	
  Work

  	
   

  	
  Any
  Deliverables specified in Schedule 1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8.

  	
   

  	
  Acceptance Criteria

  	
   

  	
  As
  described in paragraph 1 of Schedule 3

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  9.

  	
   

  	
  Insurance

  	
   

  	
  Yes

  

 

 

By signing this agreement,
the Consultant agrees to be bound by the terms and conditions overleaf which
are hereby incorporated into this Agreement.

 

EXECUTED as an agreement
on                                                               2003

 

	
  SIGNED by

  	
   

  	
  )

  	
   

  	
   

  
	
  for
  and on behalf of SENSIS PTY LTD (as

  	
   

  	
  )

  	
   

  	
   

  
	
  agent for TELSTRA CORPORATION

  	
   

  	
  )

  	
   

  	
   

  
	
  LIMITED) in the presence of:

  	
   

  	
  )

  	
   

  	
   

  
	
   

  	
   

  	
  )

  	
   

  	
   

  
	
   /s/
  Amanda Whelan

  	
   

  	
   

  	
  )

  	
   

  	
   /s/
  T. Arthur

  	
   

  
	
  (Signature
  of witness)

  	
   

  	
  )

  	
   

  	
  Signature
  of authorised person

  
	
   

  	
   

  	
  )

  	
   

  	
   

  
	
   Amanda
  Whelan

  	
   

  	
   

  	
  )

  	
   

  	
   General
  Manager - Product

  	
   

  
	
  (Name
  of witness)

  	
   

  	
  )

  	
   

  	
  Office
  held

  
	
   

  	
   

  	
  )

  	
   

  	
   T.
  ARTHUR

  	
   

  
	
   

  	
   

  	
  )

  	
   

  	
  Name
  of authorised person (block letters)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SIGNED by

  	
   

  	
  )

  	
   

  	
   

  
	
  for
  and on behalf of APTAS, INC.

  	
   

  	
  )

  	
   

  	
   

  
	
   

  	
   

  	
  )

  	
   

  	
   

  
	
   in
  the presence of:

  	
   

  	
  )

  	
   

  	
   

  
	
   

  	
   

  	
  )

  	
   

  	
   

  
	
   /s/
  Curtis Fletcher

  	
   

  	
   

  	
  )

  	
   

  	
   /s/
  Perry Evan

  	
   

  
	
  (Signature
  of witness)

  	
   

  	
  )

  	
   

  	
  Signature
  of authorised person

  
	
   

  	
   

  	
  )

  	
   

  	
   CEO

  	
   

  
	
   

  	
   

  	
  )

  	
   

  	
  Office
  held

  
	
  Curtis
  Fletcher

  	
   

  	
   

  	
  )

  	
   

  	
  PERRY
  EVANS

  	
   

  
	
  (Name
  of witness)

  	
   

  	
  )

  	
   

  	
  Name
  of authorised person (block letters)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

2

 

TERMS & CONDITIONS

 

1                           
Scope

 

Services during the Pilot Project

 

1.1                   
The Consultant shall
provide to Sensis the Services during the Pilot Project in accordance with the
terms and conditions of this Agreement (including the Special Conditions).

 

1.2                   
The parties agree that
any work performed by the parties relating to the Services prior to the
Commencement Date is deemed to have been done under and subject to the terms
and conditions of this Agreement.

 

Additional Services (during the Initial
Cycle and the Ongoing Phase)

 

1.3                   
If requested to do so by
Sensis, the Consultant shall also provide to Sensis the Additional Services
during the Initial Cycle, the Ongoing Phase, or both in accordance with the
terms and conditions of this Agreement (including paragraphs 1.1(b) and (c) of
Schedule 1).

 

1.4                   
The Consultant agrees and
acknowledges that neither this Agreement nor successful completion of the Pilot
Project obliges Sensis to acquire further services (including any Additional
Services) from the Consultant following completion of the Pilot Project or
termination or expiry of this Agreement.

 

Exclusivity obligations

 

1.5                   
The Consultant agrees
that it will not provide the Services (or any similar services) to any other
person in Australia:

 

(a)                   
until completion of the
Pilot Project;

 

(b)                  
if Sensis requires the
Consultant to provide any Additional Services during the Initial Cycle, until
the completion of the Initial Cycle;

 

(c)                   
if Sensis requires the
Consultant to provide additional Services during the Ongoing Phase, until the
completion of the Ongoing Phase, provided that the Consultant is paid the fees
as specified in Item 3 in Schedule 2 of this Agreement to process on an annual
basis not less than 25% of the current volume of the Metro Display Advertisements,
the Metro In-Column Advertisements, the Regional In-Column Advertisements and
the Brand Packages

 

1.6                   
Clause 1.5 does not
prevent the Consultant from providing the Services (or any services) to
international organisations which also have a presence in Australia, provided
that those Services are not provided directly to the Australian arm of the
international organisation.

 

1.7                   
The exclusivity
obligations in clause 1.5 and 1.10 will terminate on expiry or termination for
any reason of this Agreement.

 

1.8                   
If the parties agree to
extend the term of this Agreement, clauses 1.5 and 1.10 will continue to apply
during the extension period unless otherwise agreed in writing by the parties.

 

1.9                   
Upon request by Sensis
and subject to clause 1.10, the Consultant agrees to enter into good faith
negotiations with Sensis with a view to providing the Services (or similar
services) to Sensis’ businesses outside Australia on terms substantially similar
to the terms of this agreement (including terms relating to pricing), except
that any exclusivity terms will be agreed between the parties on a case by case
basis.

 

1.10             
Subject to clause 1.12,
the Consultant will not enter into a business agreement providing similar
Services to any third party in Europe or Asia during the term of this Agreement
that would prohibit the Consultant from providing the Services to Sensis
unless:

 

(a)                   
the Consultant has
offered in writing to supply those services to Sensis on terms no less
favourable than offered to or by the third party, which offer must provide
Sensis with reasonable details of those terms, including Consultant’s revenue
opportunity over the full term of the agreement; and

 

 

(b)                  
Sensis declines the offer
in writing or, following good faith negotiations, the parties cannot agree on
terms within 15 Working Days’ from the date on which Sensis receives the
written offer from Consultant specified in paragraph (a) above. As part of the
good faith negotiations, the parties shall balance the Consultant’s revenue
opportunity over the full term of the agreement with the revenue opportunities
from the Sensis arm in that territory.

 

Sensis will be deemed to
have declined the offer if Sensis does not request negotiations within 5
Working Days’ of receiving the Consultant’s written offer specified in
paragraph (a) above.

 

1.11             
Clause 1.10 will apply to
the supply of services to third parties in all regions and countries in Europe
and Asia, even if Sensis has previously declined an offer, or failed to reach
agreement with the Consultant, in respect of the supply of services in another
region or country.

 

1.12             
Clause 1.10 will only
apply during the Ongoing Phase if the Consultant is engaged to process during
the Ongoing Phase not less than number of advertisements specified in clause
1.5(c).

 

2                           
General
Obligations

 

2.1                   
The Consultant must
ensure that:

 

(a)                   
the Services are provided
with due care and skill, in a timely and professional manner, by suitably
qualified and experienced personnel, and so as to meet any timing requirements
set out in paragraph 2 of Schedule 1;

 

(b)                  
any materials provided to
Sensis under this Agreement (including the Deliverables) will conform to the
specifications set out in this Agreement; and

 

(c)                   
the Deliverables are
delivered to Sensis so as to meet the acceptance criteria set out in paragraph
1 of Schedule 3.

 

2.2                   
Unless otherwise agreed
by Sensis in writing, the Consultant must provide and is responsible for all
equipment necessary for it to provide the Services.

 

2.3                   
The Consultant must
comply with all workers’ compensation, Work Care or similar legislation in each
jurisdiction in which the Consultant and/or its Personnel actually provide the
Services and pay all amounts required by that legislation in respect of the
Consultant and its Personnel.

