Document:

Exhibit
10.18

 

AMENDMENT
TO

 

DEFERRED INCOME PLAN 

FOR TEXTRON KEY EXECUTIVES

 

TEXTRON INC. DEFERRED INCOME 

PLAN FOR EXECUTIVES

 

DEFERRED INCOME PLAN 

FOR NON-EMPLOYEE DIRECTORS

 

SUPPLEMENTAL BENEFITS PLAN

FOR TEXTRON KEY EXECUTIVES

 

TEXTRON SUPPLEMENTAL BENEFITS

PLAN FOR EXECUTIVES

 

SUPPLEMENTAL RETIREMENT PLAN 

FOR TEXTRON KEY EXECUTIVES

 

TEXTRON SUPPLEMENTAL PENSION PLAN 

IN LIEU OF STOCK OPTIONS

 

1999 LONG TERM INCENTIVE PLAN

 

1994 LONG TERM INCENTIVE PLAN

 

SURVIVOR BENEFIT PLAN

FOR TEXTRON KEY EXECUTIVES

 

ANNUAL INCENTIVE COMPENSATION PLAN

FOR TEXTRON EMPLOYEES

 

SEVERANCE COMPONENT OF TEXTRON BENEFITS PLAN

 

SEVERANCE PLAN FOR TEXTRON KEY EXECUTIVES

 

1.                                       Each of the
plans listed above (individually, a “Plan,” and collectively, the “Plans”)
shall be operated and administered in good-faith compliance with the American
Jobs Creation Act of 2004 (the “AJCA”), including any regulations or other
guidance interpreting the AJCA, effective with respect to amounts deferred
after December 31, 2004.

 

2.                                       To the extent
that any provision of the Plans is inconsistent with the restrictions imposed
by the AJCA (including, but not limited to, restrictions on the timing of
elections, the time or form of distributions, the acceleration of benefits, or
the events that will constitute a substantial risk of forfeiture), that
provision shall be deemed to be amended to the extent necessary to bring it
into good-faith compliance with the AJCA.

 

3.                                       The foregoing
amendments shall not affect any amounts that are deferred before January 1,
2005, within the meaning of the AJCA, and no change shall be made in the
administration of the Plans that would constitute a “material modification” of
the Plans with respect to such amounts.

 

 

4.                                       To the extent
permitted in regulations or other guidance issued by the Treasury Department or
Internal Revenue Service, the Plans may be amended to offer eligible
participants an opportunity to terminate their participation in the Plans or to
cancel an outstanding deferral election relating to amounts deferred after
December 31, 2004.

 

5.                                       This amendment
shall remain in effect until the Plans are further amended to reflect the
requirements of the AJCA, as interpreted in regulations or other guidance
issued by the Treasury Department or Internal Revenue Service.

 

Effective:  January 1, 2005Exhibit
10.26

 

Pursuant to 17 CFR 240.24b-2, confidential information has
been omitted and has been filed separately with the Securities and Exchange
Commission pursuant to a Confidential Treatment Application filed with the
Commission.

 

	
  Textron

  	
   

  	
  CSC

  

 

Dated:       
October 27, 2004

 

 

 

 

MASTER SERVICES AGREEMENT

 

 

Between

 

TEXTRON INC.

 

and

 

COMPUTER SCIENCES CORPORATION

 

	
  Textron Inc

  	
   

  	
   

  
	
  Master Services Agreement

  	
   

  	
  Company
  Proprietary and Confidential

  

 

 

TABLE OF CONTENTS

 

	
  MASTER SERVICES AGREEMENT

  	
   

  
	
   

  	
   

  
	
  BETWEEN

  	
   

  	
   

  
	
   

  	
   

  
	
  1.

  	
  DEFINITIONS

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  2.

  	
  TERM

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  2.1

  	
  Term

  	
   

  
	
   

  	
  2.2

  	
  Extension
  of Term

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  3.

  	
  SERVICES

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  3.1

  	
  Scope
  of Services

  	
   

  
	
   

  	
  3.2

  	
  Textron Web Portal

  	
   

  
	
   

  	
  3.3

  	
  Services
  Performed by Textron or Third Parties

  	
   

  
	
   

  	
  3.4

  	
  Other Service Recipients

  	
   

  
	
   

  	
  3.5

  	
  Removal of Service
  Recipients

  	
   

  
	
   

  	
  3.6

  	
  Transition and
  Transformation

  	
   

  
	
   

  	
  3.7

  	
  Extraordinary Events

  	
   

  
	
   

  	
  3.8

  	
  Decrease in
  Resource Unit Usage Volume

  	
   

  
	
   

  	
  3.9

  	
  Disaster Recovery

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  4.

  	
  PERFORMANCE
  STANDARDS AND SERVICE CREDITS

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  4.1

  	
  Performance of the
  Services

  	
   

  
	
   

  	
  4.2

  	
  Quality
  Assurance and Improvement Programs

  	
   

  
	
   

  	
  4.3

  	
  Periodic
  Reviews

  	
   

  
	
   

  	
  4.4

  	
  Failure to Perform

  	
   

  
	
   

  	
  4.5

  	
  Service
  Credits

  	
   

  
	
   

  	
  4.6

  	
  Measurement and
  Monitoring Tools

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  5.

  	
  SERVICE CHARGES

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  5.1

  	
  General

  	
   

  
	
   

  	
  5.2

  	
  Pass-Through Expenses

  	
   

  
	
   

  	
  5.3

  	
  Cost
  Improvement

  	
   

  
	
   

  	
  5.4

  	
  Significant
  Advances in Technology

  	
   

  
	
   

  	
  5.5

  	
  Taxes

  	
   

  
	
   

  	
  5.6

  	
  Incidental Expenses

  	
   

  
	
   

  	
  5.7

  	
  Benchmarking

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  6.

  	
  INVOICING AND PAYMENT

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  6.1

  	
  Invoicing

  	
   

  
	
   

  	
  6.2

  	
  Payment
  Due

  	
   

  
	
   

  	
  6.3

  	
  Proration

  	
   

  
	
   

  	
  6.4

  	
  Prepaid
  Amounts

  	
   

  
	
   

  	
  6.5

  	
  Refunds and Credits

  	
   

  
	
   

  	
  6.6

  	
  Deductions

  	
   

  
	
   

  	
  6.7

  	
  Accountability

  	
   

  
	
   

  	
  6.8

  	
  Disputed Charges

  	
   

  
	
   

  	
  6.9

  	
  Net Payments to Textron

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  7.

  	
  TEXTRON FACILITIES

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  7.1

  	
  Provision of
  Textron Facilities

  	
   

  
	
   

  	
  7.2

  	
  Rights in Textron
  Facilities

  	
   

  
	
   

  	
  7.3

  	
  Use of Textron
  Facilities

  	
   

  
	
   

  	
  7.4

  	
  Relocation of Facilities

  	
   

  
	
   

  	
  7.5

  	
  Return of Textron
  Facilities

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  8.

  	
  EQUIPMENT AND
  THIRD PARTY CONTRACTS

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  8.1

  	
  Textron-Owned
  Existing Equipment

  	
   

  
	
   

  	
  8.2

  	
  Managed Contracts

  	
   

  
	
   

  	
  8.3

  	
  Transfer of
  Third Party Contracts

  	
   

  
	
   

  	
  8.4

  	
  Right of Use
  Under Managed Contracts

  	
   

  
	
   

  	
  8.5

  	
  Equipment
  Acquisitions during the Term

  	
   

  
	
   

  	
  8.6

  	
  Required Consents

  	
   

  
					

 

i

 

	
   

  	
  8.7

  	
  Shared-Host
  Processor License

  	
   

  
	
   

  	
  8.8

  	
  Subcontractors

  	
   

  
	
   

  	
  8.9

  	
  Relocation of Equipment

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  9.

  	
  SOFTWARE AND
  PROPRIETARY RIGHTS

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  9.1

  	
  Intellectual
  Property Rights Existing at the Signature Date

  	
   

  
	
   

  	
  9.2

  	
  Textron
  Software and Textron Material

  	
   

  
	
   

  	
  9.3

  	
  CSC Software and CSC
  Material

  	
   

  
	
   

  	
  9.4

  	
  Third Party Software

  	
   

  
	
   

  	
  9.5

  	
  Work Product

  	
   

  
	
   

  	
  9.6

  	
  Third
  Party Application Software Acquired During Term

  	
   

  
	
   

  	
  9.7

  	
  Third
  Party Systems Software Acquired During the Term

  	
   

  
	
   

  	
  9.8

  	
  Non-Infringement,
  Conformity to Specifications and Confirmation of Ownership

  	
   

  
	
   

  	
  9.9

  	
  Relocation of Software

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  10.

  	
  EMPLOYEES

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  10.1

  	
  Transfer of Employees

  	
   

  
	
   

  	
  10.2

  	
  Key CSC Positions

  	
   

  
	
   

  	
  10.3

  	
  Key CSC
  Position Approvals Procedure

  	
   

  
	
   

  	
  10.4

  	
  Retaining Key CSC
  Positions

  	
   

  
	
   

  	
  10.5

  	
  Use and
  Compliance of CSC Personnel

  	
   

  
	
   

  	
  10.6

  	
  Turnover of CSC
  Personnel

  	
   

  
	
   

  	
  10.7

  	
  Replacement
  of CSC Personnel at Textron’s Request

  	
   

  
	
   

  	
  10.8

  	
  In-Scope Contractors

  	
   

  
	
   

  	
  10.9

  	
  Assignment
  and Reassignment of CSC Employees

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  11.

  	
  SUBCONTRACTORS

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  11.1

  	
  Approval of
  Material Subcontractors

  	
   

  
	
   

  	
  11.2

  	
  Key Subcontracts

  	
   

  
	
   

  	
  11.3

  	
  CSC Subcontractor Compliance

  	
   

  
	
   

  	
  11.4

  	
  Remediation
  of CSC Subcontractor Problems

  	
   

  
	
   

  	
  11.5

  	
  Revocation of Approval

  	
   

  
	
   

  	
  11.6

  	
  Procedure After
  Revocation

  	
   

  
	
   

  	
  11.7

  	
  Requirements
  for CSC Subcontractors

  	
   

  
	
   

  	
  11.8

  	
  Liability for
  Contractors

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  12.

  	
  TEXTRON RESPONSIBILITIES

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  12.1

  	
  Cooperation

  	
   

  
	
   

  	
  12.2

  	
  Savings Section

  	
   

  
	
   

  	
  Nothing in this Section 12.2 is intended to relieve
  Textron of liability for direct, provable damages that may be incurred by CSC
  as a result of any of the circumstances described in Section 12.2.1.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  13.

  	
  CONTRACT MANAGEMENT

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  13.1

  	
  Governance

  	
   

  
	
   

  	
  13.2

  	
  Reports

  	
   

  
	
   

  	
  13.3

  	
  Technology Plan

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  14.

  	
  DUE DILIGENCE

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  15.

  	
  AUDITS AND RECORD
  KEEPING

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  15.1

  	
  Audit Rights

  	
   

  
	
   

  	
  15.2

  	
  CSC Audits

  	
   

  
	
   

  	
  15.3

  	
  Audit Follow-Up

  	
   

  
	
   

  	
  15.4

  	
  Records Retention

  	
   

  
	
   

  	
  15.5

  	
  CSC
  Subcontractor and Pass-Through Expenses

  	
   

  
	
   

  	
  15.6

  	
  Duration of Rights

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  16.

  	
  CONFIDENTIAL INFORMATION

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  16.1

  	
  Protection
  of Confidential Information

  	
   

  
	
   

  	
  16.2

  	
  Use of
  Confidential Information

  	
   

  
	
   

  	
  16.3

  	
  Handling
  Textron Confidential Information

  	
   

  
	
   

  	
  16.4

  	
  Handling
  CSC’s Confidential Information

  	
   

  
	
   

  	
  16.5

  	
  Exceptions
  to Obligations of Confidentiality

  	
   

  
	
   

  	
  16.6

  	
  Period of
  Confidentiality

  	
   

  
	
   

  	
  16.7

  	
  Returning
  Material, Data and Information

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  17.

  	
  REPRESENTATIONS,
  WARRANTIES AND COVENANTS

  	
   

  

 

ii

 

	
   

  	
  17.1

  	
  Representations,
  Warranties and Covenants by CSC

  	
   

  
	
   

  	
  17.2

  	
  Representations
  and Warranties By Textron

  	
   

  
	
   

  	
  17.3

  	
  Compliance with Laws

  	
   

  
	
   

  	
  17.4

  	
  No
  Additional Representations and Warranties

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  18.

  	
  INDEMNITIES

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  18.1

  	
  Indemnity by CSC

  	
   

  
	
   

  	
  18.2

  	
  Indemnity by Textron

  	
   

  
	
   

  	
  18.3

  	
  Anticipation of
  Infringement

  	
   

  
	
   

  	
  18.4

  	
  Enforcement of
  Indemnities

  	
   

  
	
   

  	
  18.5

  	
  Indemnification
  Procedures

  	
   

  
	
   

  	
  18.6

  	
  Employee Indemnities

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  19.

  	
  LIMITATION OF LIABILITY

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  19.1

  	
  Limitation of Liability

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  20.

  	
  INSURANCE AND RISK

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  20.1

  	
  Insurance Coverage

  	
   

  
	
   

  	
  20.2

  	
  Terms of Insurance

  	
   

  
	
   

  	
  20.3

  	
  Risk of Loss and Damage

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  21.

  	
  FORCE MAJEURE

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  21.1

  	
  Force Majeure Events

  	
   

  
	
   

  	
  21.2

  	
  Allocation of Resources

  	
   

  
	
   

  	
  21.3

  	
  Subcontractors

  	
   

  
	
   

  	
  21.4

  	
  Textron Option

  	
   

  
	
   

  	
  21.5

  	
  No Compensation

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  22.

  	
  DISPUTE
  RESOLUTION AND CHOICE OF LAW

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  22.1

  	
  Informal Dispute
  Resolution

  	
   

  
	
   

  	
  22.2

  	
  Alternative
  Dispute Resolution

  	
   

  
	
   

  	
  22.3

  	
  Special
  Procedure following a Notice of Termination

  	
   

  
	
   

  	
  22.4

  	
  Formal Dispute
  Resolution

  	
   

  
	
   

  	
  22.5

  	
  Equitable Relief

  	
   

  
	
   

  	
  22.6

  	
  Continued Performance

  	
   

  
	
   

  	
  22.7

  	
  Governing Law

  	
   

  
	
   

  	
  22.8

  	
  Waiver of Right
  to Trial by Jury

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  23.

  	
  STEP-IN RIGHTS

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  24.

  	
  TERMINATION

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  24.1

  	
  Termination
  for Cause or Insolvency by Textron

  	
   

  
	
   

  	
  24.2

  	
  Termination
  for Convenience by Textron

  	
   

  
	
   

  	
  24.3

  	
  Termination
  by Textron for Change of Control of CSC

  	
   

  
	
   

  	
  24.4

  	
  Termination by
  CSC for Non-Payment

  	
   

  
	
   

  	
  24.5

  	
  Effective Date of
  Termination

  	
   

  
	
   

  	
  24.6

  	
  Termination Charges

  	
   

  
	
   

  	
  24.7

  	
  Effect of Termination

  	
   

  
	
   

  	
  24.8

  	
  Termination Assistance

  	
   

  
	
   

  	
  24.9

  	
  Equitable Remedies

  	
   

  
	
   

  	
  24.10

  	
  Accrued Rights

  	
   

  
	
   

  	
  24.11

  	
  Survival

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  25.

  	
  GENERAL

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  25.1

  	
  Non-Solicitation of
  Employees

  	
   

  
	
   

  	
  25.2

  	
  Public Statement

  	
   

  
	
   

  	
  25.3

  	
  Notices

  	
   

  
	
   

  	
  25.4

  	
  Relationship of Parties

  	
   

  
	
   

  	
  25.5

  	
  No Security

  	
   

  
	
   

  	
  25.6

  	
  Waivers, Consents
  and Approval

  	
   

  
	
   

  	
  25.7

  	
  Entire Agreement

  	
   

  
	
   

  	
  25.8

  	
  Amendments

  	
   

  
	
   

  	
  25.9

  	
  Counterparts

  	
   

  
	
   

  	
  25.10

  	
  Cumulative Rights

  	
   

  
	
   

  	
  25.11

  	
  Severability, etc.

  	
   

  
	
   

  	
  25.12

  	
  Costs

  	
   

  
	
   

  	
  25.13

  	
  Third Party Rights

  	
   

  
	
   

  	
  25.14

  	
  Further Assurances

  	
   

  

 

iii

 

	
   

  	
  25.15

  	
  Assignment

  	
   

  
	
   

  	
  25.16

  	
  Interpretation

  	
   

  
	
   

  	
  25.17

  	
  Precedence

  	
   

  
	
   

  	
  25.18

  	
  Conflicts of Interest

  	
   

  

 

iv

 

	
  SCHEDULES

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Schedule
  A

  	
   

  	
  Definitions

  
	
   

  	
   

  	
   

  
	
  Schedule
  B

  	
   

  	
  Cross-Functional
  Obligations

  
	
   

  	
   

  	
   

  
	
  Schedule
  C

  	
   

  	
  Service
  Recipients and Textron Facilities

  
	
   

  	
   

  	
   

  
	
  Schedule
  D

  	
   

  	
  Pricing

  
	
   

  	
   

  	
   

  
	
  Schedule
  E

  	
   

  	
  Employees

  
	
   

  	
   

  	
   

  
	
  Schedule
  F

  	
   

  	
  Existing
  Equipment and Software

  
	
   

  	
   

  	
   

  
	
  Schedule
  G

  	
   

  	
  Omitted
  Intentionally

  
	
   

  	
   

  	
   

  
	
  Schedule
  H

  	
   

  	
  Termination
  Assistance

  
	
   

  	
   

  	
   

  
	
  Schedule
  I

  	
   

  	
  A.
  Transition Plan and Milestones

  
	
   

  	
   

  	
  B.
  Transformation Plans and Milestones

  
	
   

  	
   

  	
   

  
	
  Schedule
  J

  	
   

  	
  Key
  Subcontracts and Material Subcontractors

  
	
   

  	
   

  	
   

  
	
  Schedule
  K

  	
   

  	
  Governance

  
	
   

  	
   

  	
   

  
	
  Schedule
  L

  	
   

  	
  Competitors

  
	
   

  	
   

  	
   

  
	
  Schedule
  M

  	
   

  	
  Minimum
  IT General Controls

  
	
   

  	
   

  	
   

  
	
  Schedule
  N

  	
   

  	
  Refresh
  Schedule

  
	
   

  	
   

  	
   

  
	
  Schedule
  O

  	
   

  	
  Omitted
  Intentionally

  
	
   

  	
   

  	
   

  
	
  Schedule
  P

  	
   

  	
  In-flight
  Projects

  
	
   

  	
   

  	
   

  
	
  ATTACHMENTS

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Tower
  Services Agreement

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Attachment
  1

  	
   

  	
  Mainframe
  Services Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  1A: Service Description

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  1B: Service Level Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  1C: Pricing

  
	
   

  	
   

  	
   

  
	
  Attachment
  2

  	
   

  	
  Midrange
  Services Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  2A: Service Description

  

 

v

 

	
   

  	
   

  	
  Appendix
  2B: Service Level Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  2C: Pricing

  
	
   

  	
   

  	
   

  
	
  Attachment
  3

  	
   

  	
  Network
  Services Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  3A: Service Description

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  3B: Service Level Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  3C: Pricing

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  3D: Network Sites

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  3E: Allocation of AT&T Charges

  
	
   

  	
   

  	
   

  
	
  Attachment
  4

  	
   

  	
  Workstation
  Services Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  4A: Service Description

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  4B: Service Level Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  4C: Pricing

  
	
   

  	
   

  	
   

  
	
  Attachment
  5

  	
   

  	
  Service
  Desk Services Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5A: Service Description

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5B: Service Levels

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5C: Pricing

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5D: Non-Infrastructure Related Service Desk Services

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5E: Key Personnel for Platinum Executive Support

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5F: U.S. Restricted Facilities

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5G: U.K. Restricted Facilities

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Appendix
  5H: Non-U.S. Facilities Possessing Controlled Data

  

 

vi

 

MASTER SERVICES AGREEMENT

 

THIS MASTER SERVICES AGREEMENT is made as of the [       ]
day of       , 2004, (the “Signature Date”) by
and between TEXTRON INC., a
Delaware corporation with its principal place of business at
40 Westminster Street, Providence, Rhode Island 02903-2596, (“Textron”)
and COMPUTER SCIENCES CORPORATION, a
Nevada corporation with its principal place of business at 2100 East Grand
Avenue, El Segundo, California 90245 (“CSC”).

 

RECITALS

 

(A)          On April 30, 2004, Textron issued a Request for
Proposal to CSC for the outsourcing of certain global IT infrastructure
services, including Mainframe Services, Midrange Services, Network Services,
Workstation Services and Service Desk Services (each referred to as a “Tower of
Services”).

 

(B)           In response to the Request for Proposal and the
subsequent evaluation and clarification process, CSC has represented to Textron
that CSC has the necessary skill and experience to provide the Services as
required by Textron and the Service Recipients.

 

(C)           Consistent with the global nature of Textron’s
requirements and the scope of Services involved, Textron and CSC have agreed to
enter into this Agreement which will govern each Tower of Services.

 

(D)          Pursuant to the terms of this Agreement, (i) Textron
and CSC have contemporaneously entered into individual agreements for each
Tower of Services which are attached hereto as Attachments 1 through 5
(collectively, with any other Attachments that may be added in the future by
mutual agreement of the parties, the “Tower Services Agreements”) that set
forth additional terms and conditions that are unique to each Tower of
Services, including a description of the relevant Services in the form of an
attached Service Description and the Service Levels and Service Charges
applicable to those Services, and (ii) certain Service Recipients and certain
Affiliates of CSC have entered or shall enter into individual agreements,
substantially in the form of Annex C-1 to Schedule C, in order to give the
parties thereto the benefit of this Agreement and/or to conform to the Laws,
customs and practices of the relevant jurisdiction (collectively, the “Local
Enabling Agreements”).

 

(E)           Subject to the terms of this Agreement, the Tower
Services Agreements and the Local Enabling Agreements, CSC has agreed to
provide IT infrastructure services for the benefit of Textron, the Service
Recipients and the End Users.

 

NOW, THEREFORE, IN CONSIDERATION OF THEIR MUTUAL PROMISES,
THE PARTIES HERETO DO HEREBY AGREE AS FOLLOWS:

 

1.             DEFINITIONS

 

In this Agreement capitalized terms not expressly defined
in the body of this Agreement shall have the meaning set forth in
Schedule A (Definitions).

 

1

 

2.             TERM

 

2.1          Term

 

The term of this Agreement shall begin on the Signature
Date and shall expire, unless terminated earlier in accordance with
Section 23.1.3 or extended in accordance with Section 2.2, on the
latest-to-occur of (a) the tenth (10th) anniversary of the earliest
Handover Date or (b) the expiration of the last-to-expire Tower Services
Agreement in accordance with its terms, or (c) completion of the Termination
Assistance described in Section 24.8 in connection with the last-to-expire
Tower Services Agreement (the “Term”).

 

2.2          Extension of Term

 

By giving CSC written notice not less than [***] prior to
the then applicable expiration date of this Agreement (other than the
expiration date established pursuant to Section 2.1(b)), Textron shall have the
right to extend the Term for a further period of up to [***] on the terms of
this Agreement (including pricing) then in effect.  Textron shall have [***] such extension
options of up to [***].

 

3.             SERVICES

 

3.1          Scope of Services

 

Except as otherwise expressly provided in this Agreement,
any Tower Services Agreement or any Local Enabling Agreement, CSC shall,
commencing on the applicable Handover Date, provide to Textron and each of the
Service Recipients the following services and functions and undertake the following
responsibilities, as they may be supplemented, enhanced, modified or replaced
in accordance with this Agreement, but excluding those services, functions or
responsibilities that are specifically identified in this Agreement, a Tower
Services Agreement or a Local Enabling Agreement as Textron’s responsibility or
not CSC’s responsibility (collectively, the “Services”):

 

3.1.1        the services, functions and responsibilities specified
in this Agreement, together with all Schedules and Annexes hereto, the Tower
Services Agreements, together with all Appendices thereto and Local Enabling
Agreements;

 

3.1.2        any service, function or responsibility that relates
to Infrastructure Systems performed within the [***] period preceding the
Signature Date by the employees of Textron, the Service Recipients and their
respective contractors who are identified in Schedule E who were displaced or
transitioned to CSC or whose functions were displaced as a result of this
Agreement, even if such service, function or responsibility is not specifically
described in this Agreement at the same level as in effect on the Signature
Date.

 

3.1.3        any service, function or responsibility that was
performed within the [***] period preceding the Signature Date under any
Assigned Contract listed in Annex F-2 to Schedule F (Existing Equipment and
Software) or any portion of any Managed Contract listed in Annex F-3 to
Schedule F (Existing Equipment and Software) as of the Signature Date that is
related to any Services described in any Tower Services Agreement or other
obligations of CSC.

 

3.1.4        new services and Projects requested by Textron that
are related to the Services, subject to Scope Change Procedure;

 

3.1.5        any incidental services, functions and
responsibilities not specified in this Agreement, a Tower Services Agreement or
a Local Enabling Agreement as within the scope of CSC’s responsibilities but
that are reasonably and necessarily required for, or related to,

 

2

 

the proper performance and provision of the services,
functions and responsibilities set forth above; the foregoing is not intended
to expand materially the scope of CSC’s responsibilities under this Agreement;
and

 

3.1.6        consulting to Textron related to the Services cost
benefit analysis, project planning and estimates, project coordination and
management, audit, impact analysis of current operations, timing and schedule
considerations, CSC coordination, and completion of configuration and quality
management as necessary to provide the Services.

 

3.1.7        The applicability of the above sections shall not
override the express limitations on work effort agreed by the Parties elsewhere
in the Agreement (e.g., limits on Resource Unit volumes and associated Pricing
in Schedule D).

 

3.2          Textron Web Portal

 

CSC
shall develop, operate, maintain and support a secure interactive internet web
portal/s for exclusive access and use by Textron, Textron’s designees and the
Service Recipients, in order to enable them to view and track all relevant
processes, functions, changes and status required by them in relation to the
Services, in form and content, and with timing, satisfactory to Textron,
including but not limited to governance matters, invoicing and payment matters,
all reports required of CSC and Changes.

 

3.3          Services
Performed by Textron or Third Parties

 

3.3.1        Textron, at any time, may perform itself, or retain
Third Parties to perform, any of the Services. 
If, and to the extent that, the scope of Services being performed by CSC
is reduced pursuant to this Section 3.3.1, then the Service Charges shall
be adjusted in accordance with the Resource Unit Change Procedure and
Schedule D (Pricing).

 

3.3.2        To the extent that Textron performs or retains Third
Parties to perform any services that formed part of the Services pursuant to
Section 3.3.1, or any other services related to the Services, CSC shall
cooperate with Textron and such Third Parties to cause such services to be
carried out in a coordinated, effective and timely manner, provided that Textron
shall be responsible for any increased costs to CSC, and CSC shall not be
responsible for degradation in Services, resulting therefrom.  In the case of services that formed part of
the Services, such CSC cooperation shall include, as necessary to enable such
services to be performed:

 

(a)           providing reasonable access to any facilities used to
provide the Services;

 

(b)           providing reasonable access to Infrastructure Systems,
to the extent permitted under any underlying agreements with Third Parties; and

 

(c)           providing such then-existing information regarding the
operating environment, system constraints and other operating parameters as a
person with reasonable commercial skills and expertise would find reasonably
necessary to perform the Services.

 

3.3.3        Third Parties retained by Textron, to the extent that
they have been provided access to the facilities, assets and information
specified in Section 3.3.2, shall comply with CSC’s reasonable security
and confidentiality requirements.  CSC
shall immediately notify Textron if an act or omission of such a Third Party
causes a problem or delay in providing the Services and shall work with Textron
to prevent or circumvent such problem or delay.

 

3.3.4        Notwithstanding the foregoing, CSC shall not be
required to disclose any of CSC’s proprietary information to a CSC Competitor.

 

3

 

3.4          Other
Service Recipients

 

3.4.1        Except as otherwise expressly provided in the
Agreement, any Tower Services Agreement or any Local Enabling Agreement, CSC
shall, (a) as of the Signature Date, commence providing such preliminary
Services in support of the Transition Plan as may be performed prior to the
applicable Handover Date(s), and (b) as of the applicable Handover Date (s),
provide the Services specified in the Tower Services Agreements to Textron, to
the Service Recipients and to End Users in accordance with the provisions of
the Agreement.  Textron shall retain all operational
responsibility for services included in the Services until the applicable
Handover Date(s).  Subject to the
Resource Unit Change Procedure and, if applicable, the Scope Change Procedure
and Schedule D (Pricing), CSC shall also provide the Services to such
other entities who otherwise meet the definition of a Service Recipient as
Textron may designate in writing from time to time, each of which shall become
a Service Recipient as of the date specified by Textron in its written
designation and deemed to be added to Schedule C attached hereto as of such
date.

 

3.4.2        With respect to the entities identified in or added
(pursuant to Section 3.4.1) to Schedule C as Service Recipients:

 

(a)           Services rendered to Service Recipients and End Users
(including under Local Enabling Agreements) shall be deemed Services rendered
to Textron and Textron shall have all the rights, responsibilities and
obligations with respect to such Services as if they were directly rendered to
Textron;

 

(b)           Textron shall be responsible for the compliance by
Service Recipients and End Users with Textron’s obligations to the extent
Textron performs such obligations through such End Users and Service
Recipients;

 

(c)           Textron shall ensure that any claims that the Service
Recipients may have under this Agreement or otherwise in connection with the
Services against CSC or any CSC Affiliate or CSC Subcontractor are assigned by
the Service Recipients to Textron, and CSC agrees that such claims may be so
assigned; any such claims that are not so assigned shall be void; and

 

(d)           the Parties agree that no consent from the Service
Recipients is required for the Parties to vary or terminate this Agreement
(whether or not in a way that varies or extinguishes rights or benefits in
favor of such Service Recipients).

 

3.4.3        CSC shall ensure that any claims that the CSC Affiliates
and CSC Subcontractors may have under this Agreement or otherwise in connection
with the Services against Textron or any Service Recipient or End User are
assigned by the CSC Affiliates and CSC Subcontractors to CSC, and Textron
agrees that such claims may be so assigned; any such claims that are not so
assigned shall be void.

 

3.4.4        As and when reasonably requested by Textron for use in
the process of evaluating whether to designate any entity for addition to
Schedule C as a Service Recipient or an End User, CSC shall provide to Textron
such information and other cooperation regarding performance of the Services
for that entity as would be reasonably necessary for Textron to submit a
proposal for performing the Services for that entity.  CSC’s cooperation shall include performing
due diligence on any such entity.

 

3.4.5        Notwithstanding the foregoing, Textron and certain
Service Recipients identified in Schedule C (Service Recipients) as “Contracting
Service Recipients” and CSC and

 

4

 

certain CSC Affiliates identified in Schedule J as “Contracting CSC Affiliates” shall enter into Local Enabling
Agreements.  CSC shall be liable as a
principal for all obligations of CSC and the Contracting CSC Affiliates under
the Local Enabling Agreements or otherwise in connection with the Services, as
either such Local Enabling Agreements or the Services may change from time to
time.  Textron shall be liable as a
principal for all obligations of Textron and the Contracting Service Recipients
under the Local Enabling Agreements or otherwise in connection with the
Services as either such Local Enabling Agreements or the Services may change
from time to time.  No notification to or
consent of CSC, Textron, any Contracting Service Recipient or any Contracting
CSC Affiliate shall be required to continue in effect the liability of CSC for
any and all obligations, whether now existing or hereafter created, of CSC and
the Contracting CSC Affiliates and the liability of Textron for any and all
obligations, whether now existing or hereafter created, of Textron and the
Contracting Service Recipients.  In the
event any Local Enabling Agreement is not entered into on the Signature Date
for the applicable Services and Services which would otherwise be covered by a
Local Enabling Agreement are rendered, then the designated Contracting CSC
Affiliate shall be deemed to have provided such Services and the designated
Contracting Service Recipient shall be deemed to have accepted such Services
under the terms of this  MSA and all
Schedules, Annexes, Appendices, Attachments and Exhibits thereto unless and
until a Local Enabling Agreement is entered into.

 

3.5          Removal
of Service Recipients

 

3.5.1        Subject to the Resource Unit Change Procedure and
Schedule D (Pricing), Textron may, at any time and from time to time in
its sole discretion, remove any Service Recipient from the list of entities
identified on Schedule C upon written notice to CSC, which entity shall no
longer be a Service Recipient as of the date specified by Textron in its
written notice and shall be deemed to be deleted from Schedule C attached
hereto as of such date.

 

3.5.2        In addition, subject to the Resource Unit Change
Procedure and Schedule D (Pricing), in the event that:

 

	
  (a)

  	
   

  	
  Textron disposes of Textron’s interest in any
  Service Recipient;

  
	
   

  	
   

  	
   

  
	
  (b)

  	
   

  	
  Textron or any Service Recipient transfers its
  business or operations that receive the Services to another entity; or

  
	
   

  	
   

  	
   

  
	
  (c)

  	
   

  	
  Textron terminates Textron’s relationship with a Service
  Recipient for that Service Recipient’s receipt of the Services, either by
  decision of Textron or the Service Recipient,

  

 

	
   

  	
   

  	
  then:

  

 

(i)            Textron may remove that Service Recipient or the
transferred business or operations from the scope of this Agreement as of the
date specified by Textron in a written notice to CSC;

 

(ii)           the Service Charges shall be adjusted to reflect the
reduction in Resource Units in accordance with the procedure set forth in
Schedule D (Pricing) to reflect the reduced scope and/or volume of the
Services;

 

(iii)          CSC shall, at Textron’s request, provide Termination
Assistance in relation to the removed Service Recipient; and

 

5

 

(iv)          if the Service Recipient or business or operations are
removed from the scope of this Agreement pursuant to this Section 3.5.2 and the
disposal or transfer is to another entity, then CSC shall, if requested by
Textron, provide (a) the Services to that entity pursuant to this Agreement for
up to [***] after the effective date of such removal, and (b) Termination
Assistance to that entity for a Termination Assistance Period determined in
accordance with Section 24.8.1 by considering the expiration of this Agreement
to be, solely for purposes of such determination, the end of the period for
which Textron requests the provision of Services to that entity.

 

3.5.3        Textron may partially remove a Service Recipient from
the scope of this Agreement based upon the principles of this Section 3.5
and upon so doing CSC shall comply with the other provisions of this Section.

