Document:

Flextronics International Ltd. Exhibit 4.09

 

Exhibit 4.09

EXECUTION VERSION

FIRST AMENDMENT TO CREDIT AGREEMENT

          THIS FIRST AMENDMENT TO CREDIT AGREEMENT (this “Amendment”), dated as of
March 7, 2003, is entered into by and among:

		
	 	     (1)     FLEXTRONICS INTERNATIONAL USA, INC., a California corporation (“Borrower”);
	 
	 	     (2)     Each of the financial institutions listed in Part A of Schedule
I to the Credit Agreement under the heading “Facility B Commitment”
referred to in Recital A below as amended by this Amendment (such
financial institutions to be referred to herein collectively as the
“Facility B Lenders”); and
	 
	 	     (3)     ABN AMRO BANK N.V. (“ABN AMRO”), as agent for the Lenders (in
such capacity, “Agent”).

RECITALS

          A.     Borrower, the financial institutions currently listed in Part A of
Schedule I to the Credit Agreement, including the financial institutions
currently listed in Part A of Schedule I to the Credit Agreement under the
heading “Facility B Commitment” referred to in this Recital A (such financial
institutions listed under the heading “Facility B Commitment” to be referred to
herein collectively as the “Existing Facility B Lenders”) and Agent are parties
to that certain Credit Agreement, dated as of March 8, 2002 (the “Credit
Agreement”). Pursuant to the Credit Agreement, the Existing Facility B Lenders
have agreed to provide to Borrower a 364 day revolving credit facility with a
total commitment of $133,333,333.33 (the “Total Facility B Commitment”), of
which $0 is outstanding in the form of Facility B Loans as of March 7, 2003
(such outstanding Facility B Loans, collectively, the “Outstanding Facility B
Loans”). Pursuant to the Credit Agreement, the Total Facility B Commitment is
currently set to expire on March 7, 2003 (such date as defined in the Credit
Agreement, the “Facility B Maturity Date”).

          B.     In order to facilitate the extension of the Facility B Maturity Date to
March 5, 2004 and an increase of the Total Facility B Commitment to
$173,333,333.33, Borrower has requested that (i) the Existing Facility B
Lenders amend the Credit Agreement to extend the Facility B Maturity Date,
increase the Total Facility B Commitment and to make certain other changes, and
(ii) each of Erste Bank der oesterreichischen Sparkassen AG, Key Corporate
Capital, Inc. and Royal Bank of Canada become parties to the Credit Agreement
as amended by this Amendment as Facility B Lenders (collectively, the “New
Facility B Lenders”) with Facility B Commitments in the amounts described in
this Amendment.

          C.     (i) The Existing Facility B Lenders are willing to amend the Credit
Agreement to extend the Facility B Maturity Date, increase the Total Facility B
Commitment and to make such other changes to the Credit Agreement as are set
forth herein, and (ii) the New Facility B Lenders are willing to become parties
to the Credit Agreement as amended by this Amendment

 

 

as Facility B Lenders with Facility B Commitments in the amounts described
in this Amendment, each upon the terms and subject to the conditions set forth
herein.

AGREEMENT

          NOW, THEREFORE, in consideration of the above recitals and for other good
and valuable consideration, the receipt and adequacy of which are hereby
acknowledged, Borrower, the Facility B Lenders and Agent hereby agree as
follows:

          1.     Definitions, Interpretation. All capitalized terms defined above and
elsewhere in this Amendment shall be used herein as so defined. Unless
otherwise defined herein, all other capitalized terms used herein shall have
the respective meanings given to those terms in the Credit Agreement, as
amended by this Amendment. The rules of construction set forth in Section I of
the Credit Agreement shall, to the extent not inconsistent with the terms of
this Amendment, apply to this Amendment and are hereby incorporated by
reference.

          2.     Sale and Assignment of Outstanding Facility B Loans. Subject to the
satisfaction of the conditions set forth in paragraph 5 below, on the Effective
Date Agent shall calculate the Proportionate Share of each Facility B Lender in
each Outstanding Facility B Loan. Based upon such calculation, the Facility B
Lenders shall sell and assign or purchase and assume (as applicable) from each
other such shares in the Outstanding Facility B Loans as Agent determines is
necessary to cause each Facility B Lender to hold Outstanding Facility B Loans
in an amount equal to such Facility B Lender’s Proportionate Share of such
Outstanding Facility B Loan Borrowings. On and after the Effective Date, each
Facility B Lender shall have a Facility B Commitment in an amount set forth
opposite its name on Part A of Schedule I of the Credit Agreement (as amended
pursuant to this Amendment) under the heading “Facility B Commitments”, with
the rights, duties and obligations of such a Facility B Lender under the Credit
Agreement and the other Credit Documents.

          3.     Amendments to Credit Agreement. Subject to the satisfaction of the
conditions set forth in paragraph 5 below, the Credit Agreement is hereby
amended as follows:

		
	 	     (a)     Paragraph 1.01 is hereby amended by changing the definition of
the term “Facility B Maturity Date” set forth therein to read in its
entirety as follows:
	 
	 	               “Facility B Maturity Date” shall mean March 5, 2004.

		
	 	     (b)     Paragraph 1.01 is hereby further amended by changing the
definition of the term “Total Facility B Commitment” set forth therein to
read in its entirety as follows:

		
	 	     “Total Facility B Commitment” shall mean, at any time, the sum
at such time of Facility B Lenders’ Facility B Commitments. The
Total Facility B Commitment on the date of this Agreement is
$133,333,333.33, and the Total Facility B Commitment on March 7,
2003 is $173,333,333.33.

 

 

		
	 	     (c)     The first and third columns of Part A of Schedule I which sets
forth the name of each Facility B Lender and the Facility B Commitment of
each Facility B Lender is hereby amended to read in its entirety as set
forth on Attachment A hereto (and to the extent such Facility B Lender
does not also hold a Facility A Commitment, Part A of Schedule I will
also be amended to reflect as such).
	 
	 	     (d)     Part B of Schedule I which sets for the address for notices for
all of the Lenders (including the Facility B Lenders) is hereby amended
by the deleting certain notice information as applicable, and by adding
the notice information with respect to the New Facility B Lenders to read
in its entirety as set forth on Attachment B hereto.
	 
	 	     (e)     The portion of the Pricing Grid with the heading “Facility B”
set forth on Schedule II is hereby amended to read in its entirety as set
forth on Attachment C hereto.

          4.     Representations and Warranties. Borrower hereby represents and
warrants to Agent and the Facility B Lenders that the following are true and
correct on the date of this Amendment and that, after giving effect to the
amendments set forth in paragraph 3 above, the following will be true and
correct on the Effective Date:

		
	 	     (a)     The representations and warranties of Borrower and its
Subsidiaries set forth in Paragraph 4.01 of the Credit Agreement and in
the other Credit Documents are true and correct in all material respects
(except for representations and warranties expressly made as of a
specified date, which are true and correct in all material respects as of
such date);

		
	 	     (b)     No Default has occurred and is continuing; and
	 
	 	     (c)     Each of the Credit Documents is in full force and effect.

(Without limiting the scope of the term “Credit Documents,” Borrower expressly
acknowledges in making the representations and warranties set forth in this
paragraph 4 that, on and after the date hereof, such term includes this
Amendment.)

          5.     Effective Date. The sale, assignment, purchase and assumption (as
applicable) of the Outstanding Facility B Loans referenced in paragraph 2 above
and the amendments effected by paragraph 3 above shall become effective on
March 7, 2003 (the “Effective Date”), subject to receipt by the Facility B
Lenders and Agent, as applicable, on or prior to the Effective Date of the
following, each in form and substance satisfactory to the Lenders, Agent and
their respective counsel, as applicable:

		
	 	     (a)     This Amendment duly executed by Borrower, each Facility B Lender
and Agent;
	 
	 	     (b)     Such Notes as the Facility B Lenders shall request reflecting
such Facility B Lender’s Commitment, each duly executed by Borrower;
	 
	 	     (c)     A letter in the form of Attachment D hereto appropriately
completed and duly executed by each Guarantor;

 

 

		
	 	     (d)     A Certificate of the Secretary of Borrower, dated the Effective
Date, certifying that (i) the Articles of Incorporation and Bylaws of Borrower, in the form
delivered to Agent on the Closing Date, are in full force and effect and have not been amended,
 supplemented, revoked or repealed since such date and
(ii) that attached thereto are true and
correct copies of resolutions duly adopted by the Board of Directors of
Borrower and continuing in effect, which authorize the execution,
delivery and performance by Borrower of this Amendment and the
consummation of the transactions contemplated hereby, including without
limitation, the extension of the Facility B Maturity Date and the
increase of the Total Facility B Commitment;
	 
	 	     (e)     Evidence satisfactory to Agent that the First Amendment to the
FIL Credit Agreement to be dated as of the date hereof shall have been
duly executed by the parties thereto and that such amendment shall also
become effective on the Effective Date;
	 
	 	     (f)     A favorable written opinion from Fenwick & West,
counsel for Borrower, dated the Effective Date, addressed to Agent for
the benefit of Agent and the Facility B Lenders, covering such legal
matters as Agent may reasonably request and otherwise in form and
substance satisfactory to Agent;
	 
	 	     (g)     Receipt by Agent on behalf of the Facility B Lenders from
Borrower of a non-refundable amendment fee in the amount of $433,333.33,
to be shared among the Facility B Lenders pro rata based upon each such
Facility B Lender’s Proportionate Share of the Total Facility B
Commitment;
	 
	 	     (h)     Receipt
by Agent for its own account from FIL of the
arrangement fee referenced in the certain letter agreement dated as of
January 16, 2003, between Agent and FIL and
	 
	 	     (i)     Such other evidence as Agent or any Lender may reasonably
request to establish the accuracy and completeness of the representations
and warranties and the compliance with the terms and conditions contained
in this Amendment and the other Credit Documents.

          6.     Effect of this Amendment. On and after the Effective Date, each
reference in the Credit Agreement and the other Credit Documents to the Credit
Agreement shall mean the Credit Agreement as amended hereby. Except as
specifically amended above, (a) the Credit Agreement and the other Credit
Documents shall remain in full force and effect and are hereby ratified and
confirmed and (b) the execution, delivery and effectiveness of this Amendment
shall not, except as expressly provided herein, operate as a waiver of any
right, power, or remedy of the Lenders or Agent, nor constitute a waiver of any
provision of the Credit Agreement or any other Credit Document.

          7.     Miscellaneous.

		
	 	     (a)     Counterparts. This Amendment may be executed in any number of
identical counterparts, any set of which signed by all the parties hereto
shall be deemed to constitute a complete, executed original for all
purposes.

 

 

		
	 	     (b)     Headings. Headings in this Amendment are for convenience of
reference only and are not part of the substance hereof.
	 
	 	     (c)     Governing Law. This Amendment shall be governed by and
construed in accordance with the laws of the State of California without
reference to conflicts of law rules.

[The Signature Pages Follow]

 

 

          IN WITNESS WHEREOF, Borrower, Agent and the Facility B Lenders have caused
this Amendment to be executed as of the day and year first above written.

	 	 	 	 	 
	BORROWER:	 	FLEXTRONICS
INTERNATIONAL USA, INC.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	AGENT:	 	ABN AMRO BANK N.V.,

As Agent
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	FACILITY B LENDERS:	 	ABN AMRO BANK N.V.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

	 	 	 	 	 
	 
	 	 	AIB INTERNATIONAL FINANCE
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	DEUTSCHE BANK TRUST COMPANY
 AMERICAS (formerly Bankers Trust Company)
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	BANK OF AMERICA, N.A.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

	 	 	 	 	 
	 
	 	 	BEAR STEARNS CORPORATE LENDING INC.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	BNP PARIBAS
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	CITICORP USA, INC.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

	 	 	 	 	 
	 
	 	 	COMERICA BANK
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	CREDIT SUISSE FIRST BOSTON
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	DANSKE BANK A/S
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

	 	 	 	 	 
	 
	 	 	ERSTE BANK DER OESTERREICHISCHEN SPARKASSEN

AG
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	FLEET NATIONAL BANK
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	MIZUHO CORPORATE BANK, LIMITED
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

	 	 	 	 	 
	 
	 	 	KEY CORPORATE CAPITAL, INC.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	LEHMAN COMMERCIAL PAPER INC.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	ROYAL BANK OF CANADA
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

	 	 	 	 	 
	 
	 	 	SKANDINAVISKA ENSKILDA BANKEN AB (publ)
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	THE BANK OF NOVA SCOTIA
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	UNION BANK OF CALIFORNIA, N.A.
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

	 	 	 	 	 
	 
	 	 	U.S. BANK NATIONAL ASSOCIATION
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:
	 
	 	 	
By:
	 	 

Name:
	 	 	 	 	Title:

 

 

ATTACHMENT A

SCHEDULE I

FACILITY B LENDER’S COMMITMENTS

	 	 	 	 	 
	LENDER	 	FACILITY B COMMITMENT
	
	 	

	ABN AMRO Bank N.V.
	 	$	15,208,333.33	 
	AIB International Finance
	 	$	2,500,000.00	 
	Deutsche Bank Trust Company Americas
	 	$	14,000,000.00	 
	Bank of America, N.A.
	 	$	14,000,000.00	 
	Bear Stearns Corporate Lending Inc.
	 	$	4,166,666.67	 
	BNP Paribas
	 	$	6,750,000.00	 
	Citicorp USA, Inc.
	 	$	14,000,000.00	 
	Comerica Bank
	 	$	1,666,666.67	 
	Credit Suisse First Boston
	 	$	8,333,333.33	 
	Danske Bank A/S
	 	$	4,166,666.67	 
	Fleet National Bank
	 	$	15,208,333.33	 
	Mizuho Corporate Bank, Limited
	 	$	4,166,666.67	 
	U.S. Bank National Association
	 	$	4,166,666.67	 

 

 

	 	 	 	 	 
	LENDER	 	FACILITY B COMMITMENT
	
	 	

	Lehman Commercial Paper Inc.
	 	$	4,166,666.67	 
	Skandinaviska Enskilda Banken AB (publ)
	 	$	4,166,666.67	 
	The Bank of Nova Scotia
	 	$	12,500,000.00	 
	Union Bank of California, N.A.
	 	$	4,166,666.67	 
	Erste Bank der oesterreichischen
Sparkassen AG
	 	$	12,500,000.00	 
	Key Corporate Capital, Inc.
	 	$	13,500,000.00	 
	Royal Bank of Canada
	 	$	14,000,000.00	 

 

 

ATTACHMENT B

PART B - ADDRESSES FOR NOTICES, ETC.

ABN AMRO BANK N.V.

Domestic Lending Office:

	 	 	ABN AMRO Bank N.V.

208 South LaSalle Street Suite 1500

Chicago, IL 60604

Eurodollar Lending Office:

	 	 	ABN AMRO Bank N.V.

208 South LaSalle Street Suite 1500

Chicago, IL 60604

Address for Notices:

	 	 	ABN AMRO Bank N.V.

101 California Street, 43rd Floor

San Francisco, CA 94111

Attn: Peter Hsu

Tel. No: (415) 984-3734

Fax No: (415) 362-3524
	 
	 	 	ABN AMRO Bank N.V.

Agency Services

208 South LaSalle Street, Suite 1500

Chicago, IL 60604-1003

Attn: Joycelyn G. Gay

Tel. No: (312) 992-5094

Fax. No: (312) 601-3610
	 
	 	 	With a copy of all documentation to:
	 
	 	 	ABN AMRO Bank N.V.

208 South LaSalle Street, Suite 1500

Chicago, IL 60604-1003

Attn: Tom Thiakos

Tel. No: (312) 992-5119

Fax. No: (312) 992-5111

 

 

Wiring Instructions:

	 	 	ABN AMRO Bank N.V.

New York, New York

ABA: 026009580

F/O ABN AMRO Bank , N.V., Chicago Branch CPU

Account No.: 650001178941

Reference: Agency Services 00433489 Flextronics Intl. USA Inc.

 

 

AIB INTERNATIONAL FINANCE

Domestic and Eurodollar Lending Office:

	 	 	AIB International Finance

International Corporate Banking

AIB Bankcentre

Ballsbridge, Dublin 4

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	AIB International Finance

Business Support, AIB Bankcentre

Ballsbridge, Dublin 4

Attn: Ian Finnegan

Tel. No.: (353) 1-6412297

Fax No.: (353) 1-6603529

Address for all other notices: (Credit Matters)

	 	 	AIB International Finance

AIB International Centre

IFSC, Dublin 1

Attn: Eimear Creaven/Patrick Lynam

Tel. No.: (353) 1-6412279

Fax No.: (353) 1-6603529

Wiring Instructions:

	 	 	Chase Manhattan Bank, New York

ABA No.: 021000021

Swift: CHASUS33

Account No.: 001-1-907599

Account Name: AIB Dublin

Reference: Flextronics International USA, Inc.

Attn: Ian Finnegan

 

 

DEUTSCHE BANK TRUST COMPANY AMERICAS

Domestic and Eurodollar Lending Office:

	 	 	Deutsche Bank Trust Company Americas

31 W. 52nd Street

New York, NY 10019

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	Deutsche Bank Trust Company Americas

90 Hudson Street, 5th Floor

Jersey City, NJ 07302

Attn: Bilal Aman

Tel. No.: (201) 593-2173

Fax No.: (201) 593-2310

Address for all other notices: (Credit Matters)

	 	 	Deutsche Bank Trust Company Americas

31 W. 52nd Street

New York, NY 10019

Attn: Alex Bici

Tel. No.: (646) 324-2199

Fax No.: (646) 324-7456

Wiring Instructions:

	 	 	Deutsche Bank Trust Company Americas

New York, NY

RT/ABA No.: 021001033

For further credit to: Deutsche Bank, AG New York

Account No.: 99401268

Reference: Flextronics International USA, Inc.

