18. Subsequent Events
On January 13, 2012, Opnext Japan and Hitachi entered into a Master Research Services Agreement pursuant to which
Hitachi will provide research and development support to Opnext Japan and/or its affiliates on terms and conditions to be agreed on a project-by-project basis. To the extent any intellectual property (patents, copyrights, mask works, software or
trade secrets) results from research funded by Opnext Japan, Hitachi has agreed to assign the right to such intellectual property to Opnext Japan in return for the payment of a nominal fee. In all other cases, Hitachi will own any intellectual
property resulting from the research. Opnext Japan will license to Hitachi any such intellectual property owned by Opnext Japan, and Hitachi will license to Opnext Japan any such intellectual
property owned by Hitachi, in each case on a royalty-free and non-exclusive basis. The effective term of the agreement shall commence on February 15, 2012 and terminate on March 31, 2015; provided, however, that the agreement shall be
extended for additional periods of one (1) year each unless either party notifies the other in writing of its intent to terminate the agreement at least three (3) months prior to the expiration of the original term or of any extended term.