 

3.6          Transition
and Transformation

 

3.6.1        The Transition shall be carried out as follows:

 

	
  (a)

  	
   

  	
  within [***] following the Signature Date, CSC shall
  propose and agree with Textron on changes to the overall written Transition
  Plan set forth in Schedule I.A (Transition) for the orderly handover of the
  Services from Textron and the Service Recipients to CSC, including staff
  loading charts for both Textron and CSC and scope of required activities for
  implementing the provision of the Services to Textron and the Service
  Recipients;

  
	
   

  	
   

  	
   

  
	
  (b)

  	
   

  	
  the In-Scope Employees shall be dealt with in
  accordance with Schedule E (Employees);

  
	
   

  	
   

  	
   

  
	
  (c)

  	
   

  	
  the Assigned Contracts and the Transferred Equipment
  shall be transferred from Textron to CSC in accordance with Section 8;

  
	
   

  	
   

  	
   

  
	
  (d)

  	
   

  	
  the use of the Existing Equipment that is Supported
  Equipment, other than the Transferred Equipment, shall be provided by Textron
  to CSC in accordance with Section 8; and

  
	
   

  	
   

  	
   

  
	
  (e)

  	
   

  	
  the Textron Facilities and related facility
  management services shall be provided by Textron to CSC in accordance with
  Schedule C (Service Recipients and Textron Facilities).

  

 

3.6.2        Within [***] following the Signature Date, CSC shall
propose and agree with Textron on changes to the Transformation Plan set forth
in Schedule I.B (Transformation) to include an overall written timetable for
the completion of detailed plans for transformation of the Infrastructure
System to the status that shall enable CSC to provide the Services and meet the
End-State Service Levels that are required by each Tower Services
Agreement.  Each proposed plan shall
include a specific description of each proposed Systems Change and a
corresponding Impact Analysis, and upon mutual agreement by the Parties, each
such plan shall be referred to individually as a “Transformation Plan,” and
such plans shall be referred to collectively as the “Transformation Plans.”

 

3.6.3        CSC shall perform the Transition and Transformation
with minimal disruption to the business of Textron or any of the Service
Recipients.

 

3.6.4        CSC shall be responsible for the overall management of
the Transition and Transformation and shall keep the Transition and
Transformation on schedule in

 

6

 

accordance with the timetable set forth in the
Transition Plan and the Transformation Plans, respectively.  In addition, CSC shall identify and resolve,
or assist Textron and any Service Recipient in the resolution of (in the case
of a Textron responsibility), any problems encountered in the timely completion
of each task identified in the Transition Plan or in any Transformation Plan,
whether the task is the responsibility of CSC or Textron.  CSC shall utilize information technology
quality procedures of a level at least as high as those utilized by Textron
immediately prior to the Signature Date and comply, insofar as practicable,
with all relevant requirements under Section 8.2 (Managed Contracts),
Section 8.3.5 (Transfer of Third Party Contracts), Section 8.7
(Required Consents) and the proper transfer of employees as part of CSC’s
Transition and Transformation obligations. 
Textron shall comply with all obligations specifically identified as
Textron obligations in the Transition Plan and the Transformation Plans.

 

3.6.5        CSC shall provide Textron and those Service Recipients
designated by Textron with weekly written progress reports that describe, in
reasonable detail, the current status of the Transition (during the Transition
Period) and Transformation (during the Transformation Period), indicate the
progress of the work being performed, identify any actual or anticipated
problems or delays, assess the impact of such problems or delays on CSC’s
provision of the Services and describe all actions being taken or to be taken
to remedy such problems or delays.

 

3.6.6        In the event that CSC fails to fulfill any of CSC’s
material obligations with respect to the Transition or Transformation in
accordance with the Transition Plan or any Transformation Plan and this
Section 3 by the dates specified in the Transition Plan or the
Transformation Plan, as the case may be, CSC shall, at Textron’s request and
without prejudice to Textron’s other rights and remedies in Law or under this
Agreement, arrange (at CSC’s own cost, except as provided below) all such
additional resources as may be reasonably necessary to satisfy said obligations
as early as practicable thereafter.  CSC
shall notify Textron as soon as CSC becomes aware of the failure and shall
follow any applicable escalation procedures in the Transition Plan or the
applicable Transformation Plan.

 

3.6.7        In the event that CSC’s failure to fulfill any
obligation in the Transition Plan or any Transformation Plan by the date
specified in the Transition Plan or the applicable Transformation Plan,
respectively, is primarily due to:

 

	
  (a)

  	
   

  	
  a material breach by Textron or any Service
  Recipient;

  
	
   

  	
   

  	
   

  
	
  (b)

  	
   

  	
  a failure by Textron, a Service Recipient, or an End
  User to perform Textron’s obligations under the Transition Plan or any
  Transformation Plan, as modified from time to time by mutual agreement of the
  Parties; or

  
	
   

  	
   

  	
   

  
	
  (c)

  	
   

  	
  subject, as applicable, to fulfillment by CSC of its
  management obligations for the Managed Contracts and CSC’s advising Textron
  within a reasonable time of any failure by a Textron contractor in performing
  any of Textron’s obligations under the Transition Plan or any Transformation
  Plan about which CSC knew, and which was unknown to Textron, a failure by any
  of Textron’s contractors in performing any of Textron’s obligations under the
  Transition Plan or any Transformation Plan,

  

 

then
the costs of the nature described in Section 3.6.6 shall be borne by Textron.

 

7

 

3.6.8        Delivery and Delays Generally

 

(a)           CSC acknowledges and accepts that it is material to
Textron’s strategic business and financial interests that CSC complete each
deliverable specified in the Transition Plan and the Transformation Plans by
the applicable Milestone Date and, accordingly, time is of the essence with
respect thereto.

 

(b)           It is acknowledged and accepted by CSC that the
Transition Plan and the Transformation Plans shall be designed so as to enable
Textron to efficiently schedule Textron’s resources so as to complete Textron’s
tasks outlined in such plans without disrupting Textron’s business.

 

(c)           The Transition Plan and the Transformation Plans may
be modified during their operation only in accordance with the Change Control
Procedures.

 

3.6.9        Textron Delay

 

(a)           In the event that CSC reasonably believes that Textron
has, other than for reasons of a Force Majeure Event or default by CSC of any
of its obligations, failed to complete a material task within Textron’s control
and which is specified as Textron’s responsibility in the Transition Plan or in
any Transformation Plan, and that failure to complete such material task will
significantly hinder or delay the successful completion of the applicable plan’s
next Key Deliverable, then CSC will promptly give Textron written notice thereof,
and the Parties will agree on:

 

(i)            whether or to what extent Textron has failed to
complete such material task;

 

(ii)           when Textron will complete such material task; and

 

(iii)          the date by which such material task must be completed
before the applicable Transition or Transformation Plan will be significantly
impacted (the “Completion Date”).

 

(b)           On the applicable Completion Date, if CSC reasonably
believes that Textron has not completed such material task, then CSC will
promptly give Textron written notice thereof and the Parties will agree on:

 

(i)            whether such material task has been completed or not;

 

(ii)           if not, the steps necessary for Textron to complete
such material task;

 

(iii)          an estimate of when Textron will complete such
material task;

 

(iv)          the impact, if any on the applicable Transition or
Transformation Plan; and

 

(v)           an appropriate adjustment to the relevant Milestone
Dates to take account of the impact (if any) of the delayed completion of such
material task.

 

3.6.10      CSC and Textron shall each use commercially reasonable
efforts to minimize the impact of a delay described in this Section 3.6 (each a
“Delaying Event”) on the Transition Plan or any Transformation Plan, provided
that such efforts do not adversely impact the quality of the tasks performed or
the resulting Work Product.

 

8

 

3.6.11      For the purpose of avoiding a Delaying Event, CSC
shall promptly notify the Textron Program Executive in writing upon identifying
Textron’s failure or likelihood of failure to complete a material task which is
the responsibility of Textron in the Transition Plan or any Transformation
Plan.  If CSC is of the reasonable view
that the applicable plan cannot be adjusted (including by reprioritizing other
obligations) to prevent CSC completing a certain obligation late, then that
notice will specify:

 

(a)           that obligation or part thereof that CSC cannot carry
out because of Textron’s failure (or likelihood of failure) to complete a
material task; and

 

(b)           the date from which such failure to complete such
material task will have a material effect on CSC being able to carry out all or
any part of any of its obligations under the applicable Transition or
Transformation Plan.

 

3.6.12      CSC Delay.

 

(a)           If CSC fails to satisfy a material obligation or
provide an item of Work Product by the relevant Milestone Date in the
Transition Plan or any Transformation Plan (which Milestone Date may be
adjusted because of a Delaying Event, as contemplated above, or pursuant to a
Change Request approved by Textron), CSC will accelerate work under the
Transition Plan or the applicable Transformation Plan at no additional charge
to Textron (by the provision of additional resources, including additional CSC
Personnel and Subcontractors, if necessary) in order to facilitate the earliest
completion of that late obligation or Work Product without there being any
impact on the timing of any other obligation or Work Product.

 

(b)           If CSC fails to complete a material obligation or
provide an item of Work Product in accordance with the Transition Plan or any
Transformation Plan, Textron (in addition to being entitled to enforce CSC’s
obligations above) may withhold payment with respect to that obligation, Work
Product or the Transition Plan or Transformation Plan until such completion or
provision, and CSC shall grant to Textron a credit against the charges as set
forth in the Transition Plan, the Transformation Plan or Schedule I, as
applicable.

 

(c)           CSC shall not be liable under this Section 3.6.12
if the reason for the failure to meet a Milestone Date for an obligation or
Work Product is described in Section 3.6.7 or is a Force Majeure Event.

 

3.6.13      Textron shall have the right to test, accept and/or
approve each Key Deliverable in the Transition Plan and the Transformation Plan
(or components of any such plan), as applicable, in accordance with the
acceptance criteria included in the applicable plan.

 

3.7          Extraordinary Events

 

3.7.1        A Party shall promptly notify the other Party of any
event or series of events that it believes constitutes or is likely to
constitute an Extraordinary Event.  If
the Parties agree that an Extraordinary Event has occurred (or shall occur),
the Parties shall (i) discuss the impact of such Extraordinary Event upon
the Services or any part thereof; and (ii) renegotiate and adjust pricing
for the affected Services, provided that Textron shall not be subject to any
penalties by CSC as a result of any Extraordinary Event, and any revised
pricing terms shall not put either Party in any worse a position (including the
Service Charges payable by Textron or the quality of the Services) than it
occupied prior to the occurrence of the Extraordinary Event.

 

9

 

3.7.2        An “Extraordinary Event” means an increase or decrease
of [***] percent ([***]%) or more during any [***] period, in the actual
average [***] usage volume of any Resource Unit when compared with the
applicable [***] Baseline Usage Volume for such period, to be calculated in accordance
with the applicable provisions of Appendix C (Pricing) of each Tower Services
Agreement.

 

3.8          Decrease
in Resource Unit Usage Volume

 

3.8.1        In the event of a decrease at any Site outside of the
United States of [***] percent ([***]%) or more, during any [***] period, in
the actual average [***] usage volume at such Site of any Resource Unit when
compared with the actual [***] usage volume of such Resource Unit during the
[***] following the applicable Handover Date, CSC or its designated applicable
CSC Affiliate shall be entitled to reimbursement of all redundancy payments in
respect of employees (whether or not Transitioned Employees) of CSC or the
applicable CSC Affiliate who devote at least [***] percent ([***]%) of their
time to performing Services at the affected Site, whose employment is
terminated in connection with such Resource Unit usage reduction and who are
not redeployed to other tasks.  CSC shall
use commercially reasonable efforts to mitigate the costs set forth herein.

 

3.8.2        For purposes of Section 3.8.1, “all redundancy
payments” payments means, and shall be limited to, an amount equal to the
higher of any redundancy payments required by (a) statute or other Law, or
(b) either (i) redundancy payments made pursuant to contractual arrangements
with the employee, subject to the Contractual Redundancy Cap (as defined below)
or (ii) where there is no contractual arrangement with the employee, a
settlement with the employee not to exceed an amount equal to [***] salary for
each year of year of service recognized by CSC or the applicable CSC Affiliate
(which may include years of employment by prior employers), with the salary
rate being that in effect at the time of termination. The Contractual
Redundancy Cap shall mean and be limited to an amount equal to the average
amount of redundancy payments which Transitioned Employees in the country where
the employee whose employment is terminated resides, having a comparable number
of years of service, would have received at the time of termination from
Textron under contractual arrangements with Textron in effect at the time of
the applicable Handover Date.

 

3.8.3        Notwithstanding the foregoing, no redundancy
reimbursement shall be payable by Textron with respect to: (a) termination for
cause of an employee by CSC or a CSC Affiliate which is later determined to
have been improper; (b) termination for the convenience of any employee of CSC
or a CSC Affiliate under circumstances where the employee is replaced by an
employee who performs the same work; or (c) circumstances where the employee is
redeployed by CSC or a CSC Affiliate or is offered employment by Textron or a
Textron Affiliate resulting in a failure to trigger applicable statutory or
contractual provisions related to redundancy payments and thereby relieving CSC
or the applicable CSC Affiliate from redundancy payment obligations.

 

3.9          Disaster Recovery

 

3.9.1        Beginning on the applicable Handover Date, CSC will be
responsible for the testing and recovery of each of the Services in compliance
with the provisions of Schedule B (Cross-Functional Obligations).

 

3.9.2        CSC shall maintain disaster recovery plans or take
other measures with respect to its business not related to this Agreement or
Textron such that a disaster with respect to such business will not impact CSC’s
ability to perform its obligations under this

 

10

 

Agreement, provided that this provision shall not
obligate CSC to provide more disaster recovery services for Textron than
Textron has purchased under the terms of this Agreement.

 

4.             PERFORMANCE STANDARDS AND SERVICE CREDITS

 

4.1          Performance
of the Services

 

4.1.1        From the applicable Handover Date, in accordance with
an agreed upon implementation schedule for Service Levels for the applicable
Services, CSC shall at all times achieve or exceed the Performance Standards
with respect to such Services and shall, unless otherwise agreed, perform the
Services:

 

(a)           at least at the same level of performance with respect
to accuracy, quality, completeness, timeliness, responsiveness and efficiency
as was provided by or for Textron prior to the applicable Handover Date, as
documented using a consistent measurement methodology;

 

(b)           with promptness, diligence and in a professional
manner, in accordance with the practices and professional standards used by,
and consistent with levels of performance achieved by, well-managed operations
performing services similar to the Services;

 

(c)           using efficiently the resources or services necessary
to provide the Services, where the charges to Textron are dependent upon such
efficiency;

 

(d)           in a cost-effective manner consistent with the
required level of quality and performance;

 

(e)           using, consistent with the Systems Change Management
Procedure and the Technology Plan, proven, current technology that enables
Textron to take advantage of technological advances in the information
technology industry and supports Textron’s efforts to maintain competitiveness
in the markets in which Textron competes; and

 

(f)            using adequate numbers of individuals that:

 

(i)            are appropriately experienced, qualified and trained,
provided however that all In-Scope Employees performing work similar to the
work they previously performed shall be deemed to fulfill these requirements
with respect to the functions performed by such individuals as of the
applicable Handover Date;

(ii)           are familiar with the requirements set forth in this
Agreement, the Tower Services Agreements and the Local Enabling Agreements; and

(iii)          shall perform the Services with all reasonable skill,
care and diligence.

 

4.1.2        CSC shall maintain the Infrastructure Systems in
accordance with the Technology Plan as approved by Textron and, if required as
a result of such plan, the Scope Change Procedure, so that they operate in
accordance with this Agreement, including Schedule B (Cross-Functional
Obligations) and the Policy and Procedures Manuals that are prepared in
accordance with Schedule B.

 

4.2          Quality
Assurance and Improvement Programs

 

4.2.1           Subject to Section 4.2.2, CSC shall utilize
information technology quality procedures of a level at least as high as those
utilized by Textron immediately prior to the applicable Handover Date,
including Six Sigma and Lean Principles.

 

11

 

4.2.2           In accordance with the Transformation Plans and the
Technology Plans, CSC shall significantly enhance the delivery of the Services
through the introduction of Software Tools, procedures and other improvements
into Textron’s information technology environment so that the Services are
performed at least in accordance with the Performance Standards, as those
Performance Standards may be enhanced over the Term.  Such enhancements shall include:

 

(a)        as
part of CSC’s total quality management process, CSC providing continuous
quality assurance and 

                     quality
improvement through:

(i)           the identification
and application of proven techniques and Software Tools from other
installations within CSC’s operations that would benefit Textron operationally
and/or financially;

(ii)          the implementation of
programs, practices and measures (including checkpoint reviews, testing,
acceptance, and other procedures for Textron to assure the quality of CSC’s
performance) which shall be specified in the Policy and Procedures Manuals;

(iii)         utilizing such quality assurance and improvement tools
and methodologies as Textron may specify from time to time, including those
specified in Schedule B (Cross-Functional Obligations); and

 

(b)       CSC
carrying out the initial enhancements described in Schedule I.A
(Transition) and Schedule I.B (Transformation).

 

4.3          Periodic Reviews

 

Within [***] following the last to occur of the
Transformation Completion Dates under the Tower Services Agreements and at
least [***] each Contract Year thereafter, Textron and CSC shall review the
Service Levels and shall make adjustments to them as appropriate to reflect
improved performance capabilities associated with advances in the technology
and methods used to perform the Services. 
The Parties expect and understand that the Service Levels will be
improved over time.  It is Textron’s
desire to improve the Service Levels based on quality assurance and improvement
tools and methodologies referenced in Section 4.2.2(a)(iii).  CSC shall also comply with any relevant
reviews regarding CSC’s performance of the Services pursuant to Schedule B
(Cross-Functional Obligations).

 

4.4          Failure to Perform

 

Subject to Section 12.2, if CSC fails to meet any
Performance Standard (a “Service Problem”), CSC shall promptly:

4.4.1           [***] failure to meet the Performance Standard [***]
the Service Problem;

4.4.2           [***] the Service Problem [***] the Service Level
Agreement attached to the applicable Tower Services Agreement and [***];

4.4.3           [***] the Service Problem [***];

4.4.4           [***] the Service Problem [***] the Performance
Standard; and

4.4.5           [***].

 

4.5          Service Credits

 

4.5.1        If CSC fails to meet a Service Level and such failure
is not excused in accordance with Section 11.8 of Schedule B (Cross Functional
Obligations), CSC shall pay Textron a service credit (or Textron may deduct
that service credit from the Service Charges payable to CSC) in accordance with
Schedule B (Cross-Functional Obligations).

 

12

 

4.5.2        CSC acknowledges and agrees that the Service Credits
are a price adjustment and are not an estimate of the loss or damage that may
be suffered by Textron as a result of CSC’s failure to meet any Service
Level.  Payment of any Service Credit by
CSC under this Agreement is without prejudice to any entitlement Textron may
have to damages at law or in equity from CSC resulting from, or otherwise
arising with respect to, any such breach of this Agreement, or to any right of
Textron to terminate this Agreement pursuant to Section 24.1, except as
they may apply as a credit against such damages.

 

4.6          Measurement
and Monitoring Tools

 

CSC
shall use the necessary measurement and monitoring tools and procedures
required to measure and report CSC’s performance of the Services against the
applicable Performance Standards.  Such
measurement and monitoring shall permit reporting at the enterprise level
(Textron and all Service Recipients) with a level of detail sufficient to
verify compliance with the Performance Standards, and shall be subject to Audit
by Textron in accordance with Section 15. 
CSC shall provide such data in a format commonly understood (e.g.,
Microsoft Access or Excel) that includes the identification of Business Unit
and Site for Problems identified by Textron and, as much as possible, for
Problems identified by CSC.  Textron and
Service Recipients shall be able to review Service Level measurement and
reporting information through the Textron web portal(s) described in Section
3.2.

 

5.             SERVICE
CHARGES

 

5.1          General

 

All Service Charges shall be calculated in accordance with
the terms of the Agreement, and Textron shall only be required to pay CSC
amounts calculated in accordance with the Agreement.

 

5.2          Pass-Through Expenses

 

Textron’s payment of the Pass-Through Expenses shall be in
accordance with, and subject to, the following:

 

5.2.1        If Annex D-2 to Schedule D (Pricing) identifies a
particular expense as a Pass-Through Expense, CSC shall ensure that the
original invoice for such Pass-Through Expense shall be addressed to Textron
but sent to CSC and shall, as soon as practicable and in any event not more
than [***] following receipt of the original Third Party invoice:

 

(a)           provide Textron with such original Third Party
invoice;

 

(b)           review the invoice charges to determine the validity
of the Pass-Through Expense; and

 

(c)           provide Textron with a written statement that the
charges on the invoice are proper.

 

5.2.2        With respect to services or materials paid for on a
Pass-Through Expenses basis, Textron reserves the right to:

 

(a)           obtain such services or materials directly from a
Third Party;

 

(b)           designate the Third Party who will provide such
services or materials;

 

(c)           designate the particular services or materials (e.g.,
equipment make and model) that CSC shall obtain, provided that if CSC
demonstrates to Textron that such designation will have an adverse impact on
CSC’s ability to meet the Service Levels, such designation shall be subject to
CSC’s reasonable approval;

 

13

 

(d)           designate the terms for obtaining such services or
materials (e.g., purchase,  lease, lump
sum payment or payment over time);

 

(e)           require CSC to identify and consider multiple sources
for such services or materials, or to conduct a competitive procurement; and

 

(f)            review and approve the Pass-Through Expenses for such
services or materials before entering into a contract for such services or
materials.

 

5.2.3        CSC shall use commercially reasonable efforts to
secure invoices from vendors and suppliers whose charges are designated as
Pass-Through Expenses, and to validate and forward such invoices to Textron,
within [***] after the provision of products or services to which such invoices
relate.  CSC shall notify Textron of any
invoice that it is unable to secure within a reasonable time after applicable
products are delivered or services are provided.

 

5.3          Cost Improvement

 

5.3.1        During the Term, CSC shall plan for, identify and
realize opportunities to reduce the Service Charges and the Pass-Through
Expenses, and in so doing shall advise Textron in writing of each savings
opportunity that is identified together with an estimate of the potential
savings.

 

5.3.2        CSC shall use commercially reasonable efforts to
persuade vendors to reduce their Pass-Through Expenses such that they are lower
than, or equivalent to, the vendor’s current market prices for equivalent goods
or services.  CSC shall identify ways in
which, and assist Textron, to reduce volumes and consumption of the Services.

 

5.3.3        In the event CSC provides Textron with procurement
services for information technology products and services, CSC will use
commercially reasonable efforts to obtain for Textron the best pricing and
financing rates then available for the products and services being procured.

 

5.3.4        If CSC offers services to any Third Party other than a
government agency that are substantially similar to locations, volumes, scope,
technological base and contract terms and conditions of the Services provided
under this Agreement, and such services are offered or provided at a lower
aggregate price than those charged to Textron, then Textron will receive the
same aggregate price as such Third Party.

 

5.4          Significant
Advances in Technology

 

5.4.1        Subject to Sections 13.3.1 and the Systems Change
Management Procedure in Schedule K (Governance), if CSC adopts advanced
state-of-the-art technology or processes that were not contemplated in the
Transformation Plans, the Service Charges and the Services Descriptions as of
the Signature Date and, as a result, the cost to CSC of supplying the Services
materially decreases, CSC shall notify Textron in writing of the extent of the
change.

 

5.4.2        As soon as reasonably practicable following such
adoption, the Service Charges shall be revised so that CSC and Textron share
the net benefit of the decreased cost equitably.

 

5.5          Taxes

 

5.5.1        Except as otherwise expressly provided below in this
Section 5.5, each of Textron and CSC shall be responsible for:

 

14

 

(a)           any Taxes assessed or imposed on or with respect to
property or assets or interests therein owned or used (to the extent such use
permits the imposition of such a Tax) by it (collectively, “Property Taxes”);

 

(b)           any Taxes imposed on or attributable to its business,
employees, contractors, subcontractors or operations (collectively, “Business
Taxes”); and

 

(c)           any Taxes imposed on or attributable to its income or
receipts (collectively, “Income Taxes”).

 

5.5.2        The Parties shall, wherever legally permissible, use
commercially reasonable efforts to enable each to determine and minimize its
own Taxes arising from or associated with this Agreement, including, without
limitation, the consummation of the transactions contemplated herein and the
provision of the Services.

 

5.5.3        CSC shall be liable for any Business Taxes or Property
Taxes payable by CSC on or with respect to any goods and services used or
consumed by CSC exclusively for purposes of providing the Services.

 

5.5.4        CSC shall be liable for all Business Taxes and Property
Taxes that are assessed against or incurred on or in connection with the
transfer of assets from Textron to CSC, including without limitation the
transfer of the Transferred Equipment, Software or the Assigned Contracts,
together with any other goods or services transferred or provided by Textron to
CSC.

 

5.5.5        The Parties shall, wherever legally permissible, use
commercially reasonable efforts to cause the transfer of Assigned Contracts,
Transferred Equipment or Software from Textron to CSC and, on the termination
or expiration of this Agreement, from CSC to a Third Party supplier or back to
Textron as part of Transition, Transformation 
or Termination Assistance, or otherwise, to not be subject to any
Business Taxes or Property Taxes; provided, if such treatment is not possible
or permissible, the Parties shall, wherever legally permissible, use
commercially reasonable efforts to minimize the amount of such Taxes.

 

5.5.6        Textron shall be liable for all Service Taxes.

 

5.5.7        CSC shall, where applicable, provide Textron with a
Service Tax invoice or equivalent document to enable Textron, where possible,
to reclaim or obtain a refund of the Service Tax from the relevant taxing
authority and such invoice or document shall be provided by CSC in the format and
within the timeframes required by law.

 

5.5.8        In the event that the use without charge by CSC of the
Textron’s premises in the provision of the Services constitutes additional
consideration for Property Tax purposes, each Party will issue to the other a tax
invoice for the amount of the additional consideration, and shall pay to the
other the amount of tax due thereon or agree on any other mutually convenient
procedure which allows both Parties to discharge their tax obligations.

 

5.5.9        If a new Tax increases the cost of an item included in
the Service Charges, CSC may apply to adjust the Service Charges to take
account of the net effect of the new Tax, but that increase will not take
effect, and Textron is not obliged to pay the amount claimed to be attributable
to that new Tax, unless and until Textron is notified thereof in writing and is
satisfied that:

 

(a)           the claimed increase is actually attributable to that
Tax and takes into account reductions in any other Taxes; and

 

(b)           the Tax increase has affected the Service Charges for
supplying the Services.

 

15

 

5.5.10      Textron may withhold from any payments to CSC any Tax
as required by Law but will provide CSC with a formal receipt or other document
evidencing the withholding in the format and timeframe required by Law.  As soon as reasonably possible after Textron
has determined that there is an obligation to deduct withholding Tax, Textron
will inform CSC of the same.

 

5.5.11      In the event of any transfer of assets or Intellectual
Property Rights under this Agreement, the transferee shall pay any applicable
Business Taxes, Property Taxes or Service Taxes.  Textron and CSC shall use commercially
reasonable efforts to minimize any such Taxes to the extent permitted by Law.

 

5.6          Incidental Expenses

 

Unless otherwise expressly stated in this Agreement, in a
Project order or order for new services, all expenses that CSC incurs in
performing the Services (including travel and lodging, document reproduction,
shipping, and telephone expenses) are included in CSC’s Service Charges and
rates as set forth in this Agreement. 
Accordingly, such CSC expenses are not separately reimbursable by
Textron unless, on a case-by-case basis for unusual expenses, Textron has
agreed in advance in writing to reimburse CSC for such expenses.

 

5.7          Benchmarking

 

5.7.1        Textron shall have the right during the Term,
beginning as of the [***] anniversary of the Signature Date, to benchmark the
Service Charges for all of the Services in one or more Towers of Services,
provided that the benchmarking of the Services for an individual Tower of
Services cannot be undertaken more than [***].

 

5.7.2        A benchmarking under this Section shall be conducted
by an independent industry recognized benchmarking service provider designated
by Textron and approved by CSC (the “Benchmarker”), which approval shall not be
unreasonably withheld or delayed, and CSC agrees that [***] and [***] are each
acceptable as the Benchmarker.  Textron
shall pay the charges for the Benchmarker. 
The Parties shall each, at their own cost, cooperate with the
Benchmarker and provide reasonable information requested by the Benchmarker
relating to the Services, (including making available knowledgeable Personnel
and pertinent documents and records but excluding CSC’s cost data) subject to
the Benchmarker agreeing to comply with reasonable confidentiality
restrictions.

 

5.7.3        The Benchmarker shall perform the benchmarking in
accordance with the Benchmarker’s documented procedures and shall compare the
Service Charges under this Agreement for the Services being benchmarked to the
costs being incurred in a representative sample of information technology
operations run by or for other entities. 
The Benchmarker shall select the representative sample from entities:

 

(a)           identified by the Benchmarker and approved by the
Parties, such approval not to be unreasonably withheld; and

 

(b)           identified by a Party and approved by the Benchmarker.

 

5.7.4        The following conditions shall apply to the
representative sample contemplated in Section 5.7.3:

 

(a)           the representative sample shall include no more than
[***] ([***]) entities;

 

(b)            that have outsourced information technology
operations to entities similar to CSC; and

 

16

 

(c)           the representative sample may include entities that
are outsourcing customers of CSC.

 

5.7.5        The Benchmarker is to conduct a benchmarking as
promptly as is prudent in the circumstances. 
In conducting the benchmarking, the Benchmarker shall normalize the data
used to perform the benchmarking to accommodate (a) differences in volume of
services, scope of services, service levels, location, financing or payment
streams between the Services and services performed for the comparison entity or
entities, (b) the proportion of the Services in the individual Tower(s) of
Services being benchmarked to the aggregate of Services provided by CSC and the
pricing for such Services, and (c) other pertinent factors as determined by the
Benchmarker.  Each Party shall be
provided the opportunity to review, comment on and request changes in the
Benchmarker’s proposed findings. 
Following such review and comment, the Benchmarker shall issue a final
report of its findings and conclusions.

 

5.7.6        If, in the final report of the Benchmarker after
normalization, the charges to Textron under this Agreement for the benchmarked
Services are not in the [***], then either of the following shall apply:

 

(a)           CSC shall give Textron written notice within [***]
after issuance of Benchmarker’s final report that CSC accepts such final
report, and CSC will promptly develop a plan and schedule, subject to approval
of Textron, to bring CSC within the [***] in a reasonable amount of time but in
no event longer than [***] after the final report being issued.  CSC shall then implement the plan and achieve
the [***] in the designated period of time; or

 

(b)           if CSC (i) does not provide notification,
(ii) fails promptly to develop a plan and schedule to the approval of
Textron, or (iii) fails to implement the plan and achieve the [***] in the
designated period, all as contemplated in Section 5.7.6(a), then Textron
may terminate the benchmarked Services or any portion of them, subject to
compliance with the termination provisions set forth in Section 12 of Schedule
D (Pricing), by giving CSC not less than [***] written notice.  In the case of termination by Textron of
Services in accordance with this Section, the charges payable under this
Agreement for continuing Services shall be decreased to reflect the Services
that are terminated.

 

(c)           In the event either Party disputes the final report
and requests a subsequent benchmarking, the requesting Party shall pay for the
subsequent Benchmarker.

 

6.             INVOICING AND PAYMENT

 

6.1          Invoicing

 

6.1.1        CSC (or a CSC Affiliate, as the case may be) shall render invoices for all amounts due
under this Agreement on a [***] basis, as follows:

 

(a)           for each of the [***] prior to [***], the invoice
shall be rendered on the [***] that immediately precedes the [***] in which the
applicable Services are provided (or Signature Date, whichever is later), in an
amount set forth in Annex D-4 to Schedule D (Pricing); applicable to [***]
only.

 

(b)           for each of the [***] beginning with the [***] during
which the [***] occurs, the invoice shall be rendered on the [***] that
immediately precedes the [***] in which the applicable Services are provided,
in an amount calculated by (i) multiplying the [***] for each Resource Unit set
forth in Appendix C (adjusted where applicable and upon agreement of both
Parties) to each Tower Services

 

17

 

Agreement by the [***], totalling the resulting
calculations, and (ii) adding to the foregoing total the [***] that is set
forth in Annex D-4 to Schedule D (Pricing);

 

(c)           for the [***] beginning with the [***] during which
the [***] occurs, the invoice shall be rendered on the [***] that immediately
precedes the [***] in which the applicable Services are provided, in an amount
calculated by:

 

(i)            multiplying the [***] for each Resource Unit set forth
in Appendix C to each Tower Services Agreement by the [***] and totaling the
resulting calculations,

(ii)           calculating the difference between the invoice
rendered for [***] and the [***] based upon actual Resource Unit usage volume
for[***],

(iii)          calculating the difference between the invoice
rendered for each of the [***] beginning with the [***] during which the [***]
occurs and the [***] beginning with the [***] during which the [***] occurs
based upon actual Resource Unit usage volume for each of the [***] beginning
with the [***] during which the [***] occurs

(iv)          adjusting the total amount of (i) to reflect the
differences calculated in items (ii) and (iii) and totaling the resulting
calculations

(v)           adding to the result of item (iv) the [***] for the
applicable Contract Year that is set forth in Annex D-4 to Schedule D
(Pricing).

 

(d)           for each [***] beginning with the [***] during which
the [***] occurs and ending with the [***] during which [***] occurs, the
invoice shall be rendered on the [***] that immediately precedes the [***] in
which the applicable Services are provided, in an amount calculated by:

 

(i)            multiplying the [***] for each Resource Unit set forth
in Appendix C to each Tower Services Agreement by the [***] and totaling the
resulting calculations,

(ii)           calculating the difference between the invoice
rendered for [***] and the [***] based upon actual Resource Unit usage volume
for [***],

(iii)          adjusting the total amount of (i) to reflect the
differences calculated in item (ii) and totaling the resulting calculations

(iv)          adding to the result of item (iii) the [***] for the
applicable Contract Year that is set forth in Annex D-4 to Schedule D
(Pricing).

 

(e)           for the [***] beginning with the [***] during which
the [***] occurs, the invoice shall be rendered in arrears on the [***]
following the [***] in which the applicable Services are provided, in an amount
calculated by:

 

(i)            multiplying the [***] in which the applicable Services
are provided for each Resource Unit set forth in Appendix C to each Tower
Services Agreement by the [***] and totaling the resulting calculations,

(ii)           calculating the difference between the invoice
rendered for [***] and the [***] based upon [***],

(iii)          calculating the difference between the [***] and the
[***] based upon [***],

(iv)          adjusting the total amount of (i) to reflect the
differences calculated in items (ii) and (iii) and totaling the resulting
calculations

(v)           adding to the result of item (iv) the [***] for the
applicable Contract Year that is set forth in Annex D-4 to Schedule D
(Pricing).

