Document:

exv10w28

EXHIBIT 10.28

EXHIBIT DESCRIPTION

Settlement and Release Agreement regarding Loss of ORBCOMM CDS and Quick Launch 1-5 Satellites
dated December 10, 2009 

 

			
	*	 	Registrant requested confidential treatment pursuant to Rule 24b-2 for a
portion of the referenced exhibit and is filing a redacted version with
this report.

SETTLEMENT AND RELEASE AGREEMENT

REGARDING LOSS OF ORBCOMM CDS AND QUICK LAUNCH 1-5 SATELLITES

By this agreement (the “Settlement and Release Agreement”), ORBCOMM Inc and ORBCOMM LLC (the “Named
Insured”), on the one hand, and the Insurers at Interest identified in the Annex to this Settlement
and Release Agreement, and their subsidiaries, affiliates and parents (the “Insurers”), on the
other hand, finally and definitively settle any and all claims arising from or in connection with
or relating in any way to any and all of the ORBCOMM CDS and Quick Launch Satellites 1-5 (the
“Satellites”), whether under the Insurance Policy No.
576/ANS0209 (the “Policy”) or otherwise as
set forth below.

For and in consideration of the receipt by the Named Insured of payment of each of the Insurers’
respective share (as set out in the Annex) of $44,250,000 (the “Settlement Amount”), the Settlement
Amount being 88.50% of the Insurers’ 83.3333% participation in the total amount of

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT. THE COPY FILED HEREWITH OMITS THE INFORMATION
SUBJECT TO A CONFIDENTIALITY REQUEST. OMISSIONS ARE DESIGNATED [***. . .***].
A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

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insurance under
the Policy, being $60,000,000, the Named Insured on behalf of itself, its directors, officers,
employees, affiliates, executors, successors, administrators, trustees and assigns and any and all
parties at interest who or which may claim by or through the Named Insured, with respect to each of
the Insurers hereby:

1. Agrees to provide full cooperation consistent with the obligations set forth in CONDITION
8 (Subrogation) of the Policy; and

2. Represents and warrants that it has in all respects and at all times complied, and will continue
to comply, with CONDITION 8 (Subrogation) of the Policy; and

3. Agrees not to take the position that OHB-Systems AG and/or OHB Technology AG is an affiliated
company of the Named Insured in connection with the Insurers’ pursuit of any right or claim arising
from or in connection with or relating to the loss or failure of the Satellites; and

4. Represents and warrants that it has not given, nor will it grant, whether on behalf of itself or
any person or entity that may claim through the Named Insured, including in subrogation, any
written or oral release or waiver of any kind to any entity, including without limitation any firm,
party or governmental entity, against and with respect to which the Named Insured may have or come
to have any right or claim arising from or in connection with or relating to the loss or failure of
the Satellites, including but not limited to any warranty provided by OHB-Systems AG and/or OHB
Technology AG, except as has been previously disclosed in writing, if any, to the Insurers. This
paragraph shall not apply with respect to the Named Insured’s rights to the extent of and in
proportion to the coinsurance provided by the Named Insured under the Policy, provided that the
Named Insured shall do nothing to prejudice the Insurers’ rights of recovery and shall execute and
deliver instruments and papers and do whatever else is reasonably necessary to secure such rights,
in accordance with CONDITION 8 (Subrogation) of the Policy; and

5. Represents and warrants it has not made, nor will it make, whether on behalf of itself or any
party that may claim through the Named Insured, including in subrogation, any assignment or other
transfer of any right, interest or claim arising from or in connection with or relating to the loss
or failure of the Satellites, including but not limited to any warranty provided by OHB-Systems AG
and/or OHB Technology AG. This paragraph shall not apply with respect to the Named Insured’s
rights to the extent of and in proportion to the coinsurance provided by the Named Insured under
the Policy, provided that the Named Insured shall do nothing to prejudice the Insurers’ rights of
recovery and shall execute and deliver instruments and papers and do whatever else is reasonably
necessary to secure such rights, in accordance with CONDITION 8 (Subrogation) of the
Policy.

