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                              EMPLOYMENT AGREEMENT



                                     between

                                 AVENUE A, INC.

                                      and

                                MICHAEL T. GALGON










                                                       Dated as of June 21, 2000

EMPLOYMENT AGREEMENT
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                              EMPLOYMENT AGREEMENT

         This Employment Agreement (this "Agreement"), dated as of June 21,
2000, between Avenue A, Inc., a Washington corporation ("Avenue A"), and Michael
T. Galgon ("Executive").

                                   WITNESSETH:

         WHEREAS, Executive has been serving Avenue A as its Chief Strategy
Officer and Avenue A desires to retain the services of Executive upon the terms
and conditions set forth herein; and

         WHEREAS, Executive is willing to continue to provide services to Avenue
A upon the terms and conditions set forth herein;

                                   AGREEMENTS:

         NOW, THEREFORE, for and in consideration of the foregoing premises and
for other good and valuable consideration, the sufficiency and receipt of which
are hereby acknowledged, Avenue A and Executive hereby agree as follows:

1.       EMPLOYMENT

         During Executive's employment, Executive shall serve Avenue A
faithfully and to the best of his ability, devoting substantially all his
working time, attention and energies to the business of Avenue A. Executive's
status, duties and responsibilities shall be reasonably commensurate with his
title, and he shall perform such duties as lawfully assigned to him. Executive
shall not engage in any other business activity (except the management of
personal investments and charitable and civic activities which in the aggregate
do not interfere with the performance of Executive's duties hereunder) without
first obtaining the written consent of Avenue A's CEO, such consent not to be
unreasonably withheld.

2.       BENEFITS

         During his employment, Executive will be entitled to participate in all
employee benefit plans in which executives of Avenue A may participate.

3.       TERMINATION

         Employment of Executive pursuant to this Agreement may be terminated as
follows:


EMPLOYMENT AGREEMENT


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         3.1. By Avenue A

         With or without Cause (as defined below), Avenue A may terminate the
employment of Executive at any time upon giving Notice of Termination (as
defined below).

         3.2. By Executive

         Executive may terminate his employment at any time, for any reason,
upon giving Notice of Termination.

         3.3. AUTOMATIC TERMINATION

         This Agreement and Executive's employment hereunder shall terminate
automatically upon the death or total disability of Executive. The term "total
disability" as used herein shall mean Executive's inability to perform the
duties set forth in paragraph 1 hereof for a period or periods aggregating
ninety (90) calendar days in any 12-month period as a result of physical or
mental illness, loss of legal capacity or any other cause beyond Executive's
control, unless Executive is granted a leave of absence by the Board of
Directors of Avenue A. Executive and Avenue A hereby acknowledge that
Executive's ability to perform the duties specified in paragraph 1 hereof is of
the essence of this Agreement. Termination hereunder shall be deemed to be
effective (a) at the end of the calendar month in which Executive's death occurs
or (b) immediately upon a determination by the Board of Directors of Avenue A of
Executive's total disability, as defined herein.

         3.4. NOTICE

         The term "Notice of Termination" shall mean at least thirty (30) days'
written notice of termination, by either party, of Executive's employment,
during which period Executive's employment and performance of services will
continue; provided, however, that Avenue A may, upon notice to Executive and
without reducing Executive's compensation during such period, excuse Executive
from any or all of his duties during such period. Such a reduction in duties
shall not constitute "good reason" for voluntary termination so as to trigger
termination payments in accordance with subparagraph 4.2. The effective date of
the termination (the "Termination Date") of Executive's employment hereunder
shall be the date on which such 30-day period expires.


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4.       TERMINATION PAYMENTS AND ACCELERATION OF VESTING

         In the event of termination of the employment of Executive, all
compensation and benefits set forth in this Agreement shall terminate except as
specifically provided in this paragraph 4. Nothing in this Agreement shall be
construed to restrict Executive's rights to exercise vested stock option shares
as provided in any applicable stock option plan.