 

2.4                   
In performing this
Agreement, the Consultant must comply with (and must ensure that all personnel
involved in the provision of the Services (“Personnel”)
comply with):

 

(a)                   
all laws, industry codes
and standards in each jurisdiction in which the Consultant and/or its Personnel
actually provide the Services and which are applicable to the provision of the
Services;

 

(b)                  
any commercially
reasonable directions and instructions which may be given to the Consultant or
any Personnel by Sensis; and

 

(c)                   
any reasonable written
requests, which may be given to the Consultant or any Personnel by Sensis
concerning the following:

 

(i)                       
systems and technical
requirements;

 

(ii)                    
occupational health &
safety requirements;

 

(iii)                 
environmental
requirements; and

 

(iv)                
corporate policies or
standards.

 

2.5                   
The Consultant must
comply with the acceptance testing procedures as set out in paragraph 2 of
Schedule 3.

 

2.6                   
The Consultant must
comply with the personnel requirements set out at paragraph 1.4 of Schedule 1.

 

 

2.7                   
Upon engagement of the
Consultant to perform the Services during the Initial Cycle, the Consultant
must, upon written request by Sensis, enter into an escrow agreement for the
source code for the DKB and any other software used by the Consultant to
provide the Services, which escrow agreement will:

 

(a)                   
require the Consultant to
deposit that source code with an escrow agent in Australia mutually agreed by
the parties; and

 

(b)                  
allow Sensis and its
contractors to obtain access to and to use and modify the source code so that
Sensis or its contractors can continue to provide the Services to Sensis if, at
any time prior to the execution of a formal licence agreement between the
parties for the DKB source code and the delivery of that source code:

 

(i)                       
the Consultant is or
becomes Insolvent; or

 

(ii)                    
is unable or unwilling to
provide Services as defined herein.

 

Source code access is
provided solely for the purpose of allowing Sensis or its contractors to
complete the provision of the Services to Sensis in accordance with this
Agreement. No other rights are granted or authorized.

 

2.8                   
Sensis will pay the costs
of the escrow agent contemplated at clause 2.7(a) above.

 

3                           
Intellectual
Property

 

3.1                   
Sensis grants the
Consultant a non-exclusive, royalty-free, non-transferable licence for the term
of this Agreement to use the Sensis Content to the extent necessary to enable
the Consultant to perform the Services and any Additional Services as defined
in this Agreement.

 

3.2                   
The Consultant grants to
Sensis a non-exclusive, perpetual, irrevocable, royalty free licence to use,
reproduce and modify the Deliverables, the Background IP and the Project IP but
only to the extent necessary to enable Sensis to use the Deliverables in
connection with its Yellow Pages® and other directory products.

 

3.3                   
The Consultant must not:

 

(a)                   
use the ontology
developed for Sensis under this Agreement (“Sensis
Ontology”) in the course of providing services to any third party;
or

 

(b)                  
license the Sensis
Ontology to any third party,

 

without the prior written
consent of Sensis.

 

3.4                   
The Consultant warrants
that the Services and use of the Background IP, Project IP or Deliverables by
Sensis or any person authorised by Sensis will not infringe the Intellectual
Property rights (including moral rights) of any person or infringe any other
rights or laws and the Consultant fully indemnifies Sensis, Telstra and their
representatives against any Loss incurred by any of them in connection with a
claim of such infringement by a third party or breach of this clause by the
Consultant (“Third Party Claim”).

 

3.5                   
If a Third Party Claim is
made or there is a breach of the warranty in clause 3.4 the Consultant will,
without limiting any of Sensis’ other rights or remedies, within 15 Working
Days of receiving written notice of a Third Party Claim, at its cost obtain any
necessary licences, or make such modifications or perform such services, as are
required to ensure that Sensis has a continued right to use Deliverables
without infringing the Intellectual Property rights of any third party.

 

4                           
Fees
and Payment

 

4.1                   
The fees payable by
Sensis to the Consultant are set out in Schedule 2.

 

4.2                   
The Consultant shall
invoice Sensis for amounts payable by Sensis under this

 

 

Agreement at the times and
in the manner set out in Schedule 2.

 

4.3                   
Sensis shall pay the
Consultant the amount of any invoice which is valid and correctly rendered
within 30 Working Days of receipt, unless Sensis disputes the amount of the
invoice in which case Sensis will pay the undisputed amount and dispute the
balance in accordance with clause 12. Sensis may deduct from such amounts any
moneys due to Sensis from the Consultant, whether under this agreement or
otherwise.

 

4.4                   
Subject to clause 4.5,  where GST is imposed on any supply made
under this Agreement by one party (“the
supplying party”) to another party (“the receiving party”), the
receiving party must pay or provide the GST Exclusive Consideration for the
Supply and, in addition to and at the same time as the GST Exclusive
Consideration is payable or to be provided for the supply, an additional amount
calculated by multiplying the value of that GST Exclusive Consideration
(without deduction or set-off) by the prevailing GST rate. This clause 4.4 does
not apply to a supply for which a GST inclusive consideration has been agreed
unless the supply is made after a change to the GST rate is effected and the
agreed GST inclusive consideration has not had the GST rate change taken into
account, in which case the consideration payable for the supply shall be
calculated pursuant to this clause 4.4.

 

4.5                   
The receiving party is
not required to pay any amount of GST to the supplying party unless the
supplying party has made demand for payment by means of a Tax Invoice.

 

4.6                   
If the amount of GST
recovered by the supplying party from the receiving party differs from the
amount of GST payable at law by the supplying party in respect of the supply,
the amount payable by the receiving party to the supplying party will be
adjusted accordingly.

 

4.7                   
Where the receiving party
is liable to reimburse the supplying party for any expenditure incurred by the
supplying party (“Expenditure”), the
amount reimbursed by the receiving party shall be the  GST exclusive Expenditure plus any GST payable by the
receiving party pursuant to clause 4.4.

 

4.8                   
Sensis may deduct from
the fees payable by it under this Agreement any amount it is required to
withhold under any tax law and will provide the Consultant with receipts and
other documentation issued by the relevant tax authority evidencing any such
withholding.

 

5        
Warranty and Indemnity

 

5.1                   
The Consultant represents
and warrants that as at the date of this Agreement it has full corporate power
and authority to enter into, perform and observe its obligations under this
Agreement and its obligations under this Agreement are valid, binding and
enforceable.

 

5.2                   
The Consultant fully
indemnifies Sensis, Telstra and their representatives (“Indemnified persons”) against all Loss
incurred by any of the indemnified persons arising out of or in connection
with:

 

(a)                   
any breach of this Agreement
or any act or omission by the  Consultant
in connection with the Services;

 

(b)                  
any illness, injury or
death to any person, or any loss or damage to any property of any person,
arising out of or in connection with the performance by the Consultant or its
Personnel of their obligations under this Agreement; and

 

(c)                   
any negligence or any
wilful act or omission by the Consultant or its representatives (including the
Personnel), or any failure by any of them to comply with any relevant law;

 

except to the extent that
the Loss is caused by the negligence or wrongful act or omission of an
indemnified person.

 

 

6        
Confidentiality

 

6.1                   
Each party must keep the
Confidential Information of the other party secret and must not:

 

(a)                   
use or reproduce the
Confidential Information of the other party except for the purpose of
performing its obligations under this Agreement; or

 

(b)                  
disclose the Confidential
Information of the other party to any other person, except as permitted under
clause 6.2.

 

6.2                   
Each party may disclose
the Confidential Information of the other party on a need to know basis to:

 

(a)                   
its legal advisers in
order to advise it in relation to its rights under this Agreement;

 

(b)                  
to the extent required by
law or by a lawful requirement of any government or governmental body,
authority or agency or in connection with legal proceedings relating to this
Agreement;

 

(c)                   
to its directors,
officers, employees, contractors and other representatives (including, in the
case of the Consultant, to the Personnel); and

 

(d)                  
in the case of Sensis:

 

(i)                       
to Telstra;

 

(ii)                    
to its directors,
officers, employees, contractors and other representatives; and

 

(iii)                 
as required under the
Telstra Corporation Act 1991 (Cth) or the listing rules of any stock exchange
on which any securities of Telstra or Sensis are listed.

