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AOL Inc. – ‘10-12B/A’ on 9/16/09 – ‘EX-10.50’

On:  Wednesday, 9/16/09, at 9:14am ET   ·   Private-to-Public:  Document/Exhibit  –  Release Delayed   ·   Accession #:  1193125-9-192456   ·   File #:  1-34419

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  As Of                Filer                Filing    For·On·As Docs:Size              Issuer               Agent

 9/16/09  AOL Inc.                          10-12B/A¶             68:6.6M                                   Donnelley … Solutions/FA

Amendment to Registration of Securities (General Form)   —   Form 10
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: 10-12B/A    Amendment No. 1 to Form 10                          HTML    100K 
68: CORRESP   ¶ Comment-Response or Other Letter to the SEC         HTML     84K 
 2: EX-2.1      Plan of Acquisition, Reorganization, Arrangement,   HTML    187K 
                          Liquidation or Succession                              
 3: EX-3.1      Articles of Incorporation/Organization or By-Laws   HTML     31K 
 4: EX-3.2      Articles of Incorporation/Organization or By-Laws   HTML     97K 
 5: EX-10.1     Material Contract                                   HTML     80K 
10: EX-10.10    Material Contract                                   HTML     71K 
11: EX-10.11    Material Contract                                   HTML     33K 
12: EX-10.12    Material Contract                                   HTML     33K 
13: EX-10.13    Material Contract                                   HTML     33K 
14: EX-10.14    Material Contract                                   HTML     37K 
15: EX-10.15    Material Contract                                   HTML     37K 
16: EX-10.16    Material Contract                                   HTML     37K 
17: EX-10.17    Material Contract                                   HTML     30K 
18: EX-10.18    Material Contract                                   HTML     24K 
19: EX-10.19    Material Contract                                   HTML     20K 
20: EX-10.20    Material Contract                                   HTML     52K 
21: EX-10.21    Material Contract                                   HTML     52K 
22: EX-10.22    Material Contract                                   HTML    247K 
23: EX-10.23    Material Contract                                   HTML     56K 
24: EX-10.24    Material Contract                                   HTML     45K 
25: EX-10.25    Material Contract                                   HTML     44K 
26: EX-10.26    Material Contract                                   HTML     30K 
27: EX-10.27    Material Contract                                   HTML     36K 
28: EX-10.28    Material Contract                                   HTML     29K 
29: EX-10.29    Material Contract                                   HTML     31K 
30: EX-10.30    Material Contract                                   HTML     63K 
31: EX-10.31    Material Contract                                   HTML     34K 
32: EX-10.32    Material Contract                                   HTML     29K 
33: EX-10.33    Material Contract                                   HTML     96K 
34: EX-10.34    Material Contract                                   HTML     29K 
35: EX-10.35    Material Contract                                   HTML     30K 
36: EX-10.36    Material Contract                                   HTML     30K 
37: EX-10.37    Material Contract                                   HTML     30K 
38: EX-10.38    Material Contract                                   HTML     30K 
39: EX-10.39    Material Contract                                   HTML     30K 
40: EX-10.40    Material Contract                                   HTML    124K 
41: EX-10.41    Material Contract                                   HTML     30K 
42: EX-10.42    Material Contract                                   HTML     32K 
43: EX-10.43    Material Contract                                   HTML     31K 
44: EX-10.44    Material Contract                                   HTML     72K 
45: EX-10.45    Material Contract                                   HTML     31K 
46: EX-10.46    Material Contract                                   HTML     21K 
47: EX-10.47    Material Contract                                   HTML    182K 
48: EX-10.48    Material Contract                                   HTML     25K 
49: EX-10.49    Material Contract                                   HTML     27K 
50: EX-10.50    Material Contract                                   HTML     57K 
51: EX-10.51    Material Contract                                   HTML     23K 
52: EX-10.52    Material Contract                                   HTML     43K 
53: EX-10.53    Material Contract                                   HTML    126K 
54: EX-10.54    Material Contract                                   HTML    113K 
55: EX-10.55    Material Contract                                   HTML     31K 
56: EX-10.56    Material Contract                                   HTML     27K 
57: EX-10.57    Material Contract                                   HTML     43K 
58: EX-10.58    Material Contract                                   HTML     86K 
59: EX-10.59    Material Contract                                   HTML     22K 
 6: EX-10.6     Material Contract                                   HTML    148K 
60: EX-10.60    Material Contract                                   HTML     26K 
61: EX-10.61    Material Contract                                   HTML     48K 
62: EX-10.62    Material Contract                                   HTML     26K 
63: EX-10.63    Material Contract                                   HTML     22K 
64: EX-10.64    Material Contract                                   HTML     40K 
65: EX-10.65    Material Contract                                   HTML    576K 
66: EX-10.66    Material Contract                                   HTML     36K 
 7: EX-10.7     Material Contract                                   HTML    115K 
 8: EX-10.8     Material Contract                                   HTML     69K 
 9: EX-10.9     Material Contract                                   HTML     67K 
67: EX-99.1     Miscellaneous Exhibit                               HTML   1.78M 


