Document:

Exhibit 10.4

 

* * —
CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN OMITTED AND FILED SEPARATELY WITH
THE COMMISSION.  CONFIDENTIAL TREATMENT
HAS BEEN REQUESTED WITH RESPECT TO THE OMITTED PORTIONS.

 

COMPANION ANIMAL AAHA MARKETLINK MANAGEMENT AGREEMENT

 

This
Agreement dated and effective as of March 1, 2009 is made by and between PFIZER Inc., 235 East 42nd Street, New York, New York 10017
(hereinafter, “PFIZER”) and MWI Veterinary Supply Co.,
651 S. Stratford Drive, Ste 100, Meridian, ID 83642 (“MWI”).

 

1.             PFIZER hereby agrees
to supply MWI as a designated product supplier for the PFIZER companion animal
Products set forth on Exhibit A (the “Products”), to purchase from PFIZER
and to resell to certain selected Veterinary Hospitals serviced by MWI who are
members of the AAHA/MarketLink arrangement and listed in Exhibit E hereto,
subject to the following terms and conditions.

 

2.             MWI recognizes and
agrees to the following:

 

(a)           PFIZER has elected to
work with MWI as a designated supplier to MWI serviced hospitals at the request
of MWI. MWI agrees to work closely with PFIZER to coordinate logistics for the
supply of Products to such hospitals;

 

(b)           PFIZER intends to sell
to MWI as the logistics supplier for the hospitals. MWI understands and agrees
that PFIZER has, and may in the future, run promotions and other activities
that would be seriously prejudiced if MWI resells the Products to distributors
or veterinarians who will resell the Products as a distributor. Incentive
payments under Exhibit D hereto will only be paid by PFIZER to MWI for
Sales to the hospitals listed on Exhibit B below or such customers who are
added to Exhibit B by mutual agreement of PFIZER and MWI.

 

3.             MWI agrees to:

 

(a)           use its reasonable best
efforts to sell the Products by focusing its primary effort at reselling to
veterinary hospitals associated with MWI and to pet owner pharmaceutical
customers of MWI serviced hospitals;

 

(b)           store and handle its
inventory of Products under conditions that will ensure that such Products
retain their potency, purity, quality, and identity;

 

(c)           accept shipments from
PFIZER of Product at MWI 12 warehouse locations and provide all appropriate
shipment and delivery options to the accounts serviced by MWI under this
Agreement;

 

(d)           not sell the Products
to distributors, manufacturers or to veterinarians who will resell any PFIZER
Companion Animal Products outside an established veterinary/client/patient
relationship, nor shall MWI sell the Products through brokers or non-employee
agents;

 

(e)           set its resale prices
for the Products independently and at its sole discretion;

 

(f)            provide PFIZER a
projected monthly purchase schedule by the end of the second week of each
month;

 

 

(g)           cooperate fully with
PFIZER by actively participating in such strategy sessions as PFIZER reasonably
may require, for the purpose of developing programs to increase use of the
Products; and to cooperate fully with PFIZER in implementing all promotions and
Sales campaigns for the Products;

 

(h)           distribute the Products
only under the labeling provided by PFIZER; prescribe, recommend, suggest, and
advertise each Product for use only under the conditions stated in the labeling
provided by PFIZER; and observe all federal, state, and local laws governing
the distribution of animal drugs. In the case of Products bearing the legend, “CAUTION:
FEDERAL LAW RESTRICTS THIS DRUG TO USE BY OR ON THE ORDER OF A LICENSED
VETERINARIAN,” or any similar legend, sell such Products only to or on the
order of a licensed veterinarian for use in the course of his or her
professional practice or to another person or entity regularly and lawfully
engaged in the use, distribution or dispensing of such legend drugs;

 

(i)            MWI agrees that credit
limits established by PFIZER shall be subject to change by PFIZER in its sole
discretion and that no shipments will be made to MWI in excess of the
established credit limits;

 

(j)            take no action,
whether or not identified above, that would harm the goodwill or name of
PFIZER, or damage the interests of PFIZER or the Products;

 

(k)           MWI shall immediately
notify PFIZER in the event MWI obtains information indicating that any of the
Products may have to be recalled either by virtue of applicable law or
regulation or good business judgment. PFIZER shall control all efforts
necessary to conduct any such recall. MWI shall cooperate with PFIZER, at
PFIZER’s expense, and MWI agrees to maintain adequate records to conduct such
recall, including the name, address and Product purchases of all purchasers of
PFIZER Products;

 

(l)            Make payment to PFIZER
for all product purchased from PFIZER /**/;

 

(m)          Provide to PFIZER by the
close of business on the last business day of each PFIZER Accounting Period (as
set forth in Exhibit F hereto) an inventory report covering all inventory
purchased from PFIZER.

 

(n)           Provide PFIZER with a
monthly accounting of Sales via EDI for purposes of allowing PFIZER proper
credit to its sale professionals and provide to Covansys by the close of
business on the last day of each PFIZER Accounting Period an inventory report
covering all Product inventory purchased from PFIZER and setting forth in
dollars at MWI’s acquisition cost from PFIZER the amount of inventory by
Product. MWI agrees that PFIZER shall have the right, upon reasonable advance
notice and during business hours to audit inventory in the possession of MWI to
confirm compliance with this paragraph 4(n) and to confirm the accuracy of
the data contained in the report.

 

(o)           Provide to Covansys its
Health Industry Number, Customer Health Industry Number, PFIZER Product number,
transaction date, ship to zip code, number of units and price with respect to
each sale of Product, and unit inventories on each PFIZER Product sku that MWI
sells.

 

(p)           MWI will also provide
to PFIZER the information, services and opportunities set forth in Exhibit B
hereto. MWI represents and warrants to PFIZER that it will only provide data to
PFIZER, including specific patient and animal owner information that is
allowable by law.

 

 

4.             PFIZER shall:

 

(a)           sell the Products to
MWI at the prices provided for in Exhibit A. PFIZER shall have the
unrestricted right to revise the prices, terms and conditions of the Price
List, and to add or delete Products or package sizes, at anytime, and the
revisions shall be effective on all orders submitted after the effective date
of the price revisions. In all cases of orders received for other than
immediate shipment, the price for the Products shall be that in effect at the
time of shipment. Nothing herein shall prohibit PFIZER from raising or amending
prices for Products. PFIZER agrees to provide MWI /**/ notice of any price
increases. PFIZER shall be free to limit Sales of Products to MWI in advance of
any price increases;

 

(b)           Compensate MWI in
accordance with Exhibit D hereto;

 

(c)           allow MWI credit on prepaid
returns in accordance with PFIZER’s Outdated Products Policy which is in effect
at the time;

 

5.             Nothing in this
Agreement shall be deemed to limit PFIZER’s ability to sell Products to any
other party.

 

6.             All purchases by MWI
pursuant to this Agreement shall be in accordance with the terms of PFIZER’s
Pricing and Shipping Policies, as may be amended by PFIZER from time to time.