Attn: Bilal Aman

 

 

BANK OF AMERICA, N.A.

Domestic and Eurodollar Lending Office:

	 	 	Bank of America, N.A.

1850 Gateway Blvd.

Concord, CA 94520

Address for Notices of Borrowing, Notices of Interest Period Selection and
Notices of Term Loan Conversion:

	 	 	Bank of America, N.A.

Mail Code CA4-706-05-11

1850 Gateway Blvd.

Concord, CA 94520

Attn: Noreen Lee

Tel. No.: (925) 675-8247

Fax No.: (888) 969-9160

Address for all other notices: (Credit Matters)

	 	 	Bank of America, N.A.

Portfolio Management – Technology 3697

555 California Street, 12th Floor

Mail Code CA5-705-12-08

San Francisco, CA 94104

Attn: James P. Johnson, Managing Director

Tel. No.: (415) 622-6177

Fax No.: (415) 622-4057

Wiring Instructions:

	 	 	Bank of America, N.A., Concord, CA

ABA No.: 111000012

For further credit to Account No.: 3750836479

Reference: Flextronics

Attn: SBW004 Credit Services

 

 

BEAR STEARNS CORPORATE LENDING INC

Domestic and Eurodollar Lending Office:

	 	 	Bear Stearns & Co. Inc.

245 Park Avenue, 4th Floor

New York, NY 10167

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	Bear Stearns & Co. Inc.

245 Park Avenue, 4th Floor

New York, NY 10167

Attn: Ms. Gloria Dombrowski

Tel. No.: (212) 272-6043

Fax No.: (212) 272-4844

Address for all other notices: (Credit Matters)

	 	 	Bear Stearns & Co. Inc.

245 Park Avenue, 4th Floor

New York, NY 10167

Attn: Victor F. Bulzacchelli

Tel. No.: (212) 272-3042

Fax No.: (212) 272-9184

Copy of documents to:

	 	 	Bear Stearns & Co. Inc.

245 Park Avenue, 4th Floor

New York, NY 10167

Attn: Kevin Cullen

Tel. No.: (212) 272-5742

Fax No.: (212) 272-9184

Wiring Instructions:

	 	 	Citibank, N.A.

ABA No.: 0210-00089

Account No.: 0925-3186

Favor of: Bear Stearns Securities, Corp.

Further Credit to Account No.: 096-00220-28

Reference: Flextronics International USA, Inc.

Attn: Steve Resnick

 

 

BNP PARIBAS

Domestic and Eurodollar Lending Office:

	 	 	BNP Paribas

180 Montgomery Street

San Francisco, CA 94104

Address for Notices of Borrowing, Notices of Interest Period Selection and
Notices of Term Loan Conversion:

	 	 	BNP Paribas

180 Montgomery Street

San Francisco, CA 94104

Attn: Don Hart, Vice President - Treasury

Tel. No.: (415) 956-2511

Fax No.: (415) 989-9041

Swift: BNPAUS6S

Address for all other notices:

	 	 	BNP Paribas, Los Angeles Branch

725 South Figueroa Street, Suite 2090

Los Angeles, CA 90017

Attn: Robert Mimaki, Vice President – Corporate Banking High Technology Group

Tel. No.: (213) 688-6419

Fax No.: (213) 488-9602

With a copy to:

	 	 	BNP Paribas

180 Montgomery Street

San Francisco, CA 94104

Attn: Nancy Mak, Vice President – Loan Operations

Tel. No.: (415) 956-0707

Fax No.: (415) 956-4230

Telex: 278900 BNPS UR

Wiring Instructions:

	 	 	The Federal Reserve Bank of New York

ABA No.: 026007689 BNP Paribas

/BNF/ BNP PARIBAS SAN FRANCISCO

/ACA/ 14334000176

For further credit to BNP Paribas Los Angeles

/RFB/ Principal Payment (or Commitment Fee, Interest Payment, etc.)

/OBI/ By order: Flextronics International USA. Inc.

Attn: Jenny Seow

 

 

CITICORP USA, INC.

Domestic and Eurodollar Lending Office:

	 	 	Citicorp USA, Inc.

One Sansome Street, 25th Floor

San Francisco, CA 94104

Address for Notices of Borrowing, Notices of Interest Period Selection and
Notices of Term Loan Conversion:

	 	 	Citicorp USA, Inc.

2 Penn’s Way, Suite 200

New Castle, Delaware 19720

Attn: Karen Riley

Tel. No.: (302) 894-6084

Fax No.: (302) 894-6120

Address for all other notices (Credit Matters):

	 	 	Citicorp USA, Inc.

One Sansome Street, 25th Floor

San Francisco, CA 94104

Attn: Avram Spiegel

Tel. No.: (415) 627-6358

Fax No.: (415) 632-0307

Wiring Instructions:

	 	 	Citibank N.A.

New York, New York

ABA No.: 021-000-089

For further credit to: Technology

Account No.: 40580062

Reference: Flextronics International USA, Inc.

Attn: Karen Riley

 

 

COMERICA BANK

Domestic and Eurodollar Lending Office:

	 	 	Comerica Bank

One Detroit Center

Detroit, Michigan

Address for Notices of Borrowing, Notices of Interest Period Selection and
Notices of Term Loan Conversion:

	 	 	Comerica Bank

International Finance Department

333 W. Santa Clara Street

San Jose, CA 95113

Attn: Christina Hwang

Tel. No.: (408) 556-5221

Fax No.: (408) 556-5232

Address for all other notices:

	 	 	Comerica Bank

International Finance Department

333 W. Santa Clara Street

San Jose, CA 95113

Attn: Devin Scattini

Tel. No.: (408) 556-5120

Fax No.: (408) 556-5232

Wiring Instructions:

	 	 	Comerica Bank

One Detroit Center

500 Woodward Avenue

Detroit, Michigan

RT/ABA No.: 072000096

Account number: 02-21585-90010

Reference: Flextronics International USA, Inc.

Attn: Ms. Nicole Maguire

 

 

CREDIT SUISSE FIRST BOSTON

Domestic and Eurodollar Lending Office:

	 	 	Credit Suisse First Boston, Cayman Islands Branch

Eleven Madison Avenue

New York, NY 10010

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	Credit Suisse First Boston

Eleven Madison Avenue

New York, NY 10010

Attn: Ed Markowski / Nirmala Durgana

Tel. No.: (212) 538-3380 / 3525

Fax No.: (212) 538-3477 / 561-8926

Address for all other notices: (Credit Matters)

	 	 	Credit Suisse First Boston

Eleven Madison Avenue

New York, NY 10010

Attn: Robert Hetu / Mark Heron

Tel. No.: (212) 325-4542 / 9933

Fax No.: (212) 325-8309 / 8319

Wiring Instructions:

	 	 	The Bank of New York, New York, NY

ABA No.: 021000018

Account No.: 890-0329-262

Account Name: CSFB NY Loan Clearing

Reference: Flextronics International USA, Inc.

 

 

DANSKE BANK A/S

Domestic and Eurodollar Lending Office:

	 	 	Danske Bank A/S, Cayman Islands Branch

299 Park Avenue, 14th Floor

New York, NY 10171-1499

Address for Notices of Borrowing, Notices of Interest Period Selection and
Notices of Term Loan Conversion:

	 	 	Danske Bank A/S

299 Park Avenue, 14th Floor

New York, NY 10171-1499

Attn: Loan Administration

Tel. No.: (212) 984-8462

Fax No.: (212) 984-9570

Address for all business/credit matters:

	 	 	Danske Bank A/S

299 Park Avenue, 14th Floor

New York, NY 10171-1499

Attn: Michael K. Crawford – Vice President

Tel. No.: (212) 984-8455

Fax No.: (212) 984-9567

Address for documentation matters:

	 	 	Danske Bank A/S

299 Park Avenue, 14th Floor

New York, NY 10171-1499

Attn: George B. Wendell – Vice President

Tel. No.: (212) 984-8431

Fax No.: (212) 984-9566

Wiring Instructions:

	 	 	Danske Bank A/S

New York, NY 10171

ABA No.: 026003719 (Danske Bank, New York Branch)

For: Loan Administration

Reference: Flextronics International USA, Inc.

 

 

FLEET NATIONAL BANK

Domestic and Eurodollar Lending Office:

	 	 	Fleet National Bank

100 Federal Street

Boston, MA 02110

Address for Notices of Borrowing, Notices of Interest Period Selection and
Notices of Term Loan Conversion:

	 	 	Fleet National Bank

100 Federal Street, 9th Floor

Boston, MA 02110

Attn: Angela Moore, Loan Administrator

Tel. No.: (617) 434-5059

Fax No.: (617) 434-1709

Address for all other notices:

	 	 	Fleet National Bank

435 Tasso Street, Suite 250

Palo Alto, CA 94301

Attn: Lee A. Merkle-Raymond or Gregory Roux

Tel. No.: (650) 470-4130/4180

Fax No.: (650) 853-1425

Wiring Instructions:

	 	 	Fleet National Bank

Boston, MA

ABA No.: 011-000-138

For further credit to: Credit Services

Account No.: 1510351-66156

Reference: Flextronics International USA, Inc.

 

 

MIZUHO CORPORATE BANK, LIMITED

Domestic and Eurodollar Lending Office:

	 	 	Mizuho Corporate Bank, Limited

350 South Grand Avenue, Suite 1500

Los Angeles, CA 90071

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	Mizuho Corporate Bank, Limited

95 Christopher Columbus Drive, 16th Floor

Jersey City, NJ 07302

Attn: Teri Smith

Tel. No.: (201) 432-1980

Fax No.: (201) 432-6805

Address for all other notices: (Credit Matters)

	 	 	Mizuho Corporate Bank, Limited

350 South Grand Avenue, Suite 1500

Los Angeles, CA 90071

Attn: Mano Mylvaganam, Vice President

Tel. No.: (213) 253-4130

Fax No.: (213) 253-4175

Wiring Instructions:

	 	 	Mizuho Corporate Bank, Limited, New York, NY

ABA No.: 026009700

For further credit to: Loan Admin Dept - LA

Account No.: 5204-001-515066

Reference: Flextronics International USA, Inc.

Attn: Teri Smith

 

 

U.S. BANK NATIONAL ASSOCIATION

Domestic Lending Office:

	 	 	U.S. Bank National Association

555 S. W. Oak Street, Suite 400

Mail Code: PD-OR-P4CB

Portland, OR 97204

Eurodollar Lending Office:

	 	 	U.S. Bank National Association

555 S. W. Oak Street, Suite 400

Mail Code: PD-OR-P4CB

Portland, OR 97204

Address for Notices:

	 	 	U.S. Bank National Association

555 S. W. Oak Street, Suite 400

Mail Code: PD-OR-P4CB

Portland, OR 97204

Attn: Janet E. Jordan

Tel. No: (503) 275-5871

Fax No: (503) 275-5428

	 	 	With a copy of all documentation to:

	 	 	U.S. Bank National Association

555 S. W. Oak Street, Suite 400

Mail Code: PD-OR-P7LN

Portland, OR 97204

Attn: Lennie Regalado

Tel. No: (503) 275-4560

Fax. No: (503) 275-4600

Wiring Instructions:

	 	 	U.S. Bank National Association

Portland, Oregon, USA

ABA No.: 123000220

Account No.: 00340012160600

Account Name: Commercial Loan Servicing West

Attn: Lennie Regalado

Reference: Flextronics

 

 

LEHMAN COMMERCIAL PAPER INC.

Domestic and Eurodollar Lending Office:

	 	 	Lehman Commercial Paper Inc.

745 7th Street, 16th Floor

New York, NY 10019

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	Lehman Commercial Paper Inc.

745 7th Street, 16th Floor

New York, NY 10019

Attn: Rich Bloom

Tel. No.: (212) 526-6560

Fax No.: (212) 526-6653

Address for all other notices: (Credit Matters)

	 	 	Lehman Commercial Paper Inc.

745 7th Street, 19th Floor

New York, NY 10019

Attn: G. Robert Berzins

Tel. No.: (212) 526-3712

Fax No.: (212) 758-1906

Wiring Instructions:

	 	 	Citibank, N.A., New York, NY

ABA No.: 021000089

Account No.: 30434133

Account Name: LCPI Bank Loans

Reference: Flextronics International USA, Inc.

 

 

SKANDINAVISKA ENSKILDA BANKEN AB (publ)

Domestic and Eurodollar Lending Office:

	 	 	Skandinaviska Enskilda Banken AB (publ)

Kungsträdgårdsgatan 8

106 40 Stockholm, Sweden

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	Skandinaviska Enskilda Banken AB (publ)

Karlavägen 108

106 40 Stockholm, Sweden

Attn: Christine Pearson / Peter Bergengren

Tel. No.: 46 8 7638642 / 46 8 7638586

Fax No.: 46 8 6110384

Address for all other notices: (Credit Matters)

	 	 	Skandinaviska Enskilda Banken AB (publ)

2 Cannon Street

London EC4M 6XX, United Kingdom

Attn: Johan Sonander, Debt Capital Markets

Tel. No.: 44 20 7246 4177

Fax No.: 44 20 7236 4178

	 	 	With a copy to:

	 	 	Skandinaviska Enskilda Banken AB (publ)

Östergatan 39

205 20 Malmö, Sweden

Attn: Max Lundberg, SEB Client Relationship Management

Tel. No.: (46) 40-6676088

Fax No.: (46) 40-305-480

Wiring Instructions:

	 	 	Bank of New York, New York, NY

ABA No.: 021000018

Account No.: 890 0443871

Swift Code: IRVTUS3N

Reference: Flextronics International Ltd.

 

 

THE BANK OF NOVA SCOTIA

Domestic and Eurodollar Lending Office:

	 	 	The Bank of Nova Scotia

Atlanta Agency

600 Peachtree Street, N.E., Suite 2700

Atlanta, GA 30308

Address for Notices of Borrowing, Notices of Interest Period Selection and
Notices of Term Loan Conversion:

	 	 	The Bank of Nova Scotia

Atlanta Agency

600 Peachtree Street, N.E., Suite 2700

Atlanta, GA 30308

Attn: Lily Hsie

Tel. No.: (404) 877-1523

Fax No.: (404) 888-8998

Address for all other notices:

	 	 	The Bank of Nova Scotia

San Francisco Agency

580 California Street, Suite 2100

San Francisco, CA 94104

Attn: Christopher Osborn

Tel. No.: (415) 986-1100

Fax No.: (415) 397-0791

Wiring Instructions:

	 	 	The Federal Reserve Bank of New York

New York, New York

ABA No.: 026-002-532

Account Name: The Bank of Nova Scotia, 1 Liberty Plaza, New York, New York 10006

For further account of: BNS San Francisco Agency Loan Servicing Account

Account No.: 0610135

Reference: Flextronics International USA, Inc.

 

 

UNION BANK OF CALIFORNIA, N.A.

Domestic and Eurodollar Lending Office:

	 	 	Union Bank of California, N.A.

99 Almaden Boulevard, Suite 200

San Jose, CA 95113

Address for Notices of Borrowing and Notices of Interest Period Selection:

	 	 	Union Bank of California, N.A.

601 Potrero Grande Drive

Monterey Park, CA 91754

Attn: Shirley Davis, Commercial Loan Service Officer

Tel. No.: (323) 7202870

Fax No.: (323) 724-6198

Address for all other notices: (Credit Matters)

	 	 	Union Bank of California, N.A.

99 Almaden Boulevard, Suite 200

San Jose, CA 95113

Attn: Sarabelle Hitchner, Vice President

Tel. No.: (408) 279-7208

Fax No.: (408) 280-7163

Wiring Instructions:

	 	 	Union Bank of California, N.A.

ABA No.: 122000496

Account No.: Wire Clearing Account 77070196431

Reference: Flextronics International USA, Inc.

Attn: Commercial Loan Operations

 

 

ERSTE BANK DER OESTERREICHISCHEN SPARKASSEN AG

Domestic Lending Office:

	 	 	Erste Bank der oesterreichischen Sparkassen AG

Graben 21

1010 Wein, Austria

Eurodollar Lending Office:

	 	 	Erste Bank der oesterreichischen Sparkassen AG

Graben 21

1010 Wein, Austria

Address for Notices:

	 	 	Credit Issues:
	 
	 	 	Erste Bank der oesterreichischen Sparkassen AG

Graben 21

1010 Wein, Austria

Attn: Stefan Lichtanecker

Tel. No: 43-5-0100-12516

Fax No: 43-5-0100-912516
	 
	 	 	Operations Issues:
	 
	 	 	Erste Bank der oesterreichischen Sparkassen AG

Graben 21

1010 Wein, Austria

Attn: Andreas Bardon

Tel. No: 43-5-0100-13946

Fax No: 43-5-0100-913946

Wiring Instructions:

	 	 	J.P. Morgan Chase Bank

Box 2041, New York, NY 10081

For Further Credit To: Erste Bank der oesterreichischen Sparkassen AG

Account No.: 40341805675

Account Name: J.P. Morgan Chase Bank

Attn: Andreas Bardon

Reference: Flextronics 364-Day R/C Facility

 

 

KEY CORPORATE CAPITAL, INC.

Domestic Lending Office:

	 	 	Key Corporate Capital, Inc.

3 Embarcadero Center, Suite 2900

San Francisco, CA 94111

Eurodollar Lending Office:

	 	 	Key Corporate Capital, Inc.