 

18

 

(f)            for the [***] beginning with the [***] during which
the [***] occurs, and onward, the invoice shall be rendered in arrears on the
[***] following the [***] in which the applicable Services are provided, in an
amount calculated by:

 

(i)            multiplying the [***] in which the applicable Services
are provided for each Resource Unit set forth in Appendix C to each Tower
Services Agreement by the applicable [***] and totaling the resulting
calculations,

(ii)           adding to the result of item (i) the [***] for the
applicable Contract Year that is set forth in Annex D-4 to Schedule D
(Pricing), provided, however, that if the [***] has not occurred by the [***]
after the [***] during which the [***] occurs, Textron shall be entitled,
without respect to the limitations set forth in Section 6.8, to withhold all
further amounts covered by this item until the final Transformation Completion
Date has occurred, and all amounts so withheld shall become due and payable
within [***] after the occurrence of the final Transformation Completion Date.

 

CSC
shall promptly and properly bill and invoice all Service Charges, Pass-Through
Expenses and any other charges for which Textron is responsible.

 

6.1.2        Invoices shall be rendered to Textron and to
individual Service Recipients designated by Textron, as follows:

 

(a)           individual Service Recipients designated in Annex D-3
to Schedule D (Pricing) will be invoiced by designated CSC Affiliates for
Services performed for the designated invoice recipients and, if applicable,
for other designated Service Recipients; and

(b)           Textron will be invoiced by CSC for all Services not
included on invoices rendered to designated Service Recipients.

 

6.1.3        Invoices shall set forth the following:

 

	
  (a)

  	
   

  	
  the calculations utilized to establish the Service
  Charges, including Resource Units consumed and applicable Service Charges for
  Resource Units;

  
	
   

  	
   

  	
   

  
	
  (b)

  	
   

  	
  for each Service Charge listed, the specific part of
  the Services on which such Service Charge is based, broken down by Tower
  Services Agreement and then by each sub-service within the Tower Services
  Agreement;

  
	
   

  	
   

  	
   

  
	
  (c)

  	
   

  	
  the Service Recipient to which the Service Charge is
  applicable (i.e., that Service Recipient which incurred the Service Charge)
  and the country and local currency amount applicable to the Service Charge;

  
	
   

  	
   

  	
   

  
	
  (d)

  	
   

  	
  the other amounts of any Taxes and a summary of
  invoices previously submitted for Pass-Through Expenses; and

  
	
   

  	
   

  	
   

  
	
  (e)

  	
   

  	
  such resource usage related details as may be
  reasonably specified by Textron to assist in internal chargeback
  requirements, including necessary creation of a data file.

  

 

6.1.4        CSC acknowledges that Textron’s invoicing and payment
requirements will need to be designed jointly by Textron and CSC, will need to remain flexible and will change from time
to time, and that CSC shall comply with and accommodate such changes to
invoicing and payment requirements as Textron may require; provided that such
changes do not have a material adverse affect on CSC.  Such changes shall not include changing the
due date for payment.

 

19

 

6.2          Payment Due

 

Subject to the other provisions of this Section 6 and
CSC performing the Services in accordance with this Agreement, invoices
provided in accordance with Section 6.1 will be due and payable by Textron
within [***] of the date the invoices were received.  CSC may charge interest at an annual percentage
rate equal to [***] percent ([***]%) or the maximum rate permitted by Law,
whichever is lower, calculated as of the original due date and accruing from
such date until payment is made, in the event that Textron or a Service
Recipient fails to make any payment in a timely manner.

 

6.3          Proration

 

Periodic charges under this Agreement shall be calculated
on a calendar [***] basis, and shall be prorated for any [***].

 

6.4          Prepaid Amounts

 

6.4.1        Where Textron has prepaid for a service or function
for which CSC is assuming financial responsibility under this Agreement, upon
either Party identifying the prepayment, CSC shall promptly refund to Textron
that portion of such prepaid expense which is attributable to periods on and
after the applicable Handover Date.

 

6.4.2        Where CSC has prepaid for a service or function for
which Textron is assuming upon expiration or termination of this Agreement or
discontinuation of any Services, upon either Party identifying the prepayment,
Textron shall promptly refund to CSC that portion of such prepaid expense which
is attributable to periods on and after the applicable date of termination or
expiration.

 

6.5          Refunds and Credits

 

6.5.1        If CSC receives a refund, credit or other rebate from
a Third Party for goods or services previously paid for by Textron (including
Pass-Through Expenses), CSC shall promptly notify Textron of such refund,
credit or rebate and shall promptly pay the full amount of such refund, credit
or rebate, as the case may be, to Textron.

 

6.5.2        If Textron receives a refund, credit or other rebate
from a Third Party for goods or services previously paid for by CSC (including
Pass-Through Expenses, Textron shall promptly notify CSC of such refund, credit
or rebate and shall promptly pay the full amount of such refund, credit or
rebate, as the case may be, to CSC.

 

6.6          Deductions

 

With respect to any amount to be paid by Textron hereunder,
Textron may deduct from such amount any undisputed amount that CSC is obligated
to pay Textron hereunder.

 

6.7          Accountability

 

CSC shall provide Textron with documentation and other
information with respect to each invoice as may be reasonably requested by
Textron to verify the accuracy of the invoice and compliance with the
provisions of this Agreement.  Invoices
for billable resources shall include weekly time reporting records for each
billable Project resource showing hours worked during that month, sorted by
Project code (or reference to the applicable Change Request).

 

20

6.8          Disputed Charges

 

Textron shall pay undisputed
charges when those payments are due. 
Textron may withhold payment of any charges that Textron disputes in
good faith; provided however, disputed amounts withheld by Textron in good
faith may not exceed (a) an aggregate amount of [***] prior billing measured at
the time the first disputed amount is withheld (if the total amount withheld
includes amounts withheld in more than [***]) plus (b) any amounts withheld
solely due to computational errors in the invoice disputed.  Except as set forth in the preceding sentence
and as otherwise expressly set forth in the Agreement, Textron shall have no
other right to deduct, withhold or set off. 
Nothing in the foregoing sentence shall limit or prejudice Textron’s
right to dispute charges in good faith.

 

6.9          Net Payments to Textron

 

If, for any month, the amounts
payable by CSC to Textron exceed the amounts payable by Textron to CSC for that
month, CSC shall pay that net amount to Textron within [***] following the end of
such month.

 

7.             TEXTRON
FACILITIES

 

7.1          Provision of Textron Facilities

 

7.1.1           During the Term, Textron shall
provide to CSC, and CSC shall utilize in providing the Services, the space,
furnishings and fixtures specified in Schedule C (Service Recipients and
Textron Facilities) or comparable facilities (collectively, the “Textron
Facilities”).  CSC shall be responsible
for providing, at CSC’s own cost, any other facilities and support CSC needs to
provide the Services and to perform CSC’s obligations under this Agreement.

 

7.1.2           CSC acknowledges that the
Textron Facilities are provided by Textron in their “as is, where is” condition
without warranty, express or implied, as of the applicable Handover Date (or
such later date that such Textron Facilities are provided).

 

7.1.3           Textron shall bear the costs
of providing the Textron Facilities and all lease, support, maintenance or
related leasehold improvements (subject to Section 7.3.2) with respect to
the Textron Facilities, including the structures, roof, exterior and interior
walls, electrical systems, water, sewer, lights, heating, ventilation and air
conditions (HVAC) systems, physical security systems, fire suppression systems,
general custodial services and other infrastructure components relating to the
facilities (including monitoring and maintaining all uninterruptable power
supply (UPS) system, backup power generators, air handlers and water chillers
that support the facilities).  Textron
will maintain, and support such facilities to the extent necessary for CSC to
utilize the facilities in order to provide the Services in accordance with the
Service Levels and CSC’s other obligations. 
In addition, Textron shall improve, modify, expand and upgrade the
facilities upon mutual agreement by the Parties.

 

7.1.4           CSC shall permit Textron and
its agents and representatives to enter into those portions of the Textron
Facilities occupied by CSC or CSC’s Personnel at any time and for any reason,
including to perform maintenance and services related to such Textron
Facilities, subject to reasonable safety and security requirements.

 

7.1.5           Textron shall be entitled to
schedule and undertake pre-planned maintenance, repairs, shutdowns and
alterations with respect to the Textron Facilities to the extent it does not degrade
Services or increase CSC’s cost.  Textron
shall be entitled to undertake emergency repairs, shutdowns and alterations
with respect to the Textron Facilities.  

 

21

 

Other than in the case of emergencies, Textron shall give CSC reasonable
notice of the same, and in all cases shall work with CSC to minimize the impact
of such activities on CSC’s ability to perform the Services.

 

7.2          Rights in Textron Facilities

 

7.2.1           Nothing in this Agreement
shall be deemed to grant to CSC a leasehold or other property interest in the
Textron Facilities, nor any exclusive right to occupy or use the same, or to
transfer any title in the Textron Facilities to CSC and CSC hereby expressly
disclaims any such interest or title.

 

7.2.2           In the event that a Textron
Facility is subject to a lease or mortgage (each a “Property Interest”), then
the limited licenses to utilize the Textron Facilities granted to CSC hereunder
shall be subject, and subordinate, to such Property Interest.  CSC shall comply with the terms of such
Property Interests.

 

7.2.3           At the request of Textron, CSC
and Textron shall enter into a license with respect to each of the Textron
Facilities in such form as may be needed to comply with any Property Interest.

 

7.3          Use of Textron Facilities

 

7.3.1           CSC shall use the Textron
Facilities in a reasonably efficient manner, minimizing interference with
Textron’s or Textron’s subcontractors’ operations.  To the extent that the Parties agree that CSC
utilizes the space in a manner that unnecessarily increases the Textron
Facilities operational costs incurred by Textron, Textron shall have the right
to deduct the excess Textron Facilities costs of such utilization pursuant to
Section 6.6.

 

7.3.2           CSC shall keep the Textron
Facilities in good order, shall not commit or permit waste or damage to such
Textron Facilities, shall not use such Textron Facilities for any unlawful
purpose or act, and shall comply with Textron’s standard policies and
procedures as made available to CSC regarding access to and use of the Textron
Facilities, including procedures for the security and health and safety
requirements of the Textron Facilities.

 

7.3.3           CSC shall only use the Textron
Facilities for the purpose of providing the Services or back office activities
related to the Services.  CSC shall not
perform any services for any of its other clients, and shall not permit any CSC
Subcontractors to perform any services for any other clients, while at the Textron
Facilities and/or from the Textron Facilities. 
CSC shall not permit any other person or entity to use the Textron
Facilities, other than the CSC Subcontractors, without Textron’s prior written
approval, which may be granted or withheld in Textron’s sole discretion.

 

7.3.4           CSC shall be responsible for
any damage or waste to the Textron Facilities resulting from the abuse, misuse,
neglect or negligence by CSC’s Personnel or other failure to comply with CSC’s
obligations in respect to the Textron Facilities.  In the event of such damage or waste, CSC
shall repair such damage or, if Textron repairs such damage, compensate Textron
for the cost of such repair.

 

7.3.5           CSC shall not make any
improvements or alterations involving structural, mechanical or electrical
modifications to the Textron Facilities without Textron’s prior written
approval, which may be granted or withheld in Textron’s sole discretion.  Any 

 

22

 

improvements or alterations to the Textron Facilities shall
automatically become the property of Textron.

 

7.3.6           CSC shall coordinate the
installation of Equipment at the Textron Facilities with Textron.  The installation of Equipment that materially
increases the power, cooling or weight requirements for a Textron Facility shall
be subject to Textron’s prior written approval, which may be granted or
withheld in Textron’s sole discretion.

 

7.4          Relocation of Facilities

 

7.4.1           Textron may, upon reasonable
notice to CSC, (a) relocate any space being used by CSC in a Textron Facility
or (b) direct CSC to cease using all or part of any space in a Textron
Facility.  If the requirement for CSC to
relocate results in additional costs to CSC, the Parties will follow the Scope
Change Procedure to reflect the increase in CSC’s costs of delivering the Services
as well as any moving expense. Through the Scope Change Procedure, the Parties
will also agree upon, if necessary, Changes in CSC’s performance obligations to
the extent that they are affected by the relocation, whether on a one-time or
ongoing basis or both.  CSC will use
commercially reasonable efforts to minimize such costs and Changes to its
performance obligations.

 

7.4.2           Except as specified in
Section 7.4.1, CSC shall not relocate, migrate or consolidate the
performance of the Services without Textron’s prior written consent; provided
that relocations, migrations and consolidations provided in mutually agreed
upon Transformation Plans and Technology Plans are deemed approved by Textron.

 

7.5          Return of Textron Facilities

 

In the event the Parties
mutually agree that any of the Textron Facilities are no longer required for
the performance of the Services or upon Termination of this Agreement, CSC
shall promptly return such Textron Facilities to Textron in substantially the
same condition as when CSC began to use such Textron Facilities, subject to
ordinary wear and tear.

 

8.             EQUIPMENT AND
THIRD PARTY CONTRACTS

 

8.1          Textron-Owned Existing Equipment

 

8.1.1           As of the applicable Handover
Date, Textron shall sell, and CSC shall purchase, the Transferred Equipment
owned by Textron as identified in Annex F-4 of Schedule F (Existing
Equipment and Software) for the amount set forth in such Annex.  Usual and customary bills of sale and other
similar documents shall be provided to a Party in respect of any Transferred
Equipment at such Party’s request.

 

8.1.2           With respect to:

 

(a)       Existing Equipment other than the Transferred
Equipment set forth in Annex F-5 of Schedule F (Existing Equipment
and Software) that is owned or leased by Textron; and

 

(b)       Equipment purchased by Textron pursuant to
Sections 8.5.2 or 8.5.3,

 

Textron grants to CSC, during
the Term, the rights of access to and use of Textron-Owned Equipment and
Textron-Leased Equipment to the extent necessary to provide the Services for
the benefit of Textron and CSC’s use of Textron-Leased Equipment shall be
subject to the terms of any relevant Lease. 
CSC shall manage Textron-

 

23

 

Retained Leases to
Textron-Leased Equipment as Managed Contracts, as set forth in Section 8.2.

 

8.1.3           CSC shall not perform any
services for any of its other clients, and shall not permit any CSC
Subcontractors to perform any services for any other clients, using any
Textron-Owned Equipment or Textron-Leased Equipment.  CSC shall not permit any other person to use
Textron-Owned Equipment or Textron-Leased Equipment, other than CSC
Subcontractors that have been previously approved by Textron for such use and
CSC Affiliates providing Services to Service Recipients.  CSC shall be responsible for any damage to or
loss of Textron-Owned Equipment or Textron-Leased Equipment located at any CSC
Facility and for any damage to or loss caused by CSC Personnel of Textron-Owned
Equipment or Textron-Leased Equipment located at any CSC Facility.  In the event of such damage or loss, CSC shall
repair the damage or loss and/or (if Textron rectifies) compensate Textron for
the cost of such rectification.

 

8.1.4           CSC acknowledges and agrees
that CSC has no legal or equitable claim to the Existing Equipment owned by
Textron or leased by Textron from any Third Party.  CSC further agrees that CSC’s access and use
of the Existing Equipment during the Term will not give rise any such ownership
or other rights in the Existing Equipment and that CSC will not contest the
ownership of such Equipment.

 

8.1.5           Throughout the Term and
thereafter for the purposes of Termination Assistance, CSC shall keep any
Existing Equipment that CSC uses to provide the Services separately identified
from the property of CSC and of Third Parties.

 

8.1.6           CSC shall not pledge or
encumber, or in any way agree to or permit the imposition of a lien or any
security interest attributable to actions of CSC or any CSC Subcontractor on,
any of the Existing Equipment, which shall at all times remain Textron’s or the
applicable Third Party lessor’s property. 
CSC hereby waives and agrees to waive any rights which may arise under
Law for CSC to impose a lien on the Existing Equipment for any sums due to CSC
by Textron pursuant to this Agreement.

 

8.1.7           Should Textron wish to
consolidate or relocate some or all of the Textron-Owned Equipment or
Textron-Leased Equipment during the Term, then the Parties must first agree to
a consolidation/relocation plan (which may include the sale of Textron-Owned Equipment
to or the assumption of relevant Leases by CSC and allocation of risk
associated with such consolidation or relocation).  The sale of any Textron-Owned Equipment shall
be made in accordance with this Agreement, and Textron-Leased Equipment shall be
transferred pursuant to Section 8.5 with CSC obtaining all Required
Consents, including in accordance with Section 8.7.

 

8.1.8           Textron shall be responsible
for terminating existing Leases for Textron-Leased Equipment on the applicable
expiration dates and for avoiding automatic renewal of any such Leases.  CSC shall cooperate with Textron  in connection with termination of such Leases
and in planning and preparation for Refresh of Textron-Leased Equipment upon
Lease expiration.

 

8.2          Managed Contracts

 

8.2.1           Subject to Section 8.6, CSC
will, from the applicable Handover Date, administer the Managed Contracts.  For purposes of this section, the “Handover
Date” for a Third Party Contract added to Annex F-3 to Schedule F (Existing
Equipment and Software) 

 

24

 

after the Signature Date shall be the later of the actual Handover Date
or the date that the Third Party Contract is added to Annex F-3 to Schedule F.

 

8.2.2           Subject to CSC obtaining any
Required Consents pursuant to Section 8.6, Textron hereby authorizes CSC to
administer the Managed Contracts and will promptly notify all appropriate Third
Party suppliers of such authorization. 
CSC shall not have any right to sue, claim or take any legal actions (or
any precursors to such actions) in Textron’s name with respect to the Managed
Contracts, and CSC shall inform Textron of any issues arising out of or
relating to the Managed Contracts.

 

8.2.3           CSC shall, from the applicable
Handover Date, administer the Managed Contracts including managing Third Party
suppliers, informing Textron when any Managed Contracts are due for renewal,
and using Equipment, Software or other subject matter of any Managed Contract
in compliance with the provisions of the applicable Managed Contracts.  CSC’s responsibility for the Managed
Contracts shall be to manage only, and it shall not have any liability for the
operational or other failure of any seller or other provider under a Managed
Contract (except insofar as such failure is due to a failure to manage
properly). In the event of an operational or other failure of any seller or
other provider under a Managed Contract, CSC shall, upon request, demonstrate
to Textron that it has exercised reasonable managerial measures.

 

8.2.4           Textron shall pay the charges
under the Managed Contracts directly.

 

8.3          Transfer of Third Party Contracts

 

8.3.1           Subject to the CSC having
obtained any Required Consents pursuant to Section 8.6, as of the applicable
Handover Date, Textron shall assign or novate, as Textron shall deem
appropriate in its sole discretion, to CSC, and CSC shall accept such
assignment or novation, as applicable, for, those Existing Equipment Leases,
Third Party Service Contracts and Third Party Software Contracts listed in
Annex F-2 of Schedule F (Existing Equipment and Software)
(collectively, the “Assigned Contracts”). 
The Parties shall enter into an assignment or a novation agreement, as
applicable, substantially in the form attached to Schedule F (Existing
Equipment and Software) with respect to the Assigned Contracts.

 

8.3.2           CSC shall comply with the
duties imposed on Textron under the Assigned Contracts and shall pay directly
(or reimburse Textron if Textron has paid) the charges under the Assigned
Contracts that are attributable to periods on and after the applicable Handover
Date.  Textron shall be responsible for
compliance and charges attributable to periods prior to the applicable Handover
Date.  For purposes of this section, the “Handover
Date” for a Third Party Contract added to Annex F-2 to Schedule F (Existing
Equipment and Software) after the Signature Date shall be the later of the
actual Handover Date or the date that the Third Party Contract is added to
Annex F-2 to Schedule F.

 

8.3.3           Textron shall be responsible
for charges for maintenance under any Lease for Midrange Legacy Servers in
accordance with Appendix 2C to Attachment 2), and except for such Midrange
Legacy Servers CSC shall be responsible for maintenance charges for any other
Supported Equipment under any Lease which is a Managed Contract or an Assigned
Contract.

 

8.3.4           CSC shall pay any fees or
charges associated with the assignment, novation or consent, as applicable, of
the Assigned Contracts and Managed Contracts that have been 

 

25

 

identified by Textron or CSC on Annex F-2 and F-3 to Schedule F
(Existing Equipment and Software). 
Textron shall pay any fees or charges associated with the assignment,
novation or consent, as applicable, of any Third Party Contracts related to the
Services which have been identified by Textron or CSC subsequent to the
Signature Date and prior to the first anniversary of the first Handover Date
and which Textron elects to add to Annex F-2 or F-3 to Schedule F.  In connection with any such contract, CSC
shall provide a proposal showing the difference in pricing (up or down) if the
contract is to assigned to CSC.  Upon
receipt of the proposal, Textron shall elect to: (i) add the contract to Annex
F-2 to Schedule F, in which case the pricing shall be adjusted up or down in
accordance with CSC’s proposal; (ii) add the contract to Annex F-3 to Schedule
F and treat the contract as a Managed Contract; or (iii) terminate the contract
at Textron’s expense. CSC shall use commercially reasonable efforts to minimize
the costs to Textron of any consents. If during the first year after the
applicable Handover Date Textron elects to treat the contract as a Managed
Contract, and CSC can administer such contract with its existing dedicated
staff without incurring additional cost and without impacting its ability to
perform other Services, there shall be no adjustment in pricing. If CSC will
incur additional cost or if its ability to perform other Services using the
existing dedicated staff for other Services is impaired, the election to add
the contract as a Managed Contract shall be treated as a Scope Change.  Any Third Party Contract which Textron elects
to add as an Assigned Contract or Managed Contract subsequent to the first
anniversary of the applicable Handover Date shall be treated a Scope Change.

 

8.3.5           CSC shall pay (or reimburse
Textron if Textron has paid) the charges under the Assigned Contracts that are
attributable to periods on and after the applicable Handover Date to Textron
directly.  Textron shall be responsible
for charges attributable to periods prior to the applicable Handover Date.  For purposes of this section, the “Handover
Date” for a Third Party Contract added to Annex F-2 to Schedule F (Existing
Equipment and Software) after the Signature Date shall be the later of the
actual Handover Date or the date that the Third Party Contract is added to
Annex F-2 to Schedule F.

 

8.4          Right of Use Under Managed Contracts

 

8.4.1           Other than with respect to the
Assigned Contracts and subject to the Parties having obtained any Required
Consents, with effect from the applicable Handover Date, Textron grants to CSC
during the Term and solely to the extent necessary for performing the Services,
rights of access to and use of the Managed Contracts (“Rights of Use”).

 

8.4.2           CSC shall comply with the
duties, other than payment obligations, that are imposed on Textron under the
Managed Contracts, including, without limitation, use restrictions and
confidentiality obligations, and CSC shall not seek to modify or otherwise
revoke such terms.

 

8.4.3           Textron will, from the
applicable Handover Date, not terminate, extend, amend or substitute for any
Managed Contract without prior written notice to CSC.  CSC will, from the applicable Handover Date,
be authorized to serve as Textron’s agent to terminate, extend or amend any
Managed Contract with the prior written consent of Textron. Textron shall
exercise termination, extension and other rights thereunder as CSC reasonably
directs in writing with respect to such Managed Contracts after consultation
with Textron; provided that CSC shall be responsible for all costs, charges and
fees associated with the exercise of such rights with respect to a Managed
Contract 

 

26

 

unless such costs and fees are incurred as a result of termination of
the Managed Contract by reason of a material breach by the Textron contractor,
in which case Textron shall be responsible. 
If Textron exercises termination, extension and other rights under a
Managed Contract on Textron’s own initiative, without request by CSC, Textron
shall be responsible for all costs, charges and fees associated with the
exercise of such rights.  Nothing in this
Section 8.4.3 shall be construed as altering Textron’s financial responsibility
for Managed Contracts other than as described with respect to termination or
extension.

 

8.4.4           Except as otherwise requested
or approved by Textron (or the relevant licensor), CSC shall cease all exercise
of rights under the Managed Contracts, upon Termination of this Agreement.

 

8.5          Equipment Acquisitions during the Term

 

8.5.1           Subject to Section 8.5.3 and
the Technology Plan, CSC shall acquire Equipment, including modifications,
upgrades, enhancements, additions and replacements of Existing Equipment that
is Supported Equipment, as necessary or appropriate to provide the
Services.  Such Equipment shall be
acquired in the name of CSC and title shall vest in CSC, except as set forth in
Sections 8.5.2 and 8.5.3.

 

8.5.2           Modifications, upgrades and
enhancements of Existing Equipment that is Supported Equipment shall be
acquired in the name of Textron (and title shall vest in Textron), to the
extent that Textron or any of its Affiliates remains the owner of such Existing
Equipment, and shall be treated in accordance with the governing lease to the
extent that Textron remains the lessee of such Existing Equipment.

 

8.5.3           With respect to Equipment
acquisitions identified in Section 8.3 of Schedule B (Cross Functional
Obligations), acquisition costs for such Equipment shall be treated as
described in such Section 8.3, and such Equipment shall be purchased or leased
in the name of Textron unless Textron requires otherwise in writing.

 

8.6          Required Consents

 

CSC shall obtain, insofar as
practicable as of the applicable Handover Date, the Required Consents for Third
Party Contracts identified in Schedule F (Existing Equipment and Software)
prior to the applicable Handover Date. 
If a Required Consent is not obtained, then unless and until such
Required Consent is obtained, CSC shall determine and adopt such alternative
approaches as are appropriate to provide the Services without such Required
Consents subject to Textron’s prior approval. 
Required Consents include any consents necessary to enable CSC Subcontractors
to perform the Services.

 

8.7          Shared-Host Processor License

 

In the event CSC performs any
Services using a shared-host processor, CSC will be responsible, and will not
charge Textron, for any software license and maintenance fees attributable to
CSC’s use of a processor larger than would be necessary to run Textron’s work
alone.

 

8.8          Subcontractors

 

The grant by Textron to CSC of
a license to use or of rights of access and use pursuant to this Section 8
shall be deemed to include the grant of such license or rights to CSC
Subcontractors subject to Textron’s prior written approval and to the
provisions of this Agreement.

 

27

 

8.9          Relocation of Equipment

 

Except as provided in any
Transformation Plan or Technology Plan that has been mutually agreed upon by
the Parties, CSC shall not migrate, consolidate or relocate any Equipment
related to the Services, or the performance of the Services, to any location or
facility, without Textron’s prior written approval, which may be granted or
withheld in Textron’s sole discretion.

 

9.             SOFTWARE AND
PROPRIETARY RIGHTS

 

9.1          Intellectual Property Rights Existing at the Signature
Date

 

This Agreement shall not be
deemed to assign to any Party any Intellectual Property Rights existing at the
Signature Date.  Neither the existence of
this Agreement nor the provision of Services hereunder shall be used as a
justification by a Party to contest the other’s ownership of any such
Intellectual Property Rights.

 

9.2          Textron Software and Textron Material

 

9.2.1           Textron shall have and retain
all right, title and interest in and to the Textron Software, the Textron
Material and the Work Product (to the extent that rights in the same have been
assigned to Textron pursuant to Section 9.5), including all Intellectual
Property Rights therein.

 

9.2.2           Textron hereby grants to CSC a
world-wide, fully paid-up, non-exclusive, non-transferable license during the
Term to access and execute the Textron Software, the Textron Material and the Work
Product (to the extent that rights in the same have been assigned to Textron
pursuant to Section 9.5) solely to the extent necessary and for the sole
purpose of performing CSC’s obligations under this Agreement, with the right to
grant sublicenses thereunder to the CSC Subcontractors solely for such purpose.

 

9.2.3           The Textron Software, the
Textron Material and the Work Product (to the extent that rights in the same
have been assigned to Textron pursuant to Section 9.5) shall be made
available to CSC in such form and on such media as exists at the Signature Date
and, with respect to the Textron Software, the Textron Material and the Work
Product (to the extent that rights in the same have been assigned to Textron
pursuant to Section 9.5) supplied after the Signature Date, in such form
and on such media as may be agreed between the Parties.

 

9.2.4           CSC shall cease any and all
access and use of the Textron Software, the Textron Material, and the Work
Product (in which rights have been assigned to Textron pursuant to
Section 9.5) upon expiration or Termination of this Agreement, except
during any Termination Assistance Period.

 

9.3          CSC Software and CSC Material

 

9.3.1           Subject to the license and
rights granted in Section 9.3.4, CSC shall retain all right, title and
interest in and to the CSC Software and the CSC Material, including all
derivative works and other Intellectual Property Rights therein.

 

9.3.2           CSC shall not use any of the
CSC Software (other than Software such as tools, scripts, monitoring and similar
types of software, and software CSC uses for its internal administration) as
part of, or in the provision of, the Services without obtaining Textron’s prior
written approval.

 

28

 

9.3.3           CSC shall be responsible for
installing, operating and maintaining the CSC Software at CSC’s own expense.

 

9.3.4           CSC hereby grants to Textron,
solely for its internal use, a worldwide, fully paid-up, non-exclusive,
non-transferable license to use, execute, operate, adapt, copy, maintain,
support, modify, display, distribute, perform and enhance (as may be reasonably
necessary for Textron and the Service Recipients to receive the Services under
this Agreement or to enjoy all of the benefits hereof) the CSC Software and the
CSC Material for the purpose of Textron and the Service Recipients obtaining
the benefit of the Services during the Term and without further consideration
to CSC.  The license granted under this
Section 9.3.4 includes the right to grant sublicenses to Service
Recipients and End Users and to contractors of Textron, Service Recipients and
End Users and shall take effect on the date that the relevant CSC Software or
CSC Material is first used by or on behalf of CSC to provide the Services.

 

9.3.5           With effect from and after the
Termination Date, CSC grants to Textron, solely for its internal use, a
worldwide, fully paid-up, non-exclusive, non-transferable license to use,
execute, operate, adapt, copy, maintain, support, modify, display, distribute,
perform and enhance the CSC Software and the CSC Material as may be reasonably
necessary for the purpose of enabling Textron, the Service Recipients and the
End Users to receive services similar to the Services but not for any
commercialization purposes, without further consideration.  The license granted under this
Section 9.3.5 includes the right to grant sublicenses to Service
Recipients and End Users and to contractors of Textron, Service Recipients and
End Users.

 

9.3.6           Prior to the Termination Date,
at Textron’s request, the Parties shall use commercially reasonable efforts to
agree to the terms pursuant to which CSC will support the CSC Software and the
CSC Material after Termination, provided that such terms shall be no more
restrictive than those offered by CSC to entities similarly situated to
Textron.

 

9.3.7           For purposes of clarification,
the provisions of this Agreement shall not apply to any of CSC’s software
licensed directly to Textron outside the scope of this Agreement.

 

9.4          Third Party Software

 

9.4.1           CSC shall secure the grant to
Textron, the Service Recipients, and its and their respective employees and
designees, solely for their internal use, of a license to all Third Party
Software adequate to permit Textron, the Service Recipients and End Users to receive
the Services during the Term without further consideration.  For the avoidance of doubt, financial
responsibility for Software is allocated between the Parties as set forth in
Schedule B and nothing in this Section 9.4.1 is intended to broaden CSC’s financial
responsibility.

 

9.4.2           CSC shall not introduce any
Third Party Software that is not commercially available as part of, or in the
provision of, the Services without obtaining Textron’s prior written approval,
which may be granted or withheld in Textron’s sole discretion.

 

9.4.3           If Textron so requests, CSC
shall promptly supply Textron with a list of Third Party Software licensed or
otherwise supplied to CSC in connection with the Services.

 

9.4.4           With effect from and after the
Termination Date, CSC shall use commercially reasonable efforts but without
additional cost to CSC to secure the grant to Textron, the Service Recipients,
and its and their respective employees and designees, of a world-

 

29

 

wide, fully paid-up, non-exclusive, non-transferable license to use,
execute, operate, adapt, copy, maintain, support, modify, prepare derivative
works based on, display, distribute, perform and enhance the Third Party
Software, without further consideration, as may be reasonably necessary for the
purpose of enabling them to receive services similar to the Services performed
under this Agreement.

 

9.5          Work
Product

 

9.5.1           Subject to Section 9.1
and the rights of any Third Party, Textron shall have and hold all right, title
and interest (including Intellectual Property Rights) in and to any and all
Work Product, together with all copies thereof, subject, in the case of
Modifications to Textron Software, Textron Material, or Third Party Software,
to the terms of the relevant licenses or contracts; provided however that
Textron shall not obtain any such rights (except rights necessary to receive
the Services during the term of this Agreement and thereafter) in any
derivative works based on CSC Material, CSC Software, or Third Party Software
..  Notwithstanding the foregoing, Textron’s
rights in Textron Data and, without Textron’s prior written consent, derivative
works based on Textron Software and Textron Material shall not be subject to
the rights of any Third Party.  To the
extent that any such right, title and interest does not vest in Textron by
operation of Law, CSC hereby irrevocably assigns and agrees to assign (free
from any encumbrance) all right, title and interest (including all Intellectual
Property Rights) in and to the Work Product without further consideration.  CSC shall secure a waiver of all applicable
Intellectual Property Rights from the holders of such rights.  For the avoidance of doubt, this assignment
shall not be affected in any way by the rejection of any Work Product by
Textron under this Agreement or the termination, in whole or in part, of this
Agreement by Textron.

 

9.5.2           Textron hereby grants CSC a
world-wide, fully paid-up, non-exclusive, non-transferable license to access
and use the Work Product to the extent necessary and for the sole purpose of
performing CSC’s obligations under this Agreement, with the right to grant
sublicenses thereunder to CSC Subcontractors only for such purpose.  The license granted under this Section 9.5.2
shall take effect on the date that the relevant Work Product is created and
shall continue until the date that item ceases to be used in the performance of
the Services (in which event CSC shall promptly comply with Section 16.7) and,
in any event, such license shall cease on the later of the date of Termination
and the end of the period during which Termination Assistance is provided.

 

9.6          Third Party Application Software Acquired During Term

 

CSC shall not use any Third
Party Software in Tier 3 for which Textron has financial responsibility, and in
Tier 4 and Tier 5 that is not commercially available as part of, or directly in
the provision of, the Services, other than service delivery software that is
not used by Textron or any Service Recipient or End User, without Textron’s
prior written approval, which may be granted or withheld in Textron’s sole
discretion. Subject to the Change Control Procedure, CSC shall install,
operate, and support (and otherwise treat in the same manner as Third Party
Applications Software existing as of the applicable Handover Date) additional
Third Party Applications Software that Textron may designate from time to time
during the Term.

