CONFIDENTIAL
AGREEMENT CONCERNING VOICE DISTRIBUTION OF INTERNATIONAL
TELEPHONY TRAFFIC
THIS AGREEMENT has been made and entered into between:
UNISOURCE CARRIER SERVICES AG, a company with limited liability, incorporated
under the laws of Switzerland, whose registered office is at Xxxxxxxxxxxxxxxx
00, Xxxxxxxxxxx, Xxxxxxxxxxx, hereinafter referred to as "UCS";
and
INTERNATIONAL TELECOMMUNICATIONS CORPORATION (ITC), a company duly incorporated
and organized in the State of Delaware and under the laws of the United States
of America and having its principal office at, 000 XXX Xxxxx Xxxx Xxxxx, 0xx
Xxxxx, Xxxxxxxxx, XX 00000-0000, XXX, hereinafter referred to as "ITC";
hereinafter individually referred to as the "Party" and jointly as the
"Parties";
WITNESSETH:
WHEREAS, UNISOURCE NV is a company established by PTT TELECOM BV of the
Netherlands, SWISS TELECOM PTT of Switzerland, TELEFONICA DE ESPANA S.A of Spain
and TELIA AB of Sweden (the "Unisource Shareholders") for certain of their
international telecommunications activities and with its registered office at
Xxxxxxxxxxx 0-00, X.X. Xxx 0000, Xxxxxxxxx, Xxx Xxxxxxxxxxx;
WHEREAS, UNISOURCE N.V. has established UCS as a fully owned subsidiary
responsible for the management of the international networks of the Unisource
Shareholders;
WHEREAS, UCS has the authority to negotiate and enter into this agreement in the
name and on behalf of the Unisource Shareholders;
WHEREAS, ITC is licensed to act as a telecommunications operator under the laws
of the United States of America;
CONFIDENTIAL
WHEREAS, UCS wishes to route international telephony traffic via ITC to certain
destinations.
WHEREAS, ITC wishes to route international telephony traffic via UCS to certain
destinations;
NOW, THEREFORE, the Parties agree as follows:
1. Scope of the Agreement
TTC hereby agrees to route international telephony traffic via UCS to certain
destinations as specified in Appendix I hereto, hereinafter referred to as the
"Destinations".
UCS hereby agrees to route international telephony traffic via ITC to certain
destinations as specified in Appendix 2 hereto, hereinafter referred to as the
"Destinations".
UCS and ITC agree to provide international transmission capacity to each other
at their own expense on their respective half part of the circuits, including
the provision of capacity in TAT 12 as agreed in Appendix 3.
2. Applicable rates
2.1 ITC shall pay a rate per minute for all international telephony traffic
routed via UCS as set out in Appendix I and UCS shall pay a rate per minute
for all international telephony traffic routed via ITC as set out in
Appendix 2.
2.2 The rates referred to in sub-section 2.1 are exclusive of value added tax
and any other similar sales taxes, duties or levies imposed by any
authority, government or governmental agency. In case such a tax, duty or
levy will be due, the respective amount will be added to the invoice to be
paid by ITC and UCS.
CONFIDENTIAL
3. Invoicing and terms of payment
3.1 The Parties will keep record of all international telephony traffic routed
hereunder. Based upon these records and the rates set out in Appendix 1 and
2, the Parties will invoice each other on a monthly basis, detailing the
registered traffic (minutes per Destination) and the amounts due.
3.2 All rates are quoted and invoiced in US Dollars.
3.3 The terms of payment shall be forty five (45) days from date of receipt of
the invoice and payment shall be made in accordance with the instructions
stated on the invoice.
3.4 Without prejudice to any of their other rights, the Parties may charge each
other the reasonable costs incurred in collecting amounts overdue for
payment. In addition hereto the Parties may charge a penalty interest which
is equal to 1.5% per month of the amount due. Payment will not be
considered to have been made until each Party receives full payment of the
full amount due.
