Common use of Restructuring Costs Clause in Contracts

Restructuring Costs. In the event that Flextronics determines that it is necessary to restructure a legacy System House, then Nortel agrees to reimburse Flextronics for any severance, shut down or other restructuring costs incurred by Flextronics related to any restructuring of any legacy System Houses (“Restructuring Costs”) up to a maximum of [•]; provided that, Flextronics provides Nortel with supporting evidence, in reasonable detail, of the Restructuring Costs in respect of which it is seeking reimbursement. Flextronics and Nortel will work together to mitigate the parties’ exposure to Restructuring Costs, including any exposure to Nortel for Restructuring Costs or similar costs. Nortel may delay the reimbursement of up to [•] of the [•] until Nortel determines that Flextronics has followed a satisfactory mitigation process, which determination Nortel will make no later than [•]. The parties will continue to work together to try to identify alternatives for using the capacity at the legacy System Houses in order to avoid any such restructuring or reorganization.