Document:

exv10w11xay

Exhibit 10.11(a)

SG021306.A.001

Amendment

SG021306.A.001

Between

Synchronoss Technologies, Inc.

And

AT&T Services, Inc.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED AND
HAVE BEEN SEPARATELY FILED WITH THE COMMISSION.

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SG021306.A.001

AMENDMENT NO. 1

AGREEMENT NO. SG021306

This Amendment, effective on the date when signed by the last Party (“Effective Date”), and
amending Agreement No. SG021306, is by and between Synchronoss Technologies, Inc., a Delaware
corporation (“Synchronoss”, “Supplier”), and AT&T Services, Inc., a Delaware corporation (“AT&T”),
each of which may be referred to in the singular as a “Party” or in the plural as the “Parties.”

WITNESSETH

WHEREAS, Supplier and AT&T entered into Agreement No. SG021306 with an Effective Date of September
1, 2005 (the “Agreement”); and

WHEREAS, Supplier and AT&T desire to amend the Agreement as hereinafter set forth.

NOW, THEREFORE, in consideration of the premises and the covenants hereinafter contained, the
Parties hereto agree as follows:

The terms and conditions of Agreement No. SG021306 in all other respects remain unmodified and in
full force and effect.

1. ASSIGNMENT OF THE AGREEMENT

Cingular Wireless LLC hereby grants and assigns the Agreement to AT&T Services, Inc (Assignee).
Assignee hereby accepts the foregoing assignment and agrees to be bound by and subject to all terms
and conditions contained in the Agreement to the same extent as if it had been an original
signatory thereto. For the avoidance of doubt, any reference to Cingular in the Agreement shall
refer to AT&T Services, Inc. Supplier hereby consents to the foregoing assignment.

This Assignment merely assigns the Agreement to Assignee in order to create, and hereby does
create, a new Agreement between Supplier and Assignee. This Assignment does not affect any rights
or obligations of AT&T or Supplier under any existing order, which shall continue to be governed by
the terms of the Agreement.

2. Delete Section 3.20, Limitation of Liability in its entirety and replace with new Section 3.20
Limitation of Liability as follows;

Limitation of Liability

Except with respect to claims based on the confidentiality obligations set forth in this Agreement,
in no event is either Party liable to the other Party for any consequential, incidental, special or
punitive

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

2

 

SG021306.A.001

damages or for loss of revenue or profit in connection with the performance or failure to perform
this Agreement, regardless of whether such Liability arises from breach of contract, tort or any
theory of liability. *** in no event shall either party’s direct damages hereunder exceed ***.

3. Delete Section 4.1 Access in its entirety and replace with the following new clause 4.1 Access;

Access

	a.	 	When appropriate, Supplier shall have reasonable access to AT&T’s premises during normal
business hours, and at such other times as may be agreed upon by the Parties to enable
Supplier to perform its obligations under this Agreement. Supplier shall coordinate such
access with AT&T’s designated representative prior to visiting such premises. Supplier will
ensure that only persons employed by Supplier or subcontracted by Supplier will be allowed to
enter AT&T’s premises. If AT&T requests Supplier or its subcontractor to discontinue
furnishing any person provided by Supplier or its subcontractor from performing Work on AT&T’s
premises, Supplier shall immediately comply with such request. Such person shall leave AT&T’s
premises immediately and Supplier shall not furnish such person again to perform Work on
AT&T’s premises without AT&T’s written consent. The Parties agree that, where required by
governmental regulations, Supplier will submit satisfactory clearance from the U.S. Department
of Defense and/or other federal, state or local authorities.
	 
	b.	 	AT&T may require Supplier or its representatives, including employees and subcontractors, to
exhibit identification credentials, which AT&T may issue to gain access to AT&T’s premises for
the performance of Services. If, for any reason, any Supplier representative is no longer
performing such Services, Supplier shall immediately inform AT&T. Notification shall be
followed by the prompt delivery to AT&T of the identification credentials, if issued by AT&T,
or a written statement of the reasons why the identification credentials cannot be returned.
Supplier agrees to comply with AT&T’s corporate policy requiring Supplier or its
representatives, including employees and subcontractors, to exhibit their company photo
identification in addition to the AT&T issued photo identification when on AT&T’s premises.
	 
	c.	 	Supplier shall ensure that its representatives, including employees and subcontractors, while
on or off AT&T’s premises, will perform Work which (i) conform to the Specifications, (ii)
protect AT&T’s Material, buildings and structures, (iii) does not interfere with AT&T’s
business operations, and (iv) perform such Services with care and due regard for the safety,
convenience and protection of AT&T, its employees, and property and in full conformance with
the policies specified in the AT&T Code of Business Conduct, which prohibits the possession of
a weapon or an implement which can be used as a weapon (a copy of the AT&T Code of Business
Conduct is available upon request).

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

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SG021306.A.001

	d.	 	Supplier shall ensure that all persons furnished by Supplier work harmoniously with all
others when on AT&T’s premises.

4. Delete Section 4.5 Cingular Corporate Information Security Policy, Compliance by Business
Partners, Vendors, Contractors in its entirety and replace with the following new Section 4.5
AT&T Supplier Information Security Requirements (SISR);

AT&T Supplier Information Security Requirements (SISR)

Supplier shall comply with the requirements of Appendix “O” entitled “AT&T Supplier Information
Security Requirements (SISR).” In addition, STI shall not use a third party outside the United
States to perform data center operations and/or software development without AT&T’s prior written
approval.

5. Delete Section 4.2 Background Check and replace with the following new Section 4.2 Background
Checks;

Background Checks

	a.	 	Supplier, with respect to the following requirements in this Section (collectively,
“Background Checks”) and subject to any laws, rules or regulations which may limit any
Supplier action otherwise required by this section, (1) shall make all reasonable efforts,
including checking the background, verifying the personal information and conducting a Drug
Screen (only to those individuals who will have physical access to AT&T’s or its customer’s
premises) to determine and verify all information necessary to represent and warrant to AT&T
that no Supplier employee, contractor or subcontractor and no employee or agent of any
Supplier contractor or subcontractor (“Supplier Person”) who Supplier proposes to perform any
Service that permits physical, virtual or other access to AT&T ‘s or its customer’s premises,
systems, networks, or Information (“Access”) at any time during the Term, (a) has presented a
positive Drug Screen to those individuals who will have physical access to AT&T’s or its
customer’s premises, (b) has been convicted of (i) any felony, (ii) any misdemeanor involving
violence, sexually related criminal conduct, theft or computer crimes, fraud or financial
crimes, or crimes involving unlawful possession or use of a dangerous weapon, or (c) is
identified on any government registry as a sex offender; and (2) Supplier shall not permit any
such Person presenting a positive Drug Screen, so convicted, or so identified to perform any
Service that permits such Access during the Term.
	 
	b.	 	Supplier represents and warrants to AT&T that no Supplier Person has (i) falsified any of his
or her Identification Credentials, or (ii) failed to disclose any material information in the
hiring process relevant to the performance of any Service. Supplier shall not permit any
Supplier Person who has falsified such Identification Credentials or failed to disclose such
information to perform any Service that permits Access.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

4

 

SG021306.A.001

	c.	 	The following definitions apply:

	 	1.	 	“Identification Credentials” includes, with respect to each Supplier Person, his or her
Social Security number, driver’s license, educational credentials, employment history, home
address, and citizenship indicia.
	 
	 	2.	 	“Drug Screen” means the testing for the use of illicit drugs (including opiates,
cocaine, cannabinoids, amphetamines, and phencyclidine (PCP)) of any Supplier Person who
(i) has unsupervised (or badged) physical access to AT&T’s or its customer’s premises, or
(ii) has regular or recurring supervised physical access to AT&T’s or its customer’s
premises for more than thirty (30) days in the aggregate annually.

	d.	 	The failure of Supplier to comply with the requirements of this Section, and/or if any Person
who fails such Background Check or who has falsified Identification Credentials does perform
any Service that permits such Access, shall each be considered a material breach of this
Agreement; provided, however, such breach shall not entitle AT&T to terminate this Agreement
unless Supplier does not take action to remedy such failure within *** of written notice to
Supplier of such failure. Notwithstanding any of the foregoing, exceptions for individual
Supplier Persons may be granted by AT&T on a case-by-case basis.

6. Added new clause, Customer — Information as follows;

Customer — Information

	a.	 	For the purposes of this Section, “Customer Information” includes, but is not limited to,
customer name, address, e-mail address, and/or phone number (listed or unlisted); personal
information concerning a customer, including birth date, social security number, drivers
license, credit card information, bank account, account number or personal identification
numbers; information concerning a customer’s calling patterns, call details, records of
incoming or outgoing calls, or minutes of use or other use of AT&T’s services; information
related to payments, credit status, and transactions with AT&T; demographic information; or
aggregate customer data — including aggregate data with individual identifying information
deleted; and customer proprietary network information (“CPNI”) (as that term is defined in
Section 222 of the Communications Act of 1934, 47 U.S.C.222, as amended (“Section 222”), which
includes information available to AT&T by virtue of AT&T’s relationship with its customers as
a provider of telecommunications service and may include: the quantity, technical
configuration, location, type, destination, amount of use of telecommunications service
subscribed to, and information contained on the telephone bills of AT&T’s customers pertaining
to telephone exchange service or telephone toll service received by a customer of AT&T.
Except as provided herein, as between Supplier and AT&T, title to all Customer Information
shall be in AT&T. Except as otherwise provided herein, no license or rights to any Customer
Information are granted to Supplier hereunder.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

5

 

SG021306.A.001

	b.	 	Supplier acknowledges that Customer Information received may be subject to certain privacy
laws and regulations and requirements, including requirements of AT&T. Supplier shall consider
Customer Information to be private, sensitive and confidential. Accordingly, with respect to
Customer Information, Supplier shall comply with all applicable privacy laws and regulations and
requirements, including, but not limited to, the CPNI restrictions contained in Section 222.
Accordingly, Supplier shall:

	 	a.	 	not use any CPNI to market or otherwise sell products to AT&T’s
customers, except to the extent necessary for the performance of Services for AT&T
or as otherwise approved or authorized by AT&T in this Agreement or in writing;
	 
	 	b.	 	make no disclosure of Customer Information to any party other than
AT&T, except to the extent necessary for the performance of Services for AT&T or
except such disclosure required under force of law; provided that Supplier shall
provide AT&T with notice immediately upon receipt of any legal request or demand by
a judicial, regulatory or other authority or third party to disclose or produce
Customer Information; Supplier shall furnish only that portion of the Customer
Information that is legally required to furnish and shall provide reasonable
cooperation to AT&T (at AT&T’s cost) should AT&T exercise efforts to obtain a
protective order or other confidential treatment with respect to such Customer
Information;
	 
	 	c.	 	not incorporate any Customer Information into any database other than
in a database maintained exclusively for the storage of AT&T’s Customer
Information;
	 
	 	d.	 	not incorporate any data from any of Supplier’s other customers,
including Affiliates of AT&T, into AT&T’s customer database;
	 
	 	e.	 	make no use whatsoever of any Customer Information for any purpose
except to comply with the terms of this Agreement;
	 
	 	f.	 	make no sale, license or lease of Customer Information to any other
party;
	 
	 	g.	 	restrict access to Customer Information to only those employees of
Supplier that require access in order to perform Services under this Agreement;
	 
	 	h.	 	prohibit and restrict access or use of Customer Information by any of
Supplier’s other customers, Supplier’s Affiliates, or third parties except as may
be agreed otherwise by AT&T;
	 
	 	i.	 	promptly return all Customer Information to AT&T upon expiration,
Termination or Cancellation of this Agreement or applicable schedule or Order,
unless expressly agreed or instructed otherwise by AT&T; and
	 
	 	j.	 	immediately notify AT&T upon Supplier’s awareness of (i) any breach of
the above-referenced provisions, (ii) any disclosure (inadvertent or otherwise) of
Customer Information to any third party not expressly permitted herein to receive
or have access to such Customer Information, or (iii) a breach of, or other
security incident involving, Supplier’s systems or network that could cause or
permit access to Customer

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

6

 

SG021306.A.001

	 	 	 	Information inconsistent with the above-referenced provisions, and such notice shall
include the details of the breach, disclosure or security incident. Supplier shall
fully cooperate with AT&T in determining, as may be necessary or appropriate, actions
that need to be taken including, but not limited to, the full scope of the breach,
disclosure or security incident, corrective steps to be taken by Supplier, the nature
and content of any customer notifications, law enforcement involvement, or
news/press/media contact etc., and Supplier shall not communicate directly with any
AT&T customer relating to such breach without AT&T’s consent, which such consent
shall not be unreasonably withheld.

7. Add new clause, Quality Assurance as follows;

Quality Assurance:

	a.	 	In addition to its obligations under the Section entitled “Warranty,” Supplier represents and
warrants that:

	 	1.	 	all processes utilized to produce Material and provide Services are controlled
and adequate to Deliver consistent with Specifications and this Agreement;
	 
	 	2.	 	Supplier has evaluated the process controls of its subcontractors and vendors
and has determined that they are adequate to Deliver Materials and Services consistent
with Specifications and this Agreement; and
	 
	 	3.	 	all Material and Services are subjected to the above-mentioned process
controls.

For information purposes only, excellent Quality Management System guidance can be found in TL
9000 and ISO 9001:2000. Copies of ISO 9001:2000 may be ordered through the American Society for
Quality at 800.248.1946. Copies of TL 9000 Handbooks may be ordered through the QuEST Forum web
site at www.tl9000.org. Select the Handbook’ link from the TL 9000 home page, which will direct
you to the TL 9000 Handbooks purchase page.

	b.	 	Throughout the term of this Agreement, Supplier shall periodically evaluate process controls
to verify whether each is still adequate to Deliver Material and Services consistent with
Specifications and this Agreement. AT&T reserves the right to request a review of such
process controls throughout the term of this Agreement.
	 
	c.	 	If Supplier or AT&T, at any time during the term of this Agreement, determines that the
process controls are insufficient to meet the obligations herein, then at no additional charge
to AT&T, Supplier shall

1. provide to AT&T a quality plan to remedy such insufficient Quality Process. Such quality
plan shall include the following information, in detail:

	 	i.	 	a schedule for achieving an adequate Quality Process; and

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

7

 

SG021306.A.001

	 	ii.	 	the actions that will achieve and remedy such insufficiencies.

	d.	 	If requested by AT&T Supplier shall:

1. provide performance measurements periodically that demonstrate compliance with the
Specifications and this Agreement.

2. The Parties shall mutually agree upon appropriate performance measurements.

3. Should remedy efforts described above fail to address insufficiencies within ***,
whichever is earlier, or within a time period as mutually agreed, Supplier shall engage a
third party consultant to perform quality control or quality assurance activities. Supplier
shall provide AT&T or AT&T’s agent with notice of such engagement, including the name of the
third party consultant, and shall provide AT&T or AT&T’s agent with cooperative assistance
to such consultant.

	e.	 	Nothing contained in this Clause, “Quality Assurance,” will diminish Supplier’s obligation
to Deliver Material and perform Services in conformance to Supplier’s obligations in this
Agreement.

8. Add new clause, Third Party Administrative Services as follows;

Third Party Administrative Services

Supplier acknowledges that a third party administrator will perform certain administrative
functions for AT&T in relation to this Agreement. Such administrative functions may include:

	 	a.	 	Collecting and verifying certificates of insurance;

	 
	 	b.	 	Providing financial analysis;
	 
	 	c.	 	Verifying certifications under the Section entitled “Utilization of Minority, Women,
and Disabled Veteran Owned Business Enterprises”; and
	 
	 	d.	 	Collecting and verifying Supplier profile information.

Supplier shall cooperate with such third party administrator in its performance of such
administrative functions and shall provide such data as from time to time the third party
administrator may reasonably request. Further, notwithstanding any other provision of this
Agreement, Supplier agrees that AT&T may provide confidential Information regarding Supplier to
such third party administrator to the extent required for such third party administrator to perform
such functions. Supplier agrees to pay the third party administrator an annual fee for the
performance of these administrative functions, which annual fee shall not exceed *** and a one time
set-up fee of ***.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

8

 

SG021306.A.001

9. Add new clause, Electronic Data Interchange (EDI) as follows;

Electronic Data Interchange (EDI)

	a.	 	At the request of AT&T, the Parties shall exchange Orders, payments, acknowledgements,
invoices, remittance notices, and other records (“Data”) electronically, in place of tangible
documents. In such case, the parties will mutually agree how they shall exchange Data whether
by direct electronic or computer systems communication between AT&T and Supplier, or
indirectly through third party service providers with which either Party may contract or a
single AT&T-designated third party service provider with which each Party shall contract
independently (“Provider”), to translate, forward and/or store such Data. If the Parties
exchange Data directly, they agree to exchange it in accordance with the Telecommunications
Industry Forum EDI Guidelines for use of American National Standards Institute (ANSI)
Accredited Standards Committee X12 transaction sets or a mutually agreeable proprietary format
or another standard such as Extensible Markup Language (XML).
	 
	b.	 	The following additional conditions apply to any such exchanges:

	 	1.	 	Garbled Transmissions: If any Data is received in an unintelligible, electronically
unreadable, or garbled form, the receiving Party shall promptly notify the originating
Party (if identifiable from the received Data) in a reasonable manner. In the absence of
such notice, the originating Party’s record of the contents of such Data shall control.
	 
	 	2.	 	Signatures: If EDI is used, each Party will incorporate into each EDI transmission an
electronic identification consisting of symbol(s) or code(s) (“Signature”). Each Party
agrees that any predetermined Signature of such Party included in or affixed to any EDI
transmission shall be sufficient to verify such Party originated, “signed” and “executed”
such transmission. No Party shall disclose to any unauthorized person the Signatures of
the Parties hereto.
	 
	 	3.	 	Statute of Frauds: The Parties expressly agree that all Data transmitted pursuant to
this Section shall be deemed to be a “writing” or “in writing” for purposes of Section
2-201 of the Uniform Commercial Code (“UCC”) or any other applicable law requiring that
certain agreements be in writing and signed by the party to be bound thereby. Any such
Data containing or having affixed to it a Signature shall be deemed for all purposes: (i)
to have been “signed” and “executed”; and (ii) to constitute an “original” when printed
from electronic files or records established and maintained in the normal course of
business.
	 
	 	4.	 	Method of Exchange: Each Party shall be responsible for its own cost(s) to provide and
maintain the equipment, software and services necessary to effectively and reliably
transmit and receive Data, and the associated charge(s) of any Provider with which it
contracts. Supplier shall be solely responsible for the cost of storing its information or
Data on a Provider’s computer network, which may be retrieved by AT&T at no additional
charge to AT&T by Supplier. Either Party may change a Provider upon thirty (30) days’
prior written notice to the other Party, except that if a single Provider for both Parties
has been designated

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

9

 

SG021306.A.001

	 	 	 	by AT&T, then AT&T may change the Provider upon thirty (30) days’ prior written notice to
Supplier.
	 
