Document:

ex_10-2.htm

                                                                      
Exhibit 10.2

     

    
      CHANGE
IN CONTROL AGREEMENTS

       

      Deloris
R. Duquette

      C.R.
Dwiggins, Jr.

      David
C. Godwin

      Steven
M. Helmbrecht

      John
W. Holleran

      Chuck
McAtee

      Philip
E. Mezey

      LeRoy
D. Nosbaum

      Jared
P. Serff

      Douglas
L. Staker 

      Malcolm
Unsworth

      Russell
E. Vanos

      Robert
W. Whitneyex_10-4.htm

    Exhibit
10.4

    

    TERMS
OF THE AMENDED AND RESTATED EQUITY GRANT PROGRAM FOR NONEMPLOYEE DIRECTORS UNDER
THE ITRON, INC. AMENDED AND RESTATED 2000 STOCK INCENTIVE PLAN

     

    (As
amended and restated December 4, 2007)

     

    The
following provisions set forth the terms of the amended and restated equity
grant program (the "Program") for nonemployee directors of Itron, Inc. (the
"Company") under the Itron, Inc. Amended and Restated 2000 Stock Incentive Plan
(the "Plan").  The following terms are intended to supplement, not
alter or change, the provisions of the Plan, and in the event of any
inconsistency between the terms contained herein and in the Plan, the Plan shall
govern.  All capitalized terms that are not defined herein shall be as
defined in the Plan.

    
      	
               

              1.Eligibility

            

    

    Each
elected or appointed director of the Company who is not otherwise an employee of
the Company or a Related Corporation (an "Eligible Director") shall be eligible
to receive Awards under the Plan, as described below.

    
      	
               

              2.Initial
      Grants

            

    

    (a)           A
Nonqualified Stock Option to purchase 5,000 shares of the Company's Common Stock
shall be granted to each Eligible Director upon such Eligible Director's initial
election or appointment to the Board (each, an "Initial Grant").

    (b)          Initial
Grants shall vest and become exercisable in equal annual installments over three
years from the Grant Date, assuming continued service on the Board during such
period.

    
      	
               

              3.Annual
      Grants

            

    

    (a)           Commencing
on January 1, 2008, each Eligible Director shall automatically received a
Nonqualified Stock Option to purchase 1,000 shares of Common Stock on or about
January l of each year. (This could also be stated as first trading day of the
year).

    (b)           Annual
Grants shall be fully vested and exercisable on the Grant Date.

    
      	
               

              4.Retainer
      Grants

            

    

    Each
Eligible Director shall automatically receive, on the first regular trading day
of January and July of each year, a Stock Award for that number of shares of the
Company's Common Stock having a value equal to $15,000, based on the Fair Market
Value of such shares on the applicable Grant Date, with any fractional shares
rounded down to the nearest whole share.  Such Stock Awards shall not
be subject to forfeiture or vesting restrictions.

    
      	
               

              5.Chairman
      of the Board and Committee Chair
Grants

            

    

    In
addition to the foregoing Option and Stock Award grants, immediately following
each year's Annual Meeting of Shareholders, the Chairman of the Board, provided
such Chairman is an "Independent Director" as defined in the Company's Corporate
Governance Guiding Principles then in effect, including any successor document
or amendments thereto, and the chair of each committee of the Board shall each
receive an additional Stock Award for that number of shares of the Company's
Common Stock having a value equal to $5,000, based on the Fair Market Value of
such shares on the Grant Date, with any fractional shares rounded down to the
nearest whole share.  Such Stock Awards shall not be subject to
forfeiture or vesting restrictions.

    
      	
               

              6.Option
      Exercise Price

            

    

    The
exercise price of an Option shall be the Fair Market Value of the Common Stock
on the Grant Date.

    
      	
               

              7.Manner
      of Option Exercise

            

    

    An Option
shall be exercised by giving the required notice to the Company, stating the
number of shares of Common Stock with respect to which the Option is being
exercised; provided, however, that no fewer than 100 shares (or the
remaining shares then purchasable under the Option, if less than
100 shares) may be purchased upon any exercise of an Option hereunder and
that only whole shares will be issued pursuant to the exercise of any
Option.  The notice shall be accompanied by payment in full for such
Common Stock, which payment may be in whole or in part (a) in cash or
check, (b) in shares of Common Stock owned by the Eligible Director for at
least six months having a fair market value on the day prior to the exercise
date equal to the aggregate option exercise price, or (c) by delivery of a
properly executed exercise notice, together with irrevocable instructions to a
broker, to promptly deliver to the Company the amount of sale or loan proceeds
to pay the exercise price, all in accordance with the regulations of the Federal
Reserve Board.

    
      	
               

              8.Term
      of Options

            

    

    Each
Option shall expire ten years from the Grant Date thereof, but shall be subject
to earlier termination as follows:

    (a)           In
the event that an Eligible Director ceases to be a director of the Company for
any reason other than the death of the Eligible Director, the unvested portion
of any Option granted to such Eligible Director shall terminate automatically
and the vested portion of the Option may be exercised by the Eligible Director
only within one year after the date he or she ceases to be a director of the
Company or prior to the date on which the Option expires by its terms, whichever
is earlier.

    (b)           In
the event of the death of an Eligible Director, whether during the optionee's
service as a director or during the one-year period referred to in
Section 7(a), the unvested portion of the Option granted to such Eligible
Director shall terminate automatically and the vested portion of the Option may
be exercised only within one year after the date of death of the Eligible
Director or prior to the date on which the Option expires by its terms,
whichever is earlier, by the personal representative of the Eligible Director's
estate, the person(s) to whom the Eligible Director's rights under the Option
have passed by will or the applicable laws of descent and distribution, or the
beneficiary designated pursuant to the Plan.

    
      	
               

              9.Amendment

            

    

    The Board
may amend the provisions contained herein in such respects as it deems
advisable.  Any such amendment shall not, without the consent of the
Eligible Director, impair or diminish any rights of an Eligible Director or any
rights of the Company under an Option.

    Provisions
of the Plan (including any amendments) that were not discussed above, to the
extent applicable to Eligible Directors, shall continue to govern the terms and
conditions of Awards granted to Eligible Directors pursuant to this
Program.ex_10-8.htm

                                                                      
Exhibit 10.8

     

    
      INDEMNIFICATION
AGREEMENTS

       

      MariLyn
R. Blair

      Michael
B. Bracy

      Robert
M. Burks, Jr.

      Ted
C. DeMerritt

      Deloris
R. Duquette

      C.R.
Dwiggins, Jr.

      Kirby
A. Dyess

      Larry
H. Eggleston

      Jon
E. Eliassen

      Charles
H. Gaylord

      Thomas
S. Glanville

      Steven
M. Helmbrecht

      John
W. Holleran

      Chuck
McAtee

      Philip
C. Mezey

      Sharon
L. Nelson

      LeRoy
D. Nosbaum

      Carl
W. Porter

      Gary
E. Pruitt

      Jared
P. Serff

      Douglas
L. Staker

      Malcolm
Unsworth

      Russell
E. Vanos

      Robert
W. Whitney

      Graham
M. Wilsonexhibit10_6.htm

    
       

      
        
          
          

          ***
            Confidential treatment requested on certain portions of this exhibit.
            An
            unredacted version of this agreement has been filed separately with the
            Securities and Exchange Commission.

        

      

       

      Exhibit
        10.6

      

      AVAIL
        MEDICAL PRODUCTS, INC. & KCI MANUFACTURING

      TOLL
        MANUFACTURING
        AGREEMENT

       

      This
        Toll Manufacturing Agreement (this
        "Agreement") is entered into as of December 14, 2007, by and between on the
        first part KCI Manufacturing, a company incorporated under the laws of Ireland,
        with an address of Athlone Business & Technology Park, Garrycastle, Athlone,
        Co. Westmeath, Ireland ("KCI Manufacturing") and on the second part Avail
        Medical Products, Inc., a Delaware corporation with principal offices at
        1600
        Wells Fargo Tower, 201 Main Street, Fort Worth, Texas 76102 (collectively
        "Avail").  This Agreement will be effective as of November 30, 2007
        (the "Effective Date").  Either Avail or KCI Manufacturing may be
        referred to herein as a “Party” or collectively as the “Parties.”

      

      WITNESSETH

       

      WHEREAS,
        KCI Manufacturing is
        the beneficial owner or licensee of certain manufacturing process technology
        used in the design and manufacture of negative pressure wound therapy devices,
        related disposables and other elements of high quality wound care methods
        and
        systems;

       

      WHEREAS,
        KCI Manufacturing
        wishes to have Avail procure raw materials for and on behalf of KCI
        Manufacturing (the “Procurement Services”) and perform processing services (the
“Processing Services”) to transform such raw materials into finished products
        and Avail wishes to perform the Procurement Services and the Processing Services
        for KCI Manufacturing in accordance with the terms of this
        Agreement;

       

      NOW,
        THEREFORE, in
        consideration of the premises and the mutual covenants contained herein and
        other good and valuable consideration, the sufficiency of which is hereby
        acknowledged, it is agreed by and between KCI Manufacturing and Avail
        (collectively, the "Parties"), for the mutual benefit of Avail and KCI
        Manufacturing, as follows:

       

      1. Definitions.  It
        is understood that words and phrases set out in quotation marks in this
        Agreement (often within parentheses) constitute defined terms.  Absent
        a very clear expression otherwise, the definitions of defined terms of this
        Agreement shall be consistent for all purposes of this Agreement, irrespective
        of whether inconsistent definitions are given for the same or similar terms
        in
        other documents.  The term "includes" (and conjugates thereof) shall
        always be understood to mean "includes, without limitation," (or the like)
        unless expressly stated otherwise herein.

       

      
        	
                (a)  

              	
                Affiliate.  The
                  term “Affiliate” means, with respect to a Party, any company, partnership,
                  joint venture, or other entity that directly or indirectly Controls,
                  is
                  Controlled by, or is under common Control with such
                  Party.  “Control” or “Controlled by” shall mean ownership of
                  fifty percent (50%) or more of the voting stock or the power to
                  direct or
                  cause the direction of the management and policies of the controlled
                  entity, whether through the ownership of voting securities, by
                  contract or
                  otherwise.

