Ms. Pat Kelsey
Head of Procurement
BA/POCL Programme Delivery Authority
Third Floor
Terminal House
52 Grosvenor Gardens
London SW1W 0AB
24 February 1997
Terms for the “2000 OBCS” offices - Remedies and Payment
We discussed this matter briefly last week during CNT.
Tremain concerned at suggestions reported to me that the expectations within some parts of the PDA
with respect to Remedies may not align with what I think we agreed on Friday.
Had the DSS been prepared to provide us with the indemnity they had originally offered, there would
have been a case for Remedies before Operational Trial Acceptance. In effect, these 2000 post offices
would have been accepted “come what may”. In the event, however, their status is no more secure
than that of any other installation made during the Operational Trial period. They are at ICL
Pathway’s sole risk.
The nearest analogy for the 2000 is IGL - a self-contained installation package which is subject to
migration to full Release 1 when the time is right. IGL terms do not include either Guarantees or
Remedies. Logically, the same must apply to the 2000.
Payment terms should, by the same token, correspond to Basic Day One Scorecard.
For the avoidance of doubt, I must ask for your confirmation of the following:
Prior to the formal acceptance by the PDA of Release le, ICL Pathway will monitor and report
upon the actual service performance of Release 1c and Release le but will not be liable for the
payment of Remedies nor will it be subject to the Termination review process.
ICL Pathway will only become liable for the payment of Remedies and subject to the
Termination review process according to the service level agreements once Release le has
been formally accepted by BA/POCL and National roll-out has commenced (target date 3
November 1997).
Payment will be according to Basic Day One Scorecard.
All of the above pre-supposes that agreement can be reached on the viability of the 2000 plan, but I
would not wish that agreement to be reached only for the commercial assumptions to unravel.
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Yours sincerely,
Tony Oppenheim
Commercial and Finance Director
cc. Steve Muchow
Warren Spencer
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