Exhibit 10.55


 


AMENDMENT NO. 3


TO THE


EMPLOYMENT AGREEMENT


 


This
Amendment No. 3 to the Employment Agreement is made as of December 15,
2009 by and among FGX International Inc., a Delaware corporation (the “Company”)
and Gerald Kitchen, a resident of the State of Rhode Island (the “Executive”).


 


WHEREAS,
the Company and the Executive are parties to a certain Employment Agreement
dated as of August 27, 2007, as amended through November 6, 2009 (the
“Agreement”); and


 


WHEREAS,
pursuant to and in accordance with Section 13 of the Agreement, the
Company and the Executive desire to amend the Agreement in order to provide for
compliance with Section 409A of the Internal Revenue Code of 1986, as
amended.


 


NOW,
THEREFORE, in consideration of the foregoing promises and agreements contained
herein, and for good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the Company and the Executive agree as follows:


 


1.             Section 1 of the Agreement is
restated in its entirety to read as follows:


 


The term of Executive’s Employment by the Company pursuant to this
Agreement (the “Employment Period”) shall commence
on the date hereof (the “Effective Date”)
and shall continue until terminated as provided herein; provided, however, that
if a Change in Control shall have occurred during the Employment Period, the
Employment Period shall expire no earlier than twenty-four (24) months beyond
the month in which such Change in Control occurred.  For purposes of this Agreement, “Termination
Date” means the date on which the Employment Period ends.


 


2.             Section 6.c.i is amended in
its entirety to read as follows:


 


i.  If the Company terminates Executive’s
employment without Cause, or if Executive terminates his employment pursuant to
Section 6(b) hereof, then, subject to Section 8, the Company
shall provide Executive with a severance package for 18 months, commencing on
the first business day of the third month following the effective date of such termination,
which shall consist of the following:  (x) payment
on the first business day of the month of an amount equal to one-twelfth of
Executive’s then current Salary under Section 3(a) hereof; (y) payment
on the first business day of each month of an amount equal to one-twelfth of
Executive’s Annual Target Bonus Amount (as defined in Section 3(b) above)
for the year of termination, provided, however, that the first payment to be
made under clauses (x) and (y) of this Section 6(c)(i) shall
be an amount equal to 


 


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three-twelfths of such Salary and Annual Target Bonus amounts; and (z) continuation
of all benefits under Section 4(a) hereof at the same cost to
Executive as is applicable to active employees of the Company (with the
Executive being entitled to reimbursement by the Company of any amounts paid by
the Executive due to the delay in the commencement of such benefit pursuant to
this sentence); provided, however, that benefits under Section 4(a) shall
be discontinued as of the date on which Executive is provided comparable
benefits from any other source. 
Notwithstanding anything herein to the contrary, each severance payment
shall be deemed to be a separate payment within the meaning of Section 409A
of the Code and the regulations thereunder.


 


3.             Section 6.c.ii of the
Agreement is amended in its entirety to read as follows:


 


Notwithstanding any other provision of this Agreement to the contrary, as
a condition precedent to receiving any severance payment Executive shall
execute, not later than forty-five (45) days following (and not prior to) the
effective date of such termination of employment, a general release of any and
all claims which Executive or his heirs, executors, agents or assigns might
have against the Company, its subsidiaries, affiliates, successors, assigns and
its past, present and future executives, officers, directors, agents and
attorneys, except for claims arising under this agreement or any benefit plan
in which Executive is a participant (other than any such plan providing a
benefit in the nature of a severance benefit) or for any right to
indemnification to which Executive may be entitled as an officer and director
of the Company.


 


4.             The
first sentence of Section 6.c.iv of the Agreement is restated in its
entirety to read as follows:


 


Anything in this Agreement to the contrary notwithstanding, in the
event it shall be determined that any payment or distribution by the Company to
or for the benefit of the Executive, whether paid or payable or distributed or
distributable pursuant to the terms of this agreement or otherwise (a “Payment”) would constitute an “excess parachute payment”
within the meaning of Section 280G(b) of the Code, and thus would
result in the Executive incurring an excise tax under Section 4999 of the
code, then amounts payable or distributable to or for the benefit of the
Executive pursuant to this Agreement (such payments or distributions pursuant
to this Agreement are hereinafter referred to as “Agreement
Payments”) shall be reduced to the Reduced Amount, but only if and to
the extent that the after-tax value to the Executive of reduced Agreement
Payments would exceed the after-tax value to the Executive of the Agreement
Payments received by the Executive without application of such reduction; provided,
that such reduction shall occur in the following order:  (1) cash payments subject to Section 409A
of the Code; (2) cash payments not subject to Section 409A of the
Code; and (3) non-cash forms of benefits; 


 


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and provided, further, that to the extent any payment to
be reduced pursuant to this sentence is to be made over time (e.g., in
installments, etc.), then such payments shall be reduced in reverse
chronological order.


 


5.             The first two sentences of Section 8.a
of the Agreement are restated in their entirety to read as follows:


 


If Executive’s employment is terminated by the Company without Cause or
by the Executive for Good Reason within six (6) months before and in
anticipation of, or twenty-four (24) months after, a Change in Control (as
defined in Paragraph (b) of this Section 8), Executive shall be
entitled to receive a supplemental bonus payment (the “Change in
Control Payment”) from the Company equal to one and one-half (1.5)
times the sum of (x) the Executive’s then current Base Salary plus (y) Executive’s
Annual Target Bonus Amount (as defined in Section 3(b) above) for the
year in which Executive’s employment is terminated or, if greater, for the year
in which the Change in Control occurs.  The
Change in Control Payment shall be paid to Executive within fifteen (15) days
after: (i) the Change in Control if Executive’s employment was terminated
within six (6) months before the Change in Control; or (ii) the
termination of Executive’s employment by the Company if Executive’s employment
terminates within twenty-four (24) months after the Change in Control.


 


6.             The following is added as a new
final sentence of Section 8.a of the Agreement:


 


Notwithstanding any other provision of this Agreement, in the event
that the event constituting a Change in Control is not a “change in control
event” within the meaning of Section 409A of the Code:  (1) an amount equal to the excess, if
any, of (x) the Change in Control Payment over (y) the aggregate
amount that would have been paid to the Executive under clauses (x) and (y) of
Section 6(c)(i) hereof if such termination had occurred absent a
Change in Control, shall be paid to the Executive as provided in the second
sentence of this Section 8(a); and (2) the remaining amount of the Change
in Control Payment shall be paid in accordance with Section 6.c.i.


 


7.             Except as expressly provided
herein, no other modifications or amendments to the Agreement are being made
and, with the exception of the amendment set forth herein, the terms and conditions
of the Agreement are hereby ratified and confirmed.


 


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IN WITNESS WHEREOF, the parties have executed this
Amendment No. 3 as of the date first written above.


 


 


	
   

  	
  FGX INTERNATIONAL INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ ALEC TAYLOR

  
	
   

  	
  By: Alec Taylor

  
	
   

  	
  Title: Chief Executive Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  EXECUTIVE

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ GERALD KITCHEN

  
	
   

  	
  Gerald Kitchen

  



 


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