Nautilus 2009 Annual Report Download - page 101

mark on all Indoor Cycles sold by Buyer that are made using any Nautilus Trade Secrets, Copyrighted Works, Nautilus Indoor Cycle
Know How, or Nautilus Indoor Cycle Confidential Information, and/or that are covered by any Licensed Patents. Buyer may
combine the SCHWINN mark with Buyer’s trademarks, for example to market “SCHWINN LA” Indoor Cycles provided that the
SCHWINN mark is prominently used. Buyer understands and agrees that Buyer is to focus Buyer’s efforts on sales of Licensed
Indoor Cycles and Accessories in the Commercial Channel and that Buyer is only licensed by this License to make up to a maximum
of twenty (25) percent of Buyer’s total Net Sales of Licensed Indoor Cycles and Accessories in the Permitted Retail Channel in any
Calendar Year.
Subject to the terms of this License, Nautilus hereby grants Buyer a non-exclusive, non-transferable, non-assignable, non-
sublicensable, worldwide, license to reproduce, distribute, perform and make derivative works of all Copyrighted Works solely in
connection with sales of Licensed Indoor Cycles and Accessories.
Subject to the terms of this License, Nautilus hereby grants Buyer a non-exclusive, non-transferable, non-assignable, non-
sublicensable, worldwide, license to use the Licensed Domain Names solely in connection with sales of Licensed Indoor Cycles and
Accessories.
Subject to the terms of this License, Nautilus hereby grants to Buyer a non-exclusive, non-transferable, non-assignable, non-
sublicensable, and worldwide license to Nautilus Indoor Cycle Know How, Nautilus Trade Secrets and Nautilus Indoor Cycle
Confidential Information solely for use in connection with sales and marketing of Indoor Cycles and Accessories bearing a Licensed
Trademark in the Channel.
Except for rights to U.S. Patent 6,877,399 that Nautilus has under the license from Peloton Fitness identified in Schedule D (Peloton
License), to which no rights are granted by Nautilus to Buyer under this Section 2.F., to the extent Nautilus has any rights under the
Licensed Rights identified in Schedule D that are sublicensable, and subject to the terms of this License, Nautilus hereby grants to
Buyer a non-exclusive,
pg. 6
C.
Copyright License.
D.
Domain Name License.
E.
Trade Secrets, Know How and Confidential Information.
F.
Licensed Rights.