Document:

exv4wxiyxty

 

Exhibit 4(i)(T)

Qimonda AG

Confidential Materials Omitted and Filed Separately with the

Securities and Exchange Commission.

Confidential Portions denoted by [***].

Twelfth Amendment to

(110nm) License and (90/70nm) Technical Cooperation Agreement Dated 13

November 2002

This amendment (“Amendment”) is entered into by and between

Nanya Technology Corporation, a company legally established under the laws of the Republic of China
and having its head office at Hwa-Ya Technology Park 669, Fuhsing 3rd Road, Kueishan,
Taoyuan, Republic of China (hereinafter “Nanya”),

and

Qimonda AG, a company legally established under the laws of Germany and having its head office at
Gustav-Heinemann-Ring 212, 81609 Munich Germany (hereinafter “QAG”),

(individually “Party”; collectively “Parties”).

WHEREAS, Nanya and Infineon Technologies AG (hereinafter “Infineon”) entered into a (110 nm)
License and (90/70 nm) Technical Cooperation Agreement on 13 November, 2002 (hereinafter ”TCA”),
which was assigned from Infineon to QAG on 1st May 2006; and

WHEREAS, Nanya and Infineon have entered into a 9th Amendment to (110 nm) License and
(90/70 nm) Technical Cooperation Agreement hereinafter “9th Amendment to TCA” which
was assigned from Infineon to QAG on 1st May 2006 to add one more DDR3 interface based Contract
Product (the “1G H70”) into the existing Technical Cooperation Projects; and

WHEREAS, the Parties have the joint understanding that the 1G H70 developement shall start with a
pre-development phase performed by Nanya and under the contribution of relevant basic development
technology of QAG,

NOW THEREFORE, in consideration of the premises and mutual covenants contained herein, Nanya and
QAG agree as follows:

1.     Development Location for the 1G H70

Following shall replace Article 6 of the 9th Amendment to TCA:

“The Management Coordinators have mutually decided, that all pre-development activities for the
1G H70 as defined in Exhibit 8.4.2 performed solely by Nanya will be performed at Nanya-Texas.

The joint development activities for the 1G H70 will be performed within the design center of
QAG in Munich ”QAG-Munich”. The Parties’ foregoing joint development activities for the 1G
H70 shall be performed under the terms and conditions of the TCA.

Notwithstanding the foregoing, the test activities of the 1G H70 will be performed in
QAG-Munich, QAG’s design center in Raleigh ”QAG-Raleigh”, Nanya Taiwan

1

 

and Nanya —Texas concurrently.”

2.     Calculation of the Development cost of the 1G H70

Following sentences shall be added to Article 4 of the 9th Amendment to TCA :

“iv) Notwithstanding the provision under Article 2 of the 9th Amendment to TCA to
the contrary, Nanya shall solely bear any and all costs and expenses related to the
pre-development activities as specified under Exhibit 8.4.2 and QAG shall solely bear any and
all costs and expenses related to the activities as specified under Exhibit 8.4.3. QAG shall
solely provide the basic development activities as specified under Exhibit 8.4.3. Nanya ́s
pre-development activities under Exhibit 8.4.2 as well as the basic development activities of
QAG under Exhibit 8.4.3 are considered to be Background Technology and/or Background Patents.
Notwithstanding the foregoing provision i) to iii) and the provision under Article 2 of the
9th Amendment to TCA to the contrary, the respective efforts of both Parties as
specified under Exhibit 8.4.2 for Nanya and under Exhibit 8.4.3 for QAG are considered to be
balanced.”

3.     Review of the Pre-Development Activities

Both Parties agree to jointly review the performance of the pre-development activities as
specified under Exhibit 8.4.2 each month during Nanya’s performance for such activities. The
foregoing review shall be held in QAG-Munich and Nanya-Texas alternately or through the video
conference upon mutually agreed by the Project Managers.

4.     Milestone Plan

Replace Exhibit 8.4.1 with regard to the milestone plan for the 1G H70 by the new Exhibit 8.4.1
as attached to this Amendment.

5.     Miscellaneous

Unless explicitly amended hereunder, all of the other provisions of the TCA and its amendments
thereof shall remain intact and unchanged.

6.     Effective Date

This Amendment shall be retroactively effective from 1st May 2006 upon execution by
the respective duly authorized representatives of the Parties.

IN WITNESS WHEREOF, the Parties have caused this Amendment to be executed in duplicate by their
respective duly authorized representatives as follows.

