Document:

Exhibit

Exhibit 10.3
Amendment No. 2 to Sales Agreement

THIS AMENDMENT NO. 2 TO SALES AGREEMENT (this “Amendment”) is made effective as of April 1, 2011 by and between NTP Radioisotopes (Pty) Ltd., a commercial company registered and existing under the laws of the Republic of South Africa, having its registered office at Building 1700, Pelindaba, Church Street West Extension, Brits District, North West Province of South Africa (“NTP”), and Lantheus Medical Imaging, Inc., a corporation organized and existing under the laws of Delaware with a place of business at 331 Treble Cove Road, North Billerica, Massachusetts, United States of America 01862 (“Lantheus”).

WHEREAS:

		
	1.
	NTP and Lantheus entered into a Sales Agreement effective as of April 1, 2009 (the “Sales Agreement”);

		
	2.
	NTP and Lantheus entered into Amendment No. 1 to the Sales Agreement effective as of January 1, 2010 (together with the Sales Agreement, the “Agreement”); and

		
	3.
	NTP and Lantheus wish to further amend the Agreement to modify the committed volume levels and specify the pricing for such volume levels through December 31, 2013;

NOW, THEREFORE, in consideration of the mutual promises and covenants hereinafter set forth, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:

1.  Definitions.  Terms defined in the Agreement and not otherwise defined herein are used herein with the meanings so defined.

2.  Amendments.

		
	2.1
	Section 2.1 of the Agreement is hereby amended by deleting in its entirety said Section 2.1 and replacing therewith the following:

		
	2.1
	Subject to the terms of this Agreement, the parties hereby agree as follows:

(a)    Commencing as of April 1, 2011 and continuing through December 31, 2012, Lantheus shall commit to place routine Product orders with NTP on a regular weekly basis corresponding to at least ninety percent (90%) of Lantheus’ “standing order volume requirements” (as defined below), up to a maximum purchase volume of 1,400 curies of Product per week from NTP and its Subcontractors (as measured using the calibration as set forth in 

Section 2.5) unless orders for increased volumes of Product are otherwise placed by Lantheus, as averaged over each separate but successive calendar quarter commencing April 1, 2011, and NTP shall supply such orders, provided that, as set forth in Section 2.1(c), such obligations shall only apply in those weeks in which NTP and its Subcontractors are able to satisfy, and NTP and its Subcontractors do satisfy, such obligations.  Lantheus shall, in writing, submit to NTP on the 1st day of each month during the term of this Agreement, a good faith, non binding forecast of the estimated quantity of Product Lantheus expects to order from NTP during the three (3) month period following the date of the forecast (each a “Forecast”).  Lantheus will also provide NTP with firm orders for Product at least fourteen (14) days in advance of the required date of Product shipment.  During the period of April 1, 2011 through December 31, 2012, Lantheus expects the weekly purchase volumes to be in the range of 500 to 1,400 curies of Product; provided, however, for purposes of clarity, and notwithstanding any other provision of this Agreement, the parties acknowledge and agree that Lantheus shall be relieved of any obligations with respect to the purchase volumes in this Section 2.1 if Lantheus has reason to believe that it will be unable to use such Product in the manufacture and sale of Technetium-99m generators (e.g., there is a change in customer demand for Technetium-99m generators); provided further, that if at any time during the term of this Agreement Lantheus does not purchase an average weekly volume of at least four hundred (400) curies of Product per week from NTP and its Subcontractors, as averaged over each calendar quarter and as measured using the calibration as set forth in Section 2.5, the parties will make a good faith effort to renegotiate the terms of this Agreement for future purchases of Product made by Lantheus to reflect any incremental costs of such decreased volumes borne by NTP and its Subcontractors.  For purposes of this Agreement, “standing order volume requirements” shall mean Lantheus’ normal weekly volume requirements for Product in excess of Lantheus’ purchase volume commitments to its other principal supplier of Product which existed on February 28, 2011.  

For clarity and as an example: 

During the period of April 1, 2011 through December 31, 2012, if Lantheus’ normal weekly volume requirements for Product are 1,000 curies per week of Molybdenum-99 (as measured for purposes of this calculation using the calibration as set forth in Section 2.5) in excess of Lantheus’ purchase volume commitments to its other principal supplier of Product, Lantheus will purchase, and NTP will supply, at least the first 900 curies per week of such volume requirements.

(b)    Commencing as of January 1, 2013 and continuing through December 31, 2013, Lantheus shall commit to place routine Product orders 

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with NTP on a regular weekly basis corresponding to at least thirty three percent (33%) of Lantheus’ total requirements of Product as averaged over each separate but successive calendar quarter, and NTP shall supply such orders, provided that, as set forth in Section 2.1(c), such obligation shall only apply in those weeks in which NTP and its Subcontractors are able to satisfy, and NTP and its Subcontractors do satisfy, such obligations.  In addition, during the period of January 1, 2013 through December 31, 2013, Lantheus will continue to provide NTP with a good faith, non binding Forecast on the 1st day of each month.  Lantheus will also continue to provide NTP with firm orders for Product at least fourteen (14) days in advance of the required date of Product shipment.

(c)    Such Product shall be supplied and delivered to John F. Kennedy International Airport, Jamaica, New York (“JFK”) or Logan International Airport, Boston, Massachusetts (“BOS”) (or other mutually agreed upon delivery location) on a mutually agreed schedule with follow-on trucking delivery to the Lantheus facility in North Billerica, Massachusetts.  Lantheus shall provide NTP with notice of its intention to change such location at least forty-five (45) days in advance of the required inception date of such changes.  NTP shall be responsible to ensure that the full weekly quota of Mo-99 is delivered to Lantheus other than during scheduled outages for routine maintenance, unscheduled outages or failures of the production lines of NTP and its Subcontractors (i.e., under conditions of normal operations prevailing at NTP and its Subcontractors’ facilities).  At the discretion of the Account Manager at NTP (“Account Manager”), such material shall be supplied by NTP or its Subcontractors.  Lantheus shall be advised in a timely way of the manner in which supply obligations hereunder will be allocated among NTP and its Subcontractors.  NTP will schedule deliveries to Lantheus so as to compensate for scheduled outages at either facility in such a way that the full supply quota will be maintained under such circumstances.