	 	5.	 	Warranty of Data Integrity: Supplier represents and warrants that any of Data and/or
information created by Supplier which is either transmitted to AT&T by Supplier or stored
by Supplier on a Provider’s network for access by AT&T a) do not contain any Harmful Code
(“Harmful Code” means computer viruses, worms, trap doors, time bombs, undocumented
passwords, disabling code (which renders Material unusable until a patch or new password is
provided), or any similar mechanism or device. Notwithstanding the above, enabling keys
which are provided by Supplier to ensure conformance to product licensing restrictions
shall be permitted, however, these enabling keys may not interfere with the proper use of
the Material at any time after initial installation.) or vulnerability, and b) do not
infringe or violate any third party’s copyright, patent, trademark, trade secret or other
proprietary rights or rights of publicity or privacy; provided, however, AT&T uses such
Data and/or information for its internal use and does not distribute such Data and/or
information. Supplier further represents and warrants that all product and pricing
information provided in its catalogues either stored on a Provider’s network or transmitted
to AT&T by Supplier is current, accurate and complete. In the event more favorable prices
or terms appear in Data transmitted to AT&T by Supplier than appear in Supplier’s current
catalogue and such price or terms is for the identical product or service, AT&T will be
entitled to the more favorable prices or terms contained in the Data.

10. Add new clause, Entry on AT&T Property as follows;

Entry on AT&T Property

	a.	 	If the performance of the Services provided hereunder requires Supplier’s entry upon property
owned or controlled by AT&T, Supplier is hereby notified that AT&T-owned buildings constructed
prior to 1981 may contain asbestos containing materials (“ACM”) and/or presumed asbestos
containing materials (“PACM”) and may also contain both natural and artificial conditions and
activities involving risk of harm. AT&T has not inspected such property for the purposes of
this Agreement and has not taken any efforts to discover or make safe dangerous conditions or
activities for the purpose of Supplier’s performance of Services.
	 
	b.	 	Supplier shall be responsible for inspecting the Services site for unsafe conditions and
taking the necessary safety precautions for protection of Supplier, its employees, and agents
and ensuring a safe place for performance of the Services. As a material condition of this
Agreement, Supplier, for itself and its employees and agents, assumes all risk of dangers
associated with access to the property by its employees, including any potential asbestos
exposure, and responsibility for OSHA notice requirements including:

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

10

 

SG021306.A.001

	 	1.	 	contacting the appropriate AT&T Project manager responsible for the property to
determine the presence, location and quantity of ACM/PACM that Supplier’s employees may
reasonably be expected to work in or be adjacent to;
	 
	 	2.	 	informing Supplier’s employees of the presence, location and quantity of ACM/PACM
present in the property that Supplier’s employees may reasonably be expected to work in or
be adjacent to and the precautions to be taken to ensure that airborne ACM/PACM is confined
to the identified ACM/PACM area; and
	 
	 	3.	 	informing the appropriate AT&T Project manager and other employers of employees at the
property, of the presence, location and quantity of any newly discovered ACM/PACM
identified by Supplier promptly and shall use commercial reasonable efforts to inform such
manager within twenty-four (24) hours of discovery.

	c.	 	Supplier hereby releases AT&T from any and all claims or causes of action in connection with
the responsibilities hereby assumed by Supplier, and agrees to indemnify, hold harmless and
defend, AT&T, its Affiliates and their agents and employees against any Loss arising from any
claim by Supplier or its employees therefrom in accordance with the Section entitled
“Indemnity.”

11. Add new clause, Reimbursable Expenses as follows;

Reimbursable Expenses

AT&T is not responsible for any travel, meal or other business related expense incurred by Supplier
whether or not incurred in its performance of its obligations under this Agreement, unless
reimbursement of expenses is expressly authorized in this Agreement or an Order pursuant to this
Agreement. If reimbursement of expenses is so authorized, in order to be reimbursable, each and
every such expense must comply with the requirements of AT&T’s Vendor Expense Policy attached
hereto and incorporated herein as Appendix Z. Supplier must provide in a timely manner receipts
and other documentation as required by the Vendor Expense Policy and such additional documentation
or information requested by AT&T to substantiate expenses submitted by Supplier for reimbursement.

12. Add new Section, Confidentiality & Invention Agreement as follows;

Confidentiality & Invention Agreement

Supplier shall ensure that all individuals who provide Services under this Agreement sign the
attached Confidentiality and Invention Agreement, Appendix I, and shall deliver an executed copy to
AT&T no later than the commencement of performance of such Services.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

11

 

SG021306.A.001

13. Add new Section, *** as follows;

***

a. ***

b. ***

c. ***

14. Add a new Section, Change Control as follows:

     Change Control

The Parties agree that all changes to this Agreement and to an Order/SOW must be in writing and
signed by the Party against whom enforcement is sought. Any change to an Order/SOW shall take the
form of a Change Order. The Parties agree to follow a process substantially similar to that
specified in Appendix M.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

12

 

SG021306.A.001

15. To delete Section 3.30 Term of Agreement in its entirety and replace with a new Section 3.30
Term of Agreement as follows:

     3.30 Term of Agreement

	 	a.	 	This Agreement will continue in effect for a term from the Effective Date until
December 31, 2013, unless it is Cancelled or Terminated before that date. The Parties may
extend the term of this Agreement beyond that date by mutual written agreement.
	 
	 	b.	 	Any Order in effect on the date when this Agreement expires or is Terminated or
Cancelled will continue in effect until such Order either (i) expires by its own terms of
(ii) is separately Terminated or Cancelled, prior to its own expiration, as provided in
this Agreement. The terms and conditions of this Agreement shall continue to apply to such
Order as if this Agreement were still in effect.

IN WITNESS WHEREOF, the Parties have caused this Amendment to Agreement No.
SG021306 to be executed, which may be in duplicate counterparts, each of which
will be deemed to be an original but all of which together will constitute only
one instrument, as of the date the last Party signs.

	 	 	 
	Synchronoss Technologies, Inc.

	 	AT&T Services, Inc.
	 
	 	 
	By:

	 	By:
	 
	 	 
	Printed Name:

	 	Printed Name: Oliver Turman
	 
	 	 
	Title:

	 	Title: Director, Contract/Sourcing Operations
	 
	 	 
	Date:

	 	Date:

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

13

 

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Appendix I — Confidentiality and Invention Agreement

CONFIDENTIALITY AND INVENTION AGREEMENT

This Agreement (“Agreement”) dated                         
 is made by the individual named below (“I” or
“me”), who is engaged to perform work at ___[Insert name of AT&T company that worker will be
doing work for.]                             (“AT&T Company”), as a worker of
                             (“Supplier”) under the terms and conditions of the agreement named below,
between Supplier and      AT&T              .

	 	I.	 	Background
	 
	 	 	 	I have been engaged by Supplier to provide services to AT&T Company. I may be hired by Supplier
as a full or part-time employee, a temporary worker, or as an independent contractor
	 
	 	II.	 	Information. I agree and understand that the term “Information” means any technical,
customer or business information in written, graphical, oral or other tangible or intangible
forms, including but not limited to, specifications, records, data, computer programs, tax
returns, tax workpapers, drawings, models and secrets which AT&T Company may have in its
possession or be legally obligated to keep confidential. I understand that during the course
of my work at AT&T Company, I may have access to Information that belongs to AT&T Company, its
customers or other parties, or may be subject to privacy laws and laws regarding secrecy of
communications, and that unauthorized disclosure of such Information may be harmful or
prejudicial to the interests of AT&T Company. I agree not to disclose, copy, publish, or any
way use, directly or indirectly, such Information for my purposes or the purposes of others,
unless such disclosure or use is expressly authorized in writing by AT&T Company. I agree to
keep such Information in a secure environment to prevent the inadvertent disclosure of such
Information to others. I acknowledge and agree that all such Information remains the
exclusive property of AT&T Company and I agree not to remove such Information from AT&T
Company’s possession or premises by physical removal or electronic transmission unless I have
written authorization from AT&T Company to do so.
	 
	 	III.	 	Innovations
	 
	 	1.	 	I understand that during and incident to my work at AT&T Company, I may create inventions,
discoveries, improvements, computer or other apparatus programs, and related documentation and
other works of authorship (“Innovations”), whether or not patentable, copyrightable, or
subject to other forms of legal protection. To the extent that AT&T Company owns such
Innovations under its agreement(s) with Supplier, I assign to AT&T Company all of my rights,
title and interest (including rights in copyright) in and to all Innovations I make, create or
develop, either solely or jointly with others, during my work at AT&T Company. I agree that
the above assignment is binding upon my estate, administrators, or other legal representatives
or assigns.
	 
	 	2.	 	I agree to promptly notify AT&T Company of all such Innovations. Whenever requested by AT&T
Company, I shall promptly execute, without additional compensation, any and all instruments
which AT&T Company may deem reasonably necessary to assign and convey to AT&T Company all of
my rights, title and interest in and to all such Innovations to the extent that AT&T Company
owns such Innovations under its agreement(s) with Supplier. In addition, I agree to assist
AT&T Company in preparing copyright or patent applications and to execute such applications
and all documents reasonably required to obtain copyrights or patents for such Innovation, all
at AT&T Company’s expense including compensation to me at the rates specified in the agreement
named below. I agree that my obligation to execute such instruments shall continue after the
expiration of my work with AT&T Company.
	 
	 	3.	 	THIS AGREEMENT DOES NOT APPLY TO ANY INNOVATION MADE IN THE STATE OF KANSAS FOR WHICH NO
EQUIPMENT, SUPPLIES, FACILITIES OR TRADE SECRET INFORMATION OF AT&T COMPANY WAS USED AND WHICH WAS
DEVELOPED ENTIRELEY ON MY OWN TIME, UNLESS THE INNOVATION IS OWNED BY AT&T UNDER ITS AGREEMENT(S)
WITH SUPPLIER AND (1) THE INNOVATION RELATES TO THE BUSINESS OF THE AT&T COMPANY OR THE AT&T
COMPANY’S ACTUAL OR DEMONSTRABLY ANTICIPATED RESEARCH OR DEVELOPMENT OR (2) THE INVENTION RESULTS
FROM ANY WORK PERFORMED BY ME FOR AT&T COMPANY. THIS AGREEMENT DOES NOT APPLY TO AN INVENTION MADE
IN CALIFORNIA WHICH QUALIFIES FULLY UNDER THE PROVISIONS OF CALIFORNIA LABOR CODE SECTION 2870.
Section III, Paragraphs 1 and 2 do not apply to any Innovation which, under the provisions in the
Agreement named below, is to be other than the sole and exclusive property of AT&T Company; the
title provisions of said agreement apply to any such above Innovation.
	 
	 	IV.	 	Administrative Terms

	 
	 	1.	 	This Agreement shall be effective as of the date executed below, and shall remain in
effect notwithstanding my termination of employment with Supplier or termination of my work
at AT&T Company.
	 
	 	2.	 	In the event that any provision of this Agreement is held to be invalid or
unenforceable, then such invalid or enforceable provisions shall be severed, and the
remaining provisions shall remain in full force and effect to the fullest extent permitted
by law.

I have read, understand and agree to abide by this Agreement.

	 	 	 
	By:                                                      
                                        

	 	Date:                                                    
	Print Name:                                                            
                    

	 	Social Security Number:                    
	Address:                                                  
                                                                                                   
                                         
	Agreement No. between Supplier and AT&T:                                              Effective Date:
                                        

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

14

 

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Appendix N — ***

     ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

15

 

SG021306.A.001

     ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

16

 

SG021306.A.001

     ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

17

 

SG021306.A.001

     ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

18

 

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     ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

19

 

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Appendix M — Change Control Process and Forms

Change Control Process

If either Party identifies the need for any change to the Specifications (“Change Control”) under
this Agreement, including any Order, the Parties shall proceed in accordance with the Change
Control Process set forth herein.

	A.	 	If AT&T is the Party submitting the request, AT&T shall complete Form A and describe in
reasonable detail the change it is proposing, and any effects on other Specifications or on
the delivery schedule of which it is aware. Supplier shall strive to respond to such request
as soon as reasonably practical, but no later than ***. Supplier’s response shall be provided
by using Form B. Subsequent communication shall use Form A and Form B, as the case may be,
until the Parties either agree upon the terms pursuant to which the proposed change will be
made, or agree that the proposed change will not be made and agree to close the proposed
Change Order. An agreement to proceed with the proposed change must be documented by using
Form E.

	B.	 	If Supplier is the Party submitting the request, Supplier shall complete Form C and describe
in reasonable detail the change it is proposing, and the effects, if any, on other
Specifications, schedule, and cost. AT&T shall strive to respond to such request as soon as
reasonably practical, but no later than ***. AT&T’s response shall be provided by using Form
D. Subsequent communication shall use Form C and Form D, as the case may be, until the
Parties either agree upon the terms pursuant to which the proposed change will be made, or
agree that the proposed change will not be made and agree to close the proposed Change Order.
An agreement to proceed with the proposed change must be documented by using Form E.

	C.	 	The rights and obligations of both Parties in connection with this Agreement, including any
Order, shall not be changed, until a proposed Change Order is agreed to by executing Form E.
Until both Parties have executed Form E, each Party shall continue to perform its obligations
in accordance with the Agreement and the Order(s) placed under this Agreement.

	D.	 	In the event Form E contains terms that are different than those set forth in this Agreement
or the Order(s), the terms contained in Form E shall apply.

	E.	 	The Change Control Log, included as Form F, shall be used by the Parties to track and monitor
all proposed changes.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

20

 

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FORM A

AT&T PROPOSED CHANGE ORDER

Change Order #: ___________

Date: _____________________               Affected Order(s): ____________

	1.	 	Proposed Specification Changes — [Identify the Specification(s), including
where the Specification(s) is described in the Order, and summarize in reasonable
detail the proposed changes to such Specification(s).]
	 
	2.	 	Effective Date For Proposed Change:
	 
	 	 	Date: _______________
	 
	3.	 	Summarize Expected Or Possible Impact On Other Specifications Or Schedule
	 
	4.	 	Specify Any Key Assumptions, Acceptance Criteria, Additional Terms, Or Other
Important Information

	 	 	 	 	 
	Direct all Inquiries to AT&T’s Project Manager:	 	 
	
 
	 	 
	 
	 	 	 	 
	
Submitted by:
	 	 	 	 
	 

	 	 	 	 
	Telephone #:

	 	Fax #:	 	 
	 
	 	 
	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

21

 

SG021306.A.001

FORM B

Supplier REPLY TO AT&T PROPOSED CHANGE ORDER

Change Order #: ____________

Date: _____________________               Affected Order(s): ____________

	1.	 	Proposed Specification Changes [Reiterate and summarize Supplier’s
understanding of the proposed changes to the Specification(s)]
	 
	2.	 	Effective Date For Proposed Change [Indicate the date the change can be
implemented.]
	 
	 	 	Date: _______________
	 
	3.	 	Summarize Expected Or Possible Impact On Other Specifications Or Schedule
[Indicate the impact on other Specifications, schedule of delivery, and cost/budget, if
any.]
	 
	4.	 	Specify Any Key Assumptions, Acceptance Criteria, Additional Terms, Or Other
Important Information

	 	 	 	 	 
	Direct all Inquiries to Supplier’s Project Manager:	 	 
	
 
	 	 
	 
	 	 	 	 
	Submitted by:
	 	 	 	 
	 

	Telephone #:

	 	Fax #:	 	 
	 
	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

22

 

SG021306.A.001

FORM C

Supplier PROPOSED CHANGE ORDER

Change Order #: ____________

Date: _____________________               Affected Order(s): ____________

	1.	 	Proposed Specification Changes — [Identify the proposed Specification(s)
and describe in reasonable detail the proposed changes.]
	 
	2.	 	Effective Date For Proposed Change:
	 
	 	 	Date: _______________
	 
	3.	 	Summarize Expected Or Possible Impact On Other Specifications Or Schedule
[Indicate the impact on other Specifications, schedule of delivery, and cost/budget, if
any.]
	 
	4.	 	Specify Any Key Assumptions, Acceptance Criteria, Additional Terms, Or Other
Important Information

	 	 	 	 	 
	Direct all Inquiries to Supplier’s Project Manager:	 	 
	
 
	 	 
	 
	 	 	 	 
	Submitted by:
	 	 	 	 
	 

	Telephone #:

	 	Fax #:	 	 
	 
	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

23

 

SG021306.A.001

FORM D

AT&T’S REPLY TO Supplier’s PROPOSED CHANGE ORDER

Change Order #: ___________

Date: _____________________               Affected Order(s): ____________

	1.	 	Proposed Specification Changes [Reiterate and summarize AT&T’s
understanding of the proposed changes to the Specification(s)]
	 
	2.	 	Effective Date For Proposed Change [Indicate the proposed effective date of
the change.]
	 
	 	 	Date: __________
	 
	3.	 	Summarize Expected Or Possible Impact On Other Specifications Or Schedule
[Indicate the impact on other Specifications, schedule of delivery, and cost/budget, if
any AT&T expects may occur as a result of Supplier’s proposed change.]
	 
	4.	 	Specify Any Key Assumptions, Acceptance Criteria, Additional Terms, Or Other
Important Information [Indicate on what basis AT&T would be willing to agree to
Supplier’s proposed change order.]

	 	 	 	 	 
	Direct all Inquiries to AT&T’s Project Manager:	 	 
	
 
	 	 
	
Submitted by:
	 	 	 	 
	 

	Telephone #:

	 	Fax #:	 	 
	 
	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

24

 

SG021306.A.001

FORM E

CHANGE CONTROL APPROVAL

Change Order #: ___________

Date: _____________________               Affected Order(s): ____________

	1.	 	Agreed Upon Change To Specification(s): [Identify Specification that will
be changed.]
	 
	2.	 	Date Scope Change Effective:[State the date the change will be effective.]
	 
	 	 	Date:___________
	 
	3.	 	Describe Scope Change, including any Specifications: [Describe the agreed upon
change in full detail.]
	 
	4.	 	Revised price, payment schedule, delivery schedule, acceptance terms, if any, of
the proposed change:  [State any changes to the original delivery schedule, original
price, and payment schedule.]
	 
	5.	 	Additional Terms and Conditions: [State any terms and conditions that
apply to the proposed change.]

IN WITNESS WHEREOF, the Parties approve this Change Order No. ___ and incorporate it into
Order No. ___. If the terms of this Change Order are inconsistent with the terms of
Order No. ___or the Agreement, the terms of this Change Order shall control.