 

9.7          Third Party Systems Software Acquired During the Term

 

In accordance with CSC’s financial responsibility, as described in
Section 9.3 of Schedule B, and subject to Sections 8.3.1 and 9.6, the
Technology Plan and the applicable Change Control 

 

30

 

Procedure, CSC shall acquire Third Party Software, including
modifications, enhancements, upgrades, additions, and replacements of Third
Party Software, as necessary or appropriate to provide the Services.  Third Party Software acquisitions shall be in
CSC’s name; provided that prior to the introduction of such Software:

 

9.7.1           CSC shall use commercially
reasonable efforts at no additional cost to CSC to obtain the right to grant to
Textron, the Service Recipients, End Users and its and their contractors, a
perpetual, non-exclusive, non-transferable license to use, execute, operate,
adapt, copy, maintain, support, modify, display, distribute and perform and
enhance such Third Party Software at the Termination of this Agreement and at
no additional charge to Textron; and

 

9.7.2           if CSC is unable to obtain
such right, CSC shall notify Textron in writing of its inability to grant
Textron, the Service Recipients, the End Users and its and their contractors,
such a license and of the cost and viability of any other Software that can
perform the requisite functions and with respect to which CSC has the ability
to grant such a license.  Such notice
shall contain the proposed Third Party supplier’s then current terms and
conditions, if any, for making the Software available to Textron after
Termination of this Agreement.  With
Textron’s prior written approval, CSC may introduce such Software to use,
execute, operate, adapt, copy, maintain, support, modify, display, distribute,
perform and enhance as necessary or appropriate to provide the Services.

 

9.8          Non-Infringement, Conformity to Specifications and
Confirmation of Ownership

 

9.8.1           CSC represents, warrants and
covenants to Textron that the Material, Work Product or all or any part of the
Infrastructure Systems or their configurations or any other product or service
provided by CSC or any CSC Subcontractor, and its use by Textron, the Service
Recipients and its or their respective Personnel in the intended manner, does
not and shall not infringe or misappropriate any Intellectual Property Right of
any Third Party.

 

9.8.2           CSC represents, warrants and
covenants to Textron that CSC and CSC Subcontractors:

 

(a)       own or have the right to use or otherwise exploit, and
shall, at all relevant times, own or have the right to use or otherwise exploit
the Equipment, and all Intellectual Property Rights necessary to provide the
Services;

 

(b)       shall not infringe Textron’s or any Third Party’s
Intellectual Property Rights in providing the Services; and

 

(c)       have, and shall at all relevant times have, full right
and authority to grant the licenses and provide the Equipment and the Software
to Textron as set forth in this Agreement.

 

9.9          Relocation of Software

 

Except as set forth in any (a)
Transformation Plan or project definition thereunder, or (b) Technology Plan,
that is mutually agreed upon by the Parties, CSC shall not migrate, consolidate
or relocate any Software related to the Services, or the performance of the
Services, to any location or facility, without Textron’s prior written
approval, which may be granted or withheld in Textron’s sole discretion.

 

31

 

10.          EMPLOYEES

 

10.1        Transfer of Employees

 

10.1.1         The In-Scope Employees shall
transfer to CSC on the applicable Handover Date, in accordance with
Schedule E (Employees).  Such transfers
shall be done pursuant to applicable local Law in each relevant jurisdiction.

 

10.1.2         On Termination of this
Agreement for any reason, in whole or in part, the Parties shall comply with
their respective obligations set forth in Schedule E (Employees).

 

10.2        Key CSC Positions

 

10.2.1         The Key CSC Positions as of
the Signature Date together with CSC employees approved as of the Signature
Date to fill such positions are set forth in Annex E-2 to Schedule E
(Employees).

 

10.2.2         Textron may, from time to time,
designate new or alternative Key CSC Positions.

 

10.3        Key CSC Position Approvals Procedure

 

Before assigning an individual
to a Key CSC Position, whether as an initial assignment or a subsequent
assignment, CSC shall comply with the following procedure:

 

10.3.1         CSC shall:

 

(a)       notify Textron in writing of the proposed assignment;

 

(b)       introduce the individual to appropriate Textron
representatives (and, upon request, provide such representatives with the
opportunity to meet with the individual); and

 

(c)       provide Textron with such information as Textron may
request about the individual’s training, experience and skills relevant to the
requirements of the Key CSC Position;

 

10.3.2         if Textron objects in writing
to the proposed assignment, Textron and CSC shall each use commercially
reasonable efforts to resolve Textron’s concerns; and

 

10.3.3         if Textron and CSC are unable
to resolve Textron’s concerns within [***] after Textron’s written objection,
CSC shall not assign the individual to the Key CSC Position and shall propose
to Textron the assignment of another individual with training, experience and
skills suitable to the requirements of that position and the provisions of this
Section 10.3 shall apply to such other individual.

 

10.4        Retaining Key CSC Positions

 

10.4.1         CSC shall fill the Key CSC
Positions at all times and:

 

(a)       shall cause each of the CSC employees identified in
Annex E-2 to Schedule E (Employees) as filling the Key CSC Positions to
devote substantially his or her full working time and effort to providing the
Services in the Key CSC Position initially assigned to him or her for at least
[***] from the applicable Handover Date;

 

32

 

(b)       except as otherwise provided in Section 10.4.1(a),
shall not reassign or replace CSC employees filling Key CSC Positions during
the Term for at least [***] following assignment to those positions; and

 

(c)       shall use commercially reasonable efforts to continue
to offer each of CSC employee filling Key CSC Positions terms and conditions of
employment which are competitive with those offered elsewhere by CSC,

 

unless such CSC employee resigns from his or her employment, or
terminates his or her contract with CSC (other than in circumstances in which
such CSC employee is claiming constructive dismissal), or is unable to work
owing to mental or physical incapacity for a period exceeding [***], or is
reasonably dismissed or terminated by CSC for misconduct.

 

10.4.2         CSC shall not replace a person
filling a Key CSC Position without first complying in full with Section 10.3
and:

 

(a)       demonstrating to Textron’s satisfaction that the new
person is fully qualified to meet the requirements of the Key CSC Position; and

 

(b)       obtaining Textron’s prior written approval.

 

10.5        Use and Compliance of CSC Personnel

 

CSC shall:

 

10.5.1         use an adequate number of CSC
Personnel to provide the Services;

 

10.5.2         cause all CSC Personnel who
perform the Services to be properly trained and capable of meeting the
requirements of the Services tasks assigned to them in a professional and
timely manner and to a standard acceptable to Textron, provided however that
all In-Scope Employees performing work similar to the work they performed prior
to the applicable Handover Date shall be deemed to fulfill this requirement
with respect to Services of the type performed as of such Handover Date;

 

10.5.3         require that all CSC Personnel
comply with:

 

(a)       any applicable policies or procedures identified by
Textron to CSC from time to time which shall include, without limitation, any
health or safety requirements, building access and security procedures and
policies relating to conduct of personnel admitted to Textron’s (or a Third
Party’s) premises; and

 

(b)       CSC’s obligations under this Agreement with respect to
Confidential Information and data security; and

 

10.5.4         involve only CSC Personnel who
are authorized in accordance with the provisions of this Section 10 in
supplying the Services.

 

10.6        Turnover of CSC Personnel

 

Textron and CSC agree that it
is in their best interests to minimize the turnover rate of CSC employees
performing the Services and employees of CSC Subcontractors that are
substantially dedicated to performing the Services (the “Turnover Rate”).  Accordingly, CSC shall use commercially
reasonable efforts keep the Turnover Rate to a level comparable to industry
norms.  If CSC is experiencing
performance failures and Textron notifies CSC that Textron deems the Turnover
Rate contributes to such failures and is not acceptable, CSC shall as soon as
reasonably practicable:

 

33

 

10.6.1         provide to Textron sufficient
data to establish the actual extent of the Turnover Rate including, in
particular, the Turnover Rate among CSC employees and employees of CSC Subcontractors
that are substantially dedicated to performing the Services;

 

10.6.2         meet with Textron to discuss
the impact of the level of the Turnover Rate; and

 

10.6.3         submit to Textron a proposal
for reducing the Turnover Rate.

 

10.7        Replacement of CSC Personnel at Textron’s Request

 

10.7.1         Textron may notify CSC at any
time during the Term that Textron requires CSC to replace any of the CSC
Personnel directly providing or adversely affecting the Services for the
reasons stated in the notice.  After receipt
of such notice, CSC shall have [***] in which to investigate the matters stated
in the notice and discuss CSC’s findings with Textron.  If, following that period, Textron still
requires replacement of the individual, CSC shall promptly replace that
individual with another individual with training, experience and skills
suitable to meet the requirements of the assigned Services tasks.

 

10.7.2         If Textron believes, in its
sole discretion, that an individual is a threat to the health, safety or
security of any of Textron’s, Service Recipient’s or a Third Party’s Personnel,
data or property, is materially in breach of any Textron, Service Recipient or
Third Party policy or procedure which was previously notified to CSC or places
either Textron, a Service Recipient or CSC at risk of violating any applicable
Laws, then CSC shall immediately remove that individual from the provision of
the Services and thereafter follow the procedures set forth in Section 10.7.1.

 

10.7.3         Nothing in this Agreement
shall grant Textron the right to require CSC to terminate any individual’s
employment or contract with CSC or to violate any Law relating to employment.

 

10.8        In-Scope Contractors

 

If applicable, the Parties
will, following the Signature Date, cooperate to effect the novation or, where
novation is not possible or, in the opinion of Textron, not economically
feasible, the assignment of the contracts between Textron and the In-Scope
Contractors, listed on Annex E-3 to Schedule E (Employees) who, after
the applicable Handover Date, shall form part of the CSC Personnel.  CSC shall cooperate with Textron to procure
the consent of the In-Scope Contractors to the novation or assignment of their
contracts to CSC, such novation or assignment to take effect on the applicable
Handover Date.

 

10.9        Assignment and Reassignment of CSC Employees

 

10.9.1         Without the prior written
consent of Textron, CSC shall not reassign to perform services for any Textron
Competitor any CSC employee who has performed Services for Textron or a Service
Recipient in a Key CSC Position at any time during the [***] period immediately
following such employee’s performance of such Services.

 

10.9.2         Without the prior written
consent of Textron, CSC shall not assign to the performance of Services for
Textron or any Service Recipient any CSC employee who has performed any
services for a Textron Competitor in a position comparable to a Key CSC
Position at any time during the [***] period immediately following such
employee’s employment by or performance of services for a Textron Competitor.

 

34

 

11.          SUBCONTRACTORS

 

11.1        Approval of Material Subcontractors

 

11.1.1         CSC shall obtain Textron’s
written approval prior to appointing any CSC Subcontractor with respect to
which (i) the value of the Services to be performed under the subcontract
is greater than $[***] annually, or (ii) the proposed CSC Subcontractor
will have the ability to access, either physically, logically or
electronically, any Textron Data; or (iii) the proposed CSC Subcontractor
will be providing a service (including any of the Services) which requires
Textron or any Service Recipient to impose specific additional terms and
conditions upon such CSC Subcontractor to enable that Textron or the Service
Recipients to comply with all applicable Laws, or the proposed CSC
Subcontractor otherwise must receive Textron’s or a Service Recipient’s
specific approval in order for Textron or such Service Recipient to comply with
all applicable Laws (a “Material Subcontractor”). CSC shall submit a written
request for approval to Textron which shall specify:

 

(a)        the actual components of the Services that CSC
proposes to subcontract;

(b)       the scope of the proposed subcontract;

(c)        the type of contract between CSC and the CSC
Subcontractor, including any provisions material to, or inconsistent with, this
Agreement;

(d)       the identity, background and qualifications of the
proposed CSC Subcontractor; and

(e)        that all relevant consents have been obtained in
accordance with Section 8.

 

11.1.2         The Parties agree that the CSC
Subcontractors listed in Schedule J (Key Subcontracts and Material
Subcontractors) are approved by Textron as Material Subcontractors as of the
Signature Date.

 

11.2        Key Subcontracts

 

Schedule J (Key
Subcontracts and Material Subcontractors) identifies “Key Subcontracts”.  These comprise:

 

11.2.1         “Key Textron Subcontracts”
that are, in Textron’s opinion, important to the on-going performance of any of
the Services.  The Parties agree, for any
Key Textron Subcontracts that are identified as Assigned Contracts in Annex F-2
on or following the Signature Date, to cooperate to effect the novation, or
where novation is not possible or, in the opinion of Textron, not economically
feasible, the assignment, of such Key Textron Subcontracts to CSC.  Provided that it does not result in
additional costs to CSC or degrade the Services, CSC shall not during the Term
terminate such an assigned Key Textron Subcontract or allow it to expire
without renewal without the prior written consent of Textron.  Any Key Textron Subcontracts that are
identified as Managed Contracts in Annex F-3 shall be managed in accordance
with Section 8 of this MSA; and

 

11.2.2         “Key CSC Subcontracts” between
CSC and Third Parties which are, in Textron’s opinion, essential to the
performance of the Services. Provided that it does not result in additional
costs to CSC or degrade the Services, CSC shall not terminate the Key CSC
Subcontracts or allow them to expire without renewal without the prior written
consent of Textron.

 

35

 

11.3        CSC Subcontractor Compliance

 

CSC shall require that each of
the CSC Subcontractors complies with:

 

11.3.1         the terms, conditions and
obligations of this Agreement as applicable to the CSC Subcontractors;

 

11.3.2         all of Textron’s rules,
guidelines, policies and procedures that are relevant to the CSC Subcontractor’s
performance of the Services or the CSC Subcontractor’s access to or use of
Confidential Information, data or resources or facilities provided by Textron;
and

 

11.3.3         all applicable Laws and any
other regulatory requirements (including rights of access and audit) which may
apply to CSC Subcontractors in the performance of the Services under this
Agreement.

 

11.4        Remediation of CSC Subcontractor Problems

 

CSC shall:

 

11.4.1         immediately notify Textron if
an act or omission of any CSC Subcontractor causes a problem or delay that has
a material impact on CSC’s ability to provide the Services;

 

11.4.2         immediately notify Textron if,
in good faith, CSC has doubts concerning a CSC Subcontractor’s ability to
render future performance because of changes in such CSC Subcontractor’s
ownership, management, financial condition, or otherwise, or there have been
material representations by or concerning such CSC Subcontractor’s ability or
CSC reasonably believes that the CSC Subcontractor (or its employees) is a
threat to the health, safety or security of Textron or any Service Recipient
(or its or their Personnel); and

 

11.4.3         work with Textron and all
other CSC Subcontractors promptly and use CSC’s best efforts to prevent,
resolve or circumvent the problem or delay.

 

11.5        Revocation of Approval

 

Textron may request, by notice
in writing, that CSC replace any CSC Subcontractor for the reasons stated in
the notice.  After receipt of such
notice, CSC shall have [***] in which to investigate the matters stated in the
notice and discuss CSC’s findings with Textron. 
If, following that [***] period, Textron still requests replacement of
the CSC Subcontractor and provided that such action is not anticipated to lead
to a degradation in Services or an increase in cost to CSC, CSC shall, subject
to the other provisions of this Agreement, cease using such CSC Subcontractor
to provide the Services.  For the
avoidance of doubt, Textron will not have the right under this Section 11
to require CSC, or any CSC Subcontractor, to terminate any individual’s
employment with CSC or with the CSC Subcontractor.

 

11.6        Procedure After Revocation

 

Any subcontractor proposed by
CSC to replace a Material Subcontractor must be approved by Textron in
accordance with this Section 11, except that as an interim measure, where
necessary to continue to provide the Services, CSC may replace the Material
Subcontractor concerned with a subcontractor which has not been so approved
until such approval has been obtained for that replacement subcontractor or an
alternative replacement has been approved.

 

36

 

11.7        Requirements for CSC Subcontractors

 

11.7.1         Unless otherwise specified
below, each subcontract with a CSC Subcontractor, entered into by CSC after the
applicable Handover Date, shall reflect the terms of this Agreement to the
extent that they apply to the Services to be supplied by such CSC Subcontractor
and CSC will, using commercially reasonable efforts, attempt to include:

 

(a)       the right of termination without cause by CSC of the
subcontract;

(b)       the right of Textron to take a novation of the
subcontract if this Agreement expires, there is a Termination of this Agreement
for any reason or if there is a termination of the Services related to such
subcontract;

(c)       obligations no less favorable to Textron than those
contained in this Agreement, the Tower Services Agreements or the Local
Enabling Agreements, as applicable, with respect to confidentiality, privacy,
data security, data protection and Intellectual Property Rights;

(d)       an assignment to Textron of all right, title and
interest, including without limitation Intellectual Property Rights, in and to
Work Product, including Textron Data, created by the CSC Subcontractor (or its
employees) in the course of providing the Services under the subcontract;

(e)       no right to subcontract or assign the CSC
Subcontractor’s rights or transfer the CSC Subcontractor’s obligations under
the subcontract without first obtaining CSC’s and Textron’s prior written
consent;

(f)        an obligation to comply with the terms of this
Agreement as they affect the CSC Subcontractor;

(g)       the CSC Subcontractor’s covenant and warranty that the
CSC Subcontractor is the employer of its employees;

(h)       the CSC Subcontractor’s obligation to indemnify,
defend and hold harmless Textron, the Service Recipients, its and their
Affiliates, and any of their respective directors, officers and contractors and
Personnel from and against any Losses arising from or related to any Claim by
any employee, worker or agent of the CSC Subcontractor that he or she has an
employment relationship with Textron; and

(i)        the CSC Subcontractor’s obligation to indemnify defend
and hold harmless Textron, the Service Recipients, its and their Affiliates,
and any of their respective directors, officers, contractors, Personnel,
professional advisors, predecessors, successors and assigns harmless against
any Losses arising from or related to any decision of any statutory, legal or
regulatory authority that Textron, a Service Recipient or one of its or their
Affiliates is the employer of such individual.

CSC shall notify Textron if it
is unable to obtain any of the foregoing provisions, in which case CSC shall
not subcontract any Services to such proposed Subcontractor without Textron’s
prior written consent.

 

11.7.2         Unless prohibited by the
provisions of the subcontract, CSC shall provide Textron with a copy of each
subcontract executed between CSC and a Material Subcontractor (excluding
payment provisions), upon request.

 

11.7.3         CSC shall not include in any
subcontract any provision the effect of which would be to limit the ability of
a CSC Subcontractor to contract directly with Textron.

 

11.8        Liability for Contractors

 

CSC will remain liable at all
times for all acts or omissions of any of the CSC Subcontractors or their
employees to the extent engaged to work with, or provide Services for, Textron
or any 

 

37

 

Service Recipient. Textron
will remain liable at all time for all acts or omissions of any of the Textron’s
and Service Recipients’ contractors and their employees to the extent engaged
to work with, or provide Services for, CSC or any CSC Affiliate.

 

12.          TEXTRON
RESPONSIBILITIES

 

12.1        Cooperation

 

Textron shall cooperate with
CSC by making information and granting or denying approvals of Textron
available as required in this Agreement within the time periods specified herein
for such information or approvals or, where no time period is specified, within
a reasonable time period, and such approvals shall not be unreasonably withheld
or delayed, unless qualified herein as being within Textron’s sole discretion,
and Textron shall be responsible for any increased CSC cost resulting from any
unreasonable delay.

 

12.2        Savings Section

 

The failure by Textron to
perform any of Textron’s responsibilities set forth in this Agreement shall not
be deemed to be grounds for Termination by CSC (other than as provided for in
Section 24.4); provided, however, that CSC’s non-performance of CSC’s
obligations under this Agreement shall be excused if and to the extent that:

 

12.2.1         CSC’s non-performance results
(a) from the failure by Textron, Textron Affiliate, Textron contractor, Textron
Personnel or a Service Recipient to perform any of Textron’s obligations under
this Agreement or to comply with a reasonable request by CSC or (b) from an act
or omission of Textron, Textron Affiliate, Textron contractor, Textron
Personnel, a Service Recipient, or Textron’s, Textron’s Affiliate or a Service
Recipient’s contractors of which CSC gives Textron prior written notice and a
reasonable opportunity to correct; and

 

12.2.2         CSC promptly provides Textron
with notice of such non-performance and uses commercially reasonable efforts to
perform the Services to the extent possible, notwithstanding the failure by
Textron to perform.

 

Nothing
in this Section 12.2 is intended to relieve Textron of liability for direct,
provable damages that may be incurred by CSC as a result of any of the
circumstances described in Section 12.2.1.

 

13.          CONTRACT
MANAGEMENT

 

13.1        Governance

 

The Parties shall facilitate
communications between them and establish structures and procedures for
governing their relationship and managing the performance of their respective
obligations under this Agreement in accordance with Schedule K (Governance) and
the Service Level Agreement attached thereto as Annex K-1.

 

13.2        Reports

 

13.2.1         Within [***] after the
earliest Handover Date, the Parties shall determine an appropriate set of
periodic reports to be issued by CSC to Textron.  CSC shall provide Textron with suggested
formats for such reports, for Textron’s review and approval.  Such reports shall:

 

38

 

(a)       be no less comprehensive than the internal reporting
of Textron prior to the Signature Date;

(b)       be issued at the frequency requested by Textron;

(c)       enable Textron to secure TS 16949 quality certification
annually to the extent being handled by In-Scope Employees as of the Signature
Date; and

(d)       include the reports described in Section 7.7 of
Schedule B (Cross-Functional Obligations), Section 4 of Schedule K
(Governance) and Section 13.2.2.

 

13.2.2         In addition to the reports to
be provided by CSC in accordance with Section 13.2.1, CSC shall provide a
written [***] performance report, which shall be delivered to Textron within
[***] after the end of each [***] (commencing with the [***] during which the
applicable Handover Date occurs), describing CSC’s performance of the Services
in that [***] at the enterprise level (Textron and all the Service Recipients)
and including the identification of Business Unit and Site for Problems
identified by Textron and, as much as possible, for Problems identified by
CSC.  Such report shall be provided in a
format commonly understood (e.g., Microsoft Access or Excel) and shall:

 

(a)       separately address CSC’s performance in each Tower of
Services in a form and format acceptable to Textron;

(b)       for each Tower of Services, assess the degree to which
CSC has attained or failed to attain the pertinent objectives in that area,
including measurements with respect to the Performance Standards and Service
Level Agreements applicable thereto;

(c)       explain deviations from the Performance Standards and
Service Level Agreements and include a plan for corrective action where
appropriate;

(d)       describe the status of any Software development
projects, problem resolution efforts, and other initiatives;

(e)       if requested by Textron, set forth a record of all
Supported Equipment and Software installed thereon, and to the extent billable
to Textron, changes to CSC employees in Key CSC Positions, in each case that
pertain to each Tower of Services and describe planned changes during the
upcoming [***] that may affect such Tower of Services;

(f)        set forth the utilization of resources for the [***]
and report on utilization trends and statistics;

(g)       include softcopy database extracts from the management
databases that track Projects, Problems and issues; and

(h)       include such documentation and other information as
Textron may reasonably request to verify CSC’s compliance with this Agreement.

 

13.3        Technology Plan

 

13.3.1         The responsibility for establishing
the information technology architecture, standards, and the strategic direction
of Textron shall at all times remain with Textron.  CSC, in performing the Services, shall
conform to and shall support such architecture, standards and strategic direction,
provided that (a) the Transformation Plans and the project definitions
thereunder, and (b) the Technology Plans, each in a form approved by Textron,
are deemed to be in accordance with such strategic direction.

 

13.3.2         For each Tower of Services,
CSC shall prepare an annual technology plan in accordance with the provisions
of this Section 13.3 (each a “Technology Plan”) and shall perform the
Services in accordance with the Technology Plans. The Technology Plans shall
address comprehensively the information technology requirements of Textron’s
activities and shall include, at a minimum:

 

39

 

(a)       a comprehensive assessment and strategic analysis of
Textron’s then-current information technology systems and services requirements
for the next [***], including:

 

(i)        an
assessment of the appropriate direction for such systems and services, in light
of Textron’s business priorities and strategies and competitive market forces
(to the extent such business information is provided by Textron to CSC);

(ii)       a specific identification of proposed Infrastructure Systems, new
technologies, strategies and direction;

(iii)      a cost projection;

(iv)      a cost/benefit analysis of any proposed changes;

(v)       a
description of the types of individual skills and abilities needed to respond
to any recommended changes or upgrades in technology;

(vi)      a general plan and a projected time schedule for developing and
achieving the recommended elements; and

(vii)     references to appropriate information services operations platforms that
support Performance Standard requirements and exploit industry trends in
production capabilities, and offer potential price performance improvement
opportunities; and

(b)       as necessary to support the overall objectives and
directions of the [***] plan described above, an annual implementation plan
which shall:

 

(i)        provide
specific guidance as to the information services requirements, projects, and
plans for the upcoming [***] period, including details on operations,
maintenance backlog and development activities; and

(ii)       include a summary review of CSC’s performance of the Services in the
previous [***] period, then concluding and review and assess the Technology
Plan with respect to that period.

 

13.3.3         The annual Technology Plans
shall be submitted and revised annually in accordance with Section 4.1 of
Schedule B (Cross Functional Obligations) and in a manner that supports Textron’s
annual business planning cycle.  The
Technology Plans shall also be updated during the year as necessary to reflect
changes in the business or strategies of Textron which materially impact the
validity of the then-existing Technology Plans. 
CSC shall recommend modifications to the Technology Plans as it deems
appropriate, and shall revise the Technology Plans as requested or approved by
Textron.  Changes in Services relating to
changes in the Technology Plan shall be subject to the Change Control
Procedure.

 

13.3.4         CSC shall submit to Textron a
draft of each Technology Plan for Textron’s review and approval, which draft
shall have been developed with input from key Personnel of Textron.  CSC shall submit the final Technology Plans
within [***] of receiving Textron’s comments. 
The draft of the Technology Plan for the first year shall be provided
within [***] of the Signature Date.

 

14.          DUE DILIGENCE

 

14.1          Textron represents, to its knowledge,
that it has identified and made reasonably available to CSC for its review all
contracts for Equipment, Software and related services having an annual value
in excess of [***] Dollars and
all specifically requested due diligence material, that such material was
current, accurate and complete at the time of the review and that such material
did not materially change between the date of CSC’s due diligence review and
the execution of the Agreement.

 

40

 

14.2               CSC acknowledges and agrees that CSC was solely responsible for due
diligence, any additional information that was necessary to provide the Services
in accordance with this Agreement, and the evaluation of information and data
obtained (during due diligence) prior to the Signature Date, and that CSC
carried out to its satisfaction, adequate due diligence exercises and
validation and verification activities on Textron, the Service Recipients, its
and their systems, and the Services CSC shall perform under this
Agreement.  CSC acknowledges that there
shall not be any due diligence or joint verification with Textron or the
Service Recipients after the Signature Date, and that failure to carry out due
diligence prior to the Signature Date on any part of or relating to the
Services or associated expenses shall not be used as a reason to increase the
Service Charges, alter the Performance Standards or Service Levels specified in
this Agreement or refuse to provide any Services under this Agreement.

 

14.3               Notwithstanding Sections 14.1 and 14.2, In the event that CSC
reasonably demonstrates to Textron that: (i) new information exists which was
not made available to CSC as part of the due diligence process or that (ii)
information provided was incomplete or incorrect and that as a result of either
(i) or (ii) there has been a demonstrable adverse impact on CSC’s costs, CSC
shall be entitled to an equitable adjustment to the pricing.  Without limiting the meaning of “equitable
adjustment” as used elsewhere in this Agreement, such equitable adjustment
shall include all elements included in CSC’s pricing including an appropriate
profit element. The adjustment shall be implemented as a Scope Change.  Textron shall have the right to have a
Textron Audit Representative verify CSC’s assertions regarding cost impact. In
the event of a dispute, the dispute resolution process shall apply.

 

15.          AUDITS AND
RECORD KEEPING

 

15.1        Audit
Rights

 

15.1.1         CSC shall provide the Textron
Audit Representatives with access at all reasonable times (and in the case of
regulators, at any time required by such regulator) to any facility or part of
a facility at which either CSC or any CSC Subcontractor is providing the
Services, and shall grant the Textron Audit Representatives access to CSC
Subcontractors and CSC Personnel and to all data, records and information
relating to the Services (including the right to copy such data, records and information)
for the purpose of performing audits and inspections, including, without
limitation, SAS 70 Type II examinations (collectively, “Audits”) of either CSC
or any of CSC Subcontractors, subject to confidentiality obligations, to:

 

(a)       verify the accuracy of Service Charges and invoices;

(b)       verify the integrity of Textron Information and
examine the systems that process, store, support and transmit Textron
Information;

(c)       verify CSC’s and CSC Subcontractors’ performance of
the Services and compliance with the terms of this Agreement including, to the
extent applicable to the Services and to the relevant Service Charges,
performing Audits of:

 

(i)        practices
and procedures;

(ii)       systems;

(iii)      general controls and security practices and procedures (including the
performance of penetration testing);

(iv)      disaster recovery and back-up procedures;

(v)       the use of
any Equipment or Software owned by Textron or licensed or leased by a Third
Party to Textron and used by or on behalf of CSC;

(vi)      Performance Standards, Service Levels and supporting information and
calculations, including the tools and procedures specified in Section 4.6; and

 

41

 

(d)       enable Textron to meet, or to confirm that CSC is
meeting, all requirements of applicable Laws.

 

15.1.2         CSC shall cooperate with the
Textron Audit Representatives and provide such assistance as the Textron Audit
Representatives reasonably require (including installing and operating audit
software) in carrying out the Audits. 
The Parties shall cooperate to minimize any disruption caused by, and
the cost incurred by CSC in connection with, Audits.  If the CSC Program Executive believes that
the number of Audits adversely impacts CSC’s costs for performing the Services,
the CSC Program Executive will engage in a discussion with the Textron Program
Executive about this impact.

 

15.1.3         Textron shall provide at least
[***] notice of any Audit it intends to carry out pursuant to this
Section 15 unless any of the following circumstances apply:

 

(a)       such Audit is required by Textron for reasons of
suspected fraud or to validate compliance with the security requirements set
forth in Schedule B (Cross-Functional Obligations) to this Agreement;

(b)       Textron has reasonable grounds to suspect that CSC may
be in material breach of CSC’s obligations;

(c)       a shorter time is required by applicable Laws; or

(d)       other circumstances have arisen which would give
Textron the right to terminate this Agreement.

 

15.1.4         The Textron Audit Representatives
(other than regulatory Textron Audit Representatives) shall not be CSC
Competitors except with the prior consent of CSC and shall comply with CSC’s
reasonable security requirements provided to Textron.

 

15.1.5         CSC shall cooperate with
Textron in dealing with regulatory Audits, including:

 

(a)       notifying Textron as soon as practicable of any
regulatory Audits;

(b)       permitting Textron or its representatives to be
present and to participate in such regulatory Audits;

(c)       providing Textron with copies of any reports or
written communications with such regulators; and

(d)       liaising with Textron with respect to responses to
such regulators’ communications.

 

15.1.6         Where any government or
regulatory body or agency of competent jurisdiction requests information and/or
cooperation from Textron for any general compliance or regulatory purposes
relating to the Services, then where required by Textron, CSC shall assist
Textron in responding to such request, by providing Textron or any such
government, regulatory body or agency of competent jurisdiction (as directed by
Textron), with all relevant cooperation and information relevant to CSC or CSC
Subcontractors’ Services, whether or not the request relates to a regulatory
Audit.

 

15.2        CSC
Audits

 

15.2.1         CSC shall conduct reviews and
Audits of, or pertaining to, the Services in a manner consistent with customary
audit practices.  CSC shall cause a
security audit and a SAS 70 Type II examination of CSC’s services
performed at CSC’s Data Centers at Norwich, Connecticut and Chesterfield,
England to be carried out by an independent Third Party at least [***],
covering at least the period January 1-September 30 and shall furnish a copy of
the portions thereof relevant to the Services, and the relevant portions of any
other available SAS 70 reports relating to Textron Services, subject to 

 

42

 

confidentiality restrictions imposed on such reports, to Textron’s
auditors not later than November 15 of such Contract Year, at no additional
charge to Textron.  Annual SAS 70 Type II
examinations shall cover at least the period from January 1 through September
30 of the year in which the resulting report is provided.  Subject to written confidentiality agreements
that are consistent with Textron’s obligations set forth in the Agreement to
maintain the confidentiality of CSC’s confidential information and that
identify CSC as a third party beneficiary, Textron shall be entitled to provide
a copy of any such Audit reports to others as necessary to evidence its
internal control structure.

 

15.2.2         CSC shall promptly make
available in writing to Textron a summary of the results of any review or Audit
conducted by CSC or any CSC Subcontractors relating to the Services and any
finding or report concerning any actual or suspected error with respect to
amounts charged to Textron under this Agreement.

 

15.2.3         In no event shall CSC disclose
to any Third Party any Textron Confidential Information contained in any Audit,
Audit report or Audit summary unless required to do so by Law.

 

15.3        Audit Follow-Up

 

15.3.1         Following an Audit, Textron
shall conduct (in the case of an internal Audit), or request Textron’s external
Textron Audit Representatives to conduct, a review meeting with CSC to obtain
factual concurrence with issues identified in the Audit.  Either Party shall be entitled to invoke the
dispute resolution procedure set forth in Section 22 in connection with a
disagreement regarding the results of any Audit.

 

15.3.2         CSC and Textron shall meet to
review each Audit report promptly after the issuance thereof and shall mutually
agree upon the appropriate manner, if any, in which to respond to the changes
suggested by the Audit report.  CSC shall
provide to Textron a plan and schedule for any necessary corrective actions for
Textron’s approval and shall complete such corrective actions in accordance
with the approved plan and schedule.

 

15.3.3         Textron and CSC shall develop
and follow procedures for the sharing of reports for Audits carried out
pursuant to this Section 15.

 

15.3.4         To the extent that any Audit
reveals any error or incorrect charging in any CSC invoice that is undisputed
(or if disputed, after resolution of the dispute), an appropriate correcting
payment or credit or the net amount thereof shall be promptly made as follows:

 

(a)        in the
case of an overpayment by Textron, a payment or credit shall be made by CSC
together with interest at an annual percentage rate equal to [***] percent
([***]%) or the maximum rate permitted by Law, whichever is lower, calculated
as of the date the incorrect payment was made and accruing from such date until
the date of reimbursement to Textron of the overcharge by CSC; or

(b)       in the
case of an underpayment by Textron, a payment shall be made by Textron to CSC,
less the cost of the Audit which resulted in the discovery of such
underpayment.

 

15.4        Records Retention

 

15.4.1         CSC shall maintain and provide
access for the Textron Audit Representatives to the records, documents and
other information (including any data contained in the foregoing, and any other
data related to all relevant transactions containing any data 

 

43

 

with controlled access pursuant to this Agreement or applicable Laws)
required to meet Textron’s audit rights under this Agreement until the later
of:

 

(a)       [***]
after the Termination Date of the Agreement;

(b)       the date
that all pending matters relating to this Agreement (including disputed Tax
audits) are closed; and

(c)       the date
when such records, documents and other information are no longer required to
meet Textron’s records retention policy, as such policy may be amended from
time to time.

