Exhibit 10.1

                        AGREEMENT TO TERMINATE EMPLOYMENT


     This  Agreement to Terminate  Employment  is made as of October 1, 2001, by
and between ROYAL PRECISION, INC., a Delaware corporation  ("Corporation"),  and
THOMAS A. SCHNEIDER ("Employee").

     WHEREAS,  Corporation  and Employee have  maintained  an  employer-employee
relationship  for a  period  of time  and  they now  desire  to  terminate  that
relationship.  It is also the desire of Corporation and Employee that they enter
into a written agreement in order to establish their respective rights,  duties,
and obligations, resolve all claims and differences that may currently exist, or
that in the future may arise and generally release each other from any claims or
other matters that may not be specifically set forth hereinafter.

     NOW,  THEREFORE,   for  and  in  consideration  of  the  promises  and  the
consideration  more fully set forth  hereinafter,  and  intending  to be legally
bound hereby, Corporation and Employee mutually agree as follows:

     1.  TERMINATION OF EMPLOYMENT  RELATIONSHIP.  The  employment  relationship
shall   terminate  and  cease  October  2,  2001  at  5:00  p.m.   Phoenix  time
("Termination  Date"), and the payment to Employee of any sums, pursuant to this
Agreement, after such termination, shall be considered wages. Corporation shall,
however,  withhold the ordinary  and  customary  federal and state taxes to such
extent as required by law.  Corporation  shall not be obligated to pay any other
sums to  Employee  or to  provide  any  other  benefits,  after the date of this
Agreement,  except as required by  applicable  law or regulation or as set forth
hereinafter.

     2.  CONSIDERATION.  Corporation shall pay to Employee,  or to his heirs, or
executors,  the sum of  $170,000,  without  interest,  which  shall  be  payable
according to existing bi-weekly payment cycle from October 3, 2001 to October 2,
2002 (the "Severance  Period").  No payments shall be made, however,  until this
Agreement has been executed by each party.  Corporation shall pay normal payroll
through  October 2, 2001 and will then start the severance  period on October 3,
2001 through October 3, 2002.

     3. EMPLOYMENT  BENEFITS.  Corporation shall be obligated to continue and/or
provide for, or pay,  Employee's  existing  health and dental  insurance for the
Severance Period,  but shall not be obligated to continue and/or provide for, or
pay for any life insurance or any other  benefits from or after the  Termination
Date.  Employee  may have the right to invoke the  Consolidated  Omnibus  Budget
Reconciliation  Act "COBRA" of 1985,  to continue  certain  benefits.  The COBRA
period shall start on October 3, 2002 and will extend for 18 months  thereafter.
If Employee  desires to exercise such rights,  he shall  immediately  notify the
Employee Benefits Coordinator and/or the Personnel Department of Corporation.  A
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failure  to do so may result in a loss of  benefits.  This  Agreement  shall not
alter  Employee's  statutory  rights.  Corporation  shall  continue to reimburse
Employee  for  expenses  incurred  in the  ordinary  course of the  business  of
Corporation  pursuant to the customary and normal rules for the reimbursement of
expenses.

     4.  RETIREMENT  BENEFITS.  No  further  contributions  shall be made to the
benefit  plans of  Corporation  on  behalf  of  Employee;  however,  he shall be
entitled  to  receive  any and all  benefits  that have  vested in him solely as
determined by the terms and  conditions of such plans. A statement of Employee's
account in any such plan in which  Employee  has an account  will be supplied to
Employee upon request.

     5. OPTIONS.  Regardless of terms contained in any option agreement  between
Employee and  Corporation  which might be in conflict  with the  foregoing,  all
options with respect to Employee purchasing shares of Corporation currently held
by  Employee  shall be  immediately  vested  and  exercisable  with all  vesting
provisions  eliminated,  and  Employee  shall be entitled  to exercise  all such
options during the option term and any time prior to the expiration date of such
options.

     6.  RESIGNATION  OF  OFFICES.  Employee  hereby  tenders,  and  Corporation
accepts,  Employee's  resignation  from any and all offices  that  Employee  may
currently  hold with  Corporation or any  subsidiary of  Corporation,  including
Employee's position as a member of the Board of Directors of Corporation and its
subsidiaries, any executive offices, and any and all other such positions.

     7. SECURITIES AND EXCHANGE ("SEC") FILINGS.  Corporation  agrees to pay for
all required SEC filings to be completed on behalf of Employee. Corporation also
agrees that it will instruct its corporate attorney to make Employee aware, on a
timely  basis,  of any  filings  that are  required  to be made as a  result  of
Employee's  relationship with Corporation or as a result of the sale of stock or
exercise of options when such counsel is notified of such sale or exercise.

     8. CHOICE OF LAW.  This  Agreement  is executed in and shall be governed by
and construed in accordance with the laws of the State of Arizona  applicable to
contracts to be performed solely in the State of Arizona.