‘EX-10.50’   —   Material Contract


This Exhibit is an HTML Document rendered as filed.  [ Alternative Formats ]



  Exhibit 10.50  

Exhibit 10.50

 

Amendment No. 3 to

NETWORK SERVICES AGREEMENT

This Amendment No. 3 (the “Amendment No. 3”) to the Network Services Agreement dated January 1, 2004, as amended by Amendment No.1 dated June 9, 2004 and Amendment No. 2 dated January 1, 2005, (as amended, the “Agreement”) is hereby entered into on July 1, 2006 (the “Amendment No. 3 Effective Date”) by and between AOL LLC (formerly known as America Online, Inc.), a Delaware corporation with offices at 22000 AOL Way, Dulles, Virginia 20166 (“AOL”) and MCI Communications Services, Inc. d/b/a Verizon Business Services, successor-in-interest to MCI Network Services, Inc. which was formerly known as MCI WORLDCOM Network Services, Inc., with offices at 22001 Loudoun County Parkway, Ashburn, Virginia 20147 (“Verizon”). Capitalized terms used but not defined herein shall have the meanings given to them in the Agreement. All references to MCI shall be deemed to refer to Verizon.

The parties hereby agree to the following:

 

1. PURCHASE COMMITMENT. Commencing with the Amendment No. 3 Effective Date, and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 3.1 in its entirety:

 

  3.1 PURCHASE COMMITMENT. Subject to Verizon’s material compliance with this Agreement as set forth in Section 3.3, AOL will purchase the Services from Verizon as follows:

 

  (i) From January 1, 2004 through December 31, 2004, AOL will have a minimum annual revenue commitment of [****] (the “2004 Purchase Commitment”).

 

  (ii) From January 1, 2005 through December 31, 2005, AOL will purchase from Verizon a minimum annual aggregate of [****] percent [****] of the Total AOL Dial-up Service Hours (the “2005 Market Share Commitment”) at the corresponding prices set forth in Section 0. For the avoidance of doubt, the 2005 Market Share Commitment shall only be measured annually, not monthly and AOL is not obligated to maintain a monthly market share commitment.

 

  (iii) From January 1, 2006 through December 31, 2006, AOL will purchase from Verizon a minimum of [****] percent [****] of Total AOL Dial-up Service Hours (the “2006 Market Share Commitment”) at the corresponding prices set forth in Section 4.1(i) and subject to subsection (iv) below. For the avoidance of doubt, the 2006 Market Share Commitment shall only be measured annually, not monthly and AOL is not obligated to maintain a monthly market share commitment.

 

  (iv) From January 1, 2007 through December 31, 2007, AOL will purchase from Verizon a minimum annual aggregate of [****] percent [****] of the total AOL Dial-up Service Hours (the “2007 Market Share Commitment”) at the corresponding prices set forth in Section 4.1(i) and subject to subsection (iv) below. For avoidance of doubt, the 2007 Market Share Commitment shall only be measured annually, not monthly and AOL is not obligated to maintain monthly market share commitment.

 

  (v)

From January 1, 2007 through January 31, 2007, AOL may notify Verizon in writing that it wishes to convert the pricing mechanism for the Services from a

 

 

06.02.06(2)    Page 1 of 6    AOL/MCI Confidential


 

 

[****] set forth in Section 4.1(i). Verizon agrees to begin negotiations upon such request in order to reach mutually agreeable terms and amend the Agreement.

 

  (iv) Total AOL Dial-up [****] in excess of [****] each month shall be excluded from the 2006 and 2007 Market Share Commitments (i.e., AOL shall be bound to purchase from Verizon a minimum of [****] percent [****] of Total AOL Dial-up Service Hours only up to [****] per month).