3 Embarcadero Center, Suite 2900

San Francisco, CA 94111

Address for Notices:

	 	 	Key Corporate Capital, Inc.

601 108th Avenue N.E., 5th Floor

Bellevue, WA 98004

Attn: Robert W. Boswell

Tel. No: (425) 709-4580

Fax No: (415) 709-4565
	 
	 	 	With a copy of all documentation to:
	 
	 	 	Key Corporate Capital, Inc.

531 E. Parkcenter Blvd.

Boise, ID 83705

Attn: Specialty Services Team

Tel. No: (800) 297-5518

Fax. No: (800) 297-5495

Wiring Instructions:

	 	 	Key Corporate Capital, Inc.

Seattle, WA

ABA No.: 125000574

Account No.: 3072

Account Name: Western Loan Ops

Attn: Specialty Services Team

Reference: Flextronics

 

 

ROYAL BANK OF CANADA

Domestic Lending Office:

	 	 	Royal Bank of Canada

New York Branch

One Liberty Plaza

New York, New York 10006-1404

Eurodollar Lending Office:

	 	 	Royal Bank of Canada

New York Branch

One Liberty Plaza

New York, New York 10006-1404

Address for Notices:

	 	 	Royal Bank of Canada

New York Branch

One Liberty Plaza, 3rd Floor

New York, New York 10006-1404

Attn: Manager, Loans Administration

Tel. No.: (212) 428-6322

Fax No.: (212) 428-2372
	 
	 	 	with a copy to:
	 
	 	 	Royal Bank of Canada

One Liberty Plaza, 3rd Floor

New York, New York 10006-1404

Attn: S. Babich/ S. Kaicher

Tel. No.: (212) 428-6319/ (212) 428-6324

Fax No.: (212) 428-6460/ (212) 428-2319

Wiring Instructions:

	 	 	Royal Bank of Canada

New York Branch

Attention: Loans Administration

JPMorgan Chase Bank, New York

ABA # 021000021

Account of Royal Bank of Canada, New York

Account No.: 920-1-033363 for further credit to account no. 218-599-9

Ref: Flextronics

 

 

ATTACHMENT B

SCHEDULE II

PRICING GRID

FACILITY B

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	APPLICABLE	 	APPLICABLE	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	MARGIN	 	MARGIN	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	FOR	 	FOR	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	LIBOR RATE	 	LIBOR RATE	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	BORROWINGS	 	BORROWINGS	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	WHEN	 	WHEN	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	APPLICABLE	 	COMBINED	 	COMBINED	 	 	 	 
	FIL’S	 	 	 	 	 	MARGIN	 	TOTAL	 	TOTAL	 	 	 	 
	SENIOR	 	 	 	 	 	FOR	 	COMMITMENT	 	COMMITMENT	 	COMMITMENT
	DEBT	 	PRICING	 	BASE RATE	 	USAGE	 	USAGE	 	FEE
	RATING	 	LEVEL	 	BORROWINGS	 	IS £ 33%	 	IS > 33%	 	PERCENTAGE
	
	 	
	 	
	 	
	 	
	 	

	3 BBB / Baa2
	 	 	1	 	 	 	0%		 	 	1.125	%	 	 	1.250	%	 	 	0.150	%
	BBB- / Baa3
	 	 	2	 	 	 	0%		 	 	1.375	%	 	 	1.500	%	 	 	0.200	%
	BB+ / Ba1
	 	 	3	 	 	 	0%		 	 	1.500	%	 	 	1.750	%	 	 	0.250	%
	BB / Ba2
	 	 	4	 	 	 	0%		 	 	1.750	%	 	 	2.000	%	 	 	0.350	%
	£ BB- / Ba3
	 	 	5	 	 	 	0%		 	 	2.000	%	 	 	2.500	%	 	 	0.500	%

 

 

GUARANTOR CONSENT LETTER

March 7, 2003

TO:    ABN AMRO BANK, N.V.,

          As Agent for the Lenders under the Credit Agreement referred to below

          1.    Reference is made to the following:

		
	 	      (a)    The Credit Agreement dated as of March 8, 2002 (the “Credit
Agreement”) among Flextronics International USA, Inc. (“Borrower”), the
financial institutions which are from time to time parties thereto (the
“Lenders”), and ABN AMRO Bank, as agent for the Lenders (“Agent”);
	 
	 	      (b)    The Guaranty dated as of March 8, 2002 (the “Guaranty”) executed
by each of the undersigned (each a “Guarantor,” and collectively, the
“Guarantors”) in favor of the Lenders and Agent; and
	 
	 	      (c)    The First Amendment to Credit Agreement dated as of March 7,
2003 (the “First Amendment”) among Borrower, the Facility B Lenders and
Agent.

          2.    Each Guarantor hereby consents to the First Amendment including without
limitation the extension of the Facility B Maturity Date from March 7, 2003 to
March 5, 2004. Each Guarantor expressly agrees that such amendment shall in no
way affect or alter the rights, duties, or obligations of Guarantor, the
Lenders or Agent under the Guaranty.

          3.    From and after the date hereof, the term “Credit Agreement” as used in
the Guaranty shall mean the Credit Agreement, as amended by the First
Amendment.

          4.    The Guarantors’ consent to the First Amendment shall not be construed
(i) to have been required by the terms of the Guaranty or any other document,
instrument or agreement relating thereto or (ii) to require the consent of the
Guarantors in connection with any future amendment of the Credit Agreement or
any other Credit Document.

          5.    Each Guarantor represents and warrants to Agent that (i) the corporate
documents and resolutions (such items, the “Guarantor Deliverables”) of such
Guarantor are in the form delivered to Agent on the Closing Date and (ii) such
Guarantor’s Guarantor Deliverables are in full force and effect and have not
been amended, supplemented, revoked or repealed since such date.

 

 

          IN WITNESS WHEREOF, each Guarantor has executed this Guarantor Consent
Letter as of the day and year first written above.

	 	 	 
	 	
FLEXTRONICS INTERNATIONAL LTD.
	 	 	 
	 	By: 	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS HOLDING USA, INC.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS INTERNATIONAL LATIN AMERICA
(L) LTD.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEX INTERNATIONAL MARKETING (L) LTD.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS MANUFACTURING MEXICO, S.A.
DE C.V.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

 

 

	 	 	 
	 	
FLEXTRONICS INTERNATIONAL SINGAPORE PTE
LTD.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS HOLDINGS (UK) LIMITED
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
MULTILAYER TECHNOLOGY, INC.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS USA, INC.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS ENCLOSURES, INC.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

 

 

	 	 	 
	 	
FLEXTRONICS DISTRIBUTION, INC.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS TECHNOLOGY (SHAH ALAM) SDN

BDH
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLEXTRONICS MANUFACTURING FRANCE SNC
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
FLX CYPRUS LIMITED
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

	 	 	 
	 	
IEC HOLDINGS LTD.
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:

 

 

	 	 	 
	 	
FLEXTRONICS (MAYALSIA) SDN BDH
	 	 	 
	 	By:	 
	 	 	

	 	 	
Name:
	 	 	
Title:<PAGE>
                                                                   EXHIBIT 10.19

                                                CONFIDENTIAL TREATMENT REQUESTED

*     Portions of this document denoted with an asterisk have been omitted and
      filed separately with the Securities and Exchange Commission pursuant to a
      request for confidential treatment.

                                  NETGEAR, INC.
                            MASTER PURCHASE AGREEMENT
                                 APRIL 24, 2003

                                                                          Page 1
<PAGE>
                                     NETGEAR
                            MASTER PURCHASE AGREEMENT

This Master Purchase Agreement (the "Master Agreement") is entered into as of
March 31, 2003 ("Effective Date") between NETGEAR, Inc., a Delaware corporation
having its principal place of business at 4500 Great America Parkway, Santa
Clara, California 95054 ("NETGEAR") and Delta Networks, Inc., a Taiwan
corporation having its principal place of business at 186 Ruey Kuang Road,
Neihu, Taipei 114 Taiwan ("SUPPLIER"), for good and valuable consideration, the
receipt and adequacy of which is hereby acknowledged. Incorporated into this
Master Agreement by reference herein are:

            Exhibit A, General Terms (Version US11/07/02)

            Exhibit A1, Purchase Order (Version US11/07/02)

            Exhibit A2, Purchase Price and Services Fees (Version US11/07/02)

            Exhibit A3, Products, Product Specifications and Lead Time (Version
            US11/07/02)

            Exhibit A4, NETGEAR Proprietary Technology (Version US11/07/02)

            Exhibit B, Software License Terms (Version US11/07/02)

and any of the following selected Exhibits (uncheck the box for any Exhibits
that shall not be part of this Master Agreement):

      [X]   Exhibit C, Maintenance Services Terms (Version US11/07/02)

      [X]   Exhibit D, Intellectual Property Protection Agreement (Version
            US11/07/02)

      [X]   Exhibit D1, Statement of Work (Version US11/07/02)

      [X]   Exhibit E, Non-Recurring Engineering Costs (Version US11/07/02)

      [X]   Exhibit F, Supplier Training Services Terms (Version US11/07/02)

      [X]   Exhibit G, Quality Procedures/On-Going Reliability Testing (Version
            US11/07/02)

This Master Agreement, including all Exhibits that are incorporated by reference
herein, shall form the entire agreement, representation and understanding
between the parties with respect to the subject matter hereof and shall
supersede all previous and contemporaneous communications, representations or
understandings, either oral or written, between the parties relating to the
subject matter hereof.

IN WITNESS WHEREOF, the parties have caused this Master Agreement to be executed
by their duly authorized representatives with the intent to be legally bound as
of the Effective Date.

                                                                          Page 2
<PAGE>
NETGEAR, Inc.                                SUPPLIER (Name of Company)

/s/  Michael F. Falcon                       /s/  Vincent Tsai
-----------------------------------          -----------------------------------
Name                                         Name

Vice President of Operations                 Vice President, Sales and Marketing
-----------------------------------          -----------------------------------
Title                                        Title

April 24, 2003                               May 6, 2003
-----------------------------------          -----------------------------------
Date                                         Date

                                                                          Page 3
<PAGE>
                                    EXHIBIT A
                                  GENERAL TERMS
                               Version US11/07/02

These General Terms are part of the Master Agreement between NETGEAR and
SUPPLIER, which incorporates these General Terms by reference herein. These
General Terms shall apply to the entire Master Agreement.

                                    RECITALS

A.    NETGEAR is engaged in the design, manufacture and sale of certain home and
      office systems and related products, which consist of hardware and
      associated software.

B.    SUPPLIER is engaged in the design, manufacture and sale of certain
      software and hardware Products (as defined below), which are used in or
      complement NETGEAR's products. SUPPLIER wishes to supply and license the
      Products to NETGEAR, for resale under the NETGEAR label as part of, or
      complementary to, NETGEAR's products.

1.    DEFINITIONS

1.1   Affiliate: means an entity that directly or indirectly controls, or is
      controlled by or is under common control with, the party. For the purposes
      of this definition, the term "control" shall mean the ownership of voting
      stock or other equity interest entitling the owner to exercise at least
      fifty percent (50%) of the voting rights of the entity.

1.2   Change of Control: means (i) any transaction following the Effective Date
      by which any person or group of persons (other than an Affiliate) acquires
      (in a single or a series of related transactions) more than fifty percent
      (50%) of the equity interest of either party; (ii) a merger or other
      business combination by which any third party acquires (in a single or a
      series of related transactions) more than fifty percent (50%) of the
      equity interest of either party or the entity surviving such merger or
      combination; or (iii) any other transaction by which any third party
      acquires (in a single or a series of related transactions) control of all
      or fifty percent (50%) of all the assets of either party or acquires the
      exclusive rights to the Products and the Intellectual Property Rights
      necessary to make, modify, manufacture and sell the Products.

1.3   Documentation: means all technical and operating guides and manuals and
      program descriptions of the Products listed in Exhibit A3, as updated by
      SUPPLIER from time to time.

1.4   End User: means a person or business entity that purchases, leases or
      otherwise properly obtains the right to use NETGEAR systems directly from
      NETGEAR or through one or more intermediaries for its own use or for
      internal business purposes (and not for transfer or resale to others).

                                                                          Page 4
<PAGE>
1.5   Epidemic Failure: means a defect or set of related defects in the Products
      resulting from defects in material, workmanship, manufacturing process or
      design deficiencies affecting one-half percent (0.5%) or more of the
      Products delivered during any three (3) month period.

1.6   Intellectual Property Rights: means all United States and foreign patents,
      copyrights, trade names, trademarks, trade secrets, know-how, mask work
      rights, and any other intellectual property rights, whether registered or
      unregistered.

1.7   Marks: means NETGEAR's trademarks, service marks, trade names, and logos.

1.8   Maximum Quantity: means the quantity of the Products in excess of the
      quantity stated in the monthly forecasts provided by NETGEAR, or [*].

1.9   NETGEAR Proprietary Technology: means any proprietary information,
      technical data, trade secrets or know-how, including, but not limited to,
      research, product plans, computer software and code, developments,
      inventions, processes, formulas, technology, designs, drawings,
      engineering, hardware configuration information, and other information and
      technology disclosed by NETGEAR directly or in writing, orally or by
      drawings or inspection of parts or equipment. By way of illustration and
      not limitation, NETGEAR Proprietary Technology may include materials
      listed in Exhibit A4.

1.10  Products: means the SUPPLIER base products identified in Exhibit A3 that
      are privately labeled and customized for NETGEAR in accordance with the
      Product Specifications, and the Work Products that are developed for
      NETGEAR by SUPPLIER in accordance with Exhibit D. All Products include the
      Supporting Software.

1.11  Product Specifications: means the specifications for the Products set
      forth in Exhibit A3.

1.12  Refurbished Products: means the Products that contain used or repaired
      parts.

1.13  Supporting Software: means all device drivers, firmware, and all necessary
      software for the proper operation and support of the Products and any
      updates that improve the operation or performance of the Products. The
      Supporting Software may be pre-installed on the Products or be in a
      stand-alone form. SUPPLIER shall supply the Products along with the
      Supporting Software and to the extent reasonably possible the Supporting
      Software shall include built-in diagnostic software that NETGEAR can run
      on its own systems.

1.14  Taxes: means all federal, state, local, foreign, international, sales,
      use, withholding and value added taxes, GST, duties and other government
      charges (except for taxes based on NETGEAR's net income), and any related
      penalties and interest.

1.15  Unit Price: means prices for the Products that are set out in SUPPLIER's
      price list.

1.16  Updates: means all future enhancements, improvements or modifications to
      the Supporting Software. An Update is designated (i) by a numerical
      increase to the right of the Supporting Software's decimal point, e.g.,
      3.1, or (ii) by any other reasonable and consistent method adopted by
      current standard industry practices for designating an update.

                                                                          Page 5
<PAGE>
1.17  Upgrades: means all new versions of the Supporting Software that contain
      new features or functionality. An Upgrade is designated (i) by a numerical
      increase to the left of the Supporting Software's decimal point, e.g.,
      4.0, or (ii) by any other reasonable and consistent method adopted by
      current standard industry practices for designating an upgrade.

1.18  Work Products: means products as defined in Section 3.1 of Exhibit D.

2.    PURCHASE AND SALE OF PRODUCTS

2.1 General. This Master Agreement sets forth the only terms and conditions
under which NETGEAR shall purchase and SUPPLIER shall supply the Products. The
terms and conditions of this Master Agreement shall apply to all Products
purchased or licensed by NETGEAR from SUPPLIER. NETGEAR purchases and licenses
the Products for resale to its End Users. NETGEAR may resell the Products solely
in conjunction with its system or sell or lease the Products as a "Customer Kit"
to its End Users. Resale, as used in the foregoing sentences, shall also include
the right to grant End Users appropriate licenses or sublicenses to use the
Products. NETGEAR shall have full freedom and flexibility in its decisions
concerning the distribution and marketing of the Products including, without
limitation, the decision of whether or not to distribute or discontinue
distribution of the Products.

2.2 Private Label and Customization. All Products supplied by SUPPLIER to
NETGEAR shall be customized in accordance with the Product Specifications with
the use of NETGEAR Proprietary Technology, and shall be provided to NETGEAR in
the color and branded with such Marks as NETGEAR may designate to SUPPLIER.
Within thirty (30) days after the Effective Date of this Master Agreement,
NETGEAR will provide to SUPPLIER NETGEAR Proprietary Technology and all
specifications and guidelines necessary to private label the Products for
SUPPLIER's approval ("Label and Packing Specifications"). SUPPLIER shall
strictly comply with such Label and Packing Specifications mutually consented by
both parties in writing.

2.3 Product Development. Subject to the parties' selection of Exhibit D on the
signature page of this Master Agreement, SUPPLIER shall develop, manufacture
and/or assemble the Work Products for NETGEAR in accordance with Exhibit D.

2.4 Exclusivity. SUPPLIER agrees to supply the Products which are customized in
accordance with the Product Specifications using NETGEAR Proprietary Technology
exclusively to NETGEAR and to any of NETGEAR's Affiliates or agents identified
by NETGEAR under the terms of this Master Agreement. SUPPLIER agrees not to sell
such Products directly to any third party or agent or former agent of NETGEAR.
Notwithstanding the foregoing, SUPPLIER may utilize its underlying technology to
create similar products for itself or other third parties as long as it does not
incorporate into those products NETGEAR Proprietary Technology.