	 	 	 	 	 	 	 
	[Insert Supplier’s Name]
 	 	ATT SERVICES, INC.
	By:

	 	 	 	By:	 	 
	 

	 	 
	 	 	 	 
	 

	 	Printed Name:
	 	 	 	Printed Name:
	 

	 	 

	 	 	 	 

	 

	 	Title:
	 	 	 	Title:
	 

	 	 

	 	 	 	 

	 

	 	Date:
	 	 	 	Date:
	 

	 	 

	 	 	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

25

 

SG021306.A.001

FORM F

CHANGE CONTROL LOG

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Change	 	Priority	 	Description	 	Level of	 	 	 	 	 	Status
	Change Order Number	 	Component	 	(High, Med., Low)	 	of Change	 	Effort	 	Comments	 	Status	 	Date
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

26

 

SG021306.A.001

Appendix O — Security Attachment (SISR)

AT&T Supplier Information Security Requirements V3.6 (July 2008)

The following AT&T Supplier Information Security Requirements (“Security Requirements”) apply to
Supplier, its subcontractors, and each of their employees and/or temporary workers, contractors,
vendors and/or agents who perform Services for, on behalf of, and/or through AT&T (for the purpose
of this Appendix, each or all “Supplier”) that include any of the following:

1. Supplier’s performance of Services that involve the collection, storage, handling, or
disposal of AT&T confidential Information;

2. Supplier-offered or -supported AT&T branded services using non-AT&T network and computing
resources;

3. Connectivity to AT&T non-public networks and computing resources;

4. Custom software development or software implementation; or

5. Website hosting and development for AT&T and/or AT&T’s customers.

Supplier shall be fully compliant with these Security Requirements prior to the performance of any
such Services.

Supplier represents and warrants that during the term of this Agreement and thereafter (as
applicable with respect to Supplier’s obligations under the Survival of Obligations clause)
Supplier is, and shall continue to be, in compliance with its obligations as set forth herein. In
addition to all other remedies specified in the Agreement, Supplier agrees that AT&T shall be
entitled to seek an injunction, specific performance or other equitable relief and be reimbursed
the costs (including reasonable attorney’s fees) by Supplier to enforce the obligations in these
Security Requirements, including those that survive Termination, Cancellation or expiration of this
Agreement. The provisions of this Appendix shall not be deemed to, and shall not, limit any more
stringent security or other obligations of the Agreement.

Definitions:

Unless otherwise set forth or expanded herein, defined terms shall have the same meaning as set
forth in the main body of the Agreement.

“Information Resources” means any systems, applications, and network elements, and the information
stored, transmitted, or processed with these resources in conjunction with supporting AT&T
and/or used by Supplier in fulfillment of its obligations under this Agreement.

“Sensitive Personal Information” or “SPI” means any information that could be used to uniquely
identify, locate, or contact a single person (or potentially be exploited to steal the identity
of an individual, commit fraud or perpetuate other crimes). Examples of SPI include, but are not

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

27

 

SG021306.A.001

limited to, social security numbers, national-, state- or province-issued identification number,
drivers license numbers, dates of birth, bank account numbers, credit card numbers, and other
credit related information, PINs, passwords, passcodes, password hint answers, Protected Health
Information as defined by the Health Insurance Portability and Accountability Act (HIPAA),
biometric data, digitized signatures, and background check details.

In accordance with the foregoing, Supplier shall:

***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

28

 

SG021306.A.001

***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

29

 

SG021306.A.001

***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

30

 

SG021306.A.001

***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

31

 

SG021306.A.001

***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

32

 

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***

Connectivity Requirements

In the event Supplier has, or will be provided, connectivity (e.g., access to AT&T’s or its
customers’ networks) in conjunction with this Agreement, then in addition to the foregoing, the
following Security Requirements shall apply to Supplier:

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

33

 

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     1. ***

     2. ***

     3. ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

34

 

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Appendix Z — Vendor Expense Policy

1.0 General

The AT&T Vendor Expense Policy (VEP) provides guidelines to be followed by all vendors of AT&T in
requesting reimbursement for business travel, meals and other business related expense. Expenses
outside this policy are not reimbursable.

The following principles apply to requests for expense reimbursement:

When spending money that is to be reimbursed, vendors must ensure that an AT&T Company (“Company”)
receives proper value in return.

The concept that a vendor and their employees are ‘entitled’ to certain types or amounts of
expenditures while conducting business with the Company is erroneous. Personal expenditures
reported for reimbursement should be billed exactly as they were incurred. The use of averages for
any type expenditure or combination of expenditures is not permitted except as specifically
provided or documented in a contract.

Every vendor and AT&T employee who certifies or approves the correctness of any voucher or bill
should have reasonable knowledge the expense and amounts are proper and reasonable. In the absence
of the adoption of such policy, or existing contractual agreements, these guidelines are considered
the minimum requirements for requesting reimbursement of Company funds.

Receipts will be requested and reviewed for any unusual or out of the ordinary expenses or where
the approver cannot make a reasonable determination of the propriety of the invoice without a
receipt.

The origination of a given expenditure for business purposes is the responsibility of the vendor
incurring the expense and the authorization of that expense is the responsibility of the
appropriate level of AT&T management in accordance with the Schedule of Authorizations for
Affiliates of AT&T Inc.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

35

 

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1.1 Non-Reimbursable Expenses

The following is a list, although not all inclusive, of expenses considered not reimbursable:

	 	•	 	Airline club membership fees, dues, or upgrade coupon
	 
	 	•	 	Meals not consistent with AT&T employee policy
	 
	 	•	 	Annual credit card fees
	 
	 	•	 	Barber/Hairstylist/Beautician Expenses
	 
	 	•	 	Car rental additional fees associated with high speed toll access programs
	 
	 	•	 	Car Washes
	 
	 	•	 	Entertainment expenses
	 
	 	•	 	Health Club and Fitness facilities
	 
	 	•	 	Hotel safe rental
	 
	 	•	 	Upgrades on airline, hotel, or car rental fees
	 
	 	•	 	Excessive tips, i.e., in excess of 15% to 18% of cost of meal or services, excluding
tax
	 
	 	•	 	PC, cell phone, and other vendor support expenses (unless specifically authorized in
the agreement)
	 
	 	•	 	Meals not directly required to do business on the AT&T account (e.g. vendors cannot
voucher lunch with each other simply to talk about AT&T)
	 
	 	•	 	In-flight drinks or meals
	 
	 	•	 	Magazines & newspapers
	 
	 	•	 	Personal entertainment
	 
	 	•	 	Expenses associated with spouses or other travel companions
	 
	 	•	 	Office expenses of vendors
	 
	 	•	 	Surcharges for providing fast service (not related to delivery charges such as
Fedex, UPS, etc.). AT&T expects all vendors to complete the terms of contracts in the
shortest period practicable. Charges for shortening the timeframe in which contracts are
fulfilled are not permissible.
	 
	 	•	 	Expenses to cover meals or expenses for an AT&T employee, whether in a home location
or on official travel
	 
	 	•	 	Travel purchased with prepaid air passes.
	 
	 	•	 	Birthday cakes, lunches, balloons, and other personal celebration/recognition costs
	 
	 	•	 	Break-room supplies for the vendor, such as coffee, creamer, paper products, soft
drinks, snack food
	 
	 	•	 	Water (bottled or dispensed by a vendor), (unless authorized for specific countries
where it is recommended that bottled water is used)
	 
	 	•	 	Clothing, personal care, and toiletries
	 
	 	•	 	Laundry (except when overnight travel is required for 7 or more consecutive nights)
	 
	 	•	 	Flight or rental car insurance
	 
	 	•	 	Flowers, cards and gifts
	 
	 	•	 	Hotel pay-per-view movies, Video Games and/or mini bar items

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

36

 

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	 	•	 	High speed internet access in hotels (added to 3.5)
	 
	 	•	 	Lost luggage
	 
	 	•	 	Traffic or Parking Fines
	 
	 	•	 	Tobacco Products
	 
	 	•	 	Medical supplies
	 
	 	•	 	Membership fees to exercise facilities or social/country clubs
	 
	 	•	 	Movies purchased while on an airplane
	 
	 	•	 	Phone usage on airline unless AT&T business emergency

The failure to comply with the above mentioned restrictions will result in the Company refusing
payment of charges or pursuing restitution from the vendor.

2.0 Responsibilities

     2.1 Vendor’s Responsibility

AT&T’s sponsoring managers will ensure that vendors have been covered on this policy prior
to incurring any expenditure. Vendors and their sponsoring AT&T managers are responsible
for clarifying any questions or uncertainties they may have relative to reimbursable
business expenses.

It is mandatory that financial transactions are recorded in a timely manner. Out-of-pocket
business expense(s) for vendors that are not submitted for reimbursement within 90
calendar days from the date incurred are considered non-reimbursable. Company managers who
are responsible for approving reimbursable expenses of vendors should ensure they are
submitted and approved in a timely manner.

3.0 Travel Policy

Vendors must first consider the feasibility of using videoconferencing or teleconferencing
as an alternative to travel. Travel that is to be reimbursed by AT&T should be incurred
only as necessary and pre-approved by AT&T (unless otherwise authorized in the agreement).

AT&T reserves the right to dispute any expense submittal and if not verifiable as valid may
reject reimbursement. Reimbursements will be made to vendor only after expenses are
verified as valid.

     3.1 Travel Authorization

Travel requiring overnight stays must be pre-approved by the sponsoring AT&T Senior
Manager (5th Level or above) and should be approved only if it is necessary for
the vendor to travel to perform required work.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

37

 

SG021306.A.001

     3.2 Travel Reservations

Vendors are expected to procure the most cost efficient travel arrangements, preferably
equivalent to the AT&T discount rate. AT&T does not reimburse for travel purchased with
prepaid air passes.

     3.3 Travel Expense Reimbursement

Vendor travel expenses incurred for company business are reimbursable only as specified in
these guidelines. Travel expenses may include the following:

	 	•	 	Transportation (airfare or other commercial transportation, car rental, personal
auto mileage, taxi and shuttle service)
	 
	 	•	 	Meals and lodging
	 
	 	•	 	Parking and tolls
	 
	 	•	 	Tips/porter service (if necessary and reasonable)
	 
	 	•	 	Vendors who stay with friends or relatives or other vendor employees while on a
Company business trip will NOT be reimbursed for lodging, nor will they be reimbursed
for expenditures made to reciprocate their hospitality by buying groceries, being host
at a restaurant, etc.

The expense must be ordinary and necessary, not lavish or extravagant, in the judgment of
the AT&T sponsoring management. Any reimbursement request must be for actual expenditures
only.

     3.4 Air Travel Arrangements

Vendors must select lowest logical airfare (fares available in the market at the time of
booking, preferably well in advance of trip to attain lowest possible airfare). Vendors
shall book coach class fares for all travel at all times. First class bookings are not
reimbursable. Vendors can request business class when a single segment of flight time (“in
air time” excluding stops, layovers and ground time) is greater than 8 hours providing the
relevant manager pre-approves.

     3.5 Hotel Arrangements

AT&T has established Market-Based Room Rate Guidelines for vendors to reference when making
hotel reservations in the United States (see Addendum A). U.S. vendors traveling outside
the U.S. should reference the GSA, Government Per Diem as a guide:
http://aoprals.state.gov/web920/per_diem.asp. Non-US vendors may use these dollar per diems
as a guide, but any locally specified per diems will take precedence. Vendors are expected
to abide by these guidelines when making hotel arrangements or use specified AT&T preferred
hotels/maximum location rates or reasonably priced hotels outside of the U.S... The AT&T
supplier manager can advise which hotel/max rate to use if there is a hotel in the location
concerned. AT&T will only reimburse vendors up to the established room rate guideline/AT&T
preferred hotel rate in each market, or for actual hotel lodging charges incurred, whichever
is less.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

38

 

SG021306.A.001

There must be a strong business justification for incurring any cost for internet
access, and a request for reimbursement must be accompanied by a detailed explanation
regarding reason for charge.

Note: Vendors must indicate the number of room nights on the transaction line when
invoicing for reimbursement of hotel expenses. Copies of all hotel bills must be made
available for any invoice containing lodging charges.

     3.6 Ground Transportation

While away from their home location overnight, vendors are expected to utilize rapid transit
or local shuttle service. If the hotel provides a complimentary shuttle, vendors are to use
this service before paying for transportation. If complimentary service is not provided a
taxi or other local transportation is reimbursable as a business expense. Tips provided to
taxi drivers cannot exceed 15% of the value of the total fare

A rental car is appropriate when the anticipated business cost is less than that of other
available public transportation. Except to the extent necessary to accommodate several
travelers and/or luggage requirements, vendors will not be reimbursed for automobile rentals
other than economy or mid-sized/intermediate models.

“Loss Damage Waiver” and “Extended Liability Coverage” are not considered reimbursable in
the US. Prepaid fuel or refueling charges at the time of return are not reimbursable.

Rental cars should be refueled before returning to the rental company, since gas purchased
through the rental company carries an expensive refueling service charge.

     3.7 Use of Personal Vehicle

When use of personal vehicle is required, the current locally approved mileage rate for
miles driven for the business portion of the trip should be the maximum used to determine
the amount to be reimbursed.

     3.8 Parking

If airport parking is necessary, vendors must use long term parking facilities. Additional
costs for short term, valet or covered parking are not reimbursable.

     3.9 Entertainment

Entertainment expense is not reimbursable to vendors. Entertainment includes meal expense
involving AT&T personnel, golf fees, tickets to events and related incidental expenses.
Hotel charges for a pay-per-view movie, individual sightseeing tours, or other individual
activities (i.e., golf, sporting event, movie, etc.) are not reimbursable.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

39

 

SG021306.A.001

     3.10 Laundry and Cleaning

Reasonable laundry charges during business trips of seven or more consecutive nights are
reimbursable based on actual expenses incurred.

     3.11 Communications

	 	•	 	The actual cost of landline telephone calls for AT&T business is reimbursable.
The use of AT&T products is required when available.
	 
	 	•	 	AT&T will not reimburse vendors for cell phone bills unless approved under the
contract. With prior consent of the sponsoring AT&T Senior Manager, only
individual calls that exceed a vendor’s rate plan that are necessary to conduct
business for AT&T may be reimbursed.
	 
	 	•	 	Charges for high speed internet access are not reimbursable unless specifically
approved in the contract.

     3.12 Business Meals (Travel and Non-Travel)

Vendors are expected to find reasonably priced dining alternatives. As a general rule,
vendors are expected to spend USD $42.00 or less per day (or local currency equivalent)
inclusive of tax and gratuity or to abide by the legally specified per diem applicable in
the Vendor’s country. This includes all meals, beverages and refreshments purchased during
the day. Requests for reimbursement should break out the amount for meals and list the
related number of travel days. If breakfast is offered as part of the hotel accommodation
rate, no additional reimbursement will be permitted for breakfast. Vendors may not submit
expenses to cover meals or expenses for an AT&T employee, whether in a home location or on
official travel.

AT&T managers authorizing invoices will be held accountable for ensuring that vendors are
following this policy and are spending Company funds economically.

     3.13 Flowers, Greeting Cards, Gifts and Incentive Awards

The cost of gifts, flowers, birthday lunches, or greeting cards is considered a personal
expense and is not reimbursable. For example, vendors making a donation or providing a gift
for a fund-raiser for AT&T may not submit such an expense to AT&T for reimbursement.

     3.14 Loss or Damage to Personal Property

The Company assumes no responsibility for loss or damage to a vendor’s personal property
during business functions or hours.

     3.15 Publications

Subscriptions to or purchases of magazines, newspapers and other publications are not
reimbursable.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third

party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

40

 

SG021306.A.001

Addendum A — AT&T U.S. 2008 Hotel Room Rate Only Guidelines

This Chart applies to the U.S. locations. For Travel outside of the U.S., travelers should exercise
prudent judgment and select reasonably priced hotels, based on local market conditions. Employees
traveling out-side the U.S. should reference the GSA, Government Per Diems as a guide
http://aoprals.state.gov/web920/per_diem.asp U.S. Cities not listed on this Hotel Room Rate Only
Guideline Matrix, default to $110.00 nightly rate. On occasion an AT&T Preferred Property may
exceed the rate guideline for a particular city, but has been added due to tight supply within the
market. However, an alternate Preferred Property within the guideline will be offered and should be
accepted when available.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	2008	 	 	 	 	 	2008	 	 	 	 	 	2008	 	 	 	 	 	2008
	City	 	St	 	Guideline	 	City	 	St	 	Guideline	 	City	 	St	 	Guideline	 	City	 	St	 	Guideline
	Anchorage

	 	AK
	 		***	 	 	Rocky Hill
	 	CT
	 		***	 	 	Shawnee
	 	KS
	 	$	120	 	 	Short Hills
	 	NJ
	 		***	 
	Fairbanks

	 	AK
	 		***	 	 	Stamford
	 	CT
	 		***	 	 	Wichita
	 	KS
	 	$	90	 	 	Somerset
	 	NJ
	 		***	 
	Glennallen

	 	AK
	 		***	 	 	Wallingford
	 	CT
	 		***	 	 	Elizabeth
	 	KY
	 	$	90	 	 	Teaneck
	 	NJ
	 		***	 
	Ketchikan

	 	AK
	 		***	 	 	Washington
	 	DC
	 		***	 	 	Hopkinsville
	 	KY
	 	$	90	 	 	Tinton Falls
	 	NJ
	 		***	 
	Kodiak

	 	AK
	 		***	 	 	Wilmington
	 	DE
	 		***	 	 	Louisville
	 	KY
	 	$	135	 	 	Warren
	 	NJ
	 		***	 
	Birmingham

	 	AL
	 		***	 	 	Boynton Beach
	 	FL
	 		***	 	 	Covington
	 	LA
	 	$	90	 	 	Whippany
	 	NJ
	 		***	 
	Huntsville

	 	AL
	 		***	 	 	Fort Lauderdale
	 	FL
	 		***	 	 	Metairie
	 	LA
	 	$	140	 	 	Woodcliff Lake
	 	NJ
	 		***	 
	Montgomery

	 	AL
	 		***	 	 	Gainsville
	 	FL
	 		***	 	 	New Orleans
	 	LA
	 	$	140	 	 	Las Vegas
	 	NV
	 		***	 
	Fayetteville

	 	AR
	 		***	 	 	Jacksonville
	 	FL
	 		***	 	 	Shreveport
	 	LA
	 	$	95	 	 	Reno
	 	NV
	 		***	 
	Little Rock

	 	AR
	 		***	 	 	Lake City
	 	FL
	 		***	 	 	Boston
	 	MA
	 	$	300	 	 	Albany
	 	NY
	 		***	 
	VanBuren

	 	AR
	 		***	 	 	Lake Mary
	 	FL
	 		***	 	 	Cambridge
	 	MA
	 	$	279	 	 	Fishkill
	 	NY
	 		***	 
	Chandler

	 	AZ
	 		***	 	 	Lakeland
	 	FL
	 		***	 	 	Dedham
	 	MA
	 	$	155	 	 	Jamaica
	 	NY
	 		***	 
	Mesa