         4.1. TERMINATION BY AVENUE A

         (a) Upon termination by Avenue A, Avenue A shall pay Executive any
unpaid annual base salary at the rate of pay in effect at the time of
termination (herinafter "Base Salary") through the Termination Date. Such
payment will be made on the Termination Date or within 15 days thereafter.

         (b) If Avenue A terminates Executive's employment without Cause, as
defined below, Executive shall be entitled to receive termination payments equal
to twelve (12) months annual Base Salary. The termination payments will be paid
semimonthly in equal parts in accordance with the same time schedule that
Avenue A or a Successor Company (as defined in Exhibit A hereto and incorporated
by reference herein) makes its customary payroll. Avenue A or a Successor
Company may deduct customary withholdings including social security, federal and
state income taxes, and state disability insurance from these severance
payments; however, any and all such obligations shall be Executive's
responsibility. Avenue A will issue and file appropriate tax documents in
connection with any termination payments. The termination payments described in
this paragraph are expressly contingent upon Executive's signing upon
termination a release in the form attached hereto as Exhibit B, and are further
contingent upon Executive's full compliance with the terms of his
Confidentiality, Inventions Assignment, Noncompetition and Nonsolicitation
Agreement with Avenue A (the "Confidentiality Agreement"), a copy of which is
attached hereto as Exhibit C. In the event Executive were to materially breach
this Confidentiality Agreement, his right to any termination payments under this
paragraph shall be extinguished, Avenue A (and any Successor Company) shall
cease payments, and Executive shall immediately return to Avenue A or to any
Successor Company any termination payments already made. If Executive is
terminated by either of Avenue A or any Successor Company for Cause, Executive
shall not be entitled to receive any of the foregoing benefits, other than those
set forth in clause (a) above.

         (c) If Avenue A terminates Executive's employment without Cause, as
defined below, then (1) any remaining portion of Executive's Avenue A stock
option grant, dated June 23, 1998 (the "Founder Option"), held by Executive
immediately


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prior to the: Termination Date that is unvested shall automatically vest
immediately prior to the Termination Date; (2) the number of Executive's
unvested Founder Option shares, if any, held by Executive immediately prior to
the Termination Date that were obtained on exercise of any Founder Option stock
shares shall, immediately prior to the Termination Date, automatically vest and
be no longer subject to the right of repurchase in favor of Avenue A; (3) the
portion of any Avenue A stock option, other than the Founder Option, held by
Executive immediately prior to the Termination Date that is unvested shall
automatically vest, immediately prior to the Termination Date, in an amount
equal to the portion that would have vested during the one year period
immediately following the Termination Date (assuming, for purpose of determining
the amount, that no termination had occurred and Executive had continued
Executive's employment with Avenue A during that one year period), and (4) the
number of unvested shares, if any, held by Executive immediately prior to the
Termination Date that were obtained on exercise of any Avenue A stock options
other than the Founder Option, that is equal to the number of such unvested
shares that would have vested during the one year period immediately after the
Termination Date (assuming, for purposes of determining the number, that no
termination had occurred and Executive had continued Executive's employment with
Avenue A during that one year period) shall, immediately prior to the
Termination Date, automatically vest and be no longer subject to the right of
repurchase in favor of Avenue A.

         Any acceleration of vesting of stock options or of unvested shares
pursuant to the terms of any stock option plan of Avenue A under which any stock
option held by Executive is granted (a "Company Stock Option Plan") and any
acceleration of vesting pursuant to any option letter agreement for any stock
option for Avenue A common stock granted to Executive prior to or after the date
of this Agreement (an "Option Agreement") shall not be limited by or be in lieu
of any acceleration of vesting provided for pursuant to this Agreement, and any
acceleration of vesting provided for pursuant to this Agreement shall not be
limited by or be in lieu of any acceleration of vesting provided for pursuant to
any Company Stock Option Plan or Option Agreement.