It is an express condition of this Settlement and Release Agreement that, for and in consideration
of the foregoing agreements, and by each Insurer’s payment of its respective share of the
Settlement Amount and by the Named Insured accepting this Settlement
and Release Agreement:

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT. THE COPY FILED
HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST. OMISSIONS ARE DESIGNATED [***. . .***].
A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

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6. The Named Insured, on the one hand, and each of the Insurers, on the other, on behalf of itself,
its respective directors, officers employees, affiliates, executors, successors, administrators,
trustees and assigns and any and all parties at interest, releases, acquits, and forever discharges
the other from and against any and all claims, debts, rights, liabilities, actions, causes of
action, demands and any other claim or demand of every nature, kind or description whatsoever,
whether now known or unknown, accrued or unaccrued, including without limitation any and all claims
under the Policy and/or arising out of or in relation to the Satellites. Notwithstanding the
above, nothing in this Settlement and Release Agreement releases any of the parties from their
obligations herein.

7. The Named Insured acknowledges and agrees that each of the Insurers is subrogated, but only to
the extent of its respective proportion of the Settlement Amount paid by such Insurer, to any and
all rights, actions, causes of action, and claims of any kind in contract, tort, and/or otherwise
that the Named Insured now has or may have against any persons, entity, firm or organizations
arising from or in connection with or relating to the loss or failure of the Satellites, in
accordance with CONDITION 8 (Subrogation) of the Policy, including but not limited to under
any warranty provided by OHB-Systems AG and/or OHB Technology AG. Each of the Insurers
acknowledges and agrees that the Insurers are not subrogated into any of the Named Insured’s rights
to the extent of and in proportion to the coinsurance provided by the Named Insured under the
Policy, being $10,000,000 of the total amount of insurance of $60,000,000, which rights remain with
the Named Insured, and in accordance therewith the Named Insured may independently settle or pursue
its own recovery action against any party, provided that the Named Insured shall do nothing to
prejudice the Insurers’ rights of recovery and shall execute and deliver instruments and papers and
do whatever else is reasonably necessary to secure such rights, in accordance with CONDITION 8 (Subrogation) of the Policy.

8. Each of the Insurers waives all rights, title and interest in and to the Satellites, including
specifically under CONDITION 14 (Salvage) and CONDITION 15 (Use of the Satellite
After Loss) of the Policy.

9. This Settlement and Release Agreement shall be governed by and construed in accordance with the
laws of the State of New York without regard to its principles of conflict of laws. In the event
of any dispute or disagreement arising out of the application or interpretation of this Settlement
and Release Agreement, including the interpretation or application of the Settlement
Amount or the failure or loss of the Satellites, CONDITION 6 (Arbitration) of the Policy
shall apply.

10. This Settlement and Release Agreement expresses the entire agreement of the parties concerning
the subject matter hereof and it supersedes all prior written or oral agreements between the
parties concerning such matters. This Settlement and Release Agreement shall not be used for any
purpose other than settlement, it being the intent of the parties that it shall not be used as
precedent in any other claim or in any other matter that may arise between the parties.

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT.
THE COPY FILED HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED [***. . .***]. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN FILED SEPARATELY WITH THE
SECURITIES AND EXCHANGE COMMISSION.

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11. Each of the Insurers shall make payment, by wire transfer, to any of the three
accounts set forth below, and said payment to said account is deemed payment by that Insurer
to the Named Insured. This Settlement and Release Agreement shall be binding on the Named Insured
and a particular Insurer upon execution and delivery by such parties hereto and shall be effective
as between such parties as of the moment payment by the Insurer into one of the accounts specified
below is received. Failure by one or more Insurers to make payment in accordance with or pursuant
to this Settlement and Release Agreement will not affect the validity of this Settlement and
Release Agreement with respect to other Insurers for which this Settlement and Release Agreement
has become effective.