	 	AZ
	 		***	 	 	Maitland
	 	FL
	 		***	 	 	Lowell
	 	MA
	 	$	120	 	 	New York
	 	NY
	 		***	 
	Phoenix

	 	AZ
	 		***	 	 	Miami
	 	FL
	 		***	 	 	Marlborough
	 	MA
	 	$	175	 	 	Plainview
	 	NY
	 		***	 
	Scottsdale

	 	AZ
	 		***	 	 	Miami Beach
	 	FL
	 		***	 	 	Stoughton
	 	MA
	 	$	160	 	 	Rochester
	 	NY
	 		***	 
	Tempe

	 	AZ
	 		***	 	 	Orlando
	 	FL
	 		***	 	 	Annapolis
	 	MD
	 	$	155	 	 	Rockville Center
	 	NY
	 		***	 
	Tucson

	 	AZ
	 		***	 	 	Orange Pk
	 	FL
	 		***	 	 	Greenbelt
	 	MD
	 	$	176	 	 	Vestal
	 	NY
	 		***	 
	Anaheim

	 	CA
	 		***	 	 	Palm Beach
	 	FL
	 		***	 	 	Clinton
	 	MI
	 	$	90	 	 	White Plains
	 	NY
	 		***	 
	Buena Park

	 	CA
	 		***	 	 	Plantation
	 	FL
	 		***	 	 	ComstockPark
	 	MI
	 	$	90	 	 	Woodbury
	 	NY
	 		***	 
	Burbank

	 	CA
	 		***	 	 	Saint Augustine
	 	FL
	 		***	 	 	Detroit
	 	MI
	 	$	120	 	 	Tarrytown
	 	NY
	 		***	 
	Burlingame

	 	CA
	 		***	 	 	Spring Hill
	 	FL
	 		***	 	 	Lansing
	 	MI
	 	$	120	 	 	Centerville
	 	OH
	 		***	 
	Cerritos

	 	CA
	 		***	 	 	Sunrise
	 	FL
	 		***	 	 	Livonia
	 	MI
	 	$	90	 	 	Chillicothe
	 	OH
	 		***	 
	Chico

	 	CA
	 		***	 	 	Tallahassee
	 	FL
	 		***	 	 	Marquette
	 	MI
	 	$	90	 	 	Cleveland
	 	OH
	 		***	 
	City of Industry

	 	CA
	 		***	 	 	Tamarac
	 	FL
	 		***	 	 	Saginaw
	 	MI
	 	$	90	 	 	Columbus
	 	OH
	 		***	 
	Coronado

	 	CA
	 		***	 	 	Tampa
	 	FL
	 		***	 	 	Southfield
	 	MI
	 	$	140	 	 	Dayton
	 	OH
	 		***	 
	Costa Mesa

	 	CA
	 		***	 	 	West Palm Beach
	 	FL
	 		***	 	 	Bloomington
	 	MN
	 	$	135	 	 	Dublin
	 	OH
	 		***	 
	Cupertino

	 	CA
	 		***	 	 	Albany
	 	GA
	 		***	 	 	Deluth
	 	MN
	 	$	90	 	 	Grove City
	 	OH
	 		***	 
	Dublin

	 	CA
	 		***	 	 	Alpharetta
	 	GA
	 		***	 	 	Minneapolis
	 	MN
	 	$	135	 	 	Miamisburg
	 	OH
	 		***	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its
Affiliates, and third party representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

41

 

SG021306.A.001

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	2008	 	 	 	 	 	2008	 	 	 	 	 	2008	 	 	 	 	 	2008
	City	 	St	 	Guideline	 	City	 	St	 	Guideline	 	City	 	St	 	Guideline	 	City	 	St	 	Guideline
	Emeryville

	 	CA
	 		***	 	 	Atlanta
	 	GA
	 		***	 	 	Branson
	 	MO
	 		***	 	 	North Olmsted
	 	OH
	 		***	 
	Eureka

	 	CA
	 		***	 	 	Brunswick
	 	GA
	 		***	 	 	Bridgeton
	 	MO
	 		***	 	 	Reynoldsburg
	 	OH
	 		***	 
	Fresno

	 	CA
	 		***	 	 	Buckhead
	 	GA
	 		***	 	 	Creve Coeur
	 	MO
	 		***	 	 	Richfield
	 	OH
	 		***	 
	Glendale

	 	CA
	 		***	 	 	Carrollton
	 	GA
	 		***	 	 	Jefferson City
	 	MO
	 		***	 	 	Youngstown
	 	OH
	 		***	 
	Hayward

	 	CA
	 		***	 	 	Columbus
	 	GA
	 		***	 	 	Joplin
	 	MO
	 		***	 	 	Oklahoma City
	 	OK
	 		***	 
	Hollywood

	 	CA
	 		***	 	 	Conyers
	 	GA
	 		***	 	 	Kansas City
	 	MO
	 		***	 	 	Tulsa
	 	OK
	 		***	 
	Irvine

	 	CA
	 		***	 	 	Griffin
	 	GA
	 		***	 	 	Lees Summit
	 	MO
	 		***	 	 	Portland
	 	OR
	 		***	 
	La Jolla

	 	CA
	 		***	 	 	Newnan
	 	GA
	 		***	 	 	Saint Louis
	 	MO
	 		***	 	 	Tigard
	 	OR
	 		***	 
	La Mirada

	 	CA
	 		***	 	 	Savannah
	 	GA
	 		***	 	 	Springfield
	 	MO
	 		***	 	 	Audubon
	 	PA
	 		***	 
	Long Beach

	 	CA
	 		***	 	 	Valdosta
	 	GA
	 		***	 	 	Clinton
	 	MS
	 		***	 	 	Essington
	 	PA
	 		***	 
	Los Angeles

	 	CA
	 		***	 	 	Waycross
	 	GA
	 		***	 	 	Jackson
	 	MS
	 		***	 	 	Harrisburg
	 	PA
	 		***	 
	Milpitas

	 	CA
	 		***	 	 	Woodstock
	 	GA
	 		***	 	 	Tupelo
	 	MS
	 		***	 	 	King of Prussia
	 	PA
	 		***	 
	Modesto

	 	CA
	 		***	 	 	Honolulu
	 	HI
	 		***	 	 	Asheville
	 	NC
	 		***	 	 	Philadelphia
	 	PA
	 		***	 
	Montebello

	 	CA
	 		***	 	 	Kailua Kona
	 	HI
	 		***	 	 	Burlington
	 	NC
	 		***	 	 	Pittsburgh
	 	PA
	 		***	 
	Ontario

	 	CA
	 		***	 	 	Clive
	 	IA
	 		***	 	 	Carolina Beach
	 	NC
	 		***	 	 	Wayne
	 	PA
	 		***	 
	Orange

	 	CA
	 		***	 	 	Desmoines
	 	IA
	 		***	 	 	Charlotte
	 	NC
	 		***	 	 	Charleston
	 	SC
	 		***	 
	Pasadena

	 	CA
	 		***	 	 	Johnston
	 	IA
	 		***	 	 	Durham
	 	NC
	 		***	 	 	Florence
	 	SC
	 		***	 
	Pleasanton

	 	CA
	 		***	 	 	Urbandale
	 	IA
	 		***	 	 	Fayetteville
	 	NC
	 		***	 	 	Dakota Dunes
	 	SD
	 		***	 
	Rancho Cordova

	 	CA
	 		***	 	 	Alsip
	 	IL
	 		***	 	 	Gastonia
	 	NC
	 		***	 	 	Knoxville
	 	TN
	 		***	 
	Red Bluff

	 	CA
	 		***	 	 	Arlington Heights
	 	IL
	 		***	 	 	Goldsboro
	 	NC
	 		***	 	 	Memphis
	 	TN
	 		***	 
	Riverside

	 	CA
	 		***	 	 	Bourbonnais
	 	IL
	 		***	 	 	Jacksonville
	 	NC
	 		***	 	 	Nashville
	 	TN
	 		***	 
	Rocklin

	 	CA
	 		***	 	 	Champaign
	 	IL
	 		***	 	 	Laurinburg
	 	NC
	 		***	 	 	Arlington
	 	TX
	 		***	 
	Sacramento

	 	CA
	 		***	 	 	Chicago
	 	IL
	 		***	 	 	Triangle Park
	 	NC
	 		***	 	 	Austin
	 	TX
	 		***	 
	San Diego

	 	CA
	 		***	 	 	Collinsville
	 	IL
	 		***	 	 	Omaha
	 	NE
	 		***	 	 	Corpus Christi
	 	TX
	 		***	 
	San Francisco

	 	CA
	 		***	 	 	Crystal Lake
	 	IL
	 		***	 	 	Basking Ridge
	 	NJ
	 		***	 	 	Dallas
	 	TX
	 		***	 
	San Gabriel

	 	CA
	 		***	 	 	Gurnee
	 	IL
	 		***	 	 	Bernardsville
	 	NJ
	 		***	 	 	El Paso
	 	TX
	 		***	 
	San Jose

	 	CA
	 		***	 	 	Hoffman Estates
	 	IL
	 		***	 	 	Bridgewater
	 	NJ
	 		***	 	 	Frisco
	 	TX
	 		***	 
	San Leandro

	 	CA
	 		***	 	 	Joliet
	 	IL
	 		***	 	 	Cranbury
	 	NJ
	 		***	 	 	Houston
	 	TX
	 		***	 
	San Luis Obispo

	 	CA
	 		***	 	 	Libertyville/Vernon H
	 	IL
	 		***	 	 	Eatontown
	 	NJ
	 		***	 	 	Lubbock
	 	TX
	 		***	 
	San Mateo

	 	CA
	 		***	 	 	Lisle/Naperville
	 	IL
	 		***	 	 	Edison
	 	NJ
	 		***	 	 	Mcallen
	 	TX
	 		***	 
	San Ramon

	 	CA
	 		***	 	 	Matteson
	 	IL
	 		***	 	 	Elizabeth
	 	NJ
	 		***	 	 	Plano
	 	TX
	 		***	 
	Santa Ana

	 	CA
	 		***	 	 	Oakbrook/ Downers G
	 	IL
	 		***	 	 	Fair Lawn
	 	NJ
	 		***	 	 	Richardson
	 	TX
	 		***	 
	Santa Monica

	 	CA
	 		***	 	 	Ofallon
	 	IL
	 		***	 	 	Florham Park
	 	NJ
	 		***	 	 	San Antonio
	 	TX
	 		***	 
	Temecula

	 	CA
	 		***	 	 	Orland Park
	 	IL
	 		***	 	 	Iselin
	 	NJ
	 		***	 	 	The Woodlands
	 	TX
	 		***	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its
Affiliates, and third party representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

42

 

SG021306.A.001

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	2008	 	 	 	 	 	2008	 	 	 	 	 	2008	 	 	 	 	 	2008
	City	 	St	 	Guideline	 	City	 	St	 	Guideline	 	City	 	St	 	Guideline	 	City	 	St	 	Guideline
	Torrance

	 	CA
	 	 	***	 	 	Peoria
	 	IL
	 	 	***	 	 	Mahwah
	 	NJ
	 	$	200	 	 	Salt Lake City
	 	UT
	 	 	***	 
	Universal City

	 	CA
	 	 	***	 	 	Schaumburg
	 	IL
	 		***	 	 	Morristown
	 	NJ
	 	$	176	 	 	Arlington
	 	VA
	 	 	***	 
	Walnut Creek

	 	CA
	 	 	***	 	 	Willowbrook
	 	IL
	 	 	***	 	 	Mt. Laurel
	 	NJ
	 	$	135	 	 	Chantilly
	 	VA
	 	 	***	 
	West Sacramento

	 	CA
	 	 	***	 	 	Carmel
	 	IN
	 	 	***	 	 	Paramus
	 	NJ
	 	$	165	 	 	Chester
	 	VA
	 	 	***	 
	Colorado Springs

	 	CO
	 	 	***	 	 	Columbus
	 	IN
	 	 	***	 	 	Parsippany
	 	NJ
	 	$	200	 	 	Fairfax
	 	VA
	 	 	***	 
	Denver

	 	CO
	 	 	***	 	 	Elkhart
	 	IN
	 	 	***	 	 	Piscataway
	 	NJ
	 	$	155	 	 	Falls Church
	 	VA
	 	 	***	 
	Englewood

	 	CO
	 	 	***	 	 	Evansville
	 	IN
	 	 	***	 	 	Princeton
	 	NJ
	 	$	135	 	 	Glen Allen
	 	VA
	 	 	***	 
	Greenwood Village

	 	CO
	 	 	***	 	 	Indianaplis
	 	IN
	 	 	***	 	 	Red Bank
	 	NJ
	 	$	140	 	 	Herndon
	 	VA
	 	 	***	 
	Pueblo

	 	CO
	 	 	***	 	 	South Bend
	 	IN
	 	 	***	 	 	Saddle Brook
	 	NJ
	 	$	165	 	 	Norfolk
	 	VA
	 	 	***	 
	New Haven

	 	CT
	 	 	***	 	 	 	 	 	 	 	***	 	 	Saddle River
	 	NJ
	 	$	200	 	 	Richmond
	 	VA
	 	 	***	 
	Sandston

	 	VA
	 	 	***	 	 	Bothell
	 	WA
	 	 	***	 	 	Tacoma
	 	WA
	 	$	250	 	 	Oak Creek
	 	WI
	 	 	***	 
	Sterling

	 	VA
	 	 	***	 	 	Kirkland
	 	WA
	 	 	***	 	 	Tukwila
	 	WA
	 	$	210	 	 	Racine
	 	WI
	 	 	***	 
	Tysons Corner

	 	VA
	 	 	***	 	 	Lynnwood
	 	WA
	 	 	***	 	 	Woodinville
	 	WA
	 	$	180	 	 	Charleston
	 	WV
	 	 	***	 
	Vienna

	 	VA
	 	 	***	 	 	Redmond
	 	WA
	 	 	***	 	 	Appleton
	 	WI
	 	$	90	 	 	Seattle
	 	WA
	 	 	***	 
	Bellevue

	 	WA
	 	 	***	 	 	Madison
	 	WI
	 	 	***	 	 	Brookfield
	 	WI
	 	$	120	 	 	Spokane
	 	WA
	 	 	***	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its
Affiliates, and third party representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

43exv10w11xby

Exhibit 10.11(b)

Agreement No. SG021306.S.007

AT&T Services, Inc.

AT&T Order Management Center (OMC)

Contract

January 1, 2009

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL TREATMENT REQUESTED. CONFIDENTIAL PORTIONS OF THIS DOCUMENT HAVE BEEN REDACTED AND HAVE BEEN SEPARATELY FILED WITH THE COMMISSION.

1

 

Agreement No. SG021306.S.007

	1.0	 	Introduction
	 
		 	1.1 General Agreements
	 
		 	     1.1.1 This Contract between AT&T Services, Inc. (“AT&T”) and Synchronoss Technologies,
Inc. (“STI”) (“Contract”) is governed by the Master Services Agreement No. SG021306 (“MSA”)
dated September 1, 2005. The parties agree that the AT&T Online Order Management Center
(OMC) Contract, dated September 1, 2005 is terminated as of the Effective Date, provided,
any rights that accrued thereunder or under the Cingular eCommerce Statement of Work dated
July 16, 2003 and the “Appendix A: AWX Order Management Center (OMC) Contract”, dated July,
2003 as amended prior to the Effective Date shall survive termination. In the event of a
conflict between this Contract and the MSA, the terms of the Contract will govern. Contract
modifications need to be in writing, as well as mutually agreed upon by both parties in
accordance with the Change Control process documented in the MSA. This Contract shall be
effective as of January 1, 2009 (the “Effective Date”).
	 
		 	1.2 Definitions
	 
	 	 	“Channel” means a unique point of sale or containing unique services and/or transactions and
in either case requires an incremental dedicated infrastructure or environment. The need
for such incremental dedicated infrastructure or environment must be approved by AT&T. ***.
For example, the addition of a new Transaction type, which may require software
development, within an existing Channel does not constitute a new channel.
	 
	 	 	“Transaction” means a unique request received through the Order Gateway.
	 
	 	 	“ASP Solution” means the STI managed application services provider solution, which consists,
among other things, of the Order Gateway, Workflow Manager, Reporting Platform and IVR. The
ASP Solution is hosted by STI.
	 
	 	 	“Manual Processing” means processing of a Transaction that requires human intervention by
STI including; taking inbound calls and/or placing outbound calls, and using individuals to
manage and pursue to resolution issues related to Transactions.
	 
		 	1.3 Overview Program Scope
	 
	 	 	The scope of this Contract is to define the work activities, transaction pricing,
forecasting process, service level agreements and remedies associated with the Services
(defined below) performed by STI for AT&T’s eCommerce organizations (“AT&T eCommerce”).
	 
	 	 	STI’s shall provide its ASP Solution to streamline the back office management process
relating to the sale of wireless and wireline telecommunications services by AT&T eCommerce,
improve cycle times for such sales, reduce the transaction cost per subscriber and create an
exceptional customer experience. STI’s ASP Solution will enable STI to manage AT&T
eCommerce’s business objectives. STI shall provide the following services (“Services”)
under this Contract:

	 	•	 	The process, tools and organizations that support AT&T eCommerce transaction
management. Transaction management includes, but is not limited to:

	 	•	 	automated Transactions through the Order Gateway
	 
	 	•	 	Manual Processing

	 	•	 	Operational metrics and executive reporting.

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Agreement No. SG021306.S.007

	 	•	 	The configuration management, hosting and Tier 1-3 support of the Order
Gateway (defined and described in Section 4.1 below), Workflow Manager (defined and
described in Section 4.2 below), Reporting Platform (defined and described in Section
4.3 below), Integrated IVR Solution (defined and described in Section 4.4 below),
and Email Manager (STI’s system for tracking and responding to emails).
	 
	 	•	 	IT Professional Services (defined and described in Section 9.3 below).

	2.0	 	Service Term
	 
	 	 	The term of this Contract is three (3) years from the Effective Date (the “Initial Term”).
AT&T shall have the right to renew this Contract for *** additional one (1) year terms by
providing written notice to STI at least *** prior to the end of such Initial Term or such
renewal term.
	 
	3.0	 	OMC — ASP Program
	 
	 	 	STI shall establish and manage scalable, reliable and flexible Order Management Center
(“OMC”) for operations. STI shall focus on meeting service level agreements (“SLAs”) for
sales transaction processing, inbound call handling and customer contacts for AT&T
eCommerce. STI shall adhere to all of AT&T eCommerce’s business processes and security
standards in performing its OMC Services to ensure a seamless AT&T branded customer
experience. STI shall support business from AT&T eCommerce consumer and business customers.
	 
		 	3.1 Transaction Processing
	 
	 	 	The primary source of Transaction volumes will be generated from AT&T eCommerce front-end
clients (e.g., eCommerce (wireless and wireline) and eCommerce Premier). STI shall utilize
the STI OMC to strive to consistently deliver at or above the SLA commitments. The STI OMC
operating hours will be flexible to support the overall AT&T eCommerce objectives. The OMC
will operate seven days a week and will support the hours of operation required by AT&T
eCommerce, including 7x24 OMC support.
	 