(d)    For any supply of Product by NTP, NTP will provide Lantheus with Product derived from low enriched uranium (LEU) whenever possible unless otherwise directed by Lantheus.  In addition, to the extent that the total volume of LEU-based Product available for sale by NTP is not sufficient to meet all of its customer orders in a given run, NTP shall supply Lantheus’ orders first and to the greatest extent possible with LEU-based Product.

(e)    In the case of scheduled or unscheduled outages or production line failures for whatever reason (and for Events of Force Majeure (as hereinafter defined)) affecting NTP or its Subcontractors, Lantheus will receive a share of Product available that is not less than that which is directly proportional to its average share of the total weekly purchasing 

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(averaged over the preceding thirty (30) days) from NTP and its Subcontractors.

For clarity and as an example: 

If NTP or its Subcontractors experiences a production line failure affecting the supply of Product hereunder, and NTP and its Subcontractors sold an average weekly volume of 2,000 curies of Product, and Lantheus purchased from NTP an average weekly volume of 1,000 curies of Product, in the preceding thirty days (each as measured using the calibration as set forth in Section 2.5), then Lantheus would be entitled to receive at least fifty percent (50%) of the volume of Product available for sale by NTP and its Subcontractors.

(f)    In situations where a global supply shortage arises or Lantheus’ supply of Molybdenum-99 from third party suppliers other than NTP or its Subcontractors is adversely affected for whatever reason (e.g., scheduled or unscheduled reactor outages that result in shortages from such third party suppliers), NTP and its Subcontractors will supply routine orders for Product placed by Lantheus and its other customers.  NTP and its Subcontractors will also use their best efforts to make available any additional volumes of Product requested by Lantheus and shall provide Lantheus with a right of first refusal to purchase any Product available for sale by NTP or its Subcontractors; provided, however, that, if required by written customer contracts which existed on February 28, 2011, NTP and its Subcontractors may provide customers affected directly by such supply shortage with a share of the available Product that is directly proportional to such affected customer’s average share of the total weekly purchasing (averaged over the preceding thirty (30) days) from NTP and its Subcontractors.  For purposes of clarity, affected customers are customers of NTP and its Subcontractors whose supply of Molybdenum-99 has been reduced as a direct result of the supply shortage.

(g)    The NRU Reactor located in Chalk River, Ontario is currently scheduled to be shut-down for a period of inspection and maintenance for four weeks beginning in May 2011.  Pursuant to the mutually agreed upon supply schedule, which schedule may be modified from time to time by mutual consent of the Parties, NTP and its Subcontractors will provide Lantheus with at least the minimum supply volumes of Product during the NRU Reactor’s shutdown period, pursuant to the terms set forth herein (including, but not limited to, the delivery and pricing terms).  These purchase volumes, estimated as of April 1, 2011, and the purchase prices related thereto are attached hereto as Exhibit D.  NTP and its Subcontractors will also use their best efforts to make available any additional volumes of Product requested by Lantheus and shall provide Lantheus with a right of 

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first refusal to purchase any additional volumes of Product available for sale by NTP or its Subcontractors in excess of the purchase volumes set forth in Exhibit D.

(h)    NTP has established and shall maintain relationships with air carriers for the Lantheus route such that the probability of a Lantheus shipment being refused by the carrier shall be highly improbable.  NTP shall liaise (via the Account Manager at NTP) with its Subcontractors, taking into account the reactor production and maintenance schedules of each facility, and supply Lantheus thirty-five (35) days in advance of the first delivery of a month, the supply schedule for the following month detailing clearly which supplier (NTP or a Subcontractor) will supply such delivery.  For clarity and as an example, NTP will provide Lantheus the March 2010 supply schedule on 27 January 2010.  This supply schedule will be binding on NTP and its Subcontractors and will be used by Lantheus to register each shipment with applicable U.S. governmental authorities as dictated by U.S. regulations.  If the airport of delivery is JFK, then Product will be available for pick-up by Lantheus no later than 12:00 Noon.  If the airport of delivery is BOS, then Product will be available for pick-up by Lantheus no later than 3:00PM.  Pick-up time for any other delivery location will be mutually agreed upon.

(i)    Notwithstanding the foregoing, NTP and its Subcontractors hereby acknowledge and agree that the diversification of supply provided by NTP through its supply and back-up supply arrangements with its Subcontractors is essential to the purpose of this Agreement.  Without limiting the rights of Lantheus elsewhere in this Agreement, if at any time during the term of this Agreement the consortium of supply partners changes or NTP or its Subcontractors does not or cannot deliver the quantities specified in this Section 2.1 on a weekly basis in a reliable manner, the parties will make a good faith effort to renegotiate the terms of this Agreement.  In the event the parties are unable to agree on modification of this Agreement within a reasonable period of time (not to exceed sixty (60) days), Lantheus shall have the sole right, after giving NTP thirty (30) days prior written notice, to terminate this Agreement.

		
	2.2
	Section 2.2 of the Agreement is hereby amended by deleting it in its entirety and replacing therewith “[Intentionally left blank.]”.

		
	2.3
	Section 2.3 of the Agreement is hereby amended by deleting it in its entirety and replacing therewith “[Intentionally left blank.]”.

		
	2.4
	Section 2.5 of the Agreement is hereby amended by deleting in its entirety said Section 2.5 and replacing therewith the following:

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	2.5
	Commencing as of April 1, 2011, the number of curies of Product shipped from NTP or its Subcontractors shall be based on the order placed by Lantheus and calibrated one hundred forty-four (144) hours from twelve o’clock (12:00) noon Johannesburg, South Africa, at airport of departure on the day of shipment from the airport of departure.  The number of curies of Product shipped from any Subcontractor will be calibrated as if it were shipped from Johannesburg, South Africa so that Lantheus will receive an equal number of curies of Product regardless of whether the order is shipped by NTP or any of its Subcontractors.

		
	2.5
	Section 5.1 of the Agreement is hereby amended by deleting in its entirety said Section 5.1 and replacing therewith the following:

		
	5.1
	The price payable by Lantheus for Product for the period from April 1, 2011 through October 1, 2012 shall be as follows:

(a)    The unit price of Product for such week shall be four hundred and ninety fixed US dollars (US$490) per Curie at calibrated date and time for the first five hundred (500) curies delivered per week and three hundred and eighty four fixed US dollars (US$384) per Curie at calibrated date and time for all curies in excess of the first five hundred (500) curies delivered per week.  The calibration date and time shall be in accordance with Section 2.5. 

(b)    Notwithstanding the foregoing, during the NRU Reactor’s shutdown period described in Section 2.1(g), the unit price of Product for each week during such period shall be four hundred and ninety fixed US dollars (US$490) per Curie at calibrated date and time for the first five hundred (500) curies delivered per week, three hundred and eighty four fixed US dollars (US$384) per Curie at calibrated date and time for the next two hundred and fifty (250) curies delivered per week, and four hundred and ninety fixed US dollars (US$490) per Curie at calibrated date and time for all curies in excess of seven hundred and fifty (750) curies delivered per week.  The unit prices set forth in Section 5.1(a) shall apply to the future shortages or shutdown periods described in Section 2.1(f), provided that, in the event that NTP incurs direct costs related to extraordinary measures taken by NTP or its Subcontractors over an extended period of time (not less than a period of three (3) months) to supply Product to Lantheus in excess of the routine purchase volumes described herein, the parties will negotiate in good faith a unit price for such excess Product based upon Lantheus’ proportional share of the reasonable variable expenses borne by NTP and its Subcontractors in connection therewith (as evidenced by reasonable documentation made available to Lantheus).

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(c)    The routine price will be adjusted upon mutual agreement of the parties effective as of October1, 2012 on the basis of market forces prevailing at the time, the then current cost of production and any contractual sales obligations that each party may have with its customers or suppliers and by good faith negotiation and agreement by, at the latest, June 30, 2012.  Lantheus shall have the right to terminate the Agreement if the parties fail to agree on such new pricing by such last day in June.

(d)    Provided that Lantheus is NTP’s largest customer in North America as measured by volume of curies purchased on an annual basis (as calculated consistent with calibration as set out in Section 2.5), the prices payable by Lantheus for Product shall not be higher than the purchase price (as calculated consistent with calibration as set out in Section 2.5) paid by any other purchaser of Product from NTP or its Subcontractors for delivery into North America (after giving effect to all rebates, discounts, and similar pricing concessions or incentives available to such purchasers, but excluding governmental purchases or purchases for other non-commercial purposes).  For purposes of calculating the purchase price paid by other purchasers of Product for delivery into North America in order to determine if any prospective price adjustment shall be made hereunder, the parties agree that the purchase price paid by each purchaser pursuant to a written contract with NTP in a currency different from the United States dollar shall be determined taking into account the exchange rate of the United States dollar against such different currency as at the execution date of such written contract for any contracts entered into by NTP on or after April 1, 2011 and as at April 1, 2011 for any contracts entered into by NTP prior to such date.  At any time reasonably requested by Lantheus (but no more frequently than once per calendar quarter), NTP will furnish to Lantheus a certificate, executed by a duly authorized officer of NTP, stating that such officer has reviewed the sales of such Product during such period and that NTP and its Subcontractors have complied with this Section 5.1(d).  To the extent it is determined that NTP is not in compliance with this Section 5.1(d), NTP will credit Lantheus with the difference between the price paid by Lantheus and the amount otherwise contemplated by this Section 5.1(d) and any such difference will be paid by NTP to Lantheus in the form of a cash payment.

(e)    NTP shall invoice Lantheus at the end of each month for all Product supplied by NTP or its Subcontractors in that month.  Invoicing shall be in respect of the price applicable to Product upon delivery of such conforming Product to Lantheus on an FCA basis, and 

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in respect of container charges as the same become payable under this Agreement.  Lantheus shall pay all invoices for shipments of conforming Product in any given month (as reduced by any outstanding credits for nonconforming Product) by the end of the following month to NTP.

		
	2.6
	The Agreement is hereby amended by adding the following Section 8.6:

		
	8.6
	For purposes of clarity and without limiting the generality of the provision in Section 8.1, NTP and its Subcontractors hereby acknowledge and agree that any law, regulation, or other action of any applicable governmental authorities having a materially adverse effect on the delivery, sale or use of Technetium-99m generators in North America using Molybdenum-99 derived from highly enriched uranium shall be deemed to be an Event of Force Majeure, and Lantheus shall have the right to terminate this Agreement.

		
	2.7
	Exhibit B of the Agreement is hereby amended by adding “Australian Nuclear Science and Technology Organization (“ANSTO”)” to the list of Subcontractors.  In addition, all of the references to “Subcontractor” in the Agreement shall be amended to mean “Subcontractors.”

		
	2.8
	The Agreement is hereby amended by adding Exhibit D, a copy of which is attached hereto.

3.    Waiver.  Each party hereby waives any non-compliance with the terms and provisions of the Agreement relating to the purchase volume requirements as in effect immediately prior to the amendment thereof by this Agreement.

4.    General.  Except as specifically amended hereby, the Agreement remains in full force and effect and otherwise unamended hereby.  This Amendment constitutes a final written expression of the terms hereof and is a complete and exclusive statement of those terms.  This Amendment shall be governed by and construed in accordance with the laws of England, without reference to its choice of laws rules.

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IN WITNESS WHEREOF, the parties hereto have duly executed this Amendment as of the date first written above.

For and on behalf of NTP:
                    	
	
	/s/ Don Robertson

	Name and Title:

	M.D. NTP

For and on behalf of Lantheus:
                    	
	
	/s/ William C. Dawes

	Name and Title: 

	William C. Dawes, Vice President,

	Manufacturing & Operations

Witnessed by IRE:
                    	
	
	/s/ Jean-Michel Vanderhofstadt

	Name and Title: 

	Directeur General

Witnessed by ANSTO:
                    	
	
	/s/ Doug Cubbin

	Name and Title: 

	EGM Business Development &

	Commercialisation

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EXHIBIT D

Supply Volumes

	
						
	NRU Shutdown May/June 2011
	 
	 
	 
	 

	 
	 
	 
	 
	 
	 

	Arrival LMI
	NTP
	IRE
	Ansto
	Dispatch date

	Week 20
	 
	 
	 
	 
	 

	Saturday
	Saturday, May 21, 2011
	600
	400
	0
	Friday, May 20, 2011

	Total:
	 
	600
	400
	0
	 

	Week 21
	 
	 
	 
	 
	 

	Sunday
	Sunday, May 22, 2011
	0
	0
	250
	Saturday, May 21, 2011

	Monday
	Monday, May 23, 2011
	0
	0
	0
	Sunday, May 22, 2011

	Thursday
	Thursday, May 26, 2011
	0
	400
	205
	Wednesday, May 25, 2011

	Saturday
	Saturday, May 28, 2011
	0
	300
	0
	Friday, May 27, 2011

	Total:
	 
	0
	700
	455
	 

	Week 22
	 
	 
	 
	 
	 

	Sunday
	Sunday, May 29, 2011
	0
	0
	225
	Saturday, May 28, 2011

	Monday
	Monday, May 30, 2011
	0
	0
	0
	Sunday, May 29, 2011

	Thursday
	Thursday, June 2, 2011
	0
	400
	205
	Wednesday, June 01, 2011

	Saturday
	Saturday, June 4, 2011
	500
	300
	0
	Friday, June 3, 2011

	Total:
	 
	500
	700
	430
	 

	Week 23
	 
	 
	 
	 
	 

	Sunday
	Sunday, June 5, 2011
	550
	0
	225
	Saturday, June 4, 2011

	Monday
	Monday, June 6, 2011
	0
	0
	0
	Sunday, June 5, 2011

	Tuesday
	Tuesday, June 7, 2011
	0
	0
	0
	Monday, June 6, 2011

	Thursday
	Thursday, June 9, 2011
	0
	300
	205
	Wednesday, June 08, 2011

	Saturday
	Saturday, June 11, 2011
	600
	0
	0
	Friday, June 10, 2011

	Total:
	 
	1150
	300
	430
	 

	Week 24
	 
	 
	 
	 
	 

	Sunday
	Sunday, June 12, 2011
	600
	0
	225
	Saturday, June 11, 2011

	Monday
	Monday, June 13, 2011
	0
	0
	0
	Sunday, June 12, 2011

	Thursday
	Thursday, June 16, 2011
	0
	450
	0
	Wednesday, June 15, 2011

	Saturday
	Saturday, June 18, 2011
	600
	250
	0
	Friday, June 17, 2011

	Total:
	 
	1200
	700
	225
	 

	Week 25
	 
	 
	 
	 
	 

	Sunday
	Sunday, June 19, 2011
	600
	0
	0
	Saturday, June 18, 2011

	Monday
	Monday, June 20, 2011
	0
	0
	0
	Sunday, June 19, 2011

	Thursday
	Thursday, June 23, 2011
	0
	500
	0
	Wednesday, June 22, 2011

	Saturday
	Saturday, June 25, 2011
	600
	200
	0
	Friday, June 24, 2011

	Total:
	 
	1200
	700
	0
	 

	Week 26
	 
	 
	 
	 
	 

	Sunday
	Sunday, June 26, 2011
	0
	0
	215
	Saturday, June 25, 2011

	Monday
	Monday, June 27, 2011
	0
	0
	0
	Sunday, June 26, 2011

	Thursday
	Thursday, June 30, 2011
	0
	200
	200
	Wednesday, June 29, 2011

	Saturday
	Saturday, July 2, 2011
	0
	200
	0
	Friday, July 1, 2011

	Total:
	 
	0
	400
	415
	 

	 
	 
	 
	 
	 
	 

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	* The pricing for such volumes is set forth in the first sentence of Section 5.1(b) of the Agreement, as amended.

	 
	 
	 
	 
	 
	 

	 
	 
	 
	 
	 
	 

11Exhibit

Exhibit 10.4
Amendment No. 3 to Sales Agreement

THIS AMENDMENT NO. 3 TO SALES AGREEMENT (this “Amendment”) is made effective as of October 1, 2012 by and between NTP Radioisotopes (Pty) Ltd., a commercial company registered and existing under the laws of the Republic of South Africa, having its registered office at Building 1700, Pelindaba, Church Street West Extension, Brits District, North West Province of South Africa (“NTP”), and Lantheus Medical Imaging, Inc., a corporation organized and existing under the laws of Delaware with a place of business at 331 Treble Cove Road, North Billerica, Massachusetts, United States of America 01862 (“Lantheus”).

