Common use of Additional Royalty Clause in Contracts

Additional Royalty. For all Territory Net Sales above $83,999,999, a royalty based on the following percentages: Territory Net Sales Level achieved by LICENSEE Additional Royalty Percentage ---------------------------------------------- ----------------------------- YEARS 1-4(2) ------------ $84,000,000-105,249,999 5% $105,250,000-157,999,999 0% $ 158,000,000 and up 4% ---------- (1) If the Effective Date of this Agreement is prior to January 1, 1998, LICENSEE shall also pay a base royalty in accordance with this Exhibit prorated by the number of days in 1997 this Agreement is in effect, such royalty payment due on January 31, 1998. (2) The additional royalty payment to LICENSOR for 1998 shall be calculated by applying the royalty payment schedule to the sum of LICENSEE's Territory Net Sales for the last quarter of calendar year 1997 and the full calendar year 1998.

Additional Royalty. For all Territory Net Sales above $83,999,999, a royalty based on the following percentages: Territory Net Sales Level achieved by LICENSEE Additional Royalty Percentage ---------------------------------------------- ----------------------------- YEARS 1-4(22(2) ------------ $84,000,000-105,249,999 5% $105,250,000-157,999,999 0% $ 158,000,000 and up 4% ---------- (1) If the Effective Date of this Agreement is prior to January 1, 1998, LICENSEE shall also pay a base royalty in accordance with this Exhibit prorated by the number of days in 1997 this Agreement is in effect, such royalty payment due on January 31, 1998. (2) The additional royalty payment to LICENSOR for 1998 shall be calculated by applying the royalty payment schedule to the sum of LICENSEE's Territory Net Sales for the last quarter of calendar year 1997 and the full calendar year 1998.