 

2. TAKE OR PAY REMEDY. Commencing with the Amendment No. 3 Effective Date and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 3.3 in its entirety:

 

  3.3 For the 2004 Purchase Commitment AOL will, subject to the terms of this Agreement, owe Verizon no less than an amount equal to [****]. For 2005, 2006 and 2007, under each Purchase Commitment, AOL will, subject to the terms of this Agreement, owe Verizon no less than an amount equal to the [****]. In the event AOL does not satisfy the Purchase Commitment for the applicable Measurement Period, then Verizon may invoice AOL for an additional fee in an amount equal to [****] of the difference between the aggregate invoiced amounts and the Purchase Commitment for that year (“Take or Pay Remedy”). Verizon shall provide AOL with an invoice for this Take or Pay Remedy within [****] days of the end of each calendar year, and AOL shall pay the full amount, [****] days of [****] such invoice. The parties agree that this Take or Pay Remedy [****].

 

3. PORT PRICING. Commencing with the Amendment No. 3 Effective Date, and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 4.1(i) in its entirety:

 

  4.1 Port Pricing; Invoicing.

 

  (i) The base charge for each Dial-Up Access Port [****] (the “Port Price”) shall be as set forth in the following table.

 

     

Year

 

  

[****] per Month

 

  

Price per [****]

 

 
     
2004     

0 to [****]

 

[****] or greater

 

   [

 

[

 

****] 

 

****] 

 

     
2005     

Up to [****] of Monthly Traffic

 

All [****] above [****] of Monthly Traffic

 

   [

 

[

 

****] 

 

****] 

 

 

 

06.02.06(2)    Page 2 of 6    AOL/MCI Confidential


 

     

2006  

  

January 1 to June 30

 

Up to [****] of Monthly Traffic and

 

All [****] above [****] of Monthly Traffic

 

   [****]

 

[****]

 

     

2006  

  

July 1 to December 31

 

Up to [****] of Monthly Traffic and

 

All [****] above [****] of Monthly Traffic

 

   [****]

 

[****]

 

     

2007  

  

January 1 to December 31

 

Up to [****] of Monthly Traffic and

 

All [****] above [****] of Monthly Traffic

 

   [****]

 

[****]

 

For the avoidance of doubt, only incremental [****] each month in excess of the above volume/price tiers will be priced at the corresponding rate (for instance, if in March 2005, AOL directs [****] of the Total AOL Dial-up Network [****] to Verizon, the initial [****] of those Dial-Up Service [****] will be maintained at the [****] rate and the remaining incremental [****] will be priced at the [****] rate).

 

   

Year

 

  

Fixed Port

 

   

2007

 

   [****]

 

 

4. INVOICING. Commencing with the Amendment No. 3 Effective Date and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 4.1(iv) in its entirety:

 

  4.1 Invoicing.

(iv)        Verizon shall invoice AOL for applicable charges for the Services based on AOL [****] of usage during each month as determined by the Verizon Global Usage Report. [****]

 

 

06.02.06(2)    Page 3 of 6    AOL/MCI Confidential


 

5. TOLL FREE PORTS. Commencing with the Amendment No. 3 Effective Date and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 4.3 in its entirety:

 

  4.3 Toll-Free Ports. In addition to the Services, Verizon shall provide toll-free Dial-Up Access Ports so that AOL members may access toll-free dial-up telephone numbers throughout the United States (“Toll Free Ports”). As of the Amendment No. 3 Effective Date, AOL is purchasing [****] Toll Free Ports (“Current Toll-Free Ports”). [****] In the event AOL orders any Toll-Free Ports in excess of the Current Toll-Free Ports, the price for such ports shall be as set forth in the table below. The toll-free telephone numbers shall not be changed without the prior written approval of AOL. Upon reasonable advance notice to Verizon, AOL shall have the right to reassign Toll-Free Ports among different toll-free telephone number pools provided hereunder. AOL may, upon [****] days notice, cancel any of the Toll Free Ports.

 

Year    Toll-Free Port Price  

2004

   [ ****] 

2005

   [ ****] 

2006

   [ ****] 

2007

   [ ****] 

 

6. CFO CERTIFICATIONS. Commencing with the Amendment No. 3 Effective Date and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 5.2 in its entirety:

 

  5.2 CFO Certifications.

 

  (i) For 2005, 2006 and 2007, within [****] of the end of the applicable Measurement Period, AOL’s CFO (or another AOL executive to whom the CFO delegates this authority in writing) shall present Verizon with a written certification and supporting documentation which demonstrates to Verizon’s reasonable satisfaction that AOL has met [****]. Upon request by Verizon, AOL shall provide a copy of the CFO’s delegation of authority referred to above.

