[Translation of the Chinese original]
Serial Number: DTV-C-2007-228
Party A: Beijing Novel-Tongfang Digital TV Technology Co., Ltd.
Party B: China Electronics Smart Card Co., Ltd.
Party A and Party B, under the principle of mutual benefits, complementary advantage and common development and through
friendly consultations, agree on the production of digital television card products as follows:
Party A engages Party B to process its digital television cards. Party A will provide the modules for packaging and Party B will
be responsible for manufacturing the card base, packaging, open/short circuit testing and reset testing. The processing fees
shall be as follows:
The Parties may re-negotiate the prices based on the changes in the market.
If Party B fails to meet such requirements, Party B shall be liable for any damages pursuant to Article 7.3 hereof.
Party B shall follow the instructions on Party A’s Notice of Job Request to pick up the modules at the places designated by
Party A and deliver the final products to the places designated by Party A (such designated places shall be within Beijing).
Party B shall bear all the expenses incurred before the delivery of the final products (including the processing and
transportation expenses set forth hereunder). Such delivery requires a written cross-receipt signed by both Parties.
The fifteenth day of each month shall be the monthly settlement day for the Parties. After the Parties are satisfied with the final
products after checking, Party B shall provide Party A on a timely basis a valid value-added tax invoice, and Party A shall make
the full payment of the processing fees within 30 days after the date of such invoice.
In the event that it fails to make any due payment on time, Party A shall pay a liquidated damage at the rate of 0.5% of the
Processing and Expenses
(1) Digital television card base (PVC) printing