4. Addition and deletion of Destinations
The Parties may from time to time agree to add or delete destinations to/from
the Destinations.
5. Limitation of liability
Neither party shall be liable to the other party and/or its customers for any
direct or indirect loss or damage due to any failure, degradation or
interruption of service in its network or any other network or connection
involved in the provision of the services under this agreement.
CONFIDENTIAL
6. Conformity with laws and regulations
Each party (the "Indemnifying Party") shall indemnify, defend and hold harmless
each of the other parties and their respective related entities, as defined
below (individually or collectively, an "Indemnitee"), against all claims, suits
(threatened or actual), liabilities and expenses (including reasonable
attorneys' fees and expenses) arising out of or derived in any way from (i) a
breach by the Indemnifying Party of any laws, regulations or conventions
applicable to the Indemnifying Party, including but not limited to those related
to data privacy, international communications or exportation of technical data;
or (ii) a breach by the Indemnifying Party of any of its representations,
warranties or convenants under this Agreement. The Indemnitee shall give the
Indemnifying Party prompt written notice of any such claim or suit, and the
Indemnifying Party shall have the right to control the defense thereof;
provided, however, that without the Indemnitee's consent, the Lndemnifying Party
shall not agree to a settlement of such claim or suit which would have more than
a de minimis adverse effect on the Indemnitee's business. For purposes of this
paragraph, "Related Entities" shall be defined as a party's parent,
subsidiaries, affiliates and other entities under (common) control or ownership
of such party.
7. Force majeure
7.1 Except for the obligations to make payments hereunder for minutes sent and
possible additional charges according to section 3, neither party will be
responsible for failure to fulfill its obligations under the Agreement due
to events of force majeure or due to events beyond its control or due to
causes beyond its sub-contractors' control.
7.2 The events referred to in sub-section 7.1 include, but are in no way
limited to: partial or total strikes (either internal or external),
lock-out, inclemency, epidemic, blockage of means of transport or of
supplies for whatever reason, earthquake, fire, storm, flood or water
damage.
CONFIDENTIAL
8. Term of the Agreement
8.1 This Agreement shall come into force when duly signed by all parties and
expires as provided in sub-section 8.2 below, unless terminated by any
party according to the provisions in sub-section 8.3 below or as may
otherwise be agreed.
8.2 Each party shall have the right to cause this Agreement to be terminated
when it has remained in force for a period of two (2) years after the first
measuring period has started, by giving the other parties written notice
not less than three (3) months prior to the end of the initial term. If not
terminated as aforesaid, the Agreement shall after the initial term remain
in force for an indefinite period and either party may terminate the
Agreement by giving the other parties written notice three (3) months prior
to terminating the Agreement.
8.3 Notwithstanding the provision of sub-section 8.2 above, this Agreement may
be terminated:
(i) by either party immediately upon written notice if any of the other
parties should become insolvent or starts negotiations about
composition with its creditors or a petition in bankruptcy should be
filed by or against it or it makes an assignment for the benefit of
its creditors; or
(ii) by either party immediately upon written notice if any of the other
parties should fail to fulfill any of its obligations under this
Agreement and (in case of a failure capable of being remedied) such
failure is not remedied within thirty (30) days from having received a
request for such remedial action from the first party; or
(iii) by either party immediately upon written notice if any of the other
parties or the party itself should fail to fulfill any of its
obligations under this Agreement when the activities under this
agreements are illegal due to national and/or international laws and
international and/or national regulations or official or reasonable
interpretations of the before mentioned laws and regulations,
notwithstanding the other rights of the parties in such a case.
CONFIDENTIAL
9. Confidentiality
All details contained within and connected to this Agreement should be treated
as strictly confidential. They are exchanged in good faith and should, under no
circumstance, be given to any third party without prior written consent from the
disclosing party.
