Exhibit 10.1

FIRST AMENDMENT TO
EMPLOYMENT AGREEMENT

FIRST AMENDMENT, dated as of November 15, 2006 (this “Amendment”) to EMPLOYMENT
AGREEMENT, dated as of June 1, 2006 (as heretofore amended, the “Employment
Agreement”) between A. C. Moore Arts & Crafts, Inc., a Pennsylvania corporation
(“Company”), and Rick A. Lepley (“Executive”). Capitalized terms used herein and
not defined herein shall have the respective meanings set forth for such terms
in the Employment Agreement.

R E C I T A L S:

WHEREAS, Company and Executive have mutually agreed that certain provisions of
the Employment Agreement be amended, as set forth herein.

NOW, THEREFORE, intending to be legally bound hereby, it is agreed as follows:

Section 1.      Amendment to Paragraph 4(b). Immediately after the tenth word of
the first sentence, which is the word “terminated”, Paragraph 4(b) is amended to
include the following parenthetical:

          “(including, without limitation, pursuant to the six month notice
under Paragraph 4(a))”

 
Section 2.      Amendment to Section 6(a)(iii) of Appendix I. Section 6(a)(iii)
of Appendix I is hereby amended and restated to read as follows:

          “(iii)      all options to purchase common stock in the Company to
which Executive would be entitled to be granted pursuant to the terms of this
Agreement shall immediately be deemed granted, vested and become exercisable on
the Date of Termination. Executive shall have 18 months after the Date of
Termination to exercise such options, subject to the provisions of the plans
under which they were granted.”

 
Section 3.      Amendment to Appendix I. Appendix I is amended to include the
following Section 9:

          “Options. All options to purchase common stock in the Company held by
Executive on the date of a Change of Control shall immediately be deemed vested
and become exercisable on the date of the Change in Control and Executive shall
have until the end of the applicable original term of each such option to
exercise such options; provided, however, that in the event that Executive’s
employment with the Company is terminated for any reason (other than Cause)
after the Change in Control, Executive shall have until the earlier of (1) the
end of the applicable original term of each such option and (2) 18 months after
the Date of Termination to exercise such options post-termination. In the event
that Executive’s employment with the Company is terminated for Cause, all
options held by Executive shall terminate immediately.”

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Section 4.      Amendment to Paragraph 3(i)(2). Paragraph 3(i)(2) is amended and
restated to read as follows:

          “(2)      For each calendar year, after December 31, 2006, during the
Employment Term (each, an “Annual Option Year”), Executive shall be granted a
non-qualified option to purchase 100,000 shares of common stock of the Company
(each, an “Annual Option”) on the day (each, a “Management Grant Date”) of each
such calendar year that the Board otherwise annually grants options or other
equity to management of the Company, if Executive is employed by Company
pursuant to this Agreement on such Management Grant Date of such calendar year;
provided however, if Executive is employed by the Company pursuant to this
Agreement on June 1 of an Annual Option Year (each, an “Option Entitlement
Date”), Executive shall be granted an Annual Option on the Management Grant Date
of such year, irrespective of whether Executive is employed by the Company
pursuant to this Agreement on the Management Grant Date of such year; and if
there is no Management Grant Date of such year, Executive shall be granted an
Annual Option on December 31 of such year, irrespective of whether Executive is
employed by the Company pursuant to this Agreement on December 31 of such year.
In accordance with Executive’s Stock Option Agreements evidencing the Annual
Options and Appendix I of this Agreement, Executive shall have the right to
exercise the Annual Options within certain time periods (each, a "Period") after
death, disability or other terminations of employment, including without
limitation for three months after the date of termination of employment without
Cause. If the grant date of an Annual Option is made after both (x) the Option
Entitlement Date and (y) the date of termination of Executive’s employment under
the Agreement, then notwithstanding anything to the contrary in this Agreement
or the Stock Option Agreements, the grant date of such Annual Option, rather
than the date of termination of employment, shall serve as the first day of the
applicable Period for such Annual Option.”

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Section 5.      Effectiveness. This Amendment shall be become effective as of
the date hereof.

 
Section 6.      Status of Employment Agreement. This Amendment is limited solely
for the purposes and to the extent expressly set forth herein, and, except as
expressly set forth herein all of the terms, provisions and conditions of the
Employment Agreement shall continue in full force and effect and are not
effected by this Amendment.

IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to
Employment Agreement to be duly executed and delivered as of the date first
written above.

  /s/ Rick A. Lepley  

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  RICK A. LEPLEY           A.C. MOORE ARTS & CRAFTS, INC.         By: /s/
Michael J. Joyce    

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    Michael J. Joyce     Chairman of the Board of Directors

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