The going market prices of standard and superior materials in any one year deviate from their
respective base prices whenever the percentage mix is anything other than 50% for standard
and 50% for superior materials. The going market price of superior (or standard) materials will rise
2% above the base for each 1% that worldwide use of superior (or standard) materials exceeds 50%.
Simultaneously, the global market price of standard (or superior) materials will fall 0.5% for each 1%
that the global usage of standard (or superior) materials falls below 50%. Thus, worldwide materials
usage of 60% superior materials and 40% standard materials will result in a global market price for
superior materials that is 20% above the prevailing $12 base price for superior materials and a global
market price for standard materials that is 5% below the prevailing $6 base price for standard
materials. Similarly, worldwide usage of 55% standard materials and 45% superior materials will result
in a global market price for standard materials that is 10% above the $6 base price and a global market
price for superior materials that is 2.5% below the prevailing $12 base. In other words, greater than
50% usage of superior materials widens the price gap between superior and standard materials, and
greater than 50% usage of standard materials narrows the price gap.