		 	3.2 Order Management Center Work Flow
	 
	 	 	STI shall strive to consistently meet a *** cycle time from “click (order) to call” for
the Transactions types identified herein, in accordance with AT&T’s requirements. In order
to accomplish this, STI will strive to streamline the process by reducing the number of
manual handoffs in the current process. In addition, STI’s OMC agents will manage all
inbound and outbound customer contacts associated with AT&T eCommerce Transactions. The OMC
will leverage STI’s integrated suite of the products described in Section 4.0 of this
Contract to meet and exceed SLA objectives.
	 
	4.0	 	STI OMC
	 
		 	4.1 Order Gateway
	 
	 	 	STI shallprovide AT&T with an order gateway (“Order Gateway”). The Order Gateway is the
transaction hub-and-spoke operation supporting all AT&T transactions. The Order Gateway
interfaces with front-end web clients, validation services, as well as back-end systems of
record for flow through automated processing. The Order Gateway provides a single platform
for fulfilling multiple transactions across all technologies.

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3

 

Agreement No. SG021306.S.007

		 	4.2 Workflow Manager
	 
	 	 	The “Workflow Manager” is a web-based workflow tool for both business and consumer AT&T
eCommerce Transactions. This Workflow Manager is used to track fully automated transactions
and manage transaction fallout. STI utilizes the Workflow Manager to provide one unified
platform for managing all AT&T eCommerce Transactions. The key benefits are:

	 	•	 	A unified workflow and platform across all transactions
	 
	 	•	 	Provide visibility to online transactions in a single platform bringing together
multiple back office systems into a common workflow management tool

		 	4.3 Reporting Platform
	 
	 	 	STI shallprovide AT&T eCommerce with operational metrics and visibility to all transactions
flowing through the Order Gateway and Workflow Manager. STI will use the Reporting Platform
to provide data and metrics on a historical, daily and in real-time basis. The Reporting
Platform provides complete visibility for each step of the AT&T eCommerce transaction
management process. The following reporting tools are components of the Reporting Platform
and will be enhanced and managed by STI throughout the term of this OMC Contract:

	 	•	 	Real-Time Reporting (RTR) portal will provide visibility and fallout statistics as
transactions flow through the gateway and change status throughout the transaction
lifeccyle process.
	 
	 	•	 	Mobile reports that allow AT&T key business users to receive critical data on their
online transactions right to their Blackberry or data device.
	 
	 	•	 	Daily Operational Reports will provide analysis and trends for all data and voice
transactions

	 	 	STI shall provide the following KPIs to AT&T on a daily, weekly, monthly and quarterly
basis:

	 	a)	 	Total orders processed via the OMC
	 
	 	b)	 	Total orders processed through Order Gateway, fallout error queue, etc
	 
	 	c)	 	Total order received and total orders entered by the order center cut off
time
	 
	 	d)	 	Total orders entered and not fulfilled by the OMC
	 
	 	e)	 	Total orders activated, shipped and cancelled
	 
	 	f)	 	Total orders in queue to be processed at the OMC (real-time)
	 
	 	g)	 	Real-time order status tracking throughout the life cycle of an order.
Identify order process flow constraints
	 
	 	h)	 	Number of Transactions Received by Order Gateway

	 	•	 	This report shows the total number of orders received by the Order Gateway
trended over time intervals.

	 	i)	 	Number of Transactions Processed by Order Type, Order Center, and Service
Representative

	 	•	 	As the Order Gateway receives orders, they will be directed to various
Order Centers. This report shows the total number of Orders processed by
Order Center, Order Type, and Service Representative trended over time
intervals.

	 	j)	 	Number of Failed Transactions

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4

 

Agreement No. SG021306.S.007

	 	•	 	This report will show the total number of failed Transactions along with
the corresponding reason code at any given time.

	 	k)	 	Number of Orders by Queue

	 	•	 	As the Order Gateway receives orders, they will be put in queues for
processing. This report shows the total number of orders, in the Queue, at
any given time.

	 	l)	 	Time Spent by Orders in Queue

	 	•	 	This report shows the shortest time, longest time, and the average time
spent by orders in queues trended over time intervals.

	 	 	Additional reports will be deployed during the term of this Contract after formal
requirements are developed and mutually agreed to by both parties.
	 
		 	4.4 Integrated IVR Solution
	 
	 	 	STI will provide AT&T with a voice and/or DTMF enabled IVR that meets or exceeds AT&T’s
requirements. The IVR will provide AT&T with call queueing capabilities, inbound call load
balancing, customer self service and reporting capabilities. The IVR is a key product in
managing customer contacts and managing the call to order ratio for the OMC. The IVR will
be developed and managed by STI.
	 
	5.0	 	Order Gateway and Order Manager Hosting
	 
	 	 	STI shall use the Order Gateway and Workflow Manager to provide AT&T with a standard
environment for the two initial AT&T eCommerce Channels interfacing with the Order Gateway.
In addition to hosting the application, STI will provide Tier 1 —3 support for this
environment including;
	 
	 	 	Tier 1 — NOC
	 
	 	 	Synchronoss’ Network Operations Center (NOC) provides first level support for all system
related issues. The NOC monitors all Synchronoss systems 24x7 utilizing an array of network
an application management tools. The NOC also provides first line support for all end user
questions and application account management requests.
	 
	 	 	Tier 2 — MDF
	 
	 	 	The Synchronoss Managed Data Center Facility (MDF) team consists of DBA’s, UNIX Sys Admins
and Network engineers that provide second level support for all system-related issues. The
MDF team works directly with the NOC to respond to any system generated alerts or end user
reports of system issues or anomalies. The MDF team will address any issues related to
system performance, hardware failures, OS and DBMS tuning and system configuration.
	 
	 	 	The MDF team will also work with our customers to define and configure system integration
points like VPN, shared security keys etc.
	 
	 	 	Tier 3 — Application Support / R&D
	 
	 	 	The Synchronoss Application Support and R&D team works directly with the NOC and MDF teams
to address any issues related to application performance or functionality that require
development support. This team will participate in troubleshooting efforts that may point to
code related or system integration issues and will develop any software patches/fixes
required to address systems issues.

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5

 

Agreement No. SG021306.S.007

		 	5.1 Hosting Requirements
	 
	 	 	STI will provide and maintain all facilities, including: physical premises, server(s),
database server(s), firewall(s), Internet connectivity and any other facilities required to
support the Order Gateway and Order Manager.
	 
	 	 	STI will provide to AT&T a list of all hardware, software and equipment located at STI’s
premise as of the Effective Date and annually thereafter that will be used to perform the
Services required under this Contract. STI shall provide sufficient hardware, software and
equipment to ensure ***% availability of the Services.
	 
	 	 	5.2.A Secure Environment
	 
	 	 	The premises, hardware, and application will be accessible only to authorized personnel.
***
	 
		 	5.2 Access Security
	 
	 	 	STI shall adhere to all AT&T access control requirements as defined in Section 4.1 Access of
the MSA. STI utilizes a combination of access control ***.
	 
		 	5.3 Security and Privacy
	 
	 	 	In the event STI receives AT&T Data, including AT&T Customer Information, (as defined in the
MSA), STI shall not use such AT&T Data for any purpose other than the fulfillment of STI’s
obligations of this Contract. STI shall not provide such AT&T Data to any third-party
(other than STI’s contractors who have a need to know such information in connection with
performing Services on STI’s behalf hereunder and have agreed in writing to keep such AT&T
Data confidential and abide by the other obligations applicable to STI hereunder, in which
case STI represents and warrants that it assumes all OMC Contract obligations on behalf of
its contractors) for any reason, unless specifically authorized in writing by AT&T;
provided, however, if STI is required to produce such AT&T Data to comply with any legal,
regulatory or law enforcement requirement or law enforcement investigations, STI may do so
after providing AT&T i) prior written notice of its intent to produce the AT&T Data and ii)
an opportunity to seek a protective order or similar mechanism to prevent disclosure as AT&T
deems necessary. STI shall comply with the AT&T security or privacy requirements in effect
at any time during the term of this Contract; provided such requirements are provided to
STI. The current AT&T security or privacy requirements are set forth in Section 4.5 of the
MSA, “AT&T Supplier Information Security Requirements (SISR)” and Appendix O — Security
Attachment (SISR) of the MSA. In the event such requirements are modified, AT&T shall
provide such modifications to STI in writing. Such requirements include, but are not
limited to, compliance with AT&T’s privacy policy, including the restrictions on the use of
cookies and web beacons, requirements to encrypt customer information in a certain manner
and requirements to store customer and other AT&T information in a certain manner. At a
minimum, STI will undertake the following measures to ensure the security of all AT&T Data
and other AT&T information:

	 	•	 	***
	 
	 	•	 	***
	 
	 	•	 	***
	 
	 	•	 	***

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Agreement No. SG021306.S.007

	 	•	 	***
	 
	 	•	 	***
	 
	 	•	 	***
	 
	 	•	 	***

		 	5.4 Environmental Standards
	 
	 	 	STI represents and warrants that any hardware required to perform the Services under this
Contract will be protected from damage by:

	 	•	 	***
	 
	 	•	 	***

	 	 	In the event of a loss of commercial power, the facility is connected to *** capable of
supporting the STI Managed Data Facility located in *** (“MDF”) for no less than ***.

		 	5.5 Monitoring
	 
	 	 	The following monitoring tools and practices will be provided by STI.

	 	a)	 	***
	 
	 	b)	 	***
	 
	 	c)	 	***
	 
	 	d)	 	***

	 	 	The production system will reside in the STI MDF. The MDF is equipped with ***.
	 
		 	5.6 Backups
	 
	 	 	STI shall automatically backup Data and applications ***. STI shall provide a real-time
mechanism to ensure the safety and integrity of Order Gateway data. On the ***. The backup
is an automated process. Additionally, the backup from *** is stored ***. ***.
	 
	6.0	 	Disaster Recovery (DR)
	 
	 	 	STI shall provide a disaster recovery solution for the all Services required under this
Contract that enables rapid restoration of all functions of the system in event of a
long-term service disruption to the STI MDF. This section provides an overview of the
infrastructure required to support the disaster recovery solution as well as the service
levels associated with the solution.
	 
		 	6.1 DR Solution Overiew
	 
	 	 	STI shall leverage its *** to provide a highly available system that will restore STI’s ASP
Solution to full service within *** of a total service outage

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Agreement No. SG021306.S.007

	 	 	in its *** facility. STI will place the current *** in the *** facility as the core
component of this solution. This environment will be augmented to provide sufficient server
hardware and software to be a functional equivalent to the current production environment in
terms of handling order volume and user load. The *** will contain a full compliment of
network infrastructure including firewalls, load balancers and high-speed switches to ensure
all network connectivity is equivalent to production as well.
	 
	 	 	A *** will be implemented to ensure that a full copy of the production database is
maintained in the *** at all times. In the event of a total service disruption in the ***
facility, the *** will be reconfigured to access the production database and provide the
production instance of the STI ASP Solution.
	 
		 	6.2 DR Service Levels
	 
	 	 	STI shall meet or exceed the following DR solution service levels:

	 	•	 	Service restoration time: ***
	 
	 	•	 	System performance level: equal to production in terms of user and order volume
	 
	 	•	 	System SLA’s: same as for production (Attachment B). System will conform to the
requirements of Section 5.0 of this document

	 	 	NOTE: This solution will rely on the existing dedicated, private circuit (e.g. friends net
connection) between STI’s Bridgewater, NJ office and AT&T’s designated facilities.

	 	•	 	DR test will be performed *** times *** at a mutually agreed to time by both
parties.

	7.0	 	Manual Processing

	 	7.1	 	For each of the *** Channels initially governed under this Contract *** and
***, AT&T or its designated third party, at its sole discretion, may elect to perform
Manual Processing for up to **% (the “Initial Manual Processing Percentage”) of the
Manual Processing for Transactions processed through the Order Gateway for such Channel
during a ***. In the event AT&T wants to make such election prior to the Effective
Date, AT&T shall notify STI in writing on or before the date this Contract is executed,
by the later of AT&T and STI, the actual percentage of Manual Processing it intends to
assume. In the event AT&T wants to make such election after the Effective Date, AT&T
shall notify STI via the forecasting process identified in Attachments A-1 and A-2 the
actual percentage of Manual Processing it intends to assume. In the event AT&T elects
for AT&T or such third party to provide such Manual Processing for such Channel, STI
will provide AT&T, or third party employees and contractors who will be performing such
Manual Processing access to the ASP Solution and related STI system(s) access solely to
perform such Manual Processing for such Channel *** after AT&T notifies STI; provided,
however, if AT&T makes such election on or before the date this Contract is executed by
the later of AT&T or STI, STI will provide such access on *** after the date this
Contract is executed by the later of AT&T and STI. In addition, each employee or
contractor of AT&T or such third party who will access the ASP Solution or related STI
system(s) shall agree in writing to comply with STI’s information security
requirements. In the event AT&T makes such

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8

 

Agreement No. SG021306.S.007

	 	 	 	election, STI will work with AT&T to ensure that the agreed upon allocations for such
Channel(s) are implemented per this Contract.
	 
	 	 	 	In the event AT&T makes such election and exceeds the percentage of Manual Processing
set forth above in any ***, STI will not penalize AT&T for any such overage and, in
such case, the parties will promptly upon determining such overage, meet and
negotiate in good faith a process to move toward the then applicable percentage of
Manual Processing AT&T should be handling pursuant to the terms of this OMC Contract.
	 
	 	7.2	 	In the event that STI fails to achieve (i) the same Manual Processing SLA (as
defined below) for any Channel in any *** or ***, or (ii) two (2) or more Manual
Processing SLA’s for a Channel in any *** or ***, AT&T may elect to have AT&T or its
designated third party perform Manual Processing for such Channel for more than the
Initial Manual Processing Percentage (up to ***%) of the Transactions processed
through the ASP Solution. For purposes of this Agreement, Manual Processing SLA for
each Channel shall have the meaning ascribed to such term in the SLA Attachment B
specific to such Channel.
	 
	 	7.3	 	In the event that AT&T elects to perform the Manual Processing itself or
through a third party for a Channel in excess of the Initial Manual Processing
Percentage and STI does not have the appropriate skill sets or such bid is at a lower
cost than STI, STI shall have the opportunity to review the bid (subject to any
non-disclosure issues) and determine if STI meets the same cost and/or skill set
requirements as such bid. Promptly after receiving such bid, AT&T shall provide STI
with the necessary information relating to such bid (including pricing and resources)
for STI to make such determination; provided, however, AT&T shall not be required to
provide any information which would cause it to violate its confidentiality
obligations to a third party. STI shall take information provided by AT&T at face
value in connection with such determination. In connection with such mutual
evaluation, the parties shall determine whether such bid and STI’s current resources
for such Channel:

     (a) Are for substantially similar Manual Processing services (E.g. ***) as
provided hereunder

     (b) Have substantially similar productivity or occupancy (e.g., ***) as
provided hereunder

     (c) Have substantially similar training costs (E.g., ***)

     (d) Include substantially similar scope of services and including associated
cost components (e.g. ***

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Agreement No. SG021306.S.007

     (e) Have substantially similar material contractual terms and conditions
(E.g. ***) provided hereunder

	 	 	 	Within *** (“Evaluation Period”) of receiving the necessary information from AT&T,
STI shall provide written notice to AT&T whether it will (i) perform Manual
Processing for such Channel on the same terms as set forth in such bid immediately
upon completion of such evaluation within Evaluation Period, (ii) allow AT&T or such
third party to assume such Manual Processing for such Channel as provided in such
bid, or (iii) escalate to its respective executives in accordance with the provision
below. In the event that STI does not provide written notice to AT&T within such
***, STI will be required to immediately perform such Manual Processing for such
Channel on the same terms as set forth in such bid.
	 
	 	 	 	In the event that STI and AT&T do not agree on the results of such evaluation, the
President of STI and an Officer of the respective division of AT&T shall meet to
resolve such dispute within *** of the conclusion of the Evaluation Period. In the
event that such executives cannot resolve such dispute, STI shall provide the third
party which provided such bid or AT&T internal resources the same access to perform
such Manual Processing for such Channel as provided in Section 7.1 above.
	 
	 	7.4	 	In the event that AT&T is entitled to increase the amount of its Manual
Processing in accordance with Section 7.2 or 7.3 above, the parties shall meet
promptly to agree on a plan to initiate the performance of such services by AT&T or
its designated third party provider to complete such transition within *** of the
Evaluation Period unless mutually agree to a longer or shorter period. AT&T will be
responsible for formally communicating to STI the percentage allocation they are
ultimately targeting to achieve in connection with the transition of such Manual
Processing. STI will then work with AT&T to implement the identified allocation
percentage in ***. (e.g., ***). STI shall provide reasonable assistance to AT&T in
connection with such transfer provided at no incremental fee except that if any
professional services for AT&T or such designated provider are required, STI shall
provide such reasonable professional services at STI’s rates provided herein. Any
transition to AT&T or third party of Manual Processing in accordance with Section 7.2
or 7.3 above shall have no effect on the Technology Fees or Hosting Fee provided
below.

	8.	 	Hosting

	 
	 	 	 	In the event that STI fails to achieve (i) the same Hosting SLA (as defined below)
for any Channel in any (a) *** or (b) *** or (ii) *** Hosting SLA’s for any Channel
in any (a) *** or (b) ***, AT&T may elect to provide the hosting services (at its
sole cost) required to be provided by STI in accordance with Section 5.1 above for
such Channel, and in the event AT&T provides such hosting services for such Channel,
AT&T shall no longer be required to pay any Hosting Fee (as provided in Section 9.2
below) for such Channel thereafter. For purposes of this

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This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party representatives, and Supplier except under written agreement by the contracting Parties.

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CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

10

 

Agreement No. SG021306.S.007

	 
	 	 	 	Agreement, Hosting SLA for each Channel shall have the meaning ascribed to such
term in the SLA Attachment B specific to such Channel.

	9.	 	Pricing

	 	9.1	 	Technology Fee
	 
	 	 	 	On or about the ***, STI shall provide AT&T with its calculation of the number of
Transactions processed by STI through the Order Gateway during the *** immediately
preceding such *** (the “*** Actual Transactions”), and the Technology Fee due for
such *** in accordance with Table 9.1 below. For avoidance of doubt the Technology
Fee covers the ***, ***. For each such ***, the *** Technology Fee shall be equal to
the product of ***. The Technology Fee covers all costs related to the maintenance
and support of STI’s systems to support the ASP Solution.
	 