                 

              

      

      
        	
                (b)  

              	
                Products.  The
                  term "Products" in this Agreement shall mean all sterile disposable
                  products for use with vacuum assisted wound closure therapy currently
                  (as
                  of the Effective Date) being marketed worldwide by KCI Manufacturing,
                  which are listed as integrated SKUs on Exhibit
                  A.  Raw Materials procured by Avail for and on behalf of
                  KCI Manufacturing as set forth on Exhibit
                  B shall
                  not be considered “Products” as that term is used in this
                  Agreement.  The Products shall not include any new products that
                  differ from the Products listed on Exhibit
                  A (i)
                  in terms of materials or manufacturing processes used, (ii) in
                  form, fit
                  or function, or (iii) because they assist in the delivery of vacuum
                  assisted therapy together with other different therapies (such
                  new
                  products being referred to herein as “Different
                  Products”).  Upon mutual written agreement by the Parties,
                  Different Products may be added to Exhibit
                  A
                  (together with any pricing or other information that may be necessary)
                  and
                  shall become Products for purposes of this Agreement.  The
                  Parties will cooperate in good faith to make such amendments to
Exhibit
                  A as
                  are required to comport with changes to the Product Specifications
                  (defined hereinafter).

                 

              

      

      
        	
                (c)  

              	
                Product
                  Specifications. The term “Product Specifications” means any and all
                  designs, drawings, blueprints, formulations, models, specifications,
                  quality standards, techniques, processes, performance data, manufacturing
                  data and procedures, know-how and other technical information relating
                  to
                  the design, production/manufacture, packaging and labeling, and/or
                  operation of the Products, which are provided by KCI Manufacturing
                  to
                  Avail for the purpose of producing/manufacturing the Products pursuant
                  to
                  this Agreement.

                 

              

      

      
        	
                (d)  

              	
                Raw
                  Materials.  The term "Raw Materials" means all raw
                  materials and other component parts procured, manufactured, or
                  used by
                  Avail in the Processing Services for the Products, as listed on
Exhibit
                  B.  Upon mutual written agreement by the Parties, other
                  Raw Materials may be added to Exhibit
                  B
                  (together with any pricing or other information that may be necessary)
                  and
                  shall become “Raw Materials” upon the mutual written agreement of the
                  Parties.  The Parties will cooperate in good faith to make such
                  amendments to Exhibit
                  B as
                  are required to comport with changes to the Product
                  Specifications.

                 

              

      

      2. License.  KCI
        Manufacturing hereby grants to Avail, and Avail hereby accepts, a limited,
        non-exclusive, non-transferable, royalty-free license to use all patents,
        copyrights, designs, trademarks, service marks, trade names, trade dress,
        design
        rights, data, manufacturing processes, domain names, know-how, trade secrets,
        and other proprietary rights owned or licensed by KCI Manufacturing, and
        all
        applications and registrations therefore, which pertain to the Products or
        any
        discovery, invention, idea or other concept created, developed or conceived
        in
        connection with or relating to the Products (the "Intellectual Property
        Rights"), in each case for the sole and exclusive purpose of performing the
        Processing Services for KCI Manufacturing in accordance with the Product
        Specifications and subject to the terms and conditions of this
        Agreement.  KCI Manufacturing hereby warrants that it holds adequate
        and sufficient rights, title or interest to the Intellectual Property Rights
        as
        necessary to grant the foregoing license to Avail.  Any termination of
        this Agreement shall immediately terminate all rights granted to Avail by
        KCI
        Manufacturing.

       

      3. Exclusivity
        Period.  The Parties agree that there shall exist, under this
        Agreement, certain exclusivity between the Parties as regards the Products,
        for
        the period of time commencing on the Effective Date and, unless this Agreement
        is sooner Terminated or Converted With Cause (as defined herein), ceasing
        [***].  The Exclusivity Period shall be extended each time the term of
        this Agreement is extended in accordance with Section 22.  In the
        event this Agreement is Terminated or Converted With Cause during the
        Exclusivity Period, then the Exclusivity Period shall immediately cease as
        of
        such termination or conversion.

       

      4. Exclusivity
        Terms.

       

      
        	
                (a)  

              	
                Absent
                  a written contrary agreement between the Parties, which both Parties
                  represent does not exist as of the Effective Date [***] shall be
                  deemed
                  "Exclusive Products."  In the event KCI Manufacturing develops
                  Different Products (as defined in Section 1 above), such Different
                  Products shall not be Products without express agreement by KCI
                  Manufacturing designating such Different Products to be
                  Products.  In the Parties’ mutual spirit of goodwill and
                  cooperation contemplated by this Agreement, unless KCI Manufacturing
                  is
                  contractually prevented from doing so by a confidentiality agreement
                  or
                  other written agreement that expressly bars KCI Manufacturing from
                  doing
                  so, KCI Manufacturing agrees to disclose to Avail the details of
                  the
                  Different Products and manufacturing plans for them, and to grant
                  Avail
                  the opportunity to submit proposals for the Processing Services
                  related to
                  such Different Products in sufficient time prior to KCI Manufacturing’s
                  commencement of the manufacture thereof, or marketing launch of
                  the
                  Different Products by KCI Manufacturing, for Avail to adequately
                  prepare
                  and for KCI Manufacturing to analyze such proposal.  Throughout
                  the Exclusivity Period and thereafter for a period of thirty-six
                  (36)
                  months, Avail agrees to not manufacture or sell any products or
                  components
                  that are either adapted for, or reasonably likely to be used in,
                  vacuum
                  assisted wound closure therapy ("Similar Products") to or for any
                  customer
                  other than KCI Manufacturing.  Moreover, Avail represents and
                  covenants that each of its managerial, supervisory, development
                  or
                  engineering employees involved in the manufacture of Products are
                  bound or
                  shall be bound by terms that obligate such employees to not to
                  be involved
                  in the production or distribution of Similar Products during the
                  Exclusivity Period and for a period of thirty-six (36) months thereafter
                  unless this agreement is terminated by Avail as a result of an
                  Event of
                  Default or this Agreement is terminated by KCI Manufacturing without
                  cause
                  in which case such period shall be twelve months.  Subject to
                  Section 4(b) below, throughout the Exclusivity Period, KCI Manufacturing
                  agrees obtain Products exclusively with Avail for Processing
                  Services.

                 

              

      

      
        	
                (b)  

              	
                Notwithstanding
                  the foregoing, KCI Manufacturing shall have the right to manufacture
                  and
                  commercialize the Products in unlimited quantities and for any
                  purpose,
                  conditioned upon [***].  In such event, Avail agrees to continue
                  providing the Processing Services with respect to all Products
                  ordered by
                  KCI Manufacturing.  The exercise by KCI Manufacturing of its
                  rights under this Section 4(b) shall not be deemed a conversion
                  of this
                  Agreement under Section 22.

                 

              

      

      5. Procurement
        and Processing
        Services; Specifications; Passage of Title; Quality.

       

      
        	
                (a)  

              	
                Purchase
                  of
                  Procurement Services.  Pursuant to the terms and
                  conditions of this Agreement, KCI Manufacturing hereby engages
                  Avail to
                  provide the Procurement Services, for a fee, to procure on behalf
                  of KCI
                  Manufacturing the Raw Materials in quantities to be specified by
                  KCI
                  Manufacturing.  In consideration for the fee paid by KCI
                  Manufacturing for the purchases set forth in this Section (the
                  “Procurement Services Fee” and as more fully defined herein) Avail agrees
                  to: (i) provide such Procurement Services to or for KCI Manufacturing;
                  (ii) drop-ship the procured Raw Materials to Avail’s Mexican processing
                  facility in such manner as may be directed by KCI Manufacturing
                  in
                  writing; and (iii) thereafter promptly notify KCI Manufacturing
                  with
                  confirmation that such Raw Materials have been properly delivered
                  by Avail
                  to Avail’s Mexican facilities.  The Parties further agree that
                  title, risk of loss, and insurable interest to the Raw Materials
                  shall be
                  transferred to KCI Manufacturing in Mexico when the Raw Materials
                  are
                  “Delivered at Frontier” ("DAF", INCOTERMS 2000) to the Mexican frontier
                  (i.e., both after exiting the territory of the United States and
                  after
                  clearing the customs border of the United States) by
                  Avail.  Avail shall arrange for Mexican customs clearance and
                  pay for transportation from the frontier to Avail’s Mexican processing
                  facility; all costs incurred by Avail in arranging for Mexican
                  customs
                  clearance, including the recordation, creation and reconciliation
                  of
                  pedimentos, shall be part of the Procurement Services Fees (as
                  defined
                  herein).  Once title to the Raw Materials has passed to KCI
                  Manufacturing, Avail shall have no legal rights to the Raw Materials,
                  and,
                  without limitation, shall not pledge the Raw Materials as security
                  for
                  debts, liens, tax liens or other encumbrances, and shall not dispose
                  of
                  the Raw Materials without the express authorization of KCI
                  Manufacturing.  KCI Manufacturing shall pay Avail for the costs
                  of any export/import pedimentos assessed against or incurred by
                  Avail
                  arising from Avail’s providing the Procurement Services.

                 

              

      

      
        	
                (b)  

              	
                Purchase
                  of Processing
                  Services.  Pursuant to the terms and conditions of this
                  Agreement, KCI Manufacturing agrees to pay for and purchase, from
                  Avail,
                  Processing Services necessary to transform the Raw Materials delivered
                  to
                  Avail’s Mexican processing facility into Products in quantities to be
                  specified by KCI Manufacturing in accordance with the terms and
                  conditions
                  of this Agreement.  In consideration for payments made by KCI
                  Manufacturing for the services as set forth in this Section (the
                  “Processing Services Fee” and as more fully defined herein), Avail agrees
                  to (i) provide such Processing Services to KCI Manufacturing in
                  accordance
                  with KCI Manufacturing’s Product Specifications; (ii) drop-ship such
                  Products to the destination specified in writing by the KCI Manufacturing;
                  and (iii) thereafter, promptly notify KCI Manufacturing with confirmation
                  that such Products have been properly shipped by Avail.  Subject
                  to the Product Specifications, Avail is hereby authorized to perform
                  all
                  acts Avail deems appropriate to render the Processing Services
                  and perform
                  its duties under this Agreement without KCI Manufacturing’s prior
                  approval, unless such approval is otherwise expressly required
                  under this
                  Agreement Title to the Raw Materials, work in process and Products
                  shall
                  remain with KCI Manufacturing until the Products are shipped by
                  Avail in
                  accordance with Section 24 of this Agreement.

                 

              

      

      
        	
                (c)  

              	
                Purchase,
                  Use and
                  Maintenance of Equipment.

                 

              

      

      (i)  KCI
        Equipment.  As part of this agreement, and the Parties’
performance hereunder, the Parties agree that certain equipment leased,
        owned,
        possessed or procured by KCI Manufacturing may be transferred or delivered
        to
        Avail by KCI Manufacturing solely for purposes of Avail performing the
        Processing Services (“KCI
        Equipment”).  KCI Equipment shall also include any Equipment
        acquired by Avail for KCI Manufacturing, at KCI Manufacturing’s cost, during the
        term hereof, and of which Avail shall retain possession for purposes of
        performing the Processing Services.  Equipment acquired by Avail
        solely for the purpose of manufacturing Products of KCI Manufacturing shall
        be
        deemed to be KCI Equipment, subject to the application of this Section.