         4.2. TERMINATION BY EXECUTIVE

         In the case of the termination of Executive's employment by Executive
for "good reason," as defined below, Executive shall be paid the compensation
and termination benefits set forth in clauses 4.1 (a) and (b), above, and shall
not be entitled to the benefits under clause 4.1 (c). In the case of termination
of Executive's employment by Executive for any other reason, Executive shall be
paid the compensation set forth in clause 4.1 (a) and shall not be entitled to
the benefits under clauses 4.l(b) or 4.1(c) above.


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         4.3. TERMINATION AS A RESULT OF DEATH OR TOTAL DISABILITY

         In the event of termination of Executive's employment pursuant to
subparagraph 3.3, Executive or his estate shall be paid the compensation set
forth in clause 4.1(a) and shall not be entitled to any of the benefits under
clauses 4.1(b) or 4.1(c) above.

         4.4. "Good Reason"

         "Good reason" shall mean the occurrence of any of the following events,
without the consent of the Executive, in connection with or after a "Change of
Control" (as defined in Exhibit A hereto and incorporated by reference herein):

         a)       a demotion or other material reduction in the nature or status
                  of Executive's responsibilities; provided, however, that a
                  change in the person or office to which Executive reports,
                  without a corresponding reduction in duties, status and
                  responsibilities, shall not constitute "good reason;"

         b)       a non-voluntary reduction in the Executive's annual Base
                  Salary;

         c)       requirement by a Successor Company that the Executive relocate
                  his principal place of employment to a location that is more
                  than 50 miles from the principal place of employment where
                  Executive was employed immediately prior to the "Change of
                  Control;" or

         d)       the failure of Avenue A to obtain a satisfactory agreement
                  from any Successor Company to assume and perform the
                  obligations under this Agreement.

         4.5. CAUSE

         Wherever reference is made in this Agreement to termination being with
or without Cause, "Cause" shall include, without limitation, the occurrence of
one or more of the following events:

                  (a) willful misconduct, insubordination, or dishonesty in the
         performance of Executive's duties or other knowing and material
         violation of Avenue A's or a Successor Company's policies and
         procedures in effect from time to time which results in a material
         adverse effect on Avenue A or a Successor Company;


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                  (b) the continued failure of Executive to satisfactorily
         perform his duties after receipt of written notice that specifically
         identifies the areas in which Executive's performance is deficient;

                  (c) willful actions (or intentional failures to act) in bad
         faith by Executive with respect to Avenue A or a Successor Company that
         materially impair Avenue A's or a Successor Company's business,
         goodwill or reputation;

                  (d) conviction of Executive of a felony involving an act of
         dishonesty, moral turpitude, deceit or fraud, or the commission of acts
         that could reasonably be expected to result in such a conviction;

                  (e) current use by the Executive of illegal substances; or

                  (f) any material violation by Executive of Executive's
         Confidentiality Agreement with Avenue A.

5.       CONFIDENTIALITY, NONCOMPETITION AND
         NONSOLICITATION AGREEMENT

         Executive is subject to the terms of the Confidentiality Agreement
entered into concurrently with this Agreement and the terms of the
Confidentiality Agreement shall survive the termination of Executive's
employment with Avenue A.

6.       REPRESENTATIONS AND WARRANTIES; NO VIOLATION

         In order to induce Avenue A to enter into this Agreement, Executive
represents and warrants to Avenue A that neither the execution nor the
performance of this Agreement by Executive will violate or conflict in any way
with any other agreement by which Executive may be bound, or with any other
duties imposed upon Executive by corporate or other statutory or common law.