For all Insurers, other than those using London market bureau accounting, payment of their share
of the Settlement Amount shall be made:

Either directly to the Named Insured’s account:

Account Name:          [***...***]

Account Number:       [***...***]

Bank Address:     [***...***]

			
	Bank ABA Number: [***...***]	 	(For Incoming Domestic Wire)
	Bank Swift Number: [***...***]	 	(For Incoming International Wire)

Or to the insurance broker’s account:

Account Name:     [***...***]

Account Number:   [***...***]

Bank Address:      [***...***]

Bank ABA Number:        [***...***]

Bank Swift Number: [***...***]

For those Insurers paying their share of the Settlement Amount through London market bureau
accounting only, payment shall be made to:

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT.
THE COPY FILED HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED [***. . .***]. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN
FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

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	Account Name:

	 	[***...***]
	 
	 	 
	Bank Swift & BIC Code:

	 	[***...***]
	 
	 	 
	Bank Account Number:

	 	[***...***]
	 
	 	 
	IBAN:

	 	[***...***]

12. Each of the Insurers agrees to pay its respective share as set forth in the Annex and in
accordance with paragraph 11 above, not later than fourteen (14) days from the date such Insurer
and the Named Insured executes this Settlement and Release Agreement.

13. The Insurers’ obligations under the Policy are several and not joint, and each of the Insurers’
payment obligation to the Named Insured is limited solely to its individual subscription set forth
in the Annex to this Settlement and Release Agreement.

14. This Settlement and Release Agreement may be executed in counterparts.

     IN WITNESS WHEREOF, the Named Insured and the Insurers have caused this Settlement and Release
Agreement to be executed as of the date set forth below.

	 	 	 
	 

	 	ORBCOMM Inc.
	 
	 	 
	Date: December 7, 2009

	 	PER: /s/ Marc Eisenberg
	 
	 	 
	 

	 	NAME: Marc Eisenberg
	 
	 	 
	 

	 	TITLE: Chief Executive Officer
	 
	 	 
	 

	 	ORBCOMM LLC
	 
	 	 
	Date: December 7, 2009

	 	PER: /s/ Marc Eisenberg
	 
	 	 
	 

	 	NAME: Marc Eisenberg
	 
	 	 
	 

	 	TITLE: Chief Executive Officer

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT.
THE COPY FILED HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED [***. . .***]. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN
FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

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	[***...***]
	 	 
	 
	 	 
	Date: December 7, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]
	 
	 	 
	[***...***]
	 	 
	 
	 	 
	Date: December 9, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]
	 
	 	 
	[***...***]
	 	 
	 
	 	 
	Date: December 8, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT.
THE COPY FILED HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED [***. . .***]. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN
FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

6

 

	 	 	 
	[***...***]
	 	 
	 
	 	 
	Date December 7, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]
	[***...***]
	 	 
	 
	 	 
	Date: December 2, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]
	 
	 	 
	[***...***]
	 	 
	 
	 	 
	Date: December 8, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]
	 
	 	 
	[***...***]
	 	 
	 
	 	 
	Date: December 7, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT.
THE COPY FILED HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED [***. . .***]. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN
FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

7

 

	 	 	 
	 

	 	TITLE: [***...***]
	 
	 	 
	[***...***]
	 	 
	 
	 	 
	Date: December 9, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]
	 
	 	 
	[***...***]
	 	 
	 
	 	 
	Date: December 10, 2009

	 	PER: [***...***]
	 
	 	 
	 

	 	NAME: [***...***]
	 
	 	 
	 

	 	TITLE: [***...***]

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT.
THE COPY FILED HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED [***. . .***]. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN
FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

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ANNEX

[***...***]

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT.
THE COPY FILED HEREWITH OMITS THE INFORMATION SUBJECT TO A CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED [***. . .***]. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN
FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

9exv4w17

Exhibit 4.17

Supplemental Agreement (II)

Zastron Wuxi Flexible Printed Circuit (FPC) Factory

Main Contractor’s Work -

Final Total Price

Wuxi New District, China

July, 2009

Zastron Precision-Flex (Wuxi) Co., Ltd.

Employer

Yixing Building Engineering & Installation Co., Ltd.