3.    PURCHASE ORDERS, CHANGES AND CANCELLATIONS

3.1 Purchase Orders. All orders for the Products shall be made pursuant to
written purchase orders submitted by NETGEAR to SUPPLIER that shall be
substantially in the form of Exhibit A1 and shall specify at a minimum the
Products, quantity, shipping address, and the requested delivery date ("Purchase
Orders"). NETGEAR shall place Purchase Orders subject to the first two months of
its forecasts under

                                                                          Page 6
<PAGE>
Section 4.1 below and further recognizes that the third month in each forecast
is binding for all unique and long-lead time components with lead-times in
excess of 60 days.bAll Purchase Orders placed under this Master Agreement shall
be subject to the terms and conditions set forth in this Master Agreement. In
the event of any inconsistency between this Master Agreement and the Purchase
Order or SUPPLIER's sales acknowledgment, the terms and conditions of this
Master Agreement shall prevail. NETGEAR hereby rejects any term, provision or
condition in SUPPLIER's sales acknowledgment or other communication in conflict
with, or purporting to add to, or modify, the terms of this Master Agreement.
SUPPLIER shall be obligated to honor all Purchase Orders that are in compliance
with this Master Agreement plus an additional [*] of the quantity of the
Products stated in the Purchase Orders which have been accepted by SUPPLIER in
writing.. All Purchase Orders shall be subject to SUPPLIER's review and written
acceptance.

3.2 Changes to Purchase Orders. Subject to the obligations set out in Section
4.1 below, NETGEAR shall have the right prior to delivery of the Products to,
with SUPPLIER's prior written consent case by case, make changes to the Purchase
Order. SUPPLIER shall notify NETGEAR in writing if any such changes cause an
increase in the time required for the performance, and NETGEAR must accept in
writing such revised performance schedule . SUPPLIER reserves the right to
reject any such changes to the Purchase Orders.

3.3 Cancellation for Convenience. Subject to the obligations set out in Section
4.1 below, NETGEAR shall have the right to cancel by written notice any Purchase
Order, in whole or in part, at any time prior to delivery of the Products;
provided that SUPPLIER shall be paid a cancellation charge equal to SUPPLIER's
actual costs and losses resulting from such cancellation, including, but not
limited to, all costs of NETGEAR custom inventory, finished Products, Products
in-transit, work-in-process, raw materials, unique parts, labor costs,
production costs and other losses and costs incurred by SUPPLIER. SUPPLIER will
use commercially reasonable efforts to mitigate damages. SUPPLIER shall present
a calculation of its actual costs and losses to NETGEAR within fourteen (14)
days of its receipt of the cancellation notice.

NETGEAR may cancel any Purchase Order at any time in the event of any default or
failure to comply with the terms and conditions of the Master Agreement by
SUPPLIER. If any Purchase Order is canceled for any default or cause, NETGEAR
shall not be liable to SUPPLIER for any amount and SUPPLIER shall be liable to
NETGEAR for any damages sustained by such default or cause giving rise to the
cancellation.

Sole and Exclusive Remedy. SUPPLIER acknowledges and agrees that the liabilities
set forth in Sections 3.2 and 3.3 represent NETGEAR's sole liability for the
cancellation of the Purchase Orders whether for convenience or cause and
represent the sole and exclusive remedy of SUPPLIER for cancellation of the
Purchase Orders.

4.    MONTHLY FORECASTS AND PURCHASE OBLIGATIONS

4.1 Monthly Forecasts. On a monthly basis - NETGEAR will provide rolling six (6)
month forecasts to SUPPLIER. SUPPLIER will use commercially reasonable efforts
to support such rolling six (6) month forecasts.

                                                                          Page 7
<PAGE>
<TABLE>
<CAPTION>
                                                Re schedule
                                             (within 2.months
Days from Scheduled                         and limited to one
Delivery Date (Days)    Cancellation              time)                  Upside
--------------------    ------------              -----                  ------
<S>                     <C>                 <C>                          <C>
0-15                        [*]                    [*]                    [*]
16-30                       [*]                    [*]                    [*]
31-45                       [*]                    [*]                    [*]
46-60                       [*]                    [*]                    [*]
60+                         [*]                    [*]                    [*]
</TABLE>

4.2 Purchase Obligations. The parties agree that there is no minimum or maximum
purchase obligation under this Master Agreement. SUPPLIER shall supply the
Products in accordance with the [*] firm Purchase Orders and [*] binding
forecast for all long-lead time and unique material.

5.    DELIVERY OF PRODUCTS

5.1 The parties acknowledge and agree that meeting requested delivery dates
mutually consented by both parties in the Purchase Orders is a material term of
this Master Agreement. SUPPLIER agrees to fill all Purchase Orders and to
deliver the Products along with the applicable Documentation on the requested
delivery date mutually consented by both parties. SUPPLIER further agrees to
work aggressively to reduce the lead times for all Products as specified in
Exhibit A3. To the extent that any Purchase Order exceeds the Maximum Quantity,
quantity of the Products in excess of the Maximum Quantity shall be subject to
delivery schedules agreed to between NETGEAR and SUPPLIER. If delivery of the
Products is delayed by SUPPLIER for more than [*] for reasons other than force
majeure (as defined in Section 24.6) or any reason not attributable to SUPPLIER,
NETGEAR may terminate the delayed portion of that Purchase Order. SUPPLIER shall
issue a refund of the amounts for the delayed portion being terminated by
NETGEAR if already paid for that Purchase Order, and pay the actual, direct and
reasonable damages incurred by NETGEAR due to the delay, including any
reasonably and necessarily additional costs incurred in purchasing substitute
products, which costs shall be subject to SUPPLIER's prior written approval,
provided that the Purchase Order being cancelled is not for the initial
production shipment . NETGEAR may, with SUPPLIER's prior written approval case
by case, offset any such amounts payable by SUPPLIER under this Section 5.1
against any amounts outstanding and payable by NETGEAR to SUPPLIER hereunder.
SUPPLIER shall not deliver to NETGEAR any Products that were manufactured in
locations not approved in advance and in writing by NETGEAR, which approval
shall not be unreasonably withheld.

5.2 SUPPLIER shall handle, pack and mark the Products in accordance with
NETGEAR's Label and Packing Specifications mutually consented by both parties
and/or written specifications mutually consented by both parties. NETGEAR shall
have the right to inspect each delivery of the Products and perform those tests
it deems necessary to determine if the Products are acceptable. NETGEAR shall be
deemed to have accepted the Products in the event that: (i) NETGEAR completes
inspection and testing of the Products and reports the result to SUPPLIER; (ii)
NETGEAR fails to accept or reject the Products within fifteen (15) days of
delivery; (iii) NETGEAR explicitly accepts the Products in writing; or (iv) the
Products are used in a manufacturing process conducted by NETGEAR-authorized
contract manufacturer, which occurs first. NETGEAR's acceptance of any Products
shall in no way be construed as a

                                                                          Page 8
<PAGE>
representation by NETGEAR that NETGEAR has completely tested the Products or
that such Products comply with their specifications or conform to any warranties
made by SUPPLIER under this Master Agreement. NETGEAR's acceptance of any
Product shall in no way negate any warranty provided under this Master Agreement
or affect any other provision of this Master Agreement. Acceptance is only to be
used to determine whether SUPPLIER is entitled to receive payment for the
Products. The Products rejected or supplied in excess of quantities specified in
any Purchase Order may, with SUPPLIER's return material authorization, be
returned to SUPPLIER, at its expense. If NETGEAR receives the Products with
defects or non-conformities that are not apparent upon examination, NETGEAR
reserves the right to require replacement thereof. Nothing contained in this
Master Agreement shall in any way relieve SUPPLIER from the obligation of
testing, inspection and quality control with respect to the Products.

5.3 SUPPLIER shall be responsible for payment of all shipping, freight,
insurance, taxes, duty and other charges for delivery of the Products from
SUPPLIER's factory to the port of exit. An itemized packing list must accompany
each shipment and include the following information: Purchase Order number,
quantity, shipment address, indication of partial/complete shipment, and
description of the Products including, but not limited to, weight and dimensions
of the Products. NETGEAR shall be responsible for payment of all shipping,
freight, insurance, taxes, duty and other charges for delivery of the Products
from the port of exit to NETGEAR's factory. NETGEAR and SUPPLIER may agree at a
later date to terms that are F.O.B point of destination.

5.4 Upon NETGEAR's written authorization, SUPPLIER shall deliver the Products
directly from SUPPLIER's manufacturing facility to NETGEAR. NETGEAR will
transmit a Purchase Order by facsimile or other agreed upon means to communicate
to SUPPLIER. SUPPLIER shall communicate to NETGEAR an acknowledgment,
modification or rejection within three (3) business days of receipt of the
Purchase Order confirming its rejection or the quantity, delivery date, and
delivery location. SUPPLIER will then schedule delivery of each Product to the
delivery location on the delivery date mutually consented by both parties. If
the delivery date in SUPPLIER's acknowledgment is different than the date set
forth in the Purchase Order, SUPPLIER must promptly notify NETGEAR Worldwide
Procurement of the discrepancy. SUPPLIER agrees that the delivery date in
SUPPLIER's acknowledgement shall not exceed the lead times as specified in
Exhibit A3. If only a portion of the Products are available for shipment to meet
the delivery date, SUPPLIER will notify NETGEAR and ship the available Products.

5.5 Products supplied by SUPPLIER to NETGEAR shall be delivered FOB (Incoterms
2000) port of exit to NETGEAR's designated carrier, at which point title to, all
responsibility for, and all risk of loss of, the Products shall pass from
SUPPLIER to NETGEAR.

5.6 NETGEAR's transmission of a Purchase Order is SUPPLIER's only authorization
to ship the Products to NETGEAR and invoice NETGEAR for the Products specified
in the Purchase Order. NETGEAR shall transmit Purchase Orders to SUPPLIER
subject to the [*] of its forecasts.

6.    PURCHASE PRICE AND PAYMENT

6.1 Purchase Price. The prices for the Products supplied under this Master
Agreement are specified on Exhibit A2. The prices for new products that the
parties may add to Exhibit A3 shall also be reflected on Exhibit A2. Such prices
shall be the sole amount payable by NETGEAR for the Products supplied to it by
SUPPLIER under this Master Agreement. The Unit Price for each Product will be
reviewed on a quarterly basis. The prices can be changed only upon mutual
agreement of the parties evidenced in

                                                                          Page 9
<PAGE>
writing signed by both parties. All prices shall be in United States dollars and
are exclusive of applicable Taxes.

6.2 Equivalent Prices. Under substantially similar specifications, quantities,
lead time, payment term, and terms and conditions, SUPPLIER represents and
warrants that the prices for the Products shall not be less favorable than
prices applicable to sales by SUPPLIER to any other customer purchasing like
quantities of substantially comparable products; provided that NETGEAR always
fulfills its obligations under this Agreement. If at any time during the term of
this Master Agreement SUPPLIER offers to any other such customer more favorable
prices and terms, SUPPLIER shall immediately offer to sell the Products to
NETGEAR at equivalent prices and terms offered to such other customer.

6.3 Costs Reductions. SUPPLIER and NETGEAR will use commercially reasonable
efforts to reduce material cost, if possible. Upon NETGEAR's request, SUPPLIER
shall review with NETGEAR on a quarterly basis the costs associated with
manufacturing each Product and SUPPLIER agrees to reduce the price of the
Products in accordance with any costs reductions realized as a result of
reviews. In certain cases, NETGEAR may be able to assist in component supply
negotiations. If NETGEAR is able to assist SUPPLIER in obtaining component price
reductions, such reductions shall be passed through to NETGEAR in its entirety
through a price reduction.

Costed Bill of Materials On a quarterly basis, SUPPLIER shall provide to NETGEAR
a value chain analysis of product cost. Supplier agrees to provide detail on the
following for top skus as mutually agreed to by both parties:

      1) Labor and Test Costs
      2) Transportation Costs
      3) Top five (5) material costs

6.5 Non-Recurring Engineering Costs. Non-recurring engineering costs ("NRE"), if
any, shall be borne in accordance with the schedule set forth in Exhibit E.

6.6 Payment. For all Purchase Orders fulfilled by SUPPLIER, payment will be made
within [*] from the date of the Product invoice. Unless the parties agree
otherwise, all payments will be made in U.S. currency. In the event taxes are
required to be withheld by any foreign taxing entity on payments due SUPPLIER,
NETGEAR will deduct such taxes from any amount owed SUPPLIER. NETGEAR will
provide SUPPLIER a receipt for such taxes.

6.7 Taxes. NETGEAR shall pay all taxes, unless the relevant tax laws stipulate
that such tax shall be paid by SUPPLIER.

6.8 Right to Offset. NETGEAR shall have the right to offset any payments that it
owes to SUPPLIER under this Section 6 against any payments outstanding and
payable by the SUPPLIER hereunder. However, such offset shall be supported by an
invoice to show the offset taken.

7.    AUDIT RIGHTS

                                                                         Page 10
<PAGE>
SUPPLIER agrees to keep and maintain, for a period of two (2) years after the
end of the year to which they pertain, complete and accurate records of the
Products purchased by NETGEAR. NETGEAR will have the rights to audit all
manufacturing and quality records during this period.

8.    OWNERSHIP OF INTELLECTUAL PROPERTY

8.1 Ownership of Rights in and to SUPPLIER Proprietary Technology. NETGEAR
acknowledges SUPPLIER's exclusive right, title and interest in and to any and
all Intellectual Property Rights embodied in or pertaining to SUPPLIER
proprietary technology that has been developed by SUPPLIER at its own expense
without any involvement of NETGEAR or NETGEAR Proprietary Technology and that,
except as specified in this Master Agreement, NETGEAR shall acquire no rights
whatsoever in or to any of such Intellectual Property Rights. SUPPLIER reserves
all rights and licenses to such SUPPLIER proprietary technology.

8.2 Ownership of Rights in and to NETGEAR Proprietary Technology. SUPPLIER
acknowledges NETGEAR's exclusive right, title and interest in and to any and all
Intellectual Property Rights embodied in or pertaining to NETGEAR Proprietary
Technology that has been developed by NETGEAR at its own expense without any
involvement of SUPPLIER or SUPPLIER proprietary technology and that, except as
specified in this Master Agreement, SUPPLIER shall acquire no rights whatsoever
in or to any of such Intellectual Property Rights. Without limiting the
generality of the foregoing and for the avoidance of any doubt, SUPPLIER further
acknowledges and agrees that any software independently developed by NETGEAR in
support of the Products shall be owned exclusively by NETGEAR and SUPPLIER shall
acquire no rights whatsoever in or to any Intellectual Property Rights
associated with such software. SUPPLIER shall not utilize any of NETGEAR
Proprietary Technology for any purpose whatsoever, except as authorized herein,
and shall not take any action which may, in the reasonable opinion of NETGEAR,
adversely affect or impair NETGEAR's rights, title and interests in and to
NETGEAR Proprietary Technology. NETGEAR reserves all rights in and to NETGEAR
Proprietary Technology not specifically granted to SUPPLIER hereunder.

8.3 Ownership of Rights in and to the Work Products. Ownership of any and all
Intellectual Property Rights embodied in or pertaining to the Work Products
shall be as set forth in Section 3 of Exhibit D.

8.4 Ownership of Rights in and to Other Technology and Materials. NETGEAR and
SUPPLIER shall jointly own the exclusive right, title and interest in and to any
and all Intellectual Property Rights embodied in or pertaining to any software,
hardware, industrial design, specifications, and other technology and materials
developed by SUPPLIER at NETGEAR's request and expense, or with any involvement
of NETGEAR Proprietary Technology ("Other Technology and Materials"). [*].

8.5 NETGEAR's License to the Supporting Software. SUPPLIER agrees to grant and
hereby grants to NETGEAR a license to the Supporting Software on the terms and
conditions specified in Exhibit B.

8.6 Protection of NETGEAR's Introduction of Partner Technology and Engineering
Expertise. NETGEAR may introduce its partners' technology to SUPPLIER in order
to integrate such technology into the Products. If such an introduction occurs,
the parties acknowledge and agree that SUPPLIER shall not share [*].

9.    TRADEMARK LICENSE

                                                                         Page 11
<PAGE>
Subject to the terms and conditions of this Master Agreement, NETGEAR hereby
grants to SUPPLIER, and SUPPLIER hereby accepts, a limited, non-transferable
right and license to utilize the Marks solely in conjunction with its
obligations under this Master Agreement. SUPPLIER hereby acknowledges and agrees
that it shall acquire no rights whatsoever with respect to any of the Marks and
SUPPLIER shall not utilize any of the Marks in connection with any products it
creates for itself or any third parties. The use, placement, type, style and
size of such Marks shall be in accordance with the Label and Packing
Specifications. Upon NETGEAR's request, SUPPLIER shall provide NETGEAR with
samples of the Products containing the Marks for NETGEAR's quality control
purposes at NETGEAR's expenses.

10.   CONFIDENTIALITY

10.1 Confidential Information. The parties agree that for the purpose of this
Master Agreement confidential information shall mean and include any and all
data and information not in the public domain, relating to, or contained or
embodied in, the business, affairs, products or services of either party
("Confidential Information"). Data and information shall be considered to be
Confidential Information if (i) the disclosing party has marked them as such, or
(ii) the disclosing party, in writing, has advised the receiving party of their
confidential nature within ten (10) of its disclosure. Confidential Information
does not include, for purposes of this Master Agreement, material or information
that: (a) is already, or otherwise has become, generally known by third parties
as a result of no act or omission of the receiving party; (b) subsequent to
disclosure hereunder was lawfully received from a third party having the right
to disseminate the information and without restriction on disclosure; (c) was
already known by the receiving party prior to receiving it from the disclosing
party and was not received from a third party in breach of that third party's
obligations of confidentiality; or (d) was independently developed by the
receiving party without use of Confidential Information of the disclosing party.