       

      (ii)
        Avail
        Equipment.  Avail may utilize certain of its equipment owned
        and possessed by Avail prior to the Effective Date, or acquired by Avail
        during
        the term hereof (“Avail
        Equipment”).  Avail may utilize any Avail Equipment for
        manufacture of products for other of Avail’s customers coincident with the use
        for manufacturing the Products, unless otherwise agreed in writing.

       

      (iii)
        Procurement of
        Equipment by Avail.  Avail may procure Equipment for or on
        behalf of KCI Manufacturing according to specifications provided by KCI
        Manufacturing, at the direction of KCI Manufacturing, and subject to
        reimbursement from KCI Manufacturing for such procurement; such reimbursement
        shall be by direct payment by KCI Manufacturing to Avail, upon invoicing
        by
        Avail.  Upon possession by Avail, the procured Equipment shall be
        deemed KCI Equipment, and shall be subject to the terms herein related to
        KCI
        Equipment.

       

      (iv)
        Transfer of KCI
        Equipment.  In the circumstance that KCI Manufacturing shall
        transfer KCI Equipment to Avail as part of the Parties’ performance hereunder,
        the Parties shall agree to a written Transfer Plan. A “Transfer Plan” is a
        written document, ancillary to but made a part hereof by reference, describing
        the specific manner in which Avail may take possession, transfer and place
        such
        KCI Equipment in operation at Avail’s
        facilities  Notwithstanding,  KCI Manufacturing shall retain
        all of its rights in and to the KCI Equipment.

       

      (v)
Use
        and Maintenance of KCI
        Equipment.  Avail shall not use the KCI Equipment for any
        purpose other than the Processing Services.  Avail shall maintain the
        KCI Equipment in good working order by utilizing generally accepted preventive
        maintenance processes and procedures.  Avail shall be responsible for
        damage to or loss of the KCI Equipment while in Avail’s possession, other than
        normal wear and tear, arising from Avail’s negligence.  KCI
        Manufacturing is responsible for (a) any KCI Equipment failures that result
        from
        KCI Equipment design or malfunction (other than malfunctions caused by Avail’s
        failure to maintain the KCI Equipment properly); (b) replacement of any of
        the
        KCI Equipment during the term hereof for any reason other than the abuse,
        mishandling or negligence of Avail; and, (c) for all reasonable costs incurred
        by Avail for maintaining the KCI Equipment, and shall remit such costs upon
        invoicing by Avail.  Avail shall be responsible for the safekeeping,
        maintenance and protection of the Equipment while in its possession, including
        protection from theft, fire, environmental or other potential means of
        destruction.

       

      (vi)  Representations
        regarding
        KCI Equipment.  Any of the KCI Equipment utilized by Avail in
        rendering the Processing Services, which are transferred to Avail from KCI
        Manufacturing, shall perform in accord with representations made in writing
        to
        Avail by KCI Manufacturing prior to the transfer regarding the condition
        and
        efficiency of the KCI Equipment transferred. Avail may rely upon such
        representations in the pricing of the Processing Services, to the extent
        that
        such pricing depends upon the conformance of the KCI Equipment to such
        representations.  If the KCI Equipment does not function in accordance
        with such representations, as Avail’s sole remedy for any breach of such
        representations, the parties agree to cooperate in good faith to adjust the
        pricing an any specified Processing Services impacted by the non-conforming
        KCI
        Equipment to the extent and in proportion to any lost efficiencies or increased
        costs caused by non-conforming KCI Equipment; or otherwise to procure conforming
        equipment as described elsewhere in this Agreement.  Avail does not
        warrant the functionality,
        suitability
        and operability of any KCI Equipment, whether transferred from KCI Manufacturing
        or procured
        by Avail on behalf of KCI Manufacturing.

       

      
        	
                (d)  

              	
                Product
                  Specifications.  From time to time during the term of
                  this Agreement, KCI Manufacturing shall provide Avail with data
                  and
                  documents embodying all of the Product Specifications required
                  for Avail’s
                  performance of the Processing Services.  The term "Product
                  Specifications" in this Agreement shall mean and include any and
                  all
                  designs, drawings, blueprints, formulations, models, specifications,
                  quality standards, techniques, processes, performance data, manufacturing
                  data and procedures, know-how and other technical information relating
                  to
                  the design, production/manufacture and/or operation of the Products,
                  which
                  are provided by KCI Manufacturing to Avail for the purpose of
                  producing/manufacturing the Products pursuant to this Agreement,
                  including
                  any changes to the Products.

                 

              

      

      
        	
                (e)  

              	
                Improvements
                  and
                  Modifications.  KCI Manufacturing may, in its sole
                  discretion, advise Avail in writing of changes in the design or
                  specifications of any of the Products, including the addition of
                  new
                  features or capacities (“Improvements and Modifications”) to the Products
                  that are owned, developed by or licensed to, KCI Manufacturing
                  during the
                  term of this Agreement.  KCI Manufacturing and Avail shall
                  jointly determine the feasibility of utilizing such Improvements
                  and
                  Modifications in the performance of Processing Services with respect
                  to
                  the Products.  Avail shall also provide to KCI Manufacturing all
                  costs which may be incurred by Avail in its implementation of the
                  proposed
                  Improvements and Modifications, including both capital costs and
                  changes
                  to costs in delivering Processing Services.  If the Parties
                  agree that it is feasible and desirable to use such Improvements
                  and
                  Modifications, and KCI Manufacturing accepts the cost changes submitted
                  by
                  Avail, then KCI Manufacturing shall provide to Avail: (i) KCI
                  Manufacturing’s approval of the costs and authorization for Avail to incur
                  such costs, and (ii) a data package which shall include all of
                  the Product
                  Specifications required by Avail to incorporate all such Improvements
                  and
                  Modifications into the Products, and thereafter Avail shall utilize
                  all
                  such Improvements and Modifications in the performance of the Processing
                  Services related to the Products.  Any Improvements and
                  Modifications shall be become effective prospectively at such time
                  as the
                  Parties agree.

                 

              

      

      
        	
                (f)  

              	
                Deviation
                  from
                  Specifications.  Avail must give written notice to KCI
                  Manufacturing and receive approval from KCI Manufacturing prior
                  to
                  deviating from the Product Specifications.  Such notice shall
                  provide, in reasonable detail, the reasons for any such
                  deviation.  KCI Manufacturing may direct Avail to deviate from
                  the Product Specification provided that KCI Manufacturing (i) protects
                  Avail from any costs incurred as a result of such deviation; and
                  (ii)
                  protects Avail from and against the violation of any regulations
                  or laws
                  arising from such deviation.  To the extent that such deviation
                  from the Product Specifications constitutes an Improvement and
                  Modification that results in a reduction in the cost of Processing
                  Services, then the terms of Section 5(e) shall apply.

                 

              

      

      
        	
                (g)  

              	
                Production.  Avail
                  may employ: (i) its existing processing processes, (ii) adopt KCI
                  Manufacturing’s manufacturing processes licensed to Avail as part of the
                  Intellectual Property Rights, or (iii) establish or utilize its
                  own
                  production methods ((i) and (iii) collectively being the “Avail Production
                  Methods”) as the Parties may agree. Avail shall retain all rights and
                  interests in and to the Avail Production Methods, and grants to
                  KCI
                  Manufacturing a perpetual, paid-up, non-exclusive, license to make,
                  have
                  made, use, and sell products manufactured using the Avail Production
                  Methods at no cost to KCI Manufacturing.  Such license shall be
                  sublicensable to affiliates and manufacturers of KCI Manufacturing
                  for the
                  purpose of manufacturing products of KCI Manufacturing or such
                  affiliates.  Avail shall not be obligated to produce for or
                  deliver to KCI Manufacturing any quantity of Products in excess
                  of the
                  capacity of the manufacturing equipment used by Avail in providing
                  the
                  Processing Services (either KCI Equipment or Avail Equipment) or
                  in excess
                  of that which can be accommodated by Avail’s facilities.  Other
                  than as provided in Section 5(c) herein, Avail shall not change
                  or modify
                  the Products at any time without KCI Manufacturing’s prior
                  approval.  Avail shall utilize Avail Equipment or KCI Equipment
                  in a manner suitable to the production of Products that meet the
                  Product
                  Specifications.  Should Avail identify additional Equipment that
                  it deems necessary for the proper rendering of Processing Services,
                  it
                  shall notify KCI Manufacturing of such need, in writing.  Upon
                  agreement of the Parties that such additional Equipment should
                  be
                  procured, Avail shall procure such Equipment which shall be deemed
                  KCI
                  Equipment; the procurement of such KCI Equipment shall be handled
                  in
                  accord with Section 5(c)(iii).

                 

              

      

      
        	
                (h)  

              	
                Inspection.  Upon
                  at least two (2) days’ prior written notice and during Avail’s regular
                  hours of business, KCI Manufacturing (or its representatives) shall
                  have
                  the right to (a) inspect work in progress to determine the adequacy
                  of
                  production methods and equipment employed by Avail; and (b) conduct
                  spot
                  inspections of finished Products to verify that the Products have
                  been
                  manufactured in accordance with the Product Specifications (collectively,
                  “Inspections”).  Inspections may be conducted only at the
                  production facilities or the storage facilities of Avail, or at
                  the point
                  of loading. All representatives of KCI Manufacturing conducting
                  above
                  inspections shall comply with all applicable safety and security
                  rules of
                  Avail.  Subject to the above conditions and on the written
                  request of KCI Manufacturing, Avail shall also grant access to
                  Avail’s
                  facilities to customers of KCI Manufacturing’s Affiliates (or their
                  representatives) who wish to carry out an audit of the Avail’s facilities
                  and the Products (i.e. for the purpose of the certification of
                  same). If
                  KCI Manufacturing identifies any shortcomings in Avail’s manufacturing
                  processes that result in Product being produced by Avail that does
                  not
                  meet the Product Specifications, then KCI Manufacturing may issue
                  a notice
                  to Avail regarding changes to Avail’s manufacturing processes. Avail shall
                  implement any changes identified by KCI Manufacturing as changes
                  necessary, and which can be objectively determined to bring the
                  Products
                  into conformance with the Product Specifications.  All
                  representatives of KCI Manufacturing conducting such inspections
                  shall
                  comply with all of Avail’s applicable safety and security
                  rules.  Subject to the above conditions and on the request of
                  KCI Manufacturing, Avail shall also grant access to Avail’s facilities to
                  customers of KCI Manufacturing’s Affiliates (or their representatives) to
                  carry out an audit of the Avail’s facilities and the Products (i.e. for
                  the purpose of the certification of same), provided that KCI Manufacturing
                  protects Avail from any associated costs incurred.