 

6.3                   
If a party discloses any
of the other party’s Confidential Information under clause 6.2, it must take
reasonable steps to ensure that the recipient of the Confidential Information
does not use, reproduce or disclose that information except to the extent
permitted by clause 6.2.

 

6.4                   
Without limiting the
Consultant’s obligations under 6.3, upon reasonable request by Sensis, the
Consultant must procure that each Personnel signs a confidentiality agreement
in favour of Sensis and Telstra in a form approved in advance by Sensis.

 

6.5                   
The obligations of
confidentiality imposed by this Agreement survive the termination of this
Agreement.

 

7         Term and
Termination

 

7.1                   
This Agreement commences
or is deemed to have commenced on the Commencement Date and continues for three
years or until the Completion Date of the Ongoing Phase (whichever occurs
later), unless terminated earlier in accordance with this Agreement (including
this clause 7). The parties may agree in writing to extend the term of this
Agreement.

 

7.2                   
Sensis may terminate this
Agreement without cause by giving to the Consultant 30 days’ written notice. If
Sensis terminates this Agreement under this clause, Sensis shall pay the
Consultant the fees specified in paragraph 1 of Schedule 2 for the data
provided to Consultant up to the termination date.

 

7.3                   
Either party may
terminate this Agreement immediately by written notice to the other party if:

 

(a)                   
the other party commits a
breach of a material term of this Agreement which is not capable of being
remedied or, in the case of the Consultant the breach is not remedied within 15
Working Days of receiving written notice to do so; or

 

(b)                  
the other party is or
becomes Insolvent.

 

7.4                   
Sensis may terminate this
Agreement immediately by written notice to the

 

 

Consultant if a Change of
Control occurs in respect of the Consultant which:

 

(a)                   
is not notified in
advance to Sensis; and

 

(b)                  
would prevent or may
reasonably be expected to adversely impact the Consultant from fulfilling its
obligations under this Agreement.

 

7.5                   
Upon expiry or
termination of this Agreement for any reason:

 

(a)                   
each party must, as soon
as reasonably practicable, deliver to the other party, or at the option of the
other party, destroy or delete all documents and materials containing the other
party’s Confidential Information which are in its possession, custody or
control;

 

(b)                  
the Consultant must, as
soon as reasonably practicable, deliver to Sensis all Deliverables and any
other property of Sensis in its possession, custody or control; and

 

(c)                   
Sensis will maintain all
rights in and to the Deliverables provided under this Agreement, but will have
no further rights in and to the Background IP, Project IP, or any other
Intellectual Property rights of the Consultant, except to the extent that this
is contemplated under clause 3.2.

 

8        
Records and Access

 

8.1                   
The Consultant must keep
full and proper records relating to the performance of the Services during the
Term of this Agreement and for 7 years following the expiry or termination of
this Agreement.

 

8.2                   
The Consultant must
comply with all reasonable requests by Sensis to have access to the records
referred to in clause 8.1 and must provide all assistance as may reasonably be
requested by Sensis in conducting any activities pursuant to this clause 8.2.

 

9        
Privacy

 

9.1                   
The Consultant agrees, in
respect of Personal Information held in connection with this agreement
(including information relating to any customers of Sensis and Telstra):

 

(a)                   
to comply with applicable
legislation regarding privacy (including the Privacy Act 1988 (Cth) (regardless
of whether or not the Consultant is required to comply with the Privacy Act
1988 (Cth)) and all Sensis and Telstra policies notified to the Consultant from
time to time;

 

(b)                  
to use Personal
Information only for the purpose of fulfilling its obligations under this
agreement;

 

(c)                   
not to disclose Personal
Information without the written authority of Sensis except for the purposes of
fulfilling its obligations under this Agreement. The Consultant must
immediately notify Sensis when it becomes aware that a disclosure of Personal
Information may be required by law; and

 

(d)                  
not to transfer Personal
Information to any person (including itself) outside Australia, unless:

 

(i)                       
it reasonably believes
that the recipient of the Personal Information is subject to a law, binding
scheme, or contract which effectively upholds principles for fair handling of
Personal Information that are substantially similar to the National Privacy
Principles contained in Schedule 3 of the Privacy Act 1988 (Cth); or

 

(ii)                    
it has taken reasonable
steps to ensure that the recipient will not hold use or disclose any part of
the Personal Information in a manner which is inconsistent with the National
Privacy Principles contained in Schedule 3 of the Privacy Act 1988 (Cth).

 

 

10       Insurance

 

10.1             
The Consultant must take
out and maintain valid and enforceable for the Term of this Agreement (and in
respect of insurance policies written on a “claims made” basis for three years
after the Term) the following insurance policies (“Policies”):

 

(a)                   
professional indemnity
insurance for no less than USD$1,000,000 in annual aggregate; and

 

(b)                  
public and product
liability insurance for the Consultant and the Consultant’s personnel against
any liability to pay to any party (including Sensis) arising out of or in
connection with this Agreement for an incurred amount of no less than
USD$1,000,000 per accident or incident claim.

 

10.2             
The Consultant must
ensure that Sensis’ interest under this Agreement is noted on the Policies
(where required pursuant to clause 10.1) and on request by Sensis must provide
Sensis with certificates from the Consultant’s insurers certifying that the Consultant
has the insurance required under clause 10.1.

 

11                    
General

 

11.1             
The Consultant may not
transfer, assign, charge, mortgage or encumber any of its rights under this
Agreement without the prior written consent of Sensis (which consent must not
be unreasonably withheld).

 

11.2             
Sensis may transfer or
assign any of its rights, or novate any of its rights and obligations, under
this Agreement to a related body corporate or to a body corporate to which a
material part of Sensis’ assets are transmitted, transferred, or vested as part
of a merger or reconstruction of Sensis or Telstra.

 

11.3             
A notice, approval,
consent or other communication (“Notice”)
in connection with this Agreement must be in writing and sent by standard
prepaid post or by facsimile marked and addressed in accordance with Item 6 of
the Commercial Terms.

 

11.4             
The Consultant is an
independent contractor of Sensis and neither it nor its employees, agents or
contractors are agents, employees or joint venturers of Sensis.

 

11.5             
This Agreement and the
transactions contemplated by them are governed by the law in force in Victoria,
Australia and each party unconditionally and irrevocably submits to the non
exclusive jurisdiction of the courts of Victoria, Australia and courts of
appeal from them for determining any dispute arising under this Agreement or in
relation to any transactions contemplated under this Agreement.

 

11.6             
The Consultant must not sub-contract
any of its obligations under this Agreement without Sensis’ prior written
consent.

 

11.7             
The Consultant must sign,
and must procure each of its employees, agents and contractors to sign, all
documents and do anything reasonably required by Sensis to give effect to the
licence contemplated under clause 3.2 of all DP, if any, in the Deliverables to
Sensis and to effectively consent to Sensis using and changing any Deliverable
as it sees fit.

 

11.8             
A provision of or a right
created under this agreement may not be:

 

(a)                   
waived except in writing
signed by the party granting the waiver; or

 

(b)                  
varied except in writing
signed by the parties.

 

11.9             
Termination or expiry of
this Agreement will not affect:

 

(a)                   
the rights of the parties
which may have accrued before the termination or expiry date; or

 

(b)                  
the terms of this
Agreement which by their nature survive termination or expiry (including clause
6).

 

 

12                    
Dispute
Resolution

 

12.1             
Any party claiming that a
dispute has arisen must give written notice to the other party setting out the
nature of the dispute and all other information relevant to the dispute.

 

12.2             
If a party gives or
receives a notice in accordance with clause 12.1, each party will promptly:

 

(a)                   
refer the dispute to an
appropriate representative of the party who has authority to settle the dispute
on behalf of that party; and

 

(b)                  
give written notice to
the other party of the name, position and contact details of the party’s
representative to whom the dispute has been referred.

