BLANKET PURCHASE ORDER APPENDIX

Customer Name: (Buyer) has placed Requirements Type Blanket Purchase Order (BPO) with the
Supplier named above. Supplier hereby accepts the terms of this BPO and the additional terms
and conditions of this appendix. This appendix has been prepared based on mutual negotiation
for the purpose of defining in greater detail the Buyer’s Purchase Commitment and to set goals
and objectives consistent with the developing supplier relationship.

Purchase Commitment: Consistent with the BPO, Buyer hereby agrees to purchase the parts
described below:

BPO Part # Estimated Ship Qty Material Piece Part Selling

Number Qty Authorization Value/Unit Price
Q40286 102029801 120 PCS 5 15 Units $410.00 $777.00

Estimated Quantity: An estimate based on historical usage, firm backlog and forecasted sales.

Ship Quantity: The number of parts the Supplier agrees to include in each shipment as well as the
quantity of finished parts the Supplier agrees to maintain in inventory at all times during the term of
the BPO.

Material Authorization: The maximum number of custom piece parts the Supplier will maintain in
inventory at one time.

Releases: An authorized representative of the Buyer shall make releases against the BPO from
time to time. The release frequency may vary, however, the release quantity is always anticipated
to equal the Ship Quantity. Supplier will deliver the release quantity to reach Buyer’s facility within
5 business days of notification of release.

Purchase Commitment: In the event that the Buyer is required to terminate the BPO the maximum
actual inventory of parts that Buyer agrees to purchase shall not exceed the total of Ship Quantity
& Material Authorization. Total liability for both Ship Quantity (5 x $777.00/Unit: $3,885.00) and
Piece Part Inventory/Material Authorization (15 x $410.00/Unit: $6150.00) = $10,035.00 U.S. Total
Liability.

Term: The terms and conditions of this appendix shall be in effect until completion of the BPO.

SUPPLIER NAME: CUSTOMER NAME

(Supplier) (Buyer)

______________________________ ______________________________
Signature: Signature:

______________________________ ______________________________
Name and Title: Name and Title:

___________________ _______________________
Date: Date: