Exhibit 10.1

 

SECOND AMENDMENT TO EMPLOYMENT AGREEMENT

 

This Second Amendment to Employment Agreement is made and entered into effective
as of February 1, 2004, by and between PriceSmart, Inc., a Delaware Corporation
(“Employer”) and William Naylon (“Executive”).

 

Recitals

 

A) On January 16, 2002 an Employment Agreement was made and entered into by and
between Employer and Executive.

 

B) On January 22, 2003, a First Amendment to Employment Agreement was made and
entered into by and between Employer and Executive;

 

C) Employer and Executive now desire to further amend the Employment Agreement,
as set forth hereinbelow:

 

Agreement

 

1. Section 2.1 of the Agreement which provides:

 

2.1 Salary. For Executive’s services hereunder, Employer shall pay as base
salary to Executive the amount of $250,000 during each year of the Employment
Term. Said salary shall be payable in equal installments in conformity with
Employer’s normal payroll period. Executive shall receive such salary increases,
if any, as Employer, in its sole discretion, shall determine.

 

is hereby amended, effective February 1, 2004, to provide as follows:

 

1.1 Salary. For Executive’s services hereunder, Employer shall pay as base
salary to Executive the amount of $225,000 during each year of the Employment
Term. Said salary shall be payable in equal installments in conformity with
Employer’s normal payroll period. Executive shall receive such salary increases,
if any, as Employer, in its sole discretion, shall determine.

 

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2. All other terms of the Employment Agreement shall remain unaltered and fully
effective.

 

Executed in San Diego, California, as of the date first written above.

 

EXECUTIVE

      EMPLOYER        

PRICESMART, INC.

William Naylon

      By:  

/s/ ROBERT M. GANS

             

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/s/ WILLIAM NAYLON

     

Name:

 

Robert M. Gans

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Its:

 

Executive Vice President