 

12.3             
Within 10 Working Days’
of receipt of the written notice referred to in clause 12.2 above, the parties’
representatives must meet or communicate (whether electronically, by
video-conference or otherwise) and undertake bona fide negotiations to resolve
the dispute.

 

12.4             
In the event the dispute
is not satisfactorily resolved pursuant to clause 12.3 above, the parties will
refer the matter to their respective Chief Executive Officers who shall within
10 Working Days meet or communicate (whether electronically, by
video-conference or otherwise) and undertake bona fide negotiations to resolve
the dispute,

 

12.5             
If the parties are not
able to resolve the dispute under clause 12.4, and prior to applying to a court
for relief, the Chief Executive Officers will meet with an agreed neutral party
to assist them in reaching a satisfactory resolution to the dispute through
bona-fide negotiations.

 

12.6             
Each party will bear its
own costs of complying with clauses 12.1 to 12.5.

 

12.7             
Despite the existence of
a dispute, each party must continue to perform its obligations under this
Agreement.

 

12.8             
The parties shall exhaust
the dispute resolution processes set out in clauses 12.1 to 12.5 prior to
applying to a court for relief for any matter arising under or in relation to
this Agreement or from exercising any other right it might have under this
Agreement, except where a party seeks urgent interim or interlocutory relief.

 

13                    
Agency

 

12.1             
The Consultant:

 

(a)                   
acknowledges that Sensis
enters into this Agreement as agent for and on behalf of Telstra; and

 

(b)                  
agrees that:

 

(i)                       
Sensis may exercise on
behalf of Telstra any rights granted to Telstra under this Agreement; and

 

(ii)                    
any act performed by
Sensis for and on behalf of Telstra in connection with this Agreement shall be
an act validly performed by Telstra pursuant to this Agreement.

 

14                    
Interpretation

 

14.1             
The following words have
these meanings in this Agreement unless the contrary intention appears;

 

Additional
Services means the
Services Sensis may require the Consultant to provide under clause 1.3 of this
Agreement, and which are described further in paragraph 1.1 (b) of Schedule 1
(in the case of Services to be provided during the Initial Cycle) and in
paragraph 1.1 (c) of Schedule 1 (in the case of Services to be provided during
the Ongoing Phase).

 

Agreement means the Commercial Terms, these terms and
conditions, and the Schedules.

 

Background
IP means Intellectual
Property rights which the Consultant can establish came into existence other
than in connection with the provision of the

 

 

Services and which are owned
by or licensed to the Consultant. Background IP includes all Intellectual
Property rights in the DKB.

 

Brand
Package means the
graphic element (html or gif) of the Yellow Pages® online solution.

 

Commencement
Date means the date
specified as such in Item 3 of the Commercial Terms.

 

Commercial
Terms means the
commercial terms specified on the front of this Agreement.

 

Completion
Date means the date
specified as such in Item 3 of the Commercial Terms or as otherwise agreed.

 

Confidential
Information of a
party means all information relating to that party (and, in the case of Sensis,
to Telstra) and its representatives or customers which is or has been:

 

(a)                   
disclosed to the other
party under or in connection with this Agreement; or

 

(b)                  
learnt or acquired by the
other party in the performance of this Agreement:

 

other than any such
information which:

 

(c)                   
is or becomes part of the
public domain otherwise than as a result of a disclosure in breach of
confidence;

 

(d)                  
is or came lawfully into
the possession of the other party from another source and otherwise than as a
result of a disclosure in breach of an obligation of confidence; or

 

(e)                   
is or has been
independently developed by the other party.

 

Change of
Control shall be
taken to occur if any person or entity acquires any voting securities of the
Consultant such that immediately after the acquisition the person or entity has
beneficial ownership of 51% or more of the votes which are eligible to be cast
in the election of directors or any similar matter, provided, however, that
when determining whether a Change of Control has occurred, voting securities
that are acquired in an acquisition by:

 

(i)                      
an employee benefit plan
(or a trust forming a part thereof) maintained by (A) the Consultant or (B) any
corporation of other person of which a majority of its voting power or its
equity securities or equity interests are owned directly or indirectly by the
Consultant (a “Subsidiary”), or

 

(ii)                   
the Consultant or any
Subsidiary;

 

shall not constitute an
acquisition for the purposes of this clause.

 

Corporations
Act means the
Corporations Act 2001 (Cth).

 

Data
Services means the
services described at paragraph 1.1 of Schedule 1 based on the stage of the
Agreement (Pilot, Initial Cycle, or Ongoing),

 

Deliverables means:

 

(a)                   
the items listed and
described as Deliverables in paragraph 2 of Schedule 1; and

 

(b)                  
any data, document,
report or other thing (in any form) created or developed by the Consultant to
meet the requirements of Sensis under this Agreement (including Sensis’
advertiser records and the Taxonomy).

 

Display
Advertisement means a
Yellow Pages® print advertisement which:

 

(a)                   
is available in a variety
of sizes;

 

(b)                  
includes business
details; and

 

(c)      
may contain textual and graphical advertising content.

 

DKB or
Directory Knowledge Base
means the software program and database known as Directory Knowledge Base

 

 

which is owned by the
Consultant or its licensors.

 

Enhanced
DKB means the version
of the DKB following incorporation of the changes performed by the Consultant
to the version of the DKB used for the Initial Cycle.

 

GST has the same meaning as in the A New Tax
System (Goods and Services Tax) Act 1999 (Cth).

 

GST
Exclusive Consideration
means any consideration payable under this Agreement that either does not
include an amount referable to GST or, if the consideration is inclusive of
GST, is that consideration excluding the amount referable to GST using the rate
of GST in force at the time the parties agreed on the consideration.

 

In-column
Advertisement means a
Yellow Pages® print advertisement contained within the columns of a
Yellow Pages® directory and which includes business details and may
contain textual and graphical advertising content.

 

Initial
Cycle means the
period (if any) during which the Consultant is required to provide to Sensis
the Additional Services described in paragraph 1.1(b) of Schedule 1.

 

A person (which includes a
body corporate) is Insolvent if
it:-

 

(a)                   
makes or commences
negotiations with a view to making a general re-scheduling of its indebtedness,
a general assignment, scheme of arrangement or composition with its creditors;

 

(b)                  
takes any corporate
action, or any steps are taken or legal proceedings are started for:

 

(i)                       
its winding up,
dissolution, liquidation, or re-reorganisation, other than to reconstruct,
merge or amalgamate while solvent; or

 

(ii)                    
the appointment of a
controller, receiver, administrator, official manager, trustee, or other
similar officer, of it or of any of its revenues or assets; or

 

(c)                   
seeks or is granted
protection from its creditors under any applicable legislation.

 

Intellectual
Property or IP means
copyright (including moral rights); all rights conferred under statute, common
law or equity in relation to inventions (including patents), registered and
unregistered trademarks, registered and unregistered designs, circuit layouts
and confidential information; and all other rights resulting from intellectual
activity in the industrial, scientific, literary or artistic fields.

 

Loss means any loss, liability, cost or expense
(including legal expenses on a full indemnity basis).

 

Metro means the six (6)  Yellow Pages® print directories which relate to
the metropolitan markets of Australia.

 

Ongoing
Phase means the
period (if any) during which the Consultant is required to provide to Sensis
the Additional Services described in paragraph 1.1(c) of Schedule 1.

 

Personal
Information means
information or an opinion (including information or an opinion forming part of
a database), whether true or not, and whether recorded in a material form or
not, about a natural person whose identity is apparent, or can reasonably be
ascertained, from the information or opinion.

 

Personnel has the meaning given in clause 2.4.

 

Pilot
Project means the
trial to be conducted by Sensis with the assistance of the Consultant for the
purpose of determining the viability of full roll-out by Sensis of searchable
content as part of its online directory products.

