Common use of Manufacturing Phase Clause in Contracts

Manufacturing Phase. Upon the payment to SAFER by SIBE of $3.3 million in cash, and the issuance of $2.2 million of Shares to SAFER, with such Shares to be held in escrow and disbursed as provided in Section 11 of this MOU (the "Manufacturing Deposit"), SAFER shall begin the manufacturing of the Plant and the equipment to be installed in the Plant (the "Equipment") (collectively, the "Manufacturing Services"). Thereafter, beginning four (4) weeks after the payment of the Manufacturing Deposit, SIBE shall make further payments to SAFER totaling $4.95 million and $3.3 million of Shares in six equal installments of $825 thousand in cash and $550 thousand of Shares each payable every four (4) weeks (collectively, with the Manufacturing Deposit, the "Manufacturing Payment"), with such Shares to be held in escrow and disbursed as provided in Section 11 of this MOU. Alternatively, If SIBE chooses the Letter of Credit method of payment to sub contractors then SIBE shall make one payment of $8.25 million in cash and issue $5.5 million of Shares to SAFER (with such Shares to be held in escrow and disbursed as provided in Section 11 of this MOU) at the time of the Manufacturing Deposit.