10.2 Obligation. Each party will maintain the confidentiality of the other
party's Confidential Information and will not disclose such Confidential
Information other than to its own employees, employees of its Affiliates, its
attorneys, auditors and accountants, consultants, contractors and subcontractors
who are bound by their own confidentiality agreements that by their terms apply
to and cover the other party's Confidential Information and are at least as
protective with respect to such Confidential Information as this Section 10. The
confidentiality provisions of this Master Agreement shall continue for three (3)
years following the expiration or termination of this Master Agreement.

10.3 Return of Confidential Information. Upon the expiration or termination of
this Master Agreement, at the request of either party, the receiving party will
cease all use of the disclosing party's Confidential Information and will
promptly destroy or return to the disclosing party all such Confidential
Information in tangible form and all copies thereof in that party's possession
or under its control, and will destroy all copies thereof on its computers,
disks and other digital storage devices. NETGEAR's compliance with this Section
10.3 shall be subject to its and its End Users' ability to continue to use the
Products provided under this Master Agreement. Upon request, a receiving party
will certify in writing its compliance with this Section 10.3.

11.   REPRESENTATIONS AND WARRANTIES

11.1 SUPPLIER represents and warrants on an ongoing basis that:

                                                                         Page 12
<PAGE>
      11.1.1 NETGEAR will acquire good and marketable title to the Products, and
that all Products will be free and clear of all liens and encumbrances;

      11.1.2 All Products will be new and unused unless NETGEAR requests
Refurbished Products in writing. If NETGEAR requests Refurbished Products, the
Refurbished Products will be provided to NETGEAR clearly marked as such and will
be discounted as agreed by the parties in writing; and

      11.1.3 All Products will be free from defects in design (except for
NETGEAR's design), materials (except for the materials designated, provided or
consigned by NETGEAR) and workmanship (except for NETGEAR's workmanship), and
will perform in conformance with SUPPLIER's Product specifications and
specifications provided by NETGEAR in Exhibit A3 for [*] from the date of
manufacturing . The foregoing warranty extends to any Product which was properly
used for its intended purpose and does not cover the Product which was modified
without SUPPLIER's approval or which was misused, abuse, neglect, improper
transportation, improper installation, improper operation, improper use,
improper testing, improper storage, improper maintenance, repair, alteration,
modification, tampering, accident or unusual deterioration or degradation of the
Product or parts thereof due to physical environment beyond the requirements of
Product specifications or subjected to unusual physical stress.

      11.1.4 It has all the necessary rights and licenses in, and to, the
Products necessary to allow NETGEAR to resell and sublicense the Products
without restriction or additional charge: and 11.1.5 The Products do not
infringe any third party's Intellectual Property Rights.

11.2 On-Going Quality Assurance. SUPPLIER will follow good manufacturing
practices () utilizing materials, techniques, and procedures, which conform to
industry standards. SUPPLIER shall comply and shall use suppliers in its
manufacturing process which comply with the requirements of ISO 9000 and CE Mark
standards, including any requested by NETGEAR in Exhibit A3. Without limiting
the generality of the foregoing, SUPPLIER represents that it has and shall
maintain ISO 9000 certification. SUPPLIER shall monitor, test and assure the
quality of the Products in accordance with Exhibit G (Quality
Procedures/On-Going Reliability Testing).

11.3 Non-Conforming Product. For the products sold and returned from end
customers, NETGEAR will promptly notify SUPPLIER of any Non-Conforming Product
in order to obtain a return materials authorization number ("RMA"). SUPPLIER
will issue a RMA within twenty-four (24) hours of its receipt of notification.
Upon NETGEAR's receipt of a RMA, NETGEAR will (i) cause the return of the
Non-Conforming Product to SUPPLIER's facility or to such other location
specified by SUPPLIER, and (ii) issue a credit memorandum in the amount of the
then- current Purchase Order price for such Non-Conforming Products. All such
Non-Conforming Products will be shipped by NETGEAR to SUPPLIER at SUPPLIER's
risk and expense, including packing and freight charges to and from SUPPLIER,
and SUPPLIER will reimburse NETGEAR for any reasonable and necessary costs
incurred by NETGEAR with respect to the same. SUPPLIER may, at its own cost and
expense and discretion, (a) test the returned Non-Conforming Products for
defects, (b) repair/refurbish the returned Non-Conforming Products that prove to
be defective during testing; provided that SUPPLIER shall have the discretion to
determine whether to dispose/scrap defective Non-Conforming Products, and (c)
repackage the Non-Conforming Products that have been tested and
repaired/refurbished. If, within [*] in Q1-Q2, [*] in Q3-Q4 of FY2003 and [*] in
Q1 of FY2004. after SUPPLIER's carrier receives the returned Non-Conforming
Products, SUPPLIER tests, repairs (if necessary), and repackages such returned
products ("Refurbished Products"), then NETGEAR will repurchase such Refurbished
Products at [*] of the then-

                                                                         Page 13
<PAGE>
current Purchase Order price for such products. If SUPPLIER does not complete
such testing, repair (if necessary) and repacking within such [*] period (noted
above), NETGEAR shall not be obligated, but shall have the right and option, to
repurchase the Refurbished Products at [*] of the then-current Purchase Order
price for such products.. The credit for non-conforming product on a quarterly
basis shall not exceed [*] of the previous quarters total purchase. In
recognition of SUPPLIER's efforts with respect to the RMA program described
herein, the Purchase Order price for Products ordered by NETGEAR after NETGEAR's
repurchase of Refurbished Products shall be increased by a certain percentage to
be mutually agreed upon between the parties in writing. Any such increase shall
be based, in part, on NETGEAR's historic return rate and defect rates for the
Products. Additionally, NETGEAR and SUPPLIER agree to mutually work on a
quarterly basis to reduce the NTF %. These remedies are in addition to any
others that may be provided by this Master Agreement or by law.

11.4 Out-of-Warranty Repair. Upon request of NETGEAR, SUPPLIER shall repair or
replace out-of-warranty Products for a period of two (2) years after the last
date of production, following the RMA procedures, at a charge to NETGEAR as set
forth in the price schedule in Exhibit A2. Upon such request, NETGEAR shall
provide SUPPLIER with a detailed description of the defect.

11.5 EXCEPT FOR THE EXPRESS WARRANTIES SET FORTH IN THIS MASTER AGREEMENT,
SUPPLIER GRANTS NO OTHER WARRANTIES, EITHER EXPRESS OR IMPLIED, AND HEREBY
DISCLAIMS THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR
PURPOSE, IN CONNECTION WITH ANY PRODUCT SOLD BY SUPPLIER UNDER THIS MASTER
AGREEMENT.

12.   EPIDEMIC PROBLEMS AND SAFETY

12.1 Epidemic Failures. In the event of Epidemic Failure of the Products and
both parties determine such Epidemic Failure is solely attributable to SUPPLIER,
SUPPLIER agrees to compensate NETGEAR for all necessary and reasonable costs and
expenses (whether inside or outside the warranty period) caused by Epidemic
Failure. If an Epidemic Failure occurs, NETGEAR will immediately notify
SUPPLIER, and the parties will cooperate in good faith to promptly conduct
analyses of the Epidemic Failure and develop a recovery plan, which may include
a preventive action plan if appropriate to correct the Epidemic Failure (the
"Recovery Plan"). In the event both parties determine such Epidemic Failure is
solely attributable to SUPPLIER, SUPPLIER shall bear the cost of implementing
the Recovery Plan unless otherwise agreed by NETGEAR, including the cost of air
freight for the Products in need of repair to, and from, NETGEAR's Distribution
Centers. The parties will use reasonable efforts to minimize the costs
associated with the Recovery Plan without compromising NETGEAR's ability to
aggressively respond to End Users' needs.

12.2 Product Safety. In the event either SUPPLIER or NETGEAR becomes aware of
any information which reasonably supports a conclusion that a hazard may exist
in any Product and the defect could cause death or bodily injury to any person
or property damage ("Hazard(s)"), the party becoming aware of this information
shall notify the other party of the Hazard. Whenever possible, notification to
the other party shall precede notice to any governmental agency, unless required
by law. SUPPLIER and NETGEAR shall promptly exchange all relevant data and then,
if practical, as promptly as possible, meet to review and discuss the
information, tests, and conclusions relating to the alleged Hazard. At this
meeting, the parties shall discuss the basis for any action, including a recall,
and the origin or causation of the alleged Hazard. In the event both parties
determine such Hazard is solely attributable to SUPPLIER, SUPPLIER

                                                                         Page 14
<PAGE>
shall be responsible for the actual, necessary and reasonable costs affecting a
recall. Each party shall, on request, provide to the other reasonable assistance
in: (i) determining how best to deal with the Hazard; and (ii) preparing for,
and making any presentation before, any governmental agency, which may have
jurisdiction over Hazards involving the Products

13.   INDEMNIFICATION

13.1 SUPPLIER agrees to defend (or at its option settle), indemnify and hold
harmless NETGEAR and its respective directors, officers, and employees from and
against any and all legal claims, actions, demands, proceedings, judgments,
authorized settlements, costs and expenses directly arising out of or in
connection with any actual:

      13.1.1 infringement by SUPPLIER or a Product of any valid and enforceable
US patent of any third party, other than claims, actions, demands, proceedings,
judgments, authorized settlements, costs and expenses which would not have
occurred but for (i) NETGEAR's modification of a Product; (ii) the combination,
operation or use of a Product with any product, data or apparatus, (iii)
anything NETGEAR provides to incorporate into a Product, or (iv) SUPPLIER's
manufacture or modification of a Product in compliance with NETGEAR's design,
tooling, specification, advice, approval, direction, indication, instruction
and/or using any of NETGEAR's designated or consigned material, component or
part;

      13.1.2 claim by a third party that a Product provided under this Master
Agreement has caused bodily injury (including death) or has damaged real or
tangible personal property, other than claims, actions, demands, proceedings,
judgments, authorized settlements, costs and expenses which would not have
occurred but for (i) NETGEAR's modification of a Product; (ii) the combination,
operation or use of a Product with any product, data or apparatus, (iii)
anything NETGEAR provides to incorporate into a Product, (iv) SUPPLIER's
manufacture or modification of a Product in compliance with NETGEAR's design,
tooling, specification, advice, approval, direction, indication, instruction
and/or using any of NETGEAR's designated or consigned material, component or
part, or (v) misuse, abuse, neglect, improper transportation, improper
installation, improper operation, improper use, improper testing, improper
storage, improper maintenance, repair, alteration, modification, tampering,
accident or unusual deterioration or degradation of the Product or parts thereof
due to physical environment beyond the requirements of Product specifications or
subject to unusual physical stress;

      13.1.3 breach of any of SUPPLIER's warranties contained in this Master
Agreement;

      13.1.4 claim directly arising out of or relating to SUPPLIER's provision
of Products whether repaired or not that contain used or refurbished parts that
are not clearly and conspicuously labeled as such and not consented by NETGEAR;
and

      13.1.5 any violation by SUPPLIER of any governmental laws, rules,
ordinances or regulations.

13.2 In the event of any such claims, NETGEAR shall: (i) promptly notify
SUPPLIER of such claims; (ii) tender to SUPPLIER the sole right to and complete
control to defend and settle such claims provided, however, that NETGEAR shall
have the right to participate in such defense with its own counsel and at its
own expense without interfering the complete control by and sole right of
SUPPLIER to defend and settle; and (iii) cooperate with SUPPLIER in the defense
thereof at SUPPLIER's expense. NETGEAR shall not engage in settlement
negotiation either for NETGEAR or for SUPPLIER without SUPPLIER's

                                                                         Page 15
X
<PAGE>
prior written consent. SUPPLIER shall not be responsible for any settlement or
compromise made by NETGEAR.

13.3 If an infringement claim is made by a third party with respect to a Product
and such infringement is solely attributable to SUPPLIER, SUPPLIER shall use its
best efforts to, at its sole discretion, (i) do as stipulated in Section 13.1
above, (ii) procure for NETGEAR the right to continue to use and market the
Product, (iii) modify the Product so that it is no longer infringing, or (iv)
replace the Product with a non-infringing Product.

14.   LIABILITY

UNDER NO CIRCUMSTANCES WILL EITHER PARTY BE LIABLE TO THE OTHER FOR SPECIAL,
INDIRECT, INCIDENTAL, OR CONSEQUENTIAL DAMAGES INCLUDING LOSS OF REVENUE OR LOST
PROFITS HEREUNDER, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGES BY REASON
OF ANY PERFORMANCE OR NON-PERFORMANCE UNDER THIS MASTER AGREEMENT. A PARTY'S
TOTAL LIABILITY UNDER THIS MASTER AGREEMENT (REGARDLESS OF THE FORM OF ACTION,
WHETHER IN CONTRACT OR TORT) SHALL NOT EXCEED THE GREATER OF: [*].

15.   TERM, RENEWAL AND TERMINATION

15.1 Initial Term. This Master Agreement will be effective on the Effective Date
and will remain in effect for two (2) years thereafter unless renewed or
terminated in accordance with the terms of this Section 15.

15.2 Renewal. This Master Agreement may be renewed for successive one (1) year
periods after the initial term upon both parties' mutual agreement in writing.

15.3 Termination.

      15.3.1 If either party is in breach of any material obligation under this
Master Agreement and such breach remains uncured for a period of thirty (30)
days after written notice thereof from the other party, then the other party
may, by written notice, terminate this Master Agreement thirty (30) days after
delivery of such written notice.

      15.3.2 Notwithstanding anything in this Master Agreement to the contrary,
either party has the right to terminate this Master Agreement immediately, upon
written notice to the other party, if the other party's breach of any material
obligation of this Master Agreement causes the non-breaching party to be in
violation of any applicable law, rule, regulation or order and that breach
cannot be cured or rectified within ten (10) days without subjecting the
non-breaching party to liability.

      15.3.3 This Master Agreement will terminate automatically, without prior
notice, upon the insolvency or bankruptcy of either party, the inability of
either party to pay its debts as they fall due or upon the appointment of a
trustee or receiver or the equivalent for either party, or upon the institution
of proceedings relating to dissolution, liquidation, winding up, bankruptcy,
insolvency or the relief of creditors.

                                                                         Page 16
<PAGE>
15.4 Effect of Termination.

      15.4.1 Upon termination of this Master Agreement, SUPPLIER shall continue
delivery of the Products under Purchase Orders for which it has submitted
acknowledgements and NETGEAR shall pay for them on time.

      15.4.2 At NETGEAR's option and request, SUPPLIER shall continue to provide
maintenance support to NETGEAR and its End Users at SUPPLIER's prevailing rates
for a maximum of one (1) year after termination or expiration of this Master
Agreement.

      15.4.4 Upon termination or expiration of this Master Agreement, either
party shall cease all use of the other party's proprietary technology and shall
promptly return to the other party all such proprietary technology.

      15.4.5 The following provisions shall survive any termination or
expiration of this Master Agreement: Sections 8, 10, 11, 13, 14, 15, 23 and 24.

16.   ESCROW OF TECHNOLOGY - BREACH BY SUCCESSOR IN INTEREST

16.1 Change of Control. Either party agrees to promptly disclose in writing to
the other party if there is a Change of Control of it. Either party represents
that as of the Effective Date it is not in current negotiations with any third
party that might result in the Change of Control. In the event of a Change of
Control of either party, the other party shall have the right to immediately
terminate this Master Agreement upon written notice.

16.2 Escrow. Prior to any Change of Control, or termination of existing product,
SUPPLIER shall notify NETGEAR six (6) months in advance in writing. To the
extent permitted and subject to mutual consent of both parties, SUPPLIER shall
place in escrow all technology, documentation and other information relating to
the Products necessary or appropriate to enable a reasonably skilled party to
manufacture and test the Products which will comply with specifications and
warranties described in this Master Agreement, such information shall include,
but not be limited to, the product specifications, design and manufacturing
documentation, fixtures documentation and test codes, parts, firmware lists and
schematics, functional descriptions, test vector files, design specifications
relating to the ASIC and source code listings for each Product it sells to
NETGEAR ("SUPPLIER Proprietary Information"). Such escrow shall be established
with a mutually acceptable third party agent with instructions to release
SUPPLIER Proprietary Information to NETGEAR in the event NETGEAR notifies the
escrow agent that the successor in interest to SUPPLIER has breached and fails
and refuses to perform under this Master Agreement. The parties shall develop
specific instructions to the escrow agent shortly after the execution of this
Master Agreement but in no event later than forty five (45) days following the
Effective Date. [*].

16.3 License. Upon receiving SUPPLIER Proprietary Information from escrow,
NETGEAR and its Affiliates shall have a non-exclusive, worldwide,
non-transferable, royalty free, license to copy and use SUPPLIER Proprietary
Information under all of SUPPLIER's patents, issued or which may be issued, and
all of SUPPLIER's copyrights, trade secrets embodying inventions and
improvements reflected or contained in the Products and SUPPLIER Proprietary
Information, to make, have made, modify, use, sell maintain, support and
service, solely under NETGEAR's brand name, the Products purchased from SUPPLIER
under this Master Agreement. NETGEAR is authorized to contact existing
SUPPLIER's

                                                                         Page 17
<PAGE>
suppliers and they are authorized to provide NETGEAR with access to the existing
tooling and documents necessary to build SUPPLIER tooling, at the expense of
NETGEAR. NETGEAR shall also have the right to acquire any custom ASICs used in
the Products directly from SUPPLIER's manufacturers at SUPPLIER's prices.
SUPPLIER agrees that upon NETGEAR's request, it will provide prompt written
authorization to such SUPPLIER's suppliers and manufacturers if so needed.