 

7.             The following
standard conditions shall apply to all Sales under this Agreement:

 

(a)           all orders are subject
to acceptance by PFIZER’s Home Office. Title to the goods shall pass to MWI
once they have been properly delivered to the address designated by MWI.
Products requiring temperature control will be shipped F.O.B. destination;

 

(b)           any tax or other charge
upon the sale and/or shipment of the goods now or hereafter imposed by federal,
state or municipal authorities (other than PFIZER’S income taxes) shall be paid
by MWI. In the event that the price of any article includes transportation
charges, any increase or decrease in transportation charges shall be for MWI’s
account;

 

(c)           EXCEPT AS SET FORTH IN
THIS AGREEMENT, OR IN THE LABELING OF THE PRODUCTS SOLD HEREUNDER, PFIZER MAKES
NO EXPRESS OR IMPLIED WARRANTIES WITH RESPECT TO THE PRODUCTS;

 

(d)           PFIZER shall defend,
indemnify, and hold MWI harmless from all liabilities, claims, demands,
damages, costs and expenses, or money judgments incurred by MWI or rendered
against it resulting from (a) any breach by PFIZER of this Agreement, (b) third
party claims or actions for personal injury or property damage which arise out
of the distribution or sale of PFIZER products or the failure to warn, except
to the extent that such personal injury or property damage arises out of the
negligence or willful misconduct of MWI, and (c) any claim that the
Products, as sold by PFIZER, were defective, or (d) any claim that a
Product or its associated labeling or advertising prepared by PFIZER infringes
any patent, trademark, trademark, copyright or other intellectual property
right of any third party.  PFIZER shall
assume the defense of each such claim promptly after written notice from MWI.
In the event PFIZER is found by any court of competent jurisdiction to be
liable for any claim based in products liability, then PFIZER shall reimburse
MWI’s reasonable legal fees incurred in the course of cooperating with PFIZER’s
defense. To be covered by this defense and indemnity, MWI must: promptly notify
PFIZER of any such claim; allow PFIZER to fully control the defense and/or
resolution of the claim; and cooperate fully with PFIZER in the matter. This
defense, indemnity and payment for legal fees shall not apply to claims
alleging: MWI alteration, negligent handling or improper storage of the
Products; sale of outdated Products; sale or recommendation of the Products for
uses or in a manner not set forth in either the labeling supplied by PFIZER or
as otherwise specified by PFIZER in writing; or sale of the Products after
receipt of written notice from PFIZER that such Sales should be halted;

 

 

(e)           in no event shall
either party be liable to the other for special, collateral, incidental, or
consequential damages in connection with or arising out of the purchase,
resale, or use of the Products. Except as provided under subparagraph 7(d),
above, total damages recoverable against PFIZER by MWI shall be exclusively
limited to the purchase price of the Products with respect to which damages are
claimed;

 

(f)            failure of PFIZER to
make or of MWI to take, when due, any delivery (or portion thereof) pursuant to
an order hereunder, if occasioned by any circumstance or condition beyond the
control of the party so failing, shall not subject the failing party to any
liability to the other and, at the option of either party, that order or
portion thereof not delivered may be canceled;

 

(g)           acceptance of MWI’s
order by PFIZER is expressly made conditional upon the MWI’s acceptance of the
conditions of sale as set forth herein, and the prices, terms and conditions of
the Price List then in effect, notwithstanding acknowledgment or receipt of MWI’s
purchase order containing additional or different provisions, or conflicting
oral representations by any agent of PFIZER.

 

(h)           All orders to MWI will
receive free shipping regardless of order size.

 

(i)            Payment Due Date:
/**/. Payment Discount: /**/.

 

8.             This Agreement shall
not be binding upon PFIZER until it is approved by PFIZER at its New York, New
York headquarters.

 

9.             This Agreement shall
be effective as of the date first written above and shall continue in force
(hereinafter, the “Contract Term”) until August 31, 2009. Either party may
terminate this agreement prior to the expiration date of the Contract Term (i) with
or without cause, upon thirty (30) days written notice to the other party, or (ii) immediately
upon written notice, in the event of a material breach by the other party.
Notwithstanding the above, PFIZER may terminate this Agreement at any time on
15 days written notice to MWI in the event that PFIZER determines, in its sole
discretion, that MWI has failed to comply with one or more of the terms and
conditions set forth in paragraph 3 above. In addition, at its election, PFIZER
may terminate this Agreement, upon thirty (30) days written notice to MWI, in
the event that MWI fails to meet the level of Sales identified in Chart B of Exhibit D
for two consecutive months.

 

10.           MWI and PFIZER
acknowledge that in the performance of their duties hereunder MWI and PFIZER
may obtain access to “Confidential Information” (as defined below) of each
other.  MWI and PFIZER agree that during
the term of this Agreement and for a period of three (3) years after the
termination of this Agreement, unless specifically permitted in writing by the
other party, to (a) retain in confidence and not disclose to any third
party and (b) use only for the purpose of carrying out their duties
hereunder, any such Confidential Information. As used herein the term “Confidential
Information” means any information, or data, whether of a business or
scientific nature and whether in written, oral or tangible form, relating to
PFIZER’s and MWI’s business or potential business or its research and
development activities, not generally available to or known to the public, and
not otherwise known to the receiving party, that is disclosed to or learned by
the other party pursuant hereto. Upon completion of the work provided for
hereunder or other termination of this Agreement each party will return to the
other party any documents, or copies thereof, or any product samples,
containing or constituting Confidential Information disclosed to or generated
by either party in connection with this Agreement.

 

11.           This Agreement shall be
governed by the laws of the State of New York applicable to contracts to be
fully performed therein. This Agreement is not assignable without the express
written consent of PFIZER, and may be modified or amended only in writing
signed by the party to be bound.

 

 

12.           This Agreement and
documents referred to herein embody the entire understanding between the
parties hereto, will supersede prior agreements relating to the Products, and
may be modified only in writing and signed by the parties to be bound. No
activities conducted pursuant to this Agreement or related thereto, including
but not limited to the future planning activities of the parties, shall be
deemed to give rise to any obligations on the part of either party other than
as expressly provided for herein.

 

IN
WITNESS WHEREOF, intending to be legally bound, the parties have executed this
Agreement.

 

	
  MWI VETERINARY SUPPLY
  CO.

  	
   

  	
  PFIZER INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  BY:

  	
  /s/ Jim Cleary

  	
   

  	
  BY:

  	
  /s/ Clinton A. Lewis, Jr.

  
	
  Print Name:

  	
  Jim Cleary

  	
   

  	
   

  	
  Clinton A. Lewis, Jr.

  
	
  Title:

  	
  President

  	
   

  	
   

  	
  President

  
	
   

  	
   

  	
   

  	
  U.S. Operations, PFIZER
  Animal Health

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Date:

  	
  March 13, 2009

  	
   

  	
  Date:

  	
  3/24/09

  

 

 

EXHIBIT A 

Products

 

Biologicals

 

	
  Product No.

