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GPS » Topics » 41.2 Third Source and Insource Limits on RRCs

This excerpt taken from the GPS 10-Q filed Jun 9, 2009.

41.2 Third Source and Insource Limits on RRCs

Gap’s use of RRCs arising from its decision to perform Services that are provided by Supplier and included in the Charges, either by itself (“insource”) or through the engagement of a third party (“third source”), shall not exceed in any Contract Year * of the first Contract Year’s total Charges, provided that the RRCs as to voice and data transport Charges shall not exceed in any Contract Year * of the Base Charge for voice and data transport Charges scheduled for that Contract Year in Exhibit C (Fees and Resource Baselines). To the extent RRCs in a single Functional Service Area exceed * of the first Contract Year’s total Charges for that Functional Service Area, Gap will pay for Stranded Assets to the extent the RRCs cause such assets to be unnecessary for Supplier to deliver the Services. RRCs resulting from a business impact as provided in Section 41.1 (Business Impacts) shall be included in the determination of the total RRCs available to Gap in any Contract Year arising from its decision to third source or insource.

 

 

* Certain information on this page has been omitted and filed separately with the Commission. Confidential treatment has been requested with respect to the omitted portions.

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