16.4 Access. NETGEAR shall restrict access to all SUPPLIER Proprietary
Information to employees and third parties with a need to know and shall protect
all SUPPLIER Proprietary Information in the same manner it protects its own
proprietary information of a like kind and nature. At such time as the successor
in interest indicates that it will perform under this Master Agreement, both
parties shall negotiate in good faith to reach an agreement regarding the terms
of such continuation of the Master Agreement and upon execution of such written
agreement, NETGEAR shall cease to use and return SUPPLIER Proprietary
Information and the license to use such information shall terminate.

17.   COMPONENT SHORTAGES AND LONG LEAD-TIME

17.1 Component Shortages. In the event that component parts or supplies
necessary to create or repair the Products (the "Raw Materials") become short in
supply, SUPPLIER agrees to allocate all Raw Materials which are available to it
to fill Purchase Orders for the Products and perform warranty repairs on the
Products. Except for priority allocations of Raw Materials required pursuant to
government contracts which are in place as of the Effective Date of this Master
Agreement, SUPPLIER shall allocate Raw Materials to NETGEAR in the proportion of
Purchase Orders placed during the previous calendar quarter. SUPPLIER agrees to
cooperate with NETGEAR in identifying all Raw Materials which are likely to be
in short supply and/or which have long lead times. Upon receipt of each Purchase
Order from NETGEAR, SUPPLIER agrees to diligently and promptly analyze its Raw
Materials inventory and projected needs to avoid shortages, and to notify
NETGEAR promptly upon learning of a shortage.

17.2 Long-Lead-Time Part Requirements. SUPPLIER shall purchase long lead-time
components in support of NETGEAR forecasts and Purchase Orders. Long lead-time
components are to be purchased according to the lead-time for the part and to a
schedule that supports the new product introduction schedule or in support of
the monthly rolling forecast. SUPPLIER will immediately notify NETGEAR of the
need for "risk buys" in support of new product introductions. NETEGAR shall be
responsible for all inventories SUPPLIER prepares for long lead-time components
as stipulated above.

18.   END OF LIFE AND SPARES

18.1 End-of-Life Purchases. In the event of termination or expiration of this
Master Agreement, NETGEAR will be entitled, with both parties' mutual consents,
to place a non-cancelable Purchase Order for a "life cycle purchase" of the
Products within fifteen (15) days after the effective date of such termination
or expiration, for delivery within one hundred and eighty (180) days after the
effective date of termination or expiration of this Master Agreement. NETGEAR
agrees to give SUPPLIER three (3) month's advance notice of "end of life"
Products and SUPPLIER agrees to notify NETGEAR of any potential issues, concerns
or exposures with the "end of life" plan for such Products.

18.2 Availability of Spares. SUPPLIER shall make available to NETGEAR spare,
replacement, and maintenance parts including customized parts, necessary to
enable NETGEAR to support the Products for

                                                                         Page 18
<PAGE>
a period of at least five (5) years after the date of the last delivery of the
Products to NETGEAR. SUPPLIER will make these parts available to NETGEAR at the
reasonable prices set forth in Exhibit A2.

19.   PRODUCT CHANGES

19.1 Engineering Change. In case of an engineering change which impacts form,
fit, function, safety or environmental compliance of the Product ("Engineering
Change"), SUPPLIER shall submit an Engineering Change notice to NETGEAR at least
thirty (30) days prior to such change for review and approval, with such
approval not to be unreasonably withheld by NETGEAR. The Engineering Change
notice will include a summary of the expected impact of any such planned change
on the above listed characteristics of the Products and the expected financial
impact to NETGEAR, if any. SUPPLIER shall not perform any Engineering Change
without NETGEAR's prior written approval. If the change is accepted by NETGEAR
and is other than an emergency deviation, the effective date thereof will be
established by SUPPLIER but in no event will such effective date be earlier than
thirty (30) days after the date of acceptance of the change by NETGEAR. Where
the change is an emergency deviation, an effective date of not more than thirty
(30) days after the date of acceptance of the change by NETGEAR will be set by
mutual agreement of the parties.

19.2 Engineering Change Requested by NETGEAR. When an Engineering Change to the
Products is desired by NETGEAR, NETGEAR shall provide SUPPLIER applicable
documentation, specifications and the requested effective date of such
engineering change for SUPPLIER's review and approval, with such approval not to
be unreasonably withheld by SUPPLIER. SUPPLIER shall use reasonable efforts to
respond within ten (10) working days, advising NETGEAR as to: (i) implementation
and the effective date of such change; (ii) associated costs; and (iii) the
impact of the change upon the existing Product pricing, if any.

19.3 Mandatory Changes. SUPPLIER may issue mandatory changes, which are changes
required to satisfy governmental standards or for safety ("Mandatory Changes").
If possible, SUPPLIER will provide NETGEAR with sixty (60) days prior written
notice of Mandatory Changes prior to implementing such changes; if sixty (60)
days notice is not possible, SUPPLIER shall notify NETGEAR promptly. If
Mandatory Changes must be installed on the Products already delivered to
NETGEAR, SUPPLIER will provide at NETGEAR's expense, all necessary materials,
reasonable labor and instructions.

19.4 Retrofit. In the event a change to the Products is made for safety or
health related reasons, SUPPLIER shall retrofit NETGEAR's existing inventory of
such Products free of charge, with the such retrofit being limited to the
replacement of the specific item that is deemed to be the cause of the retrofit.

20.   REGULATORY COMPLIANCE

20.1 SUPPLIER is responsible for obtaining and maintaining all necessary U.S.
and foreign regulatory approvals for the Products at Netgear's cost.
Additionally, SUPPLIER will, at NETGEAR's expense, assist NETGEAR in addressing
problems with the Products that contribute to NETGEAR system's failure to meet
any regulatory requirement due to the Products being integrated into the NETGEAR
systems.

20.2 Since NETGEAR transacts business with the United States government,
SUPPLIER shall also comply with applicable laws and Federal Acquisition
Regulations ("FARs") including, but not limited to:

                                                                         Page 19
<PAGE>
(i) FAR 52.222-26 "Equal Opportunity"; (ii) FAR 52.222-35 "Affirmative Action
for Special Disabled and Vietnam Era Veterans"; and (iii) FAR 52.222-36
"Affirmative Action for Handicapped Workers".

20.3 In addition, SUPPLIER represents and warrants that it will comply with all
applicable requirements of 33 U.S.C. Section 1251 "Federal Water Pollution
Control Act" and 42 U.S.C. Section 7401 "Clean Air Act." SUPPLIER further
represents and warrants that none of the items listed in paragraph (a) of FAR
52.209-5 exists with respect to SUPPLIER or any SUPPLIER's "principals" as that
term is defined by FAR 52.209-5. SUPPLIER represents and warrants that it will
comply with the prohibition on the use of convict labor as set forth in FAR
52.222.3 "Convict Labor".

21.   IMPORT AND EXPORT COMPLIANCE

21.1 Country of Origin. SUPPLIER will certify to, and mark the Products and
packaging with, the country of origin for each Product so as to satisfy the
requirements of customs authorities of the country of receipt and any applicable
laws. If any Products are imported, SUPPLIER will, at NETGEAR's request, either:
(i) allow NETGEAR to be the importer of record; or (ii) provide NETGEAR with any
documents required to prove importation and to transfer duty drawback rights to
NETGEAR.

21.2 Export Control. SUPPLIER shall comply strictly with all export control laws
and regulations of the United States and any other applicable laws and
regulations, and shall not export, reexport, transfer, divert or disclose any
such Products or Confidential Information, or any direct product thereof, to any
destination restricted or prohibited by applicable export control laws, or to
any national or resident thereof.

22.   INSURANCE

SUPPLIER shall maintain during its performance under this Master Agreement (i)
comprehensive general liability insurance on an occurrence basis with limits of
[*] combined single limit per occurrence for bodily injury and property damage,
(ii) workers' compensation insurance and other employee insurance coverage
required by law, (iii) employers' liability insurance with limits of [*], and
(iv) owned and non-owned automobile insurance with limits of [*]. Prior to the
Effective Date of, and on every annual date of, this Master Agreement, upon
NETGEAR's request, SUPPLIER will furnish to NETGEAR a certificate of insurance
evidencing that such insurance is in effect. Upon NETGEAR's request, SUPPLIER
will furnish a new certificate in the event of renewal, cancellation or
expiration of any insurance.

23.   GOVERNING LAW AND DISPUTE RESOLUTION

23.1 General. Before either party initiates a lawsuit against the other relating
to this Master Agreement, the parties agree to work in good faith to resolve
between them all disputes and claims arising out of, or relating to, this Master
Agreement, the parties' performance under it, or its breach. To this end, either
party may request, after informal discussions have failed to resolve a dispute
or claim, that each party designate an officer or other authorized
representative to meet in good faith and attempt to resolve the dispute or
claim. During their discussions, each party will honor the other's reasonable
requests for information relating to the dispute or claim with the understanding
that neither party will be required to turn over any attorney work product or
information protected by attorney client privilege or similar legal privileges.

                                                                         Page 20
<PAGE>
23.2 Dispute Resolution. Subject to Section 23.1, all disputes shall be resolved
by the federal and state courts of the State of California. SUPPLIER hereby
specifically consents to the exercise of personal jurisdiction by such courts
and hereby agrees that any such court shall be a proper forum for the
determination of any dispute arising hereunder.

23.3 Governing Law. This Master Agreement and any disputes arising out of, or
relating to, this Master Agreement shall be governed by laws of the State of
California, excluding conflict of law principles and excluding the United
Nations Convention on Contracts for the International Sale of Goods.

23.4 Injunctive Relief. Either party may, at its sole discretion, seek
injunctive relief in any court of competent jurisdiction (including but not
limited to preliminary injunctive relief). SUPPLIER acknowledges that NETGEAR
has a vital interest in enjoining any unauthorized use or violation of its
Intellectual Property Rights or Confidential Information, because damages would
not adequately compensate NETGEAR for any infringement or violation thereof.

23.5 Legal Expenses. The prevailing party in any court proceeding brought by one
party against the other party because of a dispute shall be entitled to recover
its legal expenses, including, but not limited to, the court fees and reasonable
attorneys' fees.

24.   GENERAL

24.1 Assignment and Subcontracting. Neither party shall have the right or the
power to assign any of its rights, or delegate the performance of any of its
obligations, under this Master Agreement without the prior written consent of
the other party, except: (i) to an Affiliate of such party; or (ii) in
connection with the sale of all or substantially all of the assets of such party
or such party's business unit or Affiliate that is principally responsible for
such party's performance hereunder. SUPPLIER may not subcontract its obligations
hereunder without the prior written consent of NETGEAR, which shall not be
unreasonably withheld.

24.2 Independent Contractors. In the exercise of their respective rights, and
the performance of their respective obligations under this Master Agreement, the
parties are, and shall remain, independent contractors. Nothing in this Master
Agreement shall be construed (i) to constitute the parties as principal and
agent, franchisor and franchisee, partners, joint venturers, co-owners or
otherwise as participants in a joint undertaking, or (ii) to authorize either
party to enter into any contract or other binding obligation on the part of the
other party hereto, and neither party shall represent to any other person, firm,
corporation or other entity that it is authorized to enter into any such
contract or other obligation on behalf of the other party hereto.

24.3 Severability. If and to the extent any provision of this Master Agreement
is held illegal, invalid or unenforceable in whole or in part under applicable
law, such provision or such portion thereof shall be ineffective as to the
jurisdiction in which it is illegal, invalid or unenforceable to the extent of
its illegality, invalidity or unenforceability and shall be deemed modified to
the extent necessary to conform to applicable law so as to give the maximum
effect to the intent of the parties. The illegality, invalidity or
unenforceability of such provision in that jurisdiction shall not in any way
affect the legality, validity or enforceability of such provision or of any
other provisions of this Master Agreement in any other jurisdiction.

                                                                         Page 21
<PAGE>
24.4 No Waiver. The failure of either party to assert any of its rights
hereunder, including, but not limited to, the right to terminate this Master
Agreement in the event of breach or default by the other party, shall not be
deemed to constitute a waiver by that party of its right thereafter to enforce
each and every provision of this Master Agreement in accordance with their
terms.

24.5 Non-Exclusivity. Nothing in this Master Agreement will prevent or restrict
NETGEAR from entering into agreements for the provision of products of the same
or similar nature as those provided under this Master Agreement with any third
party.

24.6 Force Majeure. Neither party shall be deemed to be in default of or to have
breached any provision of this Master Agreement as a result of any delay,
failure in performance, or interruption of service resulting directly or
indirectly from acts of God, acts of war, strikes or other labor disputes,
telecommunications or power failures, fires, or other catastrophes or any other
circumstances beyond the party's reasonable control.

24.7 Counterparts. This Master Agreement may be executed in two (2) copies, each
of which shall be deemed an original and all of which together shall constitute
one and the same Master Agreement.

24.8 Publicity. The parties agree that the existence and terms of this Master
Agreement shall constitute Confidential Information. Notwithstanding the above,
either party may disclose the existence and relevant terms to any of its
Affiliates or agents who may exercise certain of that party's rights under this
Master Agreement. Each party and their representative shall not issue or cause
to be issued publication of any press release, public announcement of other
public statement with respect to the transactions contemplated by this Master
Agreement without the prior written consent of the other party. SUPPLIER will
not use the name of NETGEAR or quote the opinion of any NETGEAR employee in any
advertising or otherwise without first obtaining the prior written consent of
NETGEAR; such consent shall not be unreasonably withheld.

24.9 Notices. All notices, reports and other communications between the parties
relating to this Master Agreement will be sent by overnight courier or by
confirmed facsimile, addressed as follows:

                  If to NETGEAR:

                  NETGEAR, Inc.
                  4500 Great America Parkway
                  Santa Clara, CA  95054

                  Attention:  Michael F. Falcon
                  Cc:  CFO

                  If to SUPPLIER:

                  Delta Networks, INC.
                  168 Ruey Kuan Rd., Neihu
                  Taipei 114, Taiwan, ROC

                                                                         Page 22
<PAGE>
                  Attention:  Vincent Tsai
                  Cc:  Victor Cheng

All notices, reports and other communications will be deemed received: (i) if
sent by overnight courier, three (3) days after delivery to the courier; and
(ii) if sent by facsimile, at the date and time of transmission.

24.10 Subject Headings. The subject headings of this Master Agreement are
included for purposes of convenience only, and shall not affect the construction
or interpretation of any provision of this Master Agreement.

24.11 Entire Agreement. This Master Agreement, including all Exhibits selected
therein, shall constitute the entire understanding of the parties with respect
to the subject matter hereof and shall supersede all previous and
contemporaneous communications, representations or understandings, either oral
or written, between the parties relating to the subject matter hereof.

                                                                         Page 23
<PAGE>
                                   EXHIBIT A1
                                 PURCHASE ORDER
                               Version US11/07/02

The rights and obligations of the parties under this Purchase Order are defined
by the Master Purchase Agreement between NETGEAR and SUPPLIER of _______
[EFFECTIVE DATE OF THE MASTER PURCHASE AGREEMENT] including all Exhibits
referenced therein (the "Master Agreement"). Except as specified in the Master
Agreement, this Purchase Order or in a separate writing duly signed by
authorized representatives of both parties, no other terms and conditions shall
be applicable with respect to the Products covered by this Purchase Order and
any other terms and conditions are hereby expressly rejected.

                                                                         Page 24
<PAGE>
                                   EXHIBIT A2
                        PURCHASE PRICE AND SERVICES FEES
                               Version US11/07/02

                                                                         Page 25
<PAGE>
                                   EXHIBIT A3
                 PRODUCTS, PRODUCT SPECIFICATIONS AND LEAD TIME
                               Version US11/07/02

1.    PRODUCTS:

2.    PRODUCT SPECIFICATIONS:

3.    LEAD TIME:

Pursuant to Section 5.1 of the Master Agreement, SUPPLIER shall work
aggressively to reduce the lead times. The lead time is [*] from the date a
Purchase Order is placed by NETGEAR to the date such order is shipped by
SUPPLIER provided the order is based on forecast.

THE ON TIME IS BASED ON TOTAL QUANTITY DELIVERED AGAINST THE TOTAL QUANTITY
COMMITTED + OR - ONE (1) DAY. PERFORMANCE GOAL IN THE UP-COMING YEARS IS AS
FOLLOWS:

Q1'03:   [*]
Q2'03:   [*]
Q3'03:   [*]
Q4'03:   [*]
2004 onwards:   [*]

If SUPPLIER does not meet the lead times and the On Time Delivery Performance
goal specified in this Exhibit A3, then SUPPLIER and NETGEAR will mutually
discuss and agree to the cost to be absorbed by SUPPLIER for any difference
between and marine transport and airfreight charges for delivery of such delayed
Products, except for the circumstances of Force Majeure.

                                                                         Page 26
<PAGE>
                                   EXHIBIT A4
                         NETGEAR PROPRIETARY TECHNOLOGY
                               Version US11/07/02

NETGEAR Proprietary Technology includes, but is not limited to, the following:

1. Any computer software and code that NETGEAR provides directly for
incorporation with or into the Products, and any developments by NETGEAR based
on such software and code. This includes, without limitation:

      1.1   [*]

2. Except for the Product specifications which are pre-existing or publicly ,
any Product specifications that NETGEAR provides directly for incorporation with
or into the Products, and any developments by NETGEAR based on such Product
specifications. This includes, without limitation, the specifications for:

      2.1   [*]

(For clarification, where pre-existing, publicly available products are included
as part of a NETGEAR product specification, such products shall not, by
themselves, be considered NETGEAR Proprietary Technology.)