 

15.4.2         Without limiting
Section 15.4.1, CSC shall maintain complete and accurate records of, and
supporting documentation for, invoices submitted to Textron and the payments
made by Textron under this Agreement in accordance with generally accepted
accounting principles applied on a consistent basis.

 

15.4.3         Before destroying or otherwise
disposing of information of the type referred to in this Section 15.4, CSC
shall provide Textron with [***] prior written notice and shall offer Textron,
at Textron’s expense, the opportunity to recover such information or to request
CSC to deliver such information to Textron.

 

15.5        CSC Subcontractor and Pass-Through Expenses

 

15.5.1         CSC shall use commercially
reasonable efforts to provide in each subcontract with a Material Subcontractor
entered into after the Signature Date that such Subcontractor will give Textron
the same rights and agree to fulfill the same obligations as are undertaken by
CSC under this Section 15, and shall advise Textron in writing if it is
unable to obtain such provisions, in which case CSC shall not subcontract any
Services to such proposed Subcontractor without Textron’s prior written
consent.

 

15.5.2         CSC shall use commercially
reasonable efforts to cause arrangements which CSC enters into with Third
Parties and which are to be paid by Textron as Pass-Through Expenses to provide
for the right for Textron to audit such third party’s charges and invoicing
with respect to such Pass-Through Expenses.

 

15.6        Duration of Rights

 

Except for such longer periods
otherwise expressly provided herein, Textron may exercise any of its rights set
forth in this Section 15 for a period of [***] following the later of the
date of expiration or Termination of this Agreement or the end of the
Termination Assistance Period.

 

16.          CONFIDENTIAL
INFORMATION

 

16.1        Protection of Confidential Information

 

Textron and CSC each shall:

 

16.1.1         keep confidential all
Confidential Information given by one Party (the “Disclosing Party”) to the
other Party (the “Recipient”), or otherwise obtained by the Recipient, and
shall not (except as expressly permitted by this Agreement or by the Disclosing
Party in writing) disclose the Confidential Information, make copies of
Material containing the Confidential Information or otherwise use the
Confidential Information;

 

44

 

16.1.2         safeguard the Disclosing Party’s
Confidential Information and comply with any reasonable security requirements
specified by the Disclosing Party from time to time with respect thereto;

 

16.1.3         implement rigorous security
practices against any unauthorized copying, use, disclosure, access, damage or
destruction of the Disclosing Party’s Confidential Information no less
stringent than such Party applies to its own Confidential Information;

 

16.1.4         immediately notify the
Disclosing Party if the Recipient suspects or becomes aware of any unauthorized
access, copying, use, disclosure, in any form, or if the Recipient is required
by Law to disclose any of the Disclosing Party’s Confidential Information;

 

16.1.5         take all reasonable steps to
enforce against any Third Party (and to assist the Disclosing Party to so
enforce) any obligation of confidence imposed or required to be imposed by this
Agreement; and

 

16.1.6         do all things, execute all
documents and give all assistance reasonably required by the Disclosing Party
to enforce any obligation of confidence imposed or required to be imposed by
this Agreement.

 

16.2        Use of Confidential Information

 

Subject to Sections 16.3,
16.4 and 25.2, the Recipient may only use and copy the Disclosing Party’s
Confidential Information solely to the extent necessary:

 

16.2.1         to comply with its obligations
under this Agreement; or

 

16.2.2         to enable the Recipient to
exercise its rights under this Agreement.

 

16.3        Handling Textron Confidential Information

 

16.3.1         During the Term, CSC may
disclose Textron Confidential Information to (a) CSC Personnel, CSC
Subcontractors and CSC’s professional advisors and (b) other persons approved
by Textron in writing on a “need to know” basis and only for the purposes
identified in Section 16.2 above. 
CSC shall not disclose Textron Confidential Information to any other
party unless CSC:

 

(i)         obtains
Textron’s prior written consent, which may be granted or withheld in Textron’s
sole discretion;

(ii)        notifies Textron of all persons to whom Textron Confidential Information
is to be disclosed or who may become aware of Textron Confidential Information
before those persons are permitted access to Textron Confidential Information;
and

(iii)       if required by Textron, arranges for any persons who are permitted
access to Textron Confidential Information to give a written confidentiality
undertaking directly to, or in favor of, Textron in a form reasonably required
by Textron.

 

16.3.2         CSC shall require that CSC’s
Personnel, CSC Subcontractors, CSC’s professional advisors and any other person
approved by Textron comply with the provisions of this Section 16.

 

16.4        Handling CSC’s Confidential Information

 

Textron and the Service
Recipients may:

 

45

 

16.4.1         use CSC’s Confidential
Information to receive and use the full benefit of the Services;

 

16.4.2         disclose CSC’s Confidential
Information to (a) any of the other Service Recipients, its and their Personnel
and professional advisors, and (b) other persons approved by CSC in writing,
all on a “need to know” basis provided that Textron makes the Recipient aware
of Textron’s obligations under this Section 16; and

 

16.4.3         with CSC’s written consent,
which shall not be unreasonably withheld or delayed, use and disclose CSC’s
Confidential Information following the Termination of this Agreement to the
extent necessary to enable Textron to continue receiving services equivalent or
similar to the Services as of the Termination Date.

 

16.5        Exceptions to Obligations of Confidentiality

 

16.5.1         Nothing in this Agreement
shall prohibit the use, copying or disclosure by the Recipient of the
Disclosing Party’s Confidential Information to the extent that:

 

(a)        such Confidential Information has been placed in the
public domain other than through the fault of the Recipient or a person that
was provided with the information by the Recipient;

(b)       such Confidential Information has been or is
subsequently independently developed by the Recipient or its Affiliates without
access to the Disclosing Party’s Confidential Information;

(c)        the Disclosing Party has approved in writing the
particular use or disclosure of the Confidential Information;

(d)       such Confidential Information is already known by the
Recipient without an obligation of confidentiality; or

(e)        such Confidential Information has been or will be
independently or rightfully received from a Third Party without any obligation
of confidentiality.

 

16.5.2         Nothing in this Agreement
shall prevent the Recipient from disclosing any of the Disclosing Party’s
Confidential Information where the disclosure is expressly required by Law or
otherwise by any relevant stock exchange, governmental or regulatory authority
or court entitled by Law to disclosure of the same, provided that the
Recipient:

 

(a)       uses commercially reasonable efforts to minimize any
such disclosure or to assist the Disclosing Party to prevent or restrict the
disclosure;

(b)       gives the Disclosing Party prompt notice of such
requirement to disclose to enable the Disclosing Party to seek a protective
order or other appropriate relief; and

(c)        uses commercially reasonable efforts to require the
Recipient of such Confidential Information to preserve the confidential nature
of the Confidential Information once disclosed.

 

16.6        Period of Confidentiality

 

The obligations with respect
to Confidential Information disclosed under this Agreement shall survive
Termination of this Agreement and continue for as long as such information
remains confidential.

 

46

16.7        Returning Material, Data and Information

 

Upon Textron’s request, and,
in any event, on expiration or Termination of this Agreement, CSC shall
promptly return to Textron all or any specified part of Textron’s Confidential
Information and all physical and written records containing Textron’s
Confidential Information, and all documentation relating to or concerning
Textron’s Confidential Information or, if requested by Textron, destroy or
delete in the manner specified by Textron and promptly certify to Textron in
writing that CSC has done so.

 

17.          REPRESENTATIONS,
WARRANTIES AND COVENANTS

 

17.1        Representations, Warranties and Covenants by CSC

 

17.1.1         CSC represents and warrants to
Textron that:

 

(a)       CSC’s execution, delivery and performance of this
Agreement shall not:

 

(i)        constitute
a violation of any applicable Laws, or of any judgment, order or decree of any
court or governmental agency to which CSC is a party or by which CSC is bound;

(ii)       constitute a violation, breach or default under any contract by which
CSC or any of its assets (whether tangible or intangible) are bound (whether by
charge, pledge, lien or otherwise); or

(iii)      result in the termination, cancellation or acceleration (whether after
the giving of notice, lapse of time, or both) of any material contract by which
CSC or any of its material assets (whether tangible or intangible) are bound
(whether by charge, pledge, lien or otherwise);

 

(b)       CSC has the requisite power, capacity and authority to
enter into this Agreement and to carry out CSC’s obligations contemplated
herein;

 

(c)       there is no proceeding pending or, to the knowledge of
CSC, threatened which challenges or may have a material adverse affect on this
Agreement or on the ability of CSC to carry out its obligations under this Agreement;

 

(d)       CSC is not insolvent or unable to pay its debts as
they become due, no order has been made or petition presented or resolution
passed for its winding up or liquidation and no receiver or trustee has been
appointed by any person or court of its business or assets or any part thereof,
nor has any equivalent event taken place;

 

(e)       CSC does not have any commitments to Third Parties
that will conflict in any material way with CSC’s obligations under this
Agreement;

 

(f)        CSC has not violated any applicable Laws or Textron
policies of which CSC is aware regarding the offering of inducements in
connection with this Agreement; and

 

(g)       the Service Charges were independently established by
CSC and proposed to Textron without collusion with any Third Party or any
employee or representative of Textron.

 

Each of the above shall be
construed as a separate warranty or representation on behalf of CSC and shall
not be limited or restricted by reference to, or inference from, the terms of
any other 

 

47

 

warranty or representation or
any other terms of this Agreement, and CSC acknowledges and agrees that its
compliance with any or all of the warranties and representations contained in
this Section 17.1 shall not of itself constitute performance of any of CSC’s
other obligations under this Agreement.

 

17.1.2         CSC covenants that:

 

(a)        CSC will, at its own cost, (i)
comply with CSC Laws related to export and import, including, without
limitation, ITAR, EAR and OFAC and (ii) adhere to any policies and procedures
of Textron or any Service Recipient that have been implemented and disclosed to
CSC prior to the applicable Handover Date, for purposes of enabling Textron and
the Service Recipients to comply, or to facilitate compliance by Textron and
the Service Recipients, with any Textron Laws related to export and import,
including, without limitation, ITAR, EAR and OFAC.  The completion and implementation of those
policies and procedures existing as of the applicable Handover Date and not
fully implemented shall be at no additional cost to Textron, provided that
there is no incremental cost to CSC and the implementation would have been a
continuation (in terms of both nature and time expended) of the normal and
regular job functions of In-Scope Employees. 
In all other instances, including any such completion and implementation
and any modifications to the Services that Textron may request in order to
enable Textron or a Service Recipient to comply, or to facilitate compliance by
Textron or a Service Recipient, with any Textron Laws related to export and
import, including, without limitation, ITAR, EAR and OFAC, existing as of the
Signature Date or becoming effective thereafter, the implementation shall be a
Scope Change subject to the Change Control Procedure.  Except as expressly set forth herein, Textron
will comply at its own cost with Textron Laws related to export and import,
including, without limitation, ITAR, EAR and OFAC existing as of the signature
date or becoming effective thereafter.

 

(b)       CSC acknowledges that the export control regulations
of the United States and other countries in which certain Textron Facilities
specifically identified by Textron to CSC are located may limit access to
certain Textron Data residing on the computer systems of such Textron
Facilities without appropriate government licenses or other approvals, and in
such case CSC will not allow access to such Textron Data to anyone other than
individuals who meet the requirements that have been implemented and disclosed to CSC prior to
the applicable Handover Date by Textron or the applicable Service
Recipients prior to the applicable Handover Date. The completion and implementation of those
requirements existing as of the applicable Handover Date and not fully
implemented shall be at no additional cost to Textron, provided that there is
no incremental cost to CSC and the implementation would have been a
continuation (in terms of both nature and time expended) of the normal and
regular job functions of In-Scope Employees. 
In all other instances, including compliance with changes to such
requirements from time to time, compliance shall be a Scope Change subject to the Change
Control Procedures.

 

(c)       CSC shall be
responsible for obtaining any necessary export licenses and permissions for any CSC
data, goods, or software that CSC exports from any country where such data is
located.  CSC shall notify the Textron
Facility point of contact prior to (i) any export by CSC of Textron Data,
Software or goods from any country where such data, software or goods are
located, (ii) the 

 

48

 

provision
of Services by CSC Personnel from outside the United States, or (iii) the
transmittal, transfer, shipment or discussion of Textron Data, Software or
goods by CSC to or with a citizen of a country other than the country where
such Textron Data, Software or goods are located, whether within the United
States or outside.  Textron shall be
responsible for obtaining any required export licenses or permissions prior to
shipment, transfer, shipment or discussion. 
CSC shall not make or permit any shipment of Textron Data, Software or
goods outside the country where they are located without prior written
authorization from Textron or the applicable Service Recipient.

 

(d)       Textron shall be responsible
for obtaining any required export licenses or permissions prior to transmittal,
transfer, shipment or discussion of any Textron Data, goods or Software that
Textron exports from any country where such 
Textron Data, goods or Software is located.  CSC shall not make or permit any transmittal,
transfer or shipment of Textron Data, Software or goods outside the country
where they are located or to a citizen of a country other than the one where
they are located without prior written authorization from Textron or the
applicable Service Recipient. For the avoidance of doubt, Textron or the
applicable Service Recipient, and not CSC, shall be deemed to have made or
permitted the transmittal, transfer or shipment of Textron Data, Software or
goods if Textron or the Service Recipient directs the destination and CSC’s
role is to provide the computing capacity, network, and other capabilities as
part of the Services.

 

(e)       In particular, CSC shall:

 

(i)        establish
and provide to Textron procedures to prevent technical
data residing on computer systems at certain Textron Facilities identified by Textron to CSC as having Textron Data
that is subject to the ITAR or that has an ECCN other
than EAR99 from being accessed by CSC Personnel other than individuals who meet
the requirements implemented by Textron or the applicable Service Recipient as
of the Handover Date as such procedures may be changed from time to time as a
Scope Change in accordance with the Change Control Procedures; and

(ii)       for purposes of this Section 17.1.2, be able at all times to identify
the nationality and status as a “U.S. Person” of all of CSC Personnel
performing Services that from time to time have access to Textron Data Software
or goods that are subject to ITAR, EAR and OFAC, and to provide written
certification with respect thereto to Textron from time to time upon Textron’s
request.

 

17.2        Representations and Warranties By Textron

 

Textron represents and
warrants to CSC as follows:

 

17.2.1         Textron’s execution, delivery
and performance of this Agreement shall not constitute a violation of any
applicable Laws, or of any judgment, order or decree of any court or
governmental agency to which Textron is a party or by which Textron is bound
or, subject to performance by CSC of its obligation under Section 8.6,
constitute a violation, breach or default under any contract by which Textron
or any of its assets (whether tangible or intangible) are bound (whether by
charge, pledge, lien or otherwise); or result in the termination, cancellation
or acceleration (whether after the giving of notice, lapse of time, or both) of
any material contract by which Textron or 

 

49

 

any of its material assets (whether tangible or intangible) are bound
(whether by charge, pledge, lien or otherwise);

 

17.2.2         Textron has the requisite
power, capacity and authority to enter into this Agreement and to carry out
Textron’s obligations contemplated herein;

 

17.2.3         no Textron Software or Textron
Material or their configurations, nor their use by CSC in the intended manner,
to the knowledge of Textron, infringe any Intellectual Property Right of any
Third Party;

 

17.2.4         to its knowledge, Textron, the
Service Recipients and their respective subcontractors are, as of the Signature
Date, in full compliance with all the Assigned Contracts, Managed Contracts and
Textron-Retained Leases; and

 

17.2.5         Except as Textron may inform
CSC from time to time, Textron has, and shall at all relevant times have, full
right and authority to grant the licenses to use Textron Software to CSC as set
forth in this Agreement.

 

Each of the above shall be
construed as a separate warranty or representation on behalf of Textron and
shall not be limited or restricted by reference to or inference from the terms
of any other warranty or representation or any other terms of this Agreement,
and Textron acknowledges and agrees that compliance by it with the warranties
and representations contained in this Section 17.2 (or any of them) shall
not of itself constitute performance of any of Textron’s other obligations
under this Agreement.

 

17.3        Compliance with Laws

 

17.3.1         Each Party shall perform its
obligations under this Agreement in a manner that complies with all applicable
Laws in relation to, or otherwise relevant to its obligations under, this
Agreement and shall promptly notify the other Party if it receives a written
allegation of non-compliance with any such Law by any person which relates to
its performance of such obligations.

 

17.3.2         CSC shall be responsible for
any governmental filings, notifications and registrations, and identifying and
procuring governmental permits, certificates, approvals and inspections as are
required of CSC to perform the Services and CSC’s other obligations under this
Agreement.

 

17.4        No Additional Representations and Warranties

 

17.4.1         The Materials, Equipment,
Software, Textron Facilities, Assigned Contracts, Textron Information and other
assets or resources to be transferred, licensed, provided or otherwise made
available by Textron to CSC under this Agreement (collectively, the “Textron
Assets”) shall be transferred, licensed, provided or otherwise made available
on an “as is, where is” basis, and CSC acknowledges and accepts that, to the
extent permitted by Law, no representation or warranty (whether express or
implied) is, has been or will be made or given, by or on behalf of Textron with
respect to:

 

(a)       the condition, state of repair, design, quality or
fitness for purpose of any of Textron Assets; or

 

(b)       the accuracy, completeness, currency, design,
suitability or efficacy of any of the Materials or Textron Information provided
by Textron.

 

50

 

17.4.2         EXCEPT AS OTHERWISE EXPRESSLY
SET FORTH IN THIS AGREEMENT, THERE ARE NO OTHER WARRANTIES OR CONDITIONS,
EXPRESS OR IMPLIED, AND ALL IMPLIED WARRANTIES OR CONDITIONS (INCLUDING ANY
IMPLIED WARRANTIES OR CONDITIONS OF FITNESS FOR A PARTICULAR USE,
MERCHANTABILITY OR NON-INFRINGEMENT) ARE HEREBY EXPRESSLY EXCLUDED.

 

18.          INDEMNITIES

 

18.1        Indemnity by CSC

 

CSC shall indemnify, defend
and hold harmless Textron, the Service Recipients, its and their Affiliates,
and each of their respective predecessors, successors and assigns, together
with the officers, directors and employees of any of them, from and against any
Losses arising from or in connection with any of the following:

 

18.1.1         any claim, demand, proceeding
or other action (each a “Claim”) by a Third Party that (a) the performance of
the Services, (b) or any part of the Infrastructure Systems, any CSC Material
or any CSC Software, (c) any Material or any other resource provided or used by
CSC or by any CSC Subcontractor or other third party on behalf of CSC in
performing the Services or any Work Product (excluding, subject to Section
18.1.2, any Textron Material and Textron Software), or (d) the possession, use,
Modification, reproduction or exploitation of any of the same by or on behalf
of Textron in the intended manner, actually or allegedly infringes a Third
Party’s Intellectual Property Rights or rights with respect to its confidential
information, provided that such Claim is not based on items or work provided
for or specified (if such specification cannot be met in a noninfringing
manner) by Textron, Textron’s Affiliates or its contractors, and that the
rights claimed to have been violated are recognized under the Laws applicable
to the use of the item as applying to CSC’s actions;

 

18.1.2         any Claim by a Third Party
that any Textron Software or Textron Material infringes such Third Party’s
Intellectual Property Rights if the claim is based on or attributable to the
fact that CSC has Modified, or has had Modified by a Third Party acting on
behalf of CSC, any of the Textron Software or Textron Material, or has used,
Modified, reproduced or exploited Textron Software or Textron Material in
violation of any term or condition that Textron has disclosed to CSC, provided
that such Claim is not based on items or work provided for or specified by
Textron, Textron’s Affiliates or its contractors, that the rights claimed to
have been violated are recognized under the Laws applicable to the use of the
item as applying to CSC’s actions;

 

18.1.3         any violation or alleged
violation of Law by CSC or by any CSC Subcontractor or by any other Third Party
acting on behalf of CSC;

 

18.1.4         any breach by CSC or by any
CSC Subcontractor of CSC’s confidentiality obligations under this Agreement;

 

18.1.5         Claims for loss or damage to
real or tangible personal property or any criminal claims caused by a wrongful,
willful or negligent act or omission of CSC or any CSC Subcontractor;

 

18.1.6         Claims for loss or damage
resulting from personal or bodily injury or death resulting from any act or
omission of CSC or any CSC Subcontractor;

 

51

 

18.1.7         any Claim by a Third Party
arising from any act or omission of CSC relating to the Managed Contracts, or
the Assigned Contracts, (cumulatively known for the purposes of this
Section 18.1.7 as the “Third Party Contracts”) or arising from an act or
omission by CSC in performing any of the obligations to be performed by CSC
relating to Rights of Use under Third Party Contracts, on or after the
applicable Handover Date, including, provided Textron has taken actions
required of it under this Agreement in relation thereto,  any Claim arising from the failure by CSC to
obtain a Required Consent or any Right of Use with respect to any Third Party
Contract;

 

18.1.8         any Claim under this Agreement
or otherwise in connection with the Services brought against a Service
Recipient or End User by any CSC Affiliate or CSC Subcontractor; provided,
however, that this obligation shall not prejudice CSC’s rights to bring such
Claim directly against Textron;

 

18.1.9         any Claim by a Third Party
arising after the applicable Handover Date from any act or omission of CSC
other nonpayment or past due payment relating to a Managed Contract; and

 

18.1.10       Claims by employees of CSC in
which such employee alleges that while employed by CSC, an employer-employee
relationship existed between Textron and such employee subsequent to the
applicable Handover Date and such claim arises from a failure of CSC to perform
such acts as are reasonably necessary to impart knowledge to the employee that
he or she is an employee of CSC.  CSC
shall not be responsible for any acts of Textron which give rise to a claim
that the employee is an employee of Textron.

 

18.2        Indemnity by Textron

 

Textron shall indemnify,
defend and hold harmless CSC, CSC’s Subcontractors and Affiliates, and each of
their respective predecessors, successors, and assigns, together with the
officers, directors and employees of any of them, from and against any Losses
arising from or in connection with any of the following:

 

18.2.1         Subject to Section 18.1.2, any
Claim by a Third Party that any Textron Software or Textron Material or
Textron-owned or -leased Equipment provided to or used or reproduced by or on
behalf of CSC under this Agreement in the intended manner infringes a Third
Party’s Intellectual Property Rights or right of that Third Party with respect
to its confidential information, unless such Claim is based on or attributable
to the fact that CSC or any other person seeking indemnity hereunder has
Modified the same, or has had the same Modified by a Third Party, provided that
such Claim is not based on items or work provided for or specified (if such
specification cannot be met in a noninfringing manner) by CSC or its
Subcontractors, and that the rights claimed to have been violated are
recognized under the Laws applicable to the use of the item as applying to
Textron’s actions;

 

18.2.2         any violation or alleged
violation of Law by Textron or a Service Recipient;

 

18.2.3         any breach by Textron or a
Service Recipient of its confidentiality obligations under this Agreement;

 

18.2.4         Claims for loss or damage to
real or tangible personal property caused by a wrongful, willful or negligent
act or omission of Textron or Service Recipient;

 

52

 

18.2.5         Claims for loss or damage
resulting from personal or bodily injury or death resulting from any act or
omission of Textron, a Service Recipient or an End User or any contractor of
Textron, a Service Recipient or an End User;

 

18.2.6         any Claim under this Agreement
or otherwise in connection with the Services brought against a CSC Affiliate or
a CSC Subcontractor by any Service Recipient or End User; provided, however,
that this obligation shall not prejudice Textron’s rights to bring such Claim
directly against CSC; and

 

18.2.7         any Claim by a Third Party
arising (a) prior to the applicable Handover Date from any act or omission of
Textron relating to the Assigned Contracts or Managed Contracts, or (b) after
the applicable Handover Date from any nonpayment or past due payment relating
to a Managed Contract.

 

18.3        Anticipation of Infringement

 

18.3.1         If any item (including any
Infrastructure Systems, Work Product, Material or Textron Data) prepared by CSC
or a CSC Affiliate as part of the Services becomes, or in CSC’s reasonable
opinion is likely to become, the subject of a Claim for which CSC has an
indemnification obligation related to infringement, CSC shall, at its own
expense and in addition to CSC’s obligation to indemnify and to the other
rights Textron may have under this Agreement, promptly either:

 

(a)        secure
the right for the item to continue to be used on terms which are acceptable to
Textron;

 

(b)       replace or
Modify the item to make it non-infringing if Section (a) cannot be
accomplished with commercially reasonable efforts, provided that any such
replacement or Modification shall not degrade the performance, functionality or
quality of the affected component of the Services; or

 

(c)        remove
the item from the Services if Sections (a) or (b) cannot be accomplished
with commercially reasonable efforts, in which event Textron shall have the
option to terminate such portion of the Services, or any Tower(s) of Services,
as are materially adversely affected thereby in accordance with Section 24.1,
without further obligation to CSC, or the Service Charges shall be equitably
reduced to reflect such removal and the effect thereof.

 

18.3.2         If any item (including any
Infrastructure Systems, Material or Textron Data) provided to CSC by Textron or
a Service Recipient becomes, or in the reasonable opinion of Textron or the
applicable Service Recipient is likely to become, the subject of a Claim for
which Textron has an indemnification obligation related to infringement, Textron
or the applicable Service Recipient shall, at its own expense and in addition
to Textron’s obligation to indemnify and to the other rights CSC may have under
this Agreement, promptly either:

 

(a)        secure
the right for the item to continue to be used on terms which are acceptable to
CSC;

 

(b)       replace or
Modify the item to make it non-infringing if Section 18.3.2(a) cannot be
accomplished with commercially reasonable efforts, provided that any such
replacement or Modification shall not increase CSC’s costs for performing the
Services; or

 

53

 

(c)        remove
the item from the Services if Sections 18.3.2(a) or (b) cannot be
accomplished with commercially reasonable efforts, in which event the Service
Charges shall be equitably adjusted to reflect such removal and the effect
thereof.

 

18.4        Enforcement of Indemnities

 

It is not necessary for a
Party to incur any expense or make any payment before enforcing a right of
indemnity conferred by this Agreement.

 

18.5        Indemnification Procedures

 

18.5.1         Each Party (the “Indemnified
Party”) shall notify the other Party (the “Indemnifying Party”) in detail in
writing (a “Notice of Claim”) promptly after it becomes aware of any event or
any Claim against it, which it believes may give rise to a claim for
indemnification under the provisions of Section 18.1 or Section 18.2 these
indemnity obligations (an “Indemnified Claim”), provided that a delay in
promptly notifying the Indemnifying Party shall not relieve the Indemnifying
Party of its obligations hereunder, except and to the extent that the
Indemnifying Party can demonstrate damages attributable to such failure.

 

18.5.2         Within [***] following receipt
of Notice of Claim from the Indemnified Party, but no later than [***] before
the date on which any response to legal process is due, the Indemnifying Party
shall notify the Indemnified Party in writing if the Indemnifying Party
acknowledges and unconditionally accepts its indemnification obligation and
elects to assume control of the defense and settlement of that Indemnified
Claim (a “Notice of Election”).

 

18.5.3         Provided that the Indemnifying
Party delivers a suitable Notice of Election within the specified period, the
Indemnifying Party shall be entitled, at own its expense, to control the
conduct, defense and settlement of any litigation and negotiations arising with
respect to the Indemnified Claim, subject to Section 18.5.8, and provided
that where there is an impact on the Indemnified Party, the Indemnifying Party
will consult with the Indemnified Party and will at all times keep the
Indemnified Party informed of all material matters.  The Indemnified Party shall be entitled to
participate and employ legal assistance in any such litigation or negotiations,
provided that unless the participation of the Indemnified Party was in response
to a request by the Indemnifying Party, the Indemnifying Party shall not be
liable to the Indemnified Party for any legal costs and expenses relating to
the Indemnified Claim incurred after the Indemnifying Party delivered a Notice
of Election in a timely manner.

 

18.5.4         At the request of the
Indemnifying Party, the Indemnified Party shall afford to the Indemnifying
Party reasonable assistance and documentation for the purpose of contesting any
Indemnified Claim, and act as or be joined as defendant in legal
proceedings.  The Indemnifying Party
shall reimburse the Indemnified Party for reasonable costs and expenses
(including reasonable attorneys’ fees and any disbursements and costs) incurred
in so doing.

 

18.5.5         If the Indemnifying Party does
not deliver a Notice of Election relating to the Indemnified Claim, or
otherwise fails to acknowledge and accept unconditionally its indemnification
obligation or to assume the defense of the Indemnified Claim within the
required notice period, or ceases to defend the Indemnified Claim, the
Indemnified Party shall have the right to defend the Indemnified Claim in such
manner as it may deem appropriate, at the cost and expense of the Indemnifying
Party, including payment 

 

54

 

of any judgment or award and the costs of settlement or compromise of
the Indemnified Claim.  The Indemnifying
Party shall promptly reimburse the Indemnified Party for all such costs and
expenses (including reasonable attorneys’ fees and any disbursements and costs
of investigation).

 

18.5.6         At the request of the
Indemnified Party, the Indemnifying Party shall assign or otherwise pass
through to the Indemnified Party, to the extent the Indemnifying Party is able,
the benefit of any indemnities given to the Indemnifying Party by third parties
which are applicable to the Indemnified Claim.

 

18.5.7         The Indemnified Party shall
not make any admissions (except where required by court order or governmental regulations),
which may be prejudicial to the defense or settlement of any Indemnified Claim,
without the prior written approval of the Indemnifying Party.

 

18.5.8         The Indemnifying Party shall
not cease to defend, compromise or settle any Indemnified Claim without the
Indemnified Party’s prior written consent, if such compromise or settlement:

 

(a)        would impose an injunction or other equitable relief
upon the Indemnified Party;

 

(b)       calls for an admission of liability or other statement
against the interests of the Indemnified Party; or

 

(c)        does not include the third party’s release of the
Indemnified Party from all liability relating to such Indemnified Claim.

 

18.5.9         In the event that an
Indemnifying Party is obliged to indemnify an Indemnified Party pursuant to
this Section 18, the Indemnifying Party shall, upon fulfillment of its
obligations with respect to the Indemnified Claim, including payment in full of
all amounts due pursuant to its indemnification obligations, be subrogated to
the rights of the Indemnified Party with respect to the Indemnified Claim.

 

18.6        Employee Indemnities

 

The Parties agree to be bound
by the indemnities set forth at Schedule E (Employees).

 

19.          LIMITATION OF
LIABILITY

 

19.1        Limitation of Liability

 

19.1.1         Subject to Section 19.1.3,
NOTWITHSTANDING ANY OTHER PROVISION OF THIS AGREEMENT, IN NO EVENT SHALL EITHER
PARTY, ITS AFFILIATES, SERVICE RECIPIENTS OR END USERS BE LIABLE TO THE OTHER
PARTY OR ITS AFFILIATES, SERVICE RECIPIENTS OR END USERS FOR ANY INDIRECT,
SPECIAL, INCIDENTAL, PUNITIVE, EXEMPLARY OR CONSEQUENTIAL DAMAGES WHATSOEVER
(INCLUDING, WITHOUT LIMITATION, DAMAGES FOR LOSS OF BUSINESS PROFITS, BUSINESS
INTERRUPTION, LOSS OF DATA OR OTHER PECUNIARY LOSS) WHETHER ARISING IN CONTRACT
OR TORT (INCLUDING NEGLIGENCE) ARISING OUT OF OR RELATED TO THIS AGREEMENT,
EVEN IF THE OFFENDING PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH
DAMAGES.

 

19.1.2         Subject to Section 19.1.3;

 

55

 

(a)        CSC’s and its Affiliates’ total liability to Textron
and its Affiliates for all claims, losses and liabilities 
under or in connection with the Services, the Agreement and the Local
Enabling Agreements, whether arising in contract, tort (including
negligence), misrepresentation (other than fraudulent misrepresentation),
breach of statutory duty or otherwise pursuant to this Agreement, shall be
limited, in the aggregate, to an amount equal to [***] Dollars ($[***]) United
States currency; and

 

(b)       Textron’s and its Affiliates’ total liability to CSC
and its Affiliates for all claims, losses and liabilities under or in connection with the
Services, the Agreement, and the Local Enabling Agreements, whether arising
in contract, tort (including negligence), misrepresentation (other than
fraudulent misrepresentation), breach of statutory duty or otherwise pursuant
to this Agreement (excluding the obligation to pay CSC the Service Charges
pursuant to Section 6.2), shall be limited, in the aggregate, to an amount
equal to [***] Dollars ($[***]) United States currency.

 

19.1.3         Nothing in this Agreement
shall be deemed to exclude or limit a Party’s liability with respect to:

 

(a)       death or personal or bodily injury arising as a result
of any act or omission of such Party or any of its contractors or Subcontractors;

 

(b)       any indemnity given such Party under the Agreement;

 

(c)       any breach such Party of:

 

(i)        its
obligations under this Agreement with respect to the other Party’s Intellectual
Property Rights or Confidential Information; or

(ii)       Section 17.3; or

 

(d)       losses occasioned by wrongful termination of this
Agreement, or abandonment of a material portion of the Services which is not
cured within [***] after written notice thereof given by Textron; provided,
however, that this Section shall not apply to a request for Services that are
not then being performed.

 

19.1.4         For purposes of this Section
19, the term “Affiliates” shall include, in the case of CSC, all CSC Affiliates, and,
in the case of Textron, all Affiliates, all Service Recipients and all End
Users, whether denominated as End Users, Permitted Users, Authorized Users or
otherwise.

 

20.          INSURANCE AND
RISK

 

20.1        Insurance Coverage

 

20.1.1         Without limitation to any
other term of this Agreement, for the Term, CSC shall take out and maintain, at
CSC’s own cost and expense, the following insurance coverage with a reputable
insurance company and on terms usual and customary to CSC’s business:

 

(a)       commercial general liability insurance including
product and public liability insurance for an insured amount of not less than
$[***] per occurrence and in the aggregate during any one insurance period;
limits may be provided by umbrella and/or excess liability policies

 

56

 

(b)       professional liability and errors and omissions
insurance for an insured amount of not less than $[***] per claim and in the
aggregate during any one insurance period; the policy will contain a
retroactive date no later than the Signature Date and if there is an
interruption in the retroactive date an extended reporting period will be
purchased according to the terms of the policy in force at the time of the
retroactive date interruption;

 

(c)       property insurance to cover CSC’s risk of loss under
Section 20.3;

 

(d)       employee dishonesty insurance and computer fraud
insurance for an insured amount of not less than $[***] per loss and in the
aggregate during any one insurance period;

 

(e)       employer’s liability and/or workers’ compensation as
required by Law;

 

(f)        business automobile liability covering vehicles that
CSC owns, hires or leases for an insured amount of not less than $[***] per
occurrence; limits may be provided by umbrella and/or excess liability
policies; and

 

(g)       any other insurance required to comply with any
applicable Law.