 

 

Project IP means any Intellectual Property arising from
the performance of the Services under the Agreement, but excludes the
Deliverables.

 

Regional means the fifty (50) Yellow Pages®
print directories which relate to the regional markets of Australia.

 

Schedule means a schedule to this Agreement.

 

Sensis  Content
means any advertising, data or other information which is the property of
Sensis.

 

Sensis  Ontology
has the meaning given in clause 3.3.

 

Services means the services described at paragraph 1
of Schedule 1, and includes the Data Services and the Additional Services.

 

Special
Conditions means the
conditions specified in Item 5 of the Commercial Terms.

 

Tax Invoice has the same meaning as in the A New Tax
System (Goods and Services Tax) Act 1999 (Cth).

 

Taxonomy means the Yellow Pagesâ directory headings, properties, normalised
terms and synonyms and the relationships between these, as developed by the
Consultant for Sensis under this Agreement.

 

Telstra means Telstra Corporation Limited (ABN 33
051 775 556).

 

Working Day means Monday to Friday, excluding public
holidays in Victoria, Australia.

 

Work means a material form in which Project IP
vests including any work specified in Item 7 of the Commercial Terms and
includes a substantial part or adaptation of it.

 

14.2             
In this Agreement unless
the contrary intention appears, a reference to:

 

(a)                   
the Consultant includes a
reference to the Consultant’s employees, representatives and/or sub-contractors
as the case requires;

 

(b)                  
this Agreement or another
instrument includes any variation or replacement of either of them;

 

(c)                   
a “person” includes a
firm, a body corporate, an unincorporated association or an authority;

 

(d)                  
the singular includes the
plural and vice versa;

 

(e)                   
words such as “including”
and “for example” does not, and is not intended to, result in those words being
taken to be words of limitation; and

 

(f)                     
time is a reference to
the time in Melbourne, Australia.

 

14.3             
Headings are inserted for
convenience and do not affect the interpretation of this Agreement.

 

 

Schedule
1 - Services and Timetable

 

1         Services

 

1.1      General description of the
Services

 

Services
to be provided in connection with the Pilot Project

 

(a)                   
The Consultant will
provide keyword processing services in relation to content which is owned by or
licensed to Sensis, including print display advertisements, print in-column
advertisements, online solutions (incorporating business profiles & brand
packages), websites and adPoints.

 

For the Pilot Project, the
Consultant will receive from Sensis print display advertisements, print
in-column advertisements, online solutions (incorporating business profiles and
brand packages) and adPoints, not to exceed 25,000 units in various file
formats including; eps and xml.

 

As part of the Pilot
Project, the Consultant will be required to process a maximum of 25,000
advertisements under one level 1 heading (H1) to be determined by Sensis. This
H1 is a high level heading which acts as an umbrella heading for several Yellow
Pages® directories headings. The HI that has been selected for the
Pilot Project is “Automotive”. The five Yellow Pages® directory
headings that have been selected for the Pilot Project as part of the H1
“Automotive” are:

 

•                            
21431 - Motor cars new

 

•                            
23825 - Brake &
Clutch Services

 

•                            
18430 – Car Hire &/or
Minibus Rental

 

•                            
24058 – Tyres Retail

 

•                            
23493 – Insurances –
Motor Cars

 

The specific Services to be
provided by the Consultant as part of the Pilot Project will consist of the
following:

 

1.                         
Selecting (in conjunction
with Sensis) an H1 for the Pilot Project.

 

2.                         
Adapting the Consultant’s
Directory Knowledge Base (“DKB”)
for the H1 to the Australian market. This process involves putting Sensis
content through the Consultant’s DKB and then identifying content which is
particular and unique to the Australian market and adapting the DKB
accordingly.

 

3.                         
Processing advertiser
content provided by Sensis.

 

4.                         
Aggregating content.

 

5.                         
Tagging and normalising
data into the DKB ontology which has been

adapted for the Australian market.

 

6.                         
Delivering XML files of
tagged advertisements to Sensis.

 

 

Additional
Services to be provided in connection with the Initial Cycle

 

(b)                  
Sensis may, by written
notice to the Consultant under clause 1.3 of this Agreement, require the
Consultant after completion of the Pilot Project to provide further Services to
Sensis in respect to more advertisements.

 

The specific Services to be
provided by the Consultant as part of the Initial Cycle will consist of the
following:

 

1.                         
Adapting the Consultant’s
Directory Knowledge Base (“DKB”) for the Australian market. This process
involves putting Sensis content through the Consultant’s DKB and then
identifying content which is particular and unique to the Australian market and
adapting the DKB accordingly.

 

2.                         
Processing advertiser
content provided by Sensis.

 

3.                         
Aggregating content.

 

4.                         
Tagging and normalising
data into the DKB ontology which has been adapted for the Australian market.

 

5.                         
Delivering XML files of
tagged advertisements to Sensis.

 

Additional
Services to be provided in connection with the Ongoing Phase

 

(c)                   
Sensis may, by written
notice to the Consultant under clause 1.3 of this Agreement, require the Consultant
after completion of the Initial Cycle to provide further Services to Sensis in
respect to more advertisements.

 

The Services to be provided
by the Consultant during the Ongoing Phase will be the same as those services
provided by the Consultant during the Initial Cycle and will relate to all new
advertisements and advertisement changes received by Sensis following
completion of the Initial Cycle, except that Sensis may at its sole option
require the Consultant to use the Enhanced DKB in connection with its Service
delivery. If Sensis requires the Consultant to use the Enhanced DKB, Sensis
will be required to pay to the Consultant the rates described in paragraph 3(c)
of Schedule 2.

 

1.2      Description of the Data
Services

 

With effect from the Commencement
Date of the Initial Cycle (as set out in the Commercial Terms), the Consultant
will provide content production services to Sensis in the form of keyword
extraction services (“Data Services”).

 

The
Data Services will consist of keyword extraction of up to approximately 643,878
units (depending on whether Sensis requests any Additional Services under
paragraph l.1(b) or (c) above) from input files (as provided by Sensis under
paragraph 1.1 above) set out in the table below:

 

	
  Content
  Type

  	
   

  	
  Count*

  	
   

  	
  File
  Format

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Metro
  Display Advertisements

  	
   

  	
  101,301

  	
   

  	
  Thin
  EPS

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Metro
  In-column advertisements

  	
   

  	
  126,626

  	
   

  	
  XML

  	
   

  

 

 

	
  Content
  Type

  	
   

  	
  Count*

  	
   

  	
  File
  Format

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Regional
  Display Advertisements

  	
   

  	
  98,699

  	
   

  	
  Thin
  EPS

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Regional
  In-column advertisements

  	
   

  	
  123,374

  	
   

  	
  XML

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Brand
  Packages

  	
   

  	
  37,911

  	
   

  	
  HTML
  & GIF

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Business
  profiles

  	
   

  	
  37,911

  	
   

  	
  XML

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  AdPoints

  	
   

  	
  93,056

  	
   

  	
  XML

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Websites

  	
   

  	
  52,807

  	
   

  	
  HTML

  	
   

  

 

*The Consultant acknowledges
that, while Sensis has used reasonable efforts to accurately estimate the
number of units to be delivered by the Consultant, some changes to this
estimate may occur.

 

The Data Services also
include the collection of font size, font type and position in the
advertisement beginning in the Initial Cycle.

 

The
Deliverables must be in the form described in Schedule 4.

 

1.3      Production Reporting

 

With effect from the
Commencement Date of the Initial Cycle (as set out in the Commercial Terms),
the Consultant will provide Sensis with a daily report setting out the status
of the data being prepared by the Consultant. The form of the report will be as
agreed between Sensis and the Consultant from time to time. The report may be
produced manually, or via an automated system.

 

1.4      Personnel

 

Personnel
numbers

 

(a)                   
Consultant must commit
sufficient Personnel to the provision of the Services so that it is able to
provide the Services and the Deliverables in accordance with the timetable set
out in paragraph 2 below (as amended and varied from time to time).