	 	 	 	Table 9.1 Technology Fee

	 	 	 	 	 
	Band	 	Annual Transactions	 	Technology Fee ***
	1
	 	***
	 	***
	2
	 	***
	 	***
	3
	 	***
	 	***
	4
	 	***
	 	***
	5
	 	***
	 	***
	6
	 	***
	 	***
	7
	 	***
	 	***
	8
	 	***
	 	***
	9
	 	***
	 	***
	10
	 	***
	 	***
	11
	 	***
	 	***
	12
	 	***
	 	***
	13
	 	***
	 	***
	14
	 	***
	 	***
	15
	 	***
	 	***
	16
	 	***
	 	***
	17
	 	***
	 	***
	18
	 	***
	 	***
	19
	 	***
	 	***

	*	 	Note: Band 19 Technology Fee is calculated by ***. This resulting sum ***. For
example ***.
	 
	 	 	Initially, the calculation of the ***Actual Transactions shall be based on the
initial *** Channels ***). In the event that additional Channels are added by the
Parties, for the first year of such

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

11

 

Agreement No. SG021306.S.007

	 	 	Channel, the number of Transactions with respect to such Channel shall be *** in
calculating the *** Actual Transactions. For example, ***. For example, ***.
Commencing in the second year, Transactions for such Channel shall be calculated in
the same manner as other Channels, ***.

	9.2	 	Hosting Fee
	 
	 	 	For each Channel, AT&T shall pay STI an annual hosting fee of ***.

In the event that AT&T requests that STI increase its capacity by greater than ***
its forecasted capacity for STI to process Transactions over the next ***, then the
Parties will work together through the Change Control process documented in the MSA
with respect to the increased equipment or infrastructure required for STI to acquire
to increase such capacity and to mutually determine if any additional fees are
applicable. Any such increase in transaction estimates provided by AT&T will follow
the existing Technology Fees set forth in Table 9.1 above without incremental cost to
AT&T.
	 
	9.3	 	IT Professional Services Fee
	 
	 	 	In each year of the Initial Term, AT&T shall pay to STI *** for *** of IT
professional services annually to be performed by STI at AT&T’s sole discretion and
direction, payable in equal monthly installments. STI agrees that projects will be
scoped in a manner consistent with professional industry practices, and that projects
with equivalent scope will be priced comparably. STI shall provide detailed
documentation of proposed and actual utilization of hours as agreed by the parties.
In the event, AT&T requests that STI provide more than *** of IT professional
services in any year, STI shall charge AT&T a fee of *** for such IT professional
services; provided, however, in the event that in any prior year, STI did not provide
at least *** of IT professional services, AT&T shall be able to utilize such unused
hours in later years for any IT professional services during the Initial Term prior
to STI charging AT&T for any hours in excess of *** of IT professional services for
such year; provided in no event shall AT&T be entitled to use any such hours ***. In
the event that AT&T exercises its right to renew the Contract for additional one (1)
year terms, AT&T shall notify STI at least *** prior to the end of the Initial Term
or such renewal term whether it wishes to renew its commitment of IT professional
services of ***. In the event that AT&T does not exercise such option, the parties
shall work together to negotiate in good faith new rates for such IT professional
services, which rate shall not exceed ***. In no event shall STI use any third
party located outside the United States for any IT professional services without
AT&T’s prior written consent.
	 
	 	 	Travel and living expenses (e.g.: airfare, hotel, car, meal, phone) associated with
IT professional services will be pre-approved per AT&T travel policy as documented in
the MSA and billed back to AT&T at cost. These amounts will be in addition to the
annual IT professional services commitment set forth above.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

12

 

Agreement No. SG021306.S.007

	 	 	Notwithstanding anything to the contrary, AT&T shall provide STI with the opportunity
to provide at least one (1) release annually dedicated to performance refactoring and
scalability enhancements. Such release(s) shall be at no cost to AT&T and shall not
be part of the annual IT professional services commitment referenced above or
constitute a remedy for STI’s failure to miss an SLA.

	10.0	 	Related Documents

	 	1.	 	Attachment A-1 — AT&T *** Pricing
	 
	 	2.	 	Attachment A-2 — AT&T *** Pricing
	 
	 	3.	 	Attachment B-1 — AT&T *** SLA and Remedies
	 
	 	4.	 	Attachment B-2 — *** SLA and Remedies

	11.0	 	Additional Channels
	 
	 	 	AT&T may add additional Channels (which may be outside of AT&T eCommerce) to this Contract at
the same terms and conditions, except that AT&T may perform up to ***% of the Manual
Processing for additional Channels and in the event a new Channel requires material changes to
the STI systems architecture and costs significantly less than or greater than the systems
architecture that exists on the Effective Date for an individual Channel, STI shall inform
AT&T of the cost variance and the parties shall work together to determine whether or not to
increase or decrease the Hosting Fee set forth in Section 9.2 for such new Channel.
	 
	 	 	For example ***.
	 
	12.0	 	Signoff Sheet
	 
	 	 	IN WITNESS WHEREOF, this Agreement is executed by the duly authorized representatives of the
Parties.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Synchronoss Technologies, Inc.	 	 	 	AT&T Services, Inc.	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Signature:

	 	 	 	 	 	 	 	Signature:	 	 	 	 	 	 
	 

	 	 
	 	 
	 	 	 	 	 	 
	 	 	 	 
	 

	 	Name:
	 	 	 	 	 	 	 	Name:
	 	Tim Harden	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	Title:
	 	 	 	 	 	 	 	Title:
	 	President — Supply Chain & Fleet Operations	 	 
	 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Date:

	 	 	 	 	 	 	 	Date:	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

13

 

Agreement No. SG021306.S.007

Attachment A-1

AT&T *** Pricing

	1.0	 	Manual Processing Pricing Schedule

This Attachment A-1 shall be an Attachment to the OMC Contract. This Attachment provides the
Manual Processing fees associated with the OMC Contract for the ***. The Manual Processing fees
in this Attachment go into effect on the Effective Date of the OMC Contract. Modifications to any
of the prices herein need to be in writing, and mutually agreed upon by both parties. Unless
otherwise provided, capitalized terms shall have the same meaning ascribed to them in the OMC
Contract.

1.1 Table 1 provides the fees associated with Manually Processing services in connection
with order processing for Transactions for the ***.

Table 1: OMC AT&T Manual Processing Fees — *** Processing:

	 	 	 	 	 	 	 	 	 	 	 	 	 
	Service	 	 	 	 	 	 	 	 	 	 	 	Cancelled
	Fee	 	AT&T	 	Service	 	 	 	Consumer	 	Each Line of
	Type	 	System	 	Fee ID	 	Service Charge	 	1st Line	 	Each Addtl	 	Service ( LOS )
	New Activation
	 	***	 	*O1	 	Postpaid  -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O2	 	Prepaid  - Workflow Mgr	 	***	 	***	 	***
	New Activation
	 	***	 	O3	 	Postpaid - Workflow Mgr	 	***	 	***	 	***
	 
	 	***	 	O4	 	Prepaid - Workflow Mgr	 	***	 	***	 	***
	Care Local
	 	***	 	O5	 	Post Paid -	 	***	 	***	 	***
	Number
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Portability
(LNP)

	 	***	 	O6	 	Prepaid - Workflow  Mgr	 	***	 	***	 	***
	Telegence
	 	***	 	O7	 	Post Paid -	 	***	 	***	 	***
	Local Number
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Portability
(LNP)

	 	***	 	O8	 	Prepaid - Workflow Mgr	 	***	 	***	 	***
	Migration
	 	***	 	O9	 	Service Fee -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O10	 	Service Fee -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Upgrade
	 	***	 	O11	 	Service Fee  -	 	***	 	***	 	***
	Postpaid
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O12	 	Service Fee -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Accessory
	 	***	 	O13	 	Service Fee	 	***	 	***	 	***
	Only
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Feature
	 	***	 	O14	 	Service Fee	 	***	 	***	 	***
	Request
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O15	 	Service Fee	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Agent FTE/ Hourly
	 	 	 	O16	 	Hourly FTE Rate for	 	***	 	***	 	***
	Rate
	 	 	 	 	 	Data Entry and	 	 	 	 	 	 
	 
	 	 	 	 	 	Special Projects	 	 	 	 	 	 

 

			
	*	 	O = Manual Processing Fees in AT&T Back Office Systems
	 
	**	 	Orders that are cancelled by any automated system and have no human STI touch would not
incur a Manual Processing fee.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

14

 

Agreement No. SG021306.S.007

Table 2 provides the fees associated with Manual Processing services in connection with
processing automated/manual inbound and outbound calls for Transactions for the ***.

Table 2: OMC AT&T Manual Processing Fees — *** Processing:

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Consumer	 	Customer Svc
	 	 	Service	 	 	 	 	 	Each	 	 	 	Each
	Service Fee Type	 	Fee ID	 	Service Charge	 	1st Line	 	Addtl.	 	1st Line	 	Addtl.
	Inbound Call **

	 	T1
	 	Inbound calls
Handled = Total
calls answered by a
live agent.
	 	***
	 	N/A
	 	***
	 	N/A
	Outbound Call

	 	T3
	 	Telephony cost

associated with

outbound calls
	 	***
	 	N/A
	 	***
	 	N/A
	Inbound Call 

Agent Call 

Handling Fee

	 	T4
	 	Hourly FTE rate for

Inbound / Outbound

Calls Processed
	 	***
	 	N/A
	 	***
	 	N/A

 

			
	*	 	T = *** Processing Fees
	 
	**	 	Any manual work done with a Transaction billed as an Inbound Call shall not incur an
Inbound Call Agent Call Handling Fee.
All IVR answered calls are included in the Technology Fee at no incremental charge.
Call Routing fees are included in the Technology Fee at no incremental charge.

	2.0	 	Forecasting

2.1 Forecast

AT&T will provide STI with a *** on or about the *** of each month setting forth AT&T’s
automated and Manual Processing volume requirements for the following *** detailed by ***.
If the forecast is not received *** after the *** of each *** STI will invoke the prior ***
forecast.

In the event the actual volume for Manual Processing transactions for a given *** does not
achieve ***% of the *** forecast or ***% of the *** forecast, whichever is greater then STI
will invoice AT&T for the lower of a minimum *** fees equal to ***% of the *** or ***% of
the *** forecasted Manual Processing transactions at the price per Transaction equal to ***
for such Manual Processing transactions under Table 1 ***.

For example, ***.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

15

 

Agreement No. SG021306.S.007

	3.0	 	Pricing Assumptions

	 	1.	 	STI and AT&T will meet once every *** to review and adjust the Manual
Processing prices where appropriate.
	 
	 	2.	 	In the event that the time studies reveal a material change in Manual
Processing costs, greater than ***%, both parties agree to review in detail the core
reason for the change. In the event that a change is attributed to performance, then
both parties will mutually agree if a change is warranted.
	 
	 	3.	 	STI anticipates Manually Processing additional Transaction types. The Manual
Processing fees for these Transactions could be priced at a different rate. The fee
for Manually Processing new Transactions would be determined by the complexity and
processing rates associated with the Transaction. Fees for Manually Processing
Transactions will be determined after a large enough sample size is processed by the
ASP Solution and will be mutually agreed to in writing by both parties. During this
period the parties must mutually agree on a price until an amendment to the Contract is
completed with mutually agreed upon pricing and associated SLA and remedies.
	 
	 	4.	 	New Manual Processing not identified in Section 1.0 of this Attachment would be
handled through a written change request. New Transactions will require an initial
trial period that will produce a large enough sample size to price the fees for
Manually Processing these Transactions. Service levels and remedies will not apply
during the initial trial period, of a length to be mutually determined by the parties.
	 
	 	5.	 	STI anticipates the cancelled rate for Manually Processing Transactions not to
exceed ***% of total Manual Processing Transaction volume. If the actual number of
Manual Processing Transactions that are cancelled exceeds ***%, STI will charge AT&T
the cancelled rate for the initial Manual Processing Transactions that are cancelled
and the shipped/successful Manual Processing fee for those Transactions over such ***%
threshold.
	 
	 	6.	 	Any modifications requested by AT&T that impact the configuration or
processing methodology by STI may require adjustments to the Manual Processing fees
herein. Upon receipt and review of AT&T’s modification request, STI shall inform AT&T
of any proposed increase to the fees. AT&T will have the sole option of whether or not
to move forward with its requested modification.

	4.0	 	Operations Management Team

As part of the OMC Contract, STI will provide AT&T with Operations Management support.
The dedicated team will provide AT&T with the following services:

Program Management:

Responsibilities include project management, business analysis, and functional analysis to
support new development, features and functionality. Additional Program Management
responsibilities include bringing new clients onto the ASP Solution.

Operations Management:

Responsibilities include credit, activation, and order fulfillment, transaction queue
management, service level monitoring and reporting, staffing, IVR management, training, and
interacting with B2C and B2B and Care teams to ensure seamless, high quality customer
service for eCommerce customers.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

16

 

Agreement No. SG021306.S.007

AT&T may adjust the number of FTEs on a *** basis. Adjustments to the resources must be
communicated in writing *** before the start of the next ***. Table 3 reflects the schedule
and fee for the Operations Management Team.

Table 3: Operations Management Team Schedule and Cost

	 	 	 	 	 	 	 
	Months/Qtr	 	FTEs	 	Price Per FTE	 	Total
	***
	 	***	 	***	 	***

	5.0	 	Travel and Living Expenses

Travel and living expenses (e.g.: airfare, hotel, car, meal, phone) associated with the ASP
Solution Services will be pre-approved and billed back to AT&T at cost, in accordance with
the Reimbursable Expenses section of the MSA.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE
COMMISSION.

17

 

Agreement No. SG021306.S.007

Attachment A-2

AT&T *** Pricing

	1.0	 	Processing Pricing Schedule

This Attachment A-2 shall be an Attachment to the OMC Contract. This Attachment provides the
Manual Processing fees associated with the OMC Contract for the ***. The Manual Processing fees
in this Attachment go into effect on the Effective Date of the OMC Contract. Modifications to any
of the prices herein need to be in writing, and mutually agreed upon by both parties. Unless
otherwise provided, capitalized terms shall have the same meaning ascribed to them in the OMC
Contract.

1.1 Table 1 provides the fees associated with Manually Processing services in connection
with order processing for Transactions for the ***.

Table 1: OMC AT&T Manual Processing Fees — Order Processing:**

	 	 	 	 	 	 	 	 	 	 	 	 	 
	Service	 	 	 	 	 	 	 	 	 	 	 	Cancelled
	Fee	 	 	 	 	 	 	 	Business	 	Each Line of
	Type	 	Cingular System	 	Service Fee ID	 	Service Charge	 	1st Line	 	Each Addtl.	 	Service ( LOS )
	New Activation
	 	***	 	*O1	 	Postpaid  -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O2	 	Prepaid  - Workflow Mgr	 	***	 	***	 	***
	New Activation
	 	***	 	O3	 	Postpaid - Workflow Mgr	 	***	 	***	 	***
	 
	 	***	 	O4	 	Prepaid - Workflow Mgr	 	***	 	***	 	***
	Care Local Number
	 	***	 	O5	 	Post Paid -	 	***	 	***	 	***
	Portability (LNP)
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O6	 	Prepaid - Workflow Mgr	 	***	 	***	 	***
	Telegence Local
	 	***	 	O7	 	Post Paid -	 	***	 	***	 	***
	Number Portability
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	(LNP)

	 	***	 	O8	 	Prepaid - Workflow Mgr	 	***	 	***	 	***
	Migration
	 	***	 	O9	 	Service Fee -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O10	 	Service Fee -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Upgrade
	 	***	 	O11	 	Service Fee  -	 	***	 	***	 	***
	Postpaid
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O12	 	Service Fee -	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Accessory Only
	 	***	 	O13	 	Service Fee	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Feature Request
	 	***	 	O14	 	Service Fee	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	 
	 	***	 	O15	 	Service Fee	 	***	 	***	 	***
	 
	 	 	 	 	 	Workflow Mgr	 	 	 	 	 	 
	Agent FTE/ Hourly
	 	 	 	O16	 	Hourly FTE Rate for	 	***	 	***	 	***
	Rate
	 	 	 	 	 	Data Entry and	 	 	 	 	 	 
	 
	 	 	 	 	 	Special Projects	 	 	 	 	 	 

 

			
	*	 	O = Processing Fees in AT&T Back Office Systems
	 
	**	 	Orders that are cancelled by any automated system and have no human STI touch would not
incur a manual cancelled processing fee.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

18

 

Agreement No. SG021306.S.007

Table 2 provides the fees associated with Manual Processing services in connection with
processing automated/manual inbound and outbound calls for Transactions for the ***

Table 2: OMC AT&T Manual Processing Fees — *** Processing:**

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Business
	 	 	Service	 	 	 	 	 	Each
	Service Fee Type	 	Fee ID*	 	Service Charge	 	1st Line	 	Addtl.
	Inbound Call**

	 	T1
	 	Inbound calls
Handled = Total
calls answered by a
live agent.
	 	***
	 	N/A
	Outbound Call

	 	T3
	 	Telephony cost

associated with

outbound calls
	 	***
	 	N/A
	Inbound Call 

Agent Call 

Handling Fee

	 	T4
	 	Hourly FTE rate for

Inbound / Outbound

Calls Processed
	 	***
	 	N/A

 

			
	*	 	T = *** Processing Fees
	 
	**	 	Any manual work done with a Transaction billed as an Inbound Call shall not incur an
Inbound Call Agent Call Handling Fee.
All IVR answered calls are included in the Technology Fee at no incremental charge.
Call Routing fees are included in the Technology Fee at no incremental charge.

	2.0	 	Forecasting

2.1 Forecast

AT&T will provide STI with a *** forecast on or about the *** of each *** setting forth
AT&T’s automated and Manual Processing volume requirements for the following *** detailed by
***. If the forecast is not received *** after the *** of each *** STI will invoke the
prior *** forecast.

In the event the actual volume for Manual Processing Transactions for a given *** does not
achieve ***% of the *** forecast or ***% of the *** forecast, whichever is greater, then STI
will invoice AT&T for the lower of a minimum *** fees equal to ***% of the *** or ***% of
the *** forecasted Manual Processing Transactions at the price per Transaction equal to ***
for such Manual Processing Transactions under Table 1 ***.

For example, ***.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

19

 

Agreement No. SG021306.S.007

	3.0	 	Pricing Assumptions

	 	1.	 	STI and AT&T will meet once every *** to review and adjust the Manual
Processing transaction prices where appropriate.
	 
	 	2.	 	In the event that the time studies reveal a material change in Manual
Processing costs, greater than ***%, both parties agree to review in detail the core
reason for the change. In the event that a change is attributed to performance, then
both parties will mutually agree if a change is warranted.
	 
	 	3.	 	STI anticipates Manually Processing additional Transaction types. The Manual
Processing fees for these Transactions could be priced at a different rate. The fee
for Manually Processing new Transactions would be determined by the complexity and
processing rates associated with the Transaction. Fees for Manually Processing
Transaction will be determined after a large enough sample size is processed by the
ASP Solution and will be mutually agreed to in writing by both parties. During this
period the parties must mutually agree on a price until an amendment to the Contract
is completed with mutually agreed upon pricing and associated SLA and remedies.
	 
