Step 1 Goals

Step 1 Goals. Has the meaning set forth in the Engineering Agreement. HOKU Initials & Date /s/ DS Mar 22, 2005 NISSAN Initials & Date /s/ H.T. Mar 22 3 [ * ] = CERTAIN CONFIDENTIAL INFORMATION CONTAINED IN THIS DOCUMENT, MARKED BY BRACKETS, HAS BEEN OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO RULE 406 OF THE SECURITIES ACT OF 1933, AS AMENDED.

Step 1 Goals. Means all of the goals identified in the tables labeled "Step 1 Goals" on Exhibit B attached hereto; provided, however, that the numeric values in the column titled "Step 1 Goals" are tentative and may be modified by mutual written agreement between the Parties.