  	
   

  	
  Product Name

  	
   

  	
  Rx

  	
   

  	
  Pack 

  Size

  	
   

  	
  Saleable 

  Unit

  
	
   

  	
   

  	
  Canine

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3543

  	
   

  	
  10 DS
  BRONCHICINE CAe

  	
   

  	
   

  	
   

  	
  10

  	
   

  	
  5

  
	
  3551

  	
   

  	
  1 DS BRONCHICINE
  CAe (50 x 1ds)

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  50

  
	
  4275

  	
   

  	
  1 DS VANGUARD-B

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  4945

  	
   

  	
  1 DS VANGUARD
  DAP

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  4952

  	
   

  	
  1 DS VANGUARD
  DAMP

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  4928

  	
   

  	
  1 DS VANGUARD CV

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  50

  
	
  5300

  	
   

  	
  1 DS VANGUARD
  PLUS CPV

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  50

  
	
  5301

  	
   

  	
  10 DS VANGUARD
  PLUS CPV

  	
   

  	
   

  	
   

  	
  10

  	
   

  	
  5

  
	
  5303

  	
   

  	
  1 DS VANGUARD
  PLUS 5

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5305

  	
   

  	
  1 DS VANGUARD
  PLUS 5/CV

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5181

  	
   

  	
  1 DS VANGUARD L
  4

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5180

  	
   

  	
  1 DS VANGUARD
  PLUS 5 L4

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5179

  	
   

  	
  1 DS VANGUARD
  PLUS 5 L4-CV

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5250

  	
   

  	
  1 DS
  PORPHYROMONAS DENTICANIS-GULAE-SALIVOSA**

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  3600

  	
   

  	
  1DS CANINE GnRF
  IMMUNOTHERAPY**

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  5

  
	
   

  	
   

  	
  Rabies

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4654

  	
   

  	
  10 DS DEFENSOR 1

  	
   

  	
   

  	
   

  	
  10

  	
   

  	
  5

  
	
  4627

  	
   

  	
  1 DS DEFENSOR 3
  (CALIF)

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  50

  
	
  4628

  	
   

  	
  10 DS DEFENSOR 3
  (CALIF)

  	
   

  	
   

  	
   

  	
  10

  	
   

  	
  5

  
	
  4996

  	
   

  	
  1 DS DEFENSOR 3

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  50

  
	
  4997

  	
   

  	
  10 DS DEFENSOR 3

  	
   

  	
   

  	
   

  	
  10

  	
   

  	
  5

  
	
   

  	
   

  	
  Feline

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4310

  	
   

  	
  1 DS FELOCELL 4

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  4305

  	
   

  	
  1 DS FELOCELL 3

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5314

  	
   

  	
  1 DS FELOCELL
  FVR C Ch

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5313

  	
   

  	
  1 DS FELOCELL
  FVR C

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  5312

  	
   

  	
  1 DS FELOCELL P

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  4350

  	
   

  	
  1 DS FELOCELL
  FVR C (IN)

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  4363

  	
   

  	
  1 DS LEUKOCELL 2

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  50

  
	
  4643

  	
   

  	
  1 DS FELOCELL
  FIP (IN)

  	
   

  	
   

  	
   

  	
  1

  	
   

  	
  25

  
	
  Biological
  Accessories

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  0204

  	
   

  	
  NEOGEN SLIP TIP SYRINGE 22 ga., 0.75”

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  100

  
	
  0205

  	
   

  	
  NEOGEN LUER LOCK
  SYRINGE 22 ga., 0.75”

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  100

  
	
  0862

  	
   

  	
  RABIES TAGS

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  100

  

 

 

	
  Product No.

  	
   

  	
  Product Name

  	
   

  	
  Rx

  	
   

  	
  Pack 

  Size

  	
   

  	
  Saleable 

  Unit

  
	
  Anti-Infectives

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8430

  	
   

  	
  ALBON TABLETS 125 MG

  	
   

  	
  Rx

  	
   

  	
  200 CT

  	
   

  	
  1

  
	
  8431

  	
   

  	
  ALBON TABLETS 250 MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8432

  	
   

  	
  ALBON TABLETS
  500 MG

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
  8433

  	
   

  	
  ALBON TABLETS
  500 MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8435

  	
   

  	
  ALBON ORAL SUSP
  5%

  	
   

  	
  Rx

  	
   

  	
  2 OZ

  	
   

  	
  1

  
	
  8436

  	
   

  	
  ALBON ORAL SUSP
  5%

  	
   

  	
  Rx

  	
   

  	
  16 OZ

  	
   

  	
  1

  
	
  8000

  	
   

  	
  AMOXI-DROP 50MG

  	
   

  	
  Rx

  	
   

  	
  15 ML

  	
   

  	
  12

  
	
  8001

  	
   

  	
  AMOXI-DROP 50MG

  	
   

  	
  Rx

  	
   

  	
  30 ML

  	
   

  	
  12

  
	
  8004

  	
   

  	
  AMOXI-TABS 50 MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8005

  	
   

  	
  AMOXI-TABS 100
  MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8006

  	
   

  	
  AMOXI-TABS 200
  MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8007

  	
   

  	
  AMOXI-TABS 150
  MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8008

  	
   

  	
  AMOXI-TABS 400
  MG

  	
   

  	
  Rx

  	
   

  	
  250 CT

  	
   

  	
  1

  
	
  1422

  	
   

  	
  DELTA
  ALBAPLEX TABLETS 60 MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  1423

  	
   

  	
  DELTA
  ALBAPLEX 3X TABLETS 180 MG

  	
   

  	
  Rx

  	
   

  	
  250 CT

  	
   

  	
  1

  
	
  1437

  	
   

  	
  LINCOCIN STERILE
  SOLUTION 100 MG

  	
   

  	
  Rx

  	
   

  	
  20 ML

  	
   

  	
  1

  
	
  1438

  	
   

  	
  LINCOCIN TABS
  100 MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  1439

  	
   

  	
  LINCOCIN TABS
  200 MG

  	
   

  	
  Rx

  	
   

  	
  250 CT

  	
   

  	
  1

  
	
  1440

  	
   

  	
  LINCOCIN TABS
  500 MG

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
  1441

  	
   

  	
  LINCOCIN
  AQUADROPS

  	
   

  	
  Rx

  	
   

  	
  20 ML

  	
   

  	
  12

  
	
  8438

  	
   

  	
  PRIMOR TABLET
  120 MG

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
  8439

  	
   

  	
  PRIMOR TABLET
  120 MG

  	
   

  	
  Rx

  	
   

  	
  1000 CT

  	
   

  	
  1

  
	
  8440

  	
   

  	
  PRIMOR TABLET
  240 MG

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
  8441

  	
   

  	
  PRIMOR TABLET
  240 MG

  	
   

  	
  Rx

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8442

  	
   

  	
  PRIMOR TABLET
  600 MG

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
  8443

  	
   

  	
  PRIMOR TABLET
  600 MG

  	
   

  	
  Rx

  	
   

  	
  250 CT

  	
   

  	
  1

  
	
  8444

  	
   

  	
  PRIMOR TABLET
  1200 MG

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Topical
  Antibiotics/Other Pharmaceuticals

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8020

  	
   

  	
  DERMA-CLENS

  	
   

  	
   

  	
   

  	
  1 OZ

  	
   

  	
  12

  
	
  1460

  	
   

  	
  MITABAN

  	
   

  	
  Rx

  	
   

  	
  10.6 ML

  	
   

  	
  6

  
	
  1460

  	
   

  	
  MITABAN

  	
   

  	
  Rx

  	
   

  	
  10.6 ML

  	
   

  	
  1-5 bottles

  
	
  7047

  	
   

  	
  MITA CLEAR

  	
   

  	
   

  	
   

  	
  12 ML

  	
   

  	
  12

  
	
  7048

  	
   

  	
  MITA CLEAR

  	
   

  	
   

  	
   

  	
  22 ML

  	
   

  	
  12

  
	
  1471

  	
   

  	
  NEO-PREDEF
  w/TETRACAINE TOPICAL POWDER

  	
   

