PLANNING FLEXIBILITY Peak Capacity. The Provider warranties to Client that it has manufacturing capacities to service Binding POs received from Client and that it will, at all times, manage its manufacturing capacities in order to ensure a buffer additional capacity to cater for any peak quantities ordered by Client. Such buffer additional capacity shall correspond to 110% at M+4 AND 120% at M+6 of the quantities communicated in the Forecasts for the month M+4 (“Peak Capacity”), i.e., the latest Forecast communicated prior to placing the Binding PO for the corresponding month in which the intended delivery is scheduled. Provider shall plan any manufacturing activities and procure that its Peak Capacity to Manufacture the Products hereunder shall not be in any way compromised or diminished. At all times, any Binding PO placed by Client within the Peak Capacity shall be (i) accepted without Adjustment and (ii) timely Delivered. For the avoidance of doubt, the Product Fees are calculated to encompass the possibility for Client to place Binding POs up to the Peak Capacity.
