Apple 2003 Annual Report Download - page 130

Download and view the complete annual report

Please find page 130 of the 2003 Apple annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 164

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164

nonconforming and such returned Products were shipped with Apple’s consent prior to their qualification, IBM will, at IBM’s option, repair or
replace the defective Products, or issue a credit for the purchase price. If IBM determines the Products are nonconforming and they were
shipped subsequent to their qualification, IBM will issue a credit or rebate for the purchase price.
10.6 Prior to returning any defective Products to IBM, the Designee shall obtain a Return Merchandise Authorization number (“RMA”)
from IBM (which IBM will provide to the Designee within [**] of the Designee’s request) and provide the specific description of the problem,
by part number for the total quantity of the defective Products. The Designee shall only return the exact quantity authorized in each RMA by
following IBM’s RMA instructions . Each shipping container shall contain only one (1) RMA.
10.7 IBM’s sole liability and the Designee’s exclusive remedy for breach of warranty shall be limited as stated in this Section 10.
11.0 UTILIZATION OF PRODUCTS
11.1 All Products purchased under the Agreement will be: (i) incorporated into and made a part of Apple products; or (ii) combined with
Apple products for sale or lease as an Apple system; or (iii) sold or leased in incidental additional quantities for sale or lease directly to an
unaffiliated third party in conjunction with an installed Apple system, or (iv) scrapped.
12.0 CHANGES TO SCOPE OF WORK
12.1 With respect to Services contracted for hereunder, Apple may, at any time and from time to time, by written notice to IBM, request
changes to the Products, specifications or work scope. The parties shall promptly amend the relevant Attachment to the Agreement to
incorporate any agreed changes and provide a copy of the same to the Designee.
12.2 IBM shall give Apple prior notice of engineering changes affecting the form, fit or function of a Product as set forth in the above-
described JEDEC standard in accordance with the terms and conditions of the Agreement. IBM will, thereafter, provide Designees with
written notice of any such engineering change.
13.0 EXPORT AND OTHER LAWS, REGULATIONS AND ORDINANCES
13.1 The Designee will comply, at its own expense, with all applicable United States (federal, state and local), European Union, and other
country or country group laws, regulations and ordinances, and shall procure all licenses and permits, and shall comply with all relevant export
[**] = information redacted pursuant to a confidential treatment request. Such omitted information has been filed
separately with the Securities and Exchange Commission.