  	
  Rx

  	
   

  	
  15 GM

  	
   

  	
  12

  
	
  8055

  	
   

  	
  OTI-CLENS

  	
   

  	
   

  	
   

  	
  4 OZ

  	
   

  	
  12

  
	
  6882

  	
   

  	
  PAN OTIC

  	
   

  	
   

  	
   

  	
  2 OZ

  	
   

  	
  12

  
	
  6883

  	
   

  	
  PAN OTIC

  	
   

  	
   

  	
   

  	
  12 OZ

  	
   

  	
  1

  
	
  8276

  	
   

  	
  TRI-OPTIC-P
  OPHTHALMIC

  	
   

  	
  Rx

  	
   

  	
  1/80Z

  	
   

  	
  12

  
	
  8274

  	
   

  	
  TRI-OPTIC-S
  OPHTHALMIC

  	
   

  	
  Rx

  	
   

  	
  1/80Z

  	
   

  	
  12

  
	
  1491

  	
   

  	
  TRITOP

  	
   

  	
  Rx

  	
   

  	
  10 GM

  	
   

  	
  12

  
	
  1492

  	
   

  	
  TRITOP (Bulk
  Pack)

  	
   

  	
  Rx

  	
   

  	
  144x 10GM

  	
   

  	
  1

  

 

 

	
  Product No.

  	
   

  	
  Product Name

  	
   

  	
  Rx

  	
   

  	
  Pack 

  Size

  	
   

  	
  Saleable 

  Unit

  
	
  Sedatives

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Anipryl

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8191

  	
   

  	
  ANIPRYL 2 MG
  (PURPLE)

  	
   

  	
  Rx

  	
   

  	
  30 CT

  	
   

  	
  1

  
	
  8192

  	
   

  	
  ANIPRYL 5 MG (RED)

  	
   

  	
  Rx

  	
   

  	
  30 CT

  	
   

  	
  1

  
	
  8193

  	
   

  	
  ANIPRYL 10 MG
  (BLUE)

  	
   

  	
  Rx

  	
   

  	
  30 CT

  	
   

  	
  1

  
	
  8194

  	
   

  	
  ANIPRYL 15 MG
  (ORANGE)

  	
   

  	
  Rx

  	
   

  	
  30 CT

  	
   

  	
  1

  
	
  8195

  	
   

  	
  ANIPRYL 30 MG
  (TEAL)

  	
   

  	
  Rx

  	
   

  	
  30 CT

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Parasiticides

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8512

  	
   

  	
  REVOLUTION Cat
  5.1-15 lbs (Blue)

  	
   

  	
  Rx

  	
   

  	
  6 PK

  	
   

  	
  10

  
	
  8513

  	
   

  	
  REVOLUTION Dog
  5.1-10 lbs (Purple)

  	
   

  	
  Rx

  	
   

  	
  6 PK

  	
   

  	
  10

  
	
  8514

  	
   

  	
  REVOLUTION Dog
  10.1-20 lbs (Brown)

  	
   

  	
  Rx

  	
   

  	
  6 PK

  	
   

  	
  10

  
	
  8515

  	
   

  	
  REVOLUTION Dog
  20.1-40 lbs (Red)

  	
   

  	
  Rx

  	
   

  	
  6 PK

  	
   

  	
  10

  
	
  8516

  	
   

  	
  REVOLUTION Dog
  40.1-85 lbs (Teal)

  	
   

  	
  Rx

  	
   

  	
  6 PK

  	
   

  	
  10

  
	
  8519

  	
   

  	
  REVOLUTION Dog
  85.1-130 lbs (Plum)

  	
   

  	
  Rx

  	
   

  	
  6 PK

  	
   

  	
  10

  
	
  8511

  	
   

  	
  REVOLUTION
  Puppy/Kitten up to 5lbs (Mauve)

  	
   

  	
  Rx

  	
   

  	
  3 PK

  	
   

  	
  10

  
	
  8732

  	
   

  	
  REVOLUTION Cat
  5.1-15 lbs (Blue)

  	
   

  	
  Rx

  	
   

  	
  3 PK

  	
   

  	
  10

  
	
  8733

  	
   

  	
  REVOLUTION Dog
  5.1-10 lbs (Purple)

  	
   

  	
  Rx

  	
   

  	
  3 PK

  	
   

  	
  10

  
	
  8734

  	
   

  	
  REVOLUTION Dog
  10.1-20 lbs (Brown)

  	
   

  	
  Rx

  	
   

  	
  3 PK

  	
   

  	
  10

  
	
  8735

  	
   

  	
  REVOLUTION Dog
  20.1-40 lbs (Red)

  	
   

  	
  Rx

  	
   

  	
  3 PK

  	
   

  	
  10

  
	
  8736

  	
   

  	
  REVOLUTION Dog
  40.1-85 lbs (Teal)

  	
   

  	
  Rx

  	
   

  	
  3 PK

  	
   

  	
  10

  
	
  8737

  	
   

  	
  REVOLUTION Dog
  85.1-130 lbs (Plum)

  	
   

  	
  Rx

  	
   

  	
  3 PK

  	
   

  	
  10

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Parasiticides

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  7990

  	
   

  	
  NEMEX 2 DISPLAY
  PACK

  	
   

  	
   

  	
   

  	
  60 ML

  	
   

  	
  12

  
	
  7991

  	
   

  	
  NEMEX 2 BULK
  PACK

  	
   

  	
   

  	
   

  	
  60 ML

  	
   

  	
  60

  
	
  7992

  	
   

  	
  NEMEX 2
  SUSPENSION

  	
   

  	
   

  	
   

  	
  PINT

  	
   

  	
  1

  
	
  7993

  	
   

  	
  NEMEX SMALL DOG
  TABS

  	
   

  	
   

  	
   

  	
  100 TABS

  	
   

  	
  1

  
	
  7994

  	
   

  	
  NEMEX LARGE DOG
  TABS

  	
   

  	
   

  	
   

  	
  50 TABS

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Cestex

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8032

  	
   

  	
  CESTEX TABLET 12.5 MG (Red)

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
  8033

  	
   

  	
  CESTEX TABLET 25 MG (Brown)

  	
   

  	
  Rx

  	
   

  	
  100 CT

  	
   

  	
  1

  
	
  8034

  	
   

  	
  CESTEX TABLET 50 MG (Gray)

  	
   

  	
  Rx

  	
   

  	
  50 CT

  	
   

  	
  1

  
	
  8035

  	
   

  	
  CESTEX TABLET 100 MG (Orange)

  	
   

  	
  Rx

  	
   

  	
  50 CT

  	
   

  	
  1

  
	
  8026

  	
   

  	
  CESTEX TABLET HALF BOTTLE 12.5 MG (Red)

  	
   

  	
  Rx

  	
   

  	
  50 CT

  	
   

  	
  1

  
	
  8029

  	
   

  	
  CESTEX TABLET HALF BOTTLE 25 MG (Brown)

  	
   

  	
  Rx

  	
   

  	
  50 CT

  	
   

  	
  1

  
	
  8031

  	
   

  	
  CESTEX TABLET
  HALF BOTTLE 50 MG (Gray)

  	
   

  	
  Rx

  	
   

  	
  25 CT

  	
   

  	
  1

  
	
  8036

  	
   

  	
  CESTEX TABLET
  HALF BOTTLE 100 MG (Orange)

  	
   

  	
  Rx

  	
   

  	
  25 CT

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Feline
  Vitamins

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8092

  	
   

  	
  FAVOR WITH
  TAURINE

  	
   

  	
   

  	
   

  	
  60 CT

  	
   

  	
  1

  

 

 

	
  Product No.