	 	4.	 	New Manual Processing not identified in Section 1.0 of this Attachment would
be handled through a written change request. New Transactions will require an initial
trial period that will produce a large enough sample size to price the fees for
Manually Processing these Transactions. Service levels and remedies will not apply
during the initial trial period of a length to be mutually determined by the parties.
	 
	 	5.	 	STI anticipates the cancelled rate for Manually Processing Transactions not
to exceed ***% of total Manual Processing Transaction volume. If the actual number of
Manual Processing Transactions that are cancelled exceeds ***%, STI will charge AT&T
the cancelled rate for the initial Manual Processing Transactions that are cancelled
and the shipped /successful Manual Processing fee for those Transactions over such
***% threshold
	 
	 	6.	 	Any modifications requested by AT&T that impact the configuration or
processing methodology by STI may require adjustments to the Manual Processing fees
herein. Upon receipt and review of AT&T’s modification request, STI shall inform AT&T
of any proposed increase to the fees. AT&T will have the sole option of whether or
not to move forward with its requested modification.

	4.0	 	Operations Management Team

As part of this OMC Contract, STI will provide AT&T with Operations Management
support. The dedicated team will provide AT&T with the following services:

Program Management:

Responsibilities include project management, business analysis, and functional analysis to
support new development, features and functionality. Additional Program Management
responsibilities include bringing new clients onto the ASP Solution.

Operations Management:

Responsibilities include credit, activation, and order fulfillment, transaction queue
management, service level monitoring and reporting, staffing, IVR management, training, and
interacting with
B2C and B2B and Care teams to ensure seamless, high quality customer service for eCommerce
customers.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

20

 

Agreement No. SG021306.S.007

AT&T may adjust the number of FTEs on a *** basis. Adjustments to the resources must be
communicated in writing *** before the start of the next ***. Table 3 reflects the schedule
and fee for the Operations Management Team.

Table 3: Operations Management Team Schedule and Cost

	 	 	 	 	 	 	 
	Months/Qtr	 	FTEs	 	Price Per FTE	 	Total
	***
	 	***	 	***	 	***

	5.0	 	Travel and Living Expenses

Travel and living expenses (e.g.: airfare, hotel, car, meal, phone) associated with the
ASP Solution Services will be pre-approved and billed back to AT&T at cost, in accordance
with the Reimbursable Expenses section of the MSA.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

21

 

Agreement No. SG021306.S.007

Attachment B-1

AT&T *** SLA and Remedies

	1.0	 	Service Level Requirements and Remedies

This Attachment B-1 is an Attachment to the OMC Contract. This Attachment provides the
Service Level Requirements and Remedies associated with the Agreement for the ***.

           1.1 Order/Transaction Cycle Time Service Level Requirements:

	 	1.	 	***% of all Lines of Service (LOS) received by STI in a *** period will
be entered into the AT&T defined system of record within the shipping cut off
window.
	 
	 	2.	 	STI will not be responsible for failures to meet the Service Level
Requirement for those lines of service that exceed the forecast by more than ***%.
	 
	 	3.	 	If any individual *** or *** is greater than ***% of the *** or ***
forecasted average, then STI will apply best efforts in processing the Transactions
that exceed the forecast by greater than ***%.
	 
	 	4.	 	Special events will be reviewed on an individual basis. AT&T and STI
agree to meet and review special event requirements on as needed basis. STI will
apply best efforts to fulfill special event request.

In the event the Service Level Requirement is not met in a given ***, STI will provide to
AT&T the discount set forth on Table 1 each ***.

If the Service Level Requirement is exceeded in a given ***, STI will invoice AT&T the
premium set forth in Table 1 each ***.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

22

 

Agreement No. SG021306.S.007

Table 1: Transaction Cycle Time Service Levels and Remedies for Manually Processed Orders
Only

	 	 	 	 	 
	SLA ID**	 	Fulfillment Monthly SLA Index	 	*$-Discount (Credit) per Order
	OC 1
	 	***% — ***% of transactions
submitted within shipping
cut off ***

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OC 2
	 	***% — ***% of transactions
submitted within shipping
cut off

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OC 3
	 	***% — ***% of transactions
submitted within shipping
cut off

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OC 4
	 	***% transactions submitted 

within shipping cut off

	 	No Penalties Apply
	 	 	 
	 	 
	OC 5
	 	*** % — ***% of transactions
submitted within shipping
cut off

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OC 6
	 	***% — ***% of transactions
submitted within shipping
cut off

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OC 7
	 	***% — ***% of transactions
submitted within shipping
cut off

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OC 8
	 	***% — ***% of transactions
submitted within shipping
cut off

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OC 9
	 	Less than ***% of
transactions submitted
within shipping cut off

	 	***% of Data Processing
Expense, First ***
	 	 	 
	 	 
	OC 10
	 	Less than ***% of
transactions submitted
within shipping cut off

	 	***% of Data Processing
Expense, Second consecutive
***

 

			
	*	 	Remedies will be applied *** and apply to the total *** invoiced amount from tables 1 and 2
of Attachment A-1.
	 
	**	 	Order Cycle Time SLA
	 
	***	 	Shipping cut-off is defined as *** for orders received before *** that same day.

In calculating the above Order Cycle Time SLA, only those Orders that require ***% Manual
Processing shall be included in such calculation.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

23

 

Agreement No. SG021306.S.007

     1.2 Order/Transaction Quality Processing Service Level Requirements for Manually
Processeded Orders Only:

	1.	 	***% of LOS received by STI in a *** period will be entered by STI
correctly into the order entry and billing systems of record as it was received by
STI’s Order Gateway . Orders that deviate from AT&T eCommerce Shipped As Ordered
(SAO) policy will be excluded from the SLA and remedies in this document.
	 
	2.	 	STI will not be responsible for failure to enter data for reasons outside
of STI’s control; including and without limitation due to inaccurate data provided
by AT&T client applications or AT&T IT systems.
	 
	3.	 	STI will audit a statistical valid sample size on a *** basis to assess
the quality levels. This information will be provided to AT&T leadership on an
agreed to schedule
	 
	4.	 	The manual QA process will be augmented by a systematic “Shipped as
Ordered” assessment approach, when available, that will target an audit of ***%
LOS/day.
	 
	5.	 	Transactions that are not received through the ASP Solution will not be
eligible for SLA’s and Remedies.

In the event the Service Level Requirement is not met in a given ***, STI will provide to
AT&T the discount set forth below in Table 2 on a *** basis.

If the Service Level Requirement is exceeded by STI in a given ***, STI will invoice AT&T
the premium set forth below in Table 2 on a *** basis.

     Table 2: Order/Transaction Quality Processing Service Levels and Remedies for Manually
Processed Orders Only.

	 	 	 	 	 
	SLA ID**	 	*Monthly SLA Index	 	*$Discount (Credit) per Order
	OQ 1
	 	***% — ***% of LOS will
be submitted accurately

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OQ 2
	 	***% — ***% of LOS will
be submitted accurately

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OQ 3
	 	***% — ***% of LOS will
be submitted accurately

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OQ 4
	 	***% of LOS will be
submitted accurately

	 	No Penalties Apply
	 	 	 
	 	 
	OQ 5
	 	***% — ***% of LOS will
be submitted accurately

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OQ 65
	 	***% — ***% of LOS will
be submitted accurately

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OQ 7
	 	***% — ***% of LOS will
be submitted accurately

	 	***% of Data Processing Expense
	 	 	 
	 	 
	OQ 8
	 	***% of LOS will be
submitted accurately

	 	***% of Data Processing Expense,
First ***
	 	 	 
	 	 
	OQ 9
	 	***% of LOS will be
submitted accurately

	 	***% of Data Processing Expense,
Second consecutive ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

24

 

Agreement No. SG021306.S.007

 

			
	*	 	Remedies will be applied *** and apply to the total *** invoiced amount from tables 1 and 2
of Attachment A-1.
	 
	**	 	Order Quality Service Level

In calculating the above Order Quality Service Level SLA, only those Orders that require
***% Manual Processing shall be included in such calculation.

1.3 Inbound Call Handling Service Levels Requirements

	 	1.	 	STI will not be responsible for failures to meet the Service Level
Requirement for any specific day when calls exceed the *** forecast by more than
***%. In this event, these specific *** will be excluded from the *** assessment.
	 
	 	2.	 	ASA — Average Speed of Answer by a live agent (excludes IVR time)
	 
	 	3.	 	Abandon Calls — Percent of OMC offered calls abandoned

Table 3: Inbound Call Handling Service Levels

	 	 	 	 	 
	SLA ID*	 	Service Level Category	 	Service Level
	IC 1
	 	Abandon Rate

	 	Less Than ***% of all calls
offered in a given *** will
be abandoned
	 	 	 
	 	 
	IC 2
	 	*** Average Speed of Answer
(ASA)

	 	***% of calls offered to an
agent will be answered in
less than *** by a live
agent, during the normal
inbound call operating hours
per ***.
	 	 	 
	 	 
	IC 3
	 	*** ASA (as measured by normal 

daily operating business 

hours)

	 	***% of the hours within the
normal daily business
operating hours for inbound
calls, will have an ASA of
less than ***

 

			
	*	 	IC = Inbound Call Service Level

STI and AT&T will meet no less than once every *** to review and modify the call types, SLA
and remedies where appropriate.

	2.0	 	ASP Platform Service Levels and Remedies

2.1 STI Order Gateway and Workflow Manager Availability

System Availability:

The Order Gateway and Workflow Manager is available and functioning in accordance with the
OG SLA (as defined in Section 3.0 below) 24 hours a day, 7 days per week excluding 1)
regularly scheduled downtimes to perform system upgrades, application administration, and
any other planned events as agreed in advance in writing by the parties and 2) STI written
requests to customer for any unscheduled maintenance outage periods, if needed.

ASP Platform Service Levels:

	 	1.	 	Order Gateway and associated workflow processes — ***% system up time
	 
	 	2.	 	Email Service — ***% system up time

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

25

 

Agreement No. SG021306.S.007

	 	3.	 	Workflow Manager — ***% system up time
	 
	 	4.	 	Scheduled system processes e.g., Fedx Tracker job — ***% system uptime
	 
	 	5.	 	Reporting Platform — ***% system up time

Service Level Measurement Process:

	 	1.	 	Statistics used to determine downtime are collected using a suite of
network and application monitoring tools as well as data collected by the application
itself.
	 
	 	2.	 	ASP Platform Service level attainment is reviewed on a *** basis. All
statistics from STI’s monitoring suite are reviewed and dowtime recorded for that ***
is summarized for each funtional area of the ASP platform (e.g. gateway, email,
workflow etc.)
	 
	 	3.	 	Anytime the Order Gateway under a Normal Transaction Flow (as defined in
Section 3.0 below) responds to no Transactions within *** of its receipt by the Order
Gateway outside the network and server downtimes and scheduled outages will also be
included in the downtime calculation. For example, ***.
	 
	 	4.	 	STI assumes that the *** and *** transaction volume will not exceed the
forecast by more than ***%. Volume in excess of this amount will exempt STI from
these SLA and remedies for the affected period. Requirements for special events,
e.g. bulk orders will be addressed on an individual basis.
	 
	 	5.	 	Functional area outages are determined using the guidelines in the tables
below:

Table 4: STI System Outage Guidelines

	 	 	 
	Platform	 	Outage Criteria
	Order Gateway
	 	•    All gateway application servers are down

	 	 	•    Gateway cannot process client transactions and “nacks” all
messages to the gateway

	 	 	 

	Email Service
	 	•    All email bridgehead/relay servers are down

	 	 	•    No messages are forwarded from STI email service

	 	 	 

	Workflow Manager
	 	•    All workflow manager servers are down

•    Greater than ***% of end-users/agents cannot access workflow
mgr

	 	 	 

	Reporting Platform
	 	An outage will be recorded if any one of the following occurs:

	 	 	•    Real time reporting application is unavailable or is not
updating on a scheduled basis

	 	 	•    Hourly reports are not generated and delivered (for reasons
other than an
STI or AT&T email issue). Availability will be measured as a
percentage of the overall number of reports generated on a monthly
basis

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

26

 

Agreement No. SG021306.S.007

ASP Platform Eligible for Remedies:

1. Order Gateway and associated workflow processes — ***% system up time

2. Email Service — ***% system up time

STI will calculate all downtime associated with both items listed above and provide one
summary figure on a *** basis for overall availability. Failure to meet service levels will
result in the remedies as defined in Table 5 below.

Table 5: STI System Availability Service Levels and Remedies

	 	 	 
	 	 	%-Discount (Credit) off Total
	Service Level System Availability	 	Quarterly Gateway Fee*
	***% — ***%

	 	***% Discount
	 	 	 
	***% — ***%
	 	***% Discount
	 	 	 
	***% — ***%
	 	***% Discount
	 	 	 
	Less Than ***%
	 	***% Discount

 

			
	*	 	Discounts will be applied in the *** the penalty/remedy is realized

	 
	*	 	SLA’s and remedies do not apply when STI, at the request of AT&T, bypasses the full
testing cycle on a new release.

Table 6: Illustrative STI System Outage Calculation

	 	 	 
	 	 	Minutes of Unscheduled
	Availability	 	Downtime/Per Month
	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

	 	 	 

	***%
	 	***

Table 7: AT&T System Availability Service Levels and Remedies

	 	 	 
	Service
Level — System Availability	 	Remedy
	AT&T System Outage for greater than
*** in a *** period. This excludes
scheduled maintenance

	 	Synchronoss will apply the YTD
historical shipped and cancelled
ratio to ***% of the *** forecast.
	 
	 	 
	AT&T Systems will be available for
the published AT&T operating SLA’s

	 	AT&T System outages that do not meet
the published AT&T operating SLA’s
will exclude STI from all Processing
Remedies in ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

27

 

Agreement No. SG021306.S.007

 

			
	*	 	Credits accrued by STI as a result of AT&T System outages can be applied to
remedies/penalties incurred by STI.

	 	1.	 	Scheduled System Maintenance is excluded from all SLA System Availability
calculations.
	 
	 	2.	 	Scheduled System Maintenance requires a written notice up to ***, but not
less than *** notice to AT&T and STI Decision Makers, and their subsequent consent.

2.2 Description for e-Mail Manager

STI will host an email infrastructure that reliably forwards all system generated emails to
AT&T Online customers. This infrastructure will operate within the following service
levels:

	 	1.	 	Dual mail relay servers to deliver ***% uptime
	 
	 	2.	 	Support *** email messages per day
	 
	 	3.	 	*** retention of all sent email messages
	 
	 	4.	 	Message sizes may not exceed *** or contain attachments

	3.0	 	Order Gateway Performance Service Level Requirements (“OG SLA”)

Order Gateway under a Normal Transaction Flow (as described below) will respond to ***% of
the Transactions for a Channel within *** of its receipt by the Order Gateway in any given
*** provided such Transaction is in the documented format and has been submitted by AT&T per
the published process documentation, and successfully pass STI’s Order Gateway Validations
(as described below). AT&T will have the responsibility to produce reports from the Order
Gateway, or request such reports from STI, to measure the results and determine if this SLA
is met. AT&T and STI shall mutually agree on the format of such reports. Measurement will
be based on ***. STI will comply with AT&T’s requests for data in accordance with the
measurement. For purposes of the OMC Contract and the MSA ***.

Normal Transaction Flow means:

	 	a.	 	The sending system emits a valid message for the activity desired
per the agreed upon schema.
	 
	 	b.	 	The AT&T client is also sending messages at the rate both parties
have determined acceptable for the Channel and via the agreed upon protocol.
	 
	 	c.	 	The customer’s systems are accepting and correctly processing
responses from the STI platform.

During the Normal Transaction Flow, it is assumed that the client is sending the correct
number of messages per Transaction.

Order Gateway Validations: Upon receipt of a message, the Order Gateway will validate the
message against the specified schema for correctness. Additional security, database and
business logic analysis will be performed to ensure the message can and should be processed
by the STI system. If both of these activates are successful the Order is submitted for
processing.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure
outside of AT&T, its
Affiliates, and third party
representatives, and Supplier except under written agreement by the
contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

28

 

Agreement No. SG021306.S.007

	4.0	 	Hosting SLA
	 
	 	 	The following shall be the Hosting SLA’s for purposes of Section 8, Hosting of the OMC
Contract. In determining whether the any of these Service Level Agreements have
been met the same assumptions and processes set forth in Section 2 above and Section 6 below
should be applied.

	4.1	 	STI Order Gateway and Workflow Manager Availability:

	 	1.	 	Order Gateway and associated workflow processes — ***% system up time
	 
	 	2.	 	Email Service — ***% system up time
	 
	 	3.	 	Workflow Manager — ***% system up time
	 
	 	4.	 	Housekeeping and other scheduled system processes e.g., Fedx Tracker job
 — ***% system uptime
	 
	 	5.	 	Reporting Platform — ***% system up time

	5.0	 	Manual Processing SLA
	 
	 	 	The following shall be the Manual Processing SLA’s for purposes of Section 7.2 of the OMC
Contract. In determining whether the any of these Service Level Agreements have
been met the same assumptions and processes set forth in Section 1 above and Section 6 below
should be applied

	 	1.	 	***% of all Lines of Service (LOS) received by STI in a *** period will be entered into the
AT&T defined system of record within the shipping cut off window.
	 
	 	2.	 	***% of LOS received by STI in a *** period will be entered by STI correctly
into the order entry and billing systems of record as it was received by STI’s ASP
Solution. Orders that deviate from AT&T eCommerce Shipped As Ordered (SAO) policy
will be excluded from the SLA and remedies in this document.
	 
	 	3.	 	Inbound Call Handling Service Levels

	 	a.	 	Less than ***% of all calls offered in a given month will be
abandoned
	 
	 	b.	 	***% of calls offered to an agent will be answered in less than
*** by a live agent, during the normal inbound call operating hours per business
day.
	 
	 	c.	 	***% of the hours within the normal daily business operating
hours for inbound calls, will have an ASA of less than ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

29

 

Agreement No. SG021306.S.007

	6.	 	Assumptions

	 	6.1	 	Methods and Procedures (M&P)

STI’s Order Management Center will adhere to AT&T’s approved Methods and Procedures (M&P).
STI must submit a change request and receive prior written approval from AT&T to deviate
from the approved M&P.

	 	6.2	 	Security

In addition to any other obligations under the OMC Contract, STI in its ordinary course of
business, from time to time but no less than every ***, will have an independent security
audit evaluating its controls and procedures as it relates to all of its clients. Any
material weaknesses which arise will be immediately corrected or otherwise disclosed to
AT&T.