                 

              

      

      
        	
                (i)  

              	
                Testing.  At
                  its expense, KCI Manufacturing may require Avail to provide samples
                  of
                  Products for random testing.  The samples may be of finished
                  Products or of Products at intermediate stages of
                  production.  The finished Products shall be tested by Avail in
                  accordance with procedures established by the Parties from time
                  to time,
                  in a written protocol.  To the extent that Avail’s costs
                  incurred for such testing is not a cost not included in the pricing
                  structure made a part hereof, then KCI Manufacturing shall reimburse
                  Avail
                  for all such costs.  KCI Manufacturing shall design all Product
                  tests and testing equipment, and shall, at its own expense, provide
                  Avail
                  with all testing equipment, technical instruction and information
                  necessary for the performance of Product testing.  Such testing
                  equipment shall be treated as KCI Equipment, unless the Parties
                  agree
                  otherwise.

                 

              

      

      
        	
                (j)  

              	
                Processing
                  Services
                  Approval.  Avail shall obtain written approval and
                  revised Product Specifications from KCI Manufacturing before commencing
                  any Processing Services for the production of Products added to
                  the
                  listing of Products on Exhibit A as of the Effective  Date, or
                  Products which have been subject to an approved  change in the
                  manufacturing process.

                 

              

      

      
        	
                (k)  

              	
                Product
                  Orders.  From time to time, and as set forth herein, KCI
                  Manufacturing shall deliver to Avail purchase orders for the Products
                  in
                  accord with Section 6 hereof.  Avail shall arrange for the
                  shipment and insurance of such Products, on behalf of and as directed
                  by
                  KCI Manufacturing.  Orders for Product, including Shipment
                  Orders, shall placed by KCI Manufacturing and fulfilled by Avail
                  in accord
                  with Section 6 herein.

                 

              

      

      
        	
                (l)  

              	
                Title
                  and Risk of
                  Loss.  Subject to the terms and conditions of this
                  Agreement, once KCI obtains title and risk of loss to the Raw Materials
                  pursuant to Section 5(a), KCI Manufacturing shall have and retain
                  title to
                  all Raw Materials and Products throughout each stage of production
                  and at
                  no time shall any right, title, or interest in the Raw Materials
                  or
                  Products vest in or transfer to Avail.  KCI Manufacturing shall
                  bear all risk of loss arising from the manufacture, sale, transportation,
                  storage, handling, or other use of Products and Raw Materials,
                  including
                  all parts, components, and materials comprising the Products, Raw
                  Materials and components, from any cause whatsoever other than
                  any loss
                  resulting from the negligence or willful misconduct of
                  Avail.  Without limiting the generality of the foregoing, KCI
                  Manufacturing shall bear all risk of loss relating to or arising
                  from
                  delinquencies, defaults, insolvencies of suppliers and third-party
                  claims
                  relating to the Products and sales thereof.

                 

              

      

      
        	
                (m)  

              	
                Subcontracting.  Avail
                  shall be entitle to subcontract all of its obligations under this
                  Agreement, and to assign its rights to collect fees from KCI Manufacturing
                  for such services rendered under a subcontracting arrangement,
                  to an Avail
                  subsidiary that is wholly owned and controlled by Avail, provided
                  that KCI
                  Manufacturing consents to such subcontracting arrangement and assignment
                  of rights to receive or collect remuneration.  Such consent
                  shall be in writing and shall not unreasonably be withheld.

                 

              

      

      6. Order
        Processing.  KCI Manufacturing forecast and shall place orders
        for Product in accord with the following:

       

      
        	
                (a)  
                  

              	
                Forecasts.  On
                  a quarterly basis, commencing with the Effective Date, and no later
                  than
                  the first day of every succeeding quarter of the term of this Agreement,
                  KCI Manufacturing shall deliver to Avail a written forecast of
                  KCI
                  Manufacturing’s expected requirements (i.e., expected quantities) for: (y)
                  Raw Materials and components which Avail shall procure in accord
                  with its
                  rendering of the Procurement Services (the “Procurement Forecast”). The
                  Procurement Forecast may be generated by KCI Manufacturing from
                  a
                  materials replenishment plan (“MRP”) provided by Avail and (z) finished
                  Products which Avail shall deliver to KCI Manufacturing as part
                  of Avail’s
                  rendering of the Processing Services (the “Processing Forecast”); KCI
                  Manufacturing may submit revised Procurement Forecasts or Processing
                  Forecasts at any time during any quarter, before such forecasts
                  are due
                  (an “Interim Forecast”); to the extent such Interim Forecasts modify an
                  extant forecast, Avail shall endeavor in good faith to meet the
                  request
                  for such change, but shall not be bound to such Interim Forecast.
                  

                 

              

      

      
        	
                (b)  
                  

              	
                Orders;
                  Shipment
                  Orders.  Coincident with the quarterly Procurement
                  Forecast and Processing Forecast, KCI Manufacturing shall submit
                  purchase
                  orders to Avail for the rendering of the Processing Services, detailing
                  the Product which Avail shall deliver to or on behalf of KCI Manufacturing
                  for the succeeding quarter (three months) (each, an
                  “Order”).  Each Order shall comport with the corresponding
                  Processing Forecast in the following manner: (i) the first month
                  of the
                  Order will reflect the exact quantity contained in the latest Processing
                  Forecast; (ii) the second month of the Order may vary from the
                  latest
                  Processing Forecast by no more than ten (10%) percent; (iii) the
                  third
                  month of the Order may vary from the latest Processing Forecast
                  by no more
                  than fifteen (15%) percent. From time to time, KCI Manufacturing
                  shall
                  issue to Avail an order for the shipping and delivery of Products
                  to or on
                  direction of KCI Manufacturing covered by an Order (each, a “Shipment
                  Order”).  Each Shipment Order shall be initiated by or under the
                  direction of KCI Manufacturing by means of a computerized system
                  that will
                  be networked between Avail and KCI Manufacturing; 

                 

              

      

      
        	
                (c)  
                  

              	
                Avail’s
                  Shipment of
                  Products.  Upon initiation of a Shipment Order within the
                  networked system, Avail shall thereupon ship the ordered Products
                  as
                  instructed, provided that the Shipment Order properly comports
                  with the
                  corresponding Order as set forth in Section 6(b); 

                 

              

      

      
        	
                (d)  
                  

              	
                Avail’s
                  Confirmation.  Promptly upon shipment of the ordered
                  Products, Avail shall confirm such shipment by means of entering
                  a
                  shipment confirmation in the networked system; 

                 

              

      

      
        	
                (e)  
                  

              	
                Avail’s
                  Invoicing.  Avail shall invoice KCI Manufacturing as
                  Avail incurs costs hereunder, as frequently as daily invoicing,
                  for
                  payment of Procurement Services Fees and Processing Services Fees
                  attributable to Products shipped. 

                 

              

      

      7. Stock
        Levels.  Avail agrees to maintain a supply of the
        following:

       

      
        	
                (a)  
                  

              	
                Raw
                  Materials and
                  components.  Avail shall manage inventory of Raw
                  Materials and components for use in the production of finished
                  Products
                  based upon the Procurement Forecast as may be updated in accord
                  with
                  Section 6(a); 

                 

              

      

      
        	
                (b)  
                  

              	
                Finished
                  Products.  As part of its performance hereunder, Avail
                  shall manage inventory of finished Product on behalf of KCI Manufacturing
                  based upon the Processing Forecast as may be updated in accord
                  with
                  Section 6(a); Avail shall also manage adequate inventory levels
                  on all
                  finished Products for immediate shipment of reasonably forecasted
                  quantities, with a reasonable amount of added safety stock, as
                  directed by
                  KCI Manufacturing and at KCI Manufacturing’s cost (“Product Stock”).
                  

                 

              

      

      
        	
                (c)  
                  

              	
                Product
                  Stock
                  Replenishment.  For Products destined for delivery within
                  the continental U.S., the Parties agree that the 3-5-7 Week Stock
                  Replenishment Rules constitute adequate Products Stock.  The
                  Parties also agree that following an initial stocking level of
                  eight (8)
                  weeks of usage, similar replenishment rules will be developed and
                  implemented for stock destined for delivery outside the continental
                  U.S.,
                  adjusted from the U.S. rules to allow for transportation
                  time.  The Parties agree to negotiate in good faith toward
                  developing such replenishment rules within 90 days of the Effective
                  Date;
                  barring agreement on such Rules, Avail shall maintain Product Stock
                  in
                  accord with this Section. 

                 

              

      

      8. Shipment.  Upon
        receipt of a Shipment Order, Avail shall timely drop-ship all the Products
        listed on the Shipment Order to the site(s) designated in the Shipment Order,
        in
        the manner indicated in the Shipment Order.  For shipments within the
        continental U.S., the term "Same-Day Deadline" shall mean three o'clock p.m.,
        Pacific Standard Time (3:00 p.m. PST), or such other reasonable deadline
        time as
        may be agreed in writing between the Parties. For purposes of this Section,
        the
        term “shipped” or “Shipment” shall mean that Avail has placed the Product
        detailed in the Shipment Order with the carrier as designated by KCI
        Manufacturing; timing associated with shipping and for determining Avail’s
        performance hereunder shall not include time expired following Avail’s placement
        of the Product with the carrier. All Products for which a Shipment Order
        is
        entered into the networked system and received by Avail prior to the Same-Day
        Deadline on any given business day shall be shipped that same day by Avail,
        in
        the manner required.  If, on the other hand, a Shipment Order is not
        entered into the networked system until after the Same-Day Deadline on any
        given
        business day, Avail shall not be required to ship the corresponding Products
        until the next business day.  Avail shall not confirm shipment of any
        Products until shipment has actually occurred.  Terms of shipment for
        international shipments will be agreed to by both Parties prior to initiating
        shipments from Avail’s Mexican facility.  Each shipment confirmation
        shall contain or refer to such information as may be required and as may
        be
        appropriate for such confirmation to meet the needs of KCI
        Manufacturing.  KCI Manufacturing shall be responsible for all freight
        expenses for Products sent outbound from Avail (or from an Avail agent or
        sub-contractor) to KCI Manufacturing customers pursuant to a Shipment
        Order.  In the event the terms of a purchase order or Shipment Order
        are not in accordance with any provisions of this Agreement and Avail has
        not so
        notified KCI Manufacturing of the nonconformance by the Same-Day Deadline
        on the
        next business day following Avail's receipt of such an order, then the terms
        of
        such order shall be deemed accepted by Avail.  Avail shall do all
        things reasonably required to facilitate processing of purchase orders,
        shipments, invoices and confirmations in such manner as may be requested
        by KCI
        Manufacturing.  KCI Manufacturing has the responsibility to pay any
        local taxes, including VAT in Europe, on the Products it receives from Avail
        when such taxes relate to the transfer of title for the Products.

