Amended Exhibit E to Avail Manufacturing Contract (Conceptus Inc. and FlexMedical Disposables)
This amended exhibit is an update to the pricing terms for the Essure product between Conceptus Inc. and FlexMedical Disposables. It outlines a tiered pricing matrix based on the quantity of product kits ordered, with specific price adjustments for cost increases and reductions related to components and manufacturing changes. The document also details the effective dates and conditions for each price change. Both parties have approved the updated terms with signatures from their respective executives.
Exhibit 10.32
Conceptus Pricing Matrix
Product Number: ESS305
Product Description: Essure Product
Last Update: 07/26/10
| Tier Brackets | Product Kit Quantity | Original Contract Price | Added PPV (Coils/other) $9.85 Price Increase | Cost Reduction (Introducers/Bands) $3.48 Price Reduction | Cost Reduction (FlexMedical Coils) $9.15 Price Reduction | Cost Reduction (PwC Tight Pitch Coil) $1.68 Price Reduction | ||||||||||||||||
| Tier 1 | 0 - 50,000 | $ | 114.78 | $ | 124.63 | $ | 121.15 | $ | 112.00 | $ | 110.32 | |||||||||||
| Tier 2 | 50,001 - 75,000 | $ | 111.28 | $ | 121.13 | $ | 117.65 | $ | 108.50 | $ | 106.82 | |||||||||||
| Tier 3 | 75,001 - 120,000 | $ | 105.10 | $ | 114.95 | $ | 111.47 | $ | 102.32 | $ | 100.64 | |||||||||||
| Tier 4 | 120,001 + | $ | 97.92 | $ | 107.77 | $ | 104.29 | $ | 95.14 | $ | 93.46 | |||||||||||
Assumptions/Notes:
1. The $9.95 price increase is retroactive to all 2009 shipments and continues through 3/31/2010 shipments.
2. The $3.48 price reduction is a combination of a $2.06 price decution from Stack Plastics and is retroactive to January 1st, 2010 and a $1.42 price reduction from switching to Medelec bands. The cost savings for switching to Medelec bands considers a 50/50 cost savings with FlexMedical. The new Medelec bands are estimated to be used on shipments starting 3/25/2010.
3. The $9.15 price reduction for FlexMedical manufactured coils is effective April 1st, 2010.
4. The $1.68 price reduction for the PwC tight pitch coils is projected to be implemented by 8/16/2010. Total cost savings was $3.36 which was split 50/50 amongst FlexMedical and Conceptus.
Approvals:
| Signature | /s/ Greg Lichtwardt | Date: | 7/28/2010 | |||
| Greg Lichtwardt | ||||||
| Executive Vice President | ||||||
| Operations & Chief Financial Officer | ||||||
| Conceptus Inc. | ||||||
| Signature | /s/ Chris Faller | Date: | 7/27/2010 | |||
| Chris Faller | ||||||
| Vice President, Operations | ||||||
| FlexMedical Disposables | ||||||
