First Product Order. Thereafter, "Territory" may exclude the People's Republic of China ("PRC"), to the extent that Integra has had no sales of Treated Integra Products in that country. In the event that Integra has had no such sales, PcoMed shall give sixty (60) days advance written notice of PcoMed's intent to utilize a third party to market the PcoMed Surface Modification Technology in the PRC . 1.28. "Third Party" means any entity or person other than (i) Integra and its Affiliates, or (ii) PcoMed and its Affiliates. 1.29. "Treated Integra Product" means an Integra Product that utilizes or embodies, in whole or part, the PcoMed Surface Modification Technology, excluding Partially Treated Integra Product. 1.30. "US Marketing Clearance" means Regulatory Approval of a Treated Integra Product or Partially Treated Integra Product for use in the Field in the United States. 2. CONSIDERATION. 2.1. Milestone Payments. (a) First Payment. Integra shall pay PcoMed $*** ( *** US dollars) upon full execution of this Agreement. (b) Second Payment. Integra shall pay PcoMed $*** ( *** US dollars) within 30 days after Notice of Initial Acceptance of First Product Order. Integra shall place the First Product Order within sixty (60) days of the Effective Date of this Agreement. 5 *** Portions of this page have been omitted pursuant to a request for Confidential Treatment filed separately with the Commission. 2.2. Fees. (a) Treated Integra Products. Subject to Section 2.2(c), for so long as the Agreement has not been converted to a non-exclusive arrangement under the provisions of Section 3.2, Integra shall pay PcoMed a Fee of ***% of Net Sales of all Treated Integra Product Sold by Integra or its Affiliates. Subject to Section 2.2(c), for so long as Integra's Rights under the Agreement have been converted to a non-exclusive arrangement under the