10. Waiver
The failure of either party hereto to insist upon the strict adherence to any
term of this Agreement on any occasion shall not be considered as a waiver of
any right thereunder nor shall it deprive that party of the right to insist upon
the strict adherence to that term or any other term of this Agreement at some
other time.
11. Amendments
No amendments, changes, revisions or discharges of this Agreement, in whole or
in part, shall have any force or effect, unless set forth in writing and signed
by the parties hereto.
12. Assignment
Neither party may wholly or partly assign or pledge its rights and/or
obligations hereunder to any third party, except with the prior written consent
of the other party. Such consent will not unreasonably be withheld.
Notwithstanding the foregoing PTT TELECOM, TELEFONICA, SWISS PTT and TELIA may
assign all their rights and obligations hereunder to UCS. By countersigning this
Agreement, UCS also agrees to accept an assignment of this Agreement as set out
in the previous sentence of this article.
13. Agreement
This Agreement supersedes any and all other agreements, oral or written, between
the parties with respect to this matter within this contract.
CONFIDENTIAL
14. Governing Law and forum
14.1 This Agreement shall be governed by and construed and enforced in the
accordance with the laws of the United Kingdom.
14.2 Any dispute which may arise out of or in connection with this Agreement
shall be settled amicably by the parties, but failing results from such
efforts, shall finally be settled by INTERNATIONAL arbitration in
accordance with the INTERNATIONAL Arbitration Rules. The place of
proceedings shall be London and the proceedings shall be conducted in the
English language. The award shall be final and binding upon the parties.
15. Notices
All notices required by this Agreement to be given by either party to the other
parties shall be in English, unless otherwise is specifically agreed upon, and
shall be forwarded by hand delivery or sent by registered mail or telex and
shall be addressed to the last known address of the party and shall be confirmed
by letter if so required.
16. Governmental approvals
The performance of this agreement shall be contingent upon the obtaining of such
regulatory or/and governmental approvals, as may be required for each party. The
parties hereto shall make their best efforts to obtain and retain such
approvals.
CONFIDENTIAL
IN WITNESS WHEREOF, the parties have executed this Agreement on the date
hereunder written in twofold by their duly authorized representatives:
/s/ Stig Johansson /s/ Xxxxxx X. Xxxxxx
------------------------------- ----------------------------------
Xx. Xxxx Xxxxxxxxx Xx. Xxxxxx X. Xxxxxx
Managing Director Vice President
UCS International Business Development
ITC
Date: Date:
CONFIDENTIAL
Appendix 1
Destinations, Rates and Volumes
--------------------------------------------------------------------------------
Destinations: USD/minute:
--------------------------------------------------------------------------------
XXXXXXX 0.000
XXXXXXX 0.000
XXXXXXX 0.250
XXXXXXX 0.000
XXXXXXX 0.000
XXXXXX 0.000
XXXXXXXX 0.360
XXXXXXX 0.000
XXXXXX 0.400
XXXXX XXXXXXXX 0.000
XXXXXXX 0.000
XXXXXXX 0.290
XXXXXXX 0.000
XXXXXX 0.160
GEORGIA 0.550
GERMANY 0.150
XXXXXXXXX 0.000
XXXXXX 0.340
XXXXXXX 0.000
XXXXXXX 0.210
ITALY 0.280
LATVIA 0.300
LIBYA 0.470
XXXXXXXXX 0.000
XXXXXXXXXX 0.200
XXXXX 0.000
XXXXXXX 0.650
MONACO 0.170
MOROCCO 0.360
XXXXXXXXXXX 0.000
XXXXXX 0.165
POLAND 0.310
ROMANIA 0.460
--------------------------------------------------------------------------------
CONFIDENTIAL
Appendix 1 (cont.)