7.       NOTICE AND CURE OF BREACH

         Whenever a breach of this Agreement by either party is relied upon as
justification for any action taken by the other party pursuant to any provision
of this Agreement, other than pursuant to the definition of "Cause" set forth in
subparagraph 4.5 hereof, before such action is taken, the party asserting the
breach of this Agreement shall give the other party at least 14 days' prior
written notice of the existence and the nature of such breach before taking
further action hereunder and shall give the party purportedly in breach of this
Agreement the opportunity to correct such breach during the 14-day period.


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8.       FORM OF NOTICE

         All notices given hereunder shall be given in writing, shall
specifically refer to this Agreement and shall be personally delivered or sent
by telecopy or other electronic facsimile transmission or by registered or
certified mail, return receipt requested, at the address set forth below or at
such other address as may hereafter be designated by notice given in compliance
with the terms hereof:

          If to Executive:              Michael T. Galgon
                                        3419 S. Mount Baker Blvd.
                                        Seattle, WA 98144

          If to Avenue A:               Avenue A, Inc.
                                        506 Second Avenue
                                        Seattle, WA 98104
                                        Facsimile: (206) 521-8808
                                        Attention: President and CEO

          Copy to:                      Perkins Coie LLP
                                        1201 Third Avenue, 48th Floor
                                        Seattle, WA 98101-3099
                                        Facsimile: (206) 583-8500
                                        Attention: James Sanders

If notice is mailed, such notice shall be effective upon mailing, or if notice
is personally delivered or sent by telecopy or other electronic facsimile
transmission, it shall be effective upon receipt.

9.       ASSIGNMENT

         This Agreement is personal to Executive and shall not be assignable by
Executive. Avenue A may assign its rights hereunder to (a) any corporation
resulting from any merger, consolidation or other reorganization to which Avenue
A is a party or (b) any corporation, partnership, association or other person to
which Avenue A may transfer all or substantially all of the assets and business
of Avenue A existing at such time. All of the terms and provisions of this
Agreement shall be binding upon and shall inure to the benefit of and be
enforceable by the parties hereto and their respective successors and permitted
assigns.


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10.      WAIVERS

         No delay or failure by any party hereto in exercising, protecting or
enforcing any of its rights, titles, interests or remedies hereunder, and no
course of dealing or performance with respect thereto, shall constitute a waiver
thereof. The express waiver by a party hereto of any right, title, interest or
remedy in a particular instance or circumstance shall not constitute a waiver
thereof in any other instance or circumstance. All rights and remedies shall be
cumulative and not exclusive of any other rights or remedies.

11.      ARBITRATION

         Any controversies or claims arising out of or relating to this
Agreement shall be fully and finally settled by arbitration in the city of
Seattle in accordance with the Commercial Arbitration Rules of the American
Arbitration Association then in effect (the "AAA Rules"), conducted by one
arbitrator either mutually agreed upon by Avenue A and Executive or chosen in
accordance with the AAA Rules, except that the parties thereto shall have any
right to discovery as would be permitted by the Federal Rules of Civil Procedure
for a period of 90 days following the commencement of such arbitration and the
arbitrator thereof shall resolve any dispute which arises in connection with
such discovery. The prevailing party shall be entitled to costs, expenses and
reasonable attorneys' fees, and judgment upon the award rendered by the
arbitrator may be entered in any court having jurisdiction thereof.

12.      AMENDMENTS IN WRITING

         No amendment, modification, waiver, termination or discharge of any
provision of this Agreement, nor consent to any departure therefrom by either
party hereto, shall in any event be effective unless the same shall be in
writing, specifically identifying this Agreement and the provision intended to
be amended, modified, waived, terminated or discharged and signed by Avenue A
and Executive, and each such amendment, modification, waiver, termination or
discharge shall be effective only in the specific instance and for the specific
purpose for which given. No provision of this Agreement shall be varied,
contradicted or explained by any oral agreement, course of dealing or
performance or any other matter not set forth in an agreement in writing and
signed by Avenue A and Executive.

