EX-10.12(A) AMENDMENT TO AGREEMENT
EX-10.12(A) 5 g81455exv10w12xay.txt EX-10.12(A) AMENDMENT TO AGREEMENT EXHIBIT 10.12(a) DAIMLER CHRYSLER DAIMLERCHRYSLER CORPORATION (CHRYSLER) WITH A BUSINESS ADDRESS AT 800 CHRYSLER DRIVE EAST AUBURN HILLS, MI ###-###-####, HEREBY AGREES TO PURCHASE AND Allied Systems 160 Clairmont Avenue Decatur, GA 30030 (CARRIER) AGREES TO SELL AND DELIVER THE SERVICES MOTOR CARRIER SPECIFIED HEREIN IN ACCORDANCE WITH THE TERMS AND TRANSPORTATION CONDITIONS ON THE FACE AND REVERSE SIDE HEREOF. CONTRACT ANY NUMBERED ATTACHMENTS HERETO AND PURSUANT TO 49 ALZS1, AUHL1, TPPP1 U.S.C. 10713 FOR THE TRANSPORTATION OF COMMODITIES Amendment 3 REGULATED BY THE SURFACE TRANSPORTATION BOARD (STB). DESCRIPTION OF SERVICES
1. Rates will be increased [XXX] % effective 1/16/03 for all of Allied's business: ALZS1, AUHL1, TPPP1 2. DaimlerChrylser agrees to pay Allied $[XXX] which represents the [XXX]% increase for the time period of 1/1/03 to 1/15/03. 3. The Chrysler Group and Allied agree to work together to target a [XXX]% improvement in productivity and cost savings which quality for MCM savings by [XXX]. Productivity enhancements to DaimlerChrysler may include transit time improvement, quality, other savings unrelated to transportation or logistics, or credit related to the value or use of intellectual property. A minimum of [XXX]% cost savings will be booked in MCM by [XXX]. 4. DaimlerChrysler may terminate the Agreement (ALZS1, AUHL1, TPPP1) and this Amendment No. 3 upon the bankruptcy of Allied. 5. MCM savings are defined as improvements that result in cost reductions for the Chrysler Group. 6. Allied agrees to provide their yard management software and tract & trace software to DaimlerChrysler to improve productivity toward the [XXX]% goal. 7. The parties agree to establish a collaborative process to jointly identify and implement opportunities for improvement in operations, route rationalization, asset utilization and process improvements to facilitate achievement of MCM targets in 2003. 8. DaimlerChrysler and Allied agree that the terms of the Agreement, including rates, are confidential and shall not be disclosed. 9. Effective with the execution of this agreement, Allied agrees to submit all freight charges with appropriate backup to DaimlerChrysler within [XXX] days from the date of shipment. 10. Either party may terminate this Amendment No. 3 effective as of December 31, 2003 in the event of nonperformance of the terms and conditions of Amendment No. 3 by the other party. Notice of termination under this Section 10 must be given in writing on or before November 30, 2003. 11. All other contractual terms remain the same. - ------------------------------------------------------------------------------- Allied Systems, Ltd. DaimlerChrysler Corporation By: /s/ Stanley Weaver By: /s/ George H. Telfer Stan Weaver G. H. Telfer Senior Vice President - Sr. Manager Vehicle Sales & Marketing Logistics Date: 01/22/03 - --------- [XXX] Represents material deleted per the Company's request for Confidential Treatment and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 under the Securities Exchange Act of 1934.