Destinations, Rates and Volumes
--------------------------------------------------------------------------------
Destinations: USD/minute:
--------------------------------------------------------------------------------
RUSSIA 0.490
SAN MARINO 0.260
XXXXXXXX 0.000
XXXXXXXX 0.000
XXXXXX 0.100
SWITZERLAND 0.150
XXXXXXX 0.000
XXXXXX 0.390
UK 0.110
UKRAINE 0.390
YUGOSLAVIA 0.400
--------------------------------------------------------------------------------
CONFIDENTIAL
Appendix 2
Destinations, Rates and Volumes
GLOBAL LINK PRICES
ON-NET COUNTRIES
(US $)
(F.O.B. New York)
Country Code Price
------- ---- -----
Xxxxxxx 00 0.0000
Xxxxxxx 43 0.2614
Belarus 000 0.0000
Xxxxxxx 32 0.2714
Bulgaria 359 0.4892
Xxxxxx 000 0 0000
Xxxxx Xxxxxxxx 42 0.3714
Denmark 45 0.2235
Xxxxxxxxx Xxx 0 0.0000
Xxxxxxx 372 0.4564
Finland 358 0.2481
France 33 0.2251
Germany 49 0.2037
Greece 30 0.3864
Hungary 36 0.3292
Xxxxxxx 000 0 0000
Xxxxx 39 0.2925
Latavia 371 0.3603
Liechtenstein 41 0.2873
Lithuania 370 0.3726
Luxembourg 352 0.2861
Macedonia 389 0.5592
Xxxxxxx (Xxxxxxxx) 000 0.0000
Xxxxxx 377 0.2753
Morocco 21 0.4798
Xxxxxxxxxxx 00 0.0000
Xxxxxx 47 0.2381
Poland 48 0.2664
Portugal 351 0.3581
Romania 40 0.5581
Russian Federation 7 0.4878
Xxxxxxxx 00 0.0000
Xxxxxxxx 386 0.5514
Somali Dem Rep 252 1.0880
Spain 34 0.3534
Xxxxxx 00 0.0000
Xxxxxxxxxxx 46 0.2312
Xxxxxxx 00 0.0000
Xxxxxx 90 0.4981
08/28/96 1 Global
GLOBAL LINK PRICES
ON-NET COUNTRIES
(US $)
(F.O.B. New York)
Country Code Price
------- ---- -----
Ukraine 380 0.4114
United Kingdom 44 0.1341
Vatican City 379 0.3610
Yugoslavia (Serbia) 381 0.4770
08/28/96 2 Global
GLOBAL LINK PRICES
OFF-NET COUNTRIES
(US $)
(F.O.B.New York)
Country Code Price
------- ---- -----
Afghanistan 93 1.2367
Albania 355 0.6837
American Samoa 684 0.5724
Andorra 376 0.2879
Angola 244 1.0503
Anguilla 1 0.4582
Antarctica C&S 672 0.8548
Antigua & Barbuda 1 0.4748
Argentina 54 0.5592
Armenia 374 0.5340
Aruba 297 0.4456
Ascension Is 247 1.1392
Australia 61 0.1906
Azerbaijani Rep 994 0.8592
Bahamas 1 0.2712
Bahrain 973 0.7825
Xxxxxxxxxx 000 0.0000
Xxxxxxxx 1 0.4582
Belize 501 0.7740
Benin 229 0.5638
Bermuda 1 0.3202
Bhutan 975 0.9870
Bolivia 591 0.7314
Bosnia 387 0.6159
Botswana 267 0.8140
Brazil 55 0.4986
British Virgin Is 1 0.4748
Brunei 673 0.5026
Xxxxxxx Xxxxx 000 0.0000
Xxxxxxx 257 0.9617
Cambodia 855 1.3837
Cameroon 237 0.8846
Cape Verde Is 238 0.4729