Main Contractor

Wuxi New District, China

Zastron Flexible Printed Circuit (FPC) Factory

Main Contractor’s Works

Supplemental Agreement (II)

 

 

Supplementary Agreement (II)

Zastron Wuxi Flexible Printed Circuit (FPC) Factory

Supplemental Agreement (II) of

Main Contractor’s Works Contract

The Supplemental Agreement is made and entered into

by and between

Zastron Precision-Flex (Wuxi) Co., Ltd. (hereinafter referred to as “Employer”) with its registered
office located at Site A64-2, Meicun Industrial Zone, Wuxi New District, China.

and

Yixing Building Engineering & Installation Co., Ltd. (hereinafter referred to as “Main Contractor”)
with its registered office located at Room 1802, Zhongyin Huilong Building, Suhua Road, Industrial
Park, Suzhou.

Whereas,

	1	 	The Supplemental Agreement is supplemental to the Main Contractor’s Works Contract entered
into by and between the Employer and the Main Contractor on 28th March, 2008
(hereinafter referred to the “Main Contract”) by which the Employer assigned the Main
Contractor to implement and complete the main contractor’s works known as “Zastron Wuxi
Flexible Printed Circuit (FPC) Factory” (hereinafter referred to the “Works”).
	 
	2	 	Thereafter, the Employer and the Main Contractor entered into a Supplemental Agreement (I) of
the Main Contract on 10th July, 2008, assigning the Electrical Engineering Works to
the Main Contractor to implement and complete (hereinafter referred to “the Electrical
Engineering Works”).

Wuxi New District, China

Zastron Flexible Printed Circuit (FPC) Factory

Main Contractor’s Works

Supplemental Agreement (II)

1

 

Supplementary Agreement (II)

	3	 	Because of the delay in the Works, the Works could not be completed pursuant to the
completion date as stipulated in the Main Contract. Both Parties disagreed on the practical
completion date and could not agree on the compensation arising from the delay in the Works.
Furthermore, both parties wish to confirm the final total price of the Works (except Specified
Subcontract Works) in the hope to resolve all the aforesaid issues.

Both parties, upon mutual consultation, jointly enter into this Supplemental Agreement, agreeing
with the terms and conditions set forth below:

	(1)	 	Final Total Price of the Main Contract (except Specified Subcontract Works)
	 
	 	 	The Final Total Price of the Main Contract (except Specified Subcontract Works) comprises the
following:

	 	 	 	 	 
	 	 	RMB
	Price of the Main Contract (except
Specified Subcontract Works) (see Appendix (II))

	 	 	207,000,000.00	 
	 
	Minus Compensation for delay in works (see Appendix (III))

	 	 	(6,000,000.00	)
	 

	 	 	 	 
	 
	Final Total Price of the Main Contract

	 	 	201,000,000.00	 
	 

	 	 	 	 

	 	 	Main Contractor confirms that the aforesaid price is the Final Total Price of the Main
Contract (except Specified Subcontract Works), and agrees that it will not ask for any
other additional compensation. Main Contractor further confirms that it will be
responsible for any legal liabilities arising out of any destructions, damages on
destructions, losses, claims or litigations related to the Work.
	 
	(2)	 	Practical Completion Date
	 
	 	 	Both Parties agree that the practical completion date of the Works is April 30th,
2009 (see the Practical Completion Certificate in Appendix (I) as issued by the
Project Manager).

Wuxi New District, China

Zastron Flexible Printed Circuit (FPC) Factory

Main Contractor’s Works

Supplemental Agreement (II)

2

 

Supplementary Agreement (II)

	(3)	 	Project List of Defects Works
	 
	 	 	After this Supplemental Agreement has been signed, both Parties agreed that out of the total
sum to be payable to the Main Contractor, a sum of RMB2,000,000.00 shall be temporarily
withheld, and the Main Contractor shall within 30 calendar days complete the works to rectify
the defects as mentioned in the list affixed to the Practical Completion Certificate. When
the aforesaid works to rectify the defects have all been completed and certified duly
completed, the Employer agrees to pay such RMB2,000,000.00 to the Main Contractor within 30
calendar days thereafter.
	 