	 	 	 	 	 	 	 	 	 	 	 
	Nanya Technology Corporation	 	Qimonda AG	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	/s/ Joseph Hsieh	 	 	 	By:
	 	/s/ Frank Prein 	 	 
	 

	 	 
	 	 	 	 	 	 	 	 
	Name: Joseph Hsieh

Title: Senior Vice President

Date: September 20, 2006	 	 	 	Name: Frank Prein

Title: Senior Vice President

Date: September 20, 2006	 	 
	 
	 	 	 	 	 	 	 	 	 	 

2

 

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	By:
	 	/s/ Klaus Fleischmann	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Name: Klaus Fleischmann

Title: Vice President	 	 
	 	 	 	 	Date: September 18, 2006	 	 

3

 

Exhibit 8.4.1: Schedules for Development Projects (Key Milestones)

[***]

4

 

Exhibit 8.4.2 : Pre-development activities to be solely performed by Nanya:

[***]

5

 

Exhibit 8.4.3 : Basic development activities to be solely performed by QAG

[***]

6exv4wxiyxuy

 

Exhibit 4(i)(U)

Qimonda AG

Confidential Materials Omitted and Filed Separately with the

Securities and Exchange Commission.

Confidential Portions denoted by [***].

Product Purchase And Capacity Reservation Addendum #6

-
hereinafter referred to as the ''Addendum'' -

by and between

Semiconductor Manufacturing International Corporation,

a Cayman Islands company,

having a place of business at No. 18 Zhangjiang Road, Pudong New Area,

201203 Shanghai, The People’s Republic of China

and

Semiconductor Manufacturing International (Shanghai) Corporation,

having an office at No. 18 Zhangjiang Road, Pudong New Area,

201203 Shanghai, The People’s Republic of China

- collectively, hereinafter referred to as ''SMIC“-

and

Qimonda AG

having a place of business at Gustav-Heinemann-Ring 212, 81739 Munich, Germany

- hereinafter referred to as ''Qimonda'' -

1

 

- SMIC and Qimonda hereinafter collectively referred to as the ''Parties'' and severally referred to as a ''Party'' -

2

 

Preamble

WHEREAS, Infineon Technologies AG, Munich , Germany and SMIC, on December 4, 2002, entered into
that certain Know How Transfer Agreement, as amended several times, regarding Infineon’s DRAM
technologies for use in the manufacture by SMIC of certain DRAM products (the “Know How
Agreement”), that certain Product Purchasing and Capacity Reservation Agreement, as amended several
times, related thereto (the ''Agreement'') and further, on March 19, 2004 into a Disclosure and
License Agreement;

WHEREAS, Infineon has assigned all such contracts to Qimonda;

WHEREAS, the Parties further wish to enter into this Addendum to set forth certain amended terms
and conditions for the supply of certain products by SMIC to Qimonda.

NOW, THEREFORE, the Parties agree as follows:

Article 1 — Purpose of this Addendum

This Addendum amends and adds provisions to the Agreement. Unless expressly set forth
herein, the Agreement, including its Annexes, shall remain unaltered and in full force and
effect.

Article 2 — Definitions

For the avoidance of doubt, definitions set forth in the Agreement which refer to the
Know How Agreement shall be understood as a reference to such Know How Transfer Agreement as
amended by its Addendum #3. Capitalized terms not defined herein shall have the meanings
assigned to them in the Agreement.

3

 

Article 3 — Replacement of Annex 1 and Annex 2

As of the Addendum Date defined below, Annex 1 and Annex 2 of the Agreement are replaced by
Annex 1 and Annex 2 of this Addendum.

Article 4 — Term and Termination

	4.1	 	This Addendum shall enter into force retroactively as of June 1, 2006 (''Addendum Date'').

Article 8 — Miscellaneous

	8.1	 	Public Announcement. No public announcement concerning the terms of this Addendum or
concerning the transactions described herein shall be made, either directly or indirectly,
without first obtaining the approval of the other Party and agreement upon the nature, text,
and timing of such announcement. The Party desiring to make any such public announcement shall
provide the other Party with a written copy of the proposed announcement in sufficient time
prior to public release to allow such other Party to determine whether they agree to such
announcement.
	 