13.      APPLICABLE LAW

         This Agreement shall in all respects, including all matters of
construction, validity and performance, be governed by, and construed and
enforced in accordance


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with, the laws of the state of Washington, without regard to any rules governing
conflicts of laws.

14.      SEVERABILITY

         If any provision of this Agreement shall be held invalid, illegal or
unenforceable in any jurisdiction, for any reason, including, without
limitation, the duration of such provision, its geographical scope or the extent
of the activities prohibited or required by it, then, to the full extent
permitted by law (a) all other provisions hereof shall remain in full force and
effect in such jurisdiction and shall be liberally construed in order to carry
out the intent of the parties hereto as nearly as may be possible, (b) such
invalidity, illegality or unenforceability shall not affect the validity,
legality or enforceability of any other provision hereof, and (c) any court or
arbitrator having jurisdiction thereover shall have the power to reform such
provision to the extent necessary for such provision to be enforceable under
applicable law.

15.      HEADINGS

         All headings used herein are for convenience only and shall not in any
way affect the construction of, or be taken into consideration in interpreting,
this Agreement.

16.      COUNTERPARTS

         This Agreement, and any amendment or modification entered into pursuant
to paragraph 12 hereof, may be executed in any number of counterparts, each of
which counterparts, when so executed and delivered, shall be deemed to be an
original and all of which counterparts, taken together, shall constitute one and
the same instrument.

17.      ENTIRE AGREEMENT

         This Agreement on and as of the date hereof, together with the
Confidentiality Agreement, constitutes the entire agreement between Avenue A and
Executive with respect to the subject matter hereof and all prior or
contemporaneous oral or written communications, understandings or agreements
between Avenue A and Executive with respect to such subject matter are hereby
superseded and nullified in their entireties.


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         IN WITNESS WHEREOF, the parties have executed and entered into this
Agreement on the date set forth above.

                                                 EXECUTIVE:

                                                 Michael T. Galgon

                                                 /s/ Michael T. Galgon
                                                 -----------------------------

                                                 Avenue A, Inc.

                                                 By /s/ Brian McAndrews
                                                    --------------------------
                                                 Brian McAndrews
                                                 Its President and CEO


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                                    EXHIBIT A

1. DEFINITION OF "CHANGE OF CONTROL"

         For purposes of the Employment Agreement, a "Change of Control" means
any of:

         (i) an event in which any person (including any individual, entity or
group within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities
Exchange Act of 1934, as amended, (the "Exchange Act")) (a "Person"), shall
become the beneficial owner (within the meaning of Rule 13d-3 promulgated under
the Exchange Act), directly or indirectly, of fifty percent (50%) or more of the
combined voting power of the capital stock of Avenue A, Inc. ("Avenue A") then
outstanding; or

         (ii) at any time during which Avenue A has a class of equity securities
which is listed on a national securities exchange or an automated quotation
system (including, without limitation, the Nasdaq Stock Market) ("publicly
traded"), the acquisition by a Person of equity securities representing more
than thirty percent (30%) of the combined voting power of the capital stock of
Avenue A outstanding as of the date of such transaction (or the first of a
series of related transactions), but only if such equity securities were
acquired in a transaction or series of related transactions which were not
approved by the Board of Directors of Avenue A in office prior to the date of
such first acquisition (provided, however that if such Person is entitled,
pursuant to Rule 13d-1 under the Exchange Act to file a Form 13G with respect to
its holdings of equity securities of Avenue A in lieu of a Form 13D, such event
will not constitute a Change of Control unless and until such Person files a
Form 13D with respect to such holdings); or

         (iii) at any time during which Avenue A has a class of equity
securities which is publicly traded, the acquisition by a Person of equity
securities representing more than twenty percent (20%) of the combined voting
power of the capital stock of Avenue A outstanding prior to the date of such
transaction (or the first of a series of related transactions) in a transaction
or series of related transactions which were not approved by the Board of
Directors of Avenue A in office prior to the date of such first acquisition,
and, within one year thereafter, at least two individuals whose election to the
Board of Directors was proposed by such Person are members of the Board of
Directors; or

