Operating Issues Sample Clauses
The 'Operating Issues' clause defines the procedures and standards for the day-to-day management and operation of a project, asset, or business under the agreement. It typically outlines responsibilities such as maintenance, reporting, compliance with laws, and coordination between parties, and may specify how operational decisions are made or escalated. By clearly delineating operational roles and expectations, this clause helps prevent misunderstandings and disputes, ensuring smooth and efficient ongoing operations.
Operating Issues. (i) approval of annual operating and capital budgets and any amendments and deviations therefrom, exceeding US$5,000,000 in the case of expense items or US$15,000,000 in the case of balance sheet items;
(ii) approval of capital expenditures or lease commitments exceeding US$15,000,000, which were not included in the budget previously approved;
(iii) entering into any material and/or multi-year contracts or other commitments exceeding US$5,000,000 in the aggregate, including, without limitation, licensing of trademarks or technology;
(iv) entering into any business outside of beverages or outside South America; and
(v) increases or decreases in product pricing (x) of more than 5% on a cumulative basis, monitored on a monthly basis, if the annual inflation rate in Argentina is up to 15% and (y) of more than 5% on a cumulative basis in real terms (i.e., adjusted for inflation), monitored on a monthly basis, if the annual inflation rate in Argentina is higher than 15%.
(vi) approval of annual operating targets referred to in Section 4.08.
Operating Issues. The Company agrees that, subject to applicable laws, it shall cooperate in good faith with Parent on mutually agreed operating issues which the parties agree have priority.
Operating Issues