	8.2	 	Annexes. Annexes 1 and 2, which are attached hereto, shall constitute an integral part
hereof.
	 
	8.3	 	Counterparts. This Addendum may be executed in counterparts, each of which shall be deemed
to be an original.

IN WITNESS WHEREOF, the Parties hereto have caused this Addendum to be executed in duplicate by
their respective duly authorized representatives:

4

 

	 	 	 	 	 	 	 
	Semiconductor Manufacturing	 	 
	International Corporation	 	Qimonda AG
	 
	 	 	 	 	 	 
	By:

	 	/s/ James Sung	 	By:	 	/s/ Michael Majerus
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Name:

	 	James Sung	 	Name:	 	Michael Majerus
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Title:

	 	Senior Vice President	 	Title:	 	Chief Financial Officer
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Date:

	 	August 10, 2006	 	Date:	 	August 18, 2006
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	By:

	 	/s/ Marco Mora	 	By:	 	/s/ Klaus Fleischmann
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Name:

	 	Marco Mora	 	Name:	 	Klaus Fleischmann
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Title:

	 	Chief Operating Officer	 	Title:	 	Vice President
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Date:

	 	August 10, 2006	 	Date:	 	August 18, 2006
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Semiconductor Manufacturing International

(Shanghai) Corporation	 	 	 	 
	 
	 	 	 	 	 	 
	By:
	 	/s/ Marco Mora	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Name:
	 	Marco Mora	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Title:
	 	Chief Operating Officer	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Date:
	 	August 10, 2006	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	By:
	 	/s/ James Sung	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Name:
	 	James Sung	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Title:
	 	Senior Vice President	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Date:
	 	August 11, 2006	 	 	 	 
	 

	 	 	 	 	 	 

5

 

ANNEX 1

to the Product Purchase And Capacity Reservation Agreement and its Addendum #6

Transfer Price

[Superseded and replaced by Annex 1 in Addendum #7]

6

 

ANNEX 2

to the Product Purchase And Capacity Reservation Agreement and its Addendum #6

Reserved Capacity

[Superseded and replaced by Annex 2 in Addendum #7]

7

 

Product Purchase And Capacity Reservation Addendum #7

- hereinafter referred to as the ''Addendum'' -

by and between

Semiconductor Manufacturing International Corporation,

a Cayman Islands company,

having a place of business at No. 18 Zhangjiang Road, Pudong New Area,

201203 Shanghai, The People’s Republic of China

and

Semiconductor Manufacturing International (Shanghai) Corporation,

having an office at No. 18 Zhangjiang Road, Pudong New Area,

201203 Shanghai, The People’s Republic of China

- collectively, hereinafter referred to as ''SMIC“-

and

Qimonda AG

having a place of business at Gustav-Heinemann-Ring 212, 81739 Munich, Germany

- hereinafter referred to as ''Qimonda'' -

- SMIC and Qimonda hereinafter collectively referred to as the ''Parties'' and severally referred to as a ''Party'' -

1

 

Preamble

WHEREAS, Infineon Technologies AG, Munich , Germany and SMIC, on December 4, 2002, entered into
that certain Know How Transfer Agreement, as amended several times, regarding Infineon’s DRAM
technologies for use in the manufacture by SMIC of certain DRAM products (the “Know How
Agreement”), that certain Product Purchasing and Capacity Reservation Agreement, as amended several
times, related thereto (the ''Agreement'') and further, on March 19, 2004 into a Disclosure and
License Agreement;

WHEREAS, Infineon has assigned all such contracts to Qimonda;

WHEREAS, the Parties further wish to enter into this Addendum to set forth certain amended terms
and conditions for the supply of certain products by SMIC to Qimonda.

NOW, THEREFORE, the Parties agree as follows:

Article 1 — Purpose of this Addendum

This Addendum amends and adds provisions to the Agreement. Unless expressly set forth
herein, the Agreement, including its Annexes, shall remain unaltered and in full force and
effect.

Article 2 — Definitions

For the avoidance of doubt, definitions set forth in the Agreement
which refer to the Know How Agreement shall be understood as a
reference to such Know How Transfer Agreement as amended by its most
current Addendum. Capitalized terms not defined herein shall have the
meanings assigned to them in the Agreement.

Following definition shall be added to the Agreement.

“AENEON ASP” shall mean the ASP charged by Qimonda for Contract Products sold under its
AENEON brand.

2

 

Article 3 — Price and Payment

	3.1	 	Section 4.2. of the Agreement shall be replaced by the following:
	 
	 	 	Fifteen (15) days before each Delivery Month but not later than four (4) days before
each Delivery Month, Qimonda and SMIC shall agree on the estimated Transfer Prices (based on
ninety-five percent (95%) of the Market Price of the month preceding the delivery month or
in case of the Transfer Price for Contract Products sold under Qimonda’s AENEON brand
ninety-five percent (95%) of Qimonda’s AENEON ASP of the preceding month) for the Contract
Product of such Delivery Month. Qimonda shall use such estimated Transfer Price when placing
the Purchase Order with SMIC for such Delivery Month.
	 