 

Key
Personnel

 

(b)                  
Without limiting the
Consultant’s obligations under paragraph 1.4(a) above, the Consultant must
ensure that, until the expiry or termination for any reason of this Agreement
or until the relevant Key Personnel has completed his or her specific role in
the delivery of the Services (whichever occurs earlier), the Key Personnel (if
any) are engaged in the provision of the Services to Sensis. The Key Personnel
are Mike Bauer, Sean Bowman and Jamie Fergusson.

 

 

Consultant’s
obligations in relation to Personnel

 

(c)                   
The Consultant
acknowledges that:

 

(i)                       
it is solely responsible
for the acts and omissions of all Personnel while they are involved in
providing the Services to Sensis; and

 

(ii)                    
subject to paragraph
1.4(g) below, all Personnel are and will remain at all times employees or
contractors of the Consultant (and will not be or be deemed to be employees or
contractors of Sensis or Telstra).

 

(d)      
On request from Sensis, the Consultant must

 

(i)                       
give Sensis details of
the skills, qualifications and experience of any Personnel;

 

(ii)                    
procure that all
Personnel sign individual confidentiality agreements with Sensis in a form
approved in advance by Sensis; and

 

(iii)                 
promptly remove or
replace (at Sensis’ election) any Personnel.

 

Change of
Personnel by the Consultant

 

(e)                   
Unless requested to do so
by Sensis, the Consultant will only be entitled to change a person named as Key
Personnel if he or she leaves the employment of the Consultant or is unable to
work by reason of illness or incapacity or by prior written agreement with
Sensis.

 

(f)                     
Without limiting the
requirements under paragraph (e) above, the Consultant must obtain Sensis’
approval before replacing any Personnel and must ensure that all replacement
Personnel are suitably qualified and experienced.

 

Insolvency and
breach

 

(g)                  
If the Consultant is or
becomes Insolvent or this Agreement is terminated by Sensis for breach, Sensis
reserves the right to approach any Personnel (including the Key Personnel) to
offer him or her a position as an employee or contractor of Sensis and the
Consultant must not do anything to binder the acceptance of such an offer by
those Personnel.

 

2         Timetable

 

Subject to paragraph 3
below, the Consultant must perform the Services in accordance with the
following timetable:

 

Metro

 

	
  Deliverable

  	
   

  	
  Responsibility

  	
   

  	
  Delivery
  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Pilot
  Data Extract (business profiles, brand packages, in-column ads, adPoints)

  	
   

  	
  Sensis

  	
   

  	
  03/10/2003

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Pilot
  Data Extract (display ads)

  	
   

  	
  Sensis

  	
   

  	
  15/10/2003

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Pilot
  Data

  	
   

  	
  Aptas

  	
   

  	
  06/11/2003

  	
   

  

 

 

	
  Deliverable

  	
   

  	
  Responsibility

  	
   

  	
  Delivery
  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Initial Cycle Metro Data
  Extract (business profiles, brand packages, in-column ads, adPoints)

  	
   

  	
  Sensis

  	
   

  	
  20/11/2003

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Initial Cycle Metro Data
  Extract (display ads)

  	
   

  	
  Sensis

  	
   

  	
  17/12/2003

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Initial Cycle Metro Data

  	
   

  	
  Aptas

  	
   

  	
  06/01/2003

  	
   

  

 

Regional

 

(See table on next page)

 

 

Regional

 

	
  Yellow
  Pages Regional Processing Schedule

  
	
   

  
	
  DIRECTORY

  	
   

  	
  Deliver
  to Aptas

  	
   

  	
  Deliver
  to Sensis

  
	
  N01Y

  	
   

  	
  Tamworth

  	
   

  	
  28-Dec-03

  	
   

  	
  28-Jan-03

  
	
  T03Y

  	
   

  	
  Launceston

  	
   

  	
  28-Dec-03

  	
   

  	
  28-Jan-03

  
	
  N05Y

  	
   

  	
  Dubbo

  	
   

  	
  5-Jan-04

  	
   

  	
  05-Feb-03

  
	
  N09Y

  	
   

  	
  Kempsey

  	
   

  	
  5-Jan-04

  	
   

  	
  05-Feb-03

  
	
  N12Y

  	
   

  	
  Bathurst

  	
   

  	
  5-Jan-04

  	
   

  	
  05-Feb-03

  
	
  N14Y

  	
   

  	
  Alburv

  	
   

  	
  5-Jan-04

  	
   

  	
  05-Feb-03

  
	
  Q04Y

  	
   

  	
  Toowoomba

  	
   

  	
  5-Jan-04

  	
   

  	
  05-Feb-03

  
	
  N17Y

  	
   

  	
  Windsor

  	
   

  	
  12-Jan-04

  	
   

  	
  12-Feb-03

  
	
  Q07Y

  	
   

  	
  Beaudesert

  	
   

  	
  12-Jan-04

  	
   

  	
  12-Feb-03

  
	
  V07Y

  	
   

  	
  Wangaratta

  	
   

  	
  12-Jan-04

  	
   

  	
  12-Feb-03

  
	
  Q08Y

  	
   

  	
  Roma

  	
   

  	
  19-Jan-04

  	
   

  	
  19-Feb-03

  
	
  S06Y

  	
   

  	
  Pt
  Augusta

  	
   

  	
  19-Jan-04

  	
   

  	
  19-Feb-03

  
	
  N13Y

  	
   

  	
  Penrith

  	
   

  	
  26-Jan-04

  	
   

  	
  26-Feb-03

  
	
  N04Y

  	
   

  	
  Canberra

  	
   

  	
  26-Jan-04

  	
   

  	
  26-Feb-03

  
	
  S05Y

  	
   

  	
  Barossa
  Valley

  	
   

  	
  2-Feb-04

  	
   

  	
  02-Mar-03

  
	
  S07Y

  	
   

  	
  South
  East

  	
   

  	
  2-Feb-04

  	
   

  	
  02-Mar-03

  
	
  S08Y

  	
   

  	
  Yorke
  Peninsula

  	
   

  	
  2-Feb-04

  	
   

  	
  02-Mar-03

  
	
  V08Y

  	
   

  	
  Shepparton

  	
   

  	
  2-Feb-04

  	
   

  	
  02-Mar-03

  
	
  Q06Y

  	
   

  	
  Townsville

  	
   

  	
  7-Feb-04

  	
   

  	
  07-Mar-03

  
	
  V03Y

  	
   

  	
  Ballarat

  	
   

  	
  7-Feb-04

  	
   

  	
  07-Mar-03

  
	
  N07Y

  	
   

  	
  Wollongong

  	
   

  	
  16-Feb-04

  	
   

  	
  16-Mar-04

  
	
  N10Y

  	
   

  	
  Broken
  Hill

  	
   

  	
  16-Feb-04

  	
   

  	
  16-Mar-03

  
	
  N19Y

  	
   

  	
  Cooma

  	
   

  	
  16-Feb-04

  	
   

  	
  16-Mar-03

  
	
  Q03Y

  	
   

  	
  Maryborough

  	
   

  	
  16-Feb-04

  	
   

  	
  16-Mar-03

  
	
  Q01Y

  	
   

  	
  Cairns

  	
   

  	
  6-Mar-04

  	
   

  	
  06-Apr-03

  
	
  T04Y

  	
   

  	
  Burnie

  	
   

  	
  6-Mar-04

  	
   

  	
  06-Apr-03

  
	
  V05Y

  	
   

  	
  Warrnambool

  	
   

  	
  6-Mar-04

  	
   

  	
  06-Apr-03

  
	
  V10Y

  	
   

  	
  Mildura

  	
   

  	
  6-Mar-04

  	
   

  	
  06-Apr-03

  
	
  W03Y

  	
   

  	
  South
  Western

  	
   

  	
  6-Mar-04

  	
   

  	
  06-Apr-03

  
	
  N06Y

  	
   