	(4)	 	Payment arrangements for the remainder of the Price being the Final Total Price minus the
payment already made (hereinafter referred to “Remainder of the Price”)
	 
	 	 	After this Supplemental Agreement has been signed by both Parties, the Remainder of the Price
shall be paid as follows:

	 	a.	 	The Employer shall within 7 calendar days pay to the Main Contractor the amounts
as specified in the 13th and 15th mid term payment certificate.
	 
	 	b.	 	The Employer shall within 30 calendar days return to the Main Contractor the
amount of the performance bond (in the amount of RMB20,766,000.00).
	 
	 	c.	 	Except half of the warranty fund withheld pursuant to the conditions of the Main
Contract (i.e. RMB5,191,500.00) and the moneys withheld pursuant to clause 3 of this
Supplemental Agreement (i.e. RMB2,000,000.00), the Employer shall within 30 calendar
days pay to the Main Contractor the remainder of the payment.
	 
	 	d.	 	The remaining warranty fund shall be paid pursuant to the terms of the Main
Contract after the expiry of the Warranty Period or the responsibility regarding
maintenance has been completed.

	(5)	 	Interpretation
	 
	 	 	Unless expressly stipulated in this Supplemental Agreement, the obligations, duties and
responsibilities undertaken by the Employer and the Main Contractor in accordance with the
Main Contract and the Supplemental Agreement (I) shall remain unchanged and shall be
applicable to the execution of this Supplemental Agreement. Where any variances or
contradictions between this Supplemental Agreement and the contents of the Main Contract and
the Supplemental Agreement (I) exist, the meaning of the express provisions of this
Supplemental Agreement shall take precedence.

Wuxi New District, China

Zastron Flexible Printed Circuit (FPC) Factory

Main Contractor’s Works

Supplemental Agreement (II)

3

 

Supplementary Agreement (II)

	(6)	 	Arbitration
	 
	 	 	Any disputes incurred by or related to the Supplemental Agreement shall be submitted to China
International Economic and Trade Arbitration Commission Shanghai Sub-Commission, and shall be
arbitrated in Shanghai in accordance with the existing and valid arbitration rules of the
Commission. The arbitration decision shall be the final judgment and binding on both parties.
	 
	(7)	 	Appendices
	 
	 	 	This Supplemental Agreement comprises the following appendices which are an integral part of
this Supplemental Agreement:

				
	 	Appendix (I):	 	“Practical Completion Certificate”
	 
	 
	 	Appendix (II):	 	“Total Final Price for the Works (except Specified Subcontract Works)”
	 
	 
	 	Appendix (III):	 	“Compensation for Delay in Works”

Wuxi New District, China

Zastron Flexible Printed Circuit (FPC) Factory

Main Contractor’s Works

Supplemental Agreement (II)

4

 

Supplementary Agreement (II)

(The remainder of this page contains no main text and is for signatures only.)

Both parties sign and affix seals in the presence of witnesses:

	 	 	 	 	 
	Employer: Zastron Precision-Flex (Wuxi) Co., Ltd.
	By Statutory 

Representative or 

Authorized 

Representative

	 	(Signature)

Date: 26th July, 2009

	 	Seal:

(Seal of
Zastron
Precision-Flex
(Wuxi) Co., Ltd.)

	By the Witness

	 	(Signature)

Date: 26th July, 2009	 	 

	 	 	 	 	 
	Main Contractor: Yixing Building Engineering & Installation Co., Ltd.
	By Statutory 

Representative or 

Authorized 

Representative

	 	(Signature)

Date: 24th July, 2009

	 	Seal:

(Seal of
Yixing Building
Engineering &
Installation Co.,
Ltd.)

	By the Witness

	 	(Signature)

Date: 24th July, 2009	 	 

Wuxi New District, China

Zastron Flexible Printed Circuit (FPC) Factory

Main Contractor’s Works

Supplemental Agreement (II)

5

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