	3.2	 	Section 4.3. of the Agreement shall be replaced by the following:
	 
	 	 	Qimonda shall calculate the actual Market Price for a specific Delivery Month and the
actual AENEON Average Sales Price for a specific Delivery Month as soon as possible and
inform SMIC, but in no case later than forty-five (45) days after the end of the respective
Sales Month.
	 
	3.3	 	Section 4.4 of the Agreement shall be replaced by the following:
	 
	 	 	Using the actual Market Price and the actual AENEON ASP established according to
Section 4.3 above, SMIC shall calculate the actual Transfer Price for such specific Delivery
Month and compare this actual Transfer Price with the original invoiced Transfer Price. If
the original invoiced Transfer Price is higher than the actual Transfer Price, the
difference shall be credited to Infineon by SMIC. If the original invoiced Transfer Price is
lower than the actual Transfer Price, the difference shall be debited to Infineon by SMIC.
Such debits and credits shall be accumulated by SMIC over the span of a calendar quarter and
the balance shall be credited or debited to Infineon within fifteen (15) days after the end
of each such quarter.

Article 3 — Replacement of Annex 1 and Annex 2

As of the Addendum Date defined below, Annex 1 and Annex 2 of the Agreement are replaced by
Annex 1 and Annex 2 of this Addendum.

Article 4 — Term and Termination

	4.1	 	This Addendum shall enter into force upon signature by both Parties.

3

 

Article 8 — Miscellaneous

	8.1	 	Public Announcement. No public announcement concerning the terms of this Addendum or
concerning the transactions described herein shall be made, either directly or indirectly,
without first obtaining the approval of the other Party and agreement upon the nature, text,
and timing of such announcement. The Party desiring to make any such public announcement shall
provide the other Party with a written copy of the proposed announcement in sufficient time
prior to public release to allow such other Party to determine whether they agree to such
announcement.
	 
	8.2	 	Annexes. Annexes 1 and 2, which are attached hereto, shall constitute an integral part hereof.
	 
	8.3	 	Counterparts. This Addendum may be executed in counterparts, each of which shall be deemed
to be an original.

IN WITNESS WHEREOF, the Parties hereto have caused this Addendum to be executed in duplicate by
their respective duly authorized representatives:

	 	 	 	 	 	 	 
	Semiconductor Manufacturing	 	 
	International Corporation	 	Qimonda AG
	 
	 	 	 	 	 	 
	By:

	 	/s/ James Sung	 	By:	 	/s/ Klaus Fleischmann
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Name:

	 	James Sung	 	Name:	 	Klaus Fleischmann
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Title:

	 	Senior Vice President	 	Title:	 	Vice President
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Date:

	 	November 14, 2006	 	Date:	 	November 14, 2006
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	By:

	 	 	 	By:	 	/s/ Marc Lohoff
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Name:

	 	 	 	Name:	 	Marc Lohoff
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Title:

	 	 	 	Title:	 	Senior Director Manufacturing
Cooperations
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Date:

	 	 	 	Date:	 	November 14, 2006
	 

	 	 
	 	 	 	 

4

 

	 	 	 	 	 	 	 
	Semiconductor Manufacturing International	 	 	 	 
	(Shanghai) Corporation	 	 	 	 
	 
	 	 	 	 	 	 
	By:
	 	/s/ James Sung	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Name:
	 	James Sung	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Title:
	 	Senior Vice President	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Date:
	 	November 16, 2006	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	By:
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Name:
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Title:
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Date:
	 	 	 	 	 	 
	 

	 	 	 	 	 	 

5

 

ANNEX 1

to the Product Purchase And Capacity Reservation Agreement and its Addendum #7

Transfer Price

[***]

—End of Annex 1—

6

 

ANNEX 2

to the Product Purchase And Capacity Reservation Agreement and its Addendum #6

Reserved Capacity

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	2003	 	 	2004	 	 	2005	 	 	2006	 	 	2007	 	 	2008	 	 	2009	 
	200mm
	 	 	5.000	 	 	 	15.000	 	 	 	20.000	 	 	 	20.000	 	 	 	20.000	 	 	 	—	 	 	 	—	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	300mm
	 	 	—	 	 	As below	 	 	15.000	 	 	 	15.000	 	 	 	15.000	 	 	 	15.000	 	 	 	15.000	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

