A "mil" is 1000th of an inch. 10mils is a very tight tolerance (100th of an inch).
An alternative conclusion is that a mm ("mil") is NOT a 1000th of an inch.
And why would it be ? The milimeter is part of the metric SI system of units. An inch is not "metric" in any way or form.
Wouter
I run into this problem a lot at work. In the US, a mil is 0.001 inch. Outside of the US, "mil" is common slang for a millimeter. Fortunately the difference is big enough that it is generally obvious which one you are talking about.