| BURWEN BOBCAT COMMERCIAL USE ROYALTY SCHEDULE 9/27/2007 BURWEN TECHNOLOGY, INC. |
COMPRESSED,
UNIT HOURS CD, or VIDEO SACD HD DVD BLU-RAY
1 - 1,200 $0.00 $0.00 $0.00 $0.00
1201 - 2,000 $1.00 $1.50 $2.00 $2.00
2,001 - 10,000 $0.70 $1.05 $1.40 $1.40
10,001 - 50,000 $0.52 $0.78 $1.04 $1.04
50,001 - 200,000 $0.38 $0.57 $0.76 $0.76
200,001 -1,000,000 $0.28 $0.42 $0.56 $0.56
1,000,001 + $0.20 $0.30 $0.40 $0.40
UNIT HOURS CD, or VIDEO SACD HD DVD BLU-RAY
1 - 1,200 $0.00 $0.00 $0.00 $0.00
1201 - 2,000 $1.00 $1.50 $2.00 $2.00
2,001 - 10,000 $0.70 $1.05 $1.40 $1.40
10,001 - 50,000 $0.52 $0.78 $1.04 $1.04
50,001 - 200,000 $0.38 $0.57 $0.76 $0.76
200,001 -1,000,000 $0.28 $0.42 $0.56 $0.56
1,000,001 + $0.20 $0.30 $0.40 $0.40
Royalties are to be paid by the minute for the total minutes of Burwen processed program material on each
media, (minutes X units sold) not counting spaces between tracks, and based on the table below of hours
(60 minutes) of program material, rounded to the nearest minute upward. If more than one format is
present on the media, royalties are based only on the highest quality tracks. Royalties on Burwen
processed downloads are to be paid at the CD rate, except royalties on downloads having greater than
16-bit resolution are to be paid at the Blu-Ray rate. All royalties must be paid by the 25th day of each
month based upon the prior month's net units sold. A penalty of 1%/month is charged for late payments
media, (minutes X units sold) not counting spaces between tracks, and based on the table below of hours
(60 minutes) of program material, rounded to the nearest minute upward. If more than one format is
present on the media, royalties are based only on the highest quality tracks. Royalties on Burwen
processed downloads are to be paid at the CD rate, except royalties on downloads having greater than
16-bit resolution are to be paid at the Blu-Ray rate. All royalties must be paid by the 25th day of each
month based upon the prior month's net units sold. A penalty of 1%/month is charged for late payments
For all other applications please contact Burwen Technology, Inc.
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