Advertising Agr 1991-2001
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'Ibis agreement is made between Daktronics, Inc., hereinafter referred to
as Daktronics, and Pepsi Cola Bottling Company of salina, Inc. having its
principal place of business in salina, Kansas, hereinafter referred to as
"Advertiser" .
WI'INFSSETH:
WHEREAS, Daktronics, Inc. has entered into an Agreement with the
Bicentennial Center referred to herein as the CUstomer, pursuant to which
Daktronics shall resale the animated advertising media which includes 4-sided
scoreboard, outdoor marquee, and ticket area lED message center, hereinafter
referred to as the Equipment for the facilities of the Bicentennial Center,
and
WHEREAS, In consideration of the provision of said systems by
Daktronics,Inc., the CUstomer has authorized Daktronics to grant advertising
rights upon the Equipment, and
WHEREAS, Daktronics desires to sell such rights to the Advertiser and the
Advertiser desires to acquire such advertising rights upon the terns and
conditions hereinafter set forth:
NOW, 'IHEREFORE, In consideration of the foregoing premises and the mutual
covenants herein contained, the parties agree to the following:
1. GRANTING OF ADVERI'ISlliG RIGHI'S
Daktronics hereby grants to the Advertiser the right to display
advertisements on the Equipment at the locations and with the
dimensions indicated in Daktronics drawing mnnber(s) 7027-P08C-
38906; 7050-8118-601; and 7030-P08C-7377 attached hereto and hereby
made a part hereof. In addition, each advertiser shall receive four
(4) minutes of message display time at each event held in the arena,
herein referred to as the Facility, plus four (4) minutes per hour
of operation on the outdoor marquee and indoor ticket area message
center, and no fixed advertising inside the facilities and/or
locations hereto set forth, competitive with the Advertiser, shall
be pennitted.
2. PAYMENT
Purc::hase rate: $13,000.00 for 10 years of sponsorship rights
Tenns: $3,900.00 due with contract. Remaining payment due upon
installation.
3. TERM OF AGREEMENT
'!his agreement shall be in effect for a period conunencing on the
earliest date upon which the original contract expired and
continuing for a tenn of ten (10) years expiring on the date January
1, 2001.
4. RIGHI'S OF ADVERI'ISER
Advertiser agrees that the rights granted by Laktronics under the
tenns and conditions of this Agreement constitute the sole rights of
the Advertiser in and to the designated advertising space on the
Equipment, plus the media message display time delineated in
numbered paragraph 1. Except as specifically provided herein,
CUstomer agrees that advertisers/sponsors under contract with the
Contractor shall have exclusive advertising rights on the message
centers, advertising panels, and any other surface or media visible
from the spectator seating areas of the facility, for the ten (10)
year pericxi carmnencing upon installation of the Equipment. '!he
CUstomer may solicit and contract for cammercial advertising on the
message centers by persons or finns other than the
advertising/sponsors secured by the Contractor; provided, that any
such advertising shall:
1. be subj ect to unanintous approval by the advertisers, sponsors,
which approval will not be tmreasonably withheld;
2. be limited, in the aggregate, to not more than four (4) minutes
per scheduled event;
3. be sold for not less than fifteen dollars ($15.00) per minute;
and
4. not promote any product or service which is competitive with
any product or service' offered by any advertiser/sponsor.
Temporary banner signs, printed programs, banners or pennants
identifying broadcast media and message center announcements for
scheduled upcoming events are excluded fram this provision and
CUstaner shall retain exclusive rights with respect to advertising
contained in such items. CUstaner agrees to provide to Contractor
twenty (20) seconds per scheduled event, during which time CUstomer
will advertise or identify Contractor's product.
5. ASSIGNMENT
'Ibis Agreement shall not be assigned by the Advertiser nor shall
Advertiser grant to any other person any of its rights without prior
written consent of Daktronics. Advertiser may assign message time
to worthy causes such as united Appeal, etc., upon consent of the
CUstomer. Daktronics shall be entitled to assign this Agreement and
its rights hereunto to any other persons provided no such assigrnnent
shall .i1npair the right of .the Advertiser hereunder.
6. MATERIAL DAMAGE OR DESTRUCrION OF DISPIAY EOUIIMENT
In the event of material damage to or destruction of the Display
Equipment by any cause, CUstomer shall assume full responsibility
for the replacement or repair of the equipment during the tenure of
this Agreement.
Sf--
In the event the Facility is closed for any period of less~th~)
twelve (12) months by reason of casualty or aa::idental damage of any
type, the tenn of this Agreement shall automatically be exterrled by
a period equal to the duration of such closing. In the event
atten:lance at the Facility for any year decreases to a level thirty
percent (30%) or more below atten:lance during the first year of
perfonnance under this Agreement, Daktronics shall exterrl the
advertising rights granted to the Advertiser hereunder for an
additional one (1) year period; provided, that in no event shall
this provision operate to exterrl such advertising rights more than
five (5) years beyond the ten (10) year basic tenn provided for by
this Agreement.