	1.	 	2004 Capacity Increase
	 
	 	 	Figures in the above table refer to calendar years and to the average wafer start per month
(wspm) during the respective calendar year, excluding Engineering Lots and Wafer Risk Starts.
However, the Reserved Capacity in 300mm Wafer size shall be increased in the calendar year
2004 as follows:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	June	 	July	 	Aug.	 	Sept.	 	Oct.	 	Nov.	 	Dec.	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	100
	 	500	 	1.000	 	2.000	 	4.000	 	6.000	 	8.000	 	 	 	 

	 	 	Subject to the foregoing, throughout a calendar year, the Reserved Capacity shall be
allocated linearly on a monthly basis with respect to wafer output, with an allowable
deviation of +[***]% /- [***]% per month. During the ramp up phases, the allowable deviation
shall be in accordance with the respective ramp up plan.
	 
	2.	 	140nm to 110nm Conversion on 200mm
	 
	 	 	The Reserved Capacity in 200mm Wafer size shall be converted from the 140nm Contract Process
to the 110nm Contract Process pursuant to Section 2.1 of the Agreement. In any event, by the
end of the calendar year 2004, the Reserved Capacity of 20.000 wspm in 200mm Wafer size shall
be available using the 110nm Contract Process.
	 
	 	 	In 2007 at least [***] wspm in 200mm Wafer size are used for the [***] Contract Product,
whereas in Q1 of 2007 according to the commercially reasonable ramp of such product this
capacity may still partly be used for the [***] with a minimum of [***] wspm.
	 
	 	 	At least [***] wspm out of the Reserved Capacity in 200 mm Wafer size shall be used for the
[***] Contract Product sold under Qimonda’s AENEON brand. The exact amount of Wafers
requested by Qimonda for such business will be reflected in the monthly forecast. Each Party
may terminate this obligation with two (2) months prior written notice.

7

 

	3.	 	100nm to 90nm Conversion on 300mm
	 
	 	 	The Reserved Capacity in 300mm Wafer size shall be provided using the 110nm Contract Process
and the 90nm Contract Process and the conversion from 110nm to 90nm shall be made pursuant to
Section 2.1c of the Agreement.
	 
	4.	 	Volume Adjustment
	 
	4.1	 	When the Margin according to any of the models referred to in Annex 1 of the Agreement is
negative, then each Party shall have the right to adjust the wspm volume set forth on this
Annex 2 of the respective negative Margin bearing Contract Product; provided that the Parties
shall resume their obligations under the full Reserved Capacity as soon as the Margin becomes
positive.
	 
	4.2	 	On a monthly basis, the Parties will discuss in good faith the extent and timing of a
reduction in volume in accordance with Section 3.2.2 of the Agreement and taking into
consideration Infineon’s then outstanding delivery obligations for Contract Products to its
customers. Further, in no event shall the Reserved Capacity for 300mm Wafers be reduced below
[***] wspm.
	 
	4.3	 	In addition, in order to prevent SMIC from requesting a wspm volume reduction, Infineon shall
have the right to compensate SMIC for the lacking US Dollar amount which causes the Margin to
become negative, in which case the then current wspm volume shall not be reduced.
	 
	4.4	 	The Parties acknowledge that the ongoing ramp up of the Reserved Capacity for 200mm Wafers,
as of January 2004, has reached a volume of [***] wspm. SMIC agrees to increase the number of
actual Wafer starts to said [***] Wafers from February 2004 on (“[***] Wafer In”). Only after
[***] Wafer In have been reached, the wspm volume may again become subject to adjustment
pursuant to this Section 4.
	 
	5.	 	Cycle Time
	 
	 	 	SMIC shall use best efforts to achieve an actual cycle time for processing a Wafer of equal
or less than [***] times the physical cycle time for processing such Wafer (i.e. flow factor
[***]). During the ramp up phase of a new Contract Process, typical longer actual cycle times
resulting from use of multiple one of a kind tools shall not result in a breach of this
provision.
	 
	6.	 	Capacity used under the Disclosure and License Agreement
	 
	 	 	The Disclosure and License Agreement may allow SMIC to use certain portions of the Reserved
Capacity for the manufacture of products to certain third parties, subject to the terms and
conditions of said Disclosure and License Agreement, in which case the number of Contract
Products Infineon shall purchase under the Reserved Capacity shall be reduced by the number
of Contract Products

8

 

SMIC manufactures for third parties.

—End of Annex 2—

9

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