EXHIBIT 10.13


December
17, 2009





James R.
Van Horn, Esq.


10
Glenville Street


Greenwich, CT
06831








Dear
Jim:





The purpose of this letter is to set
forth the agreement of Presstek, Inc. (the “Company”) to provide you with
certain payments and benefits in the event of the termination of your employment
by the Company under the circumstances described below.





In
the event that your employment ceases by reason of the Company’s termination of
your employment other than for “Cause” (as defined below), the Company shall be
obligated to make severance payments to you in an aggregate amount that is equal
to your then current annual base salary for a period of one (1) year
(collectively, the "Severance Payments"). The Severance Payments shall be paid
commencing immediately after termination of employment in equal monthly
installments according to the Company’s normal payroll practices then in
effect.





However,
if there is a “Change in Control” of the Company (as defined below), and your
employment is terminated involuntarily (other than for Cause), or if you
terminate your employment voluntarily for “Good Reason” (as defined below) in
connection with or within one and one-half (1 1⁄2) years after such Change in
Control, then you shall be entitled to receive a lump sum cash payment in an
amount equal to two (2) times your average annual base salary paid to you by the
Company over the five (5) most recent years ending prior to such Change in
Control (or such portion of such period during which you were a full-time
employee of the Company). In addition, in the event of a Change in Control, all
existing stock options that have been granted to you shall immediately
vest.  The payment described in this paragraph shall be in lieu of the
Severance Payments described in the immediately preceding
paragraph.





As used
herein, the term “Cause” shall mean the determination by the Company’s Board of
Directors that one or more of the following circumstances exist: (i) your
conviction of a felony; (ii) your theft from the Company; (iii) your
breach of fiduciary duty involving personal profit; (iv) the sustained and
continuous conduct by you which adversely affects the reputation of the Company;
or (v) your continued failure to substantially and satisfactorily perform
your duties or obligations following twenty (20) days’ notice by the Company to
you and your failure to correct the deficiency cited in such notice (other than
any such failure resulting from your incapacity due to physical or mental
illness).





As used
herein, a “Change in Control” for purposes of this letter, shall be deemed to
have taken place if as the result of, or in connection with, any cash tender or
exchange offer, merger, or other business combination, sale of assets or
contested election, or any combination of the foregoing transactions, the
persons who were directors of the Company before such transaction shall cease to
constitute a majority of the Board of Directors of the Company or any successor
institution.





As
used herein, the term “Good Reason” means, unless previously consented to in
writing by you, the occurrence of any one of the following: (i) your
assignment to duties and responsibilities that are not at least substantially
equivalent to your duties and responsibilities with the Company immediately
prior to such Change in Control; (ii) the failure to continue you in a
position and title that is at least substantially equivalent to the position
held by you with the Employer immediately prior to such Change in Control,
except in connection with the termination of your employment for Cause or as a
result of your death or upon you becoming totally disabled; (iii) a
reduction in or failure to pay you current total annual cash compensation in an
amount equal to or greater than the sum of (x) your salary at the highest annual
rate in effect during the 12-month period immediately prior to such Change in
Control, and (y) the bonus paid to similarly situated employees pursuant to the
acquiring company’s executive bonus plan for the fiscal year ending immediately
prior to such Change in Control; (iv) your benefits under any employee
benefit or welfare plan of the acquiring company are less, or are reduced to
less (subject to the acquiring company’s right to provide equivalent benefits in
cash or otherwise in kind), other than reductions mandated by a change in law,
than the benefits of similarly situated employees under any employee benefit or
welfare plan of the acquiring company in effect immediately prior to such Change
in Control; or (v) you are reassigned to a place of business which is more
than thirty-five (35) miles from a major city in the United States as defined by
the twenty-six (26) Standard Metropolitan Statistical Areas.





You shall
be obligated to execute a general release of claims in favor of the Company, its
current and former parents, subsidiaries, subdivisions, divisions, shareholders,
the Board, or affiliated entities or persons, and the current and former
directors, officers, employees and agents of the Company, in a form acceptable
to the Company (the “Release”), as a condition to receiving the severance
payments described above.





Nothing in this letter shall be deemed
to limit the Company’s ability to terminate your employment at any
time.  In addition, this letter is intended to address your
entitlement to certain severance payments, and nothing contained herein shall
limit your rights to receive benefits or payments to which you are entitled
under any of the Company’s employee benefit or welfare plans, or as required by
law.





The Company will require any successor
(whether direct or indirect, by purchase, assignment, merger, consolidation or
otherwise) to all or substantially all of the business and/or assets of the
Company in any consensual transaction expressly to assume the obligations
contained in this letter and to agree to perform hereunder in the same manner
and to the same extent that the Company would be required to perform if no such
succession had taken place.





This letter supersedes any previous
agreement between the Company and you relating to payments upon the termination
of your employment, including but not limited to the severance payment referred
to in the offer letter to you, dated October 18, 2007.





Please sign the attached copy of this
letter acknowledging your agreement to the terms set forth above.





Sincerely,








Jeff Jacobson


Chairman, President and
CEO