 

The above insurance coverage
(items a, b, d and e) shall be primary and non-contributory with regard to CSC’s
acts or omissions regardless of any insurance which may be carried by Textron
and shall be procured from insurance companies of recognized financial
responsibility with an A rating or better, as rated by the A.M. Best’s rating
guide for property and casualty insurance companies; provided, however, that
CSC shall not be required to change a company as a result of a drop in rating
after insurance has been procured until [***] after such drop in rating has
occurred and provided, further, that CSC may procure insurance from an
insurance company having a rating lower than A, as rated by the A.M. Best’s
rating guide for property and casualty insurance companies, with Textron’s
prior written consent for the specific insurance company.

 

20.1.2         This Section 20.1 shall
not be constructed as to constitute acceptance by Textron of any responsibility
for liability in excess of the insurance coverage contemplated herein.

 

20.1.3         If CSC fails or refuses to
obtain appropriate insurance cover as contemplated in this Section 20.1,
in addition to any other remedies available to Textron under this Agreement or
at Law, Textron may follow the procedures set forth in Section 23.

 

20.2        Terms of Insurance

 

CSC shall:

 

20.2.1         provide Textron with a
certificate of insurance evidencing that coverage and policy endorsements
required under this Agreement are maintained and containing a summary of the
key provisions (including, without limitation, the commencement and expiration
dates and the territorial limits) for each of the insurance policies set forth
in Section 20.1 within [***] following the Signature Date and, with
respect to renewals, within [***] of expiration of coverage;

 

20.2.2         note on each insurance policy
taken out to provide the coverage contemplated in Section 20.1 that the
insurer shall notify Textron in the event of any cancellation for nonpayment of
premium or any other reason by, or any adverse modification of the terms of
such insurance on the part of CSC or its insurers;

 

57

 

20.2.3         take out insurance policies
that are primary and without any right of contribution by Textron or any
insurance effected by Textron;

 

20.2.4         cause the CSC Subcontractors
to maintain insurance coverage commensurate with the scope of Services to be
performed by the CSC Subcontractor, naming CSC as an additional insured or loss
payee where relevant;

 

20.2.5         be solely responsible, in the
case of loss or damage or other event that requires notice or other action
under the terms of any insurance coverage specified in Section 20.1, to
take such action.  CSC shall provide
Textron with contemporaneous notice and with such other information as Textron
may request regarding the event if Textron is named as a party to the claim and
if the Textron is an additional insured under the relevant insurance policy;

 

20.2.6         comply with the insurance
policies taken out to provide the coverage contemplated in Section 20.1;

 

20.2.7         cause all insurance policies
contemplated under Sections 20.1.1(a), (c), (e) and (f) to include a waiver by
the insurer of its right to subrogation under such policies in favor of
Textron; and

 

20.2.8         cause Textron to be named as
loss payee under the insurance policies contemplated in Sections 20.1.1(c) and
(d) and as an additional insured under the insurance policies contemplated in
Section 20.1.1 (a) and (f).

 

20.3        Risk of Loss and Damage

 

CSC
shall be responsible for the risk of loss of, and physical damage to, any
Equipment and Software that is owned or leased by Textron or a Service
Recipient and is in the custody or control of CSC or the CSC Subcontractors and
used to provide the Services, except to the extent that any loss of, or damage
to, any such Equipment and Software is caused by a wrongful or negligent act or
omission of Textron, any of the Service Recipients or its or their respective
contractors or Personnel.  Textron shall be responsible for
the risk of loss of, and physical damage to, any Equipment and Software that is
owned or leased by CSC or a CSC Affiliate and is in the custody or control of
Textron, any of the Service Recipients or its or their respective contractors
or Personnel except to the extent that any loss of, or damage to, and such
Equipment and Software is caused by a wrongful or negligent act or omission of
CSC or the CSC Subcontractors.  Textron
shall provide property insurance to cover Textron’s risk of loss under this
Section 20.3.

 

21.          FORCE MAJEURE

 

21.1        Force Majeure Events

 

21.1.1         Subject to
Section 21.1.2, neither Party shall be liable for any breach, or delay in
performance, of its obligations under this Agreement if, and to the extent
that:

 

(a)       the breach or delay is directly caused by:

 

(i)        fire,
flood, earthquake or act of God;

(ii)       war, riot, rebellion, terrorism, civil disorder or revolution;

(iii)      epidemic or outbreak of disease;

(iv)      strikes, lockouts or labor disputes (but in each case, other than of the
non-performing Party’s employees); or

(v)       other
causes similar to the above that are beyond its reasonable control; and

 

58

 

(b)       such breach or delay:

 

(i)        is not
the fault of the non-performing Party; and

(ii)       could not have been prevented by the non-performing Party taking
reasonable precautions,

(iii)      (each a “Force Majeure Event”).

 

21.1.2         Upon the occurrence of a Force
Majeure Event, the non-performing Party shall:

 

(a)       immediately notify the other Party of the occurrence
of the Force Majeure Event, describing the circumstances causing such delay of
performance to a reasonable level of detail, and giving an estimate of when
performance will recommence; and

 

(b)       use commercially reasonable efforts to perform (or
recommence performing) its obligations as soon as, and to the extent, possible,
including through the use of alternative sources, workarounds, plans and, in
the case of CSC, complying with its obligations to perform disaster recovery
services as described in this Agreement.

 

21.2        Allocation of Resources

 

21.2.1         If a Force Majeure Event
causes CSC to allocate limited resources between CSC’s customers, CSC shall not
place Textron or any Service Recipient lower in priority to any other
similarly-affected customer.

 

21.2.2         CSC shall not redeploy or
reassign any person in a Key CSC Position to another customer account in the
event of a Force Majeure Event.

 

21.3        Subcontractors

 

The failure of any of the CSC
Subcontractors to perform any obligation owed to CSC shall only constitute a
Force Majeure Event with respect to CSC’s performance of its obligations under
this Agreement if, and to the extent that, the failure by the CSC Subcontractor
is directly caused by a Force Majeure Event.

 

21.4        Textron Option

 

21.4.1         If a Force Majeure Event
substantially prevents or delays performance of any of the Services, CSC shall
attempt to restore such Services or procure such Services from an alternative
source, as follows:

 

(a)       if the prevented or delayed Services are covered by a
disaster recovery plan, within the time, and to the extent, specified in an
applicable disaster recovery plan;

 

(b)       if the prevented or delayed Services are not covered
by a disaster recovery plan, but are reasonably identified to CSC in writing by
Textron as critical, within [***] after the Force Majeure event; or

 

(c)       for all other prevented or delayed Services,  within [***] after the Force Majeure event.

 

CSC shall be liable for
payment for Services procured from an alternate source for not less than [***]
and thereafter, at CSC’s election, Textron shall reimburse CSC for the amount
such Services; provided, however that for so long during the Term as CSC 

 

59

 

procures substitute Services,
Textron shall continue to pay CSC’s Service Charges for the Services.

 

21.4.2         To the extent that the Force
Majeure Event requires temporary or permanent replacement of a Textron Facility
or components of the Supported Infrastructure System that are located at a
Textron Facility, Textron shall be liable for payment of costs for procuring
such components from an alternative source.

 

21.4.3         If CSC fails to restore, or
procure from an alternative source, in accordance with Section 21.4.1, or fails
to maintain substituted Services, or requires Textron to reimburse CSC for any
substituted Services, for any Services that are prevented or delayed by a Force
Majeure occurrence, Textron may, at its option [***], (a) [***]; or (b) [***].

 

21.5        No Compensation

 

Except as provided in the
disaster recovery plan or Sections 21.4.1 and 21.4.3 above, CSC shall not have
the right to any additional payments from Textron as a result of any Force
Majeure Event or the performance of its obligations under this Section 21.

 

22.          DISPUTE
RESOLUTION AND CHOICE OF LAW

 

Any dispute between the Parties
arising out of or relating to this Agreement will be resolved as provided in
this Section 22 and Schedule K (Governance).

 

22.1        Informal Dispute Resolution

 

22.1.1         Subject to Section 22.1.2
and Section 22.4 below, the Parties will attempt to resolve disputes
between the Parties arising out of or relating to this Agreement using the
informal dispute resolution procedure as set forth in this Section 22.1
and Schedule K (Governance) prior to the initiation of the formal dispute
resolution procedures set forth in Section 22.4.

 

22.1.2         Nothing in this
Section 22.1 will, at any time while the informal dispute resolution or
alternative dispute resolution procedures described in Section 22.2 are in
progress or before or after they are invoked, restrict either Party’s freedom
to commence legal proceedings to preserve any legal right or remedy or to
protect its Confidential Information or its Intellectual Property Rights.

 

22.1.3         Subject to
Section 22.1.2, disputes that cannot be resolved by the Textron Program
Executive and the CSC Program Executive shall follow the procedures as set
forth below and in Schedule K (Governance). The Policy and Procedures Manual
will set forth any escalation procedures for disputes arising between the
Parties and will govern how the dispute is escalated to the Textron Program
Executive and the CSC Program Executive. Nothing set forth in the Policy and
Procedures Manual will supersede the provisions set forth in this Agreement nor
prevent either Party from escalating a dispute to the Textron Program Executive
and the CSC Program Executive, as applicable.

 

22.1.4         Upon the written request of a
Party, each Party will appoint a designated representative who does not devote
substantially all of his or her time to performance under this Agreement, whose
task it will be to meet with each other and with the appropriate
representatives of each Party, as set forth in Schedule K (Governance), for the
purpose of attempting to resolve such dispute.

 

60

 

22.1.5         The designated representatives
will hold an initial meeting within [***] of their appointment to attempt to
resolve the dispute and thereafter meet as often as the Parties reasonably deem
necessary in order to gather and furnish to the other all information with
respect to the matter in issue that the Parties believe to be appropriate and
germane in connection with its resolution. 
The designated  representatives
will discuss the dispute and attempt to resolve the dispute without
unreasonable delay and without the necessity of any formal proceeding.  If the unresolved dispute is having a
material effect on the Services, the Parties will use their respective best
efforts to reduce the elapsed time in reaching a resolution of the dispute.

 

22.1.6         During the course of
discussion, all reasonable requests made by either Party for non-privileged
information reasonably related to this Agreement will be honored in order that
each of the Parties may be fully advised of the other’s position.

 

22.1.7         Each Party will use all
commercially reasonable efforts to reach a negotiated resolution through the
above dispute resolution procedure. The specific format for such resolution
will be left to the reasonable discretion of the Parties, but may include the
preparation and submission of statements of fact or of position.

 

22.2        Alternative Dispute Resolution

 

22.2.1         If the dispute is not resolved
pursuant to Section 22.1, either Party may propose to the other in writing
that structured negotiations are entered into with the assistance of a neutral
advisor or mediator (“Neutral Adviser”).

 

22.2.2         The Neutral Adviser will
either be agreed upon by the Parties or, in the absence of agreement within
[***] of the written proposal described in Section 22.2.1, appointed by the
American Arbitration Association (“AAA”).

 

22.2.3         Within [***] of the
appointment of the Neutral Adviser, the Parties will meet with him or her in
order to agree on a program for the exchange of any relevant information and
the structure to be adopted for the negotiations.

 

22.2.4         Unless concluded with a
written legally binding agreement, all negotiations connected with the dispute
will be conducted in confidence and without prejudice to the rights of the
Parties in any future proceedings.

 

22.2.5         The Parties may request the
Neutral Adviser to issue written recommendations and if the Neutral Adviser is
willing to make such recommendations and the Parties accept such
recommendations or otherwise reach agreement on the resolution of the dispute,
such agreement will be reduced to writing and, once it is signed by the
authorized representatives of each Party, will be binding on the Parties.

 

22.2.6         In the event that alternative
dispute resolution in accordance with this Section 22.2 is initiated and
the Parties fail to reach agreement in the structured negotiations within [***]
of the appointment of the Neutral Adviser or otherwise withdraw from the
structured negotiations, then any dispute or difference between them may be
referred to the courts in accordance with Section 22.3 or
Section 22.4.

 

22.2.7         Unless agreed otherwise by the
Parties, each Party will bear its own costs and expenses associated with
participating in the dispute resolution process and any Third Party costs,
including fees payable to the Neutral Adviser and in relation to the hiring of
a venue, will be split equally between the Parties.

 

61

 

22.3        Special Procedure following a Notice of Termination

 

If a Party has delivered a
notice of termination of this Agreement, the chief executive officer (or his or
her designee) of each Party shall meet within [***] after the date of such
delivery for the purpose of defining the scope of the dispute, if any, that may
be referred to formal dispute resolution. 
Such chief executive officers (or designees) may include as attendees at
such meeting a reasonable number of business managers and/or legal or other
advisors as he or she requires to assist in the purpose of such meeting.

 

22.4        Formal Dispute Resolution

 

22.4.1         In the event that the Parties
are unable to resolve a dispute by the application of the informal and/or
alternative dispute resolution procedures as set forth in and in accordance
with Section 22.1 and Section 22.2 respectively or the provisions of
Section 22.1.1 apply, either Party may elect to seek recourse through the
state and federal courts located in the State of Delaware which will have
exclusive jurisdiction with respect to any such disputes provided that no
exclusivity as to jurisdiction will apply with respect to:

 

(a)       a Party seeking equitable, injunctive or other similar
relief;

 

(b)       enforcement or other similar proceedings in any court
of competent jurisdiction; or

 

(c)       an action commenced by a Third Party or in which
Third-Party joinder is necessary or desirable and the Third Party is not
amenable to the exclusive jurisdiction of the courts located in the State of
Delaware.

 

22.4.2         Nothing will prevent a Party
from at any time commencing court proceedings relating to any dispute arising
from this Agreement after having notified the other Party in writing of its
intention to withdraw from a dispute resolution process set forth in
Sections 22.1 or 22.2.

 

22.5        Equitable Relief

 

Each Party may be entitled to
equitable relief against the other Party (in addition to any other rights
available under this Agreement or applicable Laws) for any breaches by the
other Party of its obligations under this Agreement.

 

22.6        Continued Performance

 

The Parties agree to continue,
without interruption, to honor their ongoing obligations, if any, under this
Agreement, including but not limited to performance of Services and payment of
amounts that are required to be paid. 
The Parties shall use good faith efforts and due diligence to expedite
the final resolution of any dispute.

 

22.7        Governing Law

 

The construction, performance
and validity of this Agreement shall be governed by the law of the State of
Delaware, without reference to that state’s provisions regarding choice of law.

 

22.8        Waiver of Right to Trial by Jury

 

Each Party hereby waives its
right to trial by jury for purposes of resolution of any dispute in accordance
with Section 22.4 or 22.5.

 

62

 

23.          STEP-IN RIGHTS

 

If a breach by CSC of this
Agreement substantially prevents or delays performance of the Services
necessary for the performance of a Textron function reasonably identified by
Textron as critical and the applicable Services are nor restored by the later
of the time specified in the disaster recovery plan for restoration of such
function(s) or if such functions are not covered by a disaster recovery plan
for more than [***], then without limiting any other rights of Textron (whether
in Law or under the Agreement), Textron may at its option:

 

23.1.1         [***]; or

 

23.1.2         [***]; or

 

23.1.3         [***].

 

24.          TERMINATION

 

24.1        Termination for Cause or Insolvency by Textron

 

24.1.1         Without prejudice to any other
rights or remedies it may have, Textron, by giving written notice to CSC, may
terminate this Agreement, in whole or in part, as of the date specified in the
notice of termination (as the same may be amended in accordance with
Section 24.5), without further liability to CSC, if any of the following
circumstances occur or exist:

 

(a)       CSC
commits a material breach of this Agreement, which breach is not cured within [***] after written notice of the breach from Textron
to CSC, if reasonably capable of being cured in such time, and if not then
cured within [***] after written
notice of the breach from Textron to CSC so long as CSC makes continuous,
diligent efforts to cure such breach throughout the extended cure period;

 

(b)       CSC
commits a material breach of this Agreement or a Tower Services Agreement which
is not capable of being cured; or

 

(c)        CSC
commits repeated breaches of CSC’s obligations under this Agreement or a Tower
Services Agreement (whether of the same or different obligations and regardless
of whether these breaches are cured), the cumulative effect of which is a
material breach of this Agreement or a Tower Services Agreement.

 

24.1.2         Without prejudice to any of
the rights or remedies it may have, Textron, by giving written notice to CSC,
may terminate this Agreement, as of the date specified in the notice of
termination (as the same may be amended in accordance with Section 24.5)
if:

 

(a)       A
voluntary or involuntary petition is filed for protection of CSC under the
United States Bankruptcy Code and is not dismissed within [***] after filing;

 

(b)       CSC
enters into an assignment for the benefit of creditors;

 

(c)       is the
subject of a voluntary or involuntary petition or proceeding for CSC’s
liquidation or winding up, which petition, if involuntary, is not dismissed
within [***]; or

 

(d)       if a
receiver, administrator, examiner, liquidator, trustee or similar officer is
appointed for CSC or for substantially all of CSC’s assets or business and such
appointed officer is not discharged with [***] of such appointment.

 

63

 

24.1.3         If this Agreement is
terminated in part pursuant to Section 24.1.1, the Service Charges shall be
equitably adjusted with effect from the Termination Date to reflect the
terminated Services; provided, however, that notwithstanding anything to the
contrary in the Agreement, Resource Unit prices shall not be adjusted in
connection with terminated Services.

 

24.2        Termination for Convenience by Textron

 

24.2.1         Textron, by giving at least
[***] written notice to CSC, may terminate this Agreement, or  any one or more of the Tower Services
Agreements, for convenience, as of the date specified in the notice of
termination (as the same may be amended in accordance with Section 24.5).

 

24.2.2         If Textron terminates this
Agreement or part of the Services pursuant to Section 24.2.1:

 

(a)        Textron shall comply with the applicable termination
provisions set forth in Section 12 of Schedule D (Pricing); and

 

(b)       Textron’s total liability to CSC arising from such
Termination shall be limited to compliance with Section (a).  If a purported Termination of all or part of
this Agreement by Textron for cause by Textron under Section 24.1 is
determined by a court of competent jurisdiction not properly to be a
Termination for cause or Termination for change of control, then such
Termination shall be deemed to be a Termination for convenience for the purpose
of Section 24.2.

 

24.3        Termination by Textron for Change of Control of CSC

 

24.3.1         Textron, by giving written
notice to CSC, may terminate this Agreement as of the date specified in the
notice of termination (as the same may be amended in accordance with
Section 24.5) in the event of a Change of Control of CSC; provided,
however, that such right of termination shall only be exercisable by Textron
giving notice of such termination within [***] of the completion by CSC of the
transaction (or in the case of a series of related transactions, the final
transaction) constituting the Change of Control.  Notwithstanding any other provision of this
Agreement, CSC shall provide prompt notice to Textron in the event of a Change
of Control of CSC, and in such event, the [***] period during which Textron has
a right to exercise termination in accordance with this Section 24.3.1
shall not commence until receipt of such notice from CSC.  If Textron terminates this Agreement pursuant
to Section 24.3.1, Textron shall comply with the applicable termination
provisions in Section 12 of Schedule D (Pricing).

 

24.3.2         Textron’s total liability
arising from Textron terminating this Agreement in accordance with this
Section 24.3 shall be limited to the amount payable in accordance with
Section 24.3.1.

 

24.4        Termination by CSC for Non-Payment

 

24.4.1         Subject to Section 24.4.2
below, CSC, by giving written notice to Textron, may terminate the Agreement as
of the date specified in the notice of termination, which date shall not fall
before the expiration of the [***] period described in Section 24.4.2
below, if:

 

(a)       Textron fails to pay any undisputed Service Charges or
Pass-Through Expenses (to the extent that such Pass-Through Expenses have been
paid by CSC) when 

 

64

 

due with respect to the
Agreement which exceed in aggregate [***] Dollars ($[***]), or

 

(b)       withholds any amount in excess of the total amount
that Textron is entitled to withhold in accordance with Section 6.8 in
connection with disputed payments or makes any other deduction, withholding or
setoff not permitted by Section 6.8.

 

24.4.2         CSC shall not terminate this
Agreement in accordance with Section 24.4.1 above unless CSC has given
Textron:

 

(a)       [***] of notice of Textron’s failure to make such
payment; and

 

(b)       a further written notice to Textron not less than
[***] prior to the date of termination.

 

24.4.3         CSC acknowledges and agrees
that Section 24.4.1 sets forth the only grounds upon which CSC may
terminate this Agreement.

 

24.5        Effective Date of Termination

 

Textron may extend the
Termination Date with respect to any notice of termination, other than a notice
of termination by CSC, given in accordance with Section 24.1 [***] upon no
less than [***] notice of such extension, provided that the total of such
extensions shall not exceed [***] from the date the notice of termination was
given.

 

24.6        Termination Charges

 

Any Termination by Textron in
accordance with this Section 24 shall not result in the payment of any
termination or other charges except as expressly provided in Section 12 of
Schedule D (Pricing).

 

24.7        Effect of Termination

 

Upon the expiration or
termination of this Agreement or any Tower Services Agreement, upon Textron’s
request, CSC shall:

 

24.7.1         provide to Textron (or to the
Successor Supplier) all of the following as related to the terminated Services:

 

(a)       Textron data, Textron Materials, Textron Confidential
Information, Work Product, Textron-owned or leased Equipment, Textron-owned or
licensed Software and any items provided by Textron to CSC that are capable of
being returned (“Returnable Material”); and

 

(b)       tapes and other removable computer-readable media
which contain any Returnable Material.

 

24.7.2         transfer to Textron (or to the
Successor Supplier) any Returnable Material that is contained on any
non-removable media, by a means agreed between Textron and CSC and, if they
cannot agree, by any reasonable means requested by Textron;

 

24.7.3         promptly provide to Textron
(or to the Successor Supplier) all details reasonably requested by Textron
relating to the assets used by CSC to provide the Services, subject to
customary obligations of confidentiality and limited use;

 

65

 

24.7.4         cooperate as with Textron to
assist Textron to identify the assets necessary for Textron or its Third Party
service provider to provide the terminated Services with continuity preserved;

 

24.7.5         use commercially reasonable
efforts to transfer, assign or sublicense to Textron, or the Successor
Supplier, as required by the Agreement, Third Party Software, and other Third
Party agreements used to provide the Services as of the date of such expiration
or termination, at Textron’s expense;

 

24.7.6         use commercially reasonable
efforts to transfer or assign to Textron, or the Successor Supplier, any
contracts applicable to the Services being provided to Textron as of the date
of such expiration or termination, including maintenance services and disaster
recovery services, subject to Textron’s approval of the terms and conditions
applicable to each such contract, at Textron’s expense;

 

24.7.7         introduce Textron to any
vendor whose contract cannot be transferred or assigned to Textron or the
Successor Supplier in accordance with Section 24.7.6 and facilitate Textron’s
efforts to enter into a contract with such vendor for applicable products
and/or services;

 

24.7.8         transfer to Textron, or the
Successor Supplier, the title to or benefit of all other tangible assets used
directly and exclusively by CSC to provide the Services, free and clear of all
liens, security interests or other encumbrances, at net book value, except as
to assets created or acquired at Textron’s expense, the transfer of which shall
be at no cost to Textron; and

 

24.7.9         take all actions reasonably
requested by Textron to effectuate the assignments, sublicensing and transfers
described in this Section.

 

Notwithstanding anything to
the contrary in this Section 24.7, CSC’s obligation to transfer to Textron
items other than Textron Data, derivative works based on Textron Software and
derivative works based on Textron Material shall be subject to the provisions
of Section 9.

 

24.8        Termination Assistance

 

24.8.1         Commencing on the earlier of:

 

(a)       [***] prior to expiration of this Agreement;

 

(b)       upon any notice of termination of this Agreement (or
any part of this Agreement), (including a termination notice given by CSC
pursuant to Section 24.4); or

 

(c)       on such earlier date as Textron may request,

 

and for a period of up to [***] following the Termination Date (the “Termination
Assistance Period”), CSC shall provide to Textron, or at Textron’s request to
the Successor Supplier, the reasonable termination assistance requested by
Textron to allow the Services to continue without interruption or adverse
effect and to facilitate the orderly transfer of the Services to Textron or the
Successor Supplier (“Termination Assistance”).

 

24.8.2         The purposes of Termination
Assistance shall include the following:

 

66

 

(a)       to enable Textron to obtain from a Successor Supplier,
or to provide for itself, services to substitute for or replace those provided
by CSC;

 

(b)       for CSC to assist Textron during the Termination
Assistance Period, so that Textron or its Successor Supplier can from the end
of the Termination Assistance Period perform in substitution for CSC:

 

(i)        all of
the Services in the event this Agreement is terminated in its entirety or the
Term expires;

(ii)       with respect to a partial termination of this Agreement, those Services
terminated;

(iii)      if Services are removed from scope, those Services; or

(iv)      to eliminate or minimize any disruption or deterioration of the
Services, or failure to achieve the Service Levels, during and as a result of
the handover of any of the terminated or removed Services.

 

24.8.3         Regardless of the reason for
termination, Termination Assistance shall include the services and assistance
set forth in Schedule H (Termination Assistance), and Textron shall pay CSC for
Termination Assistance services in accordance with Schedule H.

 

24.8.4         In the process of evaluating
whether to undertake or allow Termination or renewal of this Agreement, Textron
may obtain offers for performance of services similar to the Services following
Termination of this Agreement from one or more Successor Suppliers.  As and when reasonably requested by Textron
for use in this process, CSC shall provide to Textron such information and other
cooperation regarding performance of the Services as would be reasonably
necessary for a Third Party to prepare an informed, non-qualified offer for
such services, and for a Third Party not to be disadvantaged compared to CSC if
CSC were to be invited by Textron to submit a proposal.  CSC’s support in this respect shall include
providing information regarding Infrastructure Systems, staffing, and other
matters described in Schedule I.A (Transition Plan and Milestones) that is
similar to the kinds of information provided to CSC by Textron prior to the
Handover Date(s), as applicable to this Section 24.8.4, provided CSC shall
not be required to provide proprietary information to CSC Competitor.

 

24.8.5         To the extent that CSC is
providing Termination Assistance services after the Termination Date, Textron
shall pay for such Termination Assistance services at the rates for Projects
set forth in Schedule D (Pricing).

 

24.9        Equitable Remedies

 

CSC acknowledges that in the
event it breaches (or attempts or threatens to breach) its obligation to provide
Termination Assistance to Textron as provided in Section 24.8, provided
customer is currently paying all charges due under this Agreement, Textron may
be irreparably harmed.  In such a
circumstance, Textron may proceed directly to court.  If a court of competent jurisdiction finds
that CSC has breached (or attempted or threatened to breach) any such
obligations, CSC agrees that without any additional findings of irreparable
injury, or other conditions to injunctive relief, CSC shall not oppose the entry
of an appropriate order compelling performance by CSC and restraining CSC from
any further breaches (or attempted or threatened breaches).

 

24.10      Accrued Rights

 

Termination or expiration of
this Agreement shall not affect any accrued rights of either Party.

 

67

 

24.11      Survival

 

The following Sections shall
survive the Termination or expiration of this Agreement:  1, 6, 7.5, 9, 11.8, 15.6, 16, 18, 19, 22,
24.5, 24.11 and 25 and any other provision which by its nature should survive
termination.

 

25.          GENERAL

 

25.1        Non-Solicitation of Employees

 

Subject to Paragraph 3 of
Schedule E (Employees), during the Term and for a period of [***] after
the Termination Date of the Agreement (except in the event of Termination by
Textron in accordance with Section 24.1), neither Party shall directly or
indirectly solicit or attempt to solicit, without the prior written consent of
the other Party, (i) in the case of Textron, CSC employees employed or
engaged in the provision of the Services at the date of such solicitation or
attempted solicitation or who have been so employed or engaged during the
preceding [***], and (ii) in the case of CSC, Textron employees employed
or engaged in the provision of its information systems at the date of such
solicitation or attempted solicitation or who have been so employed or engaged
during the preceding [***].  For the
purposes of this Section, ‘solicit’ means an approach by a Party or a Third
Party on its behalf to an individual with a view to employ or engage or procure
the employment or engagement of such person as an employee, director, officer
or independent contractor or consultant, other than by way of general
advertising.

 

25.2        Public Statement

 

25.2.1         Subject to Sections 25.2.2 and
25.2.3, CSC shall:

 

(a)       submit to Textron any advertising, written sales
promotions, press releases, public announcements and other promotional,
marketing or publicity material relating to this Agreement in which Textron’s
name, corporate logo or trademark is mentioned or which contains language from
which the connection of said name, logo or trademark may be inferred or implied
(“Publicity Material”);

 

(b)       not publish or use (or authorize the publication or
use of) any Publicity Material without Textron’s prior written consent, which
may be granted or withheld in Textron’s sole discretion; and

 

(c)       coordinate with Textron any press releases or public
announcement that it makes in relation to this Agreement.

 

25.2.2         Notwithstanding
Section 25.2.1, CSC may use Textron’s name for the purposes of internal
announcements within its organization, or in accordance with
Section 16.5.2.

 

25.2.3         Any Publicity Material used by
CSC shall make clear that Textron does not endorse CSC or its provision of the
Services and any description of the Services in such Publicity Material shall
be in general terms only.

 

25.3        Notices

 

25.3.1         Notices given under this
Agreement shall be:

 

(a)       in writing in the English language;

 

(b)       addressed to the attention of Textron Program Executive
or CSC Program Executive, as the case may be at the address of the other Party
specified in the 

 

68

 

preamble of this Agreement as the same may be altered by notice given in
accordance with this Section 25.3; and

 

(c)        delivered or sent in the manner set forth in
Section 25.3.2.

 

25.3.2         A notice given in accordance
with Section 25.3.1 shall deemed to be received:

 

(a)       if delivered to the Recipient’s address during normal
business hours, on the date of delivery;

 

(b)       if sent by prepaid registered mail, return receipt
requested, on the date of delivery indicated on the receipt; or

 

(c)       if sent by an express courier with a reliable system
for tracking delivery, on the date of delivery to the Recipient.

 

25.4        Relationship of Parties

 

25.4.1         CSC, in furnishing the
Services, will be acting as an independent contractor.  Nothing in this Agreement shall create any
relationship of agent and principal, partnership, or employer and employee
between the Parties or between one of the Parties and the other Party’s
employees.

 

25.4.2         Nothing in this Agreement
shall give either Party any authority to act or make representations or
commitments on behalf of the other Party or to create any contractual liability
to a Third Party on behalf of the other Party.

 

25.5        No
Security

 

CSC shall not give or purport
to give any security interest in any of its rights to receive payment from
Textron under this Agreement without Textron’s prior written consent.

 

25.6        Waivers, Consents and Approval

 

25.6.1         The failure of either Party to
insist upon strict performance of any provision of this Agreement, or the delay
or failure of either Party to exercise any right to which it is entitled
hereunder, shall not constitute:

 

(a)       a waiver or diminution of that right or any other
right hereunder; or

 

(b)       a waiver with respect to any subsequent breach by the
other Party.

 

25.6.2         A waiver by either Party of
any of the terms of this Agreement shall not be effective unless and to the
extent such waiver is expressly stated in writing and executed by the duly
authorized representative of such Party.

 

25.6.3         The waiver by either Party of
a breach or default of any of the provisions of this Agreement by the other
Party shall not be construed as a waiver with respect to any subsequent breach
of the same or other provisions, unless expressly stated by the waiving Party
in writing and then only to the extent of such writing.

 

25.6.4         Any written consent given by a
Party under this Agreement shall not relieve the other Party from
responsibility for complying with the requirements of this Agreement, nor shall
such consent be construed as a waiver of any rights under this Agreement,
except as, and to the extent, expressly so provided in such written consent.

 

69

 

25.6.5         Except where expressly
provided in this Agreement, where agreement, approval, acceptance, consent, or
similar action by either Party is required under this Agreement, such action
shall not be unreasonably delayed, conditioned or withheld.

 

25.7        Entire Agreement

 

25.7.1         This Agreement, together with
all Appendices, Schedules and Exhibits hereto, the Tower Services Agreements
and the Local Enabling Agreements, together with all Appendices, Schedules and
Exhibits thereto:

 

(a)       constitutes the entire agreement between the Parties
as to its subject matter; and

 

(b)       in relation to that subject matter, and in the absence
of fraud, supersedes any prior warranties, indemnities, undertakings,
conditions, understandings, commitments or agreements between the Parties,
whether oral, written or implied.

 

25.8        Amendments

 

No amendment or variation to
this Agreement shall be effective unless it is in writing and signed by a duly
authorized representative of each Party.

 

25.9        Counterparts

 

This Agreement may be executed
in counterparts, each of which shall be deemed to be an original but all of
which taken together shall constitute one single agreement between the Parties;
provided that no one Party shall be bound hereby unless and until it has
received a properly executed copy of this Agreement from the other Party.

 

25.10      Cumulative Rights

 

Except as otherwise expressly
provided herein, a right, power, remedy, entitlement or privilege given or
granted to a Party under this Agreement is cumulative with, without prejudice
to, and not exclusive of any other right, power, remedy, entitlement or
privilege granted or given under this Agreement or by Law and may be exercised
concurrently or separately.

 

25.11      Severability, etc.

 

25.11.1       If a provision of this
Agreement is reasonably capable of an interpretation which would make that
provision valid and enforceable and an alternative interpretation that would
make such provision void, illegal, invalid or otherwise unenforceable, then that
provision shall be interpreted, so far as is possible, to the extent necessary
to make the provision valid and enforceable.

 

25.11.2       Subject to
Section 25.11.1, if any provision of this Agreement is prohibited by law
or found by a court or authority of competent jurisdiction to be void, illegal,
invalid or otherwise unenforceable, such provision shall be severed and the
remainder of this Agreement shall continue in full force and effect to the
fullest extent permitted by Law.  The
Parties agree to negotiate in good faith in order to substitute for any invalid
or unenforceable provision a valid or enforceable provision which achieves to
the greatest extent possible the economic, legal and commercial objectives of
the invalid or unenforceable provision.

 

70

 

25.12      Costs

 

Each Party shall bear its own
legal and other costs and expenses of, and incidental to, the preparation,
negotiation, execution, completion and, if applicable, notification and/or
registration of this Agreement and of any related documents or
instruments.  CSC shall pay any stamp
duty payable on execution of this Agreement or any related documents or
instruments.

 

25.13      Third Party Rights

 

Except as expressly provided
in any provision that sets forth an express indemnification obligation, nothing
in this Agreement shall be deemed to grant any rights or benefits to any person
or entity other than the Parties and their respective permitted successors and
assigns (a “Third Party”) to enforce any provision hereof.

 

25.14      Further Assurances

 

The Parties shall, and shall
ensure that their contractors, Subcontractors and Personnel shall do all things
reasonably necessary, including executing any additional documents and
instruments, to give full effect to the terms and conditions of this Agreement.

 

25.15      Assignment

 

25.15.1       This Agreement shall be
binding on and inure to the benefit of the Parties and their respective
permitted successors and assigns.