       

      9. Delivery.  Consistent
        and predictable on-time delivery of the Products by Avail to KCI Manufacturing
        is of fundamental importance to this Agreement.  In Section 7, the
        Parties have established procedures and protocols to provide for minimum
        levels
        of finished goods inventory for the Products to be held by Avail.  As
        part of its performance hereunder, Avail agrees to the following:

       

      
        	
                (a)  

              	
                Manage
                  levels of both Raw Materials and Products as agreed by the Parties
                  herein;

                 

              

      

      
        	
                (b)  

              	
                Issue
                  to KCI Manufacturing written notice of any conditions that will
                  likely
                  result in a shortfall in Product inventories (as agreed herein),
                  and which
                  arise from: (i) quality of Avail-procured Raw Materials or components;
                  (ii) changes to Product Specifications.  Avail shall issue
                  notice to KCI Manufacturing within seventy-two (72) hours of identifying
                  such conditions that are likely to result in shortfalls or delays
                  in
                  Product manufacturing or inventories, regardless of when that Product
                  shortage is likely to occur (such conditions referred to as “Process
                  Impediments”). Upon receiving notice of a Process Impediment, KCI
                  Manufacturing shall work with Avail in good faith to implement
                  corrective
                  actions to mitigate or eliminate the Process Impediment.

                 

              

      

      10. Preventive
        and Corrective
        Actions.  Irrespective of the foregoing, the Parties shall
        negotiate in good faith to create methods of objectively measuring Avail’s
        timely performance of its obligations hereunder, to include the
        following

       

      
        	
                (a)  

              	
                Avail
                  shall develop a "Shipping Performance Report" and an "Inventory
                  Level
                  Report" reasonably acceptable to KCI Manufacturing that will be
                  published
                  monthly by Avail and provided to KCI Manufacturing.  The
                  Shipping Performance Report and the Inventory Level Report shall
                  include a
                  rolling six-month average of Avail’s performance, also identifying the
                  existence and impact of Process Impediments on Avail’s
                  performance.

                 

              

      

      
        	
                (b)  

              	
                If
                  the Shipping Performance Report and an Inventory Level Report objectively
                  identify a consistent negative change in Avail's performance in
                  Product
                  production or delivery, KCI shall request and KCI and Avail shall
                  attend a
                  meeting to work toward an agreed corrective action, which shall
                  be a
                  written agreement.  Failing such agreement, KCI Manufacturing
                  may provide notice of a ninety (90) day cure period as described
                  in
                  Section 21.

                 

              

      

      The
        provisions of this Agreement regarding the time within which Avail must deliver
        the Products are of the essence.  If a Shipment Order is within
        forecasted quantities and Avail fails to timely ship the ordered Products
        within
        [***] of the time required herein for shipping, then KCI Manufacturing shall
        receive a [***] discount on the price for such Product.  KCI
        Manufacturing shall also receive [***] the Product is shipped late, although
        such discounts shall not exceed an aggregate maximum discount of ten percent
        (10%).  The terms and conditions set forth in this section are in
        addition to and not in lieu of all rights and remedies otherwise provided
        by
        law.

       

      11. Procurement
        Services
        Fees..  KCI shall pay the Procurement Services Fee set forth in
        Exhibit B for the Procurement Services according to the terms of Section
        16.  Notwithstanding the foregoing, Exhibit B shall be modified at any
        time upon the Parties mutual written agreement to reflect any increases in
        the
        price of Raw Materials paid by Avail in rendering the Procurement
        Services.

       

      12. Processing
        Services
        Fees.  The Processing Services Fee paid to Avail is set forth
        on Exhibit A, on a Product-by-Product basis for each SKU (the “Processing
        Services Fee”).  The Parties agree to cooperate with respect to price
        changes to the Processing Services Fee, as described in Section
        23.  Increases in the Processing Services Fee shall not exceed [***]
        over any applicable period, except where any increase in such price is caused
        by
        a change in the Product Specifications made by KCI Manufacturing.

       

      13. Price
        Reductions.  At least annually, an no later than the successive
        anniversary dates of the Effective Date, the Parties shall jointly review
        Procurement Services Fee (and related costs of Raw Materials) and Processing
        Services Fee to determine if it the Parties can achieve a reduction in either
        or
        both such fees in response to changes to design, materials, manufacturing
        processes, production volumes or market conditions.  This pricing
        review will be mutually undertaken in accordance with Section 23 of this
        Agreement.

       

      14. Logistics.  Avail's
        facility in Tijuana, Mexico will be the primary manufacturing site for the
        Products.

       

      15. Annual
        Payment [***]
        For purposes of this Section, a “Contract Year” shall constitute the period
        commencing on December 1 of any year during the term hereof and include the
        subsequent calendar year.  The Initial Contract year shall commence on
        December 1, 2007 and end on November 30, 2008. [***] 

       

      16. Payment.  KCI
        Manufacturing shall pay the Procurement Services Fee and Processing Services
        Fee
        within fifteen (15) days of the receipt of invoice.  Invoices shall be
        delivered promptly to KCI Manufacturing, Athlone Business & Technology Park,
        Garrycastle, Athlone, Co. Westmeath, Ireland or to such other address as
        may be
        designated by KCI Manufacturing.  KCI Manufacturing shall issue
        payment to Avail by means of wire transfer, according the instructions provided
        to KCI Manufacturing in writing.  Payment shall be deemed as received
        upon deposit of funds into Avail’s account.

       

      
        	
                (a)  
                  

              	
                Credit
                  Limit;
                  Remedies.  Avail reserves the right to establish a credit
                  limit for outstanding amounts owed and unpaid by KCI Manufacturing
                  hereunder, and amounts incurred by Avail in performance hereunder
                  whether
                  or not yet payable by KCI Manufacturing, whether or not such amounts
                  are
                  in arrears (“Credit Limit”).  Avail shall establish the Credit
                  Limit in accord with its ordinary practices, and may consider factors
                  external to the terms of this Agreement in establishing or revising
                  the
                  Credit Limit, including information which KCI Manufacturing may
                  provide
                  regarding its financial condition The initial Credit Limit shall
                  be
                  established on or before the Effective Date; Avail shall promptly
                  notify
                  KCI Manufacturing thereof.  Avail may revise the Credit Limit
                  from time to time in accord with its ordinary practices, and shall
                  notify
                  KCI Manufacturing of any revisions.  Avail shall be under no
                  obligation at any time to advise or notify KCI Manufacturing of
                  any
                  balance due or amount of credit remaining to KCI Manufacturing
                  under the
                  Credit Limit.  Avail may suspend or cease its performance
                  hereunder, in any or every aspect, when KCI Manufacturing’s outstanding
                  balance exceeds the Credit Limit, and KCI Manufacturing may not
                  assert any
                  default by Avail therefor.  For purposes of this Section, Avail
                  may calculate the KCI Manufacturing outstanding balance at any
                  time as any
                  and all costs incurred by Avail on behalf of KCI Manufacturing
                  hereunder
                  for which Avail shall receive remuneration, but which are not paid
                  by or
                  on behalf of KCI Manufacturing. 

                 

              

      

      
        	
                (b)  

              	
                No
                  Waiver.  Avail’s failure or election to not seek any
                  remedy provided in this Section shall not constitute a waiver of
                  any
                  rights or remedies contained in this Section, or contained elsewhere
                  in
                  this Agreement. 

                 

              

      

      17. Product
        Quality.

       

      
        	
                (a)  

              	
                Each
                  lot of Products shipped by Avail will meet the Product Specifications
                  as
                  of the date on which the Products are manufactured.  No
                  non-conforming Products will be released to KCI Manufacturing,
                  or its
                  customers, without the prior written approval of KCI
                  Manufacturing.

                 

              

      

      
        	
                (b)  

              	
                Avail
                  acknowledges that KCI Manufacturing, in reliance upon Avail’s obligation
                  to inspect and test the Products in accordance with Section 5(h)
                  herein
                  and Avail’s warranties hereunder, shall use or sell the Products without
                  doing any further quality control or inspection.

                 

              

      

      
        	
                (c)  

              	
                Any
                  container holding the Product when the Product is delivered to
                  KCI
                  Manufacturing shall be labeled with the net weight of the Product
                  contained therein, and the actual weight of the Product contained
                  in any
                  container shall comply with applicable laws and
                  regulations.  Avail shall include in each Product’s labeling all
                  warnings and instructions specified by KCI Manufacturing.

                 

              

      

      
        	
                (d)  

              	
                Avail
                  shall provide customary product warranties as may be reasonably
                  agreed
                  between the Parties.

                 

              

      

      
        	
                (e)  

              	
                KCI
                  Manufacturing must approve, in writing, any changes that may affect
                  the
                  performance of any Products before such changes are made.  In
                  the event that changes are required to correct defects in the Products,
                  to
                  enhance the safety or the Products, or to otherwise improve the
                  quality of
                  the Products, KCI Manufacturing shall be notified immediately upon
                  Avail's
                  recognition of the need for the same, and KCI Manufacturing shall
                  approve
                  any such changes and the appropriate validation for such
                  changes.  All Product Specifications changes, including changes
                  in quality control and manufacturing processes, shall be validated
                  and
                  documented by Avail and approved by KCI Manufacturing.

                 

              

      

      
        	
                (f)  

              	
                Avail
                  shall develop, and KCI Manufacturing shall approve, a Quality Plan
                  or
                  Plans applicable to the Products outlining the responsibilities
                  and
                  expectations of KCI Manufacturing regarding Quality and Service
                  Performance Levels for the products.  Such quality plans, which
                  may be amended from time to time at the request of KCI Manufacturing,
                  [***] shall be of a form and complexity consistent with customary
                  industry
                  standards.  The Quality Plan or Plans shall be considered
                  integral to this Agreement and shall govern the responsibilities
                  of each
                  Party under this Agreement with respect to quality concerns. The
                  basis for
                  Quality Levels for all of the products shall be [***] completed
                  in the
                  design and process verification and validation activities for each
                  of the
                  products.  The [***]  framework shall be developed by
                  Avail and approved by KCI Manufacturing.  It is expected that
                  the products, given their complexity and regulatory classification
                  status,
                  will have applicable to each of them a [***] confidence level that
                  they
                  are free of defects in workmanship and material.  Each shipment
                  of Products shall be accompanied, where appropriate, by an accurate
                  certificate of analysis or other mutually agreeable quality control
                  data
                  where requested by the customer or preformed as standard business
                  practice.