WHEREAS:

		
	1.
	Lantheus and NTP, on behalf of itself and its Subcontractor, IRE, entered into a Sales Agreement effective as of April 1, 2009 (the “Sales Agreement”);

		
	2.
	Lantheus and NTP, on behalf of itself and its Subcontractor, IRE, entered into Amendment No. 1 to the Sales Agreement effective as of January 1, 2010 (“Amendment No.1”);

		
	3.
	Lantheus and NTP, on behalf of itself and its Subcontractors, IRE and ANSTO, entered into Amendment No. 2 to the Sales Agreement effective as of April 1, 2011 (together with the Sales Agreement and Amendment No. 1, collectively, the “Agreement”); 

		
	4.
	In support of international objectives to eliminate the use of highly enriched uranium (“HEU”) in civil nuclear applications, Lantheus, NTP and its Subcontractors have made a significant, diligent and cooperative effort to develop a more robust supply of Products for Lantheus derived from low enriched uranium (“LEU”), which resulted in Lantheus having the first Technetium-99m generators utilizing LEU-based Product qualified and approved by the United States Food and Drug Administration; 

		
	5.
	In connection with these efforts, NTP and its Subcontractors have agreed to increase their production of LEU-based Product made available to Lantheus; and

		
	6.
	NTP, on behalf of itself and its Subcontractors, and Lantheus wish to further amend the Agreement to extend its term and specify pricing and volume levels for the supply of Product from October 1, 2012 through December 31, 2017 by restating certain existing provisions of the Agreement and further amending or supplementing such provisions to give effect to such amendments effective as of the date hereof.

NOW, THEREFORE, in consideration of the mutual promises and covenants hereinafter set forth, and for other good and valuable consideration, the receipt and 

sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:

1.  Definitions.  Terms defined in the Agreement and not otherwise defined herein are used herein with the meanings so defined.

2.  Amendments.

		
	2.1
	Section 2.1 of the Agreement is hereby amended by deleting in its entirety said Section 2.1 and replacing therewith the following:

		
	2.1
	Subject to the terms of this Agreement, the parties hereby agree as follows:

(a)    [Intentionally left blank.]

(b)    Commencing as of October 1, 2012 and continuing through December 31, 2017, Lantheus shall commit to place minimum routine Product orders with NTP on a regular weekly basis as follows:

	
		
	Time Period
	Percentage of Lantheus’ total requirements of Product as measured on a trailing calendar quarter basis

	October 1, 2012 – December 31, 2012
	Ten percent (10%)

	January 1, 2013 – December 31, 2013
	Twenty percent (20%)

	January 1, 2014 – December 31, 2014
	Thirty seven percent (37%)

	January 1, 2015 – December 31, 2015
	Forty two percent (42%)

	January 1, 2016 – December 31, 2017
	Fifty percent (50%)

NTP shall supply such orders placed by Lantheus, provided that, as set forth in Section 2.1(c), such obligation shall only apply in those weeks in which NTP and its Subcontractors are able to satisfy, and NTP and its Subcontractors do satisfy, such obligations.  In addition, to the extent that NTP is unable to supply the quantities of Product requested by Lantheus hereunder, the parties acknowledge and agree that Lantheus shall have the right to purchase Product from any third party supplier of Product during the period of such unavailability and for a reasonable period of time before or after such period, and to the extent and for the duration of such third party purchases Lantheus shall not be in violation of the purchase commitment set forth herein and shall be relieved of its purchase volume obligations for such period.  Lantheus will continue to provide NTP with a good faith, non 

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binding Forecast on the first business day of each month.  Lantheus will also continue to provide NTP with firm orders for Product at least fourteen (14) days in advance of the required date of Product shipment.  The Parties hereby agree to meet no later than June 2017 to discuss in good faith the terms of a supply agreement beyond the term of this Agreement.

(c)    Such Product shall be supplied and delivered to John F. Kennedy International Airport, Jamaica, New York (“JFK”) or Logan International Airport, Boston, Massachusetts (“BOS”) (or other mutually agreed upon delivery location) on a mutually agreed schedule with follow-on trucking delivery to the Lantheus facility in North Billerica, Massachusetts.  Lantheus shall provide NTP with notice of its intention to change such location at least forty-five (45) days in advance of the required inception date of such changes.  NTP shall be responsible to ensure that the full weekly quota of Mo-99 is delivered to Lantheus other than during scheduled outages for routine maintenance and unscheduled outages or failures of the production lines of NTP and its Subcontractors (i.e., under conditions of normal operations prevailing at NTP and its Subcontractors’ facilities).  Subject to the terms set forth herein (including, but not limited to, the requirements relating to LEU-based Product set forth below), at the discretion of the Account Manager at NTP (“Account Manager”), such material shall be supplied by NTP or its Subcontractors.  Lantheus shall be advised in a timely way of the manner in which supply obligations hereunder will be allocated among NTP and its Subcontractors.  NTP will schedule deliveries to Lantheus so as to compensate for scheduled outages at either facility in such a way that the full amount of Product ordered by Lantheus (including, subject to the provisions of Section 2.1(d), any specific quantities of LEU-based Product) will be maintained under such circumstances.