3. The identities or descriptions of the types of any non-public NETGEAR
products being researched, developed, manufactured, assembled and/or tested by
NETGEAR. This includes, without limitation, the identities and descriptions of:

      3.1   [*]
      3.2   [*]

4. Any technology, technical information or know-how that NETGEAR provides
directly relating to Product integration, including, without limitation,
technology, technical information, and know-how directly provided by NETGEAR
relating to the integration of third-party technology with or into the Products.

                                                                         Page 27
<PAGE>
                                    EXHIBIT B
                             SOFTWARE LICENSE TERMS
                               Version US11/07/02

These Software License Terms are part of the Master Purchase Agreement between
NETGEAR and SUPPLIER, which incorporates these Software License Terms by
reference (the "Master Agreement"). These Software License Terms apply to the
extent NETGEAR acquires any Supporting Software under the Master Agreement,
pre-installed on the Products or as stand-alone Products. Unless otherwise
specified, all capitalized terms used in these Software License Terms shall have
the same meanings as in the Master Agreement.

1.    LICENSE GRANT

SUPPLIER grants NETGEAR non-exclusive, royalty-free, worldwide license and right
to use, and distribute the Supporting Software in connection with NETGEAR's
distribution and support of the Products. NETGEAR shall have no right to: (i)
decompile, disassemble, or reverse engineer the Supporting Software; (ii) modify
or create any derivative works (including, without limitation, translations,
transformations, adaptations or other recast or altered versions) based on the
Supporting Software or Documentation, or alter the Supporting Software in any
manner whatsoever; and (iii) merge the Supporting Software with any other
software.

2.    ALL RIGHTS RESERVED

Subject to the rights and licenses granted under the Master Agreement, SUPPLIER
reserves all rights in and to the Supporting Software and Documentation,
including title, ownership, Intellectual Property Rights, and any other rights
and interests in, and to, the Supporting Software and Documentation.

3.    NOTICES

NETGEAR shall not remove any product identification, trademark, copyright or
other proprietary rights notices from the Supporting Software or Documentation
and shall display SUPPLIER's names, logos and notices on each copy of the
Supporting Software and Documentation made by NETGEAR.

4.    LICENSE RESTRICTIONS

Notwithstanding any other provisions of the Master Agreement, NETGEAR shall not
distribute any Supporting Software or any modification thereof created, except
pursuant to SUPPLIER's standard end-user license agreement.

                                                                         Page 28
<PAGE>
5.    SUPPORTING SOFTWARE WARRANTY AND REPRESENTATIONS

5.1 Warranty Standard. SUPPLIER warrants that the Supporting Software will
substantially conform to, and operate in accordance with, the applicable
Documentation for three (3) months when in use without material alteration on
the Products ("Conformance") provided, however, that SUPPLIER does not warrant
that the Supporting Software will perform uninterrupted or error-free.

5.2 Traps. SUPPLIER further warrants that the Supporting Software shall not have
been engineered to contain any timer, clock, counter, trap, virus or other
limiting design, disabling code or routine (collectively, a "Trap") that may
cause the Supporting Software, Products or any data generated or used by the
Products to be erased or become inoperable or inaccessible, or otherwise
incapable of being used in the full manner for which they were designed after
the occurrence or lapse of any triggering event, and SUPPLIER shall take
reasonable measures to ensure that at the time of delivery of the Supporting
Software no such Traps are contained in the Supporting Software or Products. The
foregoing includes any Trap that is triggered after use or copying of the
Supporting Software or any component a certain number of times, or after the
lapse of a period of time, or after the occurrence or lapse of any other
triggering event or factor.

5.3 Remedies. If the Supporting Software is not in Conformance within the
above-mentioned 3-month period, SUPPLIER shall, upon consultation with NETGEAR,
repair or replace the Supporting Software to achieve Conformance.

5.4 Costs. If the Supporting Software is not in Conformance within the
above-mentioned 3-month period, SUPPLIER will not charge for any repair,
replacement, error identification or correction.

5.5 Warranty Period. The warranty period for Supporting Software shall be [*]
days following delivery to NETGEAR. To make a warranty claim, NETGEAR shall
provide, during the warranty period, a written notice describing how the
Supporting Software fails to be in Conformance to SUPPLIER.

6.    DISCLAIMER

EXCEPT AS PROVIDED IN SECTION 5 (SUPPORTING SOFTWARE WARRANTY AND
REPRESENTATIONS) OF THESE SOFTWARE LICENSE TERMS, SUPPLIER MAKES NO EXPRESS OR
IMPLIED REPRESENTATIONS OR WARRANTIES WITH RESPECT TO THE SUPPORTING SOFTWARE,
INCLUDING, WITHOUT LIMITATION, STATUTORY WARRANTIES OR ANY IMPLIED WARRANTIES OF
MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE.

                                                                         Page 29

<PAGE>
                                    EXHIBIT C
                           MAINTENANCE SERVICES TERMS
                               Version US11/07/02

These Maintenance Services Terms are part of the Master Purchase Agreement
between NETGEAR and SUPPLIER, which incorporates these Maintenance Services
Terms by reference (the "Master Agreement"). These Maintenance Services Terms
apply if and to the extent NETGEAR acquires Software Maintenance Services or
Hardware Maintenance Services (collectively, "Maintenance Services") under the
Master Agreement. Unless otherwise specified, all capitalized terms used in
these Maintenance Services Terms shall have the same meanings as in the Master
Agreement.

1.       SOFTWARE MAINTENANCE SERVICES

1.1 Scope of Services. SUPPLIER will provide to NETGEAR software support and
maintenance services as specified in the Documentation and the applicable
Purchase Order ("Software Maintenance Services") consisting of help line support
and Updates in support of NETGEAR's use of the Supporting Software.

1.2 Help Line Support. SUPPLIER will provide to NETGEAR help line support that
includes answering any software application specific questions, addressing
problems specified in Defect Reports (as defined below in Section 4 of these
Maintenance Terms), directing NETGEAR documentation that may answer NETGEAR's
questions, clarifying the Documentation and recommending possible training
courses. SUPPLIER will provide help line support under Business Day. Help line
support provided under Business Day coverage will be performed via email and
telephone support during the principal service hours of 8 a.m. to 5 p.m. (at
NETGEAR's principal place of business) Monday through Friday, excluding U.S. and
Taiwan observed holidays. Response intervals depend on the selected coverage and
are described in the Documentation. In addition to help line support, SUPPLIER's
personnel will answer standard usage questions relating to general usability of
software issues. General usability of software issues are defined as, but not
limited to, non-programming issues, and include general information about the
functionality of the Supporting Software.

1.3 Updates. As part of the Software Maintenance Services, SUPPLIER will make
available to NETGEAR Updates provided that NETGEAR pays separate charge and
applicable standard maintenance and support fees. SUPPLIER will, at its
discretion, provide Updates via a website, email or post mail, to be installed
by NETGEAR or to be installed remotely by SUPPLIER, depending on the Product.
NETGEAR's use of any Updates provided by SUPPLIER shall be governed by the
Software License Terms specified in Exhibit B. NETGEAR may obtain Upgrades for
additional fees.

1.4 Onsite Support. Per NETGEAR's request, SUPPLIER may provide Software
Maintenance Services onsite to resolve a specific problem. For Software
Maintenance Services provided onsite, NETGEAR shall pay SUPPLIER's then current
rates on a time and materials basis. SUPPLIER's personnel will keep records of
all Software Maintenance Services performed onsite ("Services Records"), which
shall recite information about the date and type of Software Maintenance
Services that were performed, as well as the time of day personnel began
performing Software Maintenance Services and the time of day they finished
performing Software Maintenance Services that day. The Services Records shall be
reviewed and countersigned by NETGEAR's authorized representative on a daily,
weekly or monthly basis.

                                                                         Page 30
<PAGE>
1.5 Limitations and Exclusions. Software Maintenance Services shall not include
maintenance or repair (i) resulting from catastrophe, accident, neglect, misuse,
fault or negligence of NETGEAR or causes external to the Supporting Software;
(ii) of software or other devices not identified in the Master Agreement; (iii)
resulting from NETGEAR's failure to implement Updates; or (iv) resulting from
force majeure conditions as stated in Section 24.6 (Force Majeure) of Exhibit A
(General Terms). Per NETGEAR's request, SUPPLIER may perform one or more of the
above for additional charges at its then current rates.

1.6 Customer Support. SUPPLIER shall provide Level 3 escalation customer support
to End Users. SUPPLIER must acknowledge all Level 3 escalations within
twenty-four (24) hours of receipt of such escalations. The parties acknowledge
that the time required to reach a resolution/solution on the escalations depends
on the complexity of the problem involved. SUPPLIER shall, however, provide
reasonable resources to work on the escalations and provide updates on progress
until a mutually agreed resolution is reached. All information required for the
resolution of the escalation will be requested from End Users by NETGEAR.
SUPPLIER shall not interact with End Users unless specifically authorized by
NETGEAR.

2.       HARDWARE MAINTENANCE SERVICES

2.1 Scope of Services. SUPPLIER will provide to NETGEAR hardware maintenance
services for the Products as specified in the Documentation and Purchase Order
("Hardware Maintenance Services") consisting of preventive maintenance as deemed
appropriate by SUPPLIER and remedial maintenance based on NETGEAR's Defect
Reports, including replacement parts required for the Products used under normal
operating conditions in accordance with SUPPLIER's standard coverage for
Hardware Maintenance Services. Coverage options by SUPPLIER for Hardware
Maintenance Services are described in the Documentation. Hardware Maintenance
Services will be provided onsite at NETGEAR's expenses.

2.2 Limitations and Exclusions. Hardware Maintenance Services do not cover
repair for damages or malfunctions caused by: (i) NETGEAR's failure to follow
installation, operation or maintenance instructions for the Products; (ii)
failure or malfunction of equipment, or software not serviced by SUPPLIER; or
(iii) force majeure conditions as stated in Section 24.6 (Force Majeure) of
Exhibit A (General Terms). Per NETGEAR's request, SUPPLIER may perform repair or
other services not covered by Hardware Maintenance Services for additional
charges at SUPPLIER's then current rates.

3.       SUPPORT MATERIALS AND TOOLS

SUPPLIER shall provide NETGEAR with support materials and tools to enable
NETGEAR's technicians to perform troubleshooting over the phone. Such materials
and tools should contain precise scripts, flowcharts and any other instructions
that can be used by trained technicians to identify issues with the Supporting
Software.

4.       DEFECT REPORTS

NETGEAR will document and report malfunctions of the Products in a reasonably
detailed manner to SUPPLIER promptly after discovery ("Defect Reports"). The
Defect Reports must provide the following information:

-     caller's name, location, and company;

                                                                         Page 31
<PAGE>
-     contract number or reference;

-     call-back telephone number;

-     the system type and configuration, including the Products and interfacing
      products; and

-     a brief description and history of the malfunction and any efforts to
      solve it by NETGEAR.

5.       PAYMENT TERMS

For Maintenance Services, NETGEAR shall pay to SUPPLIER, in advance for the term
defined in the applicable Purchase Order, the applicable fees specified in
Exhibit A2.

6.       LIMITED MAINTENANCE SERVICES WARRANTY

6.1 Warranty Standard. SUPPLIER warrants that Maintenance Services will be
carried out in a professional and workmanlike manner by qualified personnel in a
timely and careful manner for three (3) months.

6.3 Disclaimer. EXCEPT AS PROVIDED IN THIS SECTION 6 (LIMITED MAINTENANCE
SERVICES WARRANTY), SUPPLIER MAKES NO EXPRESS OR IMPLIED REPRESENTATIONS OR
WARRANTIES WITH RESPECT TO MAINTENANCE SERVICES.

7.       TERM AND TERMINATION

7.1 Renewals. Maintenance Services shall take effect on the date specified in
the Purchase Order for Maintenance Services and shall continue in effect for the
initial term of one (1) year, unless a different term is expressly defined in
the applicable Purchase Order. Maintenance Services shall be automatically
renewed for successive one (1) year terms, unless either party gives the other
written notice of its intent not to renew at least thirty (30) days prior to the
expiration of any initial or renewal term.

7.2 Termination for Cause. Either party may terminate the provision of the
Maintenance Services by written notice if the other party fails to cure any
material breach with respect to such Maintenance Services within thirty (30)
days of having received written notice from the other party detailing the
breach.

7.3 Survival. Exhibit A (General Terms), as applicable to Maintenance Services,
and Sections 5 through 7 of these Maintenance Services Terms shall survive any
termination of any provision of the Maintenance Services.

                                                                         Page 32
<PAGE>
                                    EXHIBIT D
                   INTELLECTUAL PROPERTY PROTECTION AGREEMENT
                               Version US11/07/02

This Intellectual Property Protection Agreement ("IPP Agreement") is part of the
Master Purchase Agreement between NETGEAR and SUPPLIER, which incorporates this
IPP Agreement by reference (the "Master Agreement"). This IPP Agreement apples
if and to the extent NETGEAR and SUPPLIER expressly agree on development work to
be performed under this IPP Agreement. Unless otherwise specified, all
capitalized terms used in this IPP Agreement shall have the same meanings as in
the Master Agreement.

1.       DEVELOPMENT

1.1 Development Work. From time to time, as requested by NETGEAR and upon
SUPPLIER's written consent, SUPPLIER will perform certain development work for
NETGEAR under this IPP Agreement including development, manufacturing or
assembling the Work Products (the "Development Work"). The Development Work will
be performed by SUPPLIER either in consideration for payments of the NRE costs
as set forth in Exhibit E and/or such other consideration as may be agreed upon
by the parties in the Statement of Work attached hereto as Exhibit D1.

1.2 Statement of Work. The parties shall agree upon the scope of the Development
Work in the Statement of Work. Each Statement of Work shall (i) be executed by
the parties; (ii) reference the IPP Agreement; and (iii) be subject to the terms
and conditions of the IPP Agreement. If there is any conflict between the terms
of the IPP Agreement and any Statement of Work, the terms of the IPP Agreement
shall control and govern. Subject to the terms and conditions of the IPP
Agreement, SUPPLIER shall perform the tasks set forth in each Statement of Work
by completion dates mutually consented by both parties and set forth therein and
shall perform such other Development Work by the completion dates that the
parties mutually agree upon. All Development Work shall be subject to the
acceptance testing procedures, if any, set forth in the applicable Statement of
Work or such other acceptance procedures, if any, that the parties mutually
agree upon. Further, SUPPLIER will from time to time during the term of the IPP
Agreement keep NETGEAR advised as to SUPPLIER's progress in performing the
Development Work, and will, as reasonably requested by NETGEAR, prepare written
reports with respect thereto.

1.3 Master Agreement. If there is any conflict between the terms of the IPP
Agreement and the Master Agreement, the terms of the IPP Agreement shall control
and govern.

2.       PROTECTION OF NETGEAR PROPRIETARY TECHNOLOGY

2.1 Disclosure. To assist SUPPLIER, NETGEAR may disclose or make available to
SUPPLIER certain NETGEAR Proprietary Technology that, in NETGEAR's sole
judgment, will assist SUPPLIER in performing the Development Work. Upon
completion of the Development Work or termination of the IPP Agreement, SUPPLIER
shall promptly return to NETGEAR all NETGEAR Proprietary Technology.

2.2 Use of NETGEAR Proprietary Technology. SUPPLIER agrees to maintain in
confidence and not to disclose any NETGEAR Proprietary Technology to any third
party. SUPPLIER also agrees not to use NETGEAR Proprietary Technology for its
own benefit (or the benefit of others), but shall only use NETGEAR Proprietary
Technology to perform its obligations under the IPP Agreement and the Master
Agreement. SUPPLIER further agrees to take all reasonable precautions to prevent
any unauthorized

                                                                         Page 33
<PAGE>
disclosure or use of any NETGEAR Proprietary Technology. It is understood and
agreed that notwithstanding the obligations of this Section 2, with respect to
third party proprietary information and technology provided by NETGEAR and
identified in writing by NETGEAR as "USABLE THIRD PARTY PROPRIETARY INFORMATION
AND TECHNOLOGY," SUPPLIER's agreement to use such third party proprietary
information and technology exclusively for the benefit of NETGEAR shall only
remain in effect for one six (6) months after NETGEAR's disclosure of such third
party proprietary information and technology irrespective of the termination for
any reason whatsoever of the IPP Agreement.

3.       OWNERSHIP

3.1 Work Products. NETGEAR and SUPPLIER shall jointly own right, title, and
interest in all tangible and intangible results, processes and items arising out
of or constituting the results of any Development Work in which NETGEAR pays the
NRE costs or other consideration, or arising out of any disclosure of NETGEAR
Proprietary Technology to SUPPLIER, including without limitation all software,
reports, deliverables, ideas, inventions, designs, know-how, notes, and
copyrighted materials, and all copyrights and other intellectual property rights
constituting, embodied in, or pertaining to any of the foregoing (collectively,
the "Work Products").

3.2 Assignment of Rights. To the extent that any of the foregoing rights are not
assignable, SUPPLIER agrees to grant, and hereby grants, to NETGEAR a perpetual,
fully-paid and royalty-free, worldwide license to use, distribute, sublicense,
and otherwise utilize the Work Products. SUPPLIER agrees to execute such
documents, render such assistance, and take such other action as NETGEAR may
reasonably request, at NETGEAR's expense, to apply for, register, perfect,
confirm, and protect NETGEAR's and SUPPLIER's rights in the Work Products.