                 

              

      

      
        	
                (g)  

              	
                It
                  is the expectation of the Parties entering this Agreement that
                  the Quality
                  and Service levels to be provided by Avail going forward shall
                  be
                  consistent with those provided by Avail in the past to Affiliates
                  of KCI
                  Manufacturing.  The Parties will agree upon a "Quality
                  Performance Report", similar to quality reports provided by Avail
                  in the
                  past to Affiliates of KCI Manufacturing, to be published monthly
                  by Avail
                  and in a format acceptable to KCI Manufacturing.  A rolling
                  six-month average of performance levels published in the Quality
                  Performance Report will be used as the basis for measuring changes
                  in
                  Avail's historic quality performance levels.  Avail will
                  cooperate fully with KCI Manufacturing in amending and updating
                  performance levels and expectations to assure the Products continue
                  to
                  meet and exceed the customary Quality and Service expectations
                  of the
                  market.  Should complaints or other forms of negative quality
                  events occur at a level or frequency that causes concern to KCI
                  Manufacturing and are inconsistent with or different from the historical
                  performance levels of Avail, KCI Manufacturing may request an inspection
                  and meeting as contemplated in Section 19 of this Agreement.  It
                  will then be the right of KCI Manufacturing to examine all manufacturing
                  and quality related documentation to assure that Avail is consistently
                  following the procedures established during the verification and
                  validation processes to meet product quality expectations.  To
                  the degree that Avail is failing to materially conduct such activities
                  as
                  set out above, KCI Manufacturing may provide notice to Avail of
                  such facts
                  and provide for the ninety (90) day cure period as described in
                  Section
                  21.

                 

              

      

      18. Packaging
        and
        Labeling.  Avail shall label and package the Products in
        accordance with the Product Specifications.  Avail will ship all
        Products under KCI Manufacturing's name.  KCI Manufacturing shall
        notify Avail of any known damage to the Products within five (5) business
        days
        of KCI Manufacturing's actual knowledge of such damage, and Avail shall provide
        replacements for damaged Products if damage is caused by failure to meet
        the
        Product Specifications.  Absent contrary written instruction by KCI
        Manufacturing, the labeling for Products (i) shall bear such trademarks,
        logos
        and source identifiers as set forth in the Product Specifications ("KCI
        Manufacturing Trademarks"), or may be otherwise directed by KCI Manufacturing
        in
        writing, provided that any additional costs to Avail for such labeling shall
        be
        borne by KCI Manufacturing; (ii) shall bear such notices as may be required
        under applicable laws and regulations, or by KCI Manufacturing or provided
        that
        any deviations from the Product Specifications regarding packaging or labeling
        be handled in accord with Section 5(f)(i); (iii) shall bear the designation
        "MADE FOR KCI MANUFACTURING"; and (iv) shall not include any reference to
        Avail.  Nothing herein, nor any performance hereunder, shall be
        construed as a license for Avail to use the KCI Manufacturing Trademarks
        in any
        manner not expressly stated herein or in written instructions provided by
        KCI
        Manufacturing.

       

      19. Inspection.  Upon
        at least two (2) days’ written notice, KCI Manufacturing shall have the right to
        inspect all facilities used to manufacture the Products by or for Avail and
        to
        inspect all documents and records relating to the manufacture and shipment
        of
        the Products.  If KCI Manufacturing identifies concerns or possible
        insufficiencies in Avail’s quality control procedures or Avail’s documents or
        records, KCI Manufacturing may issue its comments or suggestions regarding
        such
        allegations to Avail.  If such allegations constitute objective
        deficiencies by Avail of its covenants, obligations or performance, then
        Avail
        shall implement corrective actions to any reasonable allegation of material
        deficiencies, at Avail’s cost.  If KCI Manufacturing’s comments or
        suggestions do not relate to deficiency in Avail’s performance of its
        obligations, then Avail may implement such suggestions at KCI Manufacturing’s
        Avail’s cost, and it shall be treated as a matter subject to Section
        25.

       

      20. Returns.  KCI
        Manufacturing and Avail agree to cooperate in good faith to establish adequate
        procedures for processing and evaluating Product returns in a mutually
        beneficial manner.  Avail agrees to incur all freight and return
        expenses for Products returned due to Avail’s failure to conform to the terms of
        this Agreement, the Product Specifications or any Order or Shipment
        Order.

       

      21. Excessive
        Returns.  Returns of a Product that arise from the failure of
        the Product to meet Product Specifications are considered a quality issue
        for
        the purposes of this Agreement and will therefore be managed consistent with
        Sections 17 and 25 of this Agreement

       

      22. Term
        and Termination or
        Conversion.  The term of this Agreement shall commence on the
        Effective Date and shall continue for a period of thirty-six (36) months
        thereafter (the "Initial Term").  At the end of the Initial Term, the
        term of this Agreement shall automatically extend for an additional twelve
        (12)
        months (the “Extended Term”) unless either Party has previously delivered to the
        other Party a Notice of Termination. On each successive anniversary of the
        Effective Date, the term will automatically extend for an additional twelve
        (12)
        months unless either Party has previously delivered to the other Party a
        Voluntary Notice of Termination (as defined herein).  A Voluntary
        Notice of Termination shall be written notice to the other Party that the
        noticing Party intends to terminate this Agreement as provided
        herein.  Such Voluntary Notice of Termination must be delivered as set
        forth herein. Either Party may terminate this Agreement, without cause, upon
        providing twenty-four (24) months written notice effective as of the next
        anniversary of the Effective Date following transmittal of such notice to
        the
        other Party (a "Voluntary Notice of Termination").  In addition, KCI
        Manufacturing may terminate or convert this Agreement to a non-exclusive
        agreement at its sole option, in the event that Avail:  (i) materially
        breaches this Agreement; (ii) seeks protection from its creditors under the
        bankruptcy or insolvency laws of its jurisdiction of incorporation or domicile,
        or becomes involuntarily subject to the jurisdiction of a Court under the
        bankruptcy or insolvency laws of its jurisdiction of incorporation or domicile;
        (iii) fails in a material way to manufacture Products in accordance with
        the QSR
        of the FDA and in accordance with any and all applicable international
        regulations or standards and fails to cure or remedy such situation within
        ninety (90) days unless the US FDA, or similar foreign counterpart, requires
        action that takes longer than ninety (90) days to execute, in which case
        Avail
        shall have the time necessary to comply with such regulations or standards;
        (iv)
        manufactures and/ or distributes of any Product involved in a Class I "recall"
        subject to the conditions specified in sections 17 and 25 and
        as defined in the
        regulations promulgated by the FDA (an "Event of Default"); and (v) failure
        to
        meet Product shipping or inventory level standards in accordance with Sections
        7
        and 8, or Product quality standards in accordance with Section
        17.  Each of the foregoing occurrences (i) through (v) shall
        constitute an “Event of Default.”  Avail may terminate this Agreement
        in the event that KCI Manufacturing (i) materially breaches this Agreement
        or
        (ii) seeks protection from its creditors under the bankruptcy or insolvency
        laws
        of its jurisdiction of incorporation; each of the foregoing occurrences,
        (i) and
        (ii) shall constitute an “Event of Default.”  Either Party may elect
        to terminate or convert this Agreement if the other Party is not able to
        cure an
        Event of Default of such other party within thirty (30) days of written notice
        of such an Event of Default; such termination shall be deemed a “Termination or
        Conversion With Cause” and the Agreement shall be “Terminated or Converted With
        Cause.” Only in the event of Termination or Conversion with Cause by KCI
        Manufacturing, Avail shall supply Products to KCI Manufacturing at the pricing
        in effect as of conversion or termination for a period of one (1) year after
        any
        conversion or termination of this Agreement (subject to price changes permitted
        in this Agreement), and Avail shall make available to KCI Manufacturing a
        list
        of vendors who supply Product components, and do such things, as may be
        reasonably requested by KCI Manufacturing to enable KCI Manufacturing to
        manufacture the Products in the same manner as previously manufactured by
        Avail.  For purposes of this Agreement, the term “conversion” and
“convert” shall mean the conversion of this Agreement to a non-exclusive
        agreement.  Upon termination of this Agreement, Avail agrees to
        deliver to KCI Manufacturing all finished Product produced, acquired or
        committed in accordance with outstanding purchase orders and forecasts, in
        addition to all Raw Materials in Avail’s possession.  The restrictions
        on Avail set forth in Section 4 shall survive the termination of this Agreement
        as set forth in Section 4.

       

      23. Cooperation.  The
        Parties agree to cooperate in identifying methods of reducing costs of the
        production and delivery of Products.  The Parties will split cost
        reductions arising from this cooperation on a 50/50 basis, excluding costs
        reductions arising from the following:  (i) any cost reduction
        obtained on P/N M3248406 (Drape), which shall be fully passed to KCI
        Manufacturing; and (ii) any cost reduction arising from a capital expenditure
        exceeding [***] (a “Capital Cost Reduction”), which shall be enjoyed fully the
        Party making the capital expenditure. In regard to a Capital Cost Reduction
        opportunity, KCI Manufacturing reserves the election of making such expenditure
        and thus securing the resulting cost reduction benefit, if any.  KCI
        Manufacturing shall make this election, in writing to Avail, within thirty
        (30)
        days of the Capital Cost Reduction opportunity being defined by a project
        cost
        and benefit analysis prepared by either or both
        Parties.  Should  KCI Manufacturing fail to timely and
        properly so elect, then the Capital Cost Reduction shall be solely Avail’s right
        to exercise, which it shall do by written notice to KCI
        Manufacturing.  The Parties will work together in good faith to agree
        upon such other terms and conditions as may be appropriate to achieve each
        of
        these purposes and objectives.  As part of the ongoing cooperation of
        the Parties, KCI Manufacturing shall retain the right to approve all suppliers
        of material to Avail for use in Products and no change of any current supplier,
        shall occur without KCI Manufacturing's approval, which shall not be
        unreasonably withheld.

       

      KCI
        Manufacturing represents and warrants that it has no knowledge of any fact,
        set
        of facts or circumstances, which have or could result in a default by Avail
        pursuant to this Agreement.  The Parties hereto agree that if any
        fact, set of facts or circumstances which existed as of the date of this
        Agreement related to the regulation of the Products and which would otherwise
        have resulted in a default under this Agreement become known subsequent to
        the
        date of this Agreement that such fact, set of facts of circumstances shall
        not
        be deemed to be a default pursuant to the terms of this Agreement and the
        Parties shall in good faith work to resolve these items.