	 	6.3	 	Remedies
	 
	 	1.	 	Service levels apply only to transactions that are received and processed
through the Order Gateway and OMC.
	 
	 	2.	 	SLA and remedies do not apply when latency or system issues are experienced
with AT&T or Third Party Vendor systems, e.g.: Care, Telegence, Siebel, NBO, Oracle,
other Back Office Systems.
	 
	 	3.	 	Remedies not identified in this document may require further negotiation on the
service price per transaction.
	 
	 	4.	 	AT&T must maintain Account Payable terms better than *** or all remedies are
forfeited for that period.
	 
	 	5.	 	STI is not eligible for any bonus if any other of the Service Levels is missed
for ***. Once Synchronoss is back within service levels the premium charge for
exceeding SLA would apply.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

30

 

Agreement No. SG021306.S.007

Attachment B-2

AT&T *** SLA and Remedies

	1.0	 	Service Level Requirements and Remedies
	 
	 	 	This Attachment B-2 is an Attachment to the OMC Contract. This Attachment provides the
Service Level Requirements and Remedies associated with the Agreement for the ***l.

	 	1.1	 	Order/Transaction Cycle Time Service Level Requirements:

	 	1.	 	***% of all Lines of Service (LOS) received by STI in *** period will be
entered into the AT&T defined system of record within the shipping cut off window.
	 
	 	2.	 	STI will not be responsible for failures to meet the Service Level
Requirement for those lines of service that exceed the forecast by more than ***%.
	 
	 	3.	 	If any individual *** or *** is greater than ***% of the *** or ***
forecasted average, then STI will apply best efforts in processing the Transactions
that exceed the forecast by greater than ***%.
	 
	 	4.	 	Special events will be reviewed on an individual basis. AT&T and STI agree
to meet and review special event requirements on as needed basis. STI will apply
best efforts to fulfill special event request.

In the event the Service Level Requirement is not met in a given ***, STI will provide to
AT&T the discount set forth on Table 1 each ***.

If the Service Level Requirement is exceeded in a given ***, STI will invoice AT&T the
premium set forth in Table 1 each ***.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

31

 

Agreement No. SG021306.S.007

Table 1: Transaction Cycle Time Service Levels and Remedies for Manually Processed Orders

	 	 	 	 	 
	SLA ID**	 	Fulfillment Monthly SLA Index	 	*$-Discount (Credit) per Order
	OC 1

	 	***% — ***% of transactions

submitted within shipping
cut off ***
	 	***% of Data Processing Expense
	OC 2

	 	***% — ***% of transactions

submitted within shipping
cut off
	 	***% of Data Processing Expense
	OC 3

	 	***% — ***% of transactions

submitted within shipping
cut off
	 	***% of Data Processing Expense
	OC 4

	 	***% transactions submitted

within shipping cut off
	 	No Penalties Apply
	OC 5

	 	***% — ***% of transactions

submitted within shipping
cut off
	 	***% of Data Processing Expense
	OC 6

	 	***% — ***% of transactions

submitted within shipping
cut off
	 	***% of Data Processing Expense
	OC 7

	 	***% — ***% of transactions 

submitted within shipping
cut off
	 	***% of Data Processing Expense
	OC 8

	 	***% — ***% of transactions

submitted within shipping
cut off
	 	***% of Data Processing Expense
	OC 9

	 	Less than ***% of
transactions
 submitted
within shipping cut off
	 	***% of Data Processing
Expense, First Month
	OC 10

	 	Less than ***% of
transactions 
submitted
within shipping cut off
	 	***% of Data Processing
Expense, Second
 consecutive
Month

 

			
	*	 	Remedies will be applied *** and apply to the total *** invoiced amount from tables 1 and 2
of Attachment A-1.
	 
	**	 	Order Cycle Time SLA
	 
	***	 	Shipping cut-off is defined as *** for orders received before *** that same day.

In calculating the above Order Cycle Time SLA, only those Orders that require ***% Manual
Processing shall be included in such calculation.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

32

 

Agreement No. SG021306.S.007

     1.2 Order/Transaction Quality Processing Service Level Requirements for Manually
Processed Orders Only:

	 	1.	 	***% of LOS received by STI in a *** period will be entered by STI
correctly into the order entry and billing systems of record as it was received by
STI’s Order Gateway. Orders that deviate from AT&T eCommerce Shipped As Ordered
(SAO) policy will be excluded from the SLA and remedies in this document.
	 
	 	2.	 	STI will not be responsible for failure to enter data for reasons outside
of STI’s control; including and without limitation due to inaccurate data provided by
AT&T client applications or AT&T IT systems.
	 
	 	3.	 	STI will audit a statistical valid sample size on a *** basis to assess the
quality levels. This information will be provided to AT&T leadership on an agreed to
schedule
	 
	 	4.	 	The manual QA process will be augmented by a systematic “Shipped as
Ordered” assessment approach, when available, that will target an audit of ***%
LOS/day.
	 
	 	5.	 	Transactions that are not received through the ASP Solution will not be
eligible for SLA’s and Remedies.

In the event the Service Level Requirement is not met in a given ***, STI will provide to
AT&T the discount set forth below in Table 2 on a *** basis.

If the Service Level Requirement is exceeded by STI in a given ***, STI will invoice AT&T
the premium set forth below in Table 2 on a *** basis.

Table 2: Order/Transaction Quality Processing Service Levels and Remedies for Manually
Processed Orders Only

	 	 	 	 	 
	SLA ID**	 	*Monthly SLA Index	 	*$Discount (Credit) per Order
	OQ 1

	 	***% — ***% of LOS will
be submitted
 accurately
	 	***% of Data Processing Expense
	OQ 2

	 	***% — ***% of LOS will
be submitted
 accurately
	 	***% of Data Processing Expense
	OQ 2

	 	***% — ***% of LOS will
be submitted
 accurately
	 	***% of Data Processing Expense
	OQ 3

	 	***% of LOS will be
submitted
 accurately
	 	No Penalties Apply
	OQ 4

	 	***% — ***% of LOS will
be submitted
 accurately
	 	***% of Data Processing Expense
	OQ 5

	 	***% — ***% of LOS will
be submitted
 accurately
	 	***% of Data Processing Expense
	OQ 6

	 	***% — ***% of LOS will
be submitted
 accurately
	 	***% of Data Processing Expense
	OQ 7

	 	*** % of LOS will be
submitted
 accurately
	 	***% of Data Processing Expense,

First Month
	OQ 8

	 	*** % of LOS will be
submitted
 accurately
	 	***% of Data Processing Expense,

Second consecutive Month

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

33

 

Agreement No. SG021306.S.007

 

			
	*	 	Remedies will be applied monthly and apply to the total *** invoiced amount from tables 1
and 2 of Attachment A-1.
	 
	**	 	Order Quality Service Level

In calculating the above Order Quality Service Level SLA, only those Orders that require
***% Manual Processing shall be included in such calculation.

	 	1.3	 	Inbound Call Handling Service Levels Requirements

	 	1.	 	STI will not be responsible for failures to meet the Service Level
Requirement for any specific day when calls exceed the *** forecast by more than
***%. In this event, these specific days will be excluded from the monthly
assessment.
	 
	 	2.	 	ASA — Average Speed of Answer by a live agent (excludes IVR time)
	 
	 	3.	 	Abandon Calls — Percent of OMC offered calls abandoned

Table 3: Inbound Call Handling Service Levels

	 	 	 	 	 
	SLA ID*	 	Service Level Category	 	Service Level
	IC 1

	 	Abandon Rate
	 	Less Than ***% of all calls
offered in a given *** will
be abandoned
	 
	 	 	 	 
	IC 2

	 	*** Average Speed of
 Answer
(ASA)
	 	***% of calls offered to an
agent will be answered in
less
 than *** by a live
agent, during the normal
inbound call
 operating hours
per business day.
	 
	 	 	 	 
	IC 3

	 	*** ASA (as measured by normal

daily operating business

hours)
	 	***% of the hours within the
normal daily business

operating hours for inbound
calls, will have an ASA of

less than ***

 

			
	*	 	IC = Inbound Call Service Level

STI and AT&T will meet no less than once every *** to review and modify the call types, SLA
and remedies where appropriate.

	2.0	 	ASP Platform Service Levels and Remedies

	 	2.1	 	STI Order Gateway and Workflow Manager Availability

System Availability:

The Order Gateway and Workflow Manager is available and functioning in accordance with the
OG SLA (as defined in Section 3.0 below) 24 hours a day, 7 days per week excluding 1)
regularly scheduled downtimes to perform system upgrades, application administration, and
any other planned events as agreed in advance in writing by the parties and 2) STI written
requests to customer for any unscheduled maintenance outage periods, if needed.

ASP Platform Service Levels:

	 	1.	 	Order Gateway and associated workflow processes — ***% system up time
	 
	 	2.	 	Email Service — ***% system up time

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

34

 

Agreement No. SG021306.S.007

	 	3.	 	Workflow Manager — ***% system up time

	 
	 	4.	 	Scheduled system processes e.g., Fedx Tracker job — ***% system uptime
	 
	 	5.	 	Reporting Platform — ***% system up time

Service Level Measurement Process:

	 	1.	 	Statistics used to determine downtime are collected using a suite of
network and application monitoring tools as well as data collected by the application
itself.
	 
	 	2.	 	ASP Platform Service level attainment is reviewed on a *** basis. All
statistics from STI’s monitoring suite are reviewed and dowtime recorded for that ***
is summarized for each funtional area of the ASP platform (e.g. gateway, email,
workflow etc.)
	 
	 	3.	 	Anytime the Order Gateway under a Normal Transaction Flow (as defined in
Section 3.0 below) responds to no Transactions within *** of its receipt by the Order
Gateway oustide the network and server downtimes and scheduled outages will also be
included in the downtime calculation. For example, for *** the Order Gateway
responds to no Transactions within ***, such *** shall be included in the calculation
of downtime.
	 
	 	4.	 	STI assumes that the *** and *** transaction volume will not exceed the
forecast by more than ***%. Volume in excess of this amount will exempt STI from
these SLA and remedies for the affected period. Requirements for special events,
e.g. bulk orders will be addressed on an individual basis.
	 
	 	5.	 	Functional area outages are determined using the guidelines in the tables
below:

Table 4: STI System Outage Guidelines

	 	 	 
	Platform	 	Outage Criteria
	Order Gateway

	 	•   All gateway application servers are down
	 

	 	•   Gateway cannot process client transactions and “nacks” all
messages to the gateway
	 
	 	 
	Email Service

	 	•   All email bridgehead/relay servers are down
	 

	 	•   No messages are forwarded from STI email service
	 
	 	 
	Workflow Manager

	 	•   All workflow manager servers are down
	 

	 	•   Greater than ***% of end-users/agents cannot access workflow
mgr
	 
	 	 
	Reporting Platform

	 	An outage will be recorded if any one of the following occurs:
	 

	 	•   Real time reporting application is unavailable or is not
updating on a scheduled basis
	 

	 	•   Hourly reports are not generated and delivered (for reasons
other than an STI or AT&T email issue). Availability will be measured
as a percentage of the overall number of reports generated on a
monthly basis

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

35

 

Agreement No. SG021306.S.007

ASP Platform Eligible for Remedies:

	 	1.	 	Order Gateway and associated workflow processes — ***% system up
time
	 
	 	2.	 	Email Service — ***% system up time

STI will calculate all downtime associated with both items listed above and provide one
summary figure on a *** basis for overall availability. Failure to meet service levels will
result in the remedies as defined in Table 5 below.

Table 5: STI System Availability Service Levels and Remedies

	 	 	 
	 	 	%-Discount (Credit) off Total Quarterly 
	Service Level — System Availability	 	Gateway Fee*
	***% — ***%

	 	***% Discount
	***% — ***%

	 	***% Discount
	***% — ***%

	 	***% Discount
	Less Than ***%

	 	***% Discount

 

			
	*	 	Discounts will be applied in the *** the penalty/remedy is realized

	 
	*	 	SLA’s and remedies do not apply when STI, at the request of AT&T, bypasses the full
testing cycle on a new release.

Table 6: Illustrative STI System Outage Calculation

	 	 	 
	 	 	Minutes of Unscheduled
	Availability	 	Downtime/Per Month
	***%

	 	***
	***%

	 	***
	***%

	 	***
	***%

	 	***
	***%

	 	***
	***%

	 	***
	***%

	 	***
	***%

	 	***
	***%

	 	***
	***%

	 	***

Table 7: AT&T System Availability Service Levels and Remedies

	 	 	 
	Service Level — System Availability	 	Remedy
	AT&T System Outage for greater than
*** in a *** period. This excludes
scheduled maintenance

	 	Synchronoss will apply the YTD
historical shipped and cancelled
ratio to ***% of the *** forecast.
	 
	 	 

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

36

 

Agreement No. SG021306.S.007

	 	 	 
	AT&T Systems will be available for
the published AT&T operating SLA’s

	 	AT&T System outages that do not meet
the published AT&T operating SLA’s
will exclude STI from all Processing
Remedies in ***

 

			
	*	 	Credits accrued by STI as a result of AT&T System outages can be applied to
remedies/penalties incurred by STI.

	 	1.	 	Scheduled System Maintenance is excluded from all SLA System Availability
calculations.
	 
	 	2.	 	Scheduled System Maintenance requires a written notice up to ***, but not
less than *** notice to AT&T and STI Decision Makers and their subsequent consent.

2.2    Description for e-Mail Manager

STI will host an email infrastructure that reliably forwards all system generated emails to
AT&T Online customers. This infrastructure will operate within the following service
levels:

	 	1.	 	Dual mail relay servers to deliver ***% uptime
	 
	 	2.	 	Support *** email messages per day
	 
	 	3.	 	*** retention of all sent email messages
	 
	 	4.	 	Message sizes may not exceed *** or contain attachments

	3.0	 	Order Gateway Performance Service Level Requirements (“OG SLA”)
	 
	 	 	Order Gateway under a Normal Transaction Flow (as described below) will respond to ***% of
the Transactions for a Channel within *** of its receipt by the Order Gateway in any given
month provided such Transaction is in the documented format and has been submitted by AT&T
per the published process documentation and successfully pass STI’s Order Gateway
Validations (as described below). AT&T will have the responsibility to produce reports from
the Order Gateway, or request such reports from STI, to measure the results and determine if
this SLA is met. AT&T and STI shall mutually agree on the format of such reports.
Measurement will be based on ***. STI will comply with AT&T’s requests for data in
accordance with the measurement. For purposes of the OMC Contract and the MSA, ***.
	 
	 	 	Normal Transaction Flow means:

	 	a.	 	The sending system emits a valid message for the activity desired
per the agreed upon schema.
	 
	 	b.	 	The AT&T client is also sending messages at the rate both parties
have determined acceptable for the Channel and via the agreed upon protocol.
	 
	 	c.	 	The customer’s systems are accepting and correctly processing
responses from the STI platform.

During the Normal Transaction Flow, it is assumed that the client is sending the correct
number of messages per Transaction.

Order Gateway Validations: Upon receipt of a message, the Order Gateway will validate the
message against the specified schema for correctness. Additional security, database and
business

Proprietary and Confidential

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representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

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37

 

Agreement No. SG021306.S.007

	 	 	logic analysis will be performed to ensure the message can and should be processed by
the STI system. If both of these activates are successful the Order is submitted for
processing.
	 
	4.0	 	Hosting SLA
	 
	 	 	The following shall be the Hosting SLA’s for purposes of Section 8, Hosting of the OMC
Contract. In determining whether the any of these Service Level Agreements have
been met the same assumptions and processes set forth in Section 2 above and Section 6 below
should be applied.

	 	4.1	 	STI Order Gateway and Workflow Manager Availability:

	 	1.	 	Order Gateway and associated workflow processes — ***% system up time
	 
	 	2.	 	Email Service — ***% system up time
	 
	 	3.	 	Workflow Manager — ***% system up time
	 
	 	4.	 	Housekeeping and other scheduled system processes e.g., Fedx Tracker job
 — ***% system uptime
	 
	 	5.	 	Reporting Platform — ***% system up time

	5.0	 	Manual Processing SLA
	 
	 	 	The following shall be the Manual Processing SLA’s for purposes of Section 7.2 of the OMC
Contract. In determining whether the any of these Service Level Agreements have
been met the same assumptions and processes set forth in Section 1 above and Section 6 below
should be applied.

	 	1.	 	***% of all Lines of Service (LOS) received by STI in a one-month period will be entered
into the AT&T defined system of record within the shipping cut off window.
	 
	 	2.	 	***% of LOS received by STI in a one-month period will be entered by STI correctly into
the order entry and billing systems of record as it was received by STI’s ASP Solution.
Orders that deviate from AT&T eCommerce Shipped As Ordered (SAO) policy will be
excluded from the SLA and remedies in this document.
	 
	 	3.	 	Inbound Call Handling Service Levels

	 	a.	 	Less than ***% of all calls offered in a given month will be
abandoned
	 
	 	b.	 	***% of calls offered to an agent will be answered in less than
*** by a live agent, during the normal inbound call operating hours per business
day.
	 
	 	c.	 	***% of the hours within the normal daily business operating
hours for inbound calls, will have an ASA of less than ***

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

38

 

Agreement No. SG021306.S.007

	6.0	 	Assumptions

	 	6.1	 	Methods and Procedures (M&P)

	 
	 	 	STI’s Order Management Center will adhere to AT&T’s approved Methods and Procedures (M&P).
STI must submit a change request and receive prior written approval from AT&T to deviate
from the approved M&P.

	 	6.2	 	Security

	 
	 	 	In addition to any other obligations under the OMC Contract, STI in its ordinary course of
business, from time to time but no less than every ***, will have an independent security
audit evaluating its controls and procedures as it relates to all of its clients. Any
material weaknesses which arise will be immediately corrected or otherwise disclosed to
AT&T.

	 	6.3	 	Remedies

	 	1.	 	Service levels apply only to transactions that are received and processed
through the Order Gateway and OMC.
	 
	 	2.	 	SLA and remedies do not apply when latency or system issues are experienced
with AT&T or Third Party Vendor systems, e.g.: Care, Telegence, Siebel, NBO, Oracle,
other Back Office Systems.
	 
	 	3.	 	Remedies not identified in this document may require further negotiation on the
service price per transaction.
	 
	 	4.	 	AT&T must maintain Account Payable terms better than *** or all remedies are
forfeited for that period.
	 
	 	5.	 	STI is not eligible for any bonus if any other of the Service Levels is missed
for ***. Once Synchronoss is back within service levels the premium charge for
exceeding SLA would apply.

Proprietary and Confidential

This Agreement and information contained therein is not for use or disclosure outside of AT&T, its Affiliates, and third party

representatives, and Supplier except under written agreement by the contracting Parties.

Confidential Treatment Requested

CONFIDENTIAL PORTIONS OF THIS DOCUMENT REDACTED AND SEPARATELY FILED WITH THE COMMISSION.

39

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