  	
   

  	
  Product Name

  	
   

  	
  Rx

  	
   

  	
  Pack 

  Size

  	
   

  	
  Saleable 

  Unit

  
	
  Pet
  Tabs

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8083

  	
   

  	
  PET TABS

  	
   

  	
   

  	
   

  	
  60 CT

  	
   

  	
  1

  
	
  8084

  	
   

  	
  PET TABS

  	
   

  	
   

  	
   

  	
  180 CT

  	
   

  	
  1

  
	
  8085

  	
   

  	
  PET TABS

  	
   

  	
   

  	
   

  	
  500 CT

  	
   

  	
  1

  
	
  8107

  	
   

  	
  PET TABS PLUS

  	
   

  	
   

  	
   

  	
  60 CT

  	
   

  	
  1

  
	
  8108

  	
   

  	
  PET TABS PLUS

  	
   

  	
   

  	
   

  	
  180 CT

  	
   

  	
  1

  
	
  Vi-Sorbits

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8866

  	
   

  	
  VI-SORBITS NEW
  FORMULA

  	
   

  	
   

  	
   

  	
  50 CT

  	
   

  	
  1

  
	
  8868

  	
   

  	
  VI-SORBTTS NEW
  FORMULA

  	
   

  	
   

  	
   

  	
  200 CT

  	
   

  	
  1

  
	
  Unipet
  Nutritabs

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1497

  	
   

  	
  UNIPET NUTRITABS
  300 CT *

  	
   

  	
   

  	
   

  	
  300 CT

  	
   

  	
  12

  
	
  Specialties

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8022

  	
   

  	
  LAX-AIRE

  	
   

  	
   

  	
   

  	
  3 OZ

  	
   

  	
  1

  
	
  8060

  	
   

  	
  PET CAL TABLETS

  	
   

  	
   

  	
   

  	
  60 CT

  	
   

  	
  1

  
	
  8061

  	
   

  	
  PET CAL TABLETS

  	
   

  	
   

  	
   

  	
  180 CT

  	
   

  	
  1

  
	
  8044

  	
   

  	
  PET-TINIC

  	
   

  	
   

  	
   

  	
  1 OZ

  	
   

  	
  1

  
	
  8045

  	
   

  	
  PET-TINIC

  	
   

  	
   

  	
   

  	
  4 OZ

  	
   

  	
  1

  
	
  Other
  Canine and Feline Products

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8255

  	
   

  	
  ELIMIN-ODOR PET
  ACCIDENT

  	
   

  	
   

  	
   

  	
  8 OZ

  	
   

  	
  1

  
	
  8258

  	
   

  	
  GEN PURPOSE
  ELIMIN-ODOR

  	
   

  	
   

  	
   

  	
  8 OZ

  	
   

  	
  1

  
	
  8262

  	
   

  	
  CANINE
  ELIMIN-ODOR

  	
   

  	
   

  	
   

  	
  8 OZ

  	
   

  	
  1

  
	
  8264

  	
   

  	
  FELINE
  ELIMIN-ODOR

  	
   

  	
   

  	
   

  	
  8 OZ

  	
   

  	
  1

  
	
  8269

  	
   

  	
  PET STAIN
  ELIMINATOR

  	
   

  	
   

  	
   

  	
  8 OZ

  	
   

  	
  1

  
	
  8299

  	
   

  	
  PET HAIR
  ATTRACTOR REFILL

  	
   

  	
   

  	
   

  	
  12 CT

  	
   

  	
  1

  
	
  8300

  	
   

  	
  PET HAIR
  ATTRACTOR

  	
   

  	
   

  	
   

  	
  12 CT

  	
   

  	
  1

  
	
  0309

  	
   

  	
  PLASTIC
  DISPENSING BAGS

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  250

  

 

*These products will be discontinued when inventory is
depleted.

 

 

Exhibit B

 

AAHA/MarketLink Customer
List of Customers for whom incentive Payments may be made under Exhibit D,
Paragraph 2 includes /**/ Indentified AAHA/MarketLink Accounts and have been
sent under separate cover.

 

 

Exhibit C

 

MWI-AAHA Marketlink 2009 Agreement

Revolution Customers that
receive Logistics Fee for Sales in Excess of /**/ and with

sales of /**/ or more
count towards Incentive Payment

 

List of Approved
Revolution Customers with Purchases Greater than /**/

 

	
  HIN

  	
  NARC

  	
   

  	
  NARC Name

  	
  Parent NARC

  	
   

  	
  Approved Company

  
	
  /**/

  	
  /**/

  	
   

  	
  /**/

  	
  /**/

  	
   

  	
  /**/

  

 

 

Exhibit D

Compensation

 

DEFINITIONS:

 

“Sales” shall
mean revenues generated by gross sales of Products less any legitimate returns.

 

PFIZER shall compensate MWI as follows:

 

1.                                       LOGISTICS PAYMENT:

 

In
return for MWI receiving shipments at its 12 shipping locations and reshipping
to customers as specified in paragraph 3 (c) above, PFIZER shall pay MWI a
logistics payment of /**/ of Sales out by MWI to the AAHA MARKETLink Customers
listed in Exhibit E for all Sales out by MWI of PFIZER CAD products listed
in Exhibit A only, including Sales out of up to /**/ of Revolution per
customer for all customers, and Sales out of Revolution in excess of /**/ per
customer only for those customers on the list
provided in Exhibit C hereto. This payment will be made once every /**/.
For purposes of this paragraph 1 AAHA MARKETLink Customers shall mean all those
customers that are AAHA member practices.

 

2.                                       INCENTIVE PAYMENT:

 

(a)                                  PFIZER
will pay MWI an Incentive Payment as described in this paragraph 2 of Exhibit D.
The Incentive Payment will be based on Sales out by MWI only to customers who
are on Exhibit B hereto at the time this Agreement is first signed by
PFIZER and MWI. Sales to any Customers added to Exhibit B after the date
of last signature hereto shall NOT qualify towards calculation of the incentive
payment made under this paragraph 2.

 

(b)                                 The
Incentive Payment shall be calculated as follows:

 

(i)                                     /**/

 

(ii)                                  /**/

 

3.                                       PRODUCT EXCLUSIONS:

 

(a)                                  This
Agreement covers PFIZER companion animal products only, provided however, that
Rimadyl, Clavamox, Simplicef, Dexdomitor, Antisedan, Doxirobe, Medrol,
Antirobe, Temaril-P,Zeniquin Terramycin Opthalmic Ointment, Roccal D Plus, Depo
Medrol 40mg/5ml and Solu Delta Cortef 100mg and 500mg /10ml are handled in
separate agreements, and are not subject to the payment terms in this
agreement. NO payment in any form shall be due to MWI for Sales by MWI of these
products under this Agreement.