     9. NOTICES.  Materials  required to be delivered to either party  hereunder
shall be delivered as indicated below. Any notice, or other  communication under
this  Agreement  shall be in writing  and shall be  considered  given:  (a) upon
personal  delivery or delivery by  telecopier  (with  confirmation  of completed
delivery  by  sender),  (b) two  business  days after  being  deposited  with an
"overnight"  courier or "express mail" service, or (c) seven business days after
being  mailed by  registered  or  certified  first  class mail,  return  receipt
requested, in each case addressed to the notified party at its address set forth
below (or at such other address as such party may specify by notice to the other
delivered in accordance with this section):
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     If to Corporation:                       If to Employee:

     Royal Precision, Inc.                    Thomas A. Schneider
     535 Migeon Avenue                        4111 E. Becker Lane
     Torrington, Connecticut  06790           Phoenix, Arizona  85028
     Attn.: Chairman of the Board
     Telecopier: (860) 489-5454

     10.  WAIVER  OF CLAIMS  UNDER THE AGE  DISCRIMINATION  IN  EMPLOYMENT  ACT.
Employee hereby acknowledges that he has been referred to the Age Discrimination
in  Employment  Act  (ADEA  29 USCS  ss.ss.  621 et  seq.)  and the  regulations
promulgated  and  set  forth  at 29 CFR  Part  1625  and  the  Equal  Employment
Opportunity  Commission Complaint Procedures,  32 CFR Part 588. Employee is also
advised  he  has  various  rights,  and  may  have,  after  reviewing  the  said
legislation  and  regulations,  certain claims arising under the ADEA.  Employee
hereby knowingly and voluntarily  waives and releases any private rights that he
may  have  under  the  ADEA.  Employee  acknowledges  that  he has  sufficiently
deliberated  the waiver of his rights,  has been  encouraged to consult with his
lawyer prior to signing this Agreement and, thus,  knowingly waives and releases
any private rights that he may have. This waiver of rights is  acknowledged  for
payment of monies or other  benefits  noted  herein.  EMPLOYEE  IS  SPECIFICALLY
ADVISED THAT HE HAS 21 DAYS TO CONSIDER THE TERMS OF THIS WAIVER BEFORE  SIGNING
IT AND IS ENCOURAGED  TO AVAIL HIMSELF OF THIS PERIOD OF TIME.  EMPLOYEE IS ALSO
ADVISED THAT HE MAY REVOKE THIS WAIVER  WITHIN SEVEN DAYS  FOLLOWING THE DATE OF
HIS SIGNING THE WAIVER.

     11.  MUTUAL  UNDERSTANDINGS.  This  Agreement  has been  freely  and fairly
negotiated  by  the  parties  hereto  and  each  party  has  been  provided  the
opportunity to have the Agreement reviewed by legal counsel of his choice and to
modify the terms hereof and,  therefore,  this Agreement  shall be construed and
interpreted without any presumption,  or other rule,  requiring  construction or
interpretation  against the interest of the party  causing this  Agreement to be
drafted.  This Agreement embodies the entire  understanding  between the parties
and supersedes and cancels all prior understandings and agreements, whether oral
or written. There are no other  representations,  agreements,  arrangements,  or
understandings, oral or written, between or among the parties hereto relating to
the  subject  matter  of this  Agreement  that are not fully  expressed  in this
Agreement.  All  modifications to the Agreement must be in writing and signed by
the party against whom enforcement of such modification is sought.

     12. MISCELLANEOUS.

          a. The waiver of any breach of any  provision of this  Agreement  will
not operate or be construed as a waiver of any subsequent  breach of the same or
other provision of this Agreement.

          b. The section  headings of this  Agreement are intended for reference
and may not by themselves  determine the construction or  interpretation of this
Agreement.

          c. If any portion of this  Agreement  is  determined  to be invalid or
unenforceable,  that portion of this  Agreement  will be  adjusted,  rather than
voided, to achieve the intent of the parties under this Agreement.

          d.  EMPLOYEE  ACKNOWLEDGES  THAT  HE  HAS  READ  AND  UNDERSTANDS  THE
FOREGOING  PROVISIONS AND THAT SUCH  PROVISIONS ARE REASONABLE AND  ENFORCEABLE.
EMPLOYEE  ACKNOWLEDGES  THAT HE HAS SIGNED  THIS  AGREEMENT  AS HIS OWN FREE AND
VOLUNTARY ACT, THAT HE ACKNOWLEDGES  THAT THIS IS AN IMPORTANT AND BINDING LEGAL
CONTRACT WHICH SHOULD BE REVIEWED BY EMPLOYEE'S ATTORNEY.


     IN WITNESS WHEREOF,  and intending to be legally bound hereby,  the parties
hereto have set their hands and seals the day and year first above written.


ROYAL PRECISION, INC.

By: /s/Richard P. Johnston              /s/ Thomas A. Schneider
   -------------------------------      ----------------------------------------
    Richard P. Johnston                 Thomas A. Schneider
    Chairman of the Board