       

      24. Title
        and Risk of Loss for
        Products.  Title, risk of loss to, and insurable interest in
        Products shipped to the United States shall pass when the Products are Delivered
        at Frontier by Avail ("DAF", INCOTERMS 2000) to the frontier of the United
        States (i.e., both before entering the territory of the United States and
        before
        entering the customs border of the United States).  Products shipped
        to Europe, Australia or Singapore shall be delivered Free Carrier ("FCA")
        (INCOTERMS 2000) to Avail’s [Mexican warehouse], where the Products shall be
        transferred to the common carrier specified by KCI
        Manufacturing.  Title, risk of loss to, and insurable interest in
        Products shipped to Europe, Australia or Singapore shall pass from KCI
        Manufacturing to its Affiliate upon delivery to the common
        carrier.  Products shipped to Canada and Puerto Rico shall be
        Delivered Duty Unpaid (“DDU”) (INCOTERMS 2000) to a location specified by KCI
        Manufacturing.  Title, risk of loss, and insurable interest in
        Products shipped to Canada or Puerto Rico shall be transferred from KCI
        Manufacturing to its Affiliate upon delivery to the designated port of entry
        or
        warehouse of such Affiliate.  Avail shall not be responsible for
        customs clearance, nor shall Avail be responsible for any risk or delay
        associated with clearance of Products with and through customs or related
        agencies.

       

      25. Warranty.  Avail
        warrants to KCI Manufacturing that the Products shall be manufactured and
        packaged in accordance with the Product Specifications and may otherwise
        be
        agreed by the Parties in writing, that the Products and related packaging
        shall
        be of consistent good quality, free from defects in
        workmanship.  Avail further warrants that all customer-supplied
        documentation shall be promptly filed in Avail's master device record for
        each
        Product.  This warranty does not apply to damage caused by
        unreasonable neglect, destruction, improper use and improper
        care.  Avail warrants that all Products distributed in the U.S. shall
        be manufactured in accordance with the QSR of the FDA, or any new or revised
        standards imposed by that agency, in a facility that is registered with the
        FDA.  Avail warrants that all Products distributed in Australia,
        Canada, Japan or The Netherlands shall be manufactured and distributed in
        accordance with all laws, rules and regulations which are applicable to the
        manufacture or distribution of the Products in that locale and that such
        Products shall be manufactured in a facility which is operated in accordance
        with all laws, rules and regulations applicable to a facility utilized to
        manufacture such Products in that locale.  Avail warrants that the
        articles comprising each shipment or other delivery hereafter made by Avail
        to,
        or to the order of, KCI Manufacturing or its customers, as of the date of
        such
        shipment or delivery, shall not be adulterated or misbranded within the meaning
        of the Federal Food, Drug, and Cosmetic Act (the "Act"), or any other applicable
        law, rule or regulation (including applicable foreign laws, rules and
        regulations).  Avail shall cooperate with KCI Manufacturing to aid KCI
        Manufacturing in communicating with or otherwise contacting each customer
        with
        respect to the safety or efficacy of the Products as requested by KCI
        Manufacturing or required by the FDA or any other governmental entity with
        appropriate jurisdiction.  Each of the Parties shall report to the
        other any problems relating to the safety or efficacy of the Products as
        soon as
        possible after learning of the existence of such problems.  Avail
        shall abide by all regulations of the FDA applicable to manufacturers of
        medical
        devices.  KCI Manufacturing shall be responsible for compliance with
        QSR paragraph 820.198 regarding complaint handling.

       

      The
        Product Specifications, as well as all performance and suitability claims
        for
        each of the products are the responsibility of KCI
        Manufacturing.  Avail's responsibility is to accurately convert the
        aforesaid data into the documents and processes needed to produce the
        Products.  Any failure of the products to meet regulatory requirements
        or to be consistently manufacturable based upon the Product Specifications
        is
        the sole responsibility of KCI Manufacturing.  Any recall of any
        product that is a consequence of an error in any of the Product Specifications
        is the responsibility of KCI Manufacturing.  Obtaining and maintaining
        all applicable regulatory approvals and continued compliance for all products
        in
        all jurisdictions served by KCI Manufacturing or any of its Affiliates shall
        be
        the responsibly of KCI Manufacturing.  KCI Manufacturing shall
        indemnify and hold Avail harmless from any cost or expense directly related
        to
        (i) an error in any of the Product Specifications or (ii) a breach of this
        agreement.  Avail shall indemnify and hold KCI Manufacturing harmless
        from any cost or expense directly related to(i) a breach of a warranty set
        forth
        in, or provided for, in this Agreement, and (ii) any breach of this
        Agreement.

       

      26. Force
        Majeure.  In the event any delay in performance by either Party
        is due to any cause arising from or attributable to acts, events, omissions,
        accidents or acts of God, beyond the reasonable control of the Party (including
        but not limited to strikes, lock-outs, civil commotion, riots, war, fire,
        explosion, storm, flood or earthquakes), the Party so delayed or prevented
        shall
        be under no liability for loss or injury suffered by the other Party
        thereby.  In the event that Avail is prevented from meeting the
        delivery schedule provided by KCI Manufacturing because of a delay caused
        by any
        of such acts, Avail shall give KCI Manufacturing written notification of
        any
        material or indefinite delay due to such causes.  In such an event,
        KCI Manufacturing may not exercise the remedy set forth in Section 9 hereof,
        but
        shall (a) instruct Avail that the sales orders affected by such delay are
        either
        (i) affirmed, and the time for performance is extended for as many days as
        such
        causes affect deliveries, or (ii) terminated and (b) have the right to access
        Product from sources other than Avail with respect to those sales
        orders.

       

      27. Insurance.  Each
        Party shall carry and continue in force a policy of broad form Products
        liability insurance for the Products sold hereunder with limits of not less
        than
        [***] per occurrence and [***] in the aggregate.  All such policies
        shall provide that each Party shall receive written notice from the insurer
        thirty (30) days prior to any cancellation or change in coverage of the policy
        of the other Party.  Each Party shall provide the other with
        appropriate certificates of insurance evidencing such coverage.

       

      28. Compliance
        with Law and ISO
        Standards.  Avail agrees to comply at all times with all U.S.
        and foreign federal, state and local laws, rules, and regulations relating
        to
        the Products during the period of this Agreement.  Avail further
        agrees to comply with standards imposed by the International Standards
        Organization (“ISO”) and related product development process requirements
        adopted by KCI Manufacturing.  Avail shall tender any documents
        required by KCI Manufacturing with respect to ISO certification and/or
        compliance with laws, regulations and the like.

       

      29. Power
        and
        Authority.  Each of the Parties represents and warrants to the
        other that:  (a) it is a legal entity duly formed and validly existing
        under applicable law; (b) it has full right, power and authority to enter
        into
        and perform its respective obligations under this Agreement; (c) this Agreement,
        and its performance hereunder, does not conflict with any outstanding contract,
        commitment, or arrangement to which it is a Party or is bound; and (d) this
        Agreement constitutes a legal, valid and binding obligation of such
        Party.

       

      30. No
        Liens.  Avail represents, warrants, and covenants that the
        Products shall be free and clear of all liens and encumbrances of any kind
        (collectively, "Liens") at the time of delivery of the Products to the KCI
        Manufacturing Affiliate or its customer, whichever occurs first.

       

      31. Indemnity.  Avail
        and its Affiliates shall defend, indemnify and hold harmless each of KCI
        Manufacturing, its Affiliates and their respective directors, officers,
        shareholders, customers, employees, and agents, and their respective successors
        and assigns, from and against any and all losses, damages, costs and expenses
        (including attorneys’ fees) arising out of any and all claims related to any of
        the following:  (i) the failure of Products to meet the Product
        Specifications, (ii) claims that relate to actual Liens encumbering any KCI
        Equipment, Raw Materials, Products, and components or works-in-process of
        the
        Products, (iii) a breach of this Agreement and (iv) Avail's actual or alleged
        willful acts or omissions, or gross negligence ("Avail
        Fault").  Except in the event and to the extent caused by Avail Fault,
        and except in the event and to the extent the Products fail to meet the Product
        Specifications as a result of a breach of this Agreement by Avail, KCI
        Manufacturing and its Affiliates shall defend, indemnify and hold harmless
        each
        of Avail, its Affiliates and their respective directors, officers, shareholders,
        customers, employees and agents, and their respective successors and assigns,
        from and against any and all losses, damages, costs and expenses (including
        attorneys' fees) arising out of claims based upon the following, (i) any
        use,
        distribution or sale of the Products by any third party resulting in an
        infringement, or alleged infringement of any copyright, trade secret, trademark,
        patent, invention, proprietary information, non-disclosure right or other
        statutory or common law right of any person or entity (ii) the failure of
        the
        Products design to comply with applicable laws or regulations, including
        without
        limitation, those promulgated by the FDA, (iii) any error in any of the Product
        Specifications, (iv) any Products liability or other related claims not related
        to the manufacture of the Products, and (v) a material breach of this
        Agreement.  Except with respect to the matters set forth in this
        Section 30, in no event shall either Party be liable for any indirect, special,
        incidental or consequential damages (including, without limitation, loss
        of
        profits, loss of goodwill, interruption of business or other economic loss)
        whether such damages are alleged as a result of tortuous conduct or breach
        of
        contract or otherwise even if the other Party has been advised of the
        possibility of such damages.  Each of the Parties shall also
        indemnify, defend and hold harmless the other Party, the other Party’s
        Affiliates and their respective directors, officers, shareholders, customers,
        employees, and agents, and their respective successors and assigns, from
        and
        against any and all losses, damages, costs and expenses (including attorneys’
fees) arising out of any and all claims related to breach of any warranty,
        representation or covenant of this Agreement.

       

      32. No
        Infringement.  KCI Manufacturing represents, warrants and
        covenants to Avail that the Products do not infringe upon or otherwise violate
        any valid copyright, trade secret, trademark, patent, invention, proprietary
        information, non-disclosure right, or other statutory or common law right
        of any
        person or entity.

       

      33. Assumption
        of Obligations
        and Liabilities.  KCI Manufacturing does not assume any
        obligations or liabilities of Avail.

       

      34. Assignment.  This
        Agreement shall be binding upon, and shall inure to the benefit of, the Parties
        and such Affiliates and subsidiaries of KCI Manufacturing as may order Products
        hereunder, and their respective permitted successors and assigns.  No
        assignment or transfer by either Party hereto of its rights and obligations
        hereunder shall be valid except on prior written consent (which shall not
        be
        unreasonably withheld or delayed) of the other Party.  At KCI
        Manufacturing's option, in the event of an attempted assignment by Avail
        to, or
        any transaction causing a change of control of Avail with (which shall be
        deemed
        an assignment hereunder), any third party which KCI Manufacturing considers
        to
        be a competitor of any Affiliate of KCI Manufacturing, KCI Manufacturing
        may
        withhold such consent at its sole discretion.  KCI Manufacturing
        hereby grants its consent to the change of control of Avail as shall occur
        in
        the forthcoming merger of Avail with and acquisition by Flextronics
        International, U.S.A., Inc.  Avail hereby consents to any assignment
        by KCI Manufacturing to any current or future affiliate of KCI Manufacturing
        provided such affiliate agrees in writing to assume all of KCI Manufacturing’s
        obligations under this Agreement.

