Common use of Volume Requirements Clause in Contracts

Volume Requirements. With respect to each calendar year during the Initial Term, Supplier shall make available to Bayer from its Clayton, North Carolina facility, and Bayer may purchase, that number of kilograms of PPF set forth in Exhibit A, attached hereto and incorporated herein by reference (which conform to the Specifications (as defined in Section 3.1 below)) (as adjusted herein, “Required Quantity”). Upon providing a notice of renewal for an Extended Term in accordance with Article 1, Bayer shall amend Exhibit A to set forth the number of kilograms of PPF that Supplier shall make available to Bayer and that Bayer will purchase from Supplier during such Extended Term; provided that any such number of kilograms cannot exceed one hundred twenty percent (120%) of that number of kilograms shown on Exhibit A then in effect on the date the notice of renewal is provided. Subject to the other provisions contained herein, including, without limitation, Section 2.2 below, in each calendar year during the Term of this Agreement, Bayer may in its sole discretion request, and Supplier shall supply, a minimum of seventy-five percent (75%) of the Required Quantity and a maximum of one hundred fifteen percent (115%) of the Required Quantity (each, as determined after deducting quantities representing Nonconforming Product (as defined in Section 7.1 below)). Subject to the foregoing, on or prior to October 1 of each calendar year, the Required Quantity applicable for the immediately following calendar year shall be reviewed and may be revised by mutual agreement of the Parties.