(d)    For any supply of Product by NTP and its Subcontractors during the Term, NTP and its Subcontractors will increase production levels of LEU-based Product so as to make available to Lantheus LEU-based Product, unless otherwise directed by Lantheus, as follows:

	
		
	Time Period
	Average curies per week of LEU-based Product, with a six (6) day reference, as measured on a quarterly basis

	January 1, 2013 – December 31, 2013
	At least 900 curies per week

	January 1, 2014 – December 31, 2015
	At least 1,250 curies per week

	January 1, 2016 – December 31, 2017
	One hundred percent (100%) of Lantheus’ demand for Product

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Lantheus will include the amount of HEU and LEU-based Product that it expects to order from NTP and its Subcontractors in each Forecast.  In addition, notwithstanding the production levels set forth above (which shall not be construed as limits on Lantheus’ orders for LEU- based Product), for each calendar year during the period from January 1, 2013 through December 31, 2015, the average weekly volume of LEU-based Product that Lantheus reasonably expects to order from NTP and its Subcontractors in such calendar year (as measured on a quarterly basis during such calendar year, the “LEU Demand”) will be communicated by Lantheus to NTP no later than December 1st of the immediately preceding year (e.g., the LEU Demand for each calendar quarter during the period from January 1, 2013 through December 31, 2013 will be communicated to NTP no later than December 1, 2012).  It is understood and agreed that the LEU Demand is only an estimate and not a binding forecast for any relevant period, provided, however, that both Parties acting in good faith will use commercially reasonable efforts to achieve the common goal described herein relating to the development of a more robust supply of LEU-based Product by NTP and its Subcontractors and an associated increase in demand from Lantheus.  The accuracy of the LEU Demand for the then-current calendar quarter will be reviewed on a monthly basis and where appropriate modified by Lantheus’ Forecast and NTP’s ability to supply.  To the extent that the total volume of LEU-based Product available for sale by NTP and its Subcontractors is not sufficient to meet all customer orders for any reason, NTP and its Subcontractors shall supply Lantheus’ orders first and to the greatest extent possible (referred to herein as a “first priority basis”) with LEU-based Product, provided that, during periods of normal supply from January 1, 2013 through December 31, 2015, the amount of LEU-based Product available to Lantheus on a first priority basis will be limited to the LEU Demand for such period (as modified by Lantheus’ Forecasts).  For purposes of clarity, the parties acknowledge and agree that, in the event of an outage or supply shortage affecting Lantheus’ supply of Product, any amounts of Product ordered by Lantheus hereunder on a weekly basis (including any amounts of Product in excess of the purchase volume commitments set forth in Section 2.1(b) or the LEU Demand for such period) shall be filled by NTP and its Subcontractors with LEU-based Product on a first priority basis.  The parties further acknowledge and agree that NTP’s and its Subcontractors’ supply of LEU-based Product to Lantheus on a first priority basis and the purchase volume commitments set forth in Section 2.1(b) are essential to the purpose of this Agreement (including, but not limited to, the extended term set forth herein).  NTP and its Subcontractors shall use their best efforts to supply any amounts of LEU-based Product ordered by Lantheus, with the understanding that NTP’s or its Subcontractors’ ability to supply such LEU-based Product may be affected by their scheduled outages for routine maintenance or unscheduled outages 

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or failures of production lines.  The parties will work together in good faith to establish supply schedules for the production and supply of LEU-based Product from NTP and its Subcontractors based on the market demand for the manufacture and supply of Lantheus’ Technetium-99m generators.  NTP and its Subcontractors will also ensure the segregation of HEU and LEU-based Product when a mix of such Product is delivered to Lantheus in one aggregate shipment.  The parties acknowledge and agree that the levels of LEU-based Product set forth in this Section 2.1(d) shall not be construed as a “take-or-pay” or minimum volume requirement that otherwise modifies Section 2.1(a) hereof.

(e)    In the case of scheduled or unscheduled outages or production line failures for whatever reason (and for Events of Force Majeure (as hereinafter defined)) affecting NTP or its Subcontractors, Lantheus will receive, in addition to any available supply of LEU-based Product, a share of HEU-based Product available that is not less than that which is directly proportional to its average share of the total weekly purchasing (averaged over the preceding three (3) months) from NTP and its Subcontractors.  NTP and its Subcontractors will also use their best efforts to make available any additional volumes of Product requested by Lantheus and, provided that Lantheus has satisfied its purchase volume commitments set forth in Section 2.1(b) for the immediately preceding twelve (12) month period and Lantheus is the largest customer of NTP and its Subcontractors during such period (as calculated consistent with calibrations as set out in Section 2.5), shall provide Lantheus with a right to purchase any Product available for sale by NTP or its Subcontractors on a first priority basis.

For clarity and as an example: 

If NTP or its Subcontractors experiences a production line failure affecting the supply of Product hereunder, and NTP and its Subcontractors sold an average weekly volume of 2,000 curies of Product, and Lantheus purchased from NTP an average weekly volume of 1,000 curies of Product, in the preceding three months (each as measured using the calibration as set forth in Section 2.5), then, in addition to any available supply of LEU-based Product, Lantheus would be entitled to receive at least fifty percent (50%) of the volume of HEU-based Product available for sale by NTP and its Subcontractors.

(f)    In situations where (i) a global supply shortage arises due to the planned or unplanned shutdown of a reactor or Mo-99 processing facility controlled by third party suppliers other than NTP or its Subcontractors or (ii) Lantheus’ supply of Molybdenum-99 from third party suppliers other than NTP or its Subcontractors is adversely affected for whatever reason (including, but not limited to, scheduled or unscheduled reactor outages that 

5

result in shortages from such third party suppliers), NTP and its Subcontractors will supply routine orders for Product placed by Lantheus.  NTP and its Subcontractors will also use their best efforts to make available any additional volumes of Product requested by Lantheus and, provided that, in each case, Lantheus has satisfied its purchase volume commitments set forth in Section 2.1(b) for the immediately preceding twelve (12) month period, shall provide Lantheus with a right of first refusal to purchase any Product available for sale by NTP or its Subcontractors on a first priority basis.