  	
  Lismore

  	
   

  	
  13-Mar-04

  	
   

  	
  13-Apr-03

  
	
  N11Y

  	
   

  	
  Muswellbrook

  	
   

  	
  13-Mar-04

  	
   

  	
  13-Apr-03

  
	
  N18Y

  	
   

  	
  Campbelltown

  	
   

  	
  13-Mar-04

  	
   

  	
  13-Apr-03

  
	
  Q09Y

  	
   

  	
  Sunshine
  Coast

  	
   

  	
  13-Mar-04

  	
   

  	
  13-Apr-03

  
	
  V01Y

  	
   

  	
  Bairnsdale

  	
   

  	
  13-Mar-04

  	
   

  	
  13-Apr-03

  
	
  W01Y

  	
   

  	
  Great
  Northern

  	
   

  	
  13-Mar-04

  	
   

  	
  13-Apr-03

  
	
  W02Y

  	
   

  	
  Central
  & East

  	
   

  	
  13-Mar-04

  	
   

  	
  13-Apr-03

  
	
  N20Y

  	
   

  	
  Bega

  	
   

  	
  27-Mar-04

  	
   

  	
  27-Apr-03

  
	
  V09Y

  	
   

  	
  Mornington

  	
   

  	
  27-Mar-04

  	
   

  	
  27-Apr-03

  
	
  V02Y

  	
   

  	
  Geelong

  	
   

  	
  1-Apr-04

  	
   

  	
  01-May-03

  
	
  V04Y

  	
   

  	
  Bendigo

  	
   

  	
  1-Apr-04

  	
   

  	
  01-May-03

  
	
  V06Y

  	
   

  	
  Warragul

  	
   

  	
  1-Apr-04

  	
   

  	
  01-May-03

  
	
  S09Y

  	
   

  	
  Northern
  Territory

  	
   

  	
  5-Apr-04

  	
   

  	
  05-May-03

  
	
  N02Y

  	
   

  	
  Wagga

  	
   

  	
  11-Apr-04

  	
   

  	
  11-May-03

  
	
  N16Y

  	
   

  	
  Nowra

  	
   

  	
  26-Apr-04

  	
   

  	
  26-May-03

  
	
  N08Y

  	
   

  	
  Central
  Coast

  	
   

  	
  5-May-04

  	
   

  	
  05-Jun-03

  
	
  N15Y

  	
   

  	
  Goulburn

  	
   

  	
  5-May-04

  	
   

  	
  05-Jun-03

  
	
  Q10Y

  	
   

  	
  Mackay

  	
   

  	
  5-May-04

  	
   

  	
  05-Jun-03

  
	
  Q02Y

  	
   

  	
  Rockhampton

  	
   

  	
  12-May-04

  	
   

  	
  12-Jun-03

  
	
  Q05Y

  	
   

  	
  Gold
  Coast

  	
   

  	
  13-May-04

  	
   

  	
  13-Jun-03

  
	
  N03Y

  	
   

  	
  Newcastle

  	
   

  	
  23-May-04

  	
   

  	
  23-Jun-03

  

 

 

3         Delay

 

3.1                   
The Consultant must give
notice to Sensis as soon as it becomes apparent that it will not be able to
meet a particular deadline set out in paragraph 2 above. The notice must be in
writing and include details of:

 

•                           
the delay;

 

•                           
the cause or causes
(whether because of any act or omission of the Consultant, Sensis, their
representatives, a combination or otherwise); and

 

•                           
the steps the Consultant
is taking to minimise the delay.

 

3.2                   
If the Consultant gives
Sensis a notice under paragraph 3.1 above the parties must, at the request of
either party, meet as soon as practicable, in good faith, with a view to
revising the delivery dates for the various deliverables (as set out in
paragraph 2 above). Unless and until the parties agree on revised delivery
dates, the delivery dates set out in paragraph 2 will continue to apply.

 

3.3                   
If Sensis delays the
delivery of the input data described in paragraph 1 above by more than one (1)
Working Day for the Pilot Project or more than three (3) Working Days for the
Initial Cycle or the Ongoing Phase, then the project deliverable date will be
pushed out by the number of Working Days that Sensis delays the delivery of the
input data described in paragraph 1 above.

 

 

Schedule 2  -
Fees and payment

 

1                           
Fees

 

(a)                   
(Pilot
Project) Sensis agrees to
pay the Consultant a Fee of [***] (inclusive of all taxes and other charges) in
consideration for the Services to be provided by the Consultant under paragraph
1.1(a) of Schedule 1 as part of the Pilot Project.

 

(b)                  
(Initial
Cycle) If Sensis requires
the Consultant to provide Additional Services in accordance with paragraph
l.l(b) of Schedule 1 during or in connection with the Initial Cycle, the fees
for such Additional Services shall be based on the per unit fee (inclusive of
all taxes and other charges) specified in paragraph 3 of this Schedule 2, with
the following exceptions:

 

1.                        
The Fee for extracting up
to the first [***] .eps files shall be [***] (inclusive of all taxes and other
charges). If Sensis requires the Consultant to process less than [***] .eps
files as part of the Initial Cycle, it shall receive a credit for

 

a.                        
the number of .eps files
(out of the original [***]) not actually extracted, as long as the actual
number of .eps files which Sensis requires the Consultant to process exceeds
[***]; and

 

b.                       
the number of .eps files
(out of the original [***]) not actually normalized, as long as the actual
number of .eps files which Sensis requires the Consultant to normalize exceeds
[***]

 

Such credits shall be based
on the rate cards in Section 3, paragraphs 4 (a) and (b) of this Schedule 2.

 

Credits shall only be
applied if Sensis requests the Consultant to provide Services to the entire
Sensis asset base described in paragraph 1.2 of Schedule 1.

 

2.                        
During the Initial Cycle,
any websites extracted shall be done at a rate equivalent to the per unit rate
for display ads for up to the first [***] websites.

 

3.                        
An estimate of the cost
of the Initial Cycle is provided in Schedule 4. This estimate is not binding on
either party. Based upon that estimate, the fees for the initial Cycle in
excess of the initial payment specified in paragraph 1(b)(1) above will be
approximately [***]. The variance, if any, from this estimate will result from
changes to the estimated number of units specified in section 1.2 of Schedule
1.

 

(c)                   
(Ongoing
Phase) If Sensis requires
the Consultant to provide Additional Services in accordance with paragraph
1.1(c) of Schedule 1 during or in connection with the Ongoing Phase, then the
Fees for those Additional Services will be the per unit fee (inclusive of all
taxes and other charges) specified in paragraph 3 of this Schedule 2.

 

2         Payment
Schedule

 

(a)                   
(Pilot
Project) The Fees payable by
Sensis under paragraph 1(a) of this Schedule 2 will be payable by Sensis in
accordance with the payment schedule set out below:

 

 

(i)                       
[***] payable on
execution of this Agreement; and

 

(ii)                    
[***] payable on the
issue date of an acceptance certificate for the Deliverables for the Pilot
Project under either paragraph 2.3 or 2.5(a) of Schedule 3.

 

(b)                  
(Initial
Cycle) The Fees payable by
Sensis under paragraph 1(b) of this Schedule 2 will be payable by Sensis in
accordance with the payment schedule set out below:

 

(i)                       
[***] is payable on the
Commencement Date of the Initial Cycle; and

 

(ii)                    
the balance of any Fees
earned over and above item 2(b)(i) of this Schedule 2 will be payable on the
issue of an acceptance certificate for the Deliverables for the Initial Cycle
under either paragraph 2.3 or 2.5(a) of Schedule 3.

 

(c)                   
(Ongoing
Phase) The Fees payable by
Sensis under paragraph 1(c) of this Schedule 2 will be payable by Sensis
monthly in arrears.