         (iv) the sale or other disposition of all or substantially all of
Avenue A's assets, other than to a corporation with respect to which immediately
following such sale or disposition (A) securities representing more than sixty
percent (60%) of the combined voting power the capital stock of such corporation
are then beneficially owned, directly or indirectly, by all or substantially all
of the beneficial owners of securities representing the combined voting power of
the capital stock of Avenue A (the "Company Voting Securities") immediately
prior to such sale or disposition in substantially the same proportion as their
ownership, immediately prior to such sale or other disposition, of Company
Voting Securities, (B) no Person (excluding Avenue A, any employee benefit plan
(or related trust) of Avenue A or such corporation and any Person beneficially
owning, immediately prior to such sale or other disposition, directly or
indirectly, securities representing 33% or more of Company Voting Securities)
beneficially owns, directly or indirectly, securities representing 33% or more
of the combined voting power of the capital stock of such corporation; and (C)
at least a majority of the members of the board of directors of the such
corporation were approved by majority of directors of the Incumbent Directors
(as defined below) on Avenue A's Board of Directors at the time such transaction
was initially approved by Avenue A; or


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         (v) the reorganization, merger or consolidation of Avenue A with any
other corporation or entity, in each case unless immediately following such
reorganization, merger or consolidation (A) securities representing more than
60% of the combined voting power of the capital stock of the corporation
resulting from such reorganization, merger or consolidation are then
beneficially owned, directly, or indirectly, by all or substantially all of the
individuals and entities who were the beneficial owners of Company Voting
Securities immediately prior to such reorganization, merger or consolidation in
substantially the same proportion as their ownership, immediately prior to such
reorganization, merger or consolidation, of Company Voting Securities, (B) no
Person (excluding Avenue A, any employee benefit plan (or related trust) of
Avenue A or such corporation resulting from such reorganization, merger or
consolidation and any Person beneficially owning, immediately prior to such
reorganization, merger or consolidation, directly or indirectly, securities
representing 33% or more of Company Voting Securities) beneficially owns,
directly or indirectly, securities representing 33% or more of the combined
voting power of the corporation resulting from such reorganization, merger or
consolidation, and (C) at least a majority of the members of the board of
directors of the corporation resulting from such reorganization, merger or
consolidation were the Incumbent Directors at the time that the agreement for
such reorganization, merger or consolidation was initially executed; or

         (vi) the dissolution or liquidation of Avenue A; or

         (vii) a change in the composition of the Board of Directors of Avenue A
in which a majority of the seats (other than vacant seats) on the Board have
been occupied by individuals who were neither (a) nominated by a majority of the
Incumbent Directors nor (b) appointed by directors so nominated.

2 DEFINITION OF "SUCCESSOR COMPANY"

         For purposes of the Employment Agreement, "Successor Company" shall
mean any of (i) any corporation that acquires all or substantially all of the
assets of Avenue A in a "Change of Control" described in clause (iv) of the
definition of "Change of Control" above or (ii) a successor corporation to
Avenue A (or parent corporation thereof) resulting from a "Change in Control" of
Avenue A described in clause (v) of the definition of "Change of Control" above.

3 DEFINITION OF "INCUMBENT DIRECTOR"

         An "Incumbent Director" is a member of Avenue A's Board of Directors
(the "Board") who has been either (i) nominated by a majority of the directors
of Avenue A then in office or (ii) appointed by directors so nominated, but
excluding, for this purpose, any such individual whose initial assumption of
office occurs as a result of either an actual or threatened election contest (as
such terms are used in Rule 14a-11 of Regulation 14A promulgated under the
Securities Exchange Act of 1934, as amended (the "Exchange Act")) or other
actual or threatened solicitation of proxies or consents by or on behalf of a
Person other than the Board.


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