       

      35. Waiver.  The
        failure of any Party to this Agreement at any time or times to require the
        performance of any provisions of this Agreement shall in no manner affect
        the
        right to enforce such provision.  No waiver by any Party to this
        Agreement, whether by conduct or otherwise, in any one or more instances,
        shall
        be deemed or construed either as a further or continuing waiver of any such
        provision or breach or as a waiver of any other provision (or of a breach
        of any
        other provision) of this Agreement.

       

      36. Notices.  All
        notices permitted or required hereunder shall be deemed sent when deposited
        in
        the U.S. mail, registered or certified mail, addressed to the Parties at
        each of
        the following addresses or such other address as a Party may designate in
        writing:

       

      
        	
                If
                  to KCI Manufacturing:

                
                

              	
                If
                  to Avail:

                
                

              
	
                KCI
                  Manufacturing

              	
                Avail
                  Medical Products, Inc.

              
	
                Athlone
                  Business & Technology Park

                Garrycastle,
                  Athlone

              	
                1600
                  Wells Fargo Tower

                201
                  Main Street

              
	
                County
                  Westmeath, Ireland

              	
                Ft.
                  Worth, TX 76102

              
	 	 
	
                Attention:  John
                  Elwood

                Re:  V.A.C.
                  Disposables

              	
                Attention:  President
                  and C.E.O

                
                

                With
                  a copy to

                
                

                General
                  Counsel

                Avail
                  Medical Products, Inc.

                1600
                  Wells Fargo Tower

                201
                  Main Street

                Fort
                  Worth, TX  76102

              
	 	 

      

      

      37. Severability.  The
        invalidity or unenforceability of any term or provision of this Agreement
        shall
        not affect the validity or enforceability of this Agreement as a whole or
        of any
        other term or provision hereof.  In lieu of any such invalid or
        unenforceable term or provision, the Parties hereto shall negotiate in good
        faith to replace the invalid clause or clauses with provisions having similar
        business purposes.

       

      38. Entire
        Agreement.  The terms and conditions contained herein and in
        the attachments hereto constitute the entire agreement between the Parties
        and
        shall supersede all communications, representations, or agreements, either
        oral
        or written, between the Parties with respect to the subject matter
        hereof.  No agreement or understanding varying the terms and
        conditions hereof shall be binding on either Party hereto unless in writing
        and
        signed by duly authorized representatives of each Party.  Exhibit A is
        incorporated in this Agreement as though set forth herein in its
        entirety.  The terms expressed in Exhibit A may be expanded or
        otherwise modified in writing upon mutual agreement signed by each of the
        Parties to be bound.  Any preprinted terms on preprinted purchase
        orders shall supplement the terms of this Agreement only to the extent such
        preprinted terms are consistent with the terms of this Agreement.  In
        the event any such preprinted terms are contradictory, the terms of this
        Agreement shall control (absent written agreement signed by each of the
        Parties).

       

      39. Applicable
        Law.  This Agreement shall be governed by and construed in
        accordance with the laws of the State of Texas and the United States without
        regard to any conflict of laws provisions.  The Parties hereto hereby
        agree that the sole and exclusive place of personal jurisdiction and venue
        for
        resolution of any disputes arising hereunder or related hereto shall be the
        applicable federal courts located in San Antonio, Texas.

       

      If
        a
        dispute arises between the Parties relating to this Agreement, the Parties
        shall
        resolve the dispute using binding arbitration, which shall include, without
        limitation, the following steps:

       

      
        	
                (a)  

              	
                The
                  aggrieved Party shall provide the other Party with a written request
                  to
                  arbitrate along with written notice of the dispute, which shall
                  identify
                  the nature of the dispute and its relevant facts;

                 

              

      

      
        	
                (b)  

              	
                The
                  other Party shall respond to the notice of the dispute within thirty
                  (30)
                  days after receipt and assert counterclaims, if any, against the
                  aggrieved
                  Party;

                 

              

      

      
        	
                (c)  

              	
                The
                  Parties shall attempt to agree on the selection of an
                  arbitrator;

                 

              

      

      
        	
                (d)  

              	
                If
                  the Parties cannot agree upon an arbitrator, one will be selected
                  pursuant
                  to the Commercial Arbitration Rules of the American Arbitration
                  Association;

                 

              

      

      
        	
                (e)  

              	
                The
                  costs associated with the selection of an arbitrator will be borne
                  equally
                  by both Parties;

                 

              

      

      
        	
                (f)  

              	
                The
                  decision of the arbitrator shall be final and binding;

                 

              

      

      
        	
                (g)  

              	
                The
                  arbitrator may award reasonable attorney fees and costs; and

                 

              

      

      
        	
                (h)  

              	
                These
                  procedures and this Agreement shall be governed by the law of the
State
                  of  Texas
                  without regard to
                  its conflict of laws provisions.

                 

              

      

      40. Confidentiality.  Each
        Party shall maintain in confidence any trade secrets or proprietary information
        disclosed to it by the other Party or the other Party's agents or
        representatives, including information disclosed prior to the execution of
        this
        Agreement.  This information shall include, but not be limited to,
        Product information, trade secrets, customer lists and any other confidential
        business information pertaining to or in connection with the business of
        the
        Parties. This provision shall survive the termination of this
        Agreement.

       

      All
        confidential information of any of Avail and its Affiliates or KCI Manufacturing
        and its Affiliates provided to the other Party hereto in conjunction with
        the
        performance under this Agreement, whether prior to or subsequent to the
        execution of this Agreement, will be considered to be information which is
        confidential and proprietary when (i) it pertains to identification of the
        customers of the providing Party or its Affiliates, or (ii) when it was provided
        prior to the execution of this Agreement and is subject to confidentiality
        obligations of the Confidentiality Agreement, or (iii) when the information
        is
        provided after the execution of this Agreement and is marked in writing as
        "CONFIDENTIAL".  Such information will hereinafter be referred to as
        "Confidential and Proprietary Information," and will be held in confidence,
        and
        will not be disclosed to third parties or used for any purpose other than
        to
        fulfill the obligations of this Agreement without prior written consent of
        the
        providing Party.  Confidential and Proprietary Information will not
        include information that:

       

      
        	
                (a)  

              	
                is
                  or becomes publicly available through no act or fault of the receiving
                  Party;

                 

              

      

      
        	
                (b)  

              	
                is
                  disclosed to the receiving Party by a third party having the right
                  to
                  disclose it;

                 

              

      

      
        	
                (c)  

              	
                is
                  already known by the receiving Party as shown by its prior written
                  records
                  provided the receiving Party provides written notice to the providing
                  Party thereof promptly after receiving the Confidential and Proprietary
                  Information; or

                 

              

      

      
        	
                (d)  

              	
                is
                  required by law to be disclosed.

                 

              

      

      All
        obligations of confidentiality and non-disclosure set forth in this Agreement
        will survive for a period of three years following the expiration or termination
        of this Agreement.

       

      41. Parties
        Benefited.  This Agreement will be binding and inure to the
        benefit of the Parties and KCI Manufacturing’s Affiliates, permitted successors
        and assigns.  The representations, warranties, covenants, and
        undertakings contained in this Agreement are for the sole benefit of the
        Parties
        hereto and their permitted successors and assigns and such representations,
        warranties, covenants, and undertakings will not be construed as conferring
        any
        rights on any other Party.  This Agreement may not be assigned by a
        Party to a non-Party without the prior written consent of the other
        Parties.

       

      42. No
        Agency; Independent
        Contractors.  KCI Manufacturing and Avail hereby agree that, in
        the performance of their respective obligations hereunder, they are and shall
        be
        independent contractors.  Except as expressly provided herein, nothing
        in this Agreement shall be construed to (a) constitute either Party as the
        agent
        of the other Party for any purpose whatsoever; (b) give either Party control
        over the day-to-day activities, managerial practices, financial administration
        or personnel practices, policies or procedures of the other Party; (c)
        constitute Avail to be a legal and contractual representative within the
        meaning
        of the laws of the jurisdiction of KCI Manufacturing or Avail; (d) allow
        Avail
        to create or assume obligations on behalf of KCI Manufacturing except as
        provided herein; (e) constitute Avail to be a commercial agent within the
        meaning of the laws of the jurisdiction of KCI Manufacturing or Avail or
        the
        equivalent mandatory provisions of public order with respect to commercial
        agents in the laws of the various countries within which Avail provides the
        Processing Services; or (f) constitute the Parties as franchisor and franchisee,
        partners, joint venturers, co-owners or otherwise as participants in a joint
        undertaking.  Neither Party shall have the power to bind the other
        Party to any contract or the performance of any other obligation, or represent
        to any third party that it has any right to enter into any binding obligation
        on
        the other Party’s behalf except as provided in this Agreement or with the prior
        written consent of the other Party.

       

      43. Multiple
        Counterparts.  This Agreement may be executed by facsimile
        signature in two or more counterparts, each of which will be deemed an original,
        but all of which taken together will constitute one and the same
        instrument.

       

      44. Headings.  Section
        headings have been used in this Agreement but shall not affect the meaning
        of
        any provision of this Agreement.

       

      

      [Signature
        Page
        Follows.]

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      IN
        WITNESS WHEREOF, the
        Parties hereto have duly executed this Agreement effective as of the Effective
        Date first above written.

      

      
        	
                
                

                KCI
                  MANUFACTURING

                 

                By:       /s/
                  John
                  Elwood                                              
                  

                John
                  Elwood

              	
                
                

                AVAIL
                  MEDICAL PRODUCTS, INC.

                 

                By:       /s/
                  J. Randall
                  Keene                                                        
                  

                J.
                  Randall Keene

              
	
                
                

                Title:  
                  Director

                
                

              	
                
                

                Title:  
                  President and Chief Executive Officer

                
                

              
	 	 
	 	 

      

       

      
         

        
          (Signed
            Copy on File)

        

        
 

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

       

      EXHIBIT
        A

      PROCESSING
        FEE
        SCHEDULE

      
        	
                Avail
                  P/N

              	
                KCI
                  P/N

              	
                Product
                  Description

              	
                 Processing
                  Fee

              

      

      

      [***]

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

       

      EXHIBIT
        B

      PROCUREMENT
        FEE
        SCHEDULE

      

      
        	
                Avail
                  P/N

              	
                KCI
                  P/N

              	
                Product
                  Description

              	
                 Procurement
                  Fee

              

      

      

      [***]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}]]