 

 

Chart A: Base Target VS. Target Milestones for 2009

 

	
   

  	
   

  	
   

  	
   

  	
  SALES OUT TARGETS REPRESENTING GROWTH

  OVER BASE TARGET FOR 2009

  	
   

  
	
  Category

  	
   

  	
  2008 Actual 

  Sales

  	
   

  	
  2009 Base 

  Target

  	
   

  	
  Tier 1 Sales Target

  /**/ Incentive Payment on

  incremental Sales above

  2008 actual Sales if Sales

  Exceed:

  	
   

  	
  Tier 2 Sales Target

  /**/ Incentive Payment on

  Incremental Sales above

  Tier 1 Sales Target if Sales 

  Exceed:

  	
   

  
	
  Base Products *

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  4 - Way Lepto

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Bronchicine

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Cerenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Convenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Feline Revolution

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Totals

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  

 

Chart B: Monthly Base Target Schedule

 

	
   

  	
   

  	
  BASE TARGETS

  (Sales per month)

  	
   

  
	
  Category

  	
   

  	
  March-

  August

  2009

  	
   

  	
  March
  2009

  	
   

  	
  April

  2009

  	
   

  	
  May

  2009

  	
   

  	
  June

  2009

  	
   

  	
  July

  2009

  	
   

  	
  August

  2009

  	
   

  
	
  Base Products*

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  4-Way Lepto

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Bronchicine

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Cerenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Convenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Feline Revolution

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Totals

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  

 

 

Chart C: Monthly Tier 1 Target
Schedule

 

	
   

  	
   

  	
  TIER 1 TARGETS

  (Sales per month)

  	
   

  
	
  Category

  	
   

  	
  March-

  August 2009

  	
   

  	
  March

  2009

  	
   

  	
  April

  2009

  	
   

  	
  May

  2009

  	
   

  	
  June

  2009

  	
   

  	
  July

  2009

  	
   

  	
  August 

  2009

  	
   

  
	
  Base Products*

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  4-Way Lepto

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Bronchicine

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Cerenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Convenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Feline Revolution

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Totals

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  

 

Chart D: Monthly Tier 2 Target Schedule

 

	
   

  	
   

  	
  TIER 2 TARGETS

  (Sales per month)

  	
   

  
	
  Category

  	
   

  	
  March-

  August 2009

  	
   

  	
  March

  2009

  	
   

  	
  April

  2009

  	
   

  	
  May

  2009

  	
   

  	
  June

  2009

  	
   

  	
  July

  2009

  	
   

  	
  August 

  2009

  	
   

  
	
  Base Products*

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  4-Way Lepto

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Bronchicine

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Cerenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Convenia

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Feline Revolution

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  
	
  Totals

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  	
  /**/

  	
   

  

 

*All Products listed on Exhibit A other than
Bronchicine, Cerenia, Convenia, L4 Vaccines, and Feline Revolution.

 

 

Exhibit E

 

/**/
Accounts for whom logistics payments will be made in accordance with Exhibit D,
paragraph 1.Exhibit 10.5

 

* * — CERTAIN INFORMATION IN THIS EXHIBIT HAS BEEN
OMITTED AND FILED SEPARATELY WITH THE COMMISSION.  CONFIDENTIAL TREATMENT HAS BEEN REQUESTED
WITH RESPECT TO THE OMITTED PORTIONS.

 

2009 STRATEGIC BRANDS
DISTRIBUTION AGREEMENT

 

This Agreement dated and
effective as of January 1, 2009 is made by and between Pfizer Inc, 235 East 42nd Street, New York, NY 10017
(hereinafter, “PFIZER”) and MWI Veterinary Supply, 651 South Stratford Drive, Suite 100,
Meridian, Idaho 83642 (hereinafter, “MWI”).

 

Definitions:

 

“Products”: Rimadyl,
Clavamox, and Simplicef

 

1.                                       PFIZER
hereby appoints MWI, and MWI hereby accepts appointment, as a contract
distributor for PFIZER’s Products, to purchase from PFIZER and to resell for
MWI’s own account as a distributor, subject to the following terms and
conditions.

 

2.                                       MWI
recognizes and agrees to the following:

 

(a)                                  PFIZER has
elected to work with a select group of distributors that are committed to
maximizing the sale of the Products and to working closely with PFIZER to identify
market opportunities for both companies. The intent of this Agreement is to
attain that goal;

 

(b)                                 PFIZER
intends to utilize this group of distributors to sell the Products to
veterinarians who have and maintain a veterinary/client/patient relationship
and who prescribe products for dogs or cats within that relationship, and that
PFIZER has, and may in the future, run promotions and other activities that
would be seriously prejudiced if MWI resells the Products to non-veterinarians,
other distributors, internet pharmacies, human pharmacies or non-employee
agents or through brokers.

 

3.                                       Accordingly,
MW shall:

 

(a)                                  use its
reasonable best efforts to sell the Products by focusing its efforts at
reselling to veterinarians only. During the term of this Agreement MWI will not
sell any other product or formulation containing carprofen,
amoxicillin/clavulanic acid, or cefpodoxime proxetil other than those Products
purchased by MWI from PFIZER including but not limited to any capsule, tablet,
chewable tablet, drops or injectible carprofen, amoxicillin/clavulanic acid, or
cefpodoxime proxetil product. In the event that this Agreement is terminated
for any reason by MWI prior to December 31, 2010, MWI agrees not to sell
any other product or formulation containing carprofen, amoxicillin/clavulanic
acid, or cefpodoxime proxetil until after December 31, 2010. In the event
that this Agreement is terminated for any reason by PFIZER prior to December 31,
2010, MWI may sell any other product or formulation containing carprofen,
amoxicillin/clavulanic acid, or cefpodoxime proxetil after such termination.
Notwithstanding the foregoing, nothing in this Agreement forecloses MWI from
selling any cefpodoxime proxetil product that MWI was selling on the effective
date of this Agreement;

 

(b)                                 maintain a
full-time outside and inside sales force that will personally and actively
solicit sales of the Products and to pay such sales representatives reasonable
commission;

 

 

(c)                                  store and
handle its inventory of Products under conditions that will ensure that the
Product retains its potency, purity, quality, and identity;

 

(d)                                 cooperate
fully with PFIZER by actively participating in such strategy sessions as PFIZER
reasonably may require, for the purpose of developing programs to increase use
of the Products; and to cooperate fully with PFIZER in implementing all
promotions and sales campaigns for the Products;

 

(e)                                  allow PFIZER’s
representatives to attend and actively participate in meetings of MWI’s sales
representatives;

 

(f)                                    MWI agrees
that credit limits established by PFIZER shall be subject to change by PFIZER
in its sole discretion and that no shipments will be made to MWI in excess of
the established credit limits. MWI will make payment to PFIZER for all Products
shipped /**/;

 

(g)                                 take no
action, whether or not identified above, that would harm the goodwill of the
Products;

 

(h)                                 MWI shall
immediately notify PFIZER in the event MWI obtains information indicating that
the Products may have to be recalled either by virtue of applicable law or
regulation or good business judgment. PFIZER shall control all efforts
necessary to conduct any such recall. MWI shall cooperate with PFIZER and MWI
agrees to maintain adequate records to conduct such recall, including the name,
address and Product purchases of all purchasers of PFIZER Products;

 

(i)                                     MWI shall
not, under any circumstances, be liable for special, collateral, incidental or
consequential damages, and PFIZER’s sole remedy for any such damages shall be
in accordance with Paragraph 7(e).