7. FURl'HER CONDITIONS
It shall be a further condition of Advertiser's obligation hereunder
that O3ktronics and the CUstomer shall each perfonn fully,
faithfully, and timely the operational conditions as set forth in
Paragraph 8 below.
8. OPERATIONAL CONDITIONS
Daktronics and the CUstomer have acknowledged that the conditions
set forth below are the essence of this advertising agreement and
the CUstomer had agreed to abide by and fully and faithfully perfonn
or observe each such condition during the time of this advertising
agreement in consideration of sufficient consideration, the receipt
hereof is hereby acknowledged.
8.1 No fixed advertising in or about the facilities and locations
competitive with the Advertiser shall be pennitted.
8.2 Advertising on the Display Equipment shall be operated and
shown at all events held at the Facility deemed appropriate in
the reasonable discretion of the CUstomer.
8.3 '!he CUstomer shall cooperate fully with the Advertiser to
resolve any disputes that may arise fran time to time between
the Advertiser and the CUstomer, its agents, or employees.
9. APPROVAL
To protect the rights of participating advertisers, Daktronics, and
the CUstomer, this contract shall not become effective until such
time as written approval has been granted by the CUstomer.
10. EQ(JTIMENT ACCEPI'ANCE DATE AND PAYMENT samr:mE
Equipment Acceptance Date for the Facility Advertising Agreement
shall be the date when the equipment is installed, operational, and
accepted by the CUstomer.
For those advertisers electing to use an extended payment plan, the
annual payment date will be ninety (90) days prior to the
anniversary date of the agreement acceptance by CUstomer.
For those advertisers electing to use the full sum payment plan, the
final payment is due upon acceptance of the equipment by the
CUstomer .
In both cases, the first payment is due at the time this contract is
signed.
11. CANCELIATION OF AGREEMENT
D:lktronics resaves the right to cancel this Agreement at any time
on default by Advertiser on payment of bills, or on other material
breach by Advertiser of any of the covenants and comitions herein'.
On such cancellation, all payments due hereurrler, but not paid for
and all other amounts due to the em of this Agreement shall,
without notice or demand, become innnediately due and payable.
Advertiser also expressly agrees to pay reasonable attorney fees and
other reasonable costs incurred in the collection of any past due
balance urrler this Agreement.
12 . GENERAL
12.1 Daktronics shall act at all times herein as an indePerxient
contractor and nothing contained herein shall be constJ:ued to
create the relationship of princiPal and agent or employer and
employee between the Advertiser and Daktronics.
12 . 2 '!his contract contains the entire agreement between the parties
relating to the subject matter herein contained and no
tennination or modification of this Agreement shall be valid
unless in writing and approved by an executive officer of
Daktronics and either attached to or emorsed onto this
Agreement.
12.3 The Sales Representative is acting as a special agent and all
representations and agreements not herein set forth are deemed
waived. '!his Agreement shall not be binding upon Daktronics
until accepted by an officer of Daktronics.
12.4 Arrj provision of this Agreement prohibited by law of any state
shall as to said law be ineffective in that state to the extent
of such provisions without invalidating the :renaining
provisions of this Agreement.
13. WARRANTY AND MAINI'ENANCE
Daktronics warrants its equipment to be free from all defects in
material and workmanship (bulbs, fuses, and labor associated with
the spare parts iIwentory excluded) for a period of one (1) year
from the date of installation. Daktronics' factory trained
personnel or an authorized indePerxient service shop shall repair or
. "
.
replace all assemblies or components which fail during this period
through nonnal use at no expense to the CUstomer. It is the
responsibility of the CUstomer to inform O3ktronics of any
malf1.mction or maintenance problem during the advertising period.
CUstomer agrees to notify Daktronics of any equipment malfunction
within four (4) hours of next business day. A maintenance contract
will be made available to the CUstomer following the one-year
warranty period. In lieu of the maintenance contract the CUstomer
may elect to maintain the equipment on a time am material basis.
All maintenance charges are subject to annual cost of living
adjustments.
14. NOl'ICES
All notices required hereun:ler shall be deemed duly given if sent by
certified mail, if to Daktronics, Inc., to 331-32:00. Avenue, P.O. Box
128, Brookings, South Dakota 57006; am if to Advertiser, to: Pepsi
Cola Bottling Company of Salina, Inc., P.O. Box 1243, 604 N. 9th,
Salina,:KS 67401.
IN WI'INFSS WHEREOF, O3ktronics, Inc. am Advertiser have executed this
Agreement.
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DAmRONICS, INC.
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.ADVERl'ISER: PEPSI COIA OOITLING
a:MPANY OF SALINA, INC.
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;W"'G.
BY:
TITIE:
DATE :
aJS'Ia1ER: BICENTENNIAL CENI'ER
SALINA, KANSAS
APPOOVED BY:~~
mTE:
1-~-91
AND:
mTE:
31JAN91
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