Xxxxxx Xxxxxxx 0 0.0000
Xxxxxxx Xxx Rep 236 1.0826
Chad 235 1.0066
Xxxxx 00 0.0000
Xxxxx 86 0.7688
Christmas Isl 672 0.5192
08/28/96 1 Global
GLOBAL LINK PRICES
OFF-NET COUNTRIES
(US $)
(F.O.B. New York)
Country Code Price
------- ---- -----
Xxxxx Xxx 000 0.0000
Xxxxxxxx 57 0.5199
Comoros 269 0.7299
Congo 242 0.9150
Xxxx Islands 000 0.0000
Xxxxx Xxxx 506 0.5587
Croatia 385 0.4926
Cuba 53 0.5998
Xxxxx Xxxxxx 246 1.0948
Djibouti 253 0.8216
Dominica 1 0.4582
Ecuador 593 0.6001
Egypt 20 0.6987
El Salvedor 503 0.6481
Equiatorial Guinea 240 l.2548
Eritrea 291 1.3659
Ethiopia 251 0.9514
Faeroe Islands 298 0.4259
Falkland Islands 500 0.9998
Fiji Islands 679 0.9703
French Autilles 596 0.6920
French Guiana 594 0.6339
French Polynesia 689 0.5794
Gabon 000 0.0000
Xxxxxx 220 0.6614
Georgia 995 0.8714
Ghana 233 0.6614
Gibraltar 350 0.5548
Greenland 299 0.5714
Grenada 1 0.4572
Guadeloupe 590 0.5181
Guam 671 0.3620
Guatemala 502 0.5870
Guinea 224 0.7226
Guinea-Bissau 245 1.1427
Guyana 592 0.8103
Haiti 000 0.0000
Xxxxxxxx 000 0.0000
Xxxx Xxxx 852 0.3370
08/28/96 2 Global
GLOBAL LINK PRICES
OFF-NET COUNTRIES
(US $)
(F.O.B New York)
Country Code Price
------- ---- -----
Iceland 354 0.3947
India 91 0.6851
Indonesia 62 0.7170
Inmarsat E Atl 871 6.6081
Inmarsat W Atl 874 6.6081
Inmarsat IND 872 6.1081
Inmarsat PAC 873 5.8481
Iran 98 0.8966
Iraq 964 1.2370
Israel 972 0.5777
Xxxxx Xxxxx 000 0.0000
Xxxxxxx 0 0.0000
Xxxxx 81 0.259O
Jordan 962 0.7733
Kazakahstan 7 0.8548
Kenya 254 0.6147
Kiribati 686 0.8924
Xxxxx, Xxxxx 000 0.0000
Xxxxx, Xxxxx 82 0.5087
Xxxxxxxxxx 0 0.0000
Xxxxxx 000 0.0000
Xxxx 856 1.1037
Lebanon 961 0.8392
Lesotho 266 0.9331
Liberia 231 0.5816
Libya 21 0.6714
Macau 853 0.6905
Madagascar 261 1.4481
Malawi 265 0.4889
Malaysia 60 0.4609
Maldives 960 0.9748
Mali Rep 223 1.0603
Malta 356 0.4670
Mariana Island 670 0.6637
Xxxxxxxx Xxxxxxx 000 0.0000
Xxxxxxxxxx 596 0.6381
Mauritania 222 1.1981
Mauritius 230 0.8142
Mayotte Island 269 1.0492
08/28/96 3 Global
GLOBAL LINK
OFF-NET COUNTRIES
(US $)
(F.O.B New York)
Country Code Price
------- ---- -----
Mexico - 1 (off) 52 0.1417
Mexico - 1 (Peak) 52 0.1767
Mexico - 2 (Off) 52 0.1675
Mexico - 2 (Peak) 52 0.2170
Mexico - 3 (Off) 52 0.2346
Mexico - 3 (Peak) 52 0.3255
Mexico - 4 (Off) 52 0.2624
Mexico - 4 (Peak) 52 0.3593
Mexico - 5 (Off) 52 0.2997
Mexico - 5 (Peak) 52 0.3995
Mexico - 6 (Off) 52 0.3702
Mexico - 6 (Peak) 52 0.4734
