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SECOND AMENDMENT TO DISTRIBUTION
SERVICES AGREEMENT
THIS SECOND
AMENDMENT TO DISTRIBUTION SERVICES AGREEMENT (“
Amendment ”) is entered into as of September 29,
2006, by and between Connetics Corporation (“
Connetics ”) and Cardinal Health, Inc. (“
Cardinal ”). Connetics and Cardinal entered into that
certain Distribution Services Agreement dated December 1, 2004
(“ Original Agreement ”), as amended by that
certain Amendment to Distribution Services Agreement dated as of
December 22, 2005 (“ First Amendment ”; the
Original Agreement together with the First Amendment shall
hereinafter be collectively referred to as the “
Agreement ”). Capitalized terms not defined herein
shall have the meaning ascribed to such terms in the
Agreement.
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1.
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The
following definitions in Article 1 of the Agreement are
hereby deleted and replaced in their entirety as
follows:
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Commitment
Period .
“Commitment Period” means January 1, 2006 through
December 31, 2006, unless this Agreement is terminated earlier
under the provisions of Article 4 .
Term .
“Term” means the date first written above, through and
including December 31, 2006, unless this Agreement is
terminated earlier under the provisions of Article 4
.
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2.
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Section 2.3.1
of the Agreement is
hereby deleted and replaced in its entirety with the
following:
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2.3.1
Inventory Levels .
During the Term of this Agreement, Cardinal will use its best
efforts to maintain an inventory level of ** inventory level shall
be referred to herein as the “ SKU Inventory Level
”). The SKU Inventory Level shall be based on EDI
852
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