Where a Long Term Contract has served at least one year of itsit's term, customers may extend the contract by a period which must be greater than the outstanding term and a minimum of 3 additional years. The appropriate discount applicable for the contract extension will apply,

egwhereEg wherea 3 year contract is extended in its second year to become a 43 year contract, the appropriate 4 year discountis willextended apply.in its second year to become a 5 year contract, the appropriate 5 year discount will apply.

Unless otherwise specified, on expiry of the option period the annual rental will be recalculated at prevailing prices and the minimum term will not apply.

Early Termination Charges - Long Term Contracts

If1. the Customer terminates its Long Term ContractsContract before the expiry date, the following early termination charges will apply:

ii) Where the Contract is terminated after the firsti) 12Where months of the LongContract Term contract period is completed,terminated withinthe Customerthe willfirst pay12 BTmonths [Price] of the rentalMinimum thatPeriod, would otherwise have been payable for the remainderCustomer ofwill paythe duration of BT:the Long Term Contract period at the rental applicable on the date of termination (exclusive of VAT).

a) the full rental due for the first 12 months of the Minimum Period and 20% of the rental that would otherwise have been payable for the remainder of the Minimum Period at the rental applicable on the date of termination (exclusive of VAT).

AND

b) the difference between the connection charge actually paid per line and the connection charge which would have been paid per line at the time the line was taken, had the customer not taken out a Long Term Contract (plus VAT).

ii) Where the Contract is terminated after the first 12 months of the Minimum Period, the Customer will pay BT:

a) 20% of the rental that would otherwise have been payable for the remainder of the Minimum Period at the rental applicable on the date of termination (exclusive of VAT).

AND

b) the difference between the connection charge actually paid per line and the connection charge which would have been paid per line at the time the line was taken, had the customer not taken out a Long Term Contract (plus VAT).

2. Other Conditions

(a) VAT will not be applied to these termination charges, unless otherwise specified.

(b) Early termination charges will not apply where:

(i) the Customer wishes to terminate its ISDN Long Term Contract early to replace it with another BT ISDN contract with a duration which must be longer than the outstanding term. If the new contract is for a lesser number of channels a termination payment will be charged for the ceased channels.

(c) A Customer may take out a new Long Term Contract at any time after the expiry of its existing one. If at the end of an existing Long Term Contract the Customer does not take out a new Long Term Contract, rentals will revert to the prevailing standard price.

Contracts will apply on a per channel basis. Any early cessations of the part of an installation will be treated as termination of the contract on a per channel basis and the existing contracts covering these channels will be amended accordingly. Any growth of installation (additional ISDN channels) will be subject to separate contracts.

Where a customer wishes to cease an installation and relocate to another site, an outstanding contract will be continued as long as there is a period of no less than 12 months outstanding. Contracts can be extended as per the appropriate paragraph above to meet this requirement and the conditions of the Alterations paragraph above will also apply.

• When converting existing ISDN 2, ISDN 2e and ISDN 30 customers to any type of ISDN Long Term Contract the following leadtimes will operate;
• Up to 100 channels the leadtime will be 6 weeks
• Up to 500 channels the leadtime will be 8 weeks
• Up to 1000 channels the leadtime will be 10 weeks
• 1000 or more channels the leadtime will be 12 weeks