Mexico - 7 (Off) 52 0.3753
Mexico - 7 (Peak) 52 0.4792
Mexico - 8 (Off) 52 0.3792
Mexico - 8 (Peak) 52 0.4776
Micronesia 691 1.0131
Xxxxxxx 000 0.8178
Mongolia 976 1.3626
Montserrat 1 0.4582
Mozambique 258 0.7494
Myanmar 95 2.8137
Namibia 264 0.8651
Nauru 674 1.0629
Nepal 977 1.0492
Neth Antilles 599 0.3718
Nevis 1 0.5470
Xxx Xxxxxxxxx 000 0.0000
Xxx Xxxxxxx 64 0.2750
Nicaragua 505 0.5171
Niger 277 0.8670
Nigeria 234 0.6376
Niue Island 683 1.1592
Norfolk 672 0.4766
Xxxx 000 0.0000
Xxxxxxxx 00 0.0000
Xxxxx 680 1.2381
Panama 507 0.6107
Papua New Guinea 675 0.6992
08/28/96 4 Global
GLOBAL LINK PRICES
OFF-NET COUNTRIES
(US $)
(F.O.B. New York)
Country Code Price
------- ---- -----
Xxxxxxxx 000 0.0000
Xxxx 00 0.0000
Xxxxxxxxxxx 63 0.6403
Qatar 974 0.7803
Xxxxxxx Xxxxxx 000 0.0000
Xxxxxx 250 0.8805
Saipan 670 0.5570
San Marino 378 0.5064
Xxx Xxxx 000 0.0000
Xxxxx Xxxxxx 966 0.6821
Senegel Rep 221 0.8827
Seychelles Island 248 1.2926
Sierra Leone 232 0.8053
Xxxxxxxxx 00 0.0000
Xxx Xxxxx 94 0.8926
Xxxxxxx Xxxxxx 000 0.0000
Xxxxx Xxxxxx 27 0.51l9
St. Xxxxx 290 0.8759
Xx. Xxxxx 0 0.0000
Xx. Xxxxx 1 0.4582
St. Pierre/Miq 508 0.3351
St. Vent/Gren 1 0.4582
Sudan 249 0.5614
Suriname 597 0.8586
Swaziland 268 0.5618
Syria 963 1.0703
Taiwan Self-Assgnd 886 0.4480
Tajikistan 1 0.8270
Xxxxxxxx 000 0.0000
Xxxxxxxx 66 0.7289
Togo 228 0.8648
Tonga 676 0.7626
Trinida/Tob 296 0.5709
Turkmenistan 7 0.8903
Turks/Caicos 1 0.3578
Tuvalu 688 0.8322
Uganda 256 0.7703
United Ar Emirates 971 0.5053
Uruguay 598 0.7064
08/28/96 5 Global
GLOBAL LINK PRICES
OFF-NET COUNTRIES
(US $)
(F.O.B. New York)
Country Code Price
------- ---- -----
Uzbekistan 7 0.7970
Vanuatu 678 0.8659
Venezuela 58 0.3381
Vietnam 84 0.9561
Wallis & Futuna 681 0.4892
Western Samoa 685 0.8272
Yemen Rep of 967 0.7876
Zaire 243 0.72O7
Zambia 260 0.7814
Zimbabwe 263 0.5762
US 1 0.0866
Hawaii 1 0.1314
Alaska 1 0.1314
Canada 1 0.1142
Puerto Rico 0.0929
USVI 0.1156
08/28/96 6 Global
CONFIDENTIAL
Appendix 3
1. UCS, on behalf of PTT Telecom NL, will lease the western half 2Mbit/s in
TAT 12 to ITC on a monthly basis.
2. In consideration thereof, ITC will pay UCS a fee of USD 8'000.- per month,
starting with the first month of operation and interconnection.
3. UCS will provide the eastern half 2Mbit/s on TAT 12 at its own expense.
4. This agreement can be terminated by either party by written notice, 30 days
prior to the termination.