(g)    The NRU Reactor located in Chalk River, Ontario is required by the Canadian Nuclear Safety Commission within the terms of the operating license extension granted through October 31, 2016 to undergo extended shut-downs of at least one month in duration on an annual basis for inspection and maintenance.  NTP and its Subcontractors share the objective of providing Lantheus with all or substantially all of Lantheus’ total requirements of Product during the NRU Reactor’s currently scheduled shutdown period in 2013, provided that Lantheus has satisfied its purchase volume commitments for the immediately preceding twelve (12) month period, and NTP and its Subcontractors will use their best efforts to provide Lantheus with all or substantially all of its total requirements of Product during any NRU Reactor’s shutdown periods in each year thereafter, provided that, in each case, Lantheus has satisfied its purchase volume commitments set forth in Section 2.1(b) for the immediately preceding calendar year.  In support of these efforts, the parties will work together in good faith to identify strategies to increase NTP’s or its Subcontractors’ available production capacity for Product ordered by Lantheus during the NRU Reactor’s scheduled shutdown periods commencing in 2014 (or any similar outages or supply shortages), including, but not limited to, facility enhancements or improvements to be made by NTP or its Subcontractors, provided that, in each case, Lantheus has satisfied its purchase volume commitments set forth in Section 2.1(b) for the immediately preceding twelve (12) month period.

(h)    NTP and its Subcontractors will enter into a back-up supply agreement with IRE to support the obligations of NTP and its Subcontractors to Lantheus hereunder.  Such agreement is expected to be in place by December 31, 2012 and in a form reasonably acceptable to Lantheus.  In addition, NTP has established and shall maintain relationships with air carriers for the Lantheus route such that the probability of a Lantheus shipment being refused by the carrier shall be highly improbable.  NTP shall liaise (via the Account Manager at NTP) with its Subcontractors, taking into account the reactor production and maintenance schedules of each facility, and supply Lantheus thirty-five (35) days in advance of the first delivery of a month, the supply schedule for the following month detailing clearly which 

6

supplier (NTP or a Subcontractor) will supply such delivery.  For clarity and as an example, NTP will provide Lantheus the March 2010 supply schedule on 27 January 2010.  This supply schedule will be binding on NTP and its Subcontractors and will be used by Lantheus to register each shipment with applicable U.S. governmental authorities as dictated by U.S. regulations.  If the airport of delivery is JFK, then Product will be available for pick-up by Lantheus no later than 12:00 Noon.  If the airport of delivery is BOS, then Product will be available for pick-up by Lantheus no later than 3:00PM.  Pick-up time for any other delivery location will be mutually agreed upon.

(i)    Notwithstanding the foregoing, NTP and its Subcontractors hereby acknowledge and agree that the diversification of supply provided by NTP through its supply and back-up supply arrangements with its Subcontractors is essential to the purpose of this Agreement.  NTP and its Subcontractors hereby agree to use their best efforts to avoid any supply disruptions through an increased cooperation with respect to planned inspection and maintenance activities or any other activities within the control of NTP or its Subcontractors that are reasonably likely to result in an outage or supply shortage for Lantheus (e.g., the planned shutdown of two reactors or processing facilities at any one time).  In addition, NTP and its Subcontractors shall give Lantheus prompt notice of any impending or threatened events that could reasonably result in a supply shortage or failure and shall cooperate fully with Lantheus regarding any plans to avoid or mitigate any disruption in the supply of Product to Lantheus.  Without limiting the rights of Lantheus elsewhere in this Agreement, if at any time during the term of this Agreement the consortium of supply partners changes or NTP or its Subcontractors does not or cannot deliver the quantities specified in this Section 2.1 on a weekly basis in a reliable manner, the parties will make a good faith effort to renegotiate the terms of this Agreement.  In the event the parties are unable to agree on modification of this Agreement within a reasonable period of time (not to exceed sixty (60) days), in addition to any other remedies that it might have, Lantheus shall have the sole right, after giving NTP thirty (30) days prior written notice, to terminate this Agreement.

		
	2.2
	Section 5.1 of the Agreement is hereby amended by deleting in its entirety said Section 5.1 and replacing therewith the following:

		
	5.1
	The price payable by Lantheus for Product shall be as follows:

(a)    Commencing October 1, 2012 and continuing through December 31, 2012, the unit price of Product shall be four hundred and ninety fixed US dollars (US$490) per Curie at calibrated date and time for the first five hundred (500) curies delivered per week and three hundred and eighty four fixed US dollars (US$384) per Curie at 

7

calibrated date and time for all curies in excess of the first five hundred (500) curies delivered per week.  The calibration date and time shall be in accordance with Section 2.5. 

(b)    Commencing January 1, 2013 and continuing through December 31, 2017, the unit price of Product shall be as follows:

(i)    The unit price of Product for the period from January 1, 2013 through December 31, 2013 shall be US$475 per Curie;

(ii)    The unit price of Product for the period from January 1, 2014 through December 31, 2014 shall be US$494 per Curie;

(iii)    The unit price of Product for the period from January 1, 2015 through December 31, 2015 shall be increased from the prior year’s pricing by an amount equal to the lesser of (i) four percent (4%) and (ii) one half (1/2) of the annual percentage increase, if any, for the most recent twelve-month period for which figures are available in the South African Producer Price Index published by Statistics South Africa or, if the same is no longer published, the successor index that is most similar thereto (the “PPI”);

(iv)    The unit price of Product for the period from January 1, 2016 through December 31, 2016 shall be increased from the prior year’s pricing by an amount equal to the lesser of (i) two and one-half percent (2.5%) and (ii) one quarter (1/4) of the annual percentage increase, if any, for the most recent twelve-month period for which figures are available in the PPI; and

(v)    The unit price of Product for the period from January 1, 2017 through December 31, 2017 shall be increased from the prior year’s pricing by an amount equal to the lesser of (i) two and one-half percent (2.5%) and (ii) one quarter (1/4) of the annual percentage increase, if any, for the most recent twelve-month period for which figures are available in the PPI.