 

4.                                       PFIZER
shall:

 

(a)                                  sell the
Products to MWI at the prices in effect in the then current published PFIZER
Animal Health Ethical Distribution Price Memo (hereinafter, “Price List”).
PFIZER also shall permit MWI to participate in the distributor incentive
programs offered by PFIZER, in accordance with the terms of such programs.
PFIZER shall have the unrestricted right to revise the prices, terms and
conditions of the Price List, and to add or delete Products or package sizes,
without advance notice to MWI, and the revisions shall be effective on all
orders submitted after the effective date of the price revisions. In all cases
of orders received for other than immediate shipment, the price for the
Products shall be that in effect at the time of shipment;

 

(b)                                 retain sole
responsibility for the advertising and promotion of the Products and
collaborate with MWI in the development of activities appropriate for ethical
distribution regarding the Products;

 

(c)                                  compensate
MWI in accordance with Exhibits A and B attached hereto. PFIZER shall have the
right to audit MWI sales data to confirm appropriate payment in accordance with
Exhibits A and B;

 

(d)                                 allow MWI
credit on prepaid returns in accordance with PFIZER’s Outdated Products Policy
which is in effect at the time;

 

(e)                                  If MWI has
more than one location then MWI must combine purchases of all locations to
determine attainment level for incentives. In the event that MWI acquires or
combines with 

 

2

 

another PFIZER agreement
holder, the purchase objectives will be adjusted accordingly for the purpose of
determining incentives earned;

 

(f)                                    Direct
purchase from PFIZER will be used to determine the level of purchases achieved.
Any discrepancies must be documented by the Marketing Agreement holder using
copies of PFIZER invoices.

 

5.                                       Nothing in
this Agreement shall be deemed to limit PFIZER’s ability to sell Products to
any other party.

 

6.                                       All
purchases by MWI pursuant to this Agreement shall be in accordance with the
terms of PFIZER’s Pricing and Shipping Policies, as may be amended by PFIZER
from time to time. Unless the parties agree otherwise, shipments shall be made
to either MWI’s central warehouse point or to branch offices at MWI’s
direction.

 

7.                                       The following
standard conditions shall apply to all sales under this Agreement:

 

(a)                                  MWI shall
cooperate fully with PFIZER in participating fully in the Animal Health
Institute Electronic Data Interchange (hereinafter, “AHI EDI”) for the
reporting of sales and inventory data on a daily basis. The data to be reported
shall be as described in the AHI EDI Transaction sets.

 

(b)                                 all orders
are subject to acceptance by PFIZER. Title to the goods shall pass to MWI once
they have been properly delivered to the address designated by MWI.

 

(c)                                  any tax or
other charge upon the sale and/or shipment of the goods now or hereafter
imposed by federal, state or municipal authorities shall be paid by MWI. In the
event that the price of any article includes transportation charges, any increase
or decrease in transportation charges shall be for MWI’s account;

 

(d)                                 EXCEPT AS
SET FORTH IN THIS AGREEMENT, OR IN THE LABELING OF THE PRODUCTS SOLD HEREUNDER,
PFIZER MAKES NO EXPRESS OR IMPLIED WARRANTIES WITH RESPECT TO THE PRODUCTS;

 

(e)                                  PFIZER shall
defend and indemnify MWI from all claims resulting from any breach by PFIZER of
the warranties set forth in this paragraph 7 and specifically any claim that
the Products, as sold by PFIZER, were defective. In the event PFIZER is found
by any court of competent jurisdiction to be liable for any claim based in
products liability, then PFIZER shall reimburse MWI’s reasonable legal fees
incurred in the course of cooperating with PFIZER’s defense. To be covered by
this defense and indemnity, MWI must: promptly notify PFIZER of any such claim;
allow PFIZER to fully control the defense and/or resolution of the claim; and
cooperate fully with PFIZER in the matter. This defense, indemnity and payment
for legal fees shall not apply to claims alleging: MWI alteration, negligent
handling or improper storage of the Products; sale of outdated Products; sale
or recommendation of the Products for uses or in a manner not set forth in the
labeling supplied by PFIZER; or sale of the Products after receipt of notice from
PFIZER that such sales should be halted;

 

(f)                                    in no event
shall PFIZER be liable to MWI for special, collateral, incidental, or
consequential damages in connection with or arising out of the purchase,
resale, or use of the Products. Except as provided under subparagraph 7(e),
above, total damages recoverable against PFIZER by MWI shall be exclusively
limited to the purchase price of the Products with respect to which damages are
claimed;

 

3

 

(g)                                 failure of
PFIZER to make or of MWI to take, when due, any delivery (or portion thereof)
pursuant to an order hereunder, if occasioned by any circumstance or condition
beyond the control of the party so failing, shall not subject the failing party
to any liability to the other and, at the option of either party, that order or
portion thereof not delivered may be canceled;

 

(h)                                 acceptance
of MWI’s order by PFIZER is expressly made conditional upon MWI’s acceptance of
the conditions of sale as set forth herein, and the prices, terms and
conditions of the Price List then in effect, notwithstanding acknowledgment or
receipt of MWI’s purchase order containing additional or different provisions,
or conflicting oral representations by any agent of PFIZER;

 

(i)                                     in no event
shall MWI be liable to PFIZER for special, collateral, incidental, or
consequential damages in connection with or arising out of the purchase,
resale, or use of the Products.

 

8.                                       MWI shall
not delegate its duty of performance or assign its obligations under this
Agreement without the prior written consent of PFIZER.

 

9.                                       This
Agreement shall not be binding upon PFIZER until it is approved by PFIZER at
its New York, New York headquarters.

 

10.                                 This
Agreement shall be effective as of the date first written above and shall
continue in force until December 31, 2010 (hereinafter, “Contract Term”).
For the purpose of calculating the year end rebates set forth in Exhibit A
and the Custom Marketing Program funds set forth in Exhibit B, the
Contract Term will be divided into two one-year terms as follows: January 1,
2009 to December 31, 2009 (hereinafter, “Contract Year 2009”) and January 1,
2010 to December 31, 2010 (hereinafter, “Contract Year 2010”). PFIZER may
terminate this agreement prior to the expiration date with or without cause,
upon thirty (30) days written notice to MWI. Either party may terminate this
Agreement immediately upon written notice, in the event of a material breach by
the other party. Upon any termination of this Agreement for any reason prior to
the expiration date PFIZER shall have the right to buy back from MWI all
inventory of the Products owned by MWI at the time of termination at a price
equal to MWI’s purchase price from PFIZER of such inventory.

 

11.                                 MWI and
PFIZER agree that, under the specific circumstances delineated herein, PFIZER,
at PFIZER’s sole discretion may recoup the sums outstanding to it from MWI
against those sums which may become due from PFIZER to MWI, in that the
obligations arise from mutual transactions.

 

A.                                   The specific
circumstances which will enable PFIZER to initiate recoupment are:

 

i.                                          MWI becomes
insolvent which shall be defined as:

 

(a)                                  the sum of
MWI’s debts is greater than all of MWI’s property (“Balance Sheet Test”); or

 

(b)                                 MWI is
generally not paying its debts as they come due; or

 

(c)                                  MWI has
failed to act in good faith for a period in excess of six (6) months to
resolve any outstanding invoice or purchase order issues or reconciliations.

 

ii.                                       MWI
commences a liquidation of its operations by means of a sale of its assets in
their entirety or piecemeal.