3.3 Pre-Existing Materials. SUPPLIER agrees that if in the course of performing
the Development Work, SUPPLIER incorporates into any Work Product developed
hereunder any software, content, copyrightable material, invention, improvement,
development, concept, discovery or other materials owned by SUPPLIER (or in
which SUPPLIER has an interest) prior to the Effective Date ("Pre-Existing
Materials"): (i) SUPPLIER shall inform NETGEAR in writing before incorporating
such Pre-Existing Materials into any Work Product; and (ii) SUPPLIER hereby
grants NETGEAR a nonexclusive, fully-paid and royalty-free, perpetual, worldwide
license, with the rights to sublicense through multiple levels of to use,
distribute, and export Pre-Existing Materials as part of or in connection with
such Work Product.

                                                                         Page 34
<PAGE>
4.       LIMITED WARRANTY AND REPRESENTATIONS

4.1 Warranty Standard. SUPPLIER warrants that during the warranty period
described in Section 4.3 the Work Products will substantially conform to the
specifications contained in the applicable Statement of Work ("Conformance").

4.2 Remedy. If the Work Products are not in Conformance, SUPPLIER shall repair
or replace the non-conforming Work Products.

4.3 Warranty Period. The warranty period for the Work Products shall be ninety
(90) days beginning on the date of their delivery to NETGEAR.

4.4 Representations. SUPPLIER hereby represents and warrants that: (i) all Work
Products will be the original work of SUPPLIER; (ii) neither the Work Products
nor any element thereof will be subject to any restrictions or to any mortgages,
liens, pledges, security interests, encumbrances or encroachments; and (iii)
SUPPLIER has no outstanding agreement or obligation that is in conflict with any
of the provisions of the IPP Agreement, or that would preclude SUPPLIER from
complying with the provisions hereof, and further warrants that SUPPLIER will
not enter into any such conflicting agreement during the term of the IPP
Agreement.

5.       TERM AND TERMINATION

5.1 Term. The term of the IPP Agreement will begin on the date specified in the
Statement of Work and shall continue until it is terminated in accordance with
this Section 5.

5.2 Termination. Either party may terminate the IPP Agreement or any Statement
of Work without cause upon giving sixty (60) days' prior written notice thereof
to the other party. Either party may terminate the IPP Agreement upon thirty
(30) days' prior written notice thereof to the other party if the other party is
in breach of any material provision of the IPP Agreement and such breach is not
cured within the above-mentioned thirty (30)-day period. The IPP Agreement
terminates automatically upon termination of the Master Agreement.

5.3 Effect of Termination. Upon the termination or expiration of the IPP
Agreement, SUPPLIER shall: (a) discontinue use of all NETGEAR Proprietary
Technology, and (b) deliver to NETGEAR all Work Products (without regard to
stage of completion and including all deliverables described in the Statement of
Work) and all embodiments of NETGEAR Proprietary Technology that SUPPLIER may
have in SUPPLIER's possession or control.

5.4 Survival. Upon termination or expiration, all rights and duties of the
parties toward each other will cease except: (a) NETGEAR shall pay, within
thirty (30) days of the effective date of termination, all amounts owing to
SUPPLIER for the Development Work whether or not completed prior to the
termination date. Exhibit A (General Terms), as applicable to the IPP Agreement,
and Sections 2, 3, 4 and 5 of the IPP Agreement shall survive any termination of
the IPP Agreement.

                                                                         Page 35
<PAGE>
                                   EXHIBIT D1
                                STATEMENT OF WORK
                               Version US11/07/02

This Statement of Work #_______ ("Statement of Work") is made and entered into
by and between NETGEAR and SUPPLIER, on __________________ 2002 and incorporates
by reference the Master Purchase Agreement between NETGEAR and SUPPLIER ("Master
Agreement").

NETGEAR and SUPPLIER agree that this Statement of Work completely and accurately
contains the entirety of both parties' requirements in the provision of the
Development Work.

<TABLE>
<S>                             <C>
DELIVERABLES SPECS:             INSERT DESCRIPTION AND PERFORMANCE SPECIFICATIONS FOR DELIVERABLES

PROJECT NUMBER:                 INSERT PROJECT NUMBER

REQUESTED DELIVERY DATES:       Work will commence the week of INSERT DATE, and will be completed on INSERT DATE.

ACCEPTANCE TESTING:             INSERT THE ACCEPTANCE TESTING PROCEDURE
AMOUNTS PAYABLE TO SUPPLIER:    NETGEAR shall pay SUPPLIER as follows:

ESTIMATED TOTAL FEES AND
COSTS:
NETGEAR PROJECT AUTHORITY:      INSERT NAME OF NETGEAR PROJECT AUTHORITY NAME AND CONTACT INFORMATION
</TABLE>

FORWARD ALL INVOICES FOR THIS WORK ORDER TO THE FOLLOWING ADDRESS:

           CONTACT NAME:
                ADDRESS:

           PHONE NUMBER:
             FAX NUMBER:
          EMAIL ADDRESS:

ENTIRE AGREEMENT. This Statement of Work and the IPP Agreement embody the entire
understanding of the parties with respect to the subject matter hereof and shall
supersede all previous communications, representations or understandings, either
oral or written, between the parties relating to the subject matter hereof.

<TABLE>
<S>             <C>                                                  <C>
Proposed by                                                          Agreed and Accepted by

NETGEAR, INC.                                                        SUPPLIER (NAME OF COMPANY)

Address                                                              Address

SIGNATURE:                                                           SIGNATURE:
                -------------------------------------
NAME:                                                                NAME:
                -------------------------------------
TITLE:                                                               TITLE:
                -------------------------------------
DATE:                                                                DATE:
                -------------------------------------
</TABLE>

                                                                         Page 36
<PAGE>
                                                CONFIDENTIAL TREATMENT REQUESTED

                                    EXHIBIT E
                         NON-RECURRING ENGINEERING COSTS
                               Version US11/07/02

This Exhibit E is part of the Master Purchase Agreement between NETGEAR and
SUPPLIER, which incorporates this Exhibit E by reference (the "Master
Agreement").

The following schedule lists the definitions and burdens of the NRE costs of
each type of development. The parties acknowledge that the NRE burdens may be
negotiated on a per-project negotiation.

<TABLE>
<CAPTION>
                                       New Design              Transferred Redesign    Existing Redesign
                                       ----------              --------------------    -----------------
<S>                                    <C>                     <C>                     <C>
Definition                             A new NETGEAR product   An existing NETGEAR     An existing NETGEAR
                                                               product that is         Product and is
                                                               transferred from a      currently being
                                                               different supplier      produced by SUPPLIER
EMC(1) Cost Burden  FCC, CE, VCCI,     NETGEAR: [*]            NETGEAR: [*]            NETGEAR: [*]
                  C-tick, LVD(2)       SUPPLIER: [*]           SUPPLIER: [*]           SUPPLIER: [*]

                  EMC NOT in the                               NETGEAR: [*]            NETGEAR: [*]
                  current design                               SUPPLIER: [*]           SUPPLIER: [*]
Safety Cost       UL, cUL, TUV(3)      NETGEAR: [*]            NETGEAR: [*]            NETGEAR: [*]
Burden                                 SUPPLIER: [*]           SUPPLIER: [*]           SUPPLIER: [*]
                  Safety NOT in the                            NETGEAR: [*]            NETGEAR: [*]
                  current design                               SUPPLIER: [*]           SUPPLIER: [*]
Tooling Cost Burden                    NETGEAR: [*]            NETGEAR: [*] if         NETGEAR: [*] if
                                       SUPPLIER: [*]           changes requested by    changes requested by
                                                               NETGEAR                 NETGEAR
Packaging and Printing Materials       NETGEAR: 100%           NETGEAR: 100%           NETGEAR: 100%
Cost Burden                            SUPPLIER: 0%            SUPPLIER: 0%            SUPPLIER: 0%
Samples Cost Burden                    NETGEAR:  of samples    NETGEAR:  of samples    NETGEAR:  of samples
                                       received by NETGEAR X   received by NETGEAR X   received by NETGEAR X
                                       Negotiated BOM cost     Negotiated BOM cost     Negotiated BOM cost
</TABLE>

In the event the project is cancelled prior to completion NETGEAR agrees to
re-imburse supplier for all direct development and material costs, related
solely to the unique design

--------
(1)   EMC means electro magnetic compliance.

(2)   FCC means EMC for the US; CE means EMC for Europe; VCCI means EMC for
      Japan; C-tick means EMC for Australia; and LVD means safety standard for
      Europe.

(3)   UL and cUL means safety standards for the US and Canada; and TUV means
      safety standards for Germany.

                                                                         Page 37
<PAGE>
                                                CONFIDENTIAL TREATMENT REQUESTED

for NETGEAR for the specific statement of work described in Exhibit D-1.

                                                                         Page 38
<PAGE>
                                                CONFIDENTIAL TREATMENT REQUESTED

                                    EXHIBIT F
                        SUPPLIER TRAINING SERVICES TERMS
                               Version US11/07/02

These Supplier Training Services Terms are part of the Master Purchase Agreement
between NETGEAR and SUPPLIER, which incorporates these Supplier Training
Services Terms by reference (the "Master Agreement"). These Supplier Training
Services Terms apply if and to the extent NETGEAR purchases any Training
Services under the Master Agreement. Unless otherwise specified, all capitalized
terms used in these Supplier Training Services Terms shall have the same
meanings as in the Master Agreement.

1.       TRAINING

1.1 Scope of Training. SUPPLIER shall conduct at least one on-site training
course at a location specified by NETGEAR, taught by qualified SUPPLIER
personnel, for each major release of the Products in order to train NETGEAR's
representatives on the use and operation of the Products ("Training Services").
The Training Services shall include, but not limited to, the following: (i)
overview of underlying technologies, (ii) Product features and applications;
(iii) competitive information; (iv) frequently asked questions ("FAQ"); (v)
troubleshooting techniques; and (vi) hands-on sessions.

1.2 Training Materials. SUPPLIER shall provide NETGEAR with the training
materials consisting of handouts to be left for participants for further
reference and instructor guides that might be used by NETGEAR to deliver any
subsequent training. NETGEAR shall be free to modify the training materials for
its use in support and promotion of the Products. SUPPLIER shall also provide
NETGEAR with training materials for minor releases of the Products.

1.3 Videotaping. SUPPLIER shall authorize NETGEAR to videotape training sessions
and to use the resulting videotapes for future training. NETGEAR may provide
future training with the use of such videotapes only to its employees and/or
technicians at its technical support centers.

1.4 Time and Materials Basis. The Training Services will be provided on a time
and materials basis, unless the parties agree to a certain fee per course and
participant. All expenses incurred by or on behalf of NETGEAR or its
representatives attending such training will be covered by NETGEAR.

2.       LIMITED TRAINING SERVICES WARRANTY

2.1 Warranty Standard. SUPPLIER warrants that it will have Training Services
carried out in a professional and workmanlike manner by qualified personnel in a
timely and careful manner. If any Training Services fail to conform to the
warranty in the preceding sentence and NETGEAR notifies SUPPLIER, SUPPLIER shall
re-perform the Training Services to the extent they were non-conforming.

                                                                         Page 39
<PAGE>
                                                CONFIDENTIAL TREATMENT REQUESTED

2.2 Disclaimer. EXCEPT AS PROVIDED IN THIS SECTION 2 (LIMITED TRAINING SERVICES
WARRANTY), SUPPLIER MAKES NO EXPRESS OR IMPLIED WARRANTIES OR REPRESENTATIONS
WITH REGARD TO TRAINING SERVICES.

                                                                         Page 40
<PAGE>
                                                CONFIDENTIAL TREATMENT REQUESTED

                                    EXHIBIT G
                 QUALITY PROCEDURES/ON-GOING RELIABILITY TESTING
                               Version US11/07/02

This Exhibit G is part of the Master Purchase Agreement between NETGEAR and
SUPPLIER, which incorporates this Exhibit G by reference (the "Master
Agreement").

1.       PURPOSE

         On-going Reliability Testing ("ORT") is intended to characterize new
         product reliability and to monitor manufacturing and supplier process
         shifts proactively. Long-term, random reliability characteristics
         affecting Product Mean-Time-Between-Failure ("MTBF") will be sought to
         ensure the theoretical hardware design reliability is achieved at a
         minimum. Additionally, ORT will be monitored to identify variations in
         workmanship, manufacturing processes, and components which may affect
         product reliability or result in early stage failures and/or epidemic
         failures.

2.       TIMING

         ORT should be planned as part of the new product introduction ("NPI")
         process. ORT sampling should consist of production units (not
         prototypes) that have been through the complete production process (to
         ensure they are free from defects). Formal ORT should begin within [*]
         from First Customer Ship ("FCS") for each new product. For legacy
         products, ORT must be fully implemented prior to reduction or
         elimination of burn-in or ESS cycle count reduction as part of the
         burn-in optimization process.

SAMPLE SIZE  - WILL BE MODEL AND VOLUME DEPENDENT

<TABLE>
<S>                                         <C>
              <500 Units                    -Sample size will be a minimum of [*] units

              501 to 1000 Units             -Sample size will be [*] units

              >1,000 Units                  -Sample size will be [*] units
</TABLE>

         Sample size will be established such that the product predicted [*],
         whichever is greater, can be demonstrated with minimum consumer risk.
         Product reliability is to be demonstrated quarterly and ORT will
         continue for a minimum of six (6) months post-FCS. The module sample
         size (host boards, MDAs, etc.) will be estimated in proportion to the
         ratio of install base as is practical from a network configuration
         standpoint. ORT sample units shall be selected randomly at the
         production line finished goods pack out or may also be obtained from
         Finished Goods Inventory ("FGI").

         The ORT sample will be fully populated within [*] of beginning ORT. [*]
         of the sample units will be removed and replaced with new units every
         [*] to minimize wear out. Units removed shall be rerouted through the
         normal manufacturing test process and processed

                                                                         Page 41
<PAGE>
                                                CONFIDENTIAL TREATMENT REQUESTED

         into FGI; replacement units shall be selected randomly at finished
         goods pack out or from FGI. (Individual units shall be part of the ORT
         sample only once.)

4.       GENERAL DESCRIPTION

         ORT will be implemented as a network of product family members arranged
         to accommodate sampling requirements. Traffic will be passed through
         this network in a fashion similar to actual use in a customer
         environment, although relying on hardware only within the particular
         product family.

         Elevated temperature will commonly be used to simulate stress in time
         on the components within the product sample. Generally, a time-to-wear
         out acceleration of X4 may be expected at [*], based on loose
         application of Arrhenius wear out computational methods. Acceleration
         for ORT conditions between [*] shall be based upon an activation energy
         of [*] for all assemblies with respect to a typical ambient operating
         temperature of [*].

5.       ROLES AND RESPONSIBILITIES

5.1      Reliability Engineering is responsible for predicting product design
         MTBF and determining the precise ORT sample size for each product and
         option. ORT data will be monitored, analyzed, and reported quarterly.
         If a failure should occur, Reliability Engineering will drive the
         failure analysis and corrective action processes (see paragraph 5.5).

         Reliability Engineering is also responsible for providing the test
         software tools with data collection features and the appropriate
         fixture design. Test equipment set up and maintenance will also be
         supported.

5.2      Operations NPI Management is responsible for including ORT as part of
         NPI planning. Proper allocations for the ORT sample shall be planned
         into the pilot production build. Manufacturing Engineering and
         Production Planners are responsible for incorporating the ORT sample
         requirements into the production build plan and the capacity model.

5.3      Production Operations is responsible for maintaining the ORT product
         sample.

5.4      Release Test Engineering (RTE) will provide guidance in ORT test
         network architecture and ORT traffic simulation method. This
         information, along with failure criteria, will be contained in an
         addendum to this document specific to each product family.

5.5      If necessary, Manufacturing Engineering will manage Stop Ships, Purges,
         and any other required manufacturing action. Customer (Sustaining)
         Engineering and Hardware Development will support fault isolation and
         troubleshooting requirements for root cause analysis and corrective
         action development.

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6.       CONDITIONS AND PARAMETERS

6.1      Temperature Limit And Power Cycling

         The maximum ambient temperature shall be [*] simulating customer
         operating conditions and configuration. Power cycling of the ORT sample
         lot shall be performed periodically. Each power cycle shall consist of
         AC power removal lasting no less than [*] followed by reapplication of
         power for no less than [*]. The minimum power cycling schedule is one
         cycle daily on weekdays.

         Although not preferred, ORT can be run at room ambient temperature if
         thermal test equipment is not available. The disadvantage of this
         method is the absence of time-wear accelerating mechanisms, thus the
         sample size must be up to four times greater than that for ORT at [*].

         For operating temperatures below [*], the acceleration factor shall be
         adjusted based on the activation energy of [*].

6.2      Duration

         Running the test at an operating temperature of [*] and using an
         acceleration factor of [*], ORT can simulate eight (8) weeks of
         operation in [*] on a per unit basis. ORT units within the sample shall
         operate for a total of [*], minimum [*], cycling [*] of the total ORT
         sample approximately once every [*]. Due to unforeseen circumstances, a
         unit may have to stay in ORT for longer than [*], however, the maximum
         duration should not exceed [*] on any given unit.

6.3      Failures

         Failure criteria shall be provided in an addendum to this document
         along with the functional test specification for each product family.
         Random failures shall be fault isolated to root cause and repaired or
         corrected. After the diagnosis and repair of a failure, the repaired
         unit will complete ORT to ensure the corrective action was effective.

         If more than one failure occurs with the same symptom during ORT, it
         will be considered a chronic failure. Chronic failures shall be failure
         analyzed to root cause and a permanent corrective action implemented.
         If reasonable evidence exists that a chronic failure mode has
         developed, a Stop Ship should be issued until an effective corrective
         action can be implemented.

         ORT data will be used to calculate product MTBF quarterly. Corrective
         actions shall be required for any product not demonstrating predicted
         MTBF within six (6) months of FCS and require the approval of the
         Director of Quality.

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