MoneyGram 2007 Annual Report Download - page 137

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MONEY CENTER EXPRESS (MCX)
MONEY ORDER PILOT
The parties intend to pilot a kiosk called the "Money Center Express" or "MCX," in connection with certain third parties, for the sale of
incremental Company money orders. The money orders sold through the MCX kiosk during the pilot are subject to the following
additional terms and conditions. In the event of a conflict between the terms contained in this section and the terms contained in another
part of this Agreement, the term contained in this section shall be controlling with respect to money orders sold through the MCX kiosk.
1. Term. The term of the MCX kiosk pilot shall be six months from the date of the first in store installation. The pilot shall include 25
Locations, unless otherwise mutually agreed by the parties. At the conclusion of the pilot, the parties will assess the results of the pilot
according to a list of agreed upon metrics. Incremental money order volume metrics measured will exclude vendor payments. The parties
shall negotiate in good faith regarding the MCX kiosk program. The terms for any continuation or roll-out of the MCX program will be
documented in an addendum to this Agreement.
2. Fees. As compensation for money orders sold via the MCX kiosk, Seller agrees to make fee payments to Company of [*] per money
order. The fees payable under this section will be subject to a remittance schedule established by Company.
3. Compliance. The parties agree to comply with all laws and regulations applicable to selling Company money orders via the MCX kiosk,
including compliance reporting. The parties will develop and document a program to ensure such compliance, which shall be mutually
agreeable to both parties.
4. MCX Technology. Certain equipment and software provided by Company to Seller, including the DT3 terminals and 2100 dispensers
(the "MCX Equipment") which will be provided by Company to Seller to be incorporated into the MCX kiosk being developed by Seller's
subcontractor(s), contain trade secrets and technology protected by patents. Neither Seller nor Seller's subcontractor shall obtain any
rights to any DT3 or 2100 dispenser technology.
5. Service Levels. The MCX Equipment will be covered by the MCX section in the Service Level Agreement between the parties.
6. Supplies. Company will provide Seller with supplies, including money order paper, printer ribbons, and other supplies for Company
equipment. The supplies will be delivered via a delivery method selected by Company, to an address directed by Seller. Seller shall
provide reasonable notice to Company, in writing, of any change in the delivery address for the specified MCX Equipment.
7. Subcontractors. Either party may subcontract all or any part of its obligations with respect to the MCX kiosk pilot. However, such party
will fulfill and perform or cause its subcontractor(s) to fulfill and perform all of the terms and every payment, covenant and condition which
the party is required to make or perform under this Agreement.
[*] Please refer to footnote on page 1. 11