 

4

 

iii.                                    MWI ceases
its business operations whether or not such cessation is voluntary or
involuntary.

 

iv.                                   MWI files a
proceeding pursuant to the U.S. Bankruptcy Code or any state court proceeding,
including an Assignment for the Benefit of Creditors.

 

12.                                 MWI and
PFIZER acknowledge that in the performance of their duties hereunder MWI and
PFIZER may obtain access to “Confidential Information” (as defined below) of
each other. MWI and PFIZER agree that during the term of this Agreement and for
a period of three (3) years after the termination of this Agreement,
unless specifically permitted in writing by the other party, to (a) retain
in confidence and not disclose to any third party and (b) use only for the
purpose of carrying out their duties hereunder, any such Confidential
Information. As used herein the term “Confidential Information” means any
information, or data, whether of a business or scientific nature and whether in
written, oral or tangible form, relating to PFIZER’s and MWI’s business or
potential business or its research and development activities, not generally
available to or known to the public, and not otherwise known to the receiving
party, that is disclosed to or learned by the other party pursuant hereto. Upon
completion of the work provided for hereunder or other termination of this
Agreement each party will return to the other party any documents, or copies
thereof, or any product samples, containing or constituting Confidential
Information disclosed to or generated by either party in connection with this
Agreement.

 

13.                                 This
Agreement shall be governed by the laws of the State of New York applicable to
contracts to be fully performed therein.

 

14.                                 This
Agreement and documents referred to herein embody the entire understanding
between the parties hereto, will supersede prior agreements relating to the
Products, and may be modified only in writing and signed by the parties to be
bound. No activities conducted pursuant to this Agreement or related thereto,
including but not limited to the future planning activities of the parties,
shall be deemed to give rise to any obligations on the part of either party
other than as expressly provided for herein.

 

IN WITNESS WHEREOF,
intending to be legally bound, the parties have executed this Agreement.

 

	
  MWI Veterinary
  Supply

  	
   

  	
  Pfizer Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  BY:

  	
  /s/ Jim Cleary

  	
   

  	
  BY:  

  	
  /s/ Clinton
  Lewis

  
	
   

  	
   

  	
   

  	
  Clinton Lewis

  
	
  Print Name: 

  	
  Jim Cleary

  	
   

  	
   

  	
  President, U.S.
  Operations

  
	
   

  	
   

  	
   

  	
  Pfizer Animal
  Health

  
	
  Title: 

  	
  President

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Date: 

  	
  Jan. 26, 2009

  	
   

  	
  Date: 

  	
  2/5/09

  

 

5

 

Exhibit A

 

PFIZER shall compensate
MWI as follows:

 

For Contract Year 2009
of the Contract Term: A year end rebate up to a maximum of /**/ on MWI’s
Rimadyl sales out units plus /**/ on MWI’s Clavamox sales out units calculated as follows:

 

For RIMADYL:

 

1)                                      /**/ on
sales out units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo if PFIZER attains PFIZER’s
overall Rimadyl growth target in sales in to all PFIZER customers for the
calendar year ended December 31, 2009 (such target to be determined at the
end of Contract Year 2008).

 

2)                                      /**/ on
sales out units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo for MWI providing data on
the percentage of market share that Rimadyl represents of MWI ‘s entire NSAID
business.

 

3)                                      /**/ on
sales out units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo for a ranking of MWI’s
sales representatives’ performance based on MWI’s sales out of Rimadyl.

 

4)                                      /**/ on
sales out of units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo for a ranking of MWI’s
sales representatives’ performance based on MWI’s sales out of MWI’s entire
NSAID business.

 

For CLAVAMOX

 

5)                                      /**/ on
sales out units of Clavamox by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo if PFIZER attains PFIZER’S
overall Clavamox growth target in sales in to all PFIZER customers for the
calendar year ended December 31, 2009 (such target to be determined at the
end of Contract Year 2008).

 

A-1

 

For Contract Year 2010
of the Contract Term: A year end rebate up to a maximum of /**/ on MWI’s
Rimadyl sales out units plus /**/ on MWI’s Clavamox sales out units, calculated as follows:

 

For RIMADYL:

 

6)                                      /**/ on
sales out units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo if PFIZER attains PFIZER’s
overall Rimadyl growth target in sales in to all PFIZER customers for the
calendar year ended December 31, 2010 (such target to be determined at the
end of Contract Year 2009).

 

7)                                      /**/ on
sales out units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo for MWI providing data on
the percentage of market share that Rimadyl represents of MWI ‘s entire NSAID
business.

 

8)                                      /**/ on
sales out units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo for a ranking of MWI’s
sales representatives’ performance based on MWI’s sales out of Rimadyl.

 

9)                                      /**/ on
sales out of units of Rimadyl by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo for a ranking of MWI’s
sales representatives’ performance based on MWI’s sales out of MWI’s entire
NSAID business.

 

For CLAVAMOX:

 

10)                                /**/ on
sales out units of Clavamox by MWI calculated at the then current published
PFIZER Animal Health Ethical Distribution Price Memo if PFIZER attains PFIZER’s
overall Clavamox growth target in sales in to all PFIZER customers for the
calendar year ended December 31, 2010 (such target to be determined at the
end of Contract Year 2009).

 

A-2

 

Exhibit B

 

CUSTOM
MARKETING PROGRAM Funding

 

MWI may earn up to /**/
for each contract year (as defined in the body of this agreement) in Custom
Marketing Program (“CMP”) funds based on all purchases (Gross less returns) by
MWI of PFIZER Rimadyl, Clavamox, and Simplicef (Products”).

 

Programs that use these
funds must be discussed in advance with MWI’s PFIZER Account Executive,
submitted in writing to PFIZER’s Senior Director of Distribution and approved
in writing by PFIZER’s Senior Director of Distribution prior to the start of
the program. PFIZER shall have no obligation to pay MWI CMP funds if the
parties are unable to agree on the programs to be funded.

 

1.                                       To be
eligible for CMP funds, programs must include specific performance metrics and
specifics on total CMP funds to be spent in the program and how all CMP funds
would be spent. In no event will MWI be eligible to receive CMP funds in excess
of /**/ of purchases by MWI from PFIZER of Rimadyl, Clavamox, and Simplicef
based on their Contract Year 2009 and Contract Year 2010 purchases of Rimadyl,
Clavamox, and Simplicef from PFIZER.

 

2.                                       While MWI is
free to sell Product at such prices and on such terms as MWI agrees with its
customers, programs that result in a direct price decrease to the purchaser
will not be supported with CMP funds.

 

3.                                       ALL CMP’s
REQUIRE PROOF OF PERFORMANCE AND INVOICES AT PROGRAM CONCLUSION. No payment of
CMP funds will be made by PFIZER to MWI until all invoices and proof or
performance wrap-ups are submitted.

 

4.                                       All program
wrap-ups and invoices are to be submitted within forty-five (45) days of
completion of the program. Wrap ups and invoices for programs that run to year
end 2009 should be submitted no later than February 15, 2010 for payment.
Any invoices submitted to PFIZER after February 15, 2010 for 2009 programs
will be paid out of 2010 CMP funds, at PFIZER’s discretion. Wrap ups and
invoices for programs that run to year end 2010 should be submitted no later
than February 15, 2011 for payment. Programs will be paid by check or
credit memo.

 

B-1

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