 

3                           
Per
Unit Pricing Schedule*

 

(a) Extraction Fees

 

	
  Volume
  Per Year

  	
   

  	
  Display
  Ads or

  Business Profiles

  	
   

  	
  In-Column,
  Ad Points

  or Brand Packages

  	
   

  	
  Websites

  	
   

  
	
  1-50,000

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  50,001-100,000

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  100,001-250,000

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  250,000
  +

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  

 

(An additional fee of US$0.50 will be charged for
extraction of any non-readable assets.)

 

(b) Base DKB Normalization Fees

 

	
  Volume
  Per Year

  	
   

  	
  Display
  Ads, Business Profiles

  or Websites

  	
   

  	
  In-Column,
  Ad Points or

  Brand Packages

  	
   

  
	
  1-50,000

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  50,001-100,000

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  100,001-250,000

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  
	
  250,000
  +

  	
   

  	
  [***]

  	
   

  	
  [***]

  	
   

  

 

 

(c) Enhanced DKB Fees per Business

 

	
  Year
  2004

  	
   

  	
  [***]

  
	
  Year
  2005

  	
   

  	
  [***]

  

 

* Following completion of
the Initial Cycle, the Consultant and Sensis agree to review the rates set out
in Per Unit Pricing Schedule above. The Consultant agrees that any new pricing
for the Ongoing Phase will not exceed the rates set out in Per Unit Pricing
Schedule above. If the parties cannot agree on new pricing, the pricing set out
above will continue to apply.

 

4.                        
Set
off

 

If the parties enter into
negotiations for a licence in and to the Consultant’s Intellectual Property
including, but not limited to, Consultant’s DKB, the parties will negotiate in
good faith with a view to applying up to [***] of the Fees actually paid under
this Agreement for the Pilot Project and the Initial Cycle as “credits” against
any amount payable by Sensis under the licence agreement.

 

 

Schedule 3 - Acceptance Criteria

 

1                           
Acceptance
Criteria

 

1.1                   
The content of the
Deliverables provided to Sensis by the Consultant must:

 

(a)                   
contain all agreed
inputs;

 

(b)                  
be in the correct file
format (as agreed in paragraph 1.2 of Schedule 1);

 

(c)                   
accurately reflect the
source data provided to the Consultant by Sensis with the following quality
assurance:

 

(i)                       
100% of files delivered
are returned;

 

(ii)                    
90% of eligible text in
each advertisement is extracted;

 

(iii)                 
98% of spelling mistakes
in eligible text are corrected and indexed; and

 

(iv)                
95% of eligible terms are
normalised correctly.

 

For the purposes of this
paragraph l.l(c):

 

(i)                      
“eligible terms” means
any text in an advertisement that may constitute meaningful content; and

 

(ii)                   
“normalised correctly”
means associated with a generic term,

 

for ontology development and
keyword extraction.

 

2                           
Acceptance
Testing

 

Certification

 

2.1                   
Once the Consultant has
completed development of the Deliverables, the Consultant must promptly and at
its own cost:

 

(a)                   
notify Sensis; and

 

(b)                  
conduct such tests as are
necessary to verify that the Deliverables comply with the Acceptance Criteria
(as set out in paragraph 1 of this Schedule 3) and, upon request by Sensis,
provide Sensis with copies of all data, results and other information relating
to the tests; and

 

(d)                  
upon successful
completion of each such test, certify in writing to Sensis that the Deliverable
meet the Acceptance Criteria.

 

Sensis tests

 

2.2                   
Following receipt by
Sensis of a certificate under paragraph 2.1(d) above, Sensis may, at Sensis’
sole discretion and cost, conduct its own acceptance tests in relation to the
Deliverables to confirm that the Deliverables comply with the Acceptance
Criteria (as set out in paragraph 1 of this Schedule 3). The Consultant must
provide such reasonable assistance as may be requested by Sensis to enable
Sensis to conduct these acceptance tests (eg providing Sensis with access to
its systems and the DKB).

 

 

Acceptance Certificate

 

2.3                   
If Sensis is satisfied
that the Deliverables meet the Acceptance Criteria (whether on the basis of the
tests conducted by the Consultant, or by Sensis, or otherwise), Sensis will
provide a written acceptance certificate to the Consultant.

 

Failure of acceptance testing

 

2.4                   
If the acceptance tests
conducted by the Consultant or Sensis, or the details provided to Sensis under
paragraph 2.1(b) above, reveal that a Deliverable has an error or defect, or
otherwise does not meet any of the Acceptance Criteria, the Consultant must, at
its own cost, promptly rectify and correct that error. Once the error(s) have
been rectified, the Consultant must, and Sensis may, repeat the acceptance
tests contemplated under paragraphs 2.1 and 2.2.

 

2.5                   
If Sensis is satisfied on
the basis of these additional acceptance tests that:

 

(a)                   
the Deliverables meet the
Acceptance Criteria, Sensis will provide a written acceptance certificate to
the Consultant.

 

(b)                  
the Deliverables do not
meet the Acceptance Criteria, Sensis may, at its option:

 

(i)                       
accept the Deliverables
“as is” at an agreed reduction in the Fees payable by Sensis under Schedule 2;
or

 

(ii)                    
terminate this agreement
by written notice to the Consultant (in which case, Sensis will not be required
to pay any post-acceptance component of the Fees).

 

(c)                   
If Sensis exercises a
right under paragraph 2.5(b)(i) and the parties are unable to agree on an
appropriate reduction in Fees within 10 Working Days’ of Sensis exercising such
a right, then Sensis may terminate this agreement by written notice to the
Consultant (in which case, Sensis will not be required to pay any
post-acceptance component of the Fees).

 

Further tests

 

2.5                   
Sensis may, at its own
cost, conduct tests in relation to the Deliverables at any time during the term
of this agreement. If such tests reveal that any of the Deliverables are
failing or have failed to meet the Acceptance Criteria, Sensis will notify the
Consultant and the Consultant must, at its own cost, promptly rectify that
failure.

 

 

Schedule 4 – Initial Cycle Cost Estimate

 

 

	
  Initial Cycle

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Display
  - EPS

  	
   

  	
   

  	
   

  	
   

  
	
  Regional display

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Metro display

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Brand packages

  	
   

  	
  [***]

  	
   

  	
  ([***]
  Normalization)

  
	
  subtotal

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Other

  	
   

  	
   

  	
   

  	
   

  
	
  Regional incolumn (XML)

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Metro Incolumn (XML)

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Business profiles (XML)

  	
   

  	
  [***]

  	
   

  	
   

  
	
  AdPoint (XML)

  	
   

  	
  [***]

  	
   

  	
   

  
	
  subtotal

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Extraction

  	
   

  	
   

  	
   

  	
   

  
	
  Proposal
  Includes up to 250,000 Display

  	
   

  	
   

  	
   

  	
   

  
	
  Display
  ads

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Brand
  Packages

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Credit
  of ads

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Revenue
  credit

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Base
  DKB - Normalizing

  	
   

  	
   

  	
   

  	
   

  
	
  Proposal
  includes up to 250,000 Display

  	
   

  	
   

  	
   

  	
   

  
	
  Display
  ads

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Business
  Profiles

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Credit
  of ads

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Revenue
  credit

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Extraction
  - Other

  	
   

  	
   

  	
   

  	
   

  
	
  Regional incolumn (XML)

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Metro incolumn (XML)

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Business profiles (XML)

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  AdPoint (XML)

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Base DKB Normalizing-
  Other

  	
   

  	
   

  	
   

  	
   

  
	
  Regional incolumn (XML)

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Metro Incolumn (XML)

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Brand Packages

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  AdPoint (XML)

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Non-readable premium – 5%

  	
   

  	
   

  	
   

  	
   

  
	
  Display

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Incolumn

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Subtotal
  without Websites

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Initial
  Payment

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  TOTAL
  WITHOUT WEBSITES

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Websites

  	
   

  	
   

  	
   

  	
   

  
	
  Extraction

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  Normalization

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
  TOTAL
  Websites

  	
   

  	
   

  	
  [***]

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  TOTAL

  	
   

  	
   

  	
  [***]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}]]