Pricing for the period from January 1, 2015 through December 31, 2015 and each year thereafter will be communicated to Lantheus by NTP no later than October 1st of the previous year.  The calibration date and time shall be in accordance with Section 2.5.

(c)    The parties will negotiate in good faith a commercially reasonable adjustment to the then-current pricing in the event there are material, substantial and sustained changes to the direct and indirect costs of material and labor inputs necessary for NTP and its 

8

Subcontractors to manufacture the Product, in each case for a period of at least twelve (12) consecutive months.  In addition, in the event Lantheus directly benefits from increased third party reimbursement from public or private payors relating to technetium-derived from Lantheus’ generators utilizing LEU-based Product, then, subject to NTP and its Subcontractors providing the certifications and documentation for such Product required by the applicable laws and regulations, Lantheus and NTP will negotiate in good faith a commercially reasonable adjustment to the then-current pricing in light of such reimbursement benefit.

(d)    For so long as Lantheus has satisfied its purchase volume commitments set forth in Section 2.1(b) as measured with reference to the average volume of curies purchased over the immediately preceding twelve (12) month period and Lantheus is the largest customer of NTP and its Subcontractors in North America as measured during such period (as calculated consistent with calibrations as set out in Section 2.5), the prices payable by Lantheus for Product shall not be higher than the purchase price (as calculated consistent with calibration as set out in Section 2.5) paid by any other purchaser of Product from NTP or its Subcontractors for delivery into or use in North America, regardless of whether such delivery or use is direct or indirect.  In addition, for so long as Lantheus purchases more than 1,500 curies per week, as measured with reference to the average volume of curies purchased in the immediately preceding twelve (12) month period (as calculated consistent with calibration as set out in Section 2.5), the prices payable by Lantheus for Product shall not be higher than the purchase price (as calculated consistent with calibration as set out in Section 2.5) paid by any other purchaser of Product from NTP or its Subcontractors for any delivery or use, as measured on a global basis.  For purposes of calculating the purchase price paid by other purchasers of Product in order to determine if any price adjustment shall be made hereunder, the parties agree that the purchase price paid by each purchaser will be calculated after giving effect to all rebates, discounts, and similar pricing concessions or incentives available to such purchasers (but excluding governmental purchases or purchases for other non-commercial purposes), and, if such purchase price is paid in a currency different from the United States dollar pursuant to a written contract or spot order, such purchase price shall be determined using the exchange rate of the United States dollar against such different currency applicable to such purchases as of the date of entering into, or modifying the pricing-related terms of, such contracts or spot orders.  In addition, noncompliance with the foregoing provisions will result in a reduction to the price payable by Lantheus for Product hereunder only during 

9

the period in which the purchase price of product sold to other purchasers was lower than the then-current price set forth herein.  Compliance with requirements of this Section 5.1(d) will be confirmed at the end of each calendar year, at which time NTP will furnish to Lantheus a certificate, executed by a duly authorized officer of NTP stating that such officer has reviewed the sales of such Product during such period and that NTP and its Subcontractors have complied with this Section 5.1(d).  To the extent it is determined that NTP is not in compliance with this Section 5.1(d), NTP will adjust the pricing payable by Lantheus and credit Lantheus with the difference between the price paid by Lantheus and the amount otherwise contemplated by this Section 5.1(d).

(e)    NTP shall invoice Lantheus at the end of each month for all Product supplied by NTP or its Subcontractors in that month.  Invoicing shall be in respect of the price applicable to Product upon delivery of such conforming Product to Lantheus on an FCA basis, and in respect of container charges as the same become payable under this Agreement.  Lantheus shall pay all invoices for shipments of conforming Product in any given month (as reduced by any outstanding credits for nonconforming Product) by the end of the following month to NTP.

		
	2.3
	Section 11.1 of the Agreement is hereby amended by deleting the reference to the “31st day of December 2013” and replacing it with the “31st Day of December 2017.”

		
	2.4
	Exhibit B of the Agreement is hereby amended by removing “THE INSTITUT NATIONAL DES RADIOÉLÉMENTS of Fleurus, Belgium” as of the effective date of this Amendment.  For purposes of clarity, the parties acknowledge that all references to “its Subcontractor” or “its Subcontractors” in the Agreement immediately after the effective date of this Amendment shall mean the Australian Nuclear Science and Technology Organisation (ANSTO).

3.    Waiver.  Each party hereby waives any non-compliance with the terms and provisions of the Agreement relating to the purchase volume requirements as in effect immediately prior to the amendment thereof by this Agreement.

4.    General.  Except as specifically amended hereby, the Agreement remains in full force and effect and otherwise unamended hereby.  This Amendment constitutes a final written expression of the terms hereof and is a complete and exclusive statement of those terms.  This Amendment shall be governed by and construed in accordance with the laws of England, without reference to the choice of laws rules of any jurisdiction.

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IN WITNESS WHEREOF, the parties hereto have duly executed this Amendment as of the date first written above.

For and on behalf of NTP:
                    	
	
	/s/ Don Robertson

	Name and Title: Don Robertson, MD

For and on behalf of Lantheus:
                    	
	
	/s/ Donald R. Kiepert

	Name and Title: Don Kiepert, CEO

For and on behalf of ANSTO:
                    	
	
	/s/ Doug Cubbin

	Name and Title: Doug Cubbin, GM BD&C

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