 

25.15.2       This Agreement is personal to
CSC.  CSC shall not assign, novate or
otherwise transfer or dispose of any of CSC’s rights or obligations under this
Agreement without prior written consent of Textron, and any attempt by CSC to
assign, novate or otherwise transfer or dispose of CSC’s rights or obligations
in violation hereof shall be null and void as between the Parties, provided
that agreements for the provision of a portion of the Services by
Subcontractors or Affiliates shall not be deemed to violate the foregoing
constraints.

 

25.15.3       Textron may not assign,
novate, subcontract or otherwise dispose of and be released from any or all of
Textron’s rights and/or obligations under this Agreement except to an Affiliate
of Textron or any entity which acquires all or substantially all of the
business of Textron to which the affected Services relate or all or
substantially all of the assets of Textron or to any successor entity in a
merger or acquisition of Textron, provided that Textron’s assignee or successor
in title undertakes in writing to CSC to be bound by the obligations of Textron
under this Agreement.

 

25.15.4       Notwithstanding anything to
the contrary contained in this Agreement, either Party may also provide a copy
of this Agreement to a good-faith prospective assignee or successor in title,
provided that such assignee or successor in title is subject to a suitable
non-disclosure agreement containing obligations of confidentiality at least
equivalent to those contained in Section 16.

 

25.16      Interpretation

 

25.16.1       In this Agreement, unless the
contrary intention appears:

 

(a)        words suggesting the singular include the plural, and
vice versa;

 

(b)       words suggesting any gender include all other genders;

 

71

 

(c)        references to a person or entity include a company,
corporation, firm, unincorporated or incorporated association, or statutory
authority;

 

(d)       headings are for ease of reference only and shall not
affect the interpretation of this Agreement;

 

(e)        references to any schedule, exhibit, annex, agreement
or instrument are to that schedule, exhibit, annex, agreement or instrument as
amended or replaced from time to time;

 

(f)        use of the word “including” (and its derivatives such
as “includes” or “include”) means “including, without limitation;”

 

(g)       a reference to any body is:

 

(i)        if that
body is replaced by another organization, deemed to refer to that organization;
and

(ii)       if that body ceases to exist, deemed to refer to the organization which
most nearly or substantially serves the same purposes as that body; and

 

(h)       references to any statute, enactment, order,
regulation or other similar instrument shall be construed as a reference to the
statute, enactment, order, regulation or instrument as amended by any
subsequent statute, enactment, order, regulation or instrument, or as contained
in any subsequent enactment thereof.

 

25.16.2       No rule of construction will
apply in the interpretation of any provision of this Agreement to the
disadvantage of one Party on the basis that such Party put forward or drafted such
provision.

 

25.17      Precedence

 

This Master Services
Agreement, the Schedules and Annexes thereto, the Attachments and Appendices
thereto, and the other appended documents are to be interpreted so that all of
the provisions are given as full effect as possible.  In the event of a conflict between the terms
of any documents that comprise the Agreement, the order of precedence shall be
first, the Master Services Agreement, second, any Schedule to the Master
Services Agreement or any Annex thereto; third, any Attachment or Appendix
thereto.  All of the terms of the Master
Services Agreement, the Schedules and the Annexes thereto shall apply to each
Tower Services Agreement except to the extent that a Tower Services Agreement
or any Appendix thereto expressly specifies that a particular term is intended
to supersede, modify or negate a term in the Master Services Agreement or a
Schedule or Appendix thereto. Notwithstanding the foregoing, in the event of a
conflict between the terms of (a) any documents that comprise the Agreement and (b)
any mutually agreed upon Resource
Unit Change Request, Systems Change Request or Scope Change Request, the
mutually agreed upon Resource Unit Change Request, Systems Change Request or
Scope Change Request shall prevail.

 

25.18      Conflicts of Interest

 

In providing the Services, CSC
shall use CSC’s best efforts not to do anything or knowingly or negligently
permit a situation to arise whereby a conflict may be created between the
interests of Textron and CSC.  CSC shall
not accept bribes, commissions or other improper financial inducements from any
suppliers or CSC Subcontractors in relation to the Services.

 

72

 

IN WITNESS WHEREOF, the Parties
hereto have entered into this Agreement as of the date first set forth above.

 

	
  TEXTRON INC.

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
	
   

  
	
  COMPUTER SCIENCES
  CORPORATION

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
				

 

73

 

SCHEDULE A

 

DEFINITIONS

 

 

SCHEDULE A

 

Definitions

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Actual CPI Increase

  	
   

  	
  has the meaning set forth in Section 6(c)
  of Schedule D (Pricing).

  
	
   

  	
   

  	
   

  
	
  Actual RU Volume

  	
   

  	
  has the meaning set forth in Section 2.1
  of Schedule D (Pricing).

  
	
   

  	
   

  	
   

  
	
  Ad Hoc Project

  	
   

  	
  has the meaning set forth in Section 17.2.1
  of Schedule B (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Adjustment Date

  	
   

  	
  has the meaning set forth in Section 6(c)
  of Schedule D (Pricing).

  
	
   

  	
   

  	
   

  
	
  Adverse Impact

  	
   

  	
  has the meaning set forth in Section 9.3
  of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Affiliate

  	
   

  	
  means, with respect to any entity, any
  other entity Controlling, Controlled by or under common Control with such
  entity.

  
	
   

  	
   

  	
   

  
	
  Agreement

  	
   

  	
  means the
  MSA and all Schedules, Annexes, Appendices, Attachments and Exhibits thereto.

  
	
   

  	
   

  	
   

  
	
  Applicable Service Charges

  	
   

  	
  mean those charges derived from multiplication of Resource Unit
  volumes used or consumed by Textron by the applicable Resource Unit prices,
  and excludes all other charges, including charges for transition and
  transformation, time and materials charges, and Pass-Through Expenses).

  
	
   

  	
   

  	
   

  
	
  Application
  Server

  	
   

  	
  means any
  Midrange computer whose primary purpose is to serve Tier 3 Software for which
  Textron has financial responsibility for the license, Tier 4 Software and
  Tier 5 Software.

  
	
   

  	
   

  	
   

  
	
  Assigned Contracts

  	
   

  	
  has the meaning set forth in
  Section 8.3.1 of the MSA, and any changes that may be agreed upon by the
  Parties in accordance with the Change Control Procedure.

  
	
   

  	
   

  	
   

  
	
  Audit

  	
   

  	
  has the
  meaning set forth in Section 15.1.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Baseline
  RU Volume or

  Baseline Usage Volume

  	
   

  	
  means
  the usage volume for each Resource Unit, set forth in Attachments 1C, 2C, 3C, 4C
  or 5C, that is denominated as such.

  
	
   

  	
   

  	
   

  
	
  Benchmarker

  	
   

  	
  has the
  meaning set forth in Section 5.7.2 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Black
  Belt

  	
   

  	
  means a
  person certified as a Six Sigma Black Belt.

  
	
   

  	
   

  	
   

  
	
  Business
  Taxes

  	
   

  	
  has the
  meaning set forth in Section 5.5.1(b) of the MSA.

  
	
   

  	
   

  	
   

  
	
  Business
  Unit

  	
   

  	
  means
  all or a portion of Textron or a Service Recipient or a group of Service Recipients,
  as designated by Textron from time-to-time.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Campus

  	
   

  	
  means any
  location within a twenty (20) mile radius of (a) a Textron or Service
  Recipient facility where full-time CSC managed Workstation support personnel
  are stationed or (b) a CSC Facility from which Workstation support
  Services are provided. Changes of designation of a location from Campus to
  Non-Campus must be coordinated with and approved by Textron.

  
	
   

  	
   

  	
   

  
	
  Cascading

  	
   

  	
  means any
  installation, de-installation, move or change to a single item of Equipment
  or a group of Equipment items that causes a requirement for change to another
  component of the Services, such as to another item of Equipment, Software,
  support documentation, a procedure in the applicable Policy and Procedures
  Manual or coordination with one or more Third Parties.

  
	
   

  	
   

  	
   

  
	
  Cause

  	
   

  	
  has the
  meaning set forth in Section 1.5 of Schedule E (Employees).

  
	
   

  	
   

  	
   

  
	
  Change

  	
   

  	
  has the
  meaning set forth in Section 5 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Change
  Control Procedures

  	
   

  	
  has
  the meaning set forth in Section 5 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Change
  of Control

  	
   

  	
  means with
  respect to either Party, Control of that Party is acquired by an entity that
  was not, prior to that acquisition, an Affiliate of the Party, by way of either
  a single transaction or series of related transactions.

  
	
   

  	
   

  	
   

  
	
  Change
  Request

  	
   

  	
  means
  any request for a Change.

  
	
   

  	
   

  	
   

  
	
  Claim

  	
   

  	
  has the
  meaning set forth in Section 18.1.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Completion
  Date

  	
   

  	
  has the
  meaning set forth in Section 3.6.9(a)(iii) of the MSA.

  
	
   

  	
   

  	
   

  
	
  Confidential Information

  	
   

  	
  means
  all information of a confidential nature, whether commercial, financial,
  technical or otherwise, whether or not disclosed by one Party to the other
  Party, which information may be contained in or discernible from any form
  whatsoever (including oral, documentary, magnetic, electronic, graphic or
  digitized form or by demonstration or observation), whether or not that
  information is marked or designated as confidential, whether created or
  otherwise arising prior to or during the Term, and including information
  belonging to or in respect of Textron, any other Service Recipient or CSC,
  any of their Affiliates and/or any of their customers or suppliers, which
  contains or relates to, including without limitation, research, development,
  trade secrets, know-how, ideas, concepts, formulae, processes, designs,
  specifications, past, present and prospective business, current and future
  products and services, internal management, information technology and
  infrastructure and requirements, finances, marketing plans and techniques,
  price lists and lists of, and information about, customers and employees, and
  information belonging to Third Parties in respect of which Textron, any
  Service Recipient or CSC or any of their Affiliates or any of their customers
  or suppliers owe obligations of confidence.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Contract
  Year

  	
   

  	
  means the
  period commencing on, and including, the Signature Date and ending on the
  anniversary of the first Handover Date and each immediately successive [***] period.

  
	
   

  	
   

  	
   

  
	
  Control
  or Controlled

  or Controlling

  	
   

  	
  means the
  possession, direct or indirect, of the power to direct or cause the direction
  of the management and policies of any entity or person, whether through the
  ownership of voting securities, by contract, or otherwise.

  
	
   

  	
   

  	
   

  
	
  Core
  Service Level

  	
   

  	
  means
  each Service Level designated as a “Core Service Level” in Annex B-2 to Schedule B
  (Cross-Functional Obligations), Annex K-2 to Schedule K (Governance) and
  Appendix B of each Tower Services Agreement.

  
	
   

  	
   

  	
   

  
	
  CSC

  	
   

  	
  has
  the meaning set forth in the preamble of the MSA.

  
	
   

  	
   

  	
   

  
	
  CSC
  Competitor

  	
   

  	
  means any
  company listed in Schedule L (Competitors) as it may be changed
  unilaterally by CSC from time to time upon written notice to Textron.

  
	
   

  	
   

  	
   

  
	
  CSC
  Facility

  	
   

  	
  means any
  physical Facility used by CSC or any CSC Affiliate to provide any portion of
  the Services.

  
	
   

  	
   

  	
   

  
	
  CSC
  Laws

  	
   

  	
  means (a)
  Laws applicable to CSC as a provider of information technology and other
  outsourcing services, and (b) Laws with which CSC would be required to comply
  without regard to CSC’s having entered into the Agreement with Textron,
  excluding any Laws with which CSC would not be required to comply but for a
  contractual obligation between CSC and a Third Party.

  
	
   

  	
   

  	
   

  
	
  CSC
  Material

  	
   

  	
  means
  Material owned by the CSC or its Affiliates (including Material in which the
  Intellectual Property Rights are owned by the CSC) which is used to provide,
  or which forms part of, the Services.

  
	
   

  	
   

  	
   

  
	
  CSC
  Personnel

  	
   

  	
  means
  employees (including for the avoidance of doubt all Transitioned Employees)
  of CSC and CSC Subcontractors assigned to perform the Services, or any part
  of the Services, pursuant to this Agreement.

  
	
   

  	
   

  	
   

  
	
  CSC Program Executive

  	
   

  	
  means
  the individual designated by the CSC to whom Textron shall communicate issues
  related to the Agreement as set forth in Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  CSC
  Software

  	
   

  	
  means
  any Software, the Intellectual Property Rights in which are owned by CSC or
  its Affiliates.

  
	
   

  	
   

  	
   

  
	
  CSC
  Subcontractor

  	
   

  	
  means
  any subcontractor or agent of CSC that provides any of the Services, as any
  part of the Services, to, or on behalf of, CSC, including the Material
  Subcontractors.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  CSC
  Wide Area

  Network or CSC WAN

  	
   

  	
  means
  the Equipment, Software, telecommunications facilities, lines, interconnect
  devices, wiring, cabling and fiber that are used to create, connect and
  transmit data, voice and video signals between a Textron location and CSC’s
  Data Center, and between and among CSC locations, as required for CSC to
  provide the Services. A WAN commences with the WAN Network interconnect
  Equipment at one Textron location (e.g., router, dial-up modem, dial backup
  Equipment) and ends with and includes the WAN Network interconnect Equipment
  (e.g., router, dial-up modem, dial backup Equipment) at the applicable CSC
  location. For voice and data circuits, a CSC WAN includes local access and
  interexchange and other long-haul circuits, whether or not provided by a
  Third Party and used to transport voice traffic and interconnect with the PSTN.

  
	
   

  	
   

  	
   

  
	
  Database
  Server

  	
   

  	
  has the
  meaning set forth in Appendix 2C to Attachment 2.

  
	
   

  	
   

  	
   

  
	
  Data Center

  	
   

  	
  means (a)
  before any applicable Transformation Completion Date, any Textron Facility
  referenced in Section I.B (Transformation Plans and Milestones), and (b) after any
  applicable Transformation Completion Date, in context, one or more of the
  data centers of CSC located in Norwich, Conn. and Chesterfield, England and
  the data centers of Textron located in Wichita, Kan., Hurst, Tex., and
  Providence, R.I and any data center that may be substituted for any of the
  foregoing data centers in accordance with the Change Control Procedures.

  
	
   

  	
   

  	
   

  
	
  Data
  Network

  	
   

  	
  means the
  Infrastructure Systems and other resources used to transport data associated
  with data applications, including computer interconnectivity, email, internet
  access and client server.

  
	
   

  	
   

  	
   

  
	
  Data
  Network Services

  	
   

  	
  means the
  Network Services as they relate to the Data Network.

  
	
   

  	
   

  	
   

  
	
  Data
  Protection Laws

  	
   

  	
  means
  all relevant data protection Laws, as applicable in each country in which CSC
  provides Services to Textron.

  
	
   

  	
   

  	
   

  
	
  Delaying
  Event

  	
   

  	
  has the
  meaning set forth in Section 3.6.10 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Disclosing
  Party

  	
   

  	
  has the
  meaning set forth in Section 16.1.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Equipment

  	
   

  	
  means all of the computer and telecommunications
  equipment, and the associated peripherals and connecting equipment, either
  owned or leased (whether by CSC, Textron or a Third Party), and used by CSC
  in the provision of the Services or used by Textron or any other Service
  Recipient. Equipment includes the following: (i) computer equipment and
  associated attachments, features, accessories, front-end processors, step
  controllers, Servers, and peripheral devices; (ii) telecommunications
  equipment, including private branch exchanges and associated peripherals,
  multiplexors, modems, network hubs, network bridges, network routers, and
  network switches; and Supported Devices.

  
	
   

  	
   

  	
   

  
	
  End-State Service

  Levels or SLA

  	
   

  	
  has the meaning set forth in Section 11.3
  of Schedule B.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  End User

  	
   

  	
  means an employee of (a)
  Textron, (b) a Service Recipient; (c) a contractor of Textron or a Service
  Recipient; or (d) any other individual authorized or permitted by Textron or
  a Service Recipient to utilize the Services.

  
	
   

  	
   

  	
   

  
	
  Europe
  or EU

  	
   

  	
  means any
  member country of the European Union and Switzerland and Norway.

  
	
   

  	
   

  	
   

  
	
  Event
  Survey

  	
   

  	
  has the
  meaning set forth in Section 12.1.2 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Executive
  Survey

  	
   

  	
  has the
  meaning set forth in Section 12.1.1(a) of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Existing
  Equipment

  	
   

  	
  means
  Equipment existing on the Signature Date and utilized by Textron or another
  Service Recipient, immediately prior to the Signature Date, in performing
  functions that form part of the Services. Existing Equipment includes Textron
  Owned Equipment, Textron Leased Equipment and the equipment located in
  facilities identified in Schedule C (Textron Facilities).

  
	
   

  	
   

  	
   

  
	
  Existing
  Equipment Leases

  	
   

  	
  means those
  lease agreements pursuant to which a Third Party is, immediately prior to the
  Signature Date, furnishing or providing the Existing Equipment to Textron or
  another Service Recipient. Existing Equipment Leases are identified as such
  in Schedule F (Existing Equipment and Software) as it may be changed in
  accordance with the applicable Change Control Procedure.

  
	
   

  	
   

  	
   

  
	
  Existing
  Interim Service Levels

  	
   

  	
  has
  the meaning set forth in Section 11.1.1 of Schedule B
  (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Extraordinary
  Event

  	
   

  	
  has the
  meaning set forth in Section 3.7.2 of the MSA.

  
	
   

  	
   

  	
   

  
	
  First
  Call Resolution

  	
   

  	
  has the
  meaning set forth in Section 3.3 of Appendix 5B to Attachment 5.

  
	
   

  	
   

  	
   

  
	
  Force
  Majeure Event

  	
   

  	
  has the
  meaning set forth in Section 21.1.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Formal
  Survey

  	
   

  	
  has the
  meaning set forth in Section 12.1.1 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  General
  Subsystem

  	
   

  	
  means any
  software code that provides service to users or to other subsystems or
  application code. “General Subsystems” comprise all executing programs that
  are not the result of an individual user logging on to the computer.

  
	
   

  	
   

  	
   

  
	
  General
  User Survey

  	
   

  	
  has the
  meaning set forth in Section 12.1.1(b) of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Global
  Network

  	
   

  	
  means
  interconnections between points spanning more than one continent.

  
	
   

  	
   

  	
   

  
	
  Handover
  Date

  	
   

  	
  means the
  date or dates on which the In-Scope Employees are transferred from Textron to
  CSC and the date(s) on which CSC commences performing the Services.

  
	
   

  	
   

  	
   

  
	
  Hard
  IMAC

  	
   

  	
  means an
  IMAC that requires physical presence on-site at the End-User office or
  Equipment location to complete the requested activity as further explained in
  connection with its use.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Hours
  of Operation

  	
   

  	
  means those
  hours of the day during which the facility is in normal operation as set
  forth in Schedule C (Service Recipients) for each location listed in Schedule C.
  Hours are expressed in the local time zone of each location listed.

  
	
   

  	
   

  	
   

  
	
  IMAC

  	
   

  	
  means
  install, move, add, and/or change.

  
	
   

  	
   

  	
   

  
	
  IMS

  	
   

  	
  means
  IBM’s transactional and hierarchical database management system for on-line
  operational and e-business applications and data and all IBM supported,
  un-supported, current, future and past releases of the product as well as all
  additional features and functions that are used by the IBM product as part of
  its operating environment.

  
	
   

  	
   

  	
   

  
	
  Impact
  Analysis

  	
   

  	
  means the
  analysis of the impact of any Change, as further described in Section 9
  of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Income
  Taxes

  	
   

  	
  has
  the meaning set forth in Section 5.5.1(c) of the MSA.

  
	
   

  	
   

  	
   

  
	
  Increased
  Impact

  Service Level or

  Increased Impact Level

  	
   

  	
  means
  the required quantitative level or degree of performance by CSC specified as
  the “Increased Impact Service Level” in the SLAs.

  
	
   

  	
   

  	
   

  
	
  Indemnified
  Claim

  	
   

  	
  has the
  meaning set forth in Section 18.5.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Indemnified
  Party

  	
   

  	
  has the
  meaning set forth in Section 18.5.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Indemnifying
  Party

  	
   

  	
  has the
  meaning set forth in Section 18.5.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Infrastructure
  Operations SubCommittee

  	
   

  	
  means the
  management committee formed pursuant to Schedule K (Governance) and
  identified therein as the “Infrastructure Operations SubCommittee.”

  
	
   

  	
   

  	
   

  
	
  Infrastructure
  Server

  	
   

  	
  means any
  Midrange computer whose primary purpose is to serve Tiers 1-2 Software and/or
  Tier 3 Software for which CSC has financial responsibility for the license.

  
	
   

  	
   

  	
   

  
	
  Infrastructure
  System(s)

  or Supported

  Infrastructure System(s)

  	
   

  	
  means all or
  any part of the Supported Networks, the Supported Equipment and the Supported
  Software, exclusive of Software in Tier 3 (other than that which CSC is
  financially responsible for the license), Tier 4 Software, Tier 5 Software
  and any other Software for which CSC is not financially responsible.

  
	
   

  	
   

  	
   

  
	
  In-Scope
  Employees

  	
   

  	
  means
  the individuals to whom CSC will offer employment under Section 1.1 of Schedule E.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Intellectual
  Property Rights

  	
   

  	
  means
  patents (including patent applications; amendments, and continuations,
  whether in whole or in part), registered designs, trademarks and service
  marks (whether registered or otherwise), trade names, trade secrets,
  copyrights, database rights, design rights, moral rights, and all other
  intellectual property rights, including in other jurisdictions, that grant
  similar rights as the foregoing, including those subsisting in inventions,
  drawings, performances, software, semiconductor topographies, improvements,
  discussions, business names, goodwill and the style of presentation of goods
  or services, and in applications for the protection thereof, throughout the
  world.

  
	
   

  	
   

  	
   

  
	
  Interim
  Service Levels

  	
   

  	
  means
  Existing Interim Service Levels and New Interim Service Levels.

  
	
   

  	
   

  	
   

  
	
  Key
  Textron Subcontracts

  	
   

  	
  has the
  meaning set forth in Section 11.2.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Key
  Deliverable

  	
   

  	
  means all or
  any of the specific items required to be provided by a Party under this
  Agreement and designated as key in any relevant project plan related to the
  deliverable, or otherwise material to the Services.

  
	
   

  	
   

  	
   

  
	
  Key
  In-Scope Contractors

  	
   

  	
  means the
  individuals identified in Annex E-3 to Schedule E (Employees);

  
	
   

  	
   

  	
   

  
	
  Key
  Subcontracts

  	
   

  	
  means
  the Key Textron Subcontracts and Key CSC Subcontracts listed at Schedule J
  (Key Subcontracts and Material Subcontractors);

  
	
   

  	
   

  	
   

  
	
  Key CSC
  Positions

  	
   

  	
  means the
  positions listed in Annex E-2 to Schedule E (Employees), as the same may
  be changed in accordance with Section 10.3 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Key CSC
  Subcontracts

  	
   

  	
  has the
  meaning set forth in Section 11.2.2 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Law

  	
   

  	
  means:

  
	
   

  	
   

  	
  (a)          any statute, regulation, by-law,
  ordinance or subordinate legislation in force from time to time to which a
  Party or its employees, agents, Affiliates sub-contractors is subject;

  
	
   

  	
   

  	
  (b)         the common law and the law of equity as
  applicable to the Parties from time to time;

  
	
   

  	
   

  	
  (c)          any binding court order, judgment or
  decree; 

  
	
   

  	
   

  	
  (d)         any applicable industry code, policy or
  standard enforceable by law; or

  
	
   

  	
   

  	
  (e)          any applicable direction, policy, rule or
  order that is binding on a Party and that is made or given by any regulatory
  body having jurisdiction over a Party or any of that Party’s assets,
  resources or business,

  
	
   

  	
   

  	
  in any
  jurisdiction that is applicable to this Agreement.

  
	
   

  	
   

  	
   

  
	
  Lease

  	
   

  	
  means
  a contract between Textron and a Third Party pursuant to which Textron has
  certain rights with respect to Equipment owned by a Third Party.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Legacy
  Software

  	
   

  	
  means all Software in use by Textron and/or any Service Recipient on
  the applicable Handover Date. Any Legacy Software, whether or not it is
  included in the Annexes to Schedule F, that meets the foregoing
  description shall nevertheless be treated as Legacy Software as provided for
  in Schedule B until, as part of Transformation and in accordance with
  the Change Control Procedure, such Legacy Software (i) is removed from use;
  or (ii) is added to one or more SOEs, or (c) becomes Non-SOE Software.

  
	
   

  	
   

  	
   

  
	
  Level 0
  Support

  	
   

  	
  means any
  automated service that allows the End User to resolve Service Problems or
  submit Service Requests without contacting a live Service Desk agent

  
	
   

  	
   

  	
   

  
	
  Level 1
  Support

  	
   

  	
  has the
  meaning given to it in Section 2, Appendix 5A to Attachment 5.

  
	
   

  	
   

  	
   

  
	
  Level 2
  Support

  	
   

  	
  means
  assistance with the use or operation of a component of the Infrastructure
  System which cannot be answered by reference to the applicable user
  documentation and requires assistance from the applicable vendor or other
  Third Party.

  
	
   

  	
   

  	
   

  
	
  Level 3
  Support

  	
   

  	
  means (a)
  correction of any Problem or other failure by one or more components of the
  Infrastructure System to operate in accordance with applicable specifications
  and (b) securing updates, upgrades, patches, releases and Problem resolutions
  that are generally provided to other similarly situated entities.

  
	
   

  	
   

  	
   

  
	
  Local
  Area Network or LAN

  	
   

  	
  means
  the Equipment, software, telecommunications facilities, lines, interconnect
  devices (e.g., bridges, routers, hubs, switches, gateways), wiring, cabling
  and fiber that are used to create, connect and transmit data, voice and video
  signals within and among Textron’s (or Service Recipient’s) local area
  Network segments. A LAN commences with the interface to a WAN Network
  interconnect device (e.g., router) and ends with and includes the Network
  interface points (e.g., Network interface cards that are in LAN-connected
  Equipment (e.g., desktop Equipment, Servers).

  
	
   

  	
   

  	
   

  
	
  Local
  Enabling Agreement

  	
   

  	
  has the
  meaning set forth in Recital D of the MSA.

  
	
   

  	
   

  	
   

  
	
  Losses

  	
   

  	
  means all
  losses, liabilities, damages, costs, claims, actions and expenses including
  reasonable legal fees and disbursements and costs of investigation,
  litigation, settlement, judgment, interest and penalties.

  
	
   

  	
   

  	
   

  
	
  LPAR

  	
   

  	
  means
  the logical partition or division of a Mainframe or Server’s processing resources
  into separate operating system instances where the Server is capable of such
  partitioning or division on a dynamic basis to meet processing demand. A Server without such
  capability is not capable of LPAR.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Mainframe
  or

  Mainframe Technology

  	
   

  	
  means any
  computing platform (inclusive of CPU) generally regarded by the computing
  industry as being mainframe technology, including any system based on the IBM
  System 390, architecture or any of its preceding or following technology platforms
  as of the Signature Date, and all related/supporting peripherals (e.g.,
  channel extenders, front-end processors, DASD, tape storage) connected or
  linked thereto.

  
	
   

  	
   

  	
   

  
	
  Mainframe
  Services

  	
   

  	
  has the
  meaning set forth in Attachment 1 (Tower Services Agreement for Mainframe
  Services.)

  
	
   

  	
   

  	
   

  
	
  Major
  Project

  	
   

  	
  has the
  meaning set forth in Section 17.2.3 of Schedule B (Cross-Functional
  Obligations)

  
	
   

  	
   

  	
   

  
	
  Managed
  Contracts

  	
   

  	
  means
  those contracts retained by Textron or any other Service Recipient and
  managed by CSC, and set forth in Annex F-3 to Schedule F (Existing
  Equipment and Software).

  
	
   

  	
   

  	
   

  
	
  Material

  	
   

  	
  means any
  material in whatever form (including written, magnetic, electronic, graphic
  or digitized), including any methodologies, processes, know-how,
  reports, specifications, business rules or requirements, manuals, user
  guides, training materials and instructions and material relating to Software
  and/or its design, development, Modification, operation, support or
  maintenance, but excluding Software.

  
	
   

  	
   

  	
   

  
	
  Material
  Subcontractor

  	
   

  	
  has the
  meaning set forth in Section 11.1.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Measurement
  Period

  	
   

  	
  means those
  hours of the day that performance against the Service Levels will be
  measured.

  
	
   

  	
   

  	
   

  
	
  Midrange
  or Midrange Technology

  	
   

  	
  means any
  computing platform (inclusive of CPU, disk array, tape robot and other
  devices) generally regarded by the computing industry as being midrange
  technology, including any system based on the Intel or RISC architecture and
  all related/supporting peripherals connected or linked thereto.

  
	
   

  	
   

  	
   

  
	
  Midrange
  Services

  	
   

  	
  has the
  meaning set forth in Attachment 2 (Tower Services Agreement for Midrange
  Services).

  
	
   

  	
   

  	
   

  
	
  Milestone
  Date

  	
   

  	
  means
  the date in the Transition Plan or Transformation Plan for the delivery by
  CSC to Textron of an item of Work Product or a Key Deliverable.

  
	
   

  	
   

  	
   

  
	
  Minimum
  Service Level

  	
   

  	
  means
  the required quantitative level or degree of performance by CSC specified as
  the “Minimum Service Level “ in the SLAs. The Minimum Service Levels are the
  minimally acceptable levels of service for the Services.

  
	
   

  	
   

  	
   

  
	
  Modify

  	
   

  	
  means to add
  to, enhance, reduce, change, replace, vary, prepare a derivative work based
  on, improve, recast, transform or adopt, and “Modification” and “Modified”
  have corresponding meanings.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  MSA

  	
   

  	
  means
  the Master Services Agreement between Textron and CSC to which this Schedule A
  is attached.

  
	
   

  	
   

  	
   

  
	
  Network

  	
   

  	
  means the
  WANs and the LANs that, collectively constitute the in-scope network. Network
  shall include Textron’s Data Network and Voice landline and wireless Network.

  
	
   

  	
   

  	
   

  
	
  Network
  Printer

  	
   

  	
  means
  a printer that is connected to the Network and can be accessed by
  multiple End Users on the Network.

  
	
   

  	
   

  	
   

  
	
  Network
  Services

  	
   

  	
  has the
  meaning set forth in Attachment 3 (the Tower Services Agreement for Network
  Services), and shall include, collectively, Data Network Services and Voice
  Network Services.

  
	
   

  	
   

  	
   

  
	
  Network
  Software

  	
   

  	
  means all Software embedded in or installed on Network Equipment,
  including routers, switches, hubs and PBXs and that is necessary to their
  functionality.

  
	
   

  	
   

  	
   

  
	
  Neutral
  Adviser

  	
   

  	
  has the
  meaning set forth in Section 22.2.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  New
  Interim Service Levels

  	
   

  	
  has
  the meaning set forth in Section 11.1.2 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Non-Campus

  	
   

  	
  means any
  location that is not a Campus.

  
	
   

  	
   

  	
   

  
	
  Non-SOE Software

  	
   

  	
  means all
  Software, other than Legacy Software, that is installed on any Supported
  Equipment at any time during the Term of the Agreement but is not included in
  an SOE.

  
	
   

  	
   

  	
   

  
	
  Notice
  of Claim

  	
   

  	
  has the
  meaning set forth in Section 18.5.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Notice
  of Election

  	
   

  	
  has the
  meaning set forth in Section 18.5.2 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Party
  or Parties

  	
   

  	
  means
  either or both of Textron and CSC as the context requires.

  
	
   

  	
   

  	
   

  
	
  Pass-Through
  Expense

  	
   

  	
  means the
  pass-through expenses specified in Annex D-2 of Schedule D (Pricing).

  
	
   

  	
   

  	
   

  
	
  Performance
  Standards

  	
   

  	
  means,
  individually and collectively, the quantitative and qualitative performance
  standards and commitments for the Services contained in this Agreement,
  including those described in Section 4 of the MSA, the Service Levels
  and any key performance indicators in the Service Level Agreements.

  
	
   

  	
   

  	
   

  
	
  Personal
  Textron Data

  	
   

  	
  has
  the meaning set forth in Section 15 of Schedule B (Cross-Functional
  Obligations).

  
	
   

  	
   

  	
   

  
	
  Personnel

  	
   

  	
  means all
  employees of a Party, officers, consultants, contractors and agents employed
  or engaged by a Party who are individuals.

  
	
   

  	
   

  	
   

  
	
  Physical
  Database Management

  	
   

  	
  means the
  Services required to install and upgrade the supported database management
  software. Application of software fixes, management of the disk space and
  tuning of system parameters in support of the database management software is
  also included.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Planned
  Special Event

  	
   

  	
  means an
  unusual business activity either during or outside normal business hours or
  location.

  
	
   

  	
   

  	
   

  
	
  Policy
  and Procedures

  Manual or Procedures Manual

  	
   

  	
  mean
  the overall policy and procedures manual or the policy and procedures manual
  for a Tower of Services, Schedule B (Cross-Functional Obligations), or Schedule K
  (Governance), each of which describes the manner in which CSC shall perform
  and deliver the Services, as further described in Schedule B, Schedule K
  or in the applicable Tower Services Agreement.

  
	
   

  	
   

  	
   

  
	
  Predictive Dialer

  	
   

  	
  means alert
  systems/applications that dial out to pagers/cell phones and voicemail.

  
	
   

  	
   

  	
   

  
	
  Problem

  	
   

  	
  means any
  problem, issue, unscheduled downtime, unscheduled outage, or other
  interruption in or delay or failure of, any Supported component(s) of the
  Infrastructure Systems and/or the Services.

  
	
   

  	
   

  	
   

  
	
  Problem
  Management and Escalation Procedures

  	
   

  	
  means the
  problem management and escalation procedures developed pursuant to Schedule B
  (Cross Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Production

  	
   

  	
  means the
  set of computer programs and all forms of computer system output that are scheduled
  to run or requested to run on the computer system in order to perform daily
  business requirements.

  
	
   

  	
   

  	
   

  
	
  Project

  	
   

  	
  has
  the meaning set forth in Section 17.1.1 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Project
  Estimate

  	
   

  	
  has
  the meaning set forth in Section 17.1.4 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Project
  Hour

  	
   

  	
  has
  the meaning set forth in Section 17.1.2 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Project
  Pool

  	
   

  	
  has
  the meaning set forth in Section 17.1.3 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Project-Related
  Costs

  	
   

  	
  has
  the meaning set forth in Section 17.1.5 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Project
  Survey

  	
   

  	
  has the
  meaning set forth in Section 12.1.1(c) of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Project
  Working Group

  	
   

  	
  has
  the meaning set forth in Section 17.3.2 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Property
  Interest

  	
   

  	
  has the
  meaning set forth in Section 7.2.2 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Property
  Taxes

  	
   

  	
  has the
  meaning set forth in Section 5.5.1(a) of the MSA.

