Just came through on my email....love the last sentence, very funny!
20 March, 2018 – Adelaide, Australia Buddy Platform Limited (ASX: BUD) (“Buddy” or the “Company”), the Internet of Things (“IoT”) data management, processing and control platform, today announced it has signed an additional Statement of Work (“SoW”) under its existing Master Services Agreement (“MSA”) with Thor Industries, Inc. (“Thor”) to extend its retainer relationship with this large manufacturer of recreational vehicles. The SoW will help to see the relationship between Buddy and Thor continue to grow beyond the product development stage, and will see Buddy Cloud technologies deployed into Thor’s products starting in 2018. “Our relationship with the team at Thor couldn’t be better, and so we’re very pleased to have been asked to continue the work we’re doing with them”, said David McLauchlan, CEO of Buddy Platform. “Working with recreational vehicles provides a tremendous opportunity to better understand constrained resource living environments, and we’re thrilled our technology and people are helping Thor keep their products at the forefront of their industry”. The SoW replaces the annual and ongoing platform and application services component of the current Thor arrangement (refer to the ASX announcement dated 12 January 2017 for details of the Company's current arrangement with Thor). Under the SoW:
There is a higher monthly retainer for ongoing feature development work (US$124,950 per month) with an option for Thor to purchase additional services
The statement of work also provides for transitioning the ongoing operation and support services from a fixed monthly fee to fees that are payable per hour or based on product delivered.
The SoW is for a term of one year and will automatically renew unless cancelled by Thor (which they may do with the provision of 60 days written notice). Under the terms of the SoW, Buddy will receive a fixed monthly retainer of US$124,950 per month, for ongoing feature development work, for the term of the agreement unless the SoW is cancelled by Thor by written notice. The SoW also contemplates various other matters in respect to Buddy's ongoing operations and support of Thor and their products which are conditional upon the requirements of Thor and their unit volume sales. Buddy management is presently unable to offer guidance on revenue potential from these components due to their uncertain nature, however will provide a market update should this change.