 

  (ii)

For 2005, 2006 and 2007, within [****] days of the end of each applicable calendar quarter, AOL’s CFO (or another AOL executive to whom the CFO delegates this authority in writing) shall present Verizon with a written certification and supporting documentation which demonstrates to Verizon’s reasonable satisfaction [****]. The information presented to Verizon shall be [****] AOL based on the volume of traffic delivered at the incremental [****] rate (i.e., in excess of [****] each month during 2006 and 2007) in each month of the preceding calendar quarter. Upon request by Verizon, AOL shall provide a copy of the CFO’s delegation of authority referred to

 

 

06.02.06(2)    Page 4 of 6    AOL/MCI Confidential


 

 

above.

 

7. TERM. Commencing with the Amendment No. 3 Effective Date and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 10.1 in its entirety:

 

  10.1 Term. The term of this Agreement shall commence on January 1, 2004 and continue until December 31, 2007 (Initial Term). AOL may elect to extend the term of the Agreement for [****] extension term by giving Verizon ninety [****] notice prior to the expiration; provided, however, that Verizon may reject the extension [****]. In the event AOL elects to extend the Initial Term, the 2007 Market Share Commitment and the corresponding pricing shall apply.

 

8. EXHIBIT A SPECIFICATIONS — THROUGHPUT. Commencing with the Amendment No. 3 Effective Date and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 1.1 of Exhibit A in its entirety:

 

  1.1 Verizon shall provision end-to-end backhaul capacity to the AOL dial termination facility such that available bandwidth is [****] at all times during calendar year 2004 and [****] at all times from January 1, 2005. In accordance with the specifications set forth in this exhibit, Verizon shall deliver all traffic via dedicated circuits between Verizon’s network and either (i) AOL Data Centers [****] or (ii) AOL ATDN POPs within the United States, as specified by AOL and agreed to by Verizon. [****]

AOL and Verizon will work together to change the method by which dial traffic is exchanged between the Verizon backbone facilities and AOL’s dial termination facilities, in order to migrate dial traffic from dedicated circuits and equipment to shared peering circuits and equipment, which will not be dedicated to AOL traffic. When migration is completed, Verizon will provision backhaul capacity to its core backbone routers, which connect to the Verizon peering routers such that available bandwidth will be no [****] at all times. Verizon will use a reasonable standard of care in providing this Service.

AOL may propose additional dial termination facilities to which Dial-Up Access traffic will be terminated hereunder, which Verizon will supply at [****]. For routing to any such additional dial termination facility, Verizon and AOL will agree on how IP routing is implemented.

 

9. EXHIBIT A SPECIFICATIONS — UTILIZATION. Commencing with the Amendment No. 3 Effective Date and notwithstanding anything to the contrary in the Agreement, the following language will replace Section 1.2 of Exhibit A in its entirety:

 

 

06.02.06(2)    Page 5 of 6    AOL/MCI Confidential


 

  1.2 The circuits connecting the network backbone to any AOL dial termination facility shall not exceed [****] utilization. Verizon shall measure the bits arriving at AOL’s dial termination facilities over recurring [****] intervals. Upon completion of migration from [****], as described in Section 1.1 above, this Section 1.2 will no longer apply.

 

10. [****]

 

11. WAIVER OF TERMINATION RIGHT. [****]

 

12. NAME CHANGE. The parties acknowledge that the legal entity formerly known as America Online, Inc., a Delaware corporation, is now known as AOL LLC, a Delaware limited liability company, and all references herein and in the Agreement to “America Online, Inc.” or “AOL” refer to AOL LLC.

 

13. OTHER TERMS AND CONDITIONS. Except as specifically amended or modified herein, the terms and conditions of the Agreement will remain in full force and effect throughout the Term and any extensions thereof. In the event of any conflict between the terms of this Amendment 3 and the terms of the Agreement, the terms of this Amendment 3 shall govern.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement effective as of the Amendment No. 3 Effective Date.

 

AOL LLC       MCI COMMUNICATIONS SERVICES, INC.
By:   /s/ Frank Ambrose       By:   /s/ Suleiman Hessami
Name:   Frank Ambrose       Name:   Suleiman Hessami
Title:   SVP       Title:    
Date:   June 5, 2006       Date:   6/16/06

 

 

06.02.06(2)    Page 6 of 6    AOL/MCI Confidential

Dates Referenced Herein

This ‘10-12B/A’ Filing    Date    Other Filings
Filed on:9/16/09None on these Dates
12/31/07
1/31/07
1/1/07
12/31/06
7/1/06
6/5/06
1/1/06
12/31/05
1/1/05
12/31/04
6/9/04
1/1/04
 List all Filings 


1 Subsequent Filing that References this Filing

  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

10/13/09  SEC                               UPLOAD9/22/17    1:24K  AOL Inc.
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Filing Submission 0001193125-09-192456   –   Alternative Formats (Word / Rich Text, HTML, Plain Text, et al.)

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