  
	
   

  	
   

  	
   

  
	
  Publicity
  Material

  	
   

  	
  has the
  meaning set forth in Section 25.2.1(a) of the MSA.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Reasonable
  Currency

  	
   

  	
  means,
  with respect to installation of updates and new versions of Software
  installed on Supported Equipment, (a) maintaining such Software within one
  (1) major release of the most current commercially released version available
  from the Software supplier that includes changes to the architecture and/or
  adds new features and functionality, usually but not necessarily identified
  by full integer changes in numbering, such as from “7.0” to “8.0” behind the
  most recent major release, and (b) promptly installing all other releases,
  usually but not necessarily identified by a change in the decimal numbering
  of a release, such as from “6.12” to “6.13.”

  
	
   

  	
   

  	
   

  
	
  Recipient

  	
   

  	
  has the
  meaning set forth in Section 16.1.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Refresh

  	
   

  	
  means
  CSC’s scheduled technology change of Equipment with new Equipment or major
  upgrades of Equipment components that materially affect the operational
  capacity and/or life of the Equipment in accordance with this Agreement,
  including Schedule N.

  
	
   

  	
   

  	
   

  
	
  Regular
  Project

  	
   

  	
  has the
  meaning set forth in Section 17.2.2 of Schedule B (Cross-Functional
  Obligations)

  
	
   

  	
   

  	
   

  
	
  Remote
  Access

  	
   

  	
  means
  access to Textron or a Service Recipient’s Network or Infrastructure Systems
  from any Remote Office.

  
	
   

  	
   

  	
   

  
	
  Remote
  Offices

  	
   

  	
  means
  End Users connecting from their home or other non-Textron or non-Service
  Recipient locations.

  
	
   

  	
   

  	
   

  
	
  Remote
  Server

  	
   

  	
  means
  a Server (a) that is not located in a CSC Data Center in Norwich, Conn. or
  Chesterfield, England or in a Textron Data Center in Wichita, Kan., Hurst,
  Tex., and Providence, R.I.(without regards to whether before or after any
  Transformation Completion Date) or any data center that may be substituted
  for any of the foregoing data centers in accordance with the Change Control
  Procedures or (b) that is mutually agreed in writing to be
  managed by the CSC as a Remote Server.

  
	
   

  	
   

  	
   

  
	
  Reporting
  Period

  	
   

  	
  means the
  required frequency for reporting Service Level compliance.

  
	
   

  	
   

  	
   

  
	
  Required
  Consents

  	
   

  	
  means
  such consents, approvals or authorizations as may be required, or that
  Textron determines would be prudent to obtain, for the assignment to CSC, or
  the grant to CSC of rights of access and use, of resources otherwise provided
  for in this Agreement or in respect of a Termination as may be required for
  the assignment to Textron; or the grant to Textron of rights of access and use
  of resources used by CSC in the terminated Services and required for Textron
  to continue those Services in accordance with the Termination Assistance
  provided for under this Agreement.

  
	
   

  	
   

  	
   

  
	
  Resolution
  Time

  	
   

  	
  means
  the time defined as such in Section 3 of Schedule B.

  
	
   

  	
   

  	
   

  
	
  Resource
  Unit or RU

  	
   

  	
  means a unit
  of measurement specified as a “Resource Unit” in Schedule D (Pricing) or
  Appendix C to any Tower Services Agreement. A Resource Unit may be in the
  form of an item of Equipment, seat, port or other unit.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Resource
  Unit Change

  	
   

  	
  has the
  meaning set forth in Section 5.1 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Resource
  Unit Change Procedure

  	
   

  	
  means the
  procedure for implementing a Resource Unit Change as set forth in Section 6
  of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Responsibility
  Matrix

  	
   

  	
  means the
  listing of processes, activities, tasks and the accountable Party that is
  included in each of the Tower Services Agreements, Schedule B
  (Cross-Functional Obligations) and Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Returnable
  Material

  	
   

  	
  has the
  meaning set forth in Section 24.7.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Rights
  of Use

  	
   

  	
  has the
  meaning set forth in Section 8.4.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Scope
  Change

  	
   

  	
  has
  the meaning set forth in Section 5.3 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Scope
  Change Procedure

  	
   

  	
  means
  the procedure for implementing a Scope Change as set forth in Section 8
  of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Server
  or Midrange Server

  	
   

  	
  means an
  Application Server, Database Server, Infrastructure Server, Remote Server or
  Standalone Server, as well as related Equipment necessary to operate the
  Server. For clarification, the term “Server” shall include any replacements
  to Textron’s Servers (e.g., consolidation of Servers into new Servers).

  
	
   

  	
   

  	
   

  
	
  Service
  Charges

  	
   

  	
  means
  the charges payable by Textron to CSC pursuant to this Agreement, but
  excluding the Pass-Through Expenses.

  
	
   

  	
   

  	
   

  
	
  Service
  Credit or

  Service Level Credit

  	
   

  	
  means
  an amount calculated in accordance with Section 11.9 of Schedule B
  (Cross-Functional Obligations) as a reduction of the Service Charges payable
  to CSC as a result of CSC’s failure to meet a Service Level.

  
	
   

  	
   

  	
   

  
	
  Service
  Description

  	
   

  	
  means
  a service description set forth in Attachments 1A, 2A, 3A, 4A or 5A.

  
	
   

  	
   

  	
   

  
	
  Service
  Desk

  	
   

  	
  means a
  single point of contact for End Users to call to resolve Problems and Service
  Requests pertaining to the Infrastructure Systems.

  
	
   

  	
   

  	
   

  
	
  Service
  Desk Services

  	
   

  	
  has the
  meaning set forth in Attachment 5 (Tower Services Agreement for Service Desk
  Services).

  
	
   

  	
   

  	
   

  
	
  Service
  Levels

  	
   

  	
  means
  End-State Service Levels and/or the Interim Service Levels, as applicable.

  
	
   

  	
   

  	
   

  
	
  Service
  Problem

  	
   

  	
  has the
  meaning set forth in Section 4.4 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Service
  Recipient

  	
   

  	
  means
  (a) Textron, (b) any entity that Controls, is Controlled by or is under
  common Control with Textron, and (c) any entity that has a business
  relationship with Textron or an entity that is under common Control with
  Textron and is designated from time to time to receive Services in connection
  with such business relationship. Service Recipients are listed in Schedule C
  (Service Recipients), as such list may change in accordance with Section 3.4
  of the MSA.

  
	
   

  	
   

  	
   

  
	
  Service
  Request

  	
   

  	
  means
  a request for Problem resolution or other inquiry, request or issue.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Services

  	
   

  	
  means the
  services, functions and responsibilities identified in Section 3.1 of
  the MSA.

  
	
   

  	
   

  	
   

  
	
  Service
  Taxes

  	
   

  	
  means
  any and all sales, use, excise, value-added, services, consumption and other
  Taxes assessed on the provision of the Services as a whole or on any
  particular Services.

  
	
   

  	
   

  	
   

  
	
  Service
  Ticket

  	
   

  	
  means
  a report of a Problem or a Service Request by any End User by means of the
  applicable reporting process established by CSC and approved by Textron.

  
	
   

  	
   

  	
   

  
	
  Severity
  Levels

  	
   

  	
  has
  the meaning set forth Section 10.2 of Schedule B (Cross-Functional
  Obligations).

  
	
   

  	
   

  	
   

  
	
  Severity
  Weight

  	
   

  	
  has the
  meaning set forth in Section 11.2 of Schedule B (Cross-Functional
  Obligations)

  
	
   

  	
   

  	
   

  
	
  Signature
  Date

  	
   

  	
  has
  the meaning set forth in the preamble of this Agreement.

  
	
   

  	
   

  	
   

  
	
  Site

  	
   

  	
  means
  any Service Recipient location; provided that as used in Attachment 3, Site
  means a service location identified in Appendix 3D to Attachment 3 (Network
  Sites), as modified pursuant to Change Control Procedures, and with a
  connection to the Textron WAN.

  
	
   

  	
   

  	
   

  
	
  SOE or
  Standard

  Operating Environment

  	
   

  	
  means the
  Software in the Standard Operating Environments and listed as such in Annex
  F-7 to Schedule F (Existing Equipment and Software), as such Annex may
  thereafter be modified from time to time through the Change Control
  Procedure, subject to Section 9.2 of Schedule B (Cross-Functional
  Obligations).

  
	
   

  	
   

  	
   

  
	
  SOE
  Software

  	
   

  	
  means
  Software that is included in any SOE.

  
	
   

  	
   

  	
   

  
	
  Soft
  IMAC

  	
   

  	
  means an
  IMAC that does not require physical presence on-site at the End-User office
  or Equipment location to complete the requested activity.

  
	
   

  	
   

  	
   

  
	
  Software

  	
   

  	
  means
  any computer program (including source code and object code), related
  documentation, tangible media, program interfaces and any Software Tools or
  object libraries embedded in that Software, which is used to provide, or
  which forms part of, the Services, or which is used in connection with the
  Services, or is otherwise used by Textron or any other Service Recipient. For the avoidance of doubt,
  Software includes any computer program embedded in or used in connection with
  a Supported Device.

  
	
   

  	
   

  	
   

  
	
  Software
  Tools

  	
   

  	
  means any
  Software that is used for Software development or testing, data capture,
  system maintenance, data search, analysis, project management, measurement
  and monitoring, including related methodologies, processes and know-how.
  Examples of Software Tools include compilers, interpreters, assemblers, 4GLs,
  editors, debuggers, and application generators.

  
	
   

  	
   

  	
   

  
	
  Speed
  to Answer

  	
   

  	
  has the
  meaning given to it in Section 3 of Appendix 5B.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  SPOC

  	
   

  	
  means the
  Level 1 Support single point of contact for End Users.

  
	
   

  	
   

  	
   

  
	
  Standalone
  Server

  	
   

  	
  means
  a Server that is physically located in a CSC Data Center in Norwich, Conn. or
  Chesterfield, England or in a Textron Data Center in Wichita, Kan., Hurst,
  Tex., and Providence, R.I (without regards to whether before or after any
  Transformation Completion Date.) or in any data center that may be
  substituted for any of the foregoing data centers in accordance with the
  Change Control Procedures.

  
	
   

  	
   

  	
   

  
	
  Steering
  Committee

  	
   

  	
  means the
  management committee formed pursuant to Schedule K (Governance) and
  identified therein as the “Steering Committee.”

  
	
   

  	
   

  	
   

  
	
  Successor
  Supplier

  	
   

  	
  means
  a Third Party to whom, on the termination of this Agreement for any reason,
  Textron proposes or intends to contract the Services or any part of the
  Services or any other services as Textron may require in substitution for or
  in addition to the Services.

  
	
   

  	
   

  	
   

  
	
  Supported
  Device

  	
   

  	
  means
  any device identified as such in Annex F-6 to Schedule F (Existing
  Equipment and Software) and any similar device added to Annex F-6 in
  accordance with a Change Control Procedure. A Supported Device may be in the form of
  a bar code printer, plotter, scanner, projector, time clock, certain
  designated cameras, certain designated PDAs, Blackberry, certain limited thin
  clients or other electronic device designated by Textron.

  
	
   

  	
   

  	
   

  
	
  Supported
  Equipment

  	
   

  	
  means
  any Equipment for which Services are provided through a Resource Unit.

  
	
   

  	
   

  	
   

  
	
  Supported
  Network

  	
   

  	
  means the
  WANs, LANs and any other Network related Equipment for which Services are
  provided through a Resource Unit.

  
	
   

  	
   

  	
   

  
	
  Supported
  Peripheral

  	
   

  	
  means
  any non-asset-tagged, Workstation-related peripheral device and may be in the
  form of a PDA, local attached printer, zip drive, camera, or other similar
  electronic device, but shall not include a display monitor, keyboard, mouse,
  network printer, other pointing device or internal storage. Support for
  Supported Peripherals will be provided as such support exists (both as to nature
  and volume) as of the applicable Handover Date. Any new technology or
  increase in support requirements will be subject to a Change Control
  Procedure.

  
	
   

  	
   

  	
   

  
	
  Supported
  Software

  	
   

  	
  means one or
  more programs in Tier 1 Software, Tier 2 Software, Tier 3 Software, Tier 4
  Software and Tier 5 Software; provided that no usage of this term in any
  context shall be construed to alter, enlarge, or change in any way CSC’s
  financial responsibility as set forth in Annex F-7 to Schedule F. In the
  event of any conflict, this construction shall prevail.

  
	
   

  	
   

  	
   

  
	
  Supported
  Workstation

  	
   

  	
  means any
  Workstation for which a Resource Unit is payable. For purposes of Appendix
  4A, Appendix 4B and Schedule B (Cross-Functional Obligations), Network
  Printers for which Textron incurs a Resource Unit charge shall be treated as
  Supported Workstations, as applicable.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Systems
  Change

  	
   

  	
  means any
  change in the manner in which the Services are performed or provided,
  including changes in the Software, Equipment or systems used in the Service,
  as further described in Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Systems
  Change Procedure

  	
   

  	
  means
  the procedures for implementing a Systems Change as set forth in Section 7
  of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Systems
  Change Request

  	
   

  	
  means
  any request for a Systems Change.

  
	
   

  	
   

  	
   

  
	
  Tax or Taxes

  	
   

  	
  means all forms of taxation, whenever
  created or imposed, whether domestic or foreign (regardless of the identity
  of the taxing authority imposing such Tax), and without limiting the
  generality of the foregoing shall include net income, alternative or add-on
  minimum tax, gross income, sales, use, franchise, gross receipts, value
  added, service, consumption, ad valorem, profits, license, payroll,
  withholding, social security, unemployment insurance, employment, property,
  transfer, recording, excise, severance, stamp, occupation, premium, windfall
  profit, custom duty, capital stock or other tax, governmental fee or other
  like assessment, levy or charge of any kind whatsoever, together with any
  related interest, penalties or other additions to tax, or additional amounts
  imposed by any such taxing authority. When the term “Tax” is used with a
  specified form of taxation, e.g., “Business Tax,” it refers only to Taxes of
  the specified type.

  
	
   

  	
   

  	
   

  
	
  Technology
  Plan

  	
   

  	
  has the meaning
  set forth in Section 13.3 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Term

  	
   

  	
  has the
  meaning set forth in Section 2.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Termination

  	
   

  	
  means the
  expiration of the Master Services Agreement or a Tower Services Agreement at
  the end of its Term without renewal, or the expiration of its Term after
  extending the applicable Agreement in accordance with Section 2.2 of the
  MSA or the termination of the MSA in whole or in part in accordance with
  Sections 21 or 24 of the MSA or termination of any Tower Services Agreement
  in accordance with its terms.

  
	
   

  	
   

  	
   

  
	
  Termination
  Assistance

  	
   

  	
  has
  the meaning as set forth in Section 24.8.1 of the MSA and includes those
  Services provided by CSC in connection with Termination as described in
  Sections 24.7 and 24.8 of the MSA and Schedule H (Termination
  Assistance).

  
	
   

  	
   

  	
   

  
	
  Termination
  Assistance Period

  	
   

  	
  has the
  meaning set forth in Section 24.8.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Termination
  Date

  	
   

  	
  means the
  date of the Termination of the MSA or a Tower Services Agreement, in whole or
  in part, howsoever occurring.

  
	
   

  	
   

  	
   

  
	
  Termination
  Transfer Plan

  	
   

  	
  has the
  meaning set forth in Section 3 of Schedule H (Termination
  Assistance).

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Textron

  	
   

  	
  has the
  meaning set forth in the preamble of the MSA.

  
	
   

  	
   

  	
   

  
	
  Textron
  Assets

  	
   

  	
  has the
  meaning set forth in Section 17.4.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Textron
  Audit Representatives

  	
   

  	
  means
  Textron and its appointed contractors (including internal audit staff),
  Textron’s external auditors and their appointed contractors and regulator(s)
  and/or any other auditors, regulators, inspectors or contractors whom Textron
  designates in writing from time to time to conduct Audits on Textron’s
  behalf.

  
	
   

  	
   

  	
   

  
	
  Textron
  Competitor

  	
   

  	
  means
  any company listed in Schedule L (Competitors) as it may be changed
  unilaterally by Textron from time to time upon written notice to CSC.

  
	
   

  	
   

  	
   

  
	
  Textron
  Confidential Information

  	
   

  	
  means
  all Confidential Information of Textron or another Service Recipient, in any
  form, furnished or made available directly or indirectly to CSC by Textron or
  another Service Recipient or otherwise obtained or created by CSC.

  
	
   

  	
   

  	
   

  
	
  Textron
  Data

  	
   

  	
  means
  all information, whether or not confidential, entered in Software or Equipment by or on
  behalf of Textron and information derived from such information, including as
  stored in or processed through the Equipment or Software.

  
	
   

  	
   

  	
   

  
	
  Textron
  Facilities

  	
   

  	
  has the
  meaning set forth in Section 7.1.1 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Textron
  Laws

  	
   

  	
  means Laws
  with which Textron or a Service Recipient would be required to comply without
  regard to Textron’s having entered into the Agreement with CSC.

  
	
   

  	
   

  	
   

  
	
  Textron
  Information

  	
   

  	
  means
  all information, other than Textron Confidential Information and Textron
  Data, that relates to Textron, any Service Recipient, or any of its or their
  Affiliates, employees, contractors, agents, customers, partners, suppliers or
  joint venturers, including data or information about any of their operations,
  facilities, personnel, assets, products and programs, customer-specific data
  submitted to CSC by Textron or another Service Recipient, in whatever form
  that information may exist.

  
	
   

  	
   

  	
   

  
	
  Textron
  Leased Equipment

  	
   

  	
  means
  Equipment leased by Textron or another Service Recipient from any Third
  Party.

  
	
   

  	
   

  	
   

  
	
  Textron
  Material

  	
   

  	
  means
  Material owned by the Textron, a Service Recipient or any Affiliates of the
  foregoing (including Material in which the Intellectual Property Rights are
  owned by the Textron, a Service Recipient or an Affiliate) which is used to
  provide, or which forms part of, the Services.

  
	
   

  	
   

  	
   

  
	
  Textron
  Owned Equipment

  	
   

  	
  means
  Equipment owned by Textron or another Service Recipient.

  
	
   

  	
   

  	
   

  
	
  Textron
  Personnel

  	
   

  	
  means
  all employees of Textron, of any Service Recipient or of any contractor of
  Textron or any Service Recipient.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Textron
  Program Executive

  	
   

  	
  means
  the individual designated by the Textron to whom CSC shall communicate issues
  related to the Agreement, as set forth in Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Textron
  Software

  	
   

  	
  means
  any Software which is owned by or licensed (other than to the extent provided
  in Sections 9.3.4 or 9.4.1 of the MSA) to Textron, another Service Recipient
  or any of their respective Affiliates (including any Intellectual Property
  Rights).

  
	
   

  	
   

  	
   

  
	
  Textron-Retained
  Leases

  	
   

  	
  means
  the Leases to Textron Leased Equipment that will be retained by Textron and
  managed by CSC in accordance with Section 8.2 of the MSA, and as set
  forth in Annex F-1 of Schedule F (Existing Equipment and Software).

  
	
   

  	
   

  	
   

  
	
  Textron
  Wide Area

  Network or Textron WAN

  	
   

  	
  means
  the Equipment, Software, telecommunications facilities, lines, interconnect
  devices, wiring, cabling and fiber that are used to create, connect and
  transmit data, voice and video signals between and among: (i) Textron’s (or a
  Service Recipient’s) LANs; (ii) Textron’s (or a Service Recipient’s) field
  offices; (iii) other Textron (or Service Recipient) locations; (iv)
  non-Textron locations that do business with Textron (or Service Recipient),
  excluding the CSC WAN. A WAN commences with the WAN Network interconnect
  Equipment at one Textron (or Service Recipient) location (e.g., router, dial-up
  modem, dial backup Equipment) and ends with and includes the WAN Network
  interconnect Equipment (e.g., router, dial-up modem, dial backup Equipment)
  at another Textron (or such Service Recipient) location or non-Textron
  location that is interconnected with the first location via the WAN. For
  voice and data circuits, a Textron WAN includes local access and
  interexchange and other long-haul circuits, whether or not provided by a
  Third Party and used to transport voice traffic and interconnect with the
  public switch telephone network.

  
	
   

  	
   

  	
   

  
	
  Third
  Party

  	
   

  	
  has the
  meaning set forth in Section 25.13 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Third
  Party Contract

  	
   

  	
  has the
  meaning set forth in Section 18.1.7 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Third
  Party Material

  	
   

  	
  means
  Material used in connection with the Services which is not Textron Material
  or CSC Material.

  
	
   

  	
   

  	
   

  
	
  Third
  Party Service Contracts

  	
   

  	
  means
  those agreements pursuant to which a Third Party is, immediately prior to the
  Signature Date, furnishing or providing services to Textron similar to or which
  form part of the Services. Third Party Service Contracts are limited to those
  contracts included in Schedule F (Existing Equipment and Software) as it may be
  changed from time to time in accordance with a Change Control Procedure.

  
	
   

  	
   

  	
   

  
	
  Third
  Party Software

  	
   

  	
  means
  the Software which is not Textron Software or CSC Software.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Third
  Party Software Contracts

  	
   

  	
  means
  those agreements pursuant to which a Third Party is, immediately prior to the
  Signature Date, furnishing or providing Third Party Software to Textron;
  provided that Third Party Software Contracts are limited to those contracts
  included in Schedule F (Existing Equipment and Software).

  
	
   

  	
   

  	
   

  
	
  Third
  Party Systems Software

  	
   

  	
  means
  software owned by a Third Party that is Tiers 1 — 3 Software.

  
	
   

  	
   

  	
   

  
	
  Tier 1
  Software

  	
   

  	
  means
  Tier 1 Software for Mainframe and Midrange Technology and Tier 1 Software for
  Workstations.

  
	
   

  	
   

  	
   

  
	
  Tier 2
  Software

  	
   

  	
  means
  Tier 2 Software for Mainframe and Midrange Technology and Tier 2 Software for
  Workstations

  
	
   

  	
   

  	
   

  
	
  Tier 3
  Software

  	
   

  	
  means
  Tier 3 Software for Mainframe and Midrange Technology and Tier 3 Software for
  Workstations

  
	
   

  	
   

  	
   

  
	
  Tier 4
  Software

  	
   

  	
  means Tier 4
  Software for Mainframe and Midrange Technology and Tier 4 Software for
  Workstations.

  
	
   

  	
   

  	
   

  
	
  Tier 5
  Software

  	
   

  	
  means
  Tier 5 Software for Mainframe and Midrange Technology and Tier 5 Software for
  Workstations.

  
	
   

  	
   

  	
   

  
	
  Tier 1
  Software for Mainframe and Midrange Technology (collectively and Tier 1
  Software for Mainframe Technology and Tier 1 Software for Midrange Technology
  individually)

  	
   

  	
  means
  those Software programs and programming (including supporting documentation,
  media, on-line help facilities and tutorials) that perform operating system,
  disk and file system and security hardening tasks. These types of Software include
  Software that operates the hardware storage management to
  create/modify/delete disk and swap space, and basic system security.
  Notwithstanding the foregoing, Tier 1 Software for Mainframe and Midrange
  Technology is limited to that Software identified as Tier 1 Software for
  Mainframe and Midrange Technology in Annex F-7 to Schedule F (Existing
  Equipment and Software), as such Annex may be modified from time to time
  through the Change Control Procedure, subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Tier 2
  Software for Mainframe and Midrange Technology (collectively and Tier 2
  Software for Mainframe Technology and Tier 2 Software for Midrange Technology
  individually)

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that consist of system
  management agents and products and tools and utilities, operational
  management tools (such as job schedulers and printing environments), storage
  administration and backup, network management, and session management tools.
  These types of Software programs consist of agents such as monitoring, asset
  management, and remote control. Software Tools include performance monitors
  and data collection. Notwithstanding the foregoing, Tier 2 Software for
  Mainframe and Midrange Technology is limited to that Software identified as
  Tier 2 Software for Mainframe and Midrange Technology in Annex F-7 to Schedule F
  (Existing Equipment and Software) as such Annex may be modified from time to
  time through the Change Control Procedure, subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Tier 3
  Software for Mainframe and Midrange Technology (collectively and Tier 3
  Software for Mainframe Technology and Tier 3 Software for Midrange Technology
  individually)

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that perform transaction
  processing tasks (such as IMS and web-based environments), database
  environments, and comprise the transaction processing environment, language
  environments including development and execution, and middleware products
  (e.g., MQSeries, Citrix and WebSphere) and the middleware environment. Notwithstanding
  the foregoing, Tier 3 Software for Mainframe and Midrange Technology is
  limited to that Software identified as Tier 3 Software for Mainframe and
  Midrange Technology in Annex F-7 to Schedule F (Existing Equipment and
  Software) as such Annex may be modified from time to time through the Change
  Control Procedure, subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Tier 4
  Software for Mainframe and Midrange Technology (collectively and Tier 4
  Software for Mainframe Technology and Tier 4 Software for Midrange Technology
  individually)

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that perform the execution of
  business logic and the processing of data specific to Textron’s business
  processes (including purchased and business applications developed by Textron
  or a Service Recipient) and application-specific standards. These types of
  Software programs are generally business unit or regional specific.
  Notwithstanding the foregoing, Tier 4 Software for Mainframe and Midrange
  Technology is limited to that Software identified as Tier 4 Software for
  Mainframe and Midrange Technology in Annex F-7 to Schedule F (Existing
  Equipment and Software) as such Annex may be modified from time to time
  through the Change Control Procedure, subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Tier 5
  Software for Mainframe and Midrange Technology (collectively and Tier 5
  Software for Mainframe Technology and Tier 5 Software for Midrange Technology
  individually)

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that perform the execution of
  business logic and the processing of data specific to Textron’s business
  processes (including purchased and business applications developed by Textron
  or a Service Recipient) and application-specific standards (e.g., SAP,
  PeopleSoft). Notwithstanding the foregoing, Tier 5 Software for Mainframe and
  Midrange Technology is limited to that Software identified as Tier 5 Software
  for Mainframe and Midrange Technology in Annex F-7 to Schedule F
  (Existing Equipment and Software) as such Annex may be modified from time to
  time through the Change Control Procedure subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Tier 1
  Software for Workstations

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that perform operating system
  functions and includes systems utilities, bios and firmware. These types of
  Software programs consist of the software that operates the hardware, storage
  management to create/modify/delete disk and swap space, basic system security
  as well as internet browsers and Microsoft terminal services and agents to
  deploy/manage the Supported Software. Notwithstanding the foregoing, Tier 1
  Software for Workstations is limited to that Software identified as Tier 1
  Software for Workstations in Annex F-7 to Schedule F (Existing Equipment
  and Software) as such Annex may be modified from time to time through the
  Change Control Procedure, subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Tier 2
  Software for Workstations

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that consist of multi-account
  software and Software Tools that are common across business units. These
  types of Software programs consist of media player, electronic mail, instant
  messaging, virus protection, productivity applications (i.e., MS Office), zip
  tools, and readers. Software Tools include performance monitors and data
  collection tools. Notwithstanding the foregoing, Tier 2 Software for
  Workstations is limited to that Software identified as Tier 2 Software for
  Workstations in Annex F-7 to Schedule F (Existing Equipment and
  Software) as such Annex may be modified from time to time through the Change
  Control Procedure, subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Tier 3
  Software for Workstations

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that perform account specific
  functions. These types of Software programs consist of Dial-in/RAS
  capabilities, secure network access, and security software. Notwithstanding
  the foregoing, Tier 3 Software for Workstations is limited to that Software
  identified as Tier 3 Software for Workstations in Annex F-7 to Schedule F
  (Existing Equipment and Software) as such Annex may be modified from time to
  time through the Change Control Procedure, subject to Section 9.2 of Schedule B
  (Cross-Functional Obligations).

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Tier 4
  Software for Workstations

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that perform Business Unit
  specific functions. These types of Software programs consist of middleware
  clients. These types of Software programs will consist of some of the 2000
  applications designated by Textron in Annex F-7 to Schedule F (Existing
  Equipment and Software) to be included in one or more SOEs. Notwithstanding
  the foregoing, Tier 4 Software for Workstations is limited to that
  Workstation Software identified as Workstation Tier 4 in Annex F-7 to Schedule F
  as such Annex may be modified from time to time through the Change Control
  Procedure, subject to Section 9.2 of Schedule B (Cross-Functional
  Obligations).

  
	
   

  	
   

  	
   

  
	
  Tier 5
  Software for Workstations

  	
   

  	
  means those
  Software programs and programming (including the supporting documentation,
  media, on-line help facilities and tutorials) that perform End-user specific
  functions. These are limited to the 2000 applications designated by Textron
  in Annex F-7 to Schedule F (Existing Equipment and Software) to be
  included in one or more SOEs. Notwithstanding the foregoing, Tier 5 Software
  for Workstations is limited to that Software identified as Tier 5 Software
  for Workstations in Annex F-7 to Schedule F as such Annex may be
  modified from time to time through the Change Control Procedure, subject to Section 9.2
  of Schedule B (Cross-Functional Obligations).

  
	
   

  	
   

  	
   

  
	
  Token
  Authentication

  	
   

  	
  means
  authentication through the use of a challenge system where a user must enter
  a response to the challenge provided by the token device — usually a
  numerical sequence.

  
	
   

  	
   

  	
   

  
	
  Tower
  of Services

  	
   

  	
  has the
  meaning set forth in Recital A of the MSA.

  
	
   

  	
   

  	
   

  
	
  Tower
  Services Agreement

  	
   

  	
  has the
  meaning set forth in Recital D of the MSA.

  
	
   

  	
   

  	
   

  
	
  Transfer
  Clauses

  	
   

  	
  means
  the clauses set forth in Annex B-3 to Schedule B (Cross-Functional
  Obligations) for the transfer of personal data (as contained in the Textron
  Data or Textron Information) to data processors in third countries that do
  not ensure an adequate level of data protection pursuant to Articles 26.2 and
  26.4 of Directive 95/46/EC.

  
	
   

  	
   

  	
   

  
	
  Transferred
  Equipment

  	
   

  	
  means the
  Equipment set forth in Annex F-4 of Schedule F (Existing Equipment and
  Software).

  
	
   

  	
   

  	
   

  
	
  Transformation

  	
   

  	
  means the
  performance of the activities described in Section I.B (Transformation
  Plans and Milestones).

  
	
   

  	
   

  	
   

  
	
  Transformation

  Completion Date

  	
   

  	
  means,
  for each Tower of Services, the date on which the activities described in the
  Transformation Plan for that Tower of Services have been completed.

  
	
   

  	
   

  	
   

  
	
  Transformation
  Plan

  	
   

  	
  has
  the meaning given in Section 3.6.2 of the MSA.

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
  Transformation
  Period

  	
   

  	
  means
  the period between the first Handover Date and the last Transformation
  Completion Date

  
	
   

  	
   

  	
   

  
	
  Transformation
  Survey

  	
   

  	
  is described
  in Section 12.3 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Transition

  	
   

  	
  means the
  performance of the activities described in Schedule I.A(Transition Plan and
  Milestones).

  
	
   

  	
   

  	
   

  
	
  Transition
  Period

  	
   

  	
  means
  the period between the Signature Date and the date on which the activities
  described in the Transition Plan are substantially complete.

  
	
   

  	
   

  	
   

  
	
  Transition
  Survey

  	
   

  	
  is described
  in Section 12.3 of Schedule K (Governance).

  
	
   

  	
   

  	
   

  
	
  Transition
  Plan

  	
   

  	
  has the
  meaning set forth in Section 3.6.1(a) of the MSA.

  
	
   

  	
   

  	
   

  
	
  Transitioned
  Employee

  	
   

  	
  has the
  meaning set forth in Section 1.2 of Schedule E.

  
	
   

  	
   

  	
   

  
	
  TSO

  	
   

  	
  means the
  IBM product “Time Sharing Option” and all IBM supported, un-supported,
  current, future and past releases of the product as well as all additional
  features and functions that are used by the IBM product as part of its
  operating environment.

  
	
   

  	
   

  	
   

  
	
  Turnover
  Rate

  	
   

  	
  has the
  meaning set forth in Section 10.6 of the MSA.

  
	
   

  	
   

  	
   

  
	
  Virus

  	
   

  	
  means: 

  (a) any
  program code or programming instructions constructed with the ability to
  damage, interfere with or otherwise adversely affect computer programs, data
  files, Software, Equipment or operations; or 

  (b) any
  other code typically designated to be a virus, worm, time or logic bomb,
  disabling code or routine, backdoor or similar program.

  
	
   

  	
   

  	
   

  
	
  Voice
  Network

  	
   

  	
  means the
  infrastructure and other Network resources used to transport voice traffic
  associated with voice applications, including telephony, wireless, landline,
  voice over IP and voicemail.

  
	
   

  	
   

  	
   

  
	
  Voice
  Network Services

  	
   

  	
  means the
  Network Services as they relate to the Voice Network.

  
	
   

  	
   

  	
   

  
	
  WAN

  	
   

  	
  means
  a Textron WAN or a CSC WAN as applicable.

  
	
   

  	
   

  	
   

  
	
  Web
  Hosting

  	
   

  	
  means the
  provision of those web hosting services described in Attachment 2 (Tower
  Services Agreement for Midrange Services.)

  
	
   

  	
   

  	
   

  
	
  Work
  Product

  	
   

  	
  means
  any output (in whatever form), including any Software (including any source
  code), Material or Textron Data, which may be created, developed or Modified
  by or on behalf of CSC in the course of the performance of the Services,
  whether solely or jointly by CSC, CSC Subcontractors or any other Third
  Parties, including any Modifications to any Textron Software, Textron
  Material, CSC Software, CSC Material, Third Party Software or Third Party
  Material.

  
	
   

  	
   

  	
   

  
	
  Workstation

  	
   

  	
  means a
  device that consists of a system unit, a display monitor, a keyboard, a
  mouse, other pointing device and internal storage, including Supported Software, but
  excluding Supported Devices and Supported

  

 

 

	
  Term

  	
   

  	
  Definition

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Peripherals.
  For the avoidance of doubt, a Workstation may be in the form of a desktop
  computer, a laptop computer, a UNIX (RISC — reduced instruction set computer)
  computer, or a fully functioning thin client (a device used to access a
  backend server running applications to support the End User).

  
	
   

  	
   

  	
   

  
	
  Workstation
  Services

  	
   

  	
  has the
  meaning set forth in Attachment 4